Pacific Northwest continues to lead on energy efficiency, stays on track to meet targets set in 2021 Power Plan

The Pacific Northwest continues to make progress in acquiring cost-effective energy efficiency called for in the Council's 2021 Power Plan. In 2024, the region acquired 160 aMW of cost-effective energy efficiency savings, including 39 aMW from Bonneville Power Administration, the Council learned during its Sept. 9-10 meeting in Eugene, Ore. (Watch video | read presentation)

This puts the region on track to achieve the target of 750 - 1,000 aMW by 2027 called for in the 2021 Plan. Since the plan was adopted in February 2022, the region has acquired 465 aMW in total efficiency savings. For reference, the Northwest consumes about 22,000 aMW of electricity total each year. More work and continued investment will be needed to ensure that the 2021 Power Plan's full targets are met by 2027.

Every September, the Council reviews data on energy efficiency acquisition in the Northwest from its Regional Conservation Progress survey. The survey is conducted by the Regional Technical Forum, an advisory committee to the Council that develops and maintains a list of eligible energy efficiency resources in the Northwest, and objectively generates peer-reviewed energy savings estimates through robust and unbiased analysis. The RTF's survey consults BPA, Energy Trust of Oregon, the Northwest Energy Efficiency Alliance, as well as investor- and consumer-owned utilities of all sizes in Washington, Idaho, Oregon, and Montana.

Under the Northwest Power Act of 1980, the Council's power plans assure the Northwest of an adequate, efficient, economical, and reliable power supply. Over the past two decades, collaborative work by the Council, BPA, regional utilities, and other partners have delivered a major success in power planning for the Northwest's electricity grid. Regional power costs have been among the lowest in the U.S., while power supply shortages have been extremely rare - even as extreme weather events have increased.

Cost-effective energy efficiency has played a crucial role in this success. Efficiency reduces energy demand and makes it easier to manage, while also lowering costs for consumers. Over the past several decades, the Council's analysis has consistently shown that energy efficiency is a more cost-effective option to meeting electricity demand than building new power plants. This has helped achieve:

• Over the past 45 years, the Northwest has saved 8,042 aMW by acquiring energy efficiency called for in the Council's power plans. To put that in perspective, the city of Seattle consumes roughly 1,000 aMW of electricity annually. Put another way, 8,000 aMW is approximately three times the average annual output of the Northwest's largest electricity generating resource, Grand Coulee Dam.
• Since 1980, the region has met more than half of its load growth through energy efficiency. When measured by average annual output, energy efficiency is the second-largest resource on the Northwest's electricity grid behind hydropower.
• This has resulted in over $5 billion in avoided energy costs in the Northwest since 1980.
• Acquiring this efficiency has avoided more than 25.5 million metric tons of carbon dioxide emissions, which is equivalent to the total amount of CO2 sequestered in all the national forest lands in Oregon and Washington.

Over the past three years, the region has increased budgets and spending on acquiring energy efficiency. The region spent $386.7 million in 2022, $456.2 million in 2023, and $580.6 million in 2024. This increase in funding comes after a period of declining investment in this resource. This trend likely reflects the renewed need for energy efficiency in meeting regional load growth. Budgets are forecast to grow by 12% in 2025, compared to 2024 levels. Continuing this trend will be important to achieving the 2021 Plan's full target by 2027.

"The Council's power plans and collaboration with regional partners have made the Pacific Northwest a national leader in acquiring cost-effective energy efficiency," said Oregon Council Member Margi Hoffmann. "Efficiency saves consumers and businesses money on their energy bills, makes our homes safer and more comfortable, and helps ensure the Northwest's power supply continues to be adequate and reliable."

"The Council's power plans protect the Northwest electricity grid's reliability and adequacy, and cost-effective energy efficiency has been a crucial part of our strategy," said Washington Council Member K.C. Golden. "The region is making key progress on our most recent plan's target, but we have more work to do in the next two years. Acquiring the full target by 2027 will achieve the greatest benefit for the Northwest's electricity grid and energy consumers in our region."

The 2024 survey found that commercial buildings accounted for 50% of the annual total efficiency savings, while the industrial sector accounted for 26%, the residential sector had 22%, and agriculture was 2%. Overall, however, the survey data shows that energy efficiency programs in the Northwest are capturing the cost-effective savings expected by the 2021 Plan. The survey also showed continued investment in other areas of the 2021 Plan Conservation Program, including weatherizing homes. The 2021 Plan recognizes the importance of weatherization measures to support livability, and addressing these homes should be a continued focus for the region.

Energy efficiency and the Ninth Plan

The Northwest Power Act prioritizes cost-effective energy efficiency to meet growing demand for electricity in Washington, Oregon, Idaho, and Montana.

In 2024 and 2025, the Council's power planners have been in the process of developing the next 20-year plan for the Northwest's electricity grid, called the Ninth Plan. This plan will cover 2027-2046. The Council is aiming to have a draft ready for public review in mid-2026, and adopt the final version by the end of that year.

In April 2025, the Council published results of a new 20-year load forecast for the region. Power planners have also developed supply curves showing the estimated availability and costs of energy efficiency and demand response over this 20-year time period. They've also produced analysis showing the costs, availability, and attributes of generating resources like land-based wind, solar, natural gas, and other technologies.

All of these become options for the Council's computer modeling to pick as power planners determine how best to meet the growing need for electricity in the Northwest for the next 20 years. Energy efficiency options will be tested against other resources to determine if they're cost effective and should be included in the Ninth Plan's resource strategy. This modeling and analysis will occur over the fall and winter of 2025-26.

Stay up-to-date with the Ninth Plan on social media, by following the Council's newsletter, and on the Ninth Plan's webpage. All of the Council's meetings and processes are open to the public.