Conservation Service Reform Act of 1986

(Measure passed House, amended)

Conservation Service Reform Act of 1986 - Title I: Residential Conservation Service - Amends the National Energy Conservation Policy Act to extend from 1985 to 1990 the deadline through which utility programs and home heating supplier programs must provide certain energy conservation information to new owners or occupiers of a residential building (residential customers).

Eliminates requirements that each utility and participating home heating supplier: (1) offer to arrange to have suggested conservation measures installed and for a loan to finance them; and (2) provide residential customers with a list of suppliers, contractors, and lending institutions.

Amends the definition of "residential building" to include previously exempted buildings which had central heating or cooling systems. Exempts five-or-more-unit multifamily buildings without individual meters from the energy information requirements of the Act.

Treats residential energy conservation plans which were approved before the effective date of this Act as adequately implemented approved plans if they meet the requirements of this Act.

Extends the authority of the Secretary of Energy to grant or renew temporary exemptions to certain information requirements and prohibitions. (Current law provides for a maximum three-year exemption.)

Authorizes the States to formulate and certify alternative State residential energy conservation plans. Sets forth the criteria for the formulation, content, and certification of such plans (including administrative and judicial enforcement). Requires States which have such an alternative plan to submit an annual report to the Secretary describing the plan's implementation and results. Prohibits the inclusion of a nonregulated utility in such alternative plans unless authorized under State law or agreed to by the nonregulated utility.

Authorizes States to provide incentives for utilities to meet the goals contained in the State's alternative plan.

Sets forth guidelines under which alternative utility plans may be elected by a regulated utility located in a State in which an alternative State plan is not in effect.

Requires the Secretary to submit reports to certain congressional committees regarding the residential energy conservation plans, alternative State plans, and alternative utility plans.

Requires the Secretary to disseminate information annually to States and public utilities regarding: (1) technical assistance; (2) cost-effective residential energy conservation measures; and (3) the most successful residential energy conservation plans. Requires the Secretary to disseminate such information to the public through regional seminars.

Terminates on January 1, 1990, all Federal authority regarding residential conservation service plans.

Limits the current general (grandfather) exemption of certain utilities from the prohibition against the direct supply and installation of conservation measures by public utilities. Continues such exemption, as of July 1, 1987, only for those grandfathered utilities which actually supplied and installed such measures during the 12 months before June 1, 1985.

Prohibits specified unfair pricing and other competitive activities by such exempted utilities. Authorizes any interested State resident to request a State regulatory authority or, in certain circumstances, the Federal Trade Commission (FTC) to review alleged unfair activities by such utilities. Directs the FTC to take specified enforcement actions if it finds a utility in violation of a prohibition.

Title II: Commercial Buildings and Multifamily Dwellings - Repeals title VII of the National Energy Conservation Policy Act relating to energy conservation for commercial buildings and multifamily dwellings. Authorizes certain previously approved State energy conservation plans for commercial buildings and multifamily dwellings to continue in effect with respect to regulated utilities.

Directs the Secretary to implement energy conservation demonstration projects in commercial buildings.