In 2010, the Governor’s Strategic Initiative for Economic Growth identified “Energy Solutions” as one of seven target industries with the highest potential for creating jobs and spurring economic growth. In 2013, Nixon issued an executive order realigning the Division of Energy from the Department of Natural Resources to the Department of Economic Development. In April 2014, Missouri Governor Jay Nixon announced that the Missouri Department of Economic Development’s Division of Energy will lead a statewide initiative to develop a comprehensive energy plan for the state. In a press release, the Governor outlined that the initiative will solicit input from energy stakeholders through a series of public meetings in order to derive at the plan. To lead the effort, Nixon named Lewis Mills (former head of the Office of Public Counsel) as the new director of the division.

While Missouri does not require gas utilities to submit energy efficiency plans, Ameren, Liberty Utilities, Empire Natural Gas, Laclede Gas and Missouri Gas Energy operate natural gas energy efficiency programs.

In its 2014 rate filing, Liberty Utilities requested that a trial program be authorized between now and its next general rate case to extend the amount of free main offered to residential customer from 150 feet to 350 feet. At the time of the next rate case, the Company would be required to request from the Commission the ability to continue the program at 350 feet. Commission Staff and OPC would evaluate the Company's request and make a recommendation regarding the continuation of the program. If the Company fails to make a request to continue to the program, the tariff sheet would default back to 150 feet. The goal of the tariff update is to incent economic growth in the service territory via additional residential development. Increased free footage may spur additional residential homes to include natural gas and thus increase the number of growth. The company agreed to withdraw this proposal pursuant to an August 2014 Stipulation and Agreement.

Missouri established an Infrastructure Replacement Surcharge (ISRS) mechanism as part of a revision to Missouri Statute 393.1009-105. The ISRS allows rates of a gas utility to be adjusted twice per year to provide for the recovery of costs of eligible infrastructure replacements. Companies that utilize the ISRS must file a rate case at least every 3 years; Ameren, Liberty Utilities, Laclede and Missouri Gas Energy use an ISRS mechanism. The Missouri Legislature had considered legislation that would modify the provisions outlined above. SB 240 would have required the PSC to specify the annual amount of net write-off incurred by a gas corporation, after which the company would be allowed to recover 90% of the increase in net write offs from customers. The legislation would have also modified the provisions above by extending the amount of time in which a company must come in for a rate case to be eligible for the ISRS from three years to five years. It would have also increased the amount a utility may recover through ISRS from 10% of the company’s base revenue level to 13%. This legislation was vetoed by Governor Nixon on July 9, 2013. In January of 2014, Laclede Gas filed for a $7.4 million increase in its ISRS, revenues to recover investments in replacement of distribution pipelines over the previous 13 months. Laclede proposed to spend $7.1 million annually from the new charge to fund roughly 68 miles of gas main replacements. This request was approved on April 3, 2014.

Missouri Gas Energy owns and operates a public CNG station in Saint Joseph, MO. In January of 2013, Laclede Gas (partnered with Siemens) launched an NGV initiative known as Spire, under which Laclede Group began offering services to fleet managers looking to switch from gasoline and diesel to natural gas as a vehicle fuel. In December 2013, the initiative's first major project (at Lambert-St. Louis International Airport) began commercial operations. WEC Energy Corp. subsidiary Trillium CNG owns and operates stations in Kansas City and St. Louis.

Missouri local gas distribution companies may request PSC approval of a mechanism to reflect the impact of changes in customer usage due to variations in weather and/or conservation, but no such mechanisms are in place. Ameren operates under a rate design that consists of modified rate blocks for residential service customers. Laclede Gas operates under a straight-fixed-variable (SFV) rate design consisting of modified rate blocks. Liberty Utilities operates under a SFV rate design which consists of a flat fee plus a small variable charge. Laclede Gas (Missouri Gas Energy) operates under a straight-fixed-variable rate design which consists of a flat monthly fee. On May 1, 2015, the Missouri PSC opened a working case to consider proposals to create a revenue decoupling mechanism for its utilities. (File No. AW-2015-0282)