Switching and saving

North Carolina legislators had the best intentions when they required electric utilities to make energy conservation a significant part of their future business strategies. But there's a hitch that needs to be sorted out.

The law says that by 2021, Progress Energy and Duke Energy must meet 12.5 percent of their electricity sales through renewable sources and programs that persuade customers to use less power. Both companies expect to offer their customers financial incentives for replacing energy-hungry appliances with energy-efficient ones.

But such incentives may also encourage homeowners to switch from appliances fueled by natural gas -- stoves, furnaces, etc. -- to energy-efficient electric models. Gas utility companies say that could represent a step backward for cleaner air, and they may have a point.

The bulk of North Carolina's electricity comes from coal-fired power plants, and even those with state-of-the-art pollution filters are harder on the air (and on the health of North Carolinians) than emissions from natural gas. If air quality concerns helped drive the legislature's action last year, the incentives programs could work against that worthwhile aim.

State policy should favor neither the electric nor gas industry. Some states provide for incentives in both cases. PSNC Energy, the natural gas company that serves Triangle counties, proposes that approach. Given the environmental implications, its approach seems like an example of enlightened self-interest, worth the state's careful attention.