OPOWER uses a well-defined, scientific approach to measurement and verification. Our methodology and results have been verified by the American Council for an Energy-Efficient Economy (ACEEE) as well as by reputable academic and M&V firms. Please see Independent Verification for more details.
Before we deploy our Home Energy Reporting program in a new region, we randomly divide households into two groups with statistically equivalent demographic profiles and past consumption patterns. Both groups are exposed to the same local weather, energy prices, and economic environment. The only statistically meaningful difference between the groups is that the test group receives Home Energy Reports while the control group does not.
Measurement and Verification Flow Chart

Statistically precise measurement of the impact of our programs is an essential part of our service to utilities
Following Industry Standards
The National Action Plan for Energy Efficiency (NAPEE) is an EPA initiative that has promoted energy efficiency programs and published guidelines since 2005. Our rigorous M&V approach is consistent with NAPEE guidelines for large-scale data analysis:
- Time comparison: We use baseline data to identify a test and control group with statistically equivalent usage patterns and histories.
- Group comparison: We measure program impact against a group of nonparticipating homes to control for external factors that affect energy use.
- Replication: We measure energy use across thousands of households, over different lengths of time, to increase the statistical precision of our results.
In addition, our approach follows the Evaluation, Measurement, and Verification guidelines for energy efficiency set by the California Public Utilities Commission.