(1) The department of social services shall request that a program utility perform a home energy analysis for each assisted household the department selects under section 5.

    (2) The program utility shall conduct the home energy analysis and shall forward a report to the department of social services which includes a designation of which home repairs and weatherization measures, if any, are cost effective for the assisted household. Home repairs and weatherization measures may include the installation of thermostats where none exist or where existing thermostats do not operate properly.

    (3) The utility surcharges for the Michigan residential conservation services programs which exist on the effective date of this act shall not be increased as a result of the program utility performing the home energy analysis described in this section. The home energy analysis shall be performed instead of residential conservation service audits so that there is no increase in utility rates because of the home energy analysis program. The costs incurred by a program utility in performing the home energy analyses requested by the department shall be reviewed by the Michigan public service commission in its annual reconciliation proceedings associated with the Michigan residential conservation program. The Michigan public service commission shall authorize the program utility to recover the reasonable costs of the home energy analyses as part of the residential conservation program. The allowable costs for the Michigan residential conservation services program, including costs incurred for performing home energy analyses, shall not exceed the level of costs currently authorized by the Michigan public service commission on the effective date of this act.