Login
Advocacy Quicklinks
More Information
Long Island Utility to Launch a 10-Year Energy Efficiency Program
The Long Island Power Authority (LIPA) plans to invest nearly a billion dollars in energy efficiency over the next 10 years under its new Efficiency Long Island program. The $924 million program will start on January 1, 2009, and will offer residential and business customers an array of incentives, rebates, financing options, and other programs to help reduce their energy use. The program will be funded through an energy efficiency fee based on electricity use. It will be offset somewhat by a reduction in base rates to remove funding for the energy efficiency portion of LIPA's Clean Energy Initiative, which expires at the end of the year. Over the next decade, Efficiency Long Island is expected to reduce the island's peak demand by 500 megawatts (MW), equal to about one large power plant.
For residential customers, the program will encourage the purchase of energy efficient products, the installation of high-efficiency central air conditioning and heat pumps, the application of duct sealing and tune-ups for central air conditioners, and the retrofit of entire homes. The program will also encourage the construction of Energy Star homes and will provide continued support for LIPA's Residential Energy Affordability Partnership, which helps lower-income households reduce their energy bills through energy efficiency. For commercial customers, the program will address energy efficiency in both new and existing buildings. See the Efficiency Long Island (http://www.lipower.org/ELI/eli.html) web site.
Report Calls Energy Efficiency an "Invisible" Energy Boom
Energy efficiency has met three-quarters of the U.S. demand for new energy services since 1970, but it goes relatively unnoticed amid a focus on energy production, according to a new report from the American Council for an Energy Efficient Economy (ACEEE). The report notes that the U.S. economy uses half as much energy per unit of economic output than it did back in 1970, making energy efficiency the "fastest-growing success story of the last 50 years."
The report focuses specifically on 2004, when roughly $300 billion was invested in energy efficiency in the United States, supporting 1.6 million jobs. That investment was triple the amount invested in the energy supply infrastructure, and it generated 1.7 quadrillion Btu, or quads, of energy savings. For comparison, the United States currently consumes about 100 quads of energy. The 2004 savings were roughly equal to the combined energy output of 40 mid-sized coal-fired power plants. Nearly 60% of total energy efficiency investments were made in buildings, including homes, commercial buildings, and energy efficient devices, while about a quarter of the investments went toward industrial energy efficiency improvements. Only 11% of the investments went towards improving the fuel economy of cars, trucks, aircraft, and other forms of transportation, despite the fact that the transportation sector consumes 28% of the U.S. energy supply.
The ACEEE report also finds plenty of room for improvement, noting that the United States can reduce energy consumption by an additional 25%-30% over the next quarter century through cost-effective energy efficiency measures. In an environment of accelerated market transformation and rapid growth in energy efficiency, the total annual investments in energy efficiency could approach $400 billion by 2030, according to the report. See the ACEEE press release (http://www.aceee.org/press/e083pr.htm).
ASHRAE President Testifies Before Congress, Appears on E&ETV
On Wednesday, May 14, ASHRAE President Kent Peterson joined actor Ed Norton, San Francisco Mayor Gavin Newsom and USGBC Senior Vice President Michelle Moore before Chairman Edward J. Markey (D-Mass.) and the Select Committee on Energy Independence and Global Warming to discuss how more efficient buildings and better building policies can reduce energy costs and cut global warming pollution. Peterson was asked to testify on how building codes can be used to increase the number of green buildings throughout the nation.
In his oral remarks, Peterson stated, “Today, building energy efficiency represents a vast and still underutilized energy resource in the United States. Building energy efficiency is the single most important opportunity for reducing greenhouse gas emissions.”
Chairman Markey opened the hearing indicating, “Efficient design, low-emission construction materials, and decreased energy use in buildings can combat global warming and simultaneously reduce the rising costs of lighting, heating and cooling structures. Energy efficiency in buildings is only a starting point: a truly “green” building should help preserve natural resources…. Most importantly, we must ensure that all buildings receive this treatment whether they are new or already built, commercial or residential, public or private.”
Copies of the testimony and photos from the hearing are available at the committee’s website (http://globalwarming.house.gov/pubs/pubs?id=0041).
Peterson also appeared on Energy & Environment News’ online news show OnPoint where he discussed the role of buildings in meeting greenhouse gas emission reduction goals. To view the video or read the transcript, see http://www.eenews.net/tv/2008/05/22/.
House Passes Incentive Extensions, Again
The House of Representatives passed legislation by a bipartisan vote of 263-160 on May 21 to extend tax deductions and credits that have expired or are set to expire at the end of this year. Many of the provisions contained in the bill have previously been passed in the House and nearly passed in the Senate, but has not been included in any legislation passed by both chambers. This bill will now move to the Senate for consideration. H.R. 6049 provides tax incentives for businesses to invest in new technology by extending the research and development credit and active financing provisions.
The legislation also encourages the use and production of renewable energy through:
- Six-year extension of the investment tax credit (ITC) for solar energy
- Three-year extensions of the production tax credit (PTC) for energy derived from biomass, geothermal, hydropower, landfill gas and solid waste
- One-year extension of the PTC for energy derived from wind
- Tax incentives for carbon capture and sequestration demonstration projects.
- Incentives for the production of renewable fuels such as biodiesel and renewable diesel
- Incentives to encourage energy efficient products, such as plug-in hybrids cars, and incentives for energy conservation in both commercial buildings and residential structures
- Tax credit bonds providing State and local government with funds to make energy conservation investments in public infrastructure and invest in research
Senator Boxer Releases Revised Climate Change Bill
Senator Barbara Boxer (D-Calif.), Chair of the Environment and Public Works Committee, released the text of her substitute amendment to the Lieberman/Warner Climate Change Bill (S.2191) which is scheduled to be brought to the floor of the Senate the week of June 2. The amendment will replace the current text of the bill as it passed the Environment and Public Works Committee.
The amendment includes significant additions to the original language that recognizes the building sector’s efforts to improve energy efficiency and establishes an Efficient Buildings Program to provide grants and eventually emission allowances for the construction of highly efficient buildings. Other provisions remain largely the same including establishing building energy code targets and providing a separate mechanism for HFC emissions (although allowances are provided to equipment manufacturers). A summary of the initial bill appears in the May issue of the ASHRAE Journal.
