2009/08/05 ENE Releases State Summaries of Energy Efficiency Funding in ACES Press

MEDIA ADVISORY

For Immediate Release
August 5, 2009
Contact: Peter Shattuck, Research Analyst (617) 742-0054 x103 or (857) 636-2502 (cell)
Emily Avery-Miller, Manager, Communications (207) 236-6470

ROCKPORT, ME -- The American Clean Energy and Security Act of 2009 (ACES), or H.R. 2454, was passed by the House of Representatives on June 26th and is now under close review by the Senate as it moves forward with its own climate legislation.  ACES sets forth an ambitious and comprehensive reform of U.S. climate and energy policy and charts the course to lower emissions and a sustainable, clean energy future. 

One of the most important features of ACES is the billions of dollars in new funding support for expanding energy efficiency programs that save consumers money, create local jobs, increase energy security, and reduce cap and trade costs. ENE has released state-by-state summaries of the energy efficiency funding and projected benefits that would be available under ACES.

In New England alone, ACES could provide total energy efficiency investments of over $6.7 billion from 2012-2019 and could deliver direct energy savings of over $20.3 billion and create an estimated 60,233 direct jobs in the efficiency sector.

Examples of state total investments and benefits:

Connecticut: Total energy efficiency investments of $1.57 billion; direct energy savings of $4.709 billion; and an estimated 13,969 direct jobs in the efficiency sector.
Maine: Total energy efficiency investments of $878 million; direct energy savings of $2.633 billion; and an estimated 7,810 direct jobs in the efficiency sector.
Massachusetts: Total energy efficiency investments of $2.56 billion; direct energy savings of $7.681 billion; and an estimated 22,786 direct jobs in the efficiency sector.
Rhode Island: Total energy efficiency investments of $549 million; direct energy savings of $1.646 billion; and an estimated 4,882 direct jobs in the efficiency sector.

Summaries of projected funding, savings and job benefits for each of the 50 states can be found at: http://www.env-ne.org/resources/open/p/id/895. ENE projections are based on Congressional Budget Office (CBO) allowance price projections for 2012-2019 and allocation percentages in ACES.
Through allowance allocations (Sec. 782), ACES dedicates funding to efficiency programs through multiple channels:

State Energy and Environment Development (SEED) Funds: States receive annual allowance allocations to support efficiency (including building codes) and renewables.
Heating Oil, Propane and Kerosene Efficiency: States receive annual allowance allocations for the benefit of heating oil, propane and kerosene consumers.
Natural Gas Efficiency: Natural gas local distribution companies (LDCs) receive 9% of allowances annually from 2016-2019 for the benefit of natural gas consumers. 
Electric Efficiency: Electric LDCs receive annual allocations for the benefit of electricity consumers. Beyond supporting “consumer benefit,” no specific requirements exist for use of these allowances, but a portion of this value could be invested in expanded efficiency programs given that electric efficiency programs provide significant consumer benefits by reducing consumers’ bills, lowering demand for electricity, decreasing emissions, and lowering program costs.

Because investing in energy efficiency programs is one of the best ways to keep cap and trade program costs low and deliver additional economic and environmental benefits, ENE and others are advocating that these critical investments be maintained and increased in the final version of federal climate and energy legislation. The summaries are intended to highlight the significant opportunity for each of the 50 states. 

Additional ACES materials from ENE:

ENE’s summary of ACES, including detailed section by section descriptions, can be found at: http://www.env-ne.org/resources/open/p/id/885

There are important opportunities to strengthen the bill in the Senate. ENE’s position statement on ACES can be found at: http://www.env-ne.org/resources/open/p/id/883