A message from the Executive Director
The big efficiency ramp-up in the Northeast has begun! Northeast and Mid-Atlantic states have committed to energy efficiency as a top priority solution to economic, environmental and energy challenges. In most cases state policies call for ratepayer-funded efficiency investments to at least offset project growth in gas and electric energy consumption, peak electric demand, and the associated carbon emissions. As states ramp up their efficiency efforts to $1.5 billion per year (for starters), the recent influx of federal stimulus funding has moved the potential for expanded efficiency initiatives to an unprecedented level. Across the region, we see many signs of this increased ramp up.
Key themes of the great efficiency ramp-up include:
Statewide Programs: Most states are opting for statewide programs that provide consistent marketing and messages, and which integrate services (e.g., gas and electric programs, federal low-income weatherization and ratepayer-funded efficiency services, coordination with combined heat and power and renewable energy programs) to provide seamless, comprehensive services to residents and businesses.
Building-Systems: Expanded programs are focusing on improved efficiency and energy performance that address the integration of technologies and best practices in building systems such as lighting system design and HVAC systems and systems integration through commissioning and retro-commissioning, and whole house efficiency (shell measures, HVAC, lighting, appliances) programs. At the leading edge of this, the Massachusetts Net Zero Energy Building Task Force recommends a way forward to make net zero energy homes and buildings a reality across the state.
Engaging Upstream Market Channels: Building on recent experience, efficiency programs are jumping past standard rebate mechanisms to engage the power and creativity of manufacturers, retailers and distributors as partners to co-promote efficiency products and solutions. Examples from NEEP sponsors include retailer co-promotions of compact fluorescent lamps; central air conditioning co-promotions with Massachusetts and Rhode Island distributors; distributor co-promotions of commercial rooftop air conditioners in New York and Vermont; and cooperative efforts between several NEEP sponsors and manufacturers to move heat pump water heater technologies to a state of market readiness.
New Technologies: To maximize energy savings, expanded programs include new technologies such as market-ready solid state lighting, heat pump water heaters and ductless mini-split HVAC systems, with initiatives to encourage the market introduction of new, innovative high efficiency technologies and best practices.
All Fuels Retrofit: With the goal to maximize participation and reduce carbon emissions, state and program administrators are designing programs to overcome barriers to comprehensive efficiency improvements using strategies that address all fuels – gas, electricity and, increasingly – heating oil.
Emphasis on Building Energy Codes and Appliance Standards: In their letters requesting federal ARRA funds for state energy programs, Governors across the region committed to achieve high levels of compliance with state energy codes that meet or exceed International Energy Conservation Code (IECC) and ANSI/AHREAlIESNA 90.1-2007. In addition, many states are now considering the next round of state appliance efficiency standards recommended by NEEP (including TVs) and continue to voice their support for the adoption of strong federal appliance standards.
Workforce Development: Every state is undertaking initiatives to train and support a qualified workforce to deliver quality, energy efficiency services.
Here are some of the recent developments across the region:
Maine: Landmark energy legislation was enacted to consolidate the state’s clean energy programs under one entity- the Efficiency Maine Trust- which will coordinate energy efficiency, weatherization and alternative energy programs across all sectors, statewide. The legislation also sets aggressive weatherization, peak demand and energy consumption reduction goals.
Massachusetts: Administrators of the state’s gas and electric efficiency programs jointly filed draft three-year efficiency plans required by the Green Communities Act. The plans are among the most aggressive in the country, and as proposed, would double annual savings for both electric and gas over 2009 levels.
New Hampshire: The state has kicked off a fuel blind pilot program that will weatherize homes regardless of fuel type, capture cost effective energy savings and promote collaboration between gas and electric programs.
Maryland: Gas and electric utilities along with the Maryland Energy Administration have begun to implement programs to achieve the EMPOWER Maryland legislation that requires the state to reduce its greenhouse gas emissions to 25 percent below 2006 levels by 2020.
New York: Continuing to implement the state’s 15 by 15 energy efficiency portfolio standard, New York has set aggressive targets for gas efficiency, calling for a state wide gas efficiency initiative funded at $130 million annually.
Rhode Island: The Rhode Island Public Utilities Commission has approved National Grid’s efficiency plan for 2009 that addresses both gas and electric in order to procure all cost effective energy efficiency.
New Jersey: NEEP filed its final report on energy efficiency strategy to achieve the state’s 2020 energy master plan goals, calling for the formation of a New Jersey Energy Efficiency Utility implemented by the state’s gas and electric utilities. NEEP recommends a comprehensive statewide energy efficiency program complemented by public policies that establish minimum energy requirements for new appliances, and new homes and buildings.
The federal government is also actively ramping up efforts to maximize energy efficiency as a solution to both environmental and economic challenges. This month, the U.S. Department of Energy began to approve state proposals for federal funding of efficiency programs available under the American Recovery and Reinvestment Act. Nearly $1.8 billion in federal funding for energy efficiency is being made available to Northeast and Mid-Atlantic states through ARRA over the next 36 months, including nearly $900 million for the Low-Income Weatherization Assistance Programs, $470 million to State Energy Offices to increase energy efficiency, and over $430 million in community block grants for building sector efficiency. For state-specific allocations see: http://www.energy.gov/recovery/index.htm. In addition, DOE announced a $346 million investment from the American Recovery and Reinvestment Act to expand and accelerate the development, deployment, and use of energy efficient technologies in all major types of commercial buildings as well as new and existing homes.
Regional coordination and strong partnerships are essential to the success of reducing energy consumption and greenhouse gas emissions in the Northeast. To serve the region during this unprecedented ramp up of energy efficiency policies and programs, NEEP has undertaken a strategic planning process aimed at ensuring success within a broader region and among a broader audience. We will be reaching out to you to get your input!
Sue Coakley
Executive Director
