Ene nergy Effic icie iency cy The Found undation f for Im Improving P Produc uctivity and Envir vironme menta tal P Performance Across ss Economie mies Kateri ri C Calla llahan, P , President Alliance t to Save E Energ rgy Kcallahan@ase.org
Presentation Overview • A Few Words about the Alliance to Save Energy… • Energy Efficiency: America’s Proven & Greatest Resource • Public Policy: Critical EE Infrastructure • U.S. Goal & Agenda – Double U.S. Energy Productivity • Kateri’s Crystal Ball – Our Prospects for Success • Beyond the U.S. -- Going Global with the Goal
What is the Alliance to Save Energy? Missi ission: To promote energy efficiency Policy Leaders worldwide to achieve a healthier economy, a cleaner environment, and greater energy security. Environmental Business Leaders Groups Organi nization: n: Staff of 40+ professionals • 38 years of experience • $7 million annual budget • Recognized as a premier • energy efficiency Academia organization
Who is the Alliance to Save Energy? H O N O R A R Y C C H A I A I R C O R P R P O R A R AT E C C O - C H A I R I R Sen. J . Jeanne Jan ane P e Pal almieri Sha hahe heen The Dow Chemical (D-NH) Company F i r s t s t H H O N O R O N O R A RY V I V I C E C C H A H A I R I R S Sen. R . Rob ob Sen. C . Chris Portman Po Coons Co ns (R-OH) (D-DE) H O N O R A R Y V I H O Y V I C E C C H A H A I R I R S Rep. . Se Sen. Su Susa san Rep. . Rep. A . Adam Sen. E . Ed Micha hael Collins Co Steve ve Kinzi zinge ger Marke key Burge gess (R-ME) Israel Is (R-IL) (D-MA) (R-TX) (D-NY) Se Sen. M Mark k Re Rep. . David Sen. Li . Lisa Rep. P . Paul Warner Wa McKi Kinle ley Murko kowski Tonk nko (D – VA) (R-WV) (R-AK) (D-NY) Rep. P . Peter Sen. n. Ron n We Welch Wyd yden (D-VT) (D-OR)
Working Across All Sectors of the Economy Busin iness ss ▪ Governm nment nt ▪ Publi lic I Intere rest
A Quiet History of Huge Success!
Putting the Gains into “$ and Sense” In 2014, U.S. carbon dioxide emissions totaled 5,404 MMT, 10% below 2005 levels Energy Efficiency is saving ng t the U. U.S. e econo nomy $800 b $800 billion in avoided energy costs EACH YEAR !
Public Policy: A Cornerstone of the Past Success Government Leadership Codes/ Standards Education/ To lead by Outreach example To lock in savings for consumers and Incentives To achieve businesses market To gain foothold penetration in market RD&D To encourage technological innovation
Public Policy Matters! Impacts on U.S. Energy Consumption
ACEEE 2015 State Scorecard Rankings
CO2 Emission Productivity Carbon Emission Productivity 1997-2013 8000 Emission Productivity (State GDP 2009 Dollars/MMT of CO2 7000 6000 5000 Emissions) 4000 3000 2000 1000 0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 National California (2) Massachusetts (1) Vermont (3) Oregon (4) Rhode Island (5)
Alliance Articulates New “Energy Productivity” Goal The G e Goal al: – Double U.S. energy productivity (2x GDP from every unit of energy) by 2030 The F e Fram amework: A Policy Prescription – Non-Partisan – Address all sectors of the economy – Engage all levels of government + private sector – Bold but also actiona nabl ble – Respect appropriate roles of government(s) – Engage and excite public opinion leaders
History as Prelude: Mining Energy Efficiency to Improve the Economy
Impa pact
Impact of Reaching the Goal
The Roadmap to Achieve the Goal Three Key Strategies
Recomm mmend ndations ons • Make fina nancing ng more easily available for energy efficiency projects • Advance energy productivity through federal tax x re reform • Support energy productivity innovat atio ion and market adoption • Governments lead b d by exam ampl ple
Recomm mmend ndations ons • Use energy productivity to achieve regu gulatory an and pl d plan anning goals – Utility policy – Transportation and land-use planning – Environmental regulations – Infrastructure investments • Strengthen building, equipment, and vehicle efficiency stan andar dards ds
Recomm mmend ndations ons • Provide informat atio ion on building energy efficiency and energy use – Ratings, benchmarks, labels and disclosure • Improve corporate energy management and transparency • Develop ed educa cated consumers and traine ned technicians
President Obama Embraces the 2x EP Challenge for the U.S. • President calls for a Doubling of U.S. Energy Productivity by 2030 in 2013 State of the Union • President calls for a $200 Million Energy Efficiency “Race to the Top” State Challenge Grant Program • President Proposes “Bullish” Federal Budgets for Energy Efficiency • President Orders Federal Agencies to Lead by Example
A A Par artner ership w with t the U e U.S. Dep Depar artment of of Ener ergy & & the C e Coun ouncil on on Competitiveness Primary objectives: • – Build awareness and understanding of doubling EP Goal – Secure endorsements of the goal and action commitments – Create a credible and analytical “Roadmap” for achieving the goal Tactics: • – Executive dialogues around the country to – Publish a “Roadmap” of implementation strategies for achieving the goal – Create an interactive website to create “community” of action and showcase “success stories” – Organize a National Summit to unveil Roadmap & unite participants
Endorsers – 129 129 to da date! e!
Success S Stor ories • “Success Stories”– case studies describing programs or initiatives and specific gains made in energy productivity. • 11 success stories collected, with several more in the pipeline • Alliance is still building out more success stories. Contact dcaughran@ase.org, or go to www.Energy2030.org and click on the “Success Stories” tab to learn more.
Accelerate Energy Productivity 2030 Conclusions • By 2030, model results show that GDP (2005$) increases to $22.5 trillion and primary energy use falls to 78 quads. This results in 3.6% higher GDP and 24% lower primary energy use than AEO 2015 projections. • Implementing a range of available behavioral, investment, and technology deployment activities will: – Improve U.S. economic output, – Reduce energy consumption, and – Lower environmental impacts This is achievable using existing practices To download complete Roadmap, view endorsements, read success stories, and learn more visit: www.energy2030.org
Accelerate Energy Productivity 2030 Strategies: Productivity “Wedges”
Accelerate Energy Productivity 2030 Achieving the Goal
Executive Branch Actions - Highlights Buildings – Better Buildings Challenge • More than 190 organizations, representing over 3 billion square feet, have committed to reducing energy consumption – Since 2009 improved building energy codes have saved U.S. homes and businesses $44 billion on energy bills – $4 billion commitment to fund upgrades to Federal buildings thru ESPCs – Appliance & Equipment standards that will save Americans $450 billion on utility bills through 2030 Transportation – CAFE Standards to 54.5 mpg will save $1.7 Trillion by 2025
S. S. 535 535 – En Ener ergy Ef gy Efficiency I y Improvement t Act ct o of 20 2014 • The bill improves energy efficiency in 4 areas: 1. Creates “Tenant Star” to encourage efficiency in rental properties 2. Establishes standards for grid- enabled water heaters 3. Encourages energy efficient technology deployment by federal government 4. Encourages benchmarking and energy use disclosure in Signed into law by President Obama – first commercial buildings. bi-partisan energy bill in his presidency!
House Comprehensive Energy Bill • Provisions in H.R. 8 with Alliance support – Energy efficient information technologies – Energy efficient data centers – Future of Industry Program – Energy performance requirement for Federal buildings – WaterSense and Smart Energy and Water Efficiency Pilot Program • Provisions opposed by the Alliance – Blackburn-Schrader building codes language “gutting” DOE role in codes process & requiring updates to meet a 10-year simple payback cost criteria
Senate Comprehensive Energy Bill • Provisions in S. 2012 with Alliance support – Greater energy efficiency in building codes – Energy efficiency for schools – Utility energy service contracts – Performance contracting in Federal buildings – Energy efficient information technologies – “Hoeven-Manchin” – WAP/SEP authorizations – Smart Building Acceleration • Provisions opposed by the Alliance – Non-consensus furnace standard language
Kateri’s ’s Cryst stal B l Ball: ll: EE R Rem emains A Amer erica’s G Grea eates est E Ener ergy R Res esource – Technology innovation will keep energy efficiency opportunities growing – Businesses will remain “bullish” on energy efficiency – Consumers will become more energy efficiency “savvy” – Governments will deliver energy efficiency policy for economic development opportunities – Focus on the environment will intensify/drive action
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