With the House and Senate passage of the economic recovery legislation, a significant milestone for energy efficiency has been reached. The unprecedented infusion of more than $20 billion into energy efficiency programs will create jobs and cut carbon emissions while helping to lift the faltering U.S. economy.
The Alliance to Save Energy estimates that the energy efficiency measures in the American Recovery and Reinvestment Act of 2009 (ARRA) could create more than 100,000 jobs over the next two years and, over the life of the measures, reduce U.S. carbon dioxide emissions by nearly 200 million metric tons.
Energy efficiency related funding in the ARRA includes:
State Energy Program (SEP): $3.1 billion is provided for state energy efficiency programs. “Conditioning” language is included, which will encourage states to move in the direction of utility regulatory reform and stronger building energy codes;
Weatherization (WAP): $5 billion is provided for weatherization of low income houses. This will help achieve the President’s goal of weatherizing one million homes a year;
Green Federal Buildings: $4.5 billion is provided for “Green Federal Buildings."
Energy Efficiency and Conservation Block Grants: $3.2 billion is provided to local governments for energy efficiency.
Funding of this program, which was authorized in EISA last year, will enable state and local governments to aggressively implement energy efficiency measures; and Energy Star Appliance Rebate Program: $300 million is provided in matching funds for state rebate programs for consumers who purchase ENERGY STAR appliances.
With final passage of this landmark bill, the greatest and most urgent challenge is to outperform expectations in the implementation of these programs.