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Energy Efficiency and Economic
 Recovery: Stimulus Funding
        Opportunities
          Kateri Callahan, President
         ASERTTI 2009 Conference
Clean Energy & Energy Efficiency Technology:
         Policy and Market Outlook
            February 2 – 4, 2009
Presentation Outline

 What is the Alliance to Save Energy?
 New Administration, New Energy Policy
 2009 Outlook for Economic Recovery
 On the Horizon: Energy & Climate?
 The Road Ahead – Leadership from the
  Nation’s Capitol
What is the
Alliance to Save Energy?
Mission:
   To promote energy efficiency                       Policy
    worldwide to achieve a healthier                  Leaders

    economy, a cleaner
    environment, and greater energy
    security.
The Alliance is…                                                     Environ-
                                        Business   The Alliance to
   Staffed by 50+ professionals        Leaders     Save Energy
                                                                      mental
                                                                     Groups
   31 years of experience in policy,
    research, education,
    communications, technology
    deployment and market
    transformation
                                                     Academia
Alliance Directors: Bi-Partisan
Elected Officials and Industry Leaders
     Guided by a 37-Member, elected Board of Directors
     Leaders of environmental, consumer, and trade
      associations; state and local policy makers; corporate
      executives




Senator Mark     Jim Rogers, CEO   Bi-partisan, bi-cameral Honorary Vice Chairs
Pryor (D-Ark.)   Duke Energy
Forging Alliances: Business,
Government & Public Interests
   Sponsorship and participation of more than 150 organizations
   Involvement by businesses in all economic sectors
   Headquartered in Washington, D.C. with operations in several US
    states, Eastern Europe, South Africa, Mexico, and India
Brief Post-Mortem on 2008
   Energy Independence & Security Act (EISA), P. L.
    110-140; most sweeping energy bill enacted in
    over 30 years

   Energy efficiency tax incentives were extended as
    part of the Troubled Assets Relief Program
    (quot;TARPquot;) P.L. 110-343 -- October, 2008

   Energy legislation adopted by House; Senate
    “Gang of Twenty” energy package developed
President Obama:
  Energy Efficiency Advocate
– Reduce electricity use 15% by 2020
– Net-zero energy buildings by 2030
– Overhaul federal appliance
  standards
– By 2014, reduce energy use in new
  federal buildings 45%; 25% in
  existing federal buildings
– Flip incentives for utilities
– Invest in a “smart grid”
– Weatherize 1 million homes/year
– Investment incentives for “livable
  cities”
The Energy „A-Team‟:
Obama‟s Cabinet Ministers
        Carol Browner, Assist. to President for Energy and
        Climate Change (“Energy Coordinator”, “Energy Czar”)

        EPA Administrator from 1993 to 2001


        Lisa P. Jackson, Administrator, EPA
        Chief of Staff to the Governor and Commissioner of the New
        Jersey Department of Environmental Protection (NJDEP).


        Steven Chu, Secretary of Energy
        Director of the Lawrence Berkeley National Laboratory
        Recipient of 1997 Nobel Prize in Physics

        Nancy Sutley, Leads White House Council on
        Environment Quality
        Deputy Mayor for Energy and Environment for the city of Los
        Angeles, California
The Energy „A-Team‟,
contined

       Senator Hillary Clinton (NY),
       U.S. Secretary of State


       General Jim Jones, National Security Advisor
       Executive Director, Institute for 21st Century Energy, an
       affiliate of U.S. Chamber of Commerce
       4-star general in U.S. Marine Corps.

       John Holdren, Assistant to the President for Science
       &Technology
       Dir. of the Science, Technology, & Public Policy Program at
       Harvard’s Belfer Center for Science and International
       Affairs
“Making Good” on Promises:
Early Action (Jan 08)
   Directs TD to establish higher fuel economy
    standards for vehicles by model year 2011
   Directs EPA to reconsider the bid by California and
    13 other states to set tailpipe carbon dioxide
    emission standards requiring greater fuel economy.
   Confirms intent to
    -   weatherize 2 million homes over the next two years;
    -   make significant energy efficiency upgrades to 75 percent
        of federal buildings (savings of $2 billion in avoided energy
        costs);
    -   double the country’s renewable energy resource base; and
    -   create nearly 500,000 new “green jobs.”
“Making Good” on Promises
 Building of a Green Economy
   Commitment to large green
    energy component in the
    economic recovery bill
   Likely to combine support for RE
    and EE programs with tax credits
    & other incentives, plus
    substantial funding for green jobs
   Opportunity to train displaced
    workers for building codes
    enforcement; home
    energy raters; and related skills
   Strong commitment to climate
    legislation early in 2009
Stimulus Package:
A Look at the Numbers
Program            HOUSE             SENATE          OUR ASK
Alt. Transport
Grants             400 million       350 million
State Energy
Program            3.4 billion       500 million     3.4 billion
EE/ Conservation   3.5 billion       4.2 billion     4.2 billion
Block Grants
EE RD&D
                   2 billion         2.6 billion     65 M for IACs
Transportation
Electrification
Grants
                   200 million       200 million
EE Home Retrofit   30% up to $1500
Tax Incentives     for 2009 & 2010   Same as House
Stimulus Package:
A Look at the Numbers
Program             HOUSE         SENATE         OUR ASK
Green Jobs
                    500 million   3.4 billion
Federal Buildings                                Leverage private
                    7.2 billion   11.5 billion   sector financing
                                                 comply with EISA
ENERGY STAR         Absent        Absent         100 million
EE building codes   Absent        Absent         100 million
Waste Energy
Recovery Grant      500 million   No             500 mill

ENERGY STAR
                    300 million   No             300 mill
Rebate
Economic Recovery Bill: So far so
good…?????
   House passes its version of the Economic Recovery
    and Reinvestment Act 244 – 188
    - (12 Dems vote nay, NO Republicans vote yea);
 New amendments (additional $3 billion in mass
  transit funding – total bill to $819 billion);
Coming up…
 Senate leaders meet today
 Senate vote this week – anticipate disposition by
  Friday
 Deadline: bill on President’s desk by Feb 13
2009 Outlook for the
Omnibus Appropriations Bill
   CR expires on March 6th
   Omnibus is expected to be taken up immediately
    after the stimulus is enacted in mid-February
   Staffs have already negotiated Omnibus
    Appropriations bill for the balance of FY 2009
   Expectation is for significant increases in energy
    programs that will not be addressed in the
    economic recovery bill
   Reflecting concern over large deficits and
    expenditures in the economic recovery bill, FY 2010
    appropriations may look a lot like the FY 2009 bill
On the Horizon…


        …More Energy
        Efficiency?
Early action on energy bill
   Best forecast -- Senate will take up an energy bill
    in the April/May time frame;
   Desire to add new authorizations that could be
    funded from auction proceeds from a climate bill
    considered in the fall;
   Senator Bingaman is ready to introduce a
    comprehensive energy bill and the quot;Gang of
    Twentyquot; is also expected to introduce a bill
    sometime in January
   Interest in RPS/EERS (Markey may introduce bills
    this week)
Alliance Recommendations:
 - Advanced building energy codes: Set targets for national
     model building energy codes of 30% improvement in
     2010 and 50% improvement in 2020
 -   Energy Efficiency Resource Standard: Require utilities to
     save energy equal to 10% of electricity sales and 7% of
     natural gas sales in 2020 through end-use, on-site or
     distributional efficiency programs
 -   Vehicle feebate: Provide car manufacturers a graduated
     tax incentive (rebate) for fuel-efficient vehicles, paid for
     by a graduated tax (fee) on gas guzzlers
 -   Promote complete streets: Direct states and localities to
     accommodate all users, including bicyclists, pedestrians,
     and transit users, when developing street projects.
What about a Climate Bill?
   Alliance, together with other organizations, is
    working to develop recommendations for the
    next climate bill
   We are looking at evaluation, measurement and
    verification; third-party programs; how much
    should be spent on R&D
   Objective is to develop a unified “ask” from the
    efficiency community by the end of this year,
    then start briefing Congressional staff
   Despite economic woes, expectation on the Hill
    is for consideration of a climate bill as early as
    the summer or fall of 2009.
The Future is Ours to Invent!
   A Future of Promise:
    - U.S. Becomes the Most Energy Efficient Economy
      in the World

    - The U.S. Economy is Re-built on Development
      and Deployment of Clean Energy and
      Technologies

    - Energy Efficiency is the “First Tool” in the Arsenal
      for Fighting Climate Change
Thank you!

        For More Information….

           Kateri Callahan
             President
      Alliance to Save Energy
         1850 M Street, NW
      Washington, D.C. 20036
        kcallahan@ase.org
            www.ase.org
            202.857.0666

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Energy Efficiency and Economic Recovery: Stimulus Funding Opportunities

  • 1. Energy Efficiency and Economic Recovery: Stimulus Funding Opportunities Kateri Callahan, President ASERTTI 2009 Conference Clean Energy & Energy Efficiency Technology: Policy and Market Outlook February 2 – 4, 2009
  • 2. Presentation Outline  What is the Alliance to Save Energy?  New Administration, New Energy Policy  2009 Outlook for Economic Recovery  On the Horizon: Energy & Climate?  The Road Ahead – Leadership from the Nation’s Capitol
  • 3. What is the Alliance to Save Energy? Mission:  To promote energy efficiency Policy worldwide to achieve a healthier Leaders economy, a cleaner environment, and greater energy security. The Alliance is… Environ- Business The Alliance to  Staffed by 50+ professionals Leaders Save Energy mental Groups  31 years of experience in policy, research, education, communications, technology deployment and market transformation Academia
  • 4. Alliance Directors: Bi-Partisan Elected Officials and Industry Leaders  Guided by a 37-Member, elected Board of Directors  Leaders of environmental, consumer, and trade associations; state and local policy makers; corporate executives Senator Mark Jim Rogers, CEO Bi-partisan, bi-cameral Honorary Vice Chairs Pryor (D-Ark.) Duke Energy
  • 5. Forging Alliances: Business, Government & Public Interests  Sponsorship and participation of more than 150 organizations  Involvement by businesses in all economic sectors  Headquartered in Washington, D.C. with operations in several US states, Eastern Europe, South Africa, Mexico, and India
  • 6. Brief Post-Mortem on 2008  Energy Independence & Security Act (EISA), P. L. 110-140; most sweeping energy bill enacted in over 30 years  Energy efficiency tax incentives were extended as part of the Troubled Assets Relief Program (quot;TARPquot;) P.L. 110-343 -- October, 2008  Energy legislation adopted by House; Senate “Gang of Twenty” energy package developed
  • 7. President Obama: Energy Efficiency Advocate – Reduce electricity use 15% by 2020 – Net-zero energy buildings by 2030 – Overhaul federal appliance standards – By 2014, reduce energy use in new federal buildings 45%; 25% in existing federal buildings – Flip incentives for utilities – Invest in a “smart grid” – Weatherize 1 million homes/year – Investment incentives for “livable cities”
  • 8. The Energy „A-Team‟: Obama‟s Cabinet Ministers Carol Browner, Assist. to President for Energy and Climate Change (“Energy Coordinator”, “Energy Czar”) EPA Administrator from 1993 to 2001 Lisa P. Jackson, Administrator, EPA Chief of Staff to the Governor and Commissioner of the New Jersey Department of Environmental Protection (NJDEP). Steven Chu, Secretary of Energy Director of the Lawrence Berkeley National Laboratory Recipient of 1997 Nobel Prize in Physics Nancy Sutley, Leads White House Council on Environment Quality Deputy Mayor for Energy and Environment for the city of Los Angeles, California
  • 9. The Energy „A-Team‟, contined Senator Hillary Clinton (NY), U.S. Secretary of State General Jim Jones, National Security Advisor Executive Director, Institute for 21st Century Energy, an affiliate of U.S. Chamber of Commerce 4-star general in U.S. Marine Corps. John Holdren, Assistant to the President for Science &Technology Dir. of the Science, Technology, & Public Policy Program at Harvard’s Belfer Center for Science and International Affairs
  • 10. “Making Good” on Promises: Early Action (Jan 08)  Directs TD to establish higher fuel economy standards for vehicles by model year 2011  Directs EPA to reconsider the bid by California and 13 other states to set tailpipe carbon dioxide emission standards requiring greater fuel economy.  Confirms intent to - weatherize 2 million homes over the next two years; - make significant energy efficiency upgrades to 75 percent of federal buildings (savings of $2 billion in avoided energy costs); - double the country’s renewable energy resource base; and - create nearly 500,000 new “green jobs.”
  • 11. “Making Good” on Promises Building of a Green Economy  Commitment to large green energy component in the economic recovery bill  Likely to combine support for RE and EE programs with tax credits & other incentives, plus substantial funding for green jobs  Opportunity to train displaced workers for building codes enforcement; home energy raters; and related skills  Strong commitment to climate legislation early in 2009
  • 12. Stimulus Package: A Look at the Numbers Program HOUSE SENATE OUR ASK Alt. Transport Grants 400 million 350 million State Energy Program 3.4 billion 500 million 3.4 billion EE/ Conservation 3.5 billion 4.2 billion 4.2 billion Block Grants EE RD&D 2 billion 2.6 billion 65 M for IACs Transportation Electrification Grants 200 million 200 million EE Home Retrofit 30% up to $1500 Tax Incentives for 2009 & 2010 Same as House
  • 13. Stimulus Package: A Look at the Numbers Program HOUSE SENATE OUR ASK Green Jobs 500 million 3.4 billion Federal Buildings Leverage private 7.2 billion 11.5 billion sector financing comply with EISA ENERGY STAR Absent Absent 100 million EE building codes Absent Absent 100 million Waste Energy Recovery Grant 500 million No 500 mill ENERGY STAR 300 million No 300 mill Rebate
  • 14. Economic Recovery Bill: So far so good…?????  House passes its version of the Economic Recovery and Reinvestment Act 244 – 188 - (12 Dems vote nay, NO Republicans vote yea);  New amendments (additional $3 billion in mass transit funding – total bill to $819 billion); Coming up…  Senate leaders meet today  Senate vote this week – anticipate disposition by Friday  Deadline: bill on President’s desk by Feb 13
  • 15. 2009 Outlook for the Omnibus Appropriations Bill  CR expires on March 6th  Omnibus is expected to be taken up immediately after the stimulus is enacted in mid-February  Staffs have already negotiated Omnibus Appropriations bill for the balance of FY 2009  Expectation is for significant increases in energy programs that will not be addressed in the economic recovery bill  Reflecting concern over large deficits and expenditures in the economic recovery bill, FY 2010 appropriations may look a lot like the FY 2009 bill
  • 16. On the Horizon… …More Energy Efficiency?
  • 17. Early action on energy bill  Best forecast -- Senate will take up an energy bill in the April/May time frame;  Desire to add new authorizations that could be funded from auction proceeds from a climate bill considered in the fall;  Senator Bingaman is ready to introduce a comprehensive energy bill and the quot;Gang of Twentyquot; is also expected to introduce a bill sometime in January  Interest in RPS/EERS (Markey may introduce bills this week)
  • 18. Alliance Recommendations: - Advanced building energy codes: Set targets for national model building energy codes of 30% improvement in 2010 and 50% improvement in 2020 - Energy Efficiency Resource Standard: Require utilities to save energy equal to 10% of electricity sales and 7% of natural gas sales in 2020 through end-use, on-site or distributional efficiency programs - Vehicle feebate: Provide car manufacturers a graduated tax incentive (rebate) for fuel-efficient vehicles, paid for by a graduated tax (fee) on gas guzzlers - Promote complete streets: Direct states and localities to accommodate all users, including bicyclists, pedestrians, and transit users, when developing street projects.
  • 19. What about a Climate Bill?  Alliance, together with other organizations, is working to develop recommendations for the next climate bill  We are looking at evaluation, measurement and verification; third-party programs; how much should be spent on R&D  Objective is to develop a unified “ask” from the efficiency community by the end of this year, then start briefing Congressional staff  Despite economic woes, expectation on the Hill is for consideration of a climate bill as early as the summer or fall of 2009.
  • 20. The Future is Ours to Invent!  A Future of Promise: - U.S. Becomes the Most Energy Efficient Economy in the World - The U.S. Economy is Re-built on Development and Deployment of Clean Energy and Technologies - Energy Efficiency is the “First Tool” in the Arsenal for Fighting Climate Change
  • 21. Thank you! For More Information…. Kateri Callahan President Alliance to Save Energy 1850 M Street, NW Washington, D.C. 20036 kcallahan@ase.org www.ase.org 202.857.0666