Energy Efficiency for Efficient U.S. Economic Recovery

As stated in this source article, U.S. Department of Energy (DOE) Secretary Steven Chu announced last week that more than $106 million in stimulus funding is being awarded to nine states for energy efficiency and conservation activities. Under the DOE’s Energy Efficiency and Conservation Block Grant (EECBG) program, these states will implement programs that lower energy consumption, reduce carbon emissions, and create green jobs at the local level. The advantage of energy efficiency measures is that they are stimulative in generating efficient U.S. economic recovery, as desired, since many pre-existing technologies and products may be administered to generate cost-savings, while leading to immediate job creation in the process, as opposed to research and development funding, which is also necessary, yet more critical for achieving long-term economic growth after a recovery. 

 

The recent awards to the State Energy Offices will be directed towards state-level energy efficient green building priorities, in addition to funding local conservation projects in smaller cities, counties and Tribal communities. In specific, at least 60 percent of each state’s award will be offered to these locales, whom are not eligible for direct EECBG awards from the DOE due to oversight and communication link complexities. Citizens have the chance to encourage their local officials to capitalize on the opportunity so that the money is actually utilized, and thereafter, that their tax dollars are well-spent, since it is public information posted on the official Recovery Act website. 

 

In summary, the various states were awarded funding to support: the development of an energy efficiency and conservation strategy, energy efficiency audits and retrofits, transportation programs, the creation of financial incentive programs for energy efficiency improvements, the development and implementation of advanced green building codes and inspections, and installation of renewable energy systems on government buildings.

 

However, the funding is received in stages in accordance with concrete evidence of successful project implementation as well as compliance with environmental regulations. Throughout the program’s implementation, the DOE will provide strong oversight at the local, state, and tribal level, while emphasizing the urgency to award funds in a timely fashion in order to create new green jobs and stimulate local economies and overall U.S. economic recovery. Communities will be required to report regularly to DOE program managers on their progress regarding completing projects and program goals over the expected three to five year lifetime of funding. 

 

The list of states receiving portions of the $106 million in funding include: Delaware, Hawaii, Iowa, Indiana, Massachusetts, Oklahoma, Tennessee, Vermont and Virginia. An updated list of awards announced thus far is available at the Energy Efficiency and Conservation Block Grants Program main site. The recent awardee states including Iowa and Massachusetts were approved for implementing energy-efficient solid state lighting (SSL) using high-brightness light-emitting diodes (LEDs) to replace incandescent bulbs for street lighting. However, Arizona received stimulus funding to install energy-efficient lighting in government buildings, but it is not clear if SSL will be used. Moreover, this state lacks any significant manufacturing capacity in regards to LED technology.

 

Many other companies such as Samsung, and countries such as Taiwan are investing heavily in this technology in order to stimulate their product portfolio and economy. In regards to SSL, since there is need for both technical advancement in the field, analogous to solar cells, and for the establishment of a complete supply chain in a country due to the industry-wide supply shortage for many types of LEDs, it is a more profound source of long-run economic growth than more mature, off-the-shelf energy-efficient lighting products. 

 

In January 2007, well before the Recovery Act, the U.S. Congress committed to the "Green the Capitol" program to become a greener, more energy-efficient institution. By switching to Energy Star energy-efficient vending machines alone, the House expects to save $25,000 a year. As part of this program, more than 4,000 compact fluorescent light bulbs were installed in Senate office buildings to reduce electricity consumption by more than 1.1 million kilowatt-hours. A renewable, solar energy source for lighting in a Senate surface parking lot is forecasted to save 1,825 kilowatt-hours per year. Dan Beard, the chief administrator of the program, stated recently that he estimates the House has reduced its carbon footprint by 74 percent in less than two years. This overall measure is a stellar example for the country to follow; yet is long overdue compared to many other industrialized countries. It will also strengthen the government’s role in implementing the green stimulus and other potential clean energy legislation to rebuild the U.S. economy.

 

A follow-up article will be published later this week on specific innovative energy saving green building applications involving the coupling of solar cells and high-brightness LEDs for solid state lighting. In order to anonymously receive FREE email alerts on future green technology and business articles, please subscribe on my homepage and/or follow me on Twitter.