The federal energy-efficiency provisions included in H.R.2454, the American Clean Energy and Security Act, could save consumers approximately $750 per household by 2020 and $3,900 per household by 2030, according to a preliminary analysis by the American Council for an Energy-Efficient Economy (ACEEE).
The energy-efficiency provisions in the bill would reduce the transitional costs of capping carbon pollution. Savings from reduced energy use would be reinvested locally, creating a multiplier effect that will generate economic activity and jobs, according to the analysis.
ACEEE estimates that approximately 250,000 jobs would be created by the energy-efficiency provisions in H.R.2454 by 2020, with a total of 650,000 jobs generated by 2030. Furthermore, the transitional cost of cap-and-trade legislation is reduced by investment in energy-efficiency, because fewer new energy facilities are needed and fewer upgrades are needed in existing facilities to help meet emissions ceilings – creating significant additional consumer savings.
‘This analysis directly addresses any questions lawmakers may have about the huge impact energy efficiency can have on making cap-and-trade more affordable for Americans,’ says Steven Nadel, executive director of ACEEE. ‘As members of Congress continue their consideration of energy and climate policy, they must realize that the energy-efficiency provisions in these bills will save Americans money on their energy bills and create much-needed jobs.’
The cap-and-trade policy created by the legislation has the potential to help people and businesses to become more efficient and to drive adoption of energy-efficient technologies. In addition, allowances from the sale of carbon credits in the cap-and-trade system will provide funding for a number of important energy-efficiency initiatives.
H.R.2454 was passed out of the full House Energy and Commerce Committee on May 21 but has yet to be considered on the House floor, and there are ongoing efforts to improve certain provisions.
ACEEE's top two priorities are to work with the renewable energy community to increase the combined renewable electricity and energy-efficiency standard, and to insert provisions that would allocate at least one-third of funding to electric distribution utilities to efficiency measures.
For more information, visit aceee.org.
SOURCE: American Council for an Energy-Efficient Economy