Energy Exchange

Energy Efficiency: Two Words Spell Profit

By EDF Blogs / Published: June 20, 2011

By: LaKausha T. Simpson, 2011 Climate Corps Public Sector Fellow at North Carolina Agricultural & Technical State University; M.S. PhD Candidate, Industrial & Systems Engineering at North Carolina A&T State University

I was gung ho about my first week of energy audits at North Carolina Agricultural and Technical State University (NC A&T). I am assigned to audit its auxiliary department, which includes the dining hall, residence halls, athletic facilities, and campus bookstore.

NC A&T is ahead of the energy savings game and has begun T8 and T5 light installations, utility billing, and contract audits, and is starting major building upgrades this summer. All of these initiatives are great for energy conservation, but what is there left to do? What about my job? Read More »

Posted in EDF Climate Corps, General / Tagged North Carolina Agricultural and Technical State University - 2011 | Comments are closed

Summer 2011 Climate Corps Public Sector Fellow Blog Series

By EDF Blogs / Published: June 20, 2011

Climate Corps Public Sector (CCPS), an innovative summer fellowship program developed by Environmental Defense Fund, specially trains graduate students to sleuth out energy efficiency savings in local governments, higher education and other organizations. This summer CCPS expanded into a national effort to curb greenhouse gas pollution in five states, placing fellows in several institutions in North Carolina, New Jersey towns, the New York Public Housing Authority and at minority serving institutions in Texas, Washington, D.C. and Georgia.

Throughout the summer, EDF’s CCPS fellows will be blogging about their experiences and sharing lessons learned and key takeaways on the Energy Exchange. Stay tuned and check out www.edfclimatecorps.org/public; twitter.com/EDF__CCPS; and facebook.com/EDFClimateCorps for more information.

New Report: Commercial Building Energy Efficiency = Jobs

By EDF Blogs / Published: June 13, 2011

Source: Architecture 2030

Blog Post By: Jackie Roberts, EDF’s Director of Sustainable Technologies, National Climate Campaign

The President’s Better Buildings Initiative proposes to make American businesses more energy efficient through a series of new initiatives including newly designed tax incentives for building efficiency, better financing opportunities for commercial retrofits, a “Race to Green” for state and municipal governments that streamline regulations and attract private investment for retrofit projects, a “Better Buildings Challenge” to CEOs and University Presidents, and, finally, new training for commercial building technology workers. An analysis released today, conducted by the Political Economy Research Institute (PERI) of the University of Massachusetts at Amherst, showed that more than 114,000 new jobs, many of which would come from the hard-hit construction industry, would be created through the Better Buildings Initiative.

Insights into which firms will benefit, and where those jobs may be located, can be found in Duke University’s value chain analyses of three energy efficiency strategies for buildings: high efficiency windows and glass, smart grid, and LED lighting. If HOME STAR legislation is also passed, the firms involved in residential re-insulation and electric heat pump hot water heaters will also benefit.

Job creation is no mystery for the business world: it begins and ends with new customers. Every policy initiative that pushes more customers to U.S. firms identified in these value chain studies is critical. Hopefully, the Better Building Initiative is followed by a commitment to broader policy that puts us on a path to a low carbon economy. Broad policy creates customers for the many firms involved in the value chains for hundreds of climate solutions – whether renewables, energy efficiency, transportation, agricultural, industrial or other innovations. And, at the end of the day, customers = jobs.

Posted in Energy Efficiency, Jobs, Washington, DC / Read 1 Response

The Bottom Line: Information Is Powerful & Can Be Used For Good

By EDF Blogs / Published: May 23, 2011

By: Matt Davis, EDF Research Fellow and Author of EDF Behavior and Energy Savings Study

I’m excited to announce the results of a new EDF study that analyzes the potential to reduce energy use and our environmental impact using one of the cheapest inputs in the world: information. At EDF, we’ve always believed that the right set of consumer-facing energy efficiency tools and technology could allow families to take charge of their energy usage, cut down on their monthly bills, and shrink their carbon footprint – and now we have proof.

Source: Opower

We collaborated with an innovative start-up called Opower to look at the potential for simple graphs and data to drive energy savings. We analyzed 22 million electricity bills, spread across 11 utilities, to see how households react to energy-savings tips and – most importantly, and originally – a graphic that shows them how their usage stacks up against their neighbors’.

Our findings, in a nutshell: information pays. The 771,000 households who received Home Energy Reports (Reports) reduced their electricity usage by 1.8% on average. While we can only speculate about what would happen in other settings, that number jumped out at us, and for good reason. If every home in America reduced their electricity usage by that much, we would all see the following benefits:

$3 billion in savings on energy bills;
26,000 gigawatt-hours of reduced electricity-demand – enough to power the homes of 5.6 million Americans; and
8.9 million metric tons of reduced carbon emissions, which is equivalent to the annual emissions from three 500 MW coal-fired power plants.

We also looked at how different types of households respond to the Reports and found some interesting results. For instance, in most of the utilities we looked at, the “energy hogs” are the most likely to roll back their energy usage. If you were to use that fact to target reports at “high-potential” households, you could boost the average reduction to 6.8% – more than three times the sample-wide average.

Energy efficiency is widely considered one of the greatest untapped energy resources. This study confirms that simple behavioral changes generate consistent savings across a wide range of utilities and demographics. The message is clear: customers empowered with information on energy usage are more likely to save energy and money, all while reducing their carbon footprint.

We hope that simple, innovative tools like this one will spread far and wide.

Posted in Energy Efficiency / Read 3 Responses

Put My Tax Dollars Into A Growth Market, Please

By EDF Blogs / Published: May 23, 2011

Guest Blog Post By: Jackie Roberts, EDF’s Director of Sustainable Technologies, National Climate Campaign

Two efforts to repeal tax breaks for oil and gas companies – Senate Bill S.940 and the Administration’s budget proposals to eliminate subsidies in FY 2010, FY 2011, and FY 2012 budgets – should receive bipartisan support for no other reason than re-directing those subsidies can be an engine of job creation. University of Massachusetts at Amherst economic researchers developed employment estimates for various energy sources, including energy efficiency strategies. Their data show that investments in energy efficiency creates 2.5 to four times more jobs than that for oil and gas development and renewables create 2.5 to three times more jobs than that for oil and gas development.

These jobs are dispersed throughout the U.S. as shown with our LessCarbonMoreJobs mapping, and bring particular benefits to the hard hit Midwest manufacturing regions.

Large government subsidies might, just might, be justified if “Big Oil” was using profits to invest record amounts in transitioning to clean energy. But, that is far from the case. A Center for American Progress analysis of Big Oil investments reveals that the big five oil companies invested just four percent of their total 2008 profits in renewable and alternative energy ventures. There are no signs that this level of investment has increased at all in the past several years.

Clean energy will be a major new market – by some estimates the market for renewables alone will range from $1.7 trillion per year to $2.3 trillion by 2020, depending on different government policy scenarios. Having already slipped from first to third in terms of investments in this sector, the U.S. needs to play catch up. Government dollars should be used to help the U.S. transition to clean energy and to do so in a way that we have significant market share in as many clean energy solutions as possible. First mover advantages are critical with new markets and worth every penny we can devote to creating strong clean energy innovation and manufacturing here in the U.S. Such investments will also translate into cheap, homegrown energy sources in the medium- to long-term – the supposed purpose of the oil and gas subsidies. Put my tax dollars into a growth market, please.

Posted in Energy Efficiency, Renewable Energy, Washington, DC / Comments are closed

Smart Grid: Big Market, Big Return

By EDF Blogs / Published: May 11, 2011

Guest Blog Post By: Jackie Roberts, EDF’s Director of Sustainable Technologies, National Climate Campaign

The exciting innovations in the area of an energy internet – also known as the “smart grid” – illustrate just one of the ground-breaking ways that the U.S. can reduce our energy consumption and carbon emissions while also creating new business opportunities that help expand jobs.

Big Market, Big Return

Using data from a Pacific Northwest National Lab study that quantified several categories of smart grid benefits, Duke University estimates that a built-out smart grid could reduce an estimated 18% of emissions from the U.S. electric sector. Looking across the full spectrum of possible benefits, EDF sees even greater potential. By mobilizing system-wide efficiencies and large-scale deployment of renewable and distributed resources, a well-designed smart grid could reduce electric sector carbon emissions 30% by 2030.

This new market is predicted to be just as large as the aforementioned emission estimates. According to one market research firm, the global market value of products to enable the smart grid has grown from an estimated $26 billion in 2005 to more than $69 billion in 2009, a compounded annual growth rate of 22%. Total market value is expected to exceed $186 billion by 2015 (SBI Energy, 2010).

Who Will Benefit?

Duke University’s report, “U.S. Smart Grid: Finding New Ways to Cut Carbon and Create Jobs,” identifies 334 U.S. company locations in 39 states that are already developing or manufacturing products for a smart grid. All regions of the country will benefit.

For example, Chicago-based S&C Electric Company, founded in 1911, acquired new customers in the smart grid market. The company holds thousands of patents in switchgear, interrupters, and other transmission-voltage devices. In the past four years, its business has expanded approximately 50%, according to the company, with new products such as a truck-sized device that connects wind farms to the grid. Today, most of S&C’s products are made in the United States and Canada, with only a small portion made elsewhere. In all, the U.S. workforce totals about 1,700 employees, including more than 1,000 machinist, manufacturing, assembly and support positions, 200 engineers and technicians, a global sales force, and finance and accounting offices.

Global Expansion

Export markets are promising as well. According to Duke, “Italy’s 30 million installed smart meters all use Echelon (a U.S. company based in California) technology. Echelon has recently won large contracts in China, Russia, and Denmark.”

As former Google CEO Eric Schmidt noted, “Many companies can skirt downturns entirely by coming up with innovations that change the game in their industries – or create new ones.” That’s exactly what companies identified by Duke, from well-known IBM and other partners in our Pecan Street Project to companies such as Cooper Power Systems, are doing as they expand their offerings to meet the demands of the smart grid value chain.

Just last Friday, Eric Spiegel, President and CEO of Siemens Corporation, announced that their “orders and sales are increasing and [they] have added more than 1,000 new jobs to our U.S. workforce in just the last two quarters to keep up with the demand.” All three of the company’s sectors – Industry, Energy, and Healthcare – contributed to these results, but job growth was concentrated in the Industrial Automation, Building Efficiency, Smart Grid, and IT areas. Encouraging news all around.

Posted in Grid Modernization / Comments are closed