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Energy-Efficient Buildings of Tomorrow: Built on a Policy Cornerstone Today 

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According to the Energy Information Administration, the carbon dioxide emissions of the U.S. building sector are almost equal to the total CO2 emissions of India and Japan combined.

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Energy-Efficient Buildings of Tomorrow: Built on a Policy Cornerstone Today 

  1. 1. Energy-Efficient Buildings of Tomorrow: Built on a Policy Cornerstone Today   Panel Discussion Hosted by the North American Insulation Manufacturers Association (NAIMA) Greenbuild, Boston, Mass. November 20, 2008
  2. 2. Overview <ul><li>A Few Words About the Alliance </li></ul><ul><li>Energy Efficiency: The Story So Far </li></ul><ul><li>Buildings: Big Appetite for Energy </li></ul><ul><li>Realizing the Potential: A Call to Action </li></ul><ul><li>Policy Forecast: Cloudy, With a Chance of Energy Efficiency </li></ul>
  3. 3. What is the Alliance to Save Energy? <ul><li>Mission: </li></ul><ul><li>To promote energy efficiency worldwide to achieve a healthier economy, a cleaner environment, and greater energy security. </li></ul><ul><li>The Alliance is… </li></ul><ul><li>Thirty years in the making </li></ul><ul><li>Fuel neutral </li></ul><ul><li>Staffed by 50+ professionals </li></ul><ul><li>Active in policy, research, education, communications, technology deployment and market transformation </li></ul>Business Leaders Academia Environmental Groups Policy Leaders The Alliance to Save Energy
  4. 4. What is the Alliance to Save Energy? <ul><li>A unique NGO formed and still led by Members of Congress </li></ul><ul><li>Guided by a 37-Member, Elected Board of Directors </li></ul><ul><ul><li>Led by Senator Mark Pryor (D-AR) and Jim Rogers, CEO of Duke Energy </li></ul></ul><ul><ul><li>Includes 9 Members of Congress – Bi-Cameral; Bi-Partisan </li></ul></ul><ul><ul><li>Also includes environmental, consumer, and trade associations heads, state and local policy makers, corporate executives </li></ul></ul>
  5. 5. Energy Efficiency: Powering the U.S. Economy for 30 Years
  6. 6. Why Do More? U.S. Growth in Energy Use Poses a National Security Threat
  7. 7. Why Do More? Answering the Climate Challenge
  8. 8. Why Do More? Energy Use is a Pocketbook Issue
  9. 9. Why Focus on the Built Enviornment?
  10. 10. Codes: Helping to Cut Global Energy Demand Growth Better Buildings are part of the solution to cutting global energy demand growth from 2.2% to 0.7% Source: McKinsey Global Institute
  11. 11. So Far, Work is Being Done… <ul><li>Directly </li></ul><ul><ul><li>At the Federal Level (Legislation + Federal Energy Management leadership) </li></ul></ul><ul><ul><li>At the National Level (National Model Codes) </li></ul></ul><ul><ul><li>At the State/Local Level (regional & state initiatives; code adoption; local adoption & enforcement policy, with enforcement in some states; education) </li></ul></ul><ul><li>Indirectly </li></ul><ul><ul><li>Federal Programs aimed at emissions reductions </li></ul></ul>
  12. 12. Federal Level Work: EISA 2007… <ul><li>In: </li></ul><ul><ul><li>Vehicle CAFE standards </li></ul></ul><ul><ul><li>Appliance standards </li></ul></ul><ul><ul><li>Federal energy management </li></ul></ul><ul><ul><li>Certain building standards </li></ul></ul><ul><ul><li>R&D program authorizations </li></ul></ul><ul><li>Out: </li></ul><ul><ul><li>Renewable/Efficiency electricity standard </li></ul></ul><ul><ul><li>Building energy code targets </li></ul></ul><ul><ul><li>Tax incentives </li></ul></ul>
  13. 13. At the Federal Level…EPACT 2005 <ul><li>Authorizes Commercial Buildings Initiative (CBI) </li></ul><ul><li>Goals: </li></ul><ul><ul><li>2030: New construction Net-Zero </li></ul></ul><ul><ul><li>2050: Entire stock Net-Zero </li></ul></ul><ul><li>Broad government/industry consortium </li></ul><ul><li>Comprehensive approach (R&D deployment) </li></ul><ul><li>Coordinate (initiate) national and local actions </li></ul><ul><ul><li>Measure, benchmark, disclose energy performance </li></ul></ul><ul><ul><li>R&D for critical technologies and systems </li></ul></ul><ul><ul><li>Demonstrate scalable, replicable system solutions </li></ul></ul><ul><ul><li>Transform market: education/training, finance, appraisal, incentives, codes, buyer demand-pull </li></ul></ul>
  14. 14. At the Federal Level….Leadership by Example <ul><li>Energy savings goals + report cards </li></ul><ul><li>Public buildings </li></ul><ul><li>Public procurement </li></ul>Federal building energy/sq.ft. down 30% in 20 years
  15. 15. At the Federal Level Extension of Tax Incentives! <ul><li>New Homes </li></ul><ul><ul><li>Builder tax credit - up to $2,000 if 50% more efficient compared to 2004 IECCC code; $1,000 for an Energy Star manufactured home. (Through 2009) </li></ul></ul><ul><li>Existing Homes </li></ul><ul><ul><li>Homeowner tax credit – 10% of cost of installing building envelope components consistent with IECC 2000; capped at $500; $200 can apply to windows. (Through 2009) </li></ul></ul><ul><li>Commercial Buildings </li></ul><ul><ul><li>Deduction up to $1.80/sq.ft. for buildings designed to use 50% less energy than ASHRAE-90.1 (Through 2013) </li></ul></ul><ul><li>Public Buildings : Assignable deduction! </li></ul>
  16. 16. <ul><li>Federal Legislation Pending </li></ul><ul><ul><li>Would Drive 30% Improvement in Residential and Commercial EE Codes by 2010; 50% by 2020 </li></ul></ul><ul><li>2009 Model Energy Code (IECC) Improves New Home Efficiency by approximately 13% over 2006 IECC </li></ul><ul><ul><li>EECC Sought 30% Improvement </li></ul></ul><ul><li>ASHRAE Goal (Commercial) is a 30% Improvement in Efficiency in the 2010 Code Cycle </li></ul><ul><li>Regulations Boost EE for New Federal Facilities by 30% </li></ul><ul><li>EECC Building on Broad Support Base: the Alliance to Save Energy and U.S. DOE, Utilities, Businesses, NGOs </li></ul>At the National Level…..Improving Model Codes
  17. 17. <ul><li>Expand State and Local Official Engagement (their employees vote on I-Codes!) </li></ul><ul><li>Enact the Federal Legislation to Set IECC Targets </li></ul><ul><li>Hold Onto Gains; Adopt Remainder of “The 30% Solution” at October 2009/May 2010 Supplement Hearings </li></ul><ul><li>Fight Alternatives to National Model Energy Code – the IECC </li></ul><ul><li>Recruit Green Homebuilders to Advocate Mandatory Energy Efficiency Codes </li></ul><ul><li>Expand Debate to Spotlight Critical Importance of I-Codes to Media, Industry Leaders, Policy Makers, Other Key Audiences </li></ul>At the National Level: Realizing the Potential
  18. 18. At the State Level……Great Potential! <ul><li>2 new building energy codes available for States (the 2009 IECC and ASHRAE 90.1-2007) offer: </li></ul><ul><li>Nationwide: 13% boost in new home energy efficiency beyond current model code </li></ul><ul><li>Average annual energy cost savings to new homeowner of $246 </li></ul><ul><li>6-8% average energy savings for new commercial construction beyond the current model code </li></ul>
  19. 19. At the State Level….A Slog???
  20. 20. At the State Level….A Slog???
  21. 21. “ Score Card” on Development of Better Building Codes <ul><li>EPAct 1992 - sets national model energy codes </li></ul><ul><li>ASHRAE – progressive goals for Standard 90.1 </li></ul><ul><li>2009 IECC – historic improvement in efficiency (13%) </li></ul><ul><li>No long term national milestones for model codes </li></ul><ul><li>Insufficient funding for local governments/ building departments </li></ul><ul><li>No residential goals set by ICC </li></ul>
  22. 22. Policy: The 2009 Outlook <ul><li>Good chance for a major energy bill ahead of climate legislation </li></ul><ul><li>Push to enact provisions left over from EISA, e.g. building energy codes, and for $$ for authorized but unfunded provisions from EPACT ‘05 and EISA ’07 </li></ul>
  23. 23. <ul><li>Energy issues likely to be “front-and-center” </li></ul><ul><ul><li>Deepening economic woes </li></ul></ul><ul><ul><li>Continuing increases in home and business energy costs </li></ul></ul><ul><ul><li>Growing concern about national security </li></ul></ul><ul><ul><li>Urgent need to tackle climate change </li></ul></ul><ul><ul><li>Increasing support for “Green Jobs” and for using clean energy and efficiency as an “economic engine” to create new jobs and a trained workforce </li></ul></ul><ul><li>Possibility of Another Energy (Economic) Bill BEFORE Climate Legislation </li></ul>Forecast for New Congress & Administration
  24. 24. Forecast for Climate Legislation in New Congress/Administration <ul><li>The Senate Debate on Climate Legislation (Lieberman-Warner) this past June </li></ul><ul><ul><li>Fails cloture 48-36; proponents claim 54 supporters; opponents claim less than 48 supporters </li></ul></ul><ul><ul><li>Calls for a carbon cap-and-trade program </li></ul></ul><ul><ul><li>Viewed as a “dress rehearsal” for 111 th Congress </li></ul></ul><ul><li>House Continues Work </li></ul><ul><ul><li>Energy & Commerce Committee Issues Discussion Draft </li></ul></ul><ul><ul><li>Markey Introduces “iCAP” legislation </li></ul></ul><ul><li>New President Supports Climate Legislation </li></ul>
  25. 25. Energy Efficiency in Climate Legislation
  26. 26. Alliance Agenda: Writing Energy Efficiency into Law <ul><li>Possible Building-related Polices to Pursue: </li></ul><ul><ul><li>Advanced building energy codes and state green building grants; </li></ul></ul><ul><ul><li>Appliance standards and labeling </li></ul></ul><ul><ul><li>Building energy use labeling requirement </li></ul></ul><ul><ul><li>Energy performance disclosure at time of sale </li></ul></ul><ul><ul><li>Whole home retrofit incentive/assistance program </li></ul></ul><ul><ul><li>Mortgage rates/accessibility tied to energy performance </li></ul></ul>
  27. 27. The Challenges Can Be Met: Others are Doing More with Less!
  28. 28. Thank you! <ul><li>For More Information…. </li></ul><ul><li>Kateri Callahan </li></ul><ul><li>President </li></ul><ul><li>Alliance to Save Energy </li></ul><ul><li>1850 M Street, NW </li></ul><ul><li>Washington, D.C. 20036 </li></ul><ul><li>[email_address] </li></ul><ul><li>www.ase.org </li></ul><ul><li>202.857.0666 </li></ul>

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