ACEEE thinks that a number of efficiency-related items could move forward this year:

1. A "Renewable Energy Portfolio Standard" and an "Energy-Efficiency Resource Standard." Both of these standards are gradually growing targets that utilities must meet, with one focusing on renewable energy and the other on energy savings from utility-operated or utility-sanctioned programs. Renewable Portfolio Standards passed the Senate in 2003 and 2005 and Efficiency Standards have been introduced by several Representatives and Senators. There may also be opportunities to enhance support by combining these two policies.

2. Extensions to energy efficiency tax incentives enacted in 2005. On its last day in 2006, the departing Congress passed one-year extensions of commercial building and new home tax incentives, but additional extensions of these provisions are likely. Most of the other energy efficiency tax provisions enacted in 2005 expire at the end of 2007 and prospects for extension are good. These provisions include incentives for efficient vehicles, appliances, and heating and cooling equipment, as well as incentives for energy-saving home retrofits.

3. Oil savings targets. There is broad agreement that the U.S. should improve the efficiency of cars, trucks, and other oil-consuming equipment, but disagreement on which policies are best. To address this logjam, a bipartisan group of Senators and Representatives has drafted legislation establishing steadily growing oil targets, and directing the present and future administrations to develop and implement plans for meeting these targets, with regular reporting to Congress and revisions to plans if actual savings are not on track to meet the targets. Other provisions to save oil will also be debated, including increases to Corporate Average Fuel Economy (CAFÉ) standards and feebates (a system of fees for gas guzzlers and rebates for fuel sippers).

4. Consensus appliance and equipment efficiency standards. ACEEE has negotiated several consensus agreements with equipment manufacturers on specific energy efficiency requirements for their products. Negotiations on additional products are underway. The Energy Policy Act of 2006 included 16 such standards, and several more will be ready for enactment in 2007. USDOE has ruled that the underlying legislation restricts its authority to revise existing standards, making legislation to address these concerns likely.

5. Expanded energy title in the 2007 Farm Bill. The Farm Bill, renewed on a five-year cycle, is up for consideration in 2007. The incoming leadership wants to emphasize energy and land conservation. Energy efficiency provisions could include increased funding for the Section 9006 energy efficiency and renewable energy grant and loan program, and mandated funding for the Section 9005 farm and ranch audit program that has never been funded.

6. New comprehensive program to encourage energy efficiency in manufacturing. Federal industrial energy programs need reauthorization and modernization so that they can best address future energy challenges and opportunities. ACEEE is working with a coalition of manufacturers to develop such legislation which will address issues such as collaborative, co-funded R&D targeting energy-intensive manufacturing industries; expansion of several successful programs; and creating a national, voluntary energy (and potentially carbon) intensity reporting registry, in cooperation with industrial associations.