March 28, 2008

ACEEE HELPS MARYLAND BUILD A "ROADMAP" FOR ITS CLEAN ENERGY FUTURE

A new analysis by the American Council for an Energy-Efficient Economy confirms that reducing electricity consumption is the quickest, cheapest, and cleanest way for policymakers in Maryland to bring consumer bills down and keep the lights on in a state where demand for electricity has grown rapidly since 1999. Maryland consumers are reeling from a recent surge in electricity prices and are faced with concerns about the reliability of their electric service in the coming years. "If we are concerned about rising electricity rates, the increasing possibility of power brownouts, and the growing threat to our climate from power plant emissions, then the solution we must embrace now is energy efficiency," said Delegate Bill Bronrott (D-Montgomery) at a news conference in Annapolis on February 14 where key state policymakers joined ACEEE in a review of the study's major findings.

Del. Bill Bronrott: Feb. 14 ACEEE Press Conference

Maryland is poised to take the next steps in its energy future. Energy Efficiency: The First Fuel for a Clean Energy Future—Resources for Meeting Maryland's Electricity Needs assesses the potential for new, cost-effective energy efficiency resources for the state’s electricity consumers and recommends a suite of six energy efficiency and demand response policies that can cost-effectively reach Governor O’Malley’s goal of reducing state-wide per capita electricity consumption by 15 percent by 2015. Moreover, the additional energy efficiency investments needed to achieve the goal would result in a 7% savings by 2015 for the average residential consumer, save all electricity consumers in the state a net $860 million in 2015, and create 8,000 net new, high-quality "green-collar" jobs for the state in the same year.

(l. to r.) Glee Murray, Bill Prindle, Neal Elliott, Ed Osann, and Maggie Eldridge:
"Maryland Clean Energy Team" at the Annapolis Press Conference

One of the fundamental conclusions of the ACEEE study, cautioned Bill Prindle, ACEEE's former Deputy Director, at the news conference, is that there are "no free or even cheap solutions" to the supply and demand challenges in energy markets across the country. "Everything costs money," he stressed. "What we found in Maryland, as we have found in Florida, Texas, and other states, is that the cost of doing nothing is the most expensive and riskiest strategy to take. Focusing first on energy efficiency and other resources on the demand side of the market is, in fact, the lowest cost and least risky way to address the energy problems we're facing today."

A recent report by Maryland PIRG supports ACEEE's finding that greater funding for energy efficiency will save consumers money on their electricity bills. Their report outlines specific model efficiency programs from states across the country which have adopted strategies to increase energy efficiency.

Release of the ACEEE study coincided with the start of debate in the Maryland General Assembly on a host of energy-related bills. Governor O’Malley has two pieces of enabling legislation now pending before the legislature. The first bill—called EmPOWER Maryland—would endorse the Governor's 15% savings goal for the state, and assign 10% of the savings to the electric companies to achieve through efficiency programs offered to their customers. The second bill calls for establishing a Strategic Energy Investment Fund derived from the proceeds of the state’s auction of carbon allowances under the Regional Greenhouse Gas Initiative (RGGI).  The Maryland General Assembly is now considering these bills.

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