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ASHRAE Government Affairs Update, 08/03/07 |
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North American Countries to Cooperate on Appliance Standards The North American energy ministers agreed to cooperate on energy efficiency standards and on energy science and technology. U.S. Secretary of Energy Samuel Bodman met with Gary Lunn, minister of Natural Resources Canada (NRC), and Georgina Kessel, Mexico's energy secretary, in Victoria, British Columbia. The ministers confirmed their commitment to further aligning energy-efficiency standards on key consumer products, noting that recent collaborative efforts had resulted in the harmonization of energy performance standards for refrigerators, air conditioners, and large electric motors. They identified seven additional energy-using products as potential candidates for harmonization and committed to strengthening trilateral cooperation on motor vehicle fuel efficiency and "standby power" consumption. The ministers also endorsed the first-ever trilateral agreement on energy science and technology, establishing a framework to stimulate innovation and to share and help build capacity in all three countries. The ministers will work to identify specific ways to increase cooperation on research and development and to reduce barriers to the deployment of new technologies in a wide variety of areas, including biofuels, hydrogen, and electricity transmission. To further these efforts, the three countries will exchange scientific and technical personnel, who will participate in joint studies and projects. See the DOE press release (http://www.energy.gov/news/5258.htm) and the NRC's backgrounder on the trilateral agreement (http://www.nrcan.gc.ca/media/newsreleases/2007/200766a_e.htm). Maryland Removes Utility Disincentives for Energy Efficiency The Maryland Public Service Commission (PSC) approved a new rate mechanism for the state's largest utilities, eliminating a disincentive for the utilities to promote energy efficiency. The new rate mechanism allows the utilities to increase their rates for power distribution to make up for lost revenues if the demand for electricity drops, thereby "decoupling" their revenues from electricity sales. In the absence of the decoupling mechanism, utilities face a disincentive to encourage energy efficiency and conservation, because if those efforts are successful, their revenues drop. Under the new mechanism, the largest energy users bear an increasing cost burden as other users benefit from improving their energy efficiency. According to the Maryland PSC, decoupling is an approach that has been endorsed by environmental and industry groups and other public service commissions and utilities as a way of encouraging utilities to spearhead major energy efficiency programs. The approach was recommended in an energy report produced earlier this year by Governor Martin O'Malley. A report produced last year by the American Council for an Energy Efficiency Economy (ACEEE) also endorsed decoupling, and cited California and Oregon as leading examples of its implementation. See the Maryland PSC press release (http://www.psc.state.md.us/psc/AboutUs/Press/Pepco_DelmarvaRateStablizationPlan07202007.pdf) and the ACEEE report (http://www.aceee.org/pubs/u061.htm). Report: Energy Efficiency, Diversity are Keys to Our Future Energy Needs A new 422-page report from the National Petroleum Council (NPC) warns of "accumulating risks to the supply of reliable, affordable energy" and calls for an integrated national strategy that includes energy efficiency and the exploitation of diverse energy sources. The report concludes that the United States should incorporate energy policy into most of its foreign policy decisions and should create long-term opportunities for research and development in all phases of the energy supply and demand system. The 18-month study examines global energy use and supply through 2030 and involved more than 350 experts from diverse backgrounds and organizations. It concludes that the world is not running out of energy, but the world should not continue to rely on expanding energy production from conventional sources of oil and natural gas. The report also concludes that achieving U.S. energy independence is not practical in the foreseeable future, but notes that several steps can be taken to enhance U.S. energy security. The report identified more aggressive and enforceable building codes as an opportunity to increase energy efficiency in the residential and commercial sectors. See the NPC press release (http://www.npc.org/7-18_Press_rls-post.pdf), executive summary (http://downloads.connectlive.com/events/npc071807/pdf-downloads/Facing_Hard_Truths-Executive_Summary.pdf), and full report (http://downloads.connectlive.com/events/npc071807/pdf-downloads/Facing_Hard_Truths-Report.pdf). San Francisco Proposal Would Require Private Buildings to Be Green San Francisco could join Boston as the only large U.S. cities that mandate LEED certification of private buildings if the Board of Supervisors approves recommendations submitted by a mayoral task force. The Green Building Task Force recommendations would apply to new commercial and residential buildings, as well as major alterations to both. By 2012, large commercial buildings and high-rise residential (over 75 feet) buildings would need to qualify for a LEED Gold rating. Small and mid-rise residential buildings would be required to achieve at least a 75 on Build It Green’s GreenPoint Rated (http://www.builditgreen.org/greenpointrated/) system, while small commercial buildings would be encouraged to voluntarily comply. To encourage everyone to build green, the Task Force suggests that San Francisco offer development bonuses, property assessment equalization and fee reductions for buildings that exceed the standards, with the most lucrative incentives going to the highest-performing buildings. Read the Mayor’s Green Building Task Force Report, http://www.fypower.org/pdf/SF_GreenBuildingTFReport.pdf. DOE Examines Commercial Refrigerator/Freezer Standards The Energy Policy and Conservation Act (EPCA) authorizes the Department of Energy (DOE) to establish energy conservation standards for various consumer products and commercial and industrial equipment, including commercial ice-cream freezers; self-contained commercial refrigerators, commercial freezers, and commercial refrigerator-freezers without doors; and remote condensing commercial refrigerators, commercial freezers, and commercial refrigerator freezers, if DOE determines that energy conservation standards would be technologically feasible and economically justified, and would result in significant energy savings. DOE published an Advance Notice of Proposed Rulemaking (ANOPR) to consider establishing energy conservation standards for the categories of commercial refrigeration equipment mentioned above, and to announce a public meeting to receive comments on a variety of issues. DOE will hold a public meeting on August 23, 2007, from 9 a.m. to 5 p.m. in Washington, DC. DOE must receive requests to speak at the public meeting no later than 4 p.m., August 3, 2007. DOE must receive a signed original and an electronic copy of statements to be given at the public meeting no later than 4 p.m., August 9, 2007. DOE will accept comments, data, and information regarding the ANOPR no later than October 9, 2007. For more information, see the Federal Register notice (72 FR 41162) available at http://www.gpoaccess.gov/fr. New Energy Star Specifications for Commercial Dishwashers and Ice Machines EPA announced specifications for two new commercial food service products -- dishwashers and ice machines -- that will earn the Energy Star label. More efficient commercial kitchen equipment can save restaurants and food service facilities from 10 to 30 percent on commercial kitchen energy consumption. The specifications cover several types of machines in both categories, requiring them to meet maximum energy and water efficiency savings. Other Energy Star commercial food service products include fryers, steam cookers, hot food holding cabinets, and solid door reach-in refrigerators and freezers. Restaurant and commercial kitchen owners and operators will be able to purchase Energy Star qualified commercial dishwashers starting Oct.11, 2007 and ice makers starting Jan. 1, 2008. Over the next five years, these new Energy Star products are expected to save restaurants $100 million in reduced energy and water costs. These products will help improve the energy intensity of food service buildings, which consume roughly 2.5 times more energy per square foot than other commercial buildings. New specification for commercial dishwashers: http://www.energystar.gov/index.cfm?c=new_specs.comm_dishwashers. New specification for ice machines: http://www.energystar.gov/index.cfm?c=new_specs.ice_machines. House, Senate Agree on Competitiveness Legislation Shortly after the conferees met on groundbreaking legislation aimed at ensuring U.S. students, teachers, businesses and workers are equipped with the tools to compete in the 21st century economy,a deal has been reached. The conference agreement reached melds the America Competes Act (S.761) and the House's 21st Century Competitiveness Act (H.R. 2272). The conference report was approved in both chambers and the bill will now be sent to the President for his signature. The conference agreement marks the end of a year and a half-long, bipartisan effort led by Members of the Science and Technology Committee to pass a package of competitiveness bills in response to recommendations in the 2005 National Academies report, Rising above the Gathering Storm. HR 2272 takes key steps forward in implementing the Innovation Agenda, including:
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