Federal Programs Reduce Emissions by Improving Energy Efficiency

On January 29, EESI held a briefing, Energy Efficiency in Your District: How Energy Efficiency Benefits Constituents, where experts in industry and state government discussed the importance of federal funding for energy efficiency programs. The panelists highlighted the benefits these programs have for their companies and constituents, including saving money and creating opportunities for economic growth. Yet, these programs’ full impacts are much broader: improvements in energy efficiency reduce greenhouse gas emissions and support the push towards a decarbonized society.

DOE Programs at Work Reducing Emissions

At the briefing, panelists showcased a suite of federal programs focused on energy efficiency. As described by Molly Cripps, Director of Tennessee’s Office of Energy Programs, the State Energy Program (SEP) provides federal funds and technical assistance to states to expand opportunities for energy efficiency, renewable energy, and energy security. She also discussed the Weatherization Assistance Program (WAP), which supports low-income households in retrofitting their homes to increase energy efficiency. Dr. Carl Zimmerman, of BASF Corporation, and Jay Murdoch, of Owens Corning, discussed a number of energy efficiency programs run through the Building Technologies Office (BTO) of the Department of Energy (DOE). The Emerging Technologies program uses public-private partnerships to facilitate market adaptation of new technology, the Building America Program helps facilitate market adoption of new building efficiency technologies, and the Building Energy Codes Program provides technical assistance to states and localities to promote energy efficiency through building codes.

The panelists emphasized the cost-savings and quality of life benefits of these programs to businesses and average Americans. For example, more efficient homes require less energy to operate, so investing in energy efficiency can save residents money on their energy bills. Cripps and Murdoch discussed a number of Weatherization Assistance Program benefits, including health and equity benefits, a high return on investment, the direct funding of community groups, and an opportunity for workforce training.

These federal initiatives also provide the co-benefit of reducing emissions through a decrease in energy use. To achieve further emission reduction benefits, these programs frequently pair efficiency updates with increased renewable energy capacity. For example, states have used SEP funds to install over 60,000 renewable energy systems with a total capacity of 8 million kilowatt hours.

Research and Development to Fuel Emissions Reductions

Briefing panelists advocated for continued federal funding of research and development into new energy and efficiency technologies. Zimmerman spoke in support of the Advanced Research Projects Agency-Energy (ARPA-E), which invests in potentially transformational energy technologies and helps push those technologies to market. According to Zimmerman, supporting the development and adoption of these technologies reinforces U.S. energy independence, competitiveness, and sustainability. Christopher Hess, of the Eaton Corporation, also advocated for continued federal funding of research and development programs, including the DOE Office of Energy Efficiency and Renewable Energy (EERE)’s Grid Modernization Lab Consortium (GMLC). This partnership between the DOE and national labs supports research and development projects aimed at improving energy efficiency and renewable energy adoption.

Alongside the economic benefit of developing advanced energy technologies, programs like ARPA-E and the GMLC also benefit climate mitigation efforts because they facilitate energy efficiency improvements and a transition to renewable energy. For example, Zimmerman highlighted that a number of ARPA-E funded projects are working to advance energy storage technology to make renewable energy universally viable. Other ARPA-E projects that could reduce emissions include a design for plug-in hybrid electric buses, a novel technique to reduce the manufacturing cost of solar cells, and power systems for the electrification of construction equipment.

Corporate Leadership Sends Signal that Emission Reductions Are Good for Business

Briefing speakers emphasized the shift toward renewable energy and electrification as a major trend in their industries. Murdoch noted Owens Corning is one of the largest industrial users of renewable energy in the world, Zimmerman emphasized BASF Corporation’s reuse of industrial waste products, and Hess said that Eaton is moving to fully electrify its business. According to Hess, the companies represented at the briefing are not unusual in their interest in efficiency and renewable energy, and he suggested that the general trend in industry is toward efficiency and electrification. Hess described a convergence in regulations, policy, and research and development that is making electrification an appealing option for many companies. This is a promising trend, since beneficial electrification, or replacing direct fossil fuel use with electricity, facilitates the adoption of renewable energy.

The panelists all agreed on the importance of projects that facilitate improvements in energy efficiency nationwide. Efficiency gains create cost savings in the short-term, and by reducing the amount of energy used, also serve to reduce emissions released by the generation of that energy. Continued federal funding of technical assistance programs and research and development will help fuel the growing trend toward electrification and efficiency that is already underway in the industrial sector.

Author: Abby Neal