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Energy Efficiency Report Names Top Ten States and Policies

The Center for American Progress will release a report today, entitled "Efficiency Works: Creating Good Jobs and New Markets Through Energy Efficiency."

The CAP report provides a report card on innovative state energy policies, intended to inform a national strategy for clean energy deployment. It was co-authored with Energy Resource Management (EnergyRM).

"This report shows how a number of states are already hard at work using smart energy policies to jump start the market for energy efficiency jobs and new investments to make their economies more competitive."
--Bracken Hendricks, Senior Fellow, CAP Action Fund

The report features a top 10 list of states the authors believe are leaders in creating energy efficiency markets:

  1. Connecticut
  2. California
  3. Maryland
  4. Massachusetts
  5. Pennsylvania
  6. New York
  7. Texas
  8. North Carolina
  9. New Jersey
  10. Ohio

"But make no mistake," the auhors admonish: "No state has fully developed the potential of their energy efficiency market to create clean energy jobs, let alone the federal government."

The report primarily promotes home energy retrofits as a pathway to broad-based job creation and economic prosperity, enhanced national energy security, and a sustainable environment.

In a press conference this morning, Senator Harry Reid (D-NV) said Congress will try again to pass a modest energy bill that promotes Home Star and places new emphasis on home energy savings.

EnergyRM CEO and report co-author Bill Campbell gave a verbal pat on the back to Nevada, California, Utah, New York and New England states for their leadership in recognizing energy efficiency as a source of energy. Campbell's company is an independent power producer, providing efficiency energy as a utility-grade resource.

Bracken Hendricks, Senior Fellow at the Center for American Progress Action Fund, said the report shows how a number of states are already using smart energy policies to make their economies more competitive. "A relatively small federal investment can attract billions of dollars of private capital by incentivizing bank lending, and firms again hiring construction and manufacturing workers," he said.

The report identifies 10 key energy efficiency policies that states are adopting to achieve leadership status:

  1. Energy efficiency measures in Renewable Portfolio Standards.
  2. Energy efficiency measures in Renewable Energy Credits.
  3. Energy Efficiency Resource Standards and Energy Efficiency Portfolio Standards.
  4. Unbundled utility structures encouraging meeting energy demand through conservation.
  5. Decoupled utility rate structures, removing the structural disincentive to conserve energy.
  6. Aligning efficiency with utility companies’ shareholder benefits.
  7. Penalties for noncompliance with energy efficiency standards.
  8. Regulatory cost-benefit tests that isolate the value offered by energy efficiency investments.
  9. Property-assessed financing structures allowing repayment of financed investments to transfer automatically to new owners.
  10. Service assessment delivery structures.

From the report:

"As a country, the United States substantially lags behind our closest economic competitors in the energy efficiency of our economy. We believe the examples presented in this paper can set the stage for a powerful new national energy efficiency strategy, which fixes market barriers to unleash entrepreneurs, investment, and innovation."