household energy efficiency what you and the u.s. should be doing to help reduce energy consumption...

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HOUSEHOLD ENERGY HOUSEHOLD ENERGY EFFICIENCY EFFICIENCY What you and the U.S. should What you and the U.S. should be doing to help reduce be doing to help reduce energy consumption energy consumption By Amy Lynn Strege By Amy Lynn Strege [email protected] [email protected]

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Page 1: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

HOUSEHOLD ENERGY HOUSEHOLD ENERGY EFFICIENCYEFFICIENCY

What you and the U.S. should be doing What you and the U.S. should be doing to help reduce energy consumptionto help reduce energy consumption

By Amy Lynn StregeBy Amy Lynn [email protected]@kentlaw.edu

Page 2: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Why worry?Why worry?

The less energy we use, the less that will The less energy we use, the less that will have to be created (AKA “sixth fuel”)have to be created (AKA “sixth fuel”)

Small changes can add up to big benefits Small changes can add up to big benefits if everybody does their partif everybody does their part

The change must begin at home before The change must begin at home before others will jump on boardothers will jump on board

Page 3: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Sixth FuelSixth Fuel

Energy efficiency is often called the sixth Energy efficiency is often called the sixth fuelfuel

The less energy you use, the less that will The less energy you use, the less that will have to be created by some other energy have to be created by some other energy sourcesource

Energy Efficiency can improve the overall Energy Efficiency can improve the overall energy picture no matter what the energy picture no matter what the underlying energy source isunderlying energy source is

Page 4: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Efficiency MeasurementsEfficiency Measurements

Obviously, the more energy efficient Obviously, the more energy efficient something is, the better it issomething is, the better it is

But how can I tell what efficiency is?But how can I tell what efficiency is?

There are several ways to measure There are several ways to measure efficiency; but there are also some efficiency; but there are also some problemsproblems

Page 5: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Measurement ProblemsMeasurement Problems

The more data collected, the more The more data collected, the more expensive it is to analyzeexpensive it is to analyze

Some data hard to obtain: Respondent Some data hard to obtain: Respondent burden leads to non-participation or burden leads to non-participation or inaccurate datainaccurate data

Global differences means difficulty in Global differences means difficulty in comparisonscomparisons

Page 6: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Energy Efficiency DefinedEnergy Efficiency Defined

Measurement relates to policy goal: Measurement relates to policy goal: Different measurement indicators for Different measurement indicators for different goals:different goals: Higher productivityHigher productivity Resource conservationResource conservation Economic well-beingEconomic well-being Improved environmental qualityImproved environmental quality

Page 7: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

ExamplesExamples

If goal is Global Warming abatement, then If goal is Global Warming abatement, then look at absolute Carbon emissionslook at absolute Carbon emissions

If goal is Economic Productivity, look at If goal is Economic Productivity, look at energy expenditure per dollar of GDPenergy expenditure per dollar of GDP

If goal is Environmental Quality, then look If goal is Environmental Quality, then look at Carbon emission intensityat Carbon emission intensity

Page 8: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Intensity as SurrogateIntensity as Surrogate

Energy Intensity is ratio of energy Energy Intensity is ratio of energy consumption to some measure of demandconsumption to some measure of demand

Choice of demand measure is critical, as it Choice of demand measure is critical, as it is connected to the policy goalis connected to the policy goal

Transportation- either gallon per Transportation- either gallon per passenger mile or gallon per vehicle mile passenger mile or gallon per vehicle mile would be appropriate, depending on goalwould be appropriate, depending on goal

Page 9: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Most data is based on IntensityMost data is based on Intensity

Have to look at the underlying structure of the Have to look at the underlying structure of the indicatorindicator

Energy intensity improvements may mask Energy intensity improvements may mask structural or behavioral trends that actually structural or behavioral trends that actually lessen true energy efficiencylessen true energy efficiency

America’s average mile per gallons have America’s average mile per gallons have reduced, but an increasing trend away from reduced, but an increasing trend away from small cars and towards SUV’s means that small cars and towards SUV’s means that better efficiency has been avoidedbetter efficiency has been avoided

Page 10: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

U.S. Expenditures per GDPU.S. Expenditures per GDP

Page 11: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Increased DemandIncreased Demand

Page 12: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

StatutesStatutes

Energy Policy and Conservation Act Energy Policy and Conservation Act (EPCA) of 1975: voluntary minimum (EPCA) of 1975: voluntary minimum efficiency standards for ordinary efficiency standards for ordinary appliances like freezers, TV’s, etc.appliances like freezers, TV’s, etc.

National Appliance Energy Conservation National Appliance Energy Conservation Act (NAECA) of 1987: made these Act (NAECA) of 1987: made these standards mandatorystandards mandatory

Page 13: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

How History HelpsHow History Helps

In order to understand what we need to do In order to understand what we need to do in the future, we have to understand how in the future, we have to understand how America has worked in the pastAmerica has worked in the past

Luckily, data exists to see what America’s Luckily, data exists to see what America’s energy trends have been like, historicallyenergy trends have been like, historically

Page 14: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Residential Energy Consumption Residential Energy Consumption Survey (RECS)Survey (RECS)

Every 3 years by the EIAEvery 3 years by the EIA

National sample survey of more than National sample survey of more than 5,000 residential housing units and their 5,000 residential housing units and their energy suppliersenergy suppliers

Only comprehensive source of national-Only comprehensive source of national-level data on energy consumption for the level data on energy consumption for the residential sectorresidential sector

Page 15: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

RECS TrendsRECS Trends

Page 16: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

AppliancesAppliances

Every item that is plugged in to the wall in Every item that is plugged in to the wall in your home is an appliance- and America is your home is an appliance- and America is addicted to themaddicted to them

Every year, we get a new Foreman Grill or Every year, we get a new Foreman Grill or Smoothie Machine- and they all take Smoothie Machine- and they all take electricity to runelectricity to run

Page 17: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

LightingLighting

24-hr economy means more work done at 24-hr economy means more work done at nightnight

Think about how late you were up for your Think about how late you were up for your last major project- and how many hours last major project- and how many hours your lights were onyour lights were on

Now multiply that by the number of law Now multiply that by the number of law school students in Americaschool students in America

Compact Fluorescents are a good solutionCompact Fluorescents are a good solution

Page 18: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

What Can the Law do?What Can the Law do?

Shouldn’t we be helping subsidize energy Shouldn’t we be helping subsidize energy efficient upgrades?efficient upgrades?

Should energy audits be required with Should energy audits be required with home inspections?home inspections?

What about smart thermometers in every What about smart thermometers in every home?home?

What about energy assistance grants?What about energy assistance grants?

What are we doing right now?What are we doing right now?

Page 19: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

EPAct 2005EPAct 2005

There are several provisions in the Energy There are several provisions in the Energy Policy Act of 2005 directed at improving Policy Act of 2005 directed at improving residential energy efficiencyresidential energy efficiency

Page 20: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Federal EfficiencyFederal Efficiency

§ 102: 20% Reduction in Congressional § 102: 20% Reduction in Congressional buildings by 2015buildings by 2015

§ 104: Requirement to obtain energy-§ 104: Requirement to obtain energy-efficient productsefficient products

§ 111: Energy efficiency increase on § 111: Energy efficiency increase on federal lands: “To the extent practical”federal lands: “To the extent practical”

Page 21: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

WeatherizationWeatherization

§ 122: Increased Funding: $500,000,000 § 122: Increased Funding: $500,000,000 for fiscal year 2006, $600,000,000 for for fiscal year 2006, $600,000,000 for fiscal year 2007, and $700,000,000 for fiscal year 2007, and $700,000,000 for fiscal year 2008fiscal year 2008

For low-income households onlyFor low-income households only

Page 22: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Public Energy Education ProgramPublic Energy Education Program

§ 133: Conference of: § 133: Conference of: (1) industrial firms;(1) industrial firms; (2) professional societies;(2) professional societies; (3) educational organizations;(3) educational organizations; (4) trade associations; and(4) trade associations; and (5) governmental agencies(5) governmental agencies

Page 23: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Public Energy Education ProgramPublic Energy Education Program

§ 133: Goals: national public energy § 133: Goals: national public energy education program to examine and education program to examine and recognize interrelationships between recognize interrelationships between energy sourcesenergy sources (A) conservation and energy efficiency;(A) conservation and energy efficiency; (B) the role of energy use in the economy; (B) the role of energy use in the economy;

andand (C) the impact of energy use on the (C) the impact of energy use on the

environment.environment.

Page 24: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Efficient Public HousingEfficient Public Housing

§§ 151-154:§§ 151-154:

Variety of programs to increase efficiency Variety of programs to increase efficiency in public housing:in public housing: LightingLighting AppliancesAppliances Building StandardsBuilding Standards Space HeatingSpace Heating

Page 25: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Subtitle A: Energy EfficiencySubtitle A: Energy Efficiency

§ 911: OBJECTIVES: research, development, § 911: OBJECTIVES: research, development, demonstration, and commercial application of demonstration, and commercial application of the following goals:the following goals:

(A) Increasing energy efficiency of vehicles, buildings, and (A) Increasing energy efficiency of vehicles, buildings, and industrial processesindustrial processes

(B) Reducing demand for energy, (B) Reducing demand for energy, especially energy from foreign sourcesespecially energy from foreign sources

(C) Reducing cost of energy; making (C) Reducing cost of energy; making economy more efficient and competitiveeconomy more efficient and competitive

(D) Improving energy security(D) Improving energy security (E) Reducing the environmental impact of (E) Reducing the environmental impact of

energy-related activitiesenergy-related activities

Page 26: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Unanswered QuestionsUnanswered Questions

Are these goals good goals?Are these goals good goals?

Is there any goal left out?Is there any goal left out?

Can one meet all these goals at the same Can one meet all these goals at the same time, and if not, which one should be time, and if not, which one should be preferred?preferred?

Page 27: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

How to Meet these Goals?How to Meet these Goals?

§ 911: PROGRAMS:§ 911: PROGRAMS:

(A) advanced, cost-effective technologies to improve the (A) advanced, cost-effective technologies to improve the energy efficiency and environmental performance of energy efficiency and environmental performance of vehicles vehicles

(B) cost-effective technologies, for new (B) cost-effective technologies, for new construction and retrofit, to improve the construction and retrofit, to improve the energy efficiency and environmental energy efficiency and environmental performance of buildings, using a whole-performance of buildings, using a whole-buildings approach, including onsite buildings approach, including onsite renewable energy generation;renewable energy generation;

Page 28: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

How to Meet these Goals?How to Meet these Goals?

(C) advanced technologies to improve the (C) advanced technologies to improve the energy efficiency, environmental performance, energy efficiency, environmental performance, and process efficiency of energy-intensive and and process efficiency of energy-intensive and waste-intensive industries; andwaste-intensive industries; and

(D) advanced control devices to improve the (D) advanced control devices to improve the energy efficiency of electric motors, including energy efficiency of electric motors, including those used in industrial processes, heating, those used in industrial processes, heating, ventilation, and coolingventilation, and cooling

Page 29: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

How Much $How Much $

(1) $783,000,000 for fiscal year 2007;(1) $783,000,000 for fiscal year 2007;

(2) $865,000,000 for fiscal year 2008; and(2) $865,000,000 for fiscal year 2008; and

(3) $952,000,000 for fiscal year 2009(3) $952,000,000 for fiscal year 2009

Page 30: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

How is Money Spent?How is Money Spent?

(1) § 912. Next Generation Lighting (1) § 912. Next Generation Lighting Initiative: $50,000,000 for each of fiscal Initiative: $50,000,000 for each of fiscal years 2007 through 2009years 2007 through 2009

(2) § 915: Electric Vehicle Battery Program: (2) § 915: Electric Vehicle Battery Program: $7,000,000 for each of fiscal years 2007 through $7,000,000 for each of fiscal years 2007 through 20092009

Page 31: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

How is Money Spent?How is Money Spent?

(3) § 911: Energy Efficiency of Vehicles:(3) § 911: Energy Efficiency of Vehicles: (A) $200,000,000 for fiscal year 2007;(A) $200,000,000 for fiscal year 2007; (B) $270,000,000 for fiscal year 2008; and(B) $270,000,000 for fiscal year 2008; and (C) $310,000,000 for fiscal year 2009(C) $310,000,000 for fiscal year 2009

(4) § 911: Energy Efficiency of Electric motors, (4) § 911: Energy Efficiency of Electric motors, $2,000,000 for each of fiscal years 2007 and $2,000,000 for each of fiscal years 2007 and 20082008

Page 32: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

§ 912. Next Generation Lighting Initiative§ 912. Next Generation Lighting Initiative

OBJECTIVES: To develop advanced OBJECTIVES: To develop advanced solid-state organic and inorganic lighting solid-state organic and inorganic lighting technologies based on white light emitting technologies based on white light emitting diodes (“LED’s”) that, compared to diodes (“LED’s”) that, compared to incandescent and fluorescent lighting incandescent and fluorescent lighting technologies, are longer lasting, are more technologies, are longer lasting, are more energy-efficient and cost-competitive, and energy-efficient and cost-competitive, and have less environmental impacthave less environmental impact

Page 33: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Where’s the Money?Where’s the Money?

Research GrantsResearch Grants

Industry Alliance formation & Industry Alliance formation & administrationadministration

Development & demonstration projectsDevelopment & demonstration projects Approved by Industry AllianceApproved by Industry Alliance Conducted in a cost-sharing methodConducted in a cost-sharing method

Page 34: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Other IncentivesOther Incentives

Tax Credits: § 1332: For construction of new Tax Credits: § 1332: For construction of new energy efficient homes:energy efficient homes: Has to be constructed by a qualified contractorHas to be constructed by a qualified contractor Has to be acquired for residential use within the same Has to be acquired for residential use within the same

tax yeartax year Includes substantial reconstruction and rehabilitationIncludes substantial reconstruction and rehabilitation Must save at least 50% of average consumption of Must save at least 50% of average consumption of

comparable unitscomparable units Building envelope responsible for at least 1.5 of that Building envelope responsible for at least 1.5 of that

50% savings 50% savings

Page 35: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Other CreditsOther Credits

Tax Credits: § 1332: for new energy Tax Credits: § 1332: for new energy efficient “Manufactured” homes:efficient “Manufactured” homes: Same as constructed homes except:Same as constructed homes except: Must save at least 30% of average Must save at least 30% of average

consumption of comparable unitsconsumption of comparable units Building envelope responsible for at least 1.3 Building envelope responsible for at least 1.3

of that 50% savings of that 50% savings Meets Energy Star labeling provisionsMeets Energy Star labeling provisions

Page 36: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Other CreditsOther Credits

Tax Credits: § 1333: Certain Nonbusiness Tax Credits: § 1333: Certain Nonbusiness Energy Property:Energy Property: Tax credit amount equals the sum of: Tax credit amount equals the sum of:

(1) 10 percent of the amount paid or incurred by (1) 10 percent of the amount paid or incurred by the taxpayer for qualified energy efficiency the taxpayer for qualified energy efficiency improvements installed during such taxable year, improvements installed during such taxable year, andand

(2) the amount of the residential energy property (2) the amount of the residential energy property expenditures paid or incurred by the taxpayer expenditures paid or incurred by the taxpayer during such taxable yearduring such taxable year

Page 37: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

What is it?What is it?

Tax Credits: § 1333: an energy-efficient Tax Credits: § 1333: an energy-efficient nonbusiness property is:nonbusiness property is: (A) an efficient electric heat pump water (A) an efficient electric heat pump water

heaterheater (B) an efficient electric heat pump(B) an efficient electric heat pump (C) an energy efficient geothermal heat pump(C) an energy efficient geothermal heat pump (D) a central air conditioner which achieves (D) a central air conditioner which achieves

the highest efficiency tier, andthe highest efficiency tier, and (E) an efficient natural gas, propane, or oil (E) an efficient natural gas, propane, or oil

water heaterwater heater

Page 38: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

LimitationsLimitations

Tax Credits: § 1333: nonbusiness energy Tax Credits: § 1333: nonbusiness energy property: Limitations:property: Limitations: (1) LIFETIME LIMITATION: No more than the (1) LIFETIME LIMITATION: No more than the

excess (if any) of $500 over the aggregate excess (if any) of $500 over the aggregate credits per taxpayer per yearcredits per taxpayer per year

(2) WINDOWS: No more than the excess (if (2) WINDOWS: No more than the excess (if any) of $200 over the aggregate credits per any) of $200 over the aggregate credits per taxpayer per year taxpayer per year

Page 39: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

LimitationsLimitations

(3) LIMITATION ON RESIDENTIAL (3) LIMITATION ON RESIDENTIAL ENERGY PROPERTY EXPENDITURES:ENERGY PROPERTY EXPENDITURES:

(A) $50 for any advanced main air circulating (A) $50 for any advanced main air circulating fan,fan,

(B) $150 for any qualified natural gas, propane, (B) $150 for any qualified natural gas, propane, or oil furnace or hot water boiler, andor oil furnace or hot water boiler, and

(C) $300 for any item of energy-efficient (C) $300 for any item of energy-efficient building propertybuilding property

Page 40: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Other CreditsOther Credits

Tax Credits: § 1334: Energy Efficient Tax Credits: § 1334: Energy Efficient Appliances: Depends on type of appliance:Appliances: Depends on type of appliance: (A) DISHWASHERS. Equal to the energy savings (A) DISHWASHERS. Equal to the energy savings

amount; if: amount; if: (i) Model Year 2006 or 2007, and(i) Model Year 2006 or 2007, and

(ii) Energy Star 2007(ii) Energy Star 2007 (B) CLOTHES WASHERS. $100 if:(B) CLOTHES WASHERS. $100 if:

(i) Model Year 2006 or 2007, and(i) Model Year 2006 or 2007, and

(ii) Energy Star 2007(ii) Energy Star 2007 (C) REFRIGERATORS. Based on amount of energy (C) REFRIGERATORS. Based on amount of energy

SavingsSavings

Page 41: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Other Credits: FridgesOther Credits: Fridges

(i) 15 PERCENT SAVINGS. $75 if:(i) 15 PERCENT SAVINGS. $75 if:(I) Model Year 2006, and(I) Model Year 2006, and

(II) consumes between 15% and 20% less kilowatt hours per (II) consumes between 15% and 20% less kilowatt hours per year than 2001 energy conservation standardsyear than 2001 energy conservation standards

(ii) 20 PERCENT SAVINGS. $125 if:(ii) 20 PERCENT SAVINGS. $125 if:(I) Model Year 2006 or 2007, and(I) Model Year 2006 or 2007, and

(II) consumes between 20% and 25% less kilowatt hours per (II) consumes between 20% and 25% less kilowatt hours per year than 2001 energy conservation standardsyear than 2001 energy conservation standards

(iii) 25 PERCENT SAVINGS. $175 if:(iii) 25 PERCENT SAVINGS. $175 if:(I) Model Year 2006 or 2007, and(I) Model Year 2006 or 2007, and

(II) consumes at least 25% less kilowatt hours per year than (II) consumes at least 25% less kilowatt hours per year than 2001 energy conservation standards2001 energy conservation standards

Page 42: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

LimitationsLimitations

Tax Credits: § 1334: Energy Efficient Tax Credits: § 1334: Energy Efficient Appliances: Limitations:Appliances: Limitations:

Total aggregate tax credits shall not Total aggregate tax credits shall not exceed $75,000,000 minus the other exceed $75,000,000 minus the other credits received under the statute.credits received under the statute.

Other limitations may apply, based on type Other limitations may apply, based on type of applianceof appliance

Page 43: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Other CreditsOther Credits

Tax Credits: § 1334: Residential Energy Efficient Tax Credits: § 1334: Residential Energy Efficient Property:Property:

Tax Credit of an amount equal to the sum of:Tax Credit of an amount equal to the sum of: (1) 30 percent of the qualified photovoltaic property (1) 30 percent of the qualified photovoltaic property

expenditures made by the taxpayer during such year,expenditures made by the taxpayer during such year, (2) 30 percent of the qualified solar water heating (2) 30 percent of the qualified solar water heating

property expenditures made by the taxpayer during property expenditures made by the taxpayer during such year, andsuch year, and

(3) 30 percent of the qualified fuel cell property (3) 30 percent of the qualified fuel cell property expenditures made by the taxpayer during such yearexpenditures made by the taxpayer during such year

Page 44: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

LimitationsLimitations

Tax Credits: § 1334: Residential Energy Tax Credits: § 1334: Residential Energy Efficient Property: Limitations:Efficient Property: Limitations:

No more tax credit than:No more tax credit than: (A) $2,000 with respect to any qualified (A) $2,000 with respect to any qualified

photovoltaic property expenditures,photovoltaic property expenditures, (B) $2,000 with respect to any qualified solar (B) $2,000 with respect to any qualified solar

water heating property expenditures, andwater heating property expenditures, and (C) $500 with respect to each half kilowatt of (C) $500 with respect to each half kilowatt of

capacity of qualified fuel cell propertycapacity of qualified fuel cell property

Page 45: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

So Where Does That Leave Us?So Where Does That Leave Us?

Most of the Government’s programs go to Most of the Government’s programs go to efficiency in vehicles, industry, or other efficiency in vehicles, industry, or other sectors– NOT residentialsectors– NOT residential

Most of the real work of Energy Efficiency Most of the real work of Energy Efficiency is left up to the Consumer or Taxpayeris left up to the Consumer or Taxpayer

The future is up to us as a society, and as The future is up to us as a society, and as individualsindividuals

Page 46: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

So, What Can You and I Do?So, What Can You and I Do?

UNPLUG (don’t just turn off) appliances UNPLUG (don’t just turn off) appliances when not in use: a small amount of energy when not in use: a small amount of energy is being used even when not plugged inis being used even when not plugged in

When you get new light bulbs, appliances, When you get new light bulbs, appliances, etc., look for the Energy Star label and etc., look for the Energy Star label and compare efficiencycompare efficiency

Caulking and Insulation means inside air Caulking and Insulation means inside air stays in and outside air stays outstays in and outside air stays out

Page 47: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

What Can I Do?What Can I Do?

Use cool water when washing clothes, brushing Use cool water when washing clothes, brushing teeth, etc.teeth, etc.

Take shorter showers and turn off the faucet Take shorter showers and turn off the faucet when brushing teethwhen brushing teeth

Limit use of hair dryers and curlers, mechanical Limit use of hair dryers and curlers, mechanical toothbrushes, etc.toothbrushes, etc.

Don’t leave computers running- shut them off Don’t leave computers running- shut them off (and UNPLUG) when not in use(and UNPLUG) when not in use

Try to limit use of everything during peak hoursTry to limit use of everything during peak hours

Page 48: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

What Can I Do?What Can I Do?

Limit the use of power tools, yard lights, Limit the use of power tools, yard lights, and other household electricity drainersand other household electricity drainers

Turn off nightlights and decorative lightingTurn off nightlights and decorative lighting

Unplug radios, speakers, electronics, and Unplug radios, speakers, electronics, and gaming systems when not in usegaming systems when not in use

Think about what is plugged into every Think about what is plugged into every outlet in your home, and get rid of the stuff outlet in your home, and get rid of the stuff you don’t useyou don’t use

Page 49: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

What Can I Do: Space HeatingWhat Can I Do: Space Heating

Wear a sweater in the winter and set Wear a sweater in the winter and set the thermostat lowerthe thermostat lower

Drink lots of lemonade instead of Drink lots of lemonade instead of blasting your air conditioningblasting your air conditioning

Don’t leave air conditioning on Don’t leave air conditioning on overnightovernight

Smart/Programmable thermostatsSmart/Programmable thermostats

Page 50: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Listen to your MotherListen to your Mother

Keep any air registers, grills and radiators clean Keep any air registers, grills and radiators clean and clear. Furniture, drapes, dirt or other and clear. Furniture, drapes, dirt or other obstructions block heatobstructions block heatIf you have a steam boiler and there is noise If you have a steam boiler and there is noise coming from one of the radiators, or it isn’t coming from one of the radiators, or it isn’t producing heat, then you probably need to bleed producing heat, then you probably need to bleed trapped air from the linetrapped air from the lineIf you have a furnace, regularly clean or replace If you have a furnace, regularly clean or replace the air filter. Do this whenever you can see dust the air filter. Do this whenever you can see dust buildup, about once a month during the heating buildup, about once a month during the heating season. If fan is also used for air conditioning, season. If fan is also used for air conditioning, then service throughout the yearthen service throughout the year

Page 51: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Motherly AdviceMotherly Advice

Clean the furnace blower motor and fan blades Clean the furnace blower motor and fan blades when you change the air filter. Only do this when you change the air filter. Only do this yourself if you’re completely sure you have shut yourself if you’re completely sure you have shut off the electricity to the furnaceoff the electricity to the furnaceCheck for soot, rust and corrosion in, on and Check for soot, rust and corrosion in, on and around the furnace and on the floor nearby. This around the furnace and on the floor nearby. This indicate the system requires immediate serviceindicate the system requires immediate serviceOpen the curtains and shades on sunny days. Open the curtains and shades on sunny days. Design landscaping to let sunlight in south-Design landscaping to let sunlight in south-facing windows in the winter, provide shade in facing windows in the winter, provide shade in the summer and block wind year-roundthe summer and block wind year-round

Page 52: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Motherly LoveMotherly Love

If you have a furnace, seal and insulate your If you have a furnace, seal and insulate your ductworkductworkIf you have a boiler, insulate all pipes leading to If you have a boiler, insulate all pipes leading to and from itand from itUse insulating window curtains at night to Use insulating window curtains at night to reduce heat lossreduce heat lossInstall a ceiling fan to circulate warm air, allowing Install a ceiling fan to circulate warm air, allowing you to turn down the thermostat a few degreesyou to turn down the thermostat a few degreesSeal drafty areas where outside air enters the Seal drafty areas where outside air enters the home, such as doors and windows, the chimney, home, such as doors and windows, the chimney, plumbing chases and attic hatchesplumbing chases and attic hatches

Page 53: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

The Mother LodeThe Mother Lode

Use plastic window film, storm windows or Use plastic window film, storm windows or insulating window panelsinsulating window panelsSeal drafty areas where outside air enters the Seal drafty areas where outside air enters the home, such as doors and windows, the chimney, home, such as doors and windows, the chimney, plumbing chases and attic hatches plumbing chases and attic hatches Hire an experienced energy auditor to pinpoint Hire an experienced energy auditor to pinpoint air leakage areas that need to be sealedair leakage areas that need to be sealedInsulate the attic, walls and floor to Insulate the attic, walls and floor to recommended levelsrecommended levels

Page 54: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Mother Said, Mother SaidMother Said, Mother Said

Keep heat registers, radiators and baseboards Keep heat registers, radiators and baseboards clean & clearclean & clearUse a tight-closing damper on fireplace Use a tight-closing damper on fireplace chimneys to prevent conditioned air from flowing chimneys to prevent conditioned air from flowing up the chimneyup the chimneyIf the heating system is more than 15 years old, If the heating system is more than 15 years old, consider replacing it with an Energy Star-consider replacing it with an Energy Star-qualified systemqualified systemIf you are considering major renovations to your If you are considering major renovations to your house, have an energy audit performed to see if house, have an energy audit performed to see if any energy-efficiency improvements can be any energy-efficiency improvements can be made at the same timemade at the same time

Page 55: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Web Sites: OrganizationsWeb Sites: Organizations

American Council for an Energy-Efficient EconomyAmerican Council for an Energy-Efficient Economy (202) 429-8873(202) 429-8873www.aceee.orgwww.aceee.orgFind ways to save energy and learn about U.S. energy Find ways to save energy and learn about U.S. energy policies.policies.Energy Star programEnergy Star program(888) 782-7937(888) 782-7937www.energystar.govwww.energystar.govLearn about Energy Star-certified homes, and energy-Learn about Energy Star-certified homes, and energy-efficient heating systems and other appliancesefficient heating systems and other appliancesEnergy Efficiency and Renewable Energy Energy Efficiency and Renewable Energy ClearinghouseClearinghousewww.eere.energy.govwww.eere.energy.govFind consumer information, tips for renters and Find consumer information, tips for renters and recommendations for how much insulation to userecommendations for how much insulation to use

Page 56: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Web Sites: Stores & ServicesWeb Sites: Stores & Services

AM Conservation GroupAM Conservation Group(800) 777-5655(800) 777-5655www.amconservationgroup.comwww.amconservationgroup.comEnergy FederationEnergy Federation(800) 379-4121(800) 379-4121www.efi.orgwww.efi.orgResidential Energy Services NetworkResidential Energy Services Network(760) 860-3448(760) 860-3448www.natresnet.org/directorywww.natresnet.org/directoryFind energy auditors in your areaFind energy auditors in your areaHome Energy SaverHome Energy Saverhes.lbl.govhes.lbl.govTake this Web-based survey to get suggestions for Take this Web-based survey to get suggestions for improving efficiencyimproving efficiency

Page 57: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

But I Am Just One Person!But I Am Just One Person!

Yes, but if Yes, but if everybody pitches everybody pitches in, it will all add up!in, it will all add up!

Page 58: HOUSEHOLD ENERGY EFFICIENCY What you and the U.S. should be doing to help reduce energy consumption By Amy Lynn Strege astrege@kentlaw.edu

Do You Have any Ideas?Do You Have any Ideas?