# Energy Efficiency and 

# EPA’s Proposed Clean Power Plan Fall Region 4 Air Director’s Meeting Metro 4 / SESARM October 29, 2014 

# Jenah Zweig, Policy Director Southeast Energy Efficiency Alliance2 

# A ROADMAP FOR TODAY’S DISCUSSION
• S Introduction to SEEA
• B EPA’s Proposed Clean Power Plan
• B The Value of Energy Efficiency


## • O 111(d) & EE: Exploring Opportunity Together
• L Wrap- up & Potential Next Steps3 

# SEEA SERVES THE SOUTHEAST

Regional Energy 

## Efficiency Organization (REEO) Eleven -state footprint Non - profit, non - partisan4 

# SEEA’S APPROACH: TAILORING TO 

# THE NEEDS OF THE REGION
Actively listening Identifying relevant resources Empowering

stakeholders Surveying the landscape

# EPA’S PROPOSED CLEAN POWER PLAN — 

# AN UNPRECEDENTED NUMBER OF OPTIONS

56 

# SUPPORT STATES AS THEY EVALUATE EPA’S PROPOSED CLEAN POWER PLAN

www. SEEALLIANCE .org

# THE VALUE OF ENERGY EFFICIENCY

7

# ENERGY EFFICIENCY ENERGY CONSERVATION



# ≠

# ENERGY EFFICIENCY ENERGY PRODUCTIVITY



# =Source: American Council for an Energy Efficient Economy, 2014 

# EE IS THE REGION’S LEAST-COST RESOURCE

1011 

# HAVE YOUR CAKE, AND EAT IT TOO

UTILITY SYSTEM BENEFITS • Power supply • T&D capacity • Environmental • Losses and reserves • Risk • Credit and collection SOCIETAL BENEFITS • Air quality • Water • Solid waste • Energy security • Economic development • Health impacts PARTICIPANT BENEFITS • Other fuels • Water and sewer • O&M costs • Health impacts • Employee productivity • Comfort Source: RAP, Recognizing the Full Benefits of Energy Efficiency, 201312 

# EE IS A “MULTI - P” RESOURCE

# ENERGY EFFICIENCY’S STRATEGIC ROLE

13 

### Taxpayer Savings Energy 

### Security
Infrastructure Resilience Job

Creation

Economic

Development

# BUT 

# ENERGY EFFICIENCY IS NOT A 

# SILVER BULLET

14

# SOUTHEASTERN STATE EMISSIONS REDUCTIONS FOR EPA’S PROPOSED BUILDING BLOCKS ( LBS/ MWH )

# SIGNIFICANT EE OPPORTUNITY ACROSS THE SOUTHEAST: PERCENT OF PROPOSED GOAL THAT CAN BE MET WITH EE

56% 40% 58% 62% 108% 63% 53% 75% 58% 94% 93% 46% 0% 20% 40% 60% 80% 100%

AL AR FL GA KY LA MS NC SC TN VA WV Emission rate reduction required Emission rate reduction from energy efficiency

Source: American Council for an Energy Efficient Economy, 201417 

# COMPLEMENTARY INITIATIVES ABOUND ENERGY PERFORMANCE CONTRACTING UTILITY DEMANDSIDE MANAGEMENT PROGRAMS

FINANCIAL INCENTIVES LEAD BY EXAMPLE (STATE AND LOCAL GOVERNMENTS)

BUILDING ENERGY CODES Energy Offices and Utility Commissions serve as catalysts18 

# BRIDGING RESOURCES TO MAKE EE — ACCESSIBLE, BITE-SIZED, AND TAILORED TO THE NEEDS OF THE SOUTHEAST

# Energy Efficiency and EPA’s Proposed Clean Power Plan20 

# ENERGY EFFICIENCY: A WIN -WIN

# Thank you! Jenah Zweig, Policy Director 

# Southeast Energy Efficiency Alliance jzweig@seealliance.org 404-602-9663

# APPENDIX23 

# REGIONAL TRENDS: 

# POLITICAL LANDSCAPE IS EVOLVING

# REGIONAL TRENDS: STATES PROCESSING THE PROPOSED RULE
2425 

# REGIONAL TRENDS: BUILDING TECHNICAL CAPACITY26 

# THE SOUTHEAST: LOW RATES, HIGH BILLS

Source: American Council for an Energy- Efficient Economy, 2010 State Median Household Income Consumption

per Household (Million Btu) Expenditures

per Household Expenditures as

% of Median Household Income Rank AL $41,788 94.3 $2,499 6.0% 3 MS $37,696 97.8 $2,241 5.9% 4 SC $43,208 87.3 $2,281 5.3% 7 AR $38,851 99.9 $1,998 5.1% 9 TN $42,612 102.1 $2,135 5.0% 11 GA $48,448 103.7 $2,416 5.0% 13 NC $44,958 91.1 $2,200 4.9% 15 KY $40,990 104.1 $1,952 4.8% 17 LA $43,362 94.5 $2,058 4.7% 18 TX $49,585 83.3 $2,128 4.3% 28 FL $46,077 67.9 $1,976 4.3% 29

# DESIGN WITH THE “END IN MIND”

27 0 200 400 600 800 1,000 1,200 1,400

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000

1 3 5 7 9 11 13 15 17 19 21 23 EE&DR Reductions (MW) Peak Load (MW)

Hour Summer Season Hourly Peak Load Reductions from Energy Efficiency & Demand Response

EE Reductions Dispatchable DR Reductions Peak Hourly Load Peak Hourly Load minus EE&DR Source: TVA, 2020 Peak Day Load Forecast for Typical Summer Day28 

# ROBUST EE OPPORTUNITIES U tility EE P rograms Non - Utility Residential, Commercial and Industrial I nitiatives E nergy Performance Contracting B uilding E nergy Codes Appliance Standards

Benchmarking Combined Heat and Power (CHP ) Behavioral F inancing P rograms

Lead by Example (State and Local G overnments)29 

# THE SOUTHEAST: RISING IN THE RANKS