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Executive Summary
 

Overview 

Across the country, states are using clean energy 

policies to help meet their expanding energy demand 

in a clean, low-cost, reliable manner. In addition, a 

growing number of states are interested in learning 

about successful clean energy strategies and their 

economic and environmental benefits. 

The U.S. Environmental Protection Agency’s (EPA’s) 

Clean Energy-Environment Guide to Action is 

designed to share the experiences and lessons 

learned from successful state clean energy policies 

and help states evaluate these options, programs, 

and policies to determine what is most appropriate 

for them. The Guide to Action describes 16 clean 

energy policies, details the best practices and attributes of effective state programs, and provides 

resources for more information. The policies were 

selected from among a larger universe of clean 

energy strategies because of their proven effectiveness and their successful implementation. 

States that are developing new clean energy programs or 

enhancing existing ones can use the Guide to Action to: 

• Develop clean energy programs and policies appropriate to their state. 

• Identify the roles and responsibilities of key decisionmakers—such as environmental regulators, 

state legislatures, public utility commissioners, and 

state energy offices. 

• Access and apply technical assistance resources, 

models, and tools available for state-specific 

analyses and program implementation. 

• Learn from each other as they develop their own 

clean energy programs and policies. 

EPA’s Clean Energy-Environment State 

Partnership Program 

The Clean Energy-Environment State Partnership 

Program is a voluntary program designed to help 

states analyze and implement available policies and 

programs that effectively integrate clean energy into a 

low-cost, clean, reliable energy system for the state. 

States participating in the Clean Energy-Environment 

State Partnership Program will use the Guide to Action 

to develop a Clean Energy-Environment State Action 

Plan for implementing existing and new energy policies 

and programs to increase their use of clean energy. 

The EPA Clean Energy-Environment Guide to Action 

identifies and describes 16 clean energy policies and 

strategies that are delivering economic and environmental results for states. These policies focus on clean energy opportunities for public entities, industry, electricity 

generators and suppliers, homes, and businesses. There 

are also opportunities for states to promote clean energy in the transportation sector. These policies and programs are beyond the scope of the current Guide to 

Action but may be addressed in future editions. 

Why Clean Energy? 

Clean energy offers a cost-effective way to meet our 

nation’s growing demand for electricity and natural 

gas while reducing emissions of air pollutants and 

greenhouse gases, lowering energy costs, and 

improving the reliability and security of the energy 

system. 

States and the U.S. energy industry face multiple 

energy and environmental challenges in providing 

affordable, clean, and reliable energy in today’s complex energy markets. In terms of energy challenges, 

total U.S. energy demand is expected to increase by 

more than one-third by 2025, with electricity 

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Coal 

Gas

Combined

Cycle 

Wind 

Nuclear 

Energy

Efficiency 

EPA Clean Energy-Environment Guide to Action
 

demand rising by almost 40% (EIA 2005a). This 

growth stresses current systems, reduces reliability, 

and requires substantial new investment in system 

expansions. In addition, higher natural gas prices 

increase energy costs for households and businesses 

and raise the financial risk associated with the 

development of new generation based on gas technologies. Environmental challenges stem from fossil 

fuel-based electricity generation, which is a major 

source of air pollutants that form ground-level ozone 

and fine particulate matter, as well as greenhouse 

gases. Although emission levels are declining, high 

pollution levels persist in many parts of the United 

States—nearly half of the U.S. population lives in 

counties where air quality sometimes exceeds the 

federal 8-hour standard for ozone (EPA 2005a).1 

Clean energy includes demand- and supply-side 

resources that deliver clean, reliable, and low-cost 

ways to meet energy demand and reduce peak electricity system loads. Energy efficiency measures 

reduce demand for energy generation, which reduces 

What Is Clean Energy? 

the amount of fuel needed to power our daily lives. 

Renewable energy sources avoid the use of fossil 

fuels, and combined heat and power (CHP) can provide much greater energy output for the amount of 

fuel used. 

States are finding clean energy to be cost-competitive 

with traditional sources of generation. Figure ES.1 

illustrates the comparative cost of electricity from a 

range of sources, including energy efficiency and 

wind. More specifically, states’ experiences with clean 

energy programs and policies have shown that: 

•	 Well-Designed Energy Efficiency Programs Cost 

Less Than Supplying New Generation from Power 

Plants. Energy efficiency programs are saving 

energy at an average life cycle cost of about $0.03 

Figure ES.1: Clean Energy Is Competitive with 

Fossil Fuel and Nuclear Generation Technologies 

10.0 

8.0 

Clean energy includes energy efficiency and clean
 

energy supply, which refers to clean distributed generation and renewable energy. 


Energy efficiency (EE) reduces demand for energy and
 

peak electricity system loads. Common energy efficiency measures include hundreds of technologies
 

and processes for practically all end uses across all
 

2002 cents/kWh

6.0 

4.0 

2.0 sectors of the economy. 


Renewable energy (RE) is partially or entirely generated from non-fossil energy sources. Renewable energy
 

definitions vary by state, but usually include wind, 

solar, and geothermal energy; some states might also 

include low-impact or small hydro, biomass, biogas, 

and waste-to-energy. 

0.0 

Combined heat and power (CHP), also known as cogeneration, is a clean, efficient approach to generating 

electric and thermal energy from a single fuel source. 

Clean distributed generation (DG) refers to noncentralized—usually small-scale—renewable energy 

and CHP. 

Capital Costs O&M Costs Fuel Costs Transmission Costs 

Note: The costs for nuclear, coal, wind, and gas combined cycle are 

projections for the cost of producing energy from new plants in 2010. 

The cost for energy efficiency is a median figure based on recent 

reports of the cost of energy saved over a portfolio of programs in leading states. 

Sources: ACEEE 2004, EIA 2004. 

1 In April 2005, 134 million people were living in 470 counties where the air quality sometimes exceeds the federal 8-hour standard for ozone.
 

Seventy-five million people were living in more than 200 counties that do not meet the PM2.5 standard (EPA 2005a).
 

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ES-3

 

EPA Clean Energy-Environment Guide to Action
 

Energy Savings Potential from State Clean 

Energy Actions 

The potential energy savings achievable through 

state actions is significant. EPA estimates that if each 

state were to implement cost-effective clean energyenvironment policies, the expected growth in demand 

for electricity could be cut in half by 2025, and more 

demand could be met through cleaner energy supply. 

This would mean annual savings of more than 900 billion kilowatt-hours (kWh) and $70 billion in energy 

costs by 2025, while preventing the need for more 

than 300 power plants and reducing greenhouse gas 

emissions by an amount equivalent to emissions from 

80 million of today’s vehicles.a 

a This estimate is based on EPA analysis of independent evaluations 

of the potential for cost-effective energy efficiency investments to 

help meet the nation’s growing demand for energy and electricity. 

Evaluations include a 2004 meta-analysis that examined the results 

of 11 different studies that estimated the potential for energy efficiency in various states and regions in the country and for the 

United States as a whole (Nadel et al. 2004). 

per kilowatt-hour (kWh) saved, which is 50% to 

75% of the typical cost of new power sources and 

less than one-half of the average retail price of 

electricity (ACEEE 2004a, EIA 2005b). 

•	 There Is Significant Potential for Additional CostEffective Investment in Energy Efficiency. State and 

regional energy efficiency potential studies have 

found that adoption of economically feasible and 

technically achievable, but as yet untapped, energy 

efficiency could yield a 24% savings in total electricity demand nationwide by 2025, which is 

equivalent to a 50% or greater reduction in electricity growth (SWEEP 2002, Nadel et al. 2004, 

NEEP 2005, NWPCC 2005). Many states could 

capture a greater portion of achievable energy 

potential and lower energy costs for consumers 

and businesses by increasing spending on costeffective energy efficiency. 

•	 Renewable Energy Technologies Are Increasingly 

Competitive with Conventional Generation. 

Renewable energy continues to grow rapidly, in 

part because state policies are helping increase its 

cost competitiveness. For example, depending on 

geographic location, wind energy technology can 

produce power at about $0.04 to $0.06/kWh, 

which is competitive with conventional natural 

gas combined cycle generation (Navigant 2003). In 

2004, approximately 18 gigawatts (GW) of nonhydro renewable capacity was operational in the 

United States, representing about 2% of total U.S. 

electricity generation capacity (EIA 2005c). 

•	 CHP Systems Are Substantially More Efficient Than 

Traditional Electricity Generation Purchased from 

the Grid and for Meeting Thermal Needs with a 

Boiler or Process Heater Alone. CHP systems 

achieve fuel use efficiencies that typically range 

between 60% and 75%, a significant improvement 

over the average efficiency of separately generated heat and power. In 2004, approximately 80 GW 

of CHP were operational in the United States (EPA 

2004a). 

States are also using clean energy to promote economic development by reducing energy costs, creating jobs, and attracting business investments in 

clean energy technologies and services. For example, 

investment in energy efficiency leads to energy bill 

savings, with those savings being reinvested in the 

economy and supporting more jobs than if the energy were purchased (SWEEP 2002). Clean energy projects create short-term construction and installation 

jobs and provide numerous long-term opportunities 

associated with new clean energy businesses. 

Clean energy addresses environmental challenges by 

helping improve air quality. Energy efficiency, renewable resources, and clean energy technologies such 

as CHP systems can reduce air pollution and greenhouse gas emissions. States are implementing a 

range of innovative approaches that are achieving 

quantifiable reductions in air pollutants through 

clean energy programs, policies, and measures. 

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EPA Clean Energy-Environment Guide to Action
 

Opportunities for State Action 

State governments are increasingly developing policies and programs that address their energy challenges and spur greater investment in energy efficiency, renewable energy, and clean distributed 

resources. For example, states are: 

•	 Leading by example by establishing programs that 

achieve substantial energy cost savings within 

their own state facilities, fleets, and operations 

and encouraging the broader adoption of clean 

energy by the public and private sectors. State 

governments across the country are collaborating 

with state agencies, local governments, and 

schools to identify and capture energy savings 

within their facilities and operations, purchase or 

generate renewable energy, and use clean DG/CHP 

in their facilities. 

•	 Establishing ratepayer-funded energy efficiency 

programs (e.g., public benefits funds) to help overcome a variety of first-cost, informational, splitincentive, and other market barriers that limit 

greater reliance on energy efficiency. Seventeen 

states and Washington, D.C. have adopted public 

benefits funds (PBFs) for energy efficiency, and 16 

states have developed PBFs for clean energy supply (ACEEE 2004b, ACEEE 2004c, UCS 2004, DSIRE 

2005, Navigant 2005). 

•	 Adopting state minimum appliance efficiency standards for products not covered by the federal government that yield net cost savings to businesses 

and consumers. Ten states have adopted appliance 

standards covering 36 types of appliances (Delaski 

2005, Nadel et al. 2005). 

•	 Establishing renewable portfolio standards (RPS) 

that direct electric utilities and other retail electric 

providers to supply a specified minimum percentage (or absolute amount) of customer load with 

eligible sources of renewable electricity. Twentyone states and Washington, D.C. have adopted RPS 

requirements, which are expected to generate 

more than 26,000 MW of new renewable energy 

capacity by 2015 (Navigant 2005). 

•	 Reviewing utility incentives and planning processes 

and designing policies that accurately value energy efficiency, renewables, and distributed 

resources in a way that “levels the playing field” 

so public utility commissions and consumers can 

make fair, economically based comparisons 

between clean energy and other resources. More 

than 12 states have developed approaches that 

remove disincentives for utilities to invest in 

demand-side resources. 

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EPA Clean Energy-Environment Guide to Action
 

The Guide to Action 

The Guide to Action presents a menu of 16 clean 

energy strategies that states can review and choose 

from when developing their clean energy policies or 

Clean Energy-Environment Action Plans (see What 

States Can Do, page ES-21, for additional information about Clean Energy-Environment Action Plans). 

States have found that a combination of clean 

energy policies, developed as a coordinated package, 

is the most effective approach. Typically, states have 

chosen policies to address each of the clean energy 

areas: energy efficiency (EE), renewable energy (RE), 

and clean DG. 

Table ES.1 provides an overview of the policies 

addressed in the Guide to Action and the type(s) of 

clean energy targeted by each policy. These policies 

were selected for inclusion in the Guide to Action 

because of their proven effectiveness, their ability to 

help overcome the barriers states face as they promote clean energy, and their successful implementation by a number of states. The information presented about each policy is based on proven models, 

state experiences, and lessons learned. 

Table ES.2 presents additional detail about each of 

the 16 policies, including information on specific 

approaches states can use to implement each policy, 

key design issues and resources, and states that can 

serve as examples of each policy. (Note that many 

other states have also implemented these policies; 

for more information, see the policy sections in the 

Guide to Action.) A brief description of each of the 

16 policies, including highlights of state experiences 

with each policy, follows Table ES.2. 

Table ES.1: Summary of Clean Energy Policies by 

Type of Clean Energy 

Clean Energy Policy 

Guide to 

Action 

Section 

Type of Clean E

EE RE 

nergy 

Clean 

DG/ 

CHP 

State Planning and Incentive Structures 

Lead by Example 3.1 ● ● ●

State and Regional Energy 

Planning 3.2 ● ● ●

Determining the Air Quality 

Benefits of Clean Energy 3.3 ● ● ●

Funding and Incentives 3.4 ● ● ●

Energy Efficiency Actions 

Energy Efficiency Portfolio 

Standards (EEPS) 4.1 ●

Public Benefits Funds (PBFs) 

for Energy Efficiency 

4.2 ●

Building Codes for Energy 

Efficiency 4.3 ●

State Appliance Efficiency 

Standards 

4.4 ●

Energy Supply Actions (Renewable Energy 

and Combined Heat and Power) 

Renewable Portfolio 

Standards (RPS) 5.1 ● ●

Public Benefits 

Funds (PBF) for State Clean 

Energy Supply Programs 

5.2 ● ●

Output-Based Environmental 

Regulations to Support Clean 

Energy Supply 

5.3 ● ●

Interconnection Standards 5.4 ● ●

Fostering Green Power 

Markets 5.5 ● ●

Utility Planning and Incentive Structures 

Portfolio Management 

Strategies 6.1 ● ● ●

Utility Incentives for DemandSide Resources 6.2 ● ● ●

Emerging Approaches: 

Removing Unintended Utility 

Rate Barriers to Distributed 

Generation 

6.3 ● ●

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EPA Clean Energy-Environment Guide to Action
 

Table ES.2: Summary of Clean Energy Policies
 

Policy Description Specific Approaches Design Issues State Examples 

Key Resources in 

the Guide to Action 

State Planning and Incentive Structures 

Section 3.1 Lead by Example 

States lead by example 

by establishing pro-­

grams that achieve sub-­

stantial energy cost sav-­

ings within their own 

operations, buildings, 

and fleets and demon-­

strate the feasibility and 

benefits of clean energy 

to the larger market. 

• Energy savings targets for 

public buildings. 

• Renewable and energy efficiency 

purchase commitments for state 

facilities. 

• State loan and incentive programs 

for public buildings. 

• Energy performance contracting. 

• Technical support and training. 

• State clean energy planning. 

• Understand state’s own energy use 

and then set aggressive goals. 

• Collaborate across public agencies, 

local governments, schools, private 

sector, and nonprofit organizations. 

• Identify funding sources and develop 

funding mechanisms. 

• Measure, verify, and communicate 

energy savings. 

CA, CO, IA, NH, NJ, 

NY, OR, TX 

• Details about statespecific “lead by 

example” program 

design. 

• Evaluation guidelines 

and information 

resources. 

• Examples of legislation 

and executive orders 

passed by states related to lead by example 

actions. 

Section 3.2 State and Regional Energy Planning 

Energy planning at a 

state or regional level 

can be an effective 

means for ensuring that 

clean energyis consid-­

ered and used as an 

energy resource to help 

states address their 

multiple energy, eco-­

nomic, and environmen-­

tal goals. 

• Clean energy plan. 

• Clean energy included within a 

comprehensive state energy plan. 

• Planning conducted by energy 

providers. 

• Analyze a full range of impacts for a 

variety of policy scenarios. 

• Establish specific quantitative and 

other goals; monitor and report 

progress regularly. 

• Link the plan to action by developing 

specific steps for plan adoption and 

implementation, and making these 

actions enforceable where appropriate. 

CA, CT, NM, NY, OR, 

Northwest Power 

Planning and 

Conservation 

Council, New 

England Governors’ 

Conference, 

Western Governors’ 

Association, 

Western Interstate 

Energy Board 

• Design information. 

• Benefits of energy 

plans. 

• Program implementation and evaluation. 

• Links to existing state 

and regional energy 

plans. 

• References to articles 

on energy planning. 

Section 3.3 Determining the Air Quality Benefits of Clean Energy 

States estimate the 

emission reductions 

from their clean energy 

programs, incorporate 

those reductions into air 

quality programs, and 

evaluate and report the 

emission reduction ben-­

efits of their clean ener-­

gy programs and poli-­

cies. 

• Incorporating clean energy into air 

quality plans and long-term utility 

planning requirements. 

• Developing set-asides for energy 

efficiency and renewable energy 

projects. 

• Tracking and reporting emission 

reductions. 

• Choose the most appropriate methodology for the given purpose, geographic scope, time scale, magnitude 

of energy savings, available 

resources, and available data. 

• Make all assumptions and inputs 

transparent; identify how to address 

electricity dispatch, imports and 

exports, line losses, and transmission 

constraints. 

• Understand and account for how the 

results will interact with other programs. 

LA (local), MD 

(local), TX, WI, 

Western Regional 

Air Partnership 

• Information about EPA 

guidance and analyses. 

• General and specific 

information about 

quantification methods 

and tools. 

• Articles about quantifying emission reductions. 

• State examples. 

(continued on next page)
 

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EPA Clean Energy-Environment Guide to Action
 

Table ES.2: Summary of Clean Energy Policies (continued)
 

Policy Description Specific Approaches Design Issues State Examples 

Key Resources in 

the Guide to Action 

State Planning and Incentive Structures (continued) 

Section 3.4 Funding and Incentives 

States implement a range of 

targeted funding and incen-­

tives strategies that encour-­

age governments, business-­

es, and consumers to save 

energy through cost-effective 

clean energy investments. 

Between 20 and 30 states 

have revolving loan funds for 

energy efficiency, tax incen-­

tives for renewable energy, 

grants for renewable energy, 

or rebates for renewable 

energy. 

• Revolving loan funds. 

• Energy performance contracting. 

• Tax incentives. 

• Grants, rebates, and generation incentives. 

• NOx set-asides for energy 

efficiency and renewable 

energy projects. 

• Supplemental Environmental 

Projects (SEPs). 

• Develop specific target markets and 

technologies based on technical and 

economic analysis. 

• Use financing and incentives as part of 

a broader package of services designed 

to encourage investments. 

• Establish specific technical and 

financial criteria for clean energy 

investments. 

• Track program participation, costs, and 

energy savings to enable evaluation 

and improvement. 

CA, CO, IA, MT, NY, 

OR, TX, WA 

• Program design information, including funding sources, levels, and 

duration. 

• Implementation and 

evaluation information. 

• Information about federal incentives and 

existing state programs. 

• Examples of legislation. 

Energy Efficiency Actions 

Section 4.1 Energy Efficiency Portfolio Standards (EEPS) 

Similar to Renewable 

Portfolio Standards (see 

Section 5.1), EEPS direct 

energy providers to meet a 

specific portion of their elec-­

tricity demand through ener-­

gy efficiency. Seven states 

have direct or indirect EEPS 

requirements. 

• Energy efficiency targets for 

energy providers as a percentage of load growth, 

base year sales, or fixed 

energy savings (e.g., kWh). 

• Use economic potential studies and 

other analyses to help establish the 

energy savings target. 

• State the target clearly (e.g., as a percentage of base year energy sales) and 

establish a robust measurement and 

verification process. 

• Ensure workable funding mechanisms 

are available to meet the goal. 

CA, IL, NJ, NV, PA, 

TX 

• Information about state 

experiences. 

• Information about 

measurement and verification. 

• Examples of legislation 

and PUC rulemakings. 

Section 4.2 Public Benefits Funds (PBFs) for Energy Efficiency 

PBFs for energy efficiency • Funds for efficiency pro­ • Establish funding via a universal, non- CA, NY, OR, WI • Descriptions of costare pools of resources used grams based on a system­ bypassable charge at a rate that cap- effectiveness tests and 

by states to invest in energy wide charge (mills per kWh). tures economic energy efficiency information on energy 

efficiency programs and 

projects and are typically 

created by levying a small 

charge on customers’ elec-­

tricity bills. Seventeen states 

and Washington, D.C. have 

established PBFs for energy 

efficiency. 

• Grants, rebates, and loans. 

• Technical assistance, education, and training support 

for energy efficiency investments. 

potential, but is not a cap on investments. 

• Set the duration for an extended period 

of time (e.g., five to 10 years) to provide 

continuity and certainty for investors. 

• Select the most appropriate administering organization for the given conditions 

(e.g., utilities, state agencies, independand cost savings. 

• Information about PBF 

program designs, funding levels, and evaluation methods. 

• Examples of legislation 

and PUC rulemakings. 

ent organizations). 

• Regularly evaluate the program’s quantitative impacts (e.g., energy saved, emissions avoided, dollars saved, jobs created) and the effectiveness of program 

operations and delivery. 

(continued on next page) 

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EPA Clean Energy-Environment Guide to Action
 

Table ES.2: Summary of Clean Energy Policies (continued)
 

Policy Description 

Specific 

Approaches 

Design Issues 

State 

Examples 

Key Resources in 

the Guide to Action 

Energy Efficiency Actions (continued) 

Section 4.3 Building Codes for Energy Efficiency 

Building energy codes estab-­

lish energy standards for resi-­

dential and commercial build-­

ings, thereby setting a mini-­

mum level of energy efficiency 

and locking in future energy 

savings at the time of new con-­

struction or renovation. More 

than 40 states have implement-­

ed some level of building codes 

for residential buildings and/or 

commercial buildings. 

• Minimum energy efficiency requirements 

for residential and 

commercial buildings. 

• Periodic review and 

updates to existing 

codes. 

• Code implementation, 

evaluation, and compliance assistance. 

• Develop effective program implementation, evaluation, 

and enforcement approaches. 

• Work collaboratively with builders, developers, and 

building owners to ensure compliance. 

• Establish requirements and process for periodically 

reviewing and updating codes to reflect changes in 

building technology and design. 

• Promote “beyond code” building programs to achieve 

additional cost-effective energy efficiency. 

AZ, CA, 

OR, TX, 

WA 

• Information about 

individual state codes. 

• Compliance and analytic 

tools. 

• Examples of code 

language. 

Section 4.4 State Appliance Efficiency Standards 

State appliance efficiency 

standards set minimum ener-­

gy efficiency standards for 

equipment and appliances 

that are not covered by fed-­

eral efficiency standards. Ten 

states have adopted appli-­

ance standards. 

• Minimum energy efficiency levels for consumer products and 

commercial equipment. 

• Periodic evaluation 

and review of standards, markets, and 

product applications. 

• Identify the products covered by federal law and carefully define the set of appliances to be covered by the 

state standard. 

• Use established test methods, as developed by federal 

agencies, other states, or industry associations, to set 

efficiency levels for the state appliance standards. 

• Consider implementation issues, including 

product certification, labeling requirements, and 

enforcement. 

CA, CT, 

NJ, NY 

• General and state-specific 

information about standards. 

• Definitions of products covered by federal and state 

standards. 

• Examples of enabling legislation, state rulemakings, 

and requests for preemption waivers. 

Energy Supply Actions 

Section 5.1 Renewable Portfolio Standards (RPS) 

RPS establish requirements 

for electric utilities and other 

retail electric providers to 

serve a specified percentage 

or amount of customer load 

with eligible resources. 

Twenty-one states and 

Washington, D.C. have adopt-­

ed RPS. 

• Promoting specified 

technologies through 

”technology tiers” 

and ”credit multipliers.” 

• Alternative compliance payments. 

• Renewable Energy 

Certificates (RECs) 

trading. 

• Develop broad support for an RPS, including top-level 

support of the governor and/or legislature by performing 

studies that analyze job creation, economic development, and customer bill impacts. 

• Specify which renewable energy technologies and 

resources will be eligible, based on clearly articulated 

goals and objectives. 

• Consider using energy generation (not installed capacity) as a target, make compliance mandatory for all 

retail sellers, allow utility cost recovery, establish cost 

caps, and consider flexible compliance mechanisms. 

AZ, CA, 

MA, TX, 

WI 

• Information on state RPS 

requirements and eligible 

technologies. 

• Information on selected 

state RPS program 

designs. 

• Description of renewable 

energy credits and power 

markets. 

Section 5.2 Public Benefits Funds (PBFs) for State Clean Energy Supply Programs 

PBFs are a pool of resources 

used by states to invest in 

clean energy supply projects 

and are typically created by 

levying a small charge on 

customers’ electricity bills. 

Sixteen states have estab-­

lished PBFs for clean energy 

supply. 

• Funds for emerging 

and commercially 

competitive technologies and clean energy 

market development 

programs based on a 

system-wide charge 

(mills per kWh). 

• Grants, rebates, and 

generation incentives. 

• Protect funding from being diverted for other uses. 

• Consider the importance of technology stages. 

• Ensure that PBFs support the state’s energy and environmental goals and work in concert with other state 

renewable energy initiatives (e.g., RPS and tax credits). 

CA, CT, 

MA, NJ, 

NY, OH 

• Information on federal 

resources. 

• General and specific information on state approaches and models. 

• Information on funding levels 

and technologies supported 

by PBFs. 

• State examples. 

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� Executive Summary 
 

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EPA Clean Energy-Environment Guide to Action
 

Table ES.2: Summary of Clean Energy Policies (continued)
 

Policy Description Specific Approaches Design Issues 

State 

Examples 

Key Resources in 

the Guide to Action 

Energy Supply Actions (continued) 

Section 5.3 Output Based Environmental Regulations to Support Clean Energy Supply 

Output-based environmen-­ • Conventional emission limits • Determine the types of DG and CHP tech- CT, IN, MA, • Information on federal and 

tal regulations establish using an output formula. nologies and applications that may be TX other resources. 

emissions limits per unit of 

productive energy output 

of a process (i.e., electrici-­

ty, thermal energy, or shaft 

power), with the goal of 

encouraging fuel conver-­

sion efficiency and renew-­

able energy as air pollution 

control measures. Twelve 

• Special regulations for small distributed generators that are output based. 

• Output-based allowance allocation methods in a cap and trade 

program. 

• Output-based allowance allocation set-asides for energy effiaffected and if the regulation needs to 

address any specific technology issues. 

• Gather/review available output-based emissions data for regulated sources. 

Alternatively, convert available data to output-based format. 

• Evaluate alternative approaches to account 

for multiple outputs of CHP units. 

• Articles on output-based 

regulation. 

• Examples of federal and 

state legislation and program proposals. 

states have established ciency and renewable energy. 

output-based environmen-­ • Multi-pollutant emission

tal regulations. regulations using an output-based 

format. 

Section 5.4 Interconnection Standards 

Standard interconnection • Standard interconnection rules • Develop standards that cover the scope of MA, NJ, • State-by-state assessrules establish processes for DG systems through defined the desired DG technologies, generator NY, TX ment and references. 

and technical require-­

ments that apply to utilities 

within the state and 

reduce uncertainty and 

delays that clean DG sys-­

tems can encounter when 

obtaining electric grid con-­

nection. Fourteen states 

have standard intercon-­

nection rules, and 39 

application processes and technical requirements. 

• Net metering, which defines 

application processes and technical requirements, typically for 

smaller projects. 

types, sizes, and distribution system types. 

• Address all components of the interconnection process, including issues related to the 

application process and technical requirements. 

• Create a streamlined process for generators 

that are certified compliant with technical 

standards such as IEEE Standard 1547 and 

UL Standard 1741. 

• Information on federal and 

other resources. 

• National standards organizations. 

• Examples of standard 

interconnection rules. 

states offer net metering. • Consider adopting portions of national models and successful programs in other states. 

Section 5.5 Fostering Green Power Markets 

States play a key role in • Customer access to green power • Encourage new resources to ensure that CT, MA, • Information about state 

fostering the development markets. renewable benefits are realized. NJ, NM, programs. 

of voluntary green power 

markets that deliver costcompetitive, environmen-­

tally beneficial renewable 

energy resources by giving 

customers the opportunity 

to purchase clean energy. 

Green power is available 

• Green pricing tariffs. 

• Green “check-off” programs. 

• Establishing quantitative goals 

and objectives for green power 

markets. 

• Create real value for green power customers (e.g., by exempting them from utility 

fuel adjustment charges or developing 

recognition programs for commercial customers). 

• Create programs with sufficiently long time 

horizons to encourage long-term power 

WA • Examples of state 

legislation and regulations. 

• Information on federal and 

other resources. 

in more than 40 states. contracts. 

• Determine the appropriate relationship 

between green power purchases and compliance with RPS. 

(continued on next page) 

� Executive Summary ES-9 
 

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EPA Clean Energy-Environment Guide to Action
 

Table ES.2: Summary of Clean Energy Policies (continued)
 

Policy Description 

Specific 

Approaches 

Design Issues 

State 

Examples 

Key Resources in 

the Guide to Action 

Utility Planning and Incentive Structures 

Section 6.1 Portfolio Management Strategies 

Portfolio management strate-­ • Energy resource • Identify state policy goals for portfolio management, such CA, CT, IA, MT, • Design guidance. 

gies include energy resource 

planning approaches that 

place a broad array of sup-­

ply and demand options on a 

level playing field when com-­

paring and evaluating them 

in terms of their ability to 

planning and procurement. 

• Integrated resource 

planning (IRP). 

• Retail choice portfolio management. 

as cost, environmental impacts, resource diversity, and 

risk management. 

• Identify the entities that procure and plan for energy supply, transmission, and distribution. 

• Determine the appropriate process for acquiring and comparing alternative resource options. 

NV, OR, PA, 

VT, Idaho 

Power, 

Northwest 

Power and 

Conservation 

Council, 

• Information on program implementation and evaluation. 

• State and regional 

examples and links 

to key references. 

meet projected energy • Establish clear roles for utility and regulatory authorities in PacifiCorp, 

demand and manage uncer-­ selecting evaluation criteria, reviewing proposals, and Puget Sound 

tainty. choosing final resources. 

• Require that all demand and supply resources be considered in meeting identified needs. 

Energy 

Section 6.2 Utility Incentives for Demand Side Resources 

A number of approaches— • Decoupling utility • Understand state utility ratemaking and revenue require- AZ, CA, CT, ID, • Design guidance. 

including decoupling and per-­

formance incentives—remove 

disincentives for utilities to 

consider energy efficiency 

and clean distributed genera-­

tion equally with traditional 

electricity generation invest-­

ments when making electricity 

profits from sales 

volume. 

• Program cost recovery. 

• Shareholder 

performance 

incentives. 

ments. 

• Determine if utility rates create financial disincentives for 

energy efficiency and clean distributed generation. 

• Gather information and stakeholder input on utility incentive options. 

• Devise an implementation plan to remove disincentives. 

MA, MD, ME, 

MN, NM, NV, 

NY, OR, WA 

• References to state 

incentive regulation 

efforts. 

• References to articles and Web sites 

on utility incentives. 

market resource planning 

decisions. 

Section 6.3 Emerging Approaches: Removing Unintended Utility Rate Barriers to Distributed Generation 

Electric and natural gas • Utility ratemaking • Ensure that state PUC commissioners and staff have cur- Exit Fees: • Examples of state 

rates, set by Public Utility and revenue require- rent and accurate information on rate issues for CHP and CA, IL, MA legislation and 

Commissions, can be 

designed to support clean 

DG projects and avoid unin-­

tended barriers, while also 

providing appropriate cost 

recovery for utility services 

on which consumers 

depend. 

ments. 

• Revised standby rate 

structures. 

• Exit fee exemptions. 

• Natural gas rates for 

DG and/or CHP. 

• In regulated markets, 

help generators and 

utilities establish 

appropriate buyback 

rates. 

renewables and their potential benefits for the generation 

system. 

• Open a generic PUC docket, if needed, to explore the actual costs and system benefits of onsite clean energy supply 

and rate reasonableness. 

• Engage energy users to accurately examine the costs and 

system benefits of existing and planned onsite clean DG. 

Standby 

Rates: 

CA, NY 

Gas Rates: 

NY 

rules. 

• Information on federal resources. 

• Articles about 

ratemaking. 

ES-10 � Executive Summary
 
 

 

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EPA Clean Energy-Environment Guide to Action
 

State Planning and Incentive 

Structures 

States are substantially reducing energy costs and 

emissions and are supporting in-state economic 

development through clean energy policies. The 

Guide to Action provides resources on the following 

policies that states have successfully implemented to 

promote clean energy within their own operations, 

through state and regional energy and air quality 

planning efforts, and funding and incentive programs. 

Lead by Example 

State and local governments are implementing a 

range of “lead by example” programs and policies 

that advance the use of clean energy within their 

own facilities, fleets, and operations, substantially 

reducing their energy bills. These bills are sizable— 

states are responsible for more than 16 billion square 

feet of building space and spend more than $11 billion annually on building energy costs, which can 

account for as much as 10% of a typical government’s annual operating budget (DOE 2005a). In 

addition to achieving energy savings within state 

States Are Leading by Example 

•	 New York’s “Green and Clean” State Buildings and 

Vehicles, administered by the New York State Energy 

Research and Development Authority (NYSERDA), 

sets aggressive targets for reducing energy use in 

state buildings and vehicles, green power purchasing, and purchasing energy efficient products. 

•	 Iowa’s Executive Order Number 41 directs state agencies to obtain at least 10% of their electricity from 

renewable energy sources by 2010. To satisfy this 

requirement, agencies may generate their own renewable energy or may participate in their utility’s green 

power programs (Iowa 2005). 

•	 New Hampshire’s Executive Order 2005-4 requires 

state agencies to reduce energy use by 10% and 

purchase ENERGY STAR equipment. Executive Order 

2004-7 requires state staff to conduct an inventory of 

annual energy use by all state facilities, using EPA’s 

Energy Performance Rating System to assess energy efficiency, and to conduct audits to identify energy efficiency opportunities in state facilities. 

facilities, lead by example initiatives promote the 

adoption of clean energy technologies by the public 

and private sectors. 

States have initiated lead by example initiatives 

through executive orders, legislation, and agency 

rulemakings. Typically, these initiatives are coordinated by the state energy office, and involve multiple 

agencies and programs across state and local government and other public agencies. 

State and Regional Energy Planning 

Energy planning at a state or regional level is an 

effective means for ensuring that clean energy is 

considered and used as an energy resource to help 

states address their multiple energy and nonenergy 

States and Regions Are Developing Energy Plans 

•	 California’s Integrated Energy Policy Report (IEPR) 

is an extensive assessment prepared biennially at 

the direction of the state legislature. It includes policy recommendations for addressing multiple goals, 

including conserving resources; protecting the 

environment; ensuring reliable, secure, and diverse 

energy resources; enhancing the state’s economy; 

and protecting public health and safety. The IEPR is 

complimented by a brief “blueprint” for energyrelated actions, the California “Energy Action Plan” 

(CEC 2005a). 

•	 The Connecticut Energy Advisory Board develops 

an Annual Energy Plan that includes specific strategies to support energy efficiency and renewable 

resources based on a detailed assessment of supply and demand options and related policy opportunities and challenges. The Plan describes how programs and policies across the state help advance 

Connecticut’s energy and other goals and includes 

a progress report on the Connecticut Climate 

Change Action Plan, as a significant energy-related 

initiative (CEAB 2005). 

•	 The Western Governors’ Association’s Clean and 

Diversified Energy Advisory Committee (CDEAC), 

created by the governors of 18 western states, 

recently undertook an extensive analysis to explore 

how to meet a regional goal of developing 30,000 

MW of clean energy by 2015 and increasing energy 

efficiency 20% by 2020 (WGA 2005). 

� Executive Summary
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EPA Clean Energy-Environment Guide to Action
 

challenges. Energy planning helps support a costeffective response to projected load growth (possibly 

avoiding the need for new power plants and infrastructure); improves system reliability, supply diversity, and security; reduces energy prices and price 

volatility; and reduces the environmental impact of 

energy generation. Energy plans are usually developed by one or more state agencies. Typically, the 

state energy office leads the planning effort, and a 

variety of public and private sector stakeholders play 

a role in developing the plan or providing input. 

Energy planning takes place in several contexts—it 

can be part of a broad, multi-faceted strategy (e.g., 

the New York State Energy Plan), or a more targeted 

effort that specifically addresses one or more clean 

energy goals (e.g., the Illinois Sustainable Energy 

Plan). At the regional level, planning typically occurs 

in two separate but related forums. In one approach, 

government or quasi-government entities (e.g., governors’ associations) focus on developing broad 

regional policy approaches. Alternatively, power system operators engage in rigorous power system 

planning (with input from states) that focuses on 

providing reliable and adequate power supplies within their region. Both forums offer opportunities to 

consider clean energy as a way of meeting future 

energy demand. 

Determining the Air Quality Benefits of Clean 

Energy 

Meeting energy demand through clean energy 

sources can reduce emissions from fossil-fueled generators and provide many emissions benefits. States 

are employing a number of methods to quantify the 

emission reductions from their clean energy programs and policies and incorporate those reductions 

into documentation for air quality planning efforts, 

energy planning, and clean energy program results. 

Quantifying emission reductions from clean energy 

options provides states with additional information 

to use when selecting among alternative clean energy solutions, determining the best way to design 

clean energy programs to comply with existing and 

prospective regulations, and determining the best 

investment opportunities for a specific clean energy 

States Are Identifying the Air Quality Benefits 

of Clean Energy 

•	 The Texas Legislature passed the Texas Emissions 

Reduction Plan in 2001, requiring counties to implement energy efficiency measures and reduce electricity consumption 5% a year for five years to help 

the state comply with federal emissions limits and 

standards. The Texas Commission on Environmental 

Quality worked with EPA and several Texas organizations to develop a methodology for quantifying the 

nitrogen oxide (NO ) emission reductions associat­ x

ed with energy savings from individual clean energy 

projects. 

•	 The Western Regional Air Partnership (WRAP) was
 

established in 1997 to help incorporate 10% renewable energy into its resource mix by 2010 and 20%
 

by 2015 in an effort to reduce regional haze. A
 

WRAP study of the air emission reductions from
 

state clean energy programs estimated that NO
x 

emissions would be reduced by about 14,000 tons 

and carbon dioxide (CO2) emissions by about 56 million metric tons by 2018 (WRAP 2003). 

program. Some states are working with EPA to 

include clean energy as an emission reduction measure in air quality plans. EPA provides guidance and 

can help states identify ways to use emission reduction data and appropriate quantification methods 

and documentation requirements (EPA 2004b). 

Funding and Incentives 

States are using well-designed, targeted funding and 

incentives for a broad range of clean energy technologies and services. State funding and incentive 

programs, some of which are self-sustaining (e.g., 

revolving loan funds), deliver energy and cost savings 

for governments, businesses, and consumers. These 

programs help overcome barriers, stimulate markets 

and build infrastructure, and leverage public and private sector investment. States have made additional 

investments and achieved subsequent savings by 

coordinating financial incentives with federal incentives (e.g., the production tax credit for renewable 

energy generation), other state programs, and utilitybased clean energy programs. 

ES-12 � Executive Summary
 
 

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EPA Clean Energy-Environment Guide to Action
 

States Are Providing Funding and Incentives 

for Clean Energy 

•	 The Texas LoanSTAR program is a self-sustaining 

program that provides low-interest loans to finance 

energy conservation retrofits in state public facilities. Loans are repaid in four years or less using 

cost savings from verified energy reductions. Public 

agencies in Texas have reduced their energy costs 

by more than $150 million through the LoanSTAR 

program (DOE 2005c, Texas SECO 2005). 

•	 Oregon offers the Business Energy Tax Credit 

(BETC) and Residential Energy Tax Credit (RETC) to 

businesses and residents. Through 2004, more than 

12,000 energy tax credits worth $243 million have 

been awarded. Altogether, these investments save 

or generate energy worth about $215 million a year 

(Oregon DOE 2005). 

Energy Efficiency Actions 

States have implemented a variety of policies and 

programs that encourage investment in and adoption 

of energy efficiency. Cost-effective energy efficiency 

programs can be structured to help remove the key 

market, regulatory, and institutional barriers that 

might otherwise hinder investment in energy efficiency measures by consumers, businesses, utilities, 

and public agencies. The Guide to Action describes 

four energy efficiency policies that a number of 

states have successfully implemented to support 

greater investment in and adoption of energy efficiency. 

Energy Efficiency Portfolio Standards (EEPS) 

EEPS require energy providers to meet a specific portion of their electricity demand through energy efficiency. A relatively recent policy tool, EEPS have been 

developed primarily in states with restructured utility 

markets, typically as a partial replacement for their 

Integrated Resource Planning (IRP) requirements. 

EEPS offer several policy advantages, including simplicity, specificity, and economies of scale. 

To date, seven states have adopted EEPS either 

directly or indirectly (with energy efficiency as a 

component of a larger clean energy target or goal). 

Overall, these EEPS targets range from the equivalent 

of a 10% to 50% reduction in energy demand 

growth (EPA 2005b). Specific EEPS designs vary by 

state. Some states, such as California, have established specific energy savings goals defined in terms 

of the amount of savings (e.g., expressed as MW, 

megawatt-hours [MWh], and/or therm savings) 

required over a specified time frame. Other states 

(e.g., Connecticut, Texas, and Illinois) require utilities 

to use energy efficiency to meet a specified percentage of total energy sales or forecast load growth 

over a certain time period. EEPS targets have been 

established by state legislatures and are administered 

by the state public utility commission (or other regulatory body), with input from utilities, public interest 

organizations, and the general public. 

States Are Adopting Energy Efficiency 

Portfolio Standards 

•	 The California EEPS sets ambitious annual energy 

savings goals for the period 2004 to 2013 for the 

state’s four largest investor-owned utilities (IOUs). 

The cumulative effect of these goals is estimated to 

result in annual savings in 2013 of 23,183 GWh, 4,885 

MW of peak demand, and 444 million therms of natural gas and to meet more than half of the IOUs’ 

electricity sales growth and nearly half of natural 

gas sales growth (CPUC 2004, CEC and CPUC 2005). 

•	 Texas was the first state to implement an EEPS. The 

Texas PUC calculated that it has exceeded its target 

of a 10% reduction in load growth by 2004 and has 

saved more than 400 million kWh of electricity at a 

cost of $82 million, for a net benefit of $76 million to 

date (Gross 2005). 

� Executive Summary
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EPA Clean Energy-Environment Guide to Action
 

Public Benefits Funds (PBFs) for Energy 

Efficiency 

Many states have found that PBFs, also known as 

system benefits charges (SBCs) or clean energy 

funds, are an effective mechanism for securing 

investment in cost-effective energy efficiency, resulting in lower-cost, cleaner energy. PBFs are typically 

created by levying a small charge on every customer’s electricity bill, thus providing an annual revenue stream to fund energy efficiency programs. 

States with restructured as well as traditional electricity markets are using PBFs as a component of 

their clean energy policy portfolios. 

To date, 17 states and Washington, D.C. have established PBFs to support energy efficiency at various 

levels of funding (ACEEE 2004b, ACEEE 2004c). For 

the more comprehensive programs, funding levels 

range from about 1% to 3% of total utility revenues. 

PBF charges range from 0.03 to 3 mills2 per kWh and 

are equivalent to about $0.27 to $2.50 on a residential customer’s monthly energy bill (ACEEE 2004b). 

PBFs have supported programs that reduce energy 

demand and related emissions at a lower cost than 

new supply. For example, for just 12 of the states 

with energy efficiency PBFs, total annual investments 

of about $870 million in 2002/2003 yielded nearly 

2.8 million kWh of electricity savings. Emission 

reductions from nine of these states included a total 

of 1.8 million tons of CO2. The median program cost 

was $0.03 per kWh saved, which is 50% to 75% of 

the typical cost of new power sources and less than 

half of the average retail price of electricity (ACEEE 

2004a, EIA 2005b). 

States Are Establishing Public Benefits Funds 

for Energy Efficiency 

•	 In New York, NYSERDA administers the PBF program with the goals of improving system-wide reliability, reducing peak load, improving energy efficiency and access to energy options for underserved 

customers, reducing environmental impacts, and 

facilitating competition in the electricity markets. 

NYSERDA has invested more than $350 million in 

energy efficiency programs and brought about an 

estimated additional investment of $850 million, for a 

total of $1.2 billion in public and private sector energy- and efficiency-related investments in the state. 

The program is expected to result in a total of $2.8 

billion in new public and private investment in New 

York (NYSERDA 2004). 

•	 California established the first PBF for energy efficiency in 1996. The California Public Utility 

Commission (CPUC) provides policy oversight of the 

state PBF (known in the state as the "Public Goods 

Charge"), approves plans for efficiency programs in 

each of the utility service areas, and coordinates 

statewide activities. The PBF provides $289 million 

annually for energy efficiency programs, at a cost of 

less than 3 cents per kWh saved. The CPUC has 

adopted aggressive energy efficiency savings goals 

for regulated electric and natural gas utilities, which 

will capture additional cost-effective energy savings, with $2 billion authorized for energy efficiency 

programs in 2006–2008. This investment will achieve 

$2.7 billion in net savings to consumers and meet 

more than half of future electricity load growth over 

the next decade—avoiding the need for three large 

(500 MW) power plants (CPUC 2005). 

•	 The Wisconsin PBF, Focus on Energy, is a publicprivate partnership with the goals of encouraging 

energy efficiency and renewable energy, enhancing 

the environment, and ensuring a future supply of 

energy. This program realized a total lifetime energy 

savings of $214.5 million during FY 2004 for a program benefit-cost ratio of 5.4 to 1 (WI DOA 2004). 

2 A mill is equivalent to one-tenth of a cent. 

ES-14 � Executive Summary
 
 

ES-15

 

 

 

Building Codes for Energy Efficiency 

Building energy codes establish standards that set a 

minimum level of energy efficiency for residential 

and commercial buildings, thereby locking in the 

energy savings at the time of new construction or 

renovation. Well-designed, implemented, and 

enforced codes can help eliminate inefficient construction practices and technologies with little or no 

increase in total project costs. 

Codes typically specify requirements for “thermal 

resistance” in the building shell and windows, minimum air leakage, and minimum heating and cooling 

equipment efficiencies. These measures can reduce 

energy use by 30% or more, resulting in cost savings 

for businesses and consumers (DOE 2005b). Building 

energy codes also reduce peak energy demand, air 

pollution, and greenhouse gas emissions. Recognizing 

these benefits, a majority of states have adopted 

building energy codes in some form for residential 

and commercial construction. 

State Appliance Efficiency Standards 

State appliance efficiency standards establish minimum energy efficiency levels for appliances and 

other energy-consuming products that are not 

already covered by federal efficiency standards. 

Federal laws such as the recent Energy Policy Act of 

2005 (EPAct 2005) have established appliance efficiency standards for more than 40 products. States 

are preempted from setting their own standards for 

the products covered by federal standards but can 

enact standards for products that are not yet covered 

by federal law (which in many cases emerged from 

state standard-setting activities) or may petition for 

a waiver under particular circumstances. Ten states 

have adopted standards covering a total of 36 types 

of appliances and at least two additional states are 

considering adopting standards (Delaski 2005, Nadel 

et al. 2005). 

EPA Clean Energy-Environment Guide to Action
 

States Are Implementing Building Energy 

Codes for Energy Efficiency 

•	 California’s Title 24 standards for residential and 

commercial buildings are stringent and well 

enforced. They include a combination of performance-based and mandatory provisions that are 

expected to yield $43 billion in electricity and natural gas savings by 2011. The standards are expected 

to reduce annual energy demand by 180 MW, equivalent to the electricity requirements of 180,000 average-sized California homes (CEC 2003). 

•	 Oregon and Washington take a simple and prescriptive approach to building energy codes. The result 

is a high level of code compliance; a recent construction practice survey found that 94% of homes 

surveyed in Washington and 100% in Oregon met or 

exceeded code requirements for the building envelope (Ecotope 2001). 

States Are Implementing Appliance Efficiency 

Standards 

•	 California was the first state to initiate an appliance 

efficiency standards program (in 1977) and maintains the most active and well-funded standards 

program of any state. California law now covers 30 

products; new or upgraded standards are under 

consideration for three products. Operated by the 

California Energy Commission (CEC), the appliance 

standard program is currently reducing peak electric demand by about 2,000 MW or about 5% of peak 

load. These savings account for about 20% of 

California’s total peak demand reductions from all 

efficiency programs over the past 20 years (CEC 

2005a, CEC 2005b). 

•	 New York’s Appliance and Equipment Energy 

Efficiency Standards Act of 2005 established state 

energy efficiency standards for 14 household appliances and electronic equipment not covered by federal standards. The law also requires efficiency standards for electronic products that use standby power 

when they are turned off but remain plugged in (e.g., 

DVD players and recorders) to reduce “phantom” 

energy consumption. These standards are expected 

to save 2,096 GWh of electricity annually, enough to 

power 350,000 homes. This equates to annual savings 

of $284 million per year (State of New York 2005). 

� Executive Summary
 ES-15 
 

ES-16

 

 

 

EPA Clean Energy-Environment Guide to Action
 

Energy Supply Actions 

States can achieve a number of environmental and economic benefits by encouraging the development of clean 

energy supply (i.e., renewable energy and CHP) as part of 

a balanced energy portfolio. The Guide to Action describes 

five policies that states have successfully used to support 

and encourage continued growth of clean energy supply 

in their state. 

Renewable Portfolio Standards (RPS) 

RPS provide states with a tool to increase the amount of 

renewable energy using a cost-effective, market-based 

approach. RPS, which can be used in both regulated and 

restructured electricity markets, require electric utilities 

and other retail electric providers to supply a specified 

minimum percentage or amount of customer load with 

eligible sources of renewable electricity. As of September 

2005, RPS requirements have been established in 21 

states and Washington, D.C. More than 2,300 MW of 

new renewable energy capacity (through 2003) is attributable to RPS programs. RPS is cited as the driving force 

behind the installation of approximately 47% of new 

wind capacity additions in the United States between 

2001 and 2004 (Bird and Swezey 2004). 

PBFs for State Clean Energy Supply Programs 

PBFs for clean energy supply accelerate the development of renewable energy and CHP within a state. 

They are typically created by levying a small fee or 

surcharge on customers’ electricity rates (e.g., for 

renewable energy, this fee ranges from approximately 

0.01 to 0.1 mills/kWh). While PBFs have traditionally 

been used to fund energy efficiency and low-income 

programs, states have recently begun to implement 

PBFs to support clean energy supply. PBFs were initially established by states undergoing electricity market 

restructuring but are now used by both restructured 

states and states with traditional electricity markets. 

As of 2005, 16 states had established renewable 

energy programs that are expected to provide more 

than $300 million annually in support of clean energy supply. PBFs will provide much of this funding; 

according to one estimate, clean energy funding will 

total $4 billion by 2017 (UCS 2004, DSIRE 2005, 

Navigant 2005). 

States Are Implementing Renewable Portfolio 

Standards 

•	 Texas was among the first states to establish a RPS 

requirement and is considered by many policymakers and advocates to be among the most successful. Between 1999, when the RPS was initiated, and 

February 2005, 1,187 MW of renewable energy 

capacity was installed in Texas. The Texas RPS 

includes long-term contracts, penalties for noncompliance, and RECs trading. 

•	 California’s RPS—enacted by the state legislature in 

September 2002—is among the most aggressive in 

the country. The RPS requires retail sellers of electricity to purchase 20% renewable electricity by 2017. 

At a minimum, retailers must increase their use of 

renewable electricity by 1% each year. California is 

considering increasing the RPS requirement to 33% 

by 2020 (CEC 2005a). 

States Are Establishing Public Benefits Funds 

for State Clean Energy Supply Programs 

•	 New Jersey’s clean energy initiative, administered by 

the New Jersey Board of Public Utilities, provides 

information and financial incentives and creates 

enabling regulations designed to help New Jersey 

residents, businesses, and communities reduce their 

energy use, lower costs, and protect the environment. 

New Jersey’s Clean Energy Program has three components: residential programs, commercial and industrial programs, and renewable energy programs. CHP 

is funded as an efficiency measure through the commercial and industrial programs. 

•	 In New York, the New York State Energy Research 

and Development Authority (NYSERDA) administers 

the New York Energy $mart program, which is 

designed to support certain public benefits programs 

during the transition to a more competitive electricity 

market. About 2,700 projects in 40 programs are funded by a charge on the electricity transmitted and 

distributed by the state’s investor-owned utilities. 

ES-16 � Executive Summary
 
 

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EPA Clean Energy-Environment Guide to Action
 

Output-Based Environmental Regulations to 

Support Clean Energy 

Designing environmental regulations that account 

for the emission reduction benefits of energy efficiency, renewable energy, and CHP increases the 

attractiveness for facilities to install clean energy 

technologies and increase efficiency. Output-based 

environmental regulations, which relate emissions to 

the productive output of a process, accomplish this 

by encouraging the use of fuel conversion efficiency 

and renewable energy as air pollution control measures. For electric generation, this unit of measure is 

the amount of emissions per MWh (lb/MWh). In contrast, most environmental regulations for power generators and boilers have historically established 

emission limits based on heat input or exhaust concentration (lb/MMBtu or parts per million [ppm]). 

These traditional input-based limits do not account 

for the pollution prevention benefits of process efficiency in ways that encourage the application of 

more efficient generation approaches. 

Interconnection Standards 

Standard interconnection rules encourage the connection of clean distributed generation (DG) systems 

(i.e., renewable and CHP) to the electric grid by 

establishing uniform processes and technical requirements that apply to utilities within a state. These 

rules reduce the uncertainty and prevent long delays 

and costs that clean DG systems may encounter 

when obtaining approval for grid connection. In 

addition, some states use net metering rules to 

States Are Developing Output-Based 

Regulations 

•	 Connecticut has adopted an output-based regulation for NO , particulate matter, carbon monoxide
 x

(CO), and CO2 from small distributed generators 

(< 15 MW capacity), including CHP. The regulation 

values the efficiency of CHP based on the emissions that are avoided by not having separate electric and thermal generation. Connecticut also allocates allowances based on energy output in its 

NO trading program. x 

• Massachusetts has incorporated the output-based 

approach in several important regulations. The 

Massachusetts NO cap and trade program allo­ x 

cates emission allowances to affected sources 

(generators > 25 MW) on an output basis, including 

the thermal output of CHP. This approach provides a 

significant economic incentive for CHP within the 

emissions cap. Massachusetts also has a multi-pollutant emission regulation (NO , sulfur dioxide [SO2], x

mercury [Hg], CO2) for existing power plants, which 

uses an output-based format for conventional emission limits. In addition, Massachusetts allocates 5% 

of its NO state trading program budget to a public x 

benefits set-aside account to provide for allocations 

for energy efficiency and renewable energy. 

govern interconnection of smaller DG systems. Net 

metering, which can be considered a subset of interconnection standards for small-scale projects, allows 

smaller DG owners to offset power that they obtain 

from the grid with excess power that they can supply 

States Are Establishing Interconnection Standards 

• In New Jersey, the New Jersey Board of Public 

Utilities developed net metering and interconnection 

standards for Class I renewable energy systems. 

These rules, which became effective on October 4, 

2004, are separated into three levels based on system 

size and technical certification. Each level has specific interconnection review procedures and timelines 

for each step in the review process. The New Jersey 

interconnection standard is designed to support systems up to 2 MW. 

• In Texas, the Texas Public Utility Commission adopted 

substantive rules in November 1999 that apply to generation facilities of 10 MW or less that connect to distribution-level voltages at the point of common coupling. 

These rules are intended to streamline the interconnection process for applicants, particularly those with 

smaller devices and those that are likely to have minimal impact on the electric utility grid. This ruling applies 

to both radial and secondary network systemsa and 

requires Texas utilities to evaluate applications based 

on pre-specified screening criteria, including equipment size and the relative size of the DG system to 

feeder load. 

a A radial distribution system is the most common electric power system. In this system, power flows in one direction from the utility 

source to the customer load. 

� Executive Summary
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EPA Clean Energy-Environment Guide to Action
 

through their grid connection. As of November 2005, 

14 states had adopted standard interconnection 

requirements for distributed generators and seven 

additional states were in the process of developing 

similar standards. As of early 2005, 39 states and 

Washington, D.C. had rules or provisions for net 

metering (Navigant 2005). 

Fostering Green Power Markets 

Green power is a small but growing market that 

provides electricity customers the opportunity to 

make environmental choices about their electricity 

consumption by purchasing electricity generated by 

renewable resources. Green power programs in more 

than 40 states currently serve approximately 

540,000 customers, representing nearly 4 billion 

kWh annually. These green power markets have 

resulted in the construction of more than 2,200 MW 

of new renewable capacity over the past 10 years. A 

recent study estimates this could reach 8,000 MW 

by 2015 by giving customers the choice to support 

cleaner electricity generation options in both vertically integrated and competitive retail markets 

(Wiser et al. 2001). 

Because participation in green power programs is 

voluntary, the role for states may be more limited 

than with other clean energy policy options, but it is 

still important. In vertically integrated markets (i.e., 

states where regulated utilities perform generation, 

transmission, and distribution functions), several 

states require utilities to offer a green pricing tariff. 

This policy ensures that all customers have the 

option available to them. In restructured markets, 

green power products are available from a range of 

competitive suppliers. Customers are also increasingly able to add renewable energy to their default service with “green check-off” programs, which enable 

customers to select green power while maintaining 

service with the default provider. 

Utility Planning and Incentive 

Structures 

Long-term utility planning policies and incentive 

structures play an important role in determining the 

attractiveness of investments in energy efficiency 

States Are Encouraging Green Power Markets 

•	 New Jersey is the first state with restructured electricity markets to institute a statewide voluntary 

green power program. The New Jersey Clean 

Energy Council established a goal to double the 

amount of green electricity purchased by electric 

customers and increase the load served by qualified 

renewable resources by 50% over the Class I RPS. 

The state’s Green Power Choice Program supports 

this goal by implementing a statewide green checkoff program that requires utilities to offer retail electricity customers the option of selecting an energy 

product with a higher level of renewable energy 

than required by the state RPS. 

•	 New Mexico provides a state-mandated utility 

green pricing program that was created by regulatory authority. In 2002, the New Mexico Public 

Regulation Commission (PRC) adopted regulations 

requiring all investor-owned utilities and electric 

cooperatives in the state to offer their customers a 

voluntary renewable energy tariff. These tariffs 

allow consumers the option of purchasing more 

renewable energy than is required by the RPS, 

range from 1.8 cents/kWh to 3.2 cents/kWh, and 

combine varying mixes of wind, solar, and biomass. 

Utilities are also required to develop educational 

programs for their customers on the benefits and 

availability of the voluntary renewable energy program (DOE 2005d). 

and clean DG. In many states, utility profits are 

reduced if they experience decreased energy sales as 

a result of aggressive investments in energy efficiency or customer-sited DG. The Guide to Action 

describes specific approaches state PUCs can use to 

address these disincentives to creating low-cost, 

clean energy markets by allowing for a fair, economically based comparison between supply- and 

demand-side resource alternatives. 

Portfolio Management Strategies 

Portfolio management refers to the electric utility’s 

energy resource planning and procurement strategies, covering both supply- and demand-side 

resources. State PUCs are requiring electric utilities 

to conduct portfolio management as a way to provide least-cost and stable electric and natural gas 

ES-18 � Executive Summary
 
 

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EPA Clean Energy-Environment Guide to Action
 

States Are Requiring Utilities to Manage Their 

Portfolios 

•	 The Northwest Power and Conservation Council’s 

Fifth Northwest Electric Power and Conservation 

Plan includes policies to enable the region to manage uncertainties that affect the power system and 

mitigate risks associated with these uncertainties. 

Clean energy options promoted in the plan include 

energy conservation and efficiency (targeted at 700 

MW between 2005 and 2009), demand response (targeted at 500 MW between 2005 and 2009), and wind 

power (targeted at 1,100 MW between 2005 and 2014 

from system benefits charges and utility integrated 

resource plans) (Northwest Power and Conservation 

Council 2005). 

•	 In California, the CPUC requires each utility to submit a 10-year procurement plan biennially. Each 

plan must demonstrate that the utility has adequate, 

reliable supplies and complies with CPUC goals for 

efficiency and renewable energy. Utilities must prioritize their resource procurements by following the 

“loading order” established in the state’s Energy 

Action Plan (EAP), as follows: (1) energy efficiency 

and demand response, (2) renewable energy 

(including renewable DG), and (3) clean fossilfueled DG and clean fossil-fueled central-station 

generation. CPUC authorized $2 billion in procurement funding for energy efficiency programs from 

2006 to 2008. These measures are expected to 

achieve $2.7 billion in net savings to consumers and 

avoid the need for three large (500 MW) power 

plants (CPUC 2005). 

service to customers over the long term. Portfolio 

management can also increase energy efficiency, 

renewable generation, and clean DG in order to 

address reliability, safety, and environmental issues. 

Portfolio management strategies are implemented 

through individual utilities’ integrated resource plans 

in states served by regulated, vertically integrated 

utilities. These plans consider a broad array of supply 

and demand options using predefined criteria for 

evaluating options to meet projected needs. They 

compare a utility’s current and projected future generation needs to all of its available generation 

demand- and supply-side options. ”Retail Choice” 

portfolio management strategies refer to portfolio 

management by deregulated utilities. These strategies strive to protect consumers from high electricity 

prices by requiring competitive procurement policies. 

In either case, an ideal portfolio is diversified and 

involves choosing among a variety of electricity 

products and contracts, including energy efficiency, 

renewables, and clean DG, to enable the utility to 

adapt to shifting market conditions. 

Utility Incentives for Demand-Side Resources 

States are reworking traditional electric and gas utility 

rate structures to incorporate incentives for demandside resources (e.g., energy efficiency and clean DG). 

Traditional ratemaking structures link a utility’s financial health to the volume of electricity or gas it sells, 

thus providing a disincentive to investing in costeffective demand-side resources that reduce sales. 

Aligning utilities’ investment incentives with state 

interests of providing efficient, affordable, and reliable 

energy can “level the playing field” to allow for a fair, 

States Are Creating Incentives for Utilities to 

Invest in Demand-Side Resources 

•	 In 2005, California re-adopted a revenue balancing 

mechanism that applies between rate cases and 

removes the throughput disincentive by allowing for 

rate adjustment based on actual electricity sales. 

The California public utilities are also returning to 

larger-scale promotion of energy efficiency through 

their demand-side management programs. 

Simultaneously, the CPUC is revising its policies to 

establish a common approach for evaluating the 

performance of energy efficiency programs that 

defer more costly supply-side investments (CEC and 

CPUC 2005). 

•	 In September 2002, the Oregon PUC adopted a partial decoupling mechanism for one of its gas utilities, Northwest Natural Gas, that uses a price elasticity adjustment and a revenue deferral account 

(Oregon PUC 2002). An evaluation found that the 

mechanism reduced, but did not completely 

remove, the link between sales and profits and that 

it “is an effective means of reducing NW 

[Northwest] Natural’s disincentive to promote energy efficiency” (Hansen and Braithwait 2005). 

� Executive Summary
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EPA Clean Energy-Environment Guide to Action
 

economically based comparison between supply- and 

demand-side resource alternatives. 

States with incentive policies for demand-side 

resources have implemented policies that: (1) remove 

disincentives by “decoupling” profits from sales volumes, (2) ensure that utilities recover their costs for 

effective, economic energy efficiency and clean DG 

programs, and (3) create incentives for utility managers and shareholders to actively invest in well-run 

and high-performing energy efficiency and clean DG 

programs. 

Emerging Approaches: Removing Unintended 

Utility Rate Barriers to Distributed Generation 

The unique operating profile of clean energy supply 

projects (i.e., renewable energy and CHP) may require 

different types of rates and different rate structures. 

However, if not properly designed, these rates and 

charges can create unnecessary barriers to the use of 

renewables and CHP. Appropriate rate design is critical to allowing utility cost recovery while also providing appropriate price signals for clean energy supply. 

Customer-sited clean energy supply projects are 

usually interconnected to the power grid and may 

States Are Developing Utility Rates to Support 

Clean Energy Supplies 

•	 In California, several types of exit and transition fees 

exist that are handled differently depending on the utility. Fee exemptions exist for various classes of renewable and CHP systems, including: systems smaller than 

1 MW that are net-metered or are eligible for CPUC or 

CEC incentives for being clean and super-clean; ultraclean and low-emission systems that are 1 MW or 

greater and comply with California Air Resources 

Board (CARB) 2007 air emission standards; and zeroemitting or highly efficient (> 42.5% efficiency) systems 

built after May 1, 2001. 

•	 In New York, the New York State Public Service 

Commission (NYPSC) voted in July 2003 to approve new 

purchase electricity from or sell to the grid. Electric 

utilities typically charge these customers special 

rates for electricity and for services associated with 

this interconnection. These rates include exit fees, 

standby rates, and buyback rates. A key state PUC 

objective is to ensure that consumers receive reliable power at the lowest cost. In approving these 

rates, the PUC can support renewable and CHP projects and avoid unanticipated barriers while also providing appropriate cost recovery for the utility services on which consumers depend. 

As of early 2005, several states had evaluated or 

begun to evaluate utility rate structures and had 

made changes to promote CHP and renewables as 

part of their larger efforts to support cost-effective 

clean energy supply as an alternative to expansion of 

the electric grid. This type of work is typically conducted by the state PUC through a formal process 

(i.e., docket or rulemaking) that elicits input from all 

stakeholders. 

standby rates for utilities’ standby electric delivery 

service to DG customers and standby service to independent wholesale electric generating plants that 

import electricity as “station power” to support their 

operations. A key consideration was for the rates to 

result in onsite generation running when it is less 

expensive than purchasing power from the grid. The 

NYPSC has also directed electric utilities to consider 

DG as an alternative to traditional electric distribution 

system improvement projects. It required natural gas 

companies to create a natural gas rate class specifically for DG users that provides predictable gas rates for 

the emerging DG industry (ceilings are frozen until at 

least the end of 2007). 

ES-20 � Executive Summary
 
 

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EPA Clean Energy-Environment Guide to Action
 

What States Can Do 

As described previously in this Executive Summary, 

states are supporting clean energy through a diverse 

range of programs and policies. Each policy description in the Guide to Action includes specific action 

steps and best practices drawn from state experiences for designing, implementing, and evaluating 

clean energy programs. When developing a comprehensive approach to clean energy, states can use this 

information to: 

• Develop a Clean Energy-Environment Action Plan 

that establishes clean energy goals to increase the 

use of cost-effective clean energy in their state 

and identifies programs and policies to achieve 

these goals. 

• Implement a coordinated package of policies, programs, and strategies defined in the Clean EnergyEnvironment Action Plan. 

• Draw on federal, state, and other resources to help 

achieve clean energy goals. 

Develop a Clean Energy-Environment 

Action Plan 

A Clean Energy-Environment Action Plan describes a 

clear strategy for delivering clean, low-cost, reliable, 

and stable-priced energy to state residents through a 

portfolio of energy efficiency, renewable energy, and 

clean DG policies and programs. Chapter 2 of the 

Guide to Action details the key steps involved in 

developing this clean energy strategy. These steps 

typically include: 

1. Create a Collaborative. States have found it particularly useful to reach out to the parties in their 

states that are interested in and/or may be affected by changes in energy use within the state. Key 

players in the collaborative can include representatives from the governor’s office, state legislature, 

state agencies, and universities. Stakeholders 

include utilities; independent system operators and 

regional transmission organizations; independent 

power producers, independent transmission system 

Using the Guide to Action 

The Guide to Action provides a menu of clean energy 

policies and programs that states have successfully 

implemented. When using the Guide to Action: 

•	 Select from the menu of policies by reviewing Table 

ES.2 and the chapter introductions to identify policies that are most likely to meet state goals. Crossreferences are provided within each section to help 

efficiently navigate the document. 

•	 Keep in mind that some of the policies described in 

the Guide to Action represent different paths to the 

same goal or can be used in combination to achieve 

a goal. 

•	 Consider designing clean energy programs by building upon the established models, examples, and 

action items described for each policy. 

owners, and energy suppliers; environmental and 

consumer organizations; other private sector interests; and the public. 

2. Establish a Quantitative Goal Based on Future 

Energy Use Expectations and the Potential for 

Clean Energy in the State. A quantitative clean 

energy goal defines a specific level of costeffective clean energy the state can strive to 

acquire during a particular period of time. To 

define their goals, states can: 

• Develop or refine a baseline inventory of their 

energy use and emissions and make projections 

about the future. 

• Conduct energy efficiency and/or renewable 

energy potential analyses to determine areas of 

greatest opportunity for energy savings. These 

findings help states identify opportunities and 

determine the feasibility of different goals 

based on technologies or resource availability. 

Understanding and quantifying the potential for 

clean energy within the state also helps states 

ensure that they are providing adequate funding 

to make cost-effective investments in clean 

energy. 

� Executive Summary
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EPA Clean Energy-Environment Guide to Action
 

• Quantify the full range of savings to maximize 

the benefits of clean energy. By assessing and 

quantifying the full range of short- and longterm energy, environmental, and economic benefits from energy efficiency and renewable 

energy, states can ensure that their policy decisions are based on a complete accounting of 

the benefits of clean energy. 

3. Identify Both Existing and New Clean Energy 

Policies and Programs. As states develop their 

Clean Energy-Environment Action Plans, they identify policies that could help achieve their goal by 

conducting an inventory of existing policies, identifying new clean energy policies that build on lessons learned from their own experience and other 

states’ experiences, and establishing criteria to 

evaluate the policies. When selecting policies to 

include in their plan, states also can identify the 

market, regulatory, and/or institutional barriers to 

implementing the clean energy programs and 

develop approaches to mitigate or remove these 

barriers. Finally, states can also target support for 

investment in new clean energy technologies as 

they emerge in the marketplace. 

4. Design Policies and Evaluate Their Impacts. States 

compare the impacts of different clean energy 

policies to ensure that they work well together. 

They also find it advantageous to identify the type 

of action, key players required, and time frame for 

implementation when designing a policy. Once 

policies are initially designed, states use analytic 

tools to evaluate the options based on the criteria 

they have developed. The tools enable states to 

quantify the impacts of the various policies and 

rank them according to the agreed-upon criteria. 

This usually includes an assessment of the energy, 

economic, and/or environmental and public health 

impacts of the options. 

5. Develop a Measurement, Evaluation, and Reporting 

Plan. As states design and evaluate clean energy 

policy options, they often find it beneficial to consider in advance the ways they will measure the 

success of the implemented policies. This measurement, evaluation, and reporting plan enables 

states to regularly check their progress against 

their goals and adjust their course as needed. 

6. Recommend Specific Actions for State DecisionMakers. Once policy options have been assessed 

and ranked according to the desired criteria, the 

collaborative typically reviews the findings. Based 

on the rankings and discussion among the stakeholders, recommendations for action are presented 

in the Clean Energy-Environment Action Plan. 

Implement the Clean EnergyEnvironment Action Plan 

The actions required to design and implement the 

clean energy programs articulated in a Clean EnergyEnvironment Action Plan vary according to type of 

program. Nevertheless, the following key themes 

have emerged that apply to all clean energy programs and that states can follow to help ensure the 

success of their programs: 

•	 Involve Stakeholders in Clean Energy Program 

Development and Deployment. Clean energy policy 

objectives require broad public and political support to be successful. Successful states have 

implemented clean energy policies with the support of their governor, legislature, and state agencies. If support is lacking, states can consider 

implementing education programs on the environmental and economic benefits of clean energy. 

When support for clean energy activities is established, it is important to involve multiple stakeholders during discussions and negotiations about 

clean energy objectives. 

•	 Incorporate Clean Energy As a Resource in Other 

State and Utility-Level Resource Planning 

Decisions. States can look for opportunities to 

incorporate clean energy policies as part of other 

state and utility-level planning decisions. 

•	 Evaluate the Effectiveness of Clean Energy Programs. 

Evaluation is important to sustaining the success of 

state clean energy programs. By measuring program 

success against stated objectives on a regular basis 

and in a transparent way, states can identify problems, develop approaches for addressing these 

issues, and ensure continued support from stakeholders. Evaluating energy efficiency programs can 

also entail using special techniques to measure and 

verify the energy savings from these programs. 

ES-22 � Executive Summary
 
 

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EPA Clean Energy-Environment Guide to Action
 

•	 Communicate Program Results. States communicate the findings from their program evaluation to 

key players and stakeholders on a regular basis. By 

reporting on the progress and lessons learned for 

each clean energy policy and for the overall program and soliciting feedback on these findings, 

states can ensure a transparent implementation 

process and continued support for their program. 

States can also help ensure continued support for 

clean energy policies by communicating the energy, economic, and environmental benefits accrued 

from these programs to stakeholders. 

Each of the policy description sections in the Guide 

to Action describes how states consider these and 

other themes as they develop and implement clean 

energy programs and policies. 

Leverage Federal, State, and Other 

Resources 

As states pursue policies and programs for promoting 

clean energy, they can work with a variety of federal, 

state, and nonprofit organizations to help enhance 

their clean energy programs. Table ES.3 provides 

examples of how these federal, state, and other 

resources can be used when developing each of the 

16 clean energy policies and programs covered in the 

Guide to Action. The following section, Information 

Resources, provides a list of the key federal voluntary 

program resources available to states (a more 

detailed description is provided in Appendix A, 

Federal Clean Energy Programs) and a summary of 

the Web sites for each of the resources described in 

Table ES.3. 

� Executive Summary
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EPA Clean Energy-Environment Guide to Action
 

Table ES.3: Federal, State, and Nonprofit Resources for Enhancing State Clean Energy Programs
 

Policy Name 

(Section No.) Examples of State Actionsa 

Chapter 3. State Planning and Incentive Structures 

Lead by Example (3.1) • Establish energy savings and renewable energy goals for state and local government facilities (including leased 

space), schools, colleges, and universities. Use ENERGY STAR tools, guidelines, and partnerships and join the ENERGY 

STAR Challenge to improve building energy efficiency by 10% or more. 

• Procure ENERGY STAR-qualified products using ENERGY STAR product procurement information and online training 

resources. 

• Require ENERGY STAR certification as part of green building/energy efficiency standards in new state and local government buildings, K-12 schools, and colleges and universities. 

• Purchase renewable energy for state facilities under EPA’s Green Power Partnership Program. 

• Use CHP in public facilities with help from EPA’s CHP Partnership. 

• Leverage ENERGY STAR consumer education activities, such as National Campaigns. 

State and Regional • Develop and implement a Clean Energy-Environment Action Plan with guidance and support from EPA’s Clean EnergyEnergy Planning (3.2) Environment State Partnership Program. 

• Leverage DOE State Energy Program funding (to state energy offices) and grants authorized by EPAct 2005 (Section 

140) to support state energy planning and deploy clean energy technologies. 

Determining the Air • Use the software tools, analyses, and EPA guidance described in Section 3.3 of the Guide to Action to evaluate the air 

Quality Benefits of quality benefits of clean energy policies and programs. 

Clean Energy (3.3) • Incorporate emission reductions from clean energy into air quality planning using EPA’s Guidance: Incorporating 

Emerging and Voluntary Measures in a State Implementation Plan (2004). 

Funding and • Use ENERGY STAR financing information and training sessions for public and private sector organizations. 

Incentives (3.4) • Learn about federal and state funding opportunities using EPA’s Funding Opportunities Directory and CHP and biomass/biogas funding opportunities database. 

• Use EPA’s Supplemental Environmental Projects Toolkit to convert environmental enforcement settlements into environmentally beneficial projects. 

• Include provisions for energy savings performance contracting using the information resources in Section 3.4. Identify 

energy service companies in your state using ENERGY STAR’s online directory of service and product providers. 

• Leverage federal tax incentives authorized by EPAct 2005 for energy efficiency and renewable energy. 

Chapter 4. Energy Efficiency Actions 

Energy Efficiency 

Portfolio Standards 

(EEPS) (4.1) 

• Assess energy efficiency potential, evaluate past successes, and then design, develop, implement, and evaluate a customized EEPS program for your state. Contact EPA’s Clean Energy-Environment State Partnership Program for more 

information and technical assistance to support the design of an EEPS for your state. 

Public Benefits Funds 

(PBFs) for Energy 

Efficiency (4.2) 

• Enhance PBF programs by leveraging ENERGY STAR’s portfolio of energy efficiency program and service delivery 

models, building performance and product specifications, network of partners, and consumer education and awareness campaigns. 

Building Codes for • Regularly update, implement, evaluate, and enforce building codes using compliance tools, technical assistance, and 

Energy Efficiency (4.3) other code information and support available from DOE and the Building Codes Assistance Project. 

• Encourage construction of beyond-code ENERGY STAR-qualified new homes using ENERGY STAR education and training resources. 

State Appliance • Use DOE’s information resources to identify products that are covered by federal standards and obtain information 

Efficiency Standards about state appliance standards. 

(4.4) • Identify potential products for which standards could be established, and estimate the overall benefits and costs of 

upgrading current standards or setting new standards using the information resources provided by the California 

Energy Commission and the Appliance Standards Awareness Project. 

a	 See Federal, State, and Nongovernmental Clean Energy Resources on page ES-27 for the URLs for the underlined (continued on next page)

resources listed in this table. 

ES-24	 � Executive Summary 
 

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EPA Clean Energy-Environment Guide to Action
 

Table ES.3: Federal, State, and Nonprofit Resources for Enhancing State Clean Energy Programs (continued)
 

Policy Name 

(Section No.) Examples of State Actionsa 

Chapter 5. Energy Supply Actions 

Renewable Portfolio • Determine the renewable energy and CHP potential in your state and develop an RPS for your state with assistance 

Standards (RPS) (5.1) from the National Renewable Energy Lab (NREL) and EPA’s CHP Partnership. 

• Leverage the federal production tax credit and other federal incentives to advance renewable energy resource development and achieve standards. 

Public Benefits Funds • Use lessons learned from other state PBF programs described in Section 5.2 of the Guide to Action to establish or 

(PBF) for State Clean enhance your state programs. 

Energy Supply • Leverage other funding sources without activating “double-dipping” clauses. For example, incentives for wind projects

Programs (5.2) allow developers to take advantage of federal incentives such as the production tax credit (PTC) and accelerated 

depreciation. 

• Contact EPA’s CHP Partnership for assistance in designing a CHP incentive program. 

Output-Based • Review federal programs that have adopted output-based regulations with recognition of CHP, including the proposed 

Environmental New Source Performance Standards (NSPS) for NOx from electric utility boilers and combustion turbines, and the new 

Regulations to EPA cap and trade programs (Clean Air Interstate Rule and the Clean Air Mercury Rule). For more information, visit the 

Support Clean Energy CHP Partnership State Resources Web site. 

Supply (5.3) • Use EPA’s CHP Partnership resources, including Output-Based Regulations: A Handbook for Air Regulators to evaluate 

opportunities to adopt output-based regulations. 

Interconnection 

Standards (5.4) 

• Review existing model rules, such as those developed by FERC, NARUC, and IREC, as well as other state rules 

described in Section 5.4. 

• Develop an interconnection standard for clean DG/CHP projects with assistance from EPA’s CHP Partnership. 

Fostering Green • Use EPA’s Green Power Partnership resources and partners to enhance green power markets programs. 

Power Markets (5.5) • Learn about other state Green Power programs and policy approaches using the information resources available in 

Section 5.5 of the Guide to Action and from the DOE Green Power Network. 

• Take advantage of federal renewable energy incentives to complement state efforts to foster green power markets. 

Chapter 6. Utility Planning and Incentive Structures 

Portfolio • Link portfolio management policies to other state policies described in Section 6.1, such as RPS, energy efficiency poliManagement cies, and energy planning policies. 

Strategies (6.1) • Incorporate lessons learned from other states and regions as described in Section 6.1 of the Guide to Action. 

• Contact the EPA-State Energy Efficiency and Renewable Energy Projects staff and/or EPA/DOE Energy Efficiency 

Action Plan staff for further assistance. 

Utility Incentives for • Incorporate lessons learned from states to remove financial disincentives and create incentives for utilities to invest in 

Demand-Side demand-side resources as described in Section 6.2 of the Guide to Action. 

Resources (6.2) • Contact the EPA-State Energy Efficiency and Renewable Energy Projects staff and/or EPA/DOE Energy Efficiency 

Action Plan staff for further assistance. 

Emerging • Contact EPA’s CHP Partnership for assistance in evaluating current utility rate structures for DG, such as standby rates, 

Approaches: and developing rate structures that avoid unwarranted barriers, while also providing appropriate cost recovery for utiliRemoving Unintended ty services. 

Utility Rate Barriers to • Review the Regulatory Assistance Project’s report, Accommodating Distributed Resources in the Wholesale Market. 

Distributed 

Generation (6.3) 

a See Federal, State, and Nongovernmental Clean Energy Resources on page ES-27 for the URLs for the underlined resources listed in this table. 

� Executive Summary ES-25 
 

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EPA Clean Energy-Environment Guide to Action
 

Information Resources 

Key Federal Program Resources 

A list of key EPA and DOE voluntary program resources available to states is provided below. 

EPA and DOE administer a number of 

voluntary programs that promote the 

production and use of clean energy and 

complement the Clean EnergyEnvironment State Partnership 

Program. These programs include: 

ENERGY STAR 

ENERGY STAR is a voluntary, publicprivate partnership designed to reduce 

energy use and related greenhouse gas 

emissions. The program, administered 

jointly by EPA and DOE, has an extensive network of partners including 

equipment manufacturers, retailers, 

builders, energy service companies, private businesses, and public sector 

organizations. EPA and DOE invest in a 

portfolio of energy efficiency efforts that 

state and utility energy efficiency programs can leverage to further their 

energy efficiency programs, including: 

• Establishing performance specifications and performing outreach on 

efficient products. 

• Establishing energy efficiency delivery models to existing homes. 

• Establishing performance specifications and performing outreach for 

new homes. 

• Improving the performance of new 

and existing commercial buildings. 

• Conducting education and awareness building. 

More information about ENERGY STAR 

can be found at: 

http://www.energystar.gov. 

EPA-State Energy Efficiency and 

Renewable Energy Projects 

This program is a joint initiative between 

EPA, the National Association of 

Regulatory Utility Commissioners 

(NARUC), and individual state utility commissions. It explores utility regulatory and 

market-based approaches that deliver 

significant energy cost savings and other 

benefits through greater use of energy 

efficiency, renewable energy, and clean 

distributed generation. More information 

can be found at: 

http://www.epa.gov/cleanenergy/ 

utilitypolicy/. 

Energy Efficiency Action Plan 

This joint effort between DOE and EPA 

engages energy market leaders— 

including electric and gas utilities, state 

utility regulators and energy agencies, 

energy consumers, energy service 

providers, and environmental/energy 

efficiency advocates—in the development of an Energy Efficiency Action 

Plan. Action Plan participants will identify key barriers limiting greater U.S. 

investment in energy efficiency and 

develop and document sound business 

practices for removing these barriers. 

More information is available at: 

http://epa.gov/cleanenergy/ 

eeactionplan.htm. 

The Combined Heat and Power 

(CHP) Partnership 

This EPA partnership seeks to reduce the 

environmental impact of power generation by fostering the use of CHP. The CHP 

Partnership works closely with energy 

users, the CHP industry, state and local 

governments, and other stakeholders to 

support the development of new policies, 

programs, and projects and promotes 

their energy, environmental, and economic benefits. More information is 

available at: http://www.epa.gov/chp. 

The Green Power Partnership 

EPA’s Green Power Partnership is a voluntary partnership between EPA and 

organizations that are interested in buying green power. Through this program, 

EPA supports organizations that are 

buying, or planning to buy, green power. 

As a Green Power Partner, an organization pledges to replace a portion of its 

electricity consumption with green 

power within one year of joining the 

partnership. See http://www.epa.gov/ 

greenpower. 

State Activities and Partnerships 

DOE’s Office of Energy Efficiency and 

Renewable Energy (EERE) provides 

technical assistance to state and local 

jurisdictions that enables them to adopt 

renewable energy and energy efficiency technologies. The program offers 

training, technical assistance, and 

information on state activities. More 

information can be found at: 

http://www.eere.energy.gov/states/. 

The State Energy Program 

DOE provides grants to states and 

directs funding to state energy offices 

from technology programs in EERE. 

States use grants to address their energy priorities and program funding to 

deploy emerging renewable energy and 

energy efficiency technologies. More 

information is available at: 

http://www.eere.energy.gov/ 

state_energy_program/. 

Technical Assistance Program (TAP) 

TAP provides state and local officials 

quick, short-term access to experts at 

DOE national laboratories for assistance 

with crosscutting renewable energy and 

energy efficiency policies and programs. 

TAP helps states in crosscutting areas 

not currently covered by an existing DOE 

program. More information is available 

at: http://www.eere.energy.gov/ 

wip/informationsources/Tap.html. 

Federal Clean Energy Programs 

For more information on EPA, DOE, 

and other federal agency clean 

energy efforts, see Appendix A, 

Federal Clean Energy Programs. 

ES-26 � Executive Summary
 
 

 

 

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EPA Clean Energy-Environment Guide to Action
 

Federal, State, and Nongovernmental Clean Energy Resources 

The following Web sites provide links to the federal, state, and nonprofit information resources and technical assistance opportunities that are described in Table ES.3. 

Organization Resource URL 

Federal Resources 

EPA and DOE ENERGY STAR http://www.energystar.gov/index.cfm?c=hom.index 

Energy Efficiency Action Plan http://www.epa.gov/cleanenergy/eeactionplan.htm 

ENERGY STAR Financing Strategies http://www.energystar.gov/index.cfm?c=business.bus_internet_presentations#money 

ENERGY STAR for Government http://www.energystar.gov/index.cfm?c=government.bus_government 

ENERGY STAR National Campaigns http://www.energystar.gov/index.cfm?c=promotions.pt_national_promotions 

ENERGY STAR Online Training 

Sessions http://www.energystar.gov/index.cfm?c=business.bus_internet_presentations#procure 

ENERGY STAR Purchasing & 

Procurement http://www.energystar.gov/index.cfm?c=bulk_purchasing.bus_purchasing 

ENERGY STAR Qualified New Homes http://www.energystar.gov/index.cfm?c=new_homes.hm_index 

ENERGY STAR Qualified Products http://www.energystar.gov/index.cfm?fuseaction=find_a_product 

ENERGY STAR Residential 

Marketing and Sales Materials http://www.energystar.gov/index.cfm?c=bldrs_lenders_raters.pt_ResMktgSalesMaterials 

ENERGY STAR Service and Product 

Provider Directory http://www.energystar.gov/index.cfm?fuseaction=SPP_DIRECTORY 

Federal Tax Credits for Residential 

Energy Efficiency http://www.energystar.gov/index.cfm?c=products.pr_tax_credits 

EPA Clean Energy-Environment State 

Partnership Program http://www.epa.gov/cleanenergy/stateandlocal/ourpartners.htm 

Combined Heat and Power 

Partnership 

• CHP Partner Resources, Funding 

Opportunities 

• CHP Partnership State Resources 

• CHP Partnership State Resources: 

Output-Based Regulations 

• CHP Partnership State 

Resources: Utility Rates 

http://www.epa.gov/chp/ 

http://www.epa.gov/chp/funding_opps.htm 

http://www.epa.gov/chp/state_resources.htm 

http://www.epa.gov/chp/state_resources/output_based_reg.htm 

http://www.epa.gov/chp/state_resources/utility.htm 

EPA Guidance Documents: 

Incorporating Emerging and 

Voluntary Measures in a State 

Implementation Plan 

http://www.epa.gov/ttn/oarpg/t1/memoranda/evm_ievm_g.pdf 

(http://www.epa.gov/cleanenergy/stateandlocal/guidance.htm) 

EPA-State Energy Efficiency 

Renewable Energy Projects http://www.epa.gov/cleanenergy/utilitypolicy/ 

Funding Opportunities: A Directory 

of Energy Efficiency, Renewable 

Energy and Environmental 

Protection Assistance Programs 

http://www.epa.gov/cleanenergy/pdf/eere_fun.pdf 

� Executive Summary
 ES-27 
 

ES-28

 

 

EPA Clean Energy-Environment Guide to Action
 

Organization Resource URL 

Federal Resources (continued) 

EPA Green Power Partnership http://www.epa.gov/greenpower/ 

Supplemental Environmental 

Projects Toolkit http://www.epa.gov/cleanenergy/pdf/sep_toolkit.pdf 

DOE Appliances and Commercial 

Equipment Standards http://www.eere.energy.gov/buildings/appliance_standards/ 

Building Energy Codes Program http://www.energycodes.gov/ 

Energy Policy Act of 2005: Tax 

Credits for Renewable Energy http://www.energy.gov/taxbreaks.htm 

The Green Power Network http://www.eere.energy.gov/greenpower/ 

National Renewable Energy 

Laboratory http://www.nrel.gov/ 

State Energy Program http://www.eere.energy.gov/state_energy_program/about.cfm 

State and Nonprofit Resources 

Appliance 

Standards 

Awareness 

Project 

Appliance Standards Awareness 

Project Web site http://www.standardsasap.org 

Building Codes 

Assistance 

Project 

Building codes implementation and 

technical assistance http://www.bcap-energy.org 

California 

Energy 

Commission 

Appliance efficiency regulations 

and products database http://www.energy.ca.gov/appliances/ 

DSIRE 

Information on federal incentives 

for renewable energy and energy 

efficiency 

http://www.dsireusa.org/library/includes/genericfederal.cfm?CurrentPageID=1&state=us 

The Regulatory 

Assistance 

Project (RAP) 

RAP report: Accommodating 

Distributed Resources in the 

Wholesale Market 

http://www.raponline.org/showpdf.asp?PDF_URL=%22Pubs/DRSeries/DRWhllMkt.pdf%22 

U.S. Green 

Building Council LEED certification requirements http://www.usgbc.org 

ES-28 � Executive Summary
 
 

ES-29

 

EPA Clean Energy-Environment Guide to Action
 

EPA Clean Energy-Environment State Partnership Program Contact Information 

To download the Clean Energy-Environment Guide to Action, visit EPA’s Clean Energy Web site at:
 

http://www.epa.gov/cleanenergy/stateandlocal/.
 

To order a print copy of the Guide to Action, contact the National Service Center for Environmental Publications
 

(NSCEP) at: http://www.epa.gov/ncepihom/ordering.htm. Or call NSCEP at: 1-800-490-9198.
 

Request EPA Publication No. 430-R-06-001. 


For more information about the Guide to Action, please contact the EPA Clean Energy-Environment State
 

Partnership Program staff:
 

EPA Clean Energy-Environment State Partnership Program Contacts: 

Julie Rosenberg, Branch Chief 

Phone: 202-343-9154 

E-mail: rosenberg.julie@epa.gov 

Steve Dunn, Policy Analyst 

Phone: 202-343-9341 

E-mail: dunn.stevev@epa.gov 

Mailing Address: 

U.S. Environmental Protection Agency 

1200 Pennsylvania Avenue, NW 

6202J 

Washington, DC 20460 

� Executive Summary
 ES-29 
 

ES-30

EPA Clean Energy-Environment Guide to Action
 

References
 

Title/Description URL Address 

ACEEE. 2004a. A Federal System Benefits Fund: Assisting States to Establish Energy 

Efficiency and Other System Benefit Programs. American Council for an EnergyEfficient Economy, Washington, DC. http://www.aceee.org/energy/pbf.htm 

ACEEE. 2004b. Five Years In: An Examination of the First Half-Decade of Public 

Benefits Energy Efficiency Policies. Report # U041. American Council for an EnergyEfficient Economy, Washington, DC. April. 

http://www.aceee.org/pubs/u041.htm 

ACEEE. 2004c. Summary Table of Public Benefit Programs and Electric Utility 

Restructuring. American Council for an Energy-Efficient Economy, Washington, DC. http://www.aceee.org/briefs/mktabl.htm 

Bird, L. and B. Swezey. 2004. Green Power Marketing in the United States: A Status 

Report. Seventh Edition. NREL/TP-620-36823. National Renewable Energy Laboratory, 

Golden, CO. September. 

http://www.eere.energy.gov/greenpower/pdfs/36823.pdf 

CEC. 2003. Initial Study/Proposed Negative Declaration for the 2005 Building Energy 

Efficiency Standards for Residential and Nonresidential Buildings. P400-03-018. 

September. California Energy Commission. 

http://www.energy.ca.gov/reports/ 

2003-09-12_400-03-018.PDF 

CEC. 2005a. California Energy Commission. Integrated Energy Policy Report. Adopted 

November 21, 2005. Docket #04-IEP-1 et. al. http://www.energy.ca.gov/energypolicy/index.html 

CEC. 2005b. California Appliance Efficiency Regulations. CEC-400-2005-012. April. http://www.energy.ca.gov/appliances/2005regulations/ 

index.html 

CEC and CPUC. 2005. California Energy Commission and California Public Utilities 

Commission. Energy Action Plan II, Implementation Roadmap for Energy Policies. 

October. 

http://www.cpuc.ca.gov/PUBLISHED/REPORT/51604.htm 

CEAB. 2005. Energy Plan for Connecticut. Prepared by the Connecticut Energy 

Advisory Board for the Connecticut General Assembly. January. http://www.cerc.com/pdfs/ceabenergyplan_final05.pdf 

CPUC. 2004. Order Instituting Rulemaking to Examine the Commission’s Future 

Energy Efficiency Projects, Administration and Programs, September 23, 2004, 

Decision 04-09-060, Rulemaking 01-08-028 “Interim Opinion: Energy Savings Goals for 

Program Year 2006 and Beyond.” California Public Utilities Commission. 

http://www.cpuc.ca.gov/PUBLISHED/FINAL_DECISION/ 

40212.htm 

CPUC. 2005. Press Release: Comments at September 22, 2005 PUC Meeting by 

Commissioner Susan P. Kennedy. “PUC Launches Groundbreaking Energy Efficiency 

Effort.” September 22, 2005. 

http://www.cpuc.ca.gov/PUBLISHED/NEWS_RELEASE/ 

49757.htm 

Delaski. 2005. Personal memo from Andrew Delaski, Appliance Standards 

Awareness Project. August 1. N.A. 

DOE. 2005a. State Energy Program: Projects by Topic—What Are State and Local 

Government Facility Projects in the States? 

http://www.eere.energy.gov/state_energy_program/ 

topic_definition_detail.cfm/topic=115 

DOE. 2005b. State Energy Alternatives: Energy Codes and Standards. Energy Efficiency 

and Renewable Energy Web Site. U.S. Department of Energy, Washington, DC. 

http://www.eere.energy.gov/states/alternatives/ 

codes_standards.cfm 

DOE. 2005c. Texas Revolving LoanSTAR Conservation Update Feature Story. U.S. 

Department of Energy, Energy Efficiency and Renewable Energy, State Energy 

Program Web site. January/February. 

http://www.eere.energy.gov/state_energy_program/ 

feature_detail_info.cfm 

DOE. 2005d. Green Power Markets: Green Pricing Utility Programs by State. Energy 

Efficiency and Renewable Energy, DOE Web site. December 9. 

http://www.eere.energy.gov/greenpower/markets/ 

pricing.shtml?page=1 

DSIRE. 2005. Database of State Incentives for Renewable Energy Web site. http://www.dsireusa.org/index.cfm?&CurrentPageID=2 

ES-30 � Executive Summary
 
 

ES-31

EPA Clean Energy-Environment Guide to Action
 

References (continued)
 

Title/Description URL Address 

Ecotope. 2001. Baseline Characteristics of the Residential Sector: Idaho, Montana, 

Oregon, and Washington. Northwest Energy Efficiency Alliance, Portland, OR. 

December. 

http://www.nwalliance.com/resources/reports/95.pdf 

EIA. 2005a. Annual Energy Outlook 2005. DOE/EIA-0383(2005). U.S. Energy Information 

Administration, Washington, DC. January. http://www.eia.doe.gov/oiaf/archive/aeo05/index.html 

EIA. 2005b. Electric Power Monthly, December 2005. Table 5.6.A. Average Retail Price 

of Electricity to Ultimate Customers by End-Use Sector, by State, September 2005 and 

2004. U.S. Energy Information Administration, Washington, DC. 

http://tonto.eia.doe.gov/ftproot/electricity/epm/02260512.pdf 

EIA. 2005c. U.S. Electric Net Summer Capacity, data for 2004. Coal, Nuclear, Electric 

and Alternate Fuels, August 2005. U.S. Energy Information Administration, 

Washington. DC. 

http://www.eia.doe.gov/cneaf/solar.renewables/page/ 

trends/table12.html 

EPA. 2004a. Output-Based Regulations: A Handbook for Air Regulators. 

Environmental Protection Agency. April 22. http://www.epa.gov/chp/pdf/output_rpt.pdf 

EPA. 2004b. Incorporating Emerging and Voluntary Measures in a State 

Implementation Plan. U.S. Environmental Protection Agency, Office of Air Quality 

Planning and Standards. September. 

http://www.epa.gov/ttn/caaa/t1/meta/m8507.html 

EPA. 2005a. Air Data Web site. 2005 data. Environmental Protection Agency. 

Accessed November 2005. 

http://www.epa.gov/air/data/index.html and 

http://www.epa.gov/air/data/nonat.html? 

us~usa~United%20States 

EPA. 2005b. EPA Research. Complied by EPA from various state legislation and regulations. N.A. 

Gross, T. 2005. Texas PUC personal communication with Theresa Gross. N.A. 

Hansen, D.G. and S.D. Braithwait. 2005. Christensen Associates. A Review of 

Distribution Margin Normalization as Approved by the Oregon Public Utility 

Commission for Northwest Natural. March. 

Contact: 

Christensen Associates Energy Consulting, LLC 

4610 University Avenue, Suite 700 

Madison, Wisconsin 53705-2164 

Phone 608-231-2266 Fax 608-231-2108 

Iowa. 2005. Governor Vilsack Directs State Agencies to Improve Their Energy 

Efficiency. April 22. 

http://www.governor.state.ia.us/news/2005/april/ 

april2205_1.html 

Nadel, S., A. Shipley, and R.N. Elliott. 2004. The Technical, Economic and Achievable 

Potential for Energy Efficiency in the U.S.—A Meta-Analysis of Recent Studies. 

American Council for an Energy-Efficient Economy, Washington, DC. From the proceedings of the 2004 ACEEE Summer Study on Energy Efficiency in Buildings. 

http://www.aceee.org/conf/04ss/rnemeta.pdf 

Nadel, S., A. deLaski, J. Kleisch, and T. Kubo. 2005. Leading the Way: Continued 

Opportunities for New State Appliance and Equipment Efficiency Standards. Report 

Number ASAP-5/ACEEE-A051. American Council for an Energy Efficiency Economy, 

Washington, DC, and Appliance Standards Awareness Project, Boston, MA. January. 

http://www.standardsasap.org/a051.pdf 

Navigant. 2003. The Changing Face of Renewable Energy. October. URL not available. 

� Executive Summary
 ES-31 
 

ES-32

EPA Clean Energy-Environment Guide to Action
 

References (continued)
 

Title/Description URL Address 

Navigant. 2005. Company intelligence. Navigant Consulting Inc. Also see: Katofsky, R. 

and L. Frantzis. 2005. Financing renewables in competitive electricity markets. Power 

Engineering. March 1. 

http://www.navigantconsulting.com/A559B1/navigantnew. 

nsf/vGNCNTByDocKey/PPA91045514813/$FILE/Financing

%20Renewables%20in%20Competitve%20Electricity% 

20Markets_Power%20Engineering_March%202005.pdf 

NEEP. 2005. Economically Achievable Energy Efficiency Potential in New England. 

Northeast Energy Efficiency Partnerships by Optimal Energy. Updated May 2005. 

http://www.neep.org/files/Updated_Achievable_Potential_ 

2005.pdf 

Northwest Power and Conservation Council. 2005. The 5th Northwest Electric Power 

and Conservation Plan. Northwest Power and Conservation Council. May 2005. 

http://www.nwppc.org/energy/powerplan/default.htm 

NYSERDA. 2004. New York Energy $martSM Program Evaluation and Status Report. 

Report to the System Benefits Charge Advisory Group. Final Report. New York State 

Energy Research and Development Authority, Albany. May. 

http://www.nyserda.org/Energy_Information/04sbcreport.asp 

Oregon DOE. 2005. Oregon Business Energy Tax Credit (BETC) and Residential Energy 

Tax Credit (RETC). Oregon Department of Energy Conservation Division, Salem. 

http://egov.oregon.gov/Energy/CONS/BUS/BETC.shtml 

http://egov.oregon.gov/Energy/CONS/RES/RETC.shtml 

Oregon PUC. 2002. Order No. 02-634, Application for Public Purposes Funding and 

Distribution Margin Normalization. Oregon Public Utility Commission. September 12. 

http://apps.puc.state.or.us/ 

Click on Orders, View Orders 2000 to Current, List Orders for 

2002, Order No. 02-634. 

SWEEP. 2002. The New Mother Lode: The Potential for More Efficient Electricity Use 

in the Southwest. Report for the Hewlett Foundation Energy Series. Southwest 

Energy Efficiency Project. November. 

http://www.swenergy.org/nml 

State of New York. 2005. Governor Pataki’s press release for the Appliance and 

Equipment Energy Efficiency Standards Act of 2005. 

http://www.state.ny.us/governor/press/05/april20_2_05.htm 

Texas SECO. 2005. Texas State Energy Conservation Office. LoanSTAR Revolving 

Loan Program Web site. 

http://www.seco.cpa.state.tx.us/ls.htm 

UCS. 2004. Table of State Renewable Energy Funds. Union of Concerned Scientists. http://www.ucsusa.org/clean_energy/ 

clean_energy_policies/ 

clean-energy-policies-and-proposals.html 

Click on PDF Link: State Renewable Energy Funds 

WGA. 2005. The Potential for More Efficient Electricity Use in the Western U.S.: 

Energy Efficiency Task Force Draft Report to the Clean and Diversified Energy 

Advisory Committee of the Western Governors’ Association, Draft Report for Peer 

Review and Public Comment. Western Governors’ Association. September 15, 2005. 

http://www.westgov.org/wga/initiatives/cdeac/ 

Energyefficiencydraft9-15.pdf 

WI DOA. 2004. Wisconsin Public Benefits Programs Annual Report. July 1, 2003 to 

June 30, 2004. Department of Administration, Division of Energy, Madison, WI. 

http://www.cleanenergystates.org/library/wi/ 

2004FocusAnnualReport.pdf 

Wiser, R., M. Bolinger, E. Holt, and B. Swezey. 2001. Forecasting the Growth of Green 

Power Markets in the United States. NREL/TP-620-30101, Golden, CO. National 

Renewable Energy Laboratory, October. 

http://www.eere.energy.gov/greenpower/resources/ 

pdfs/30101.pdf 

WRAP. 2003. Renewable Energy and Energy Efficiency as Pollution Prevention 

Strategies for Regional Haze. Prepared by the Air Pollution Prevention Forum for the 

Western Regional Air Partnership. April. 

http://www.wrapair.org/forums/ap2/docs.html 

ES-32 � Executive Summary