| Independently Powered Energy News

Federal legislation to increase energy efficiency across various sectors and advance energy storage received wide support Feb. 12 from a House Energy & Commerce Committee subcommittee.

Before the lawmakers were bipartisan bills to increase energy savings in the residential, industrial and commercial sectors to reduce greenhouse gas emissions, save consumers money and create jobs. Lawmakers weighed additional legislation, which aims to provide policy and financial support to the energy storage industry.

Committee Chair Rep. Frank Pallone (D-NJ) applauded the support of members from both parties. But he lamented President Donald Trump undermining those efforts, including with his 2021 federal budget plan released this week that slashes funds for energy efficiency, weatherization for low income homes and innovative research programs.

Pallone also took issue with a legislative proposal that would halt phasing out of fossil fuel use in federal buildings by 2030, now required by the Energy Industry & Security Act of 2007. He also objected to another bill provision that would allow companies to self-certify that they meet Energy Star standards in place of third-party verification.

Rep. Fred Upton (R- MI) embraced the federal bills to modernize the energy industry, use less energy, lower electricity bills, balance the grid and reduce air pollution.

Upton insisted, however, that the bills include protections against grid cyber security threats.

Legislation to help cut energy consumption in half, particularly via tighter building codes, got much of the attention during the Wednesday hearing. Homes and commercial and industrial buildings are responsible for about 40 percent of the greenhouse gases in this country.

Building energy efficiency codes and measures were touted for creating long-term energy savings.

One of the witnesses took issue with the upfront costs of the building efficiency requirements, which raise the costs of new homes. Arn McIntyre, representing the National Association of Home Builders, said the key hurdles for his organization were calculations of efficiency cost-effectiveness, including how they are measured, and how they equate to consumer savings. He said recouping the costs from lower energy bills takes too long.

According to Lowell Ungar, America Council for an Energy Efficient Economy senior policy advisor, the upfront costs of efficiency building codes are offset by the resulting energy savings in a matter of months.

“Send a valentine to consumers," Unger said, urging support of increasing building and appliance efficiency rules. He said cutting energy use in half could produce net energy savings of $15 billion a year to 2050.

Energy efficiency also creates jobs. In 2018, electricity savings from energy efficiency programs totaled 27.1 million MWh and accounted for 2.3 million jobs.

The Home Builders’ McIntyre called for broader economic efforts to cut energy consumption and greenhouse gas emissions. He highlighted the disparity between efforts to reduce the energy consumption of new homes with the much higher consumption of the existing housing stock.

Bipartisan bills supporting the expansion of energy storage also were showcased.

“Never in the history of the energy industry has the timing of generation and it's delivery been decoupled,” Kelly Speakes-Backman, Energy Storage Association chief executive officer, told the committee. She noted how the various storage technologies, including batteries, pumped hydro and thermal storage, increase the capacity of the grid.

The legislation supported by the House subcommittee included:

HR 1744, the S.T.O.R.A.G.E. Act by Rep. Mark Takano (D-CA), to establish a standard under the Public Utility Regulatory Policies Act of 1978 requiring states to consider investing in energy storage systems. HR 2909, Promoting Grid Storage Act of 2019 by Rep. Sean Casten (D-IL), to establish a Department of Energy storage program and a technical assistance and grant program. It also establishes a DOE research program for energy storage systems, components and materials. The bill authorizes $175 million for the research program annually from 2020 through 2024.

HR 3962, the Energy Savings & Industrial Competitiveness Act of 2019 by Reps. Peter Welch (D-VT) and David McKinley (R-WV), to promote energy efficiency technologies in the residential, commercial, and industrial sectors. It strengthens national energy efficiency building codes for homes and commercial buildings. It also provides retrofitting assistance for schools and creates a program to account for energy-efficient features in the mortgage appraisal and underwriting process for federally-backed mortgages.

HR 4447, Expanding Access to Sustainable Energy Act of 2019 by Reps. Tom O’Halleran (D-AZ) and Markwayne Mullin (R-OK), to establish an energy storage and microgrid grant and technical assistance program at DOE. HR 5650, the Federal Energy & Water Management Performance Act of 2020 by Peter Welch (D-VT) and Adam Kinzinger (R-IL), to improve federal energy and water performance requirements for federal buildings and to establish a Federal Energy Management Program.