Dept. of Energy earmarks $72M for state energy efficiency programs

Yesterday, the U.S. Department of Energy announced that it will hand out $72 million in stimulus funds to states and territories working to establish energy efficiency initiatives. Recipient states must implement programs that slash energy consumption across the board, decarbonize their electrical grids and spur the creation of more green jobs, energy secretary Steven Chu said yesterday.
So far, South Dakota, Oregon, Nevada, Idaho, Puerto Rico and the U.S. Virgin Islands have been tapped to received $9.59 million each. New Jersey will also receive $14.4 million. These are oddly small amounts to be giving out — even if about 60 percent of the money will be funneled into counties and cities that might not otherwise receive support for energy efficiency programs. Considering that major utilities like Duke Energy are applying for upwards of $200 million via the DOE’s Smart Grid grant program, even $14.4 distributed across an entire state can’t possibly do much.
Chu’s announcement of the state grants was very sweeping — he went as far as to say that they would allow “major investments in energy solutions.” But $9.59 million even sounds small for an investment in a garden variety startup. How could that sum jumpstart development and job creation? Obviously, Chu didn’t say.
The states selected are charged with developing energy efficiency and conservation strategies ranging from weatherizing buildings to upping public transportation, from inspections and incentives to local Smart Grid projects. They must also build in transparency and accountability measures before they can receive the full amount. The DOE says it will be providing oversight, even at the local level, requiring constant reporting and achievement of milestones.
Here’s how the state’s named plan to spend their limited bounty:
Idaho: Subgrants will be divided among city and county governments to run energy audits on buildings and transportation systems. Some will be used to install renewable energy sources like rooftop solar panels. The state’s Office of Energy Resources will also be helping these governments adopt the 2009 International Energy Conservation Code. About 100 jobs are expected to be saved or created.
Nevada: Some of the money will be used to reduce use of fossil fuels and cut emissions. About 60 percent of the $9.59 million will go to local governments. The rest will be split between retrofitting 200 emergency vehicles for fuel efficiency, installing energy management systems in government buildings, replacing traffic and street lights with more efficient models and running training programs for state and municipal employees.
New Jersey: The state’s Energy Office will distribute 70 percent of the $14.4 million to counties and cities that are not eligible to receive other federal support for energy efficiency. A handful of projects will be selected from 200 applicants to receive financing, based on how much they can curb emissions and how many jobs they will potentially create. It expects to save or create 150 jobs.
Oregon: Some of the money will be used to provide city and county governments with consultants to help them improve energy efficiency. The Oregon Department of Energy will also be working to improve the state’s energy code to include more stringent consumption goals. At the same time, the Oregon Department of Transportation will be partnering with others to implement solar transit projects.
South Dakota: The state is striving to reduce 1990 energy consumption levels by 25 percent by 2012. About 40 percent of the money will go toward subgrants and loans for municipal organizations and entities like schools and community-based nonprofits.
Puerto Rico: Funds will be used to set up community and public education programs to promote energy efficiency and lead to job creation. It has said other initiatives will retrofit buildings to optimize their energy use. The remaining money will be used to enforce quality assurance, system oversign and administration.
U.S. Virgin Islands: Some of the money will be used to install renewable landfill-gas-to-energy treatment systems; some will be used to overhaul the electricity transmission and distribution infrastructure used by the Virgin Islands Water and Power Authority. Lighting systems on streets, in schools and at bus stops will be revamped to save power; and three 275-kilowatt wind turbines and a 100-kilowatt solar system will be constructed to support the government operated airport in St. Croix.
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