Overview
Efficiency should be the most cost-effective means of addressing rising energy demand. According to research, North Carolina could meet at least 14% of demand more cheaply by efficiency than by building new generation. Nevertheless, we currently invest 91% less on energy efficiency programs than the national average, or 44 cents per person.
Furthermore, utility companies are jockeying to recapture efficiency savings. In 2007, for example, Duke Energy filed a docket with the Utilities Commission to charge customers 90% of the cost of energy as compensation for customers’ efficiency. We cannot afford—economically or environmentally—to fail to promote efficiency, but the utility companies are seeking an unfair amount of compensation.
NCPIRG Efficiency Agenda
North Carolina is at a critical juncture in energy policy. The Utilities Commission will shape our energy future, and its economic fairness, in landmark rule-making hearings and dockets related to renewable energy and efficiency. NCPIRG will continue to defend the interests and pocketbooks of residents using the time-tested tools of grassroots organizing, lobbying, and media exposes.
Also, we are working with allies to promote an economically prudent energy efficiency platform for North Carolina. Our top policy priorities are as follows.
1. Independent Efficiency Administrator. Efficiency should be the cheapest manner to meet demand. Significant economic savings should be consumers’ reward. Employing utility companies to promote and profit from efficiency will cost consumers more than the alternative. The fox should not guard the henhouse. The legislature needs to entrust an independent body, not utility companies, to promote efficiency.
2. Public Transportation. Traffic contributes to carbon emissions, and North Carolinians already breathe some of the most polluted air in the country. We do not need more lanes or buses. We need trains.
3. New Construction. Builders are gate keepers to promoting efficiency. Heating, cooling and refrigeration accounts for 66% of our energy usage. If builders poorly insulate houses or install energy guzzling appliances, then many new homeowners will have no choice but to have inefficient homes. We need to provide incentives to home builders to build energy efficient homes with energy star appliances to save energy and money in the long run.
4. Light Bulbs. If every U.S. household replaced just one light bulb with an energy efficient one, we would save enough energy to light 3 million homes and $600 million in energy bills. Energy-wise, it is like replacing a Hummer with a Prius. Energy efficient light bulbs use a fraction of the energy, last years longer, and will result in significant savings on your energy bills.
5. Gas Mileage. The less gas we use, the more money we save and the less dependent we are on unstable oil markets. We need to provide incentives for consumers purchasing cars that get more than 35 mpg.