C A L I F O R N I A E N E R G Y C O M M I S S I O N

Energy Efficiency – Crossing the “Tipping Point” in 2009

Commissioner Julia Levin

California Energy Commission

www.energy.ca.gov

December 2, 2009

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2009 Game Changers for Energy Efficiency

• American Recovery and Reinvestment Act (ARRA)

- Stimulating Energy Efficiency

• AB 758 – Energy Efficiency for Existing Buildings

- How Low Can We Go ??

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Federal Stimulus Bill (ARRA) signed February, 2009

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ARRA Energy-Related Programs

• Total of $42 billion for Energy Programs and Projects

– $11.3 billion in formula-based funding

– $30.7 billion in technology–focused competitive and direct grant, loan and loan guarantee funds, tax incentives

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Energy Commission ARRA Programs

• $226 million - State Energy Program • $49.6 million - Energy Efficiency &

Conservation Block Grant Program (for small jurisdictions only)

• $35.6 million - State Energy Efficiency Appliance Rebate Program

• $3.6 million - Energy Assurance

and Planning

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State Energy Program - $226 million

Funds Allocated for Energy Efficiency Include:

• $95 million - Energy Efficiency Retrofit

Programs

• $25 million - Revolving Loan Program to

retrofit state owned buildings

• $20 million - Green Job Workforce

• $25 million - local government loans

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State Energy Program Timeline

• All SEP funds must be encumbered by Sept 30, 2010 and fully drawn down by April 30, 2012

• Solicitations Deadlines and awards differ by program element

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Energy Efficiency Retrofit Program - $95 million

• Municipal Financing Programs• Local Governments Finance Retrofits

• Repaid through Property Tax Assessments

• Funding Available for Specified Uses

• Municipal/Commercial Retrofits• Funds Public and/or Private Partnerships

• Must Implement a Few Targeted Measures in Large Number of Buildings

• Required Best Practice Measures Approved by Commission

• Comprehensive Residential Retrofits• Funds Regional Consortia – Local Governments, Utilities, Affordable

Housing, Energy/Building Contracting Experts

• Requires Tiered Approach, Specific Program Elements, Transition to Whole-House Retrofits

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Green Workforce Development

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Green Job Funding Sources

• An Estimated $47 million will be awarded to regional workforce development programs:

– $20 million from State Energy Program (ARRA)

– $15 million from Alternative and Renewable Fuel and Vehicle Technology Program (AB 118)

– $12 million from Public Interest Energy Research program for green partnership academies

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AB 758 – Energy Efficiency Retrofits Signed September 2009

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Summary of AB 758

• Calls for a comprehensive program to achieve energy savings in CA’s existing building stock

• Complimentary portfolio of program components

• Meaningful assessment of each building’s energy consumption:

- relative efficiency compared to other buildings

- opportunities to improve

• Significant energy efficiency improvements

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AB 758 Program Components• Building Energy Rating systems (e.g. HERS)

• Labeling and Disclosure Programs

• Audit Requirements

• Financing Options

• Public Awareness Campaign

• Workforce Development

• Requirements for Energy Efficiency Improvements

• Energy Code Compliance and Enforcement

• Program Monitoring, Evaluation & Revisions

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AB 758 Direction• CEC must develop and implement program, in

collaboration with CPUC and a wide range of industry stakeholders

• CPUC to conduct proceeding for on-bill financing & report IOU incentive program activity linked to AB 758

• POUs to report incentive program focused on existing buildings

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Next Steps on AB 758:

• Use ARRA SEP programs to pilot workforce development, financing and retrofit concepts

• Pilot rating, retrofit and financing program concepts with utility partners

• Complete concept paper & discuss with key partners

• Open formal rulemaking by March 2010• Conduct workshops throughout 2010

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For More Information:

• ARRA and Economic Recovery:

CA: www.energy.ca.gov/recovery

Federal: www.energy.gov/recovery

• Energy Efficiency and AB 758:

www.energy.ca.gov/efficiency

www.leginfo.ca.gov/bilinfo.html