New Rulemakings Open the Door for Energy Efficiency

In the past few months, we have seen a steady stream of Obama administration proposed regulations and programs pertaining to energy efficiency.  These rulemakings govern a range of efficiency-related issues in the federal agencies, from building tune-ups to air emissions. With an ongoing drought in congressional activity, they present some of the most promising opportunities to drive energy efficiency in the immediate future.

Alliance Gives Input on a Suite of New Rules 

Rules are agency guidelines that determine how to follow a law. Prior to any major rulemaking, agencies are required to give stakeholders and the general public an opportunity to comment on proposed rules. The comments often respond to a number of questions raised in the proposed rule and are considered, if not addressed directly, in the final rule design.

In the past few months, the Alliance has submitted comments in response to a number of proposed rules.  The comments are in addition to our work on over two-dozen appliance standards rules being developed over a five-year period. Taken together, these rules will have a major impact on energy efficiency deployment in the United States:

• DOE Federal Energy Management Rule for Green Federal Buildings:  In May, the Department of Energy (DOE) proposed a new set of rules on green and sustainable design standards for new federal buildings. The rules cover the full building lifecycle including siting, design, construction and ongoing maintenance. Our comments on the rule focus on the need for building commissioning, including strategies to allow energy efficiency benefits to persist over long periods of time.  The comments reflect the outcomes of an Alliance-led workshop on federal building commissioning.
• DOE National Rating Program for Homes:  In June, DOE sought comment on a voluntary program to label energy use in homes. The program would allow homeowners to understand the energy efficiency savings of proposed upgrades and make comparisons against similar homes. Our comments on the program stress the importance of local design flexibility, ongoing field testing and improvement, and harmonization with other labels.
• EPA Boiler Rules: In June, the Environmental Protection Agency (EPA) sought comment on air pollutant standards for commercial and industrial boilers. The proposed rules include requirements for boiler tune-ups and, for larger facilities, energy assessments. Our comments on the rules address the need for ongoing tune-ups in pollution reduction, provide information on facility energy assessments, and recommend using output-based standards, which calibrate emissions by the amount of heat produced rather than the amount of fuel consumed. 
• EPA Clean Air Transport Rule: In July, EPA proposed a new set of rules to limit power plant emissions across state lines. The Clean Air Transport Rule would reduce nitrogen oxides and sulfur dioxide emissions in 31 states and the District of Columbia and replace a 2005 rule required by the Clean Air Act. Our comments on the rule recommend that the rule allows states to incorporate energy efficiency into their compliance plans and provides technical assistance to aid this effort.
• FERC Demand Response Compensation Rules: In August, the Federal Energy Regulatory Commission (FERC) sought comment on proposed rules for demand response compensation. The rules would require equitable compensation for demand response providers as generation suppliers for managing electrical load at the same time and place. Our comments on the rule support equitable compensation for demand response and address the need for solid and consistent measurement and verification. 
• DOE Smart Grid Planning:  In September, DOE sought comments on policy barriers and solutions for expansion of smart grid technology and infrastructure. Our comments highlighted the potential for energy efficiency within the smart grid and stress the need to prioritize energy efficiency in smart grid and advanced meter planning.
• EPA and DOT Fuel Economy Labels: In August, EPA and Department of Transportation unveiled two new proposed fuel economy labels. The new labels, which replace the current fuel economy label in the front windows of new vehicles, feature new environmental impact information and new ways to compare vehicles, including a proposed A–D letter ranking of environmental and fuel economy performance.  Our comments, due Nov. 22, will stress the importance of making comparisons across energy-related labels and the need for a comprehensive, lifecycle analysis of greenhouse gas emissions.

Without New Laws, the Administration Works the Old Ones

While the current Congress has failed to pass comprehensive energy legislation this session, the new rulemakings stand as a reminder of the ongoing impacts of past congressional successes: Most of these rules were required by the comprehensive energy bills passed in the 2005 and 2007. The bills included a suite of major energy efficiency provisions—such as new efficiency requirements for light bulbs—that are still being implemented today. 

Looking forward, administration efforts may be energy efficiency advocates’ focus during the next several years as EPA works to uphold the Clean Air Act and DOE continues to implement past legislation and its $30 billion Recovery Act funding.