Alliance Praises NPC Oil and Gas Study for Acknowledging Vital Role of Energy Efficiency in Addressing Energy Challenges | Alliance to Save Energy

Alliance Praises NPC Oil and Gas Study for Acknowledging Vital Role of Energy Efficiency in Addressing Energy Challenges

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Alliance Praises NPC Oil and Gas Study for Acknowledging Vital Role of Energy Efficiency in Addressing Energy Challenges

Release Date: Wednesday, July 18, 2007

Alliance Praises NPC Oil and Gas Study for Acknowledging Vital Role of Energy Efficiency in Addressing Energy Challenges

Washington, D.C., July 18, 2007 – The Alliance to Save Energy today commended the National Petroleum Council (NPC) for noting in its recent report to the Secretary of Energy the importance of demand reduction and energy efficiency in meeting growing U.S. energy demand. The Alliance also praised the study’s comprehensiveness and its inclusion of perspectives from diverse interests.

Citing projected energy demand growth of 50-60 percent by 2030, Facing the Hard Truths about Energy calls for aggressive policies to moderate energy demand. The report notes growing challenges to the delivery of conventional oil and gas supplies, including increased concerns about greenhouse gas emissions, shortages of trained personnel, and the high cost of new infrastructure. At the same time, the report questions the near-term ability of other energy resources – including nuclear, coal, wind, solar, and biofuels – to replace oil and gas.

“The aptly named NPC report provides a hard look at the future prospects for energy supply and demand and a realistic analysis of the many economic, environmental, and security tradeoffs of various energy resources,” said Alliance President Kateri Callahan. “Our rapidly growing demand for energy imposes a lot of tough choices, but energy efficiency remains the energy resource that comes closest to meeting our national economic, environmental, and security objectives. Fortunately, the oil and gas industry recognizes this crucial fact.”

Among the report’s conclusions with which the Alliance agrees is that light duty vehicle fuel economy in the United States could be doubled by 2030 using existing and anticipated technologies – and assuming those fuel economy gains are not offset by increased vehicle horsepower and amenities. Another is that currently available, cost-effective energy-efficiency measures could reduce energy use in U.S. buildings by 15-20 percent by 2030.

Recognizing the growing likelihood of national policies to address climate change, the NPC report also suggests that policies to price carbon – such as carbon cap and trade or carbon taxes – would provide greater regulatory certainty to the business community.

The report is the product of more than a year’s work by analysts and executives from the nation’s leading oil and gas companies, as well as non-industry experts such as the Alliance and other leading energy, environmental, and consumer organizations.

“The NPC’s process for developing the observations and recommendations in its report was inclusive and thoughtful,” said Alliance Vice President Joe Loper. “While we don’t necessarily agree with each and every finding and recommendation, the report tells a story that needs to be told – that there’s no single, easy way to solve our energy problems – and the longer we wait, the harder it will be.”

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