Alliance to Save Energy Commends Clinton Administration FY2001 Budget on Energy Efficiency Measures; Looks Closely at Fine Print on Federal Energy Management

Release Date: Monday, February 7, 2000

The Alliance to Save Energy President David M. Nemtzow today commended the Clinton Administration for its FY 2001 budget request offering a combination of increases for energy-efficiency programs, tax credits for efficient homes and cars, and a $200 million Clean Energy Initiative. Nemtzow called on Congress to move quickly to adopt these measures.

"Less clear from the President’s budget documents is sufficient support for energy management upgrades by the federal government – the world’s largest energy user – as required by the June 1999 executive order on Greening the Government Through Efficient Management. The Alliance will be ‘reading the fine print’ and looking closely for the aggressive implementation of this important executive order," stated Nemtzow.

The administration’s final budget for energy-efficiency programs at the U.S. Department of Energy and the U.S. Environmental Protection Agency calls for $850.5 million for energy-efficiency research, development, and deployment programs at DOE – a 1.4 percent increase over last year’s budget request and a 12 percent increase over FY 2000 appropriations. EPA Climate programs received a similar request to last year – including an increase of approximately 80 percent in appropriations for the Energy Star program, which has remained flat for the past several budget cycles.

Tax Credits
The budget reiterated support for tax credits to promote more energy-efficient investments and behavior. It proposes $4 billion over five years worth of tax credits promoting energy-efficient homes and building equipment, vehicles powered by fuel cells, electricity, or gasoline hybrid engines, and a variety of renewable energy technologies. Revenue expenditure for the new home credit has also increased with the addition of a third year of eligibility for the credit for homes with an efficiency rating of 30 percent beyond the 1998 International Energy Conservation Code.

Clean Energy Initiative
The President introduced details of a $200 million multi-agency Clean Energy Initiative to increase the export of energy-efficient and other clean energy technologies to developing and transitional nations. It will focus on targeting exports to emerging economies with the goal of reducing future carbon emissions and spurring international economic development.