ACEEE Analysis of Shaheen-Portman
Benefits of the Shaheen-Portman Bill
The Energy Savings and Industrial Competitiveness Act (S. 1392), more commonly known as Shaheen-Portman, will result in many benefits, including significant impacts to the economy and the environment. The American Council for an Energy-Efficient Economy (ACEEE) recently released an updated report tracking these benefits in the bill’s current form. Together with an analysis of the bill itself, ACEEE assessed the effects that certain amendments would have on the legislation’s end results. With their assessment of the bill, ACEEE concludes that Shaheen-Portman would result in sizeable economic and environmental benefits, providing a compelling justification for Shaheen-Portman and common sense energy efficiency legislation more generally. Benefits of the legislation in its current form include:
- $2.1 billion in net annual energy savings achieved by the year 2020, with annual savings rising to $13.7 billion by 2030.
- Annual energy savings of 0.3 quadrillion Btu by 2020 and 1.5 quadrillion Btu by 2030.
- 66,000 net jobs created by 2020 and 164,000 created by 2030.
- Annual avoided CO2 emissions of 87.6 million metric tons (MMT) by 2030.
While the ACEEE analysis of the bill shows that Shaheen-Portman alone would produce significant benefits, the data also shows that additional economic and environmental gains could be realized if lawmakers were to include several energy efficiency amendments with the bill. In their analysis ACEEE divides these amendments into two primary groups. Group A assumes that Shaheen-Portman passes with only those bipartisan amendments that lack serious opposition. Alternatively, Group A+ incorporates amendments from Group A, while also including several other amendments that are more likely to face opposition. Based on this sorting, ACEEE concluded that Group A+ would see the greatest net benefits; however, both amendment scenarios would provide additional gains when compared to the original bill.
Most notably, the State Energy Race to the Top Initiative, an Energy 2030 recommendation, would provide the biggest bang for the taxpayer buck out of all of the amendments reviewed.
- S.Amdt. 1847, Better Buildings Act (Tenant Star): Would support programs and best practices that provide incentives to improve the energy efficiency of rental properties.
- Net savings: $1.96 billion by 2030
- S.Amdt. 1912, Streamlining Energy Efficiency for Schools Act: Would direct the Department of Energy (DOE) to coordinate federal efforts to increase energy efficiency in schools.
- Net savings: $2.21 billion by 2030
- S.Amdt. 1855, Benchmarking proposal: Would expand processes that allow building owners to assess their energy use and compare them to other buildings.
- Net savings: $0.77 billion by 2030
- S.Amdt. 1846, Energy Efficient Government Technology Act: Would require the federal government to consolidate federal data centers in order to reduce energy consumption.
- Net savings: $1.64 billion by 2030
- S.Amdt. 1856, Non-Profit Energy Efficiency Act: Would provide matching grants to help non-profits become more energy efficient.
- Net savings: $0.04 billion by 2030
- Building finance provision (formerly Section 201 of S. 761, the previous iteration of S. 1392): Would direct DOE to provide grants to states so they may establish or expand programs to promote energy efficiency upgrades in commercial buildings.
- Net savings: $0.34 billion by 2030
- Electricity supply efficiency (not yet introduced): Would direct DOE to conduct a state-by-state study to determine whether opportunities existed to improve the efficiency of existing electrical generation plants.
- Net savings: $1.90 billion by 2030
- S.Amdt. 1915, Residential Energy Savings Act: Would direct DOE to provide funding to states to establish or expand residential energy efficiency programs.
- Net savings: $0.29 billion by 2030
- S.Amdt. 1895, State Energy Race to the Top Initiative Act: Would direct DOE to create a competitive grant program inviting states to submit plans to increase their energy productivity.
- Net savings: $11.80 billion by 2030
- S.Amdt. 1916, Grid-enabled water heaters proposal: Would enable DOE to eliminate or create separate standards for grid-enabled water heaters.
- Net savings: N/A