Thursday, January 1, 2009

Slow Economic Times Mean Time to Re-Tool Alternate Energy and Energy Conservation Policies and Regulations

Falling energy demand could soften the incentive to implement energy conservation programs and initiatives across the USA. As fossil fuel prices fall, renewable energy advocates expect declining support for expensive renewable energy projects. Yet, this could be just the right time to develop the national energy policy needed to guide us when demand roars back after economic recovery.

The Energy Information Administration of the Department of Energy says, “Total electricity consumption during 2008 is projected to be flat at about 2007 levels, as slight growth in the commercial and industrial sectors is balanced by decline in the residential sector, primarily as a result of milder summer temperatures (U.S. Total Electricity Consumption). Total electricity consumption is expected to decline in 2009 due to the slow growth in new housing construction and reduced demand in the industrial sector.”

Declining prices always mean declining excitement and support for alternate energy programs. We’ve been through this before. Yet despite the slow-down in demand, prices for residential electricity do not appear to be falling. Again according to the Official Energy Statistics from the US Government, “Spot prices for power generation fuels continue to decline from their peak summer levels. Residential electricity prices are expected to rise by 6 percent this year and by 5 percent in 2009 (U.S. Residential Electricity Prices). Still these price increases pale compared to the national average of 10 percent residential rate increases between 2005 and 2006.

This lull is just the right time for policy makers, utilities and consumers to take action; adopt a national energy policy and put into place uniform local energy and distributed generation policies. If we do it now, these regulations will be in place when we all get too busy putting out our own brush fires when the economy gets back into full swing.

Cutting the Red Tape Out features ideas for better uniformity of regulations and permitting for distributed generation equipment. Now is the time to contact your federal, states and local elected representatives to tell them what you want in the way of distributed renewable energy systems. This also the time to tell them to review their regulations pertaining to building, energy efficiency, and alternate energy systems. It won’t matter how great your utility incentives are for wind and solar power if local building codes impose unreasonable and outdated requirements. Or, worse yet, if they have no regulations pertaining to wind towers , photovoltaic systems on roofs etc., advocates for these systems will end up triggering moratoriums on these “new” developments that could take years to unravel.

If you want to save the world and promote alternate energy development, you cannot wait until you’re in the building permit office filling out construction permit forms to find out what the requirements are in your area. If you do, you deserve to spend lots of time, twice as much money and three times the patience getting your project completed.

In May 2000 all of the world's science academies created the Inter-Academy Council to mobilize the best scientists and engineers worldwide to provide high quality advice to international bodies - such as the United Nations and the World Bank - as well as to other institutions. They recognize that barriers to adopting new technologies are not always financial. In their report Barriers to realizing cost-effective energy savings they describe institutional and personal barriers to adopting energy efficient systems including alternate energy systems.

Now is the time to make that call and tell your elected representatives where you stand on renewable energy. It also the time to do your home work and find out what the regulations and policies are in your area to make sure that state and local governments and local utilities are ready to do alternate energy business.

© 2009 Mark R. Daily

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