Advocates call for utility efficiency standard

Washington (Platts)--9Mar2006

A US leading efficiency group called on Congress Thursday to establish a
national efficiency standard for electric utilities. 

     Establishment of an "energy efficiency resource standard" could cut
nationwide energy use by nearly 5% in 2020 and save consumers $170 billion
betweeen 2007 and 2020, according to a report released by the American Council
for an Energy-Efficient Economy. 

     Distribution system efficiency improvements, combined heat and power
systems, and other high-efficiency distributed generation systems are among
the methods that could be used by utilities to comply with an EERS, said
ACEEE. 

     A market-based trading system could also be set up whereby utilities that
save more than their target efficiency goals could sell credits to utilities
that fall short of their targets, the group said. 

     Successful EERS systems have been established in states like Texas and
countries such as Britain and Belgium, but congressional action would be
required in the US. 

     No legislation has been introduced in the 109th Congress to establish an
EERS, said ACEEE Executive Director Steven Nadel, but he said there has been
some interest in attaching efficiency language to a renewable portfolio
standard proposal.

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