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FOIA Number: 2017-1094-F
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MARKER
This is not a textual record. This is used as an
administrative marker by the William J. Clinton
Presidential Library Staff.
Collection/Record Group:
Clinton Presidential Records
Subgroup/Office of Origin:
WH Task Force on Climate Change
Series/Staff Member:
Roger Ballentine; Paul Bledsoe; Julie Anderson
Subseries:
OA/ID Number:
41299
FolderID:
Folder Title:
[Meeting the Challenge of Climate Change] [1]
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100
3
9
3
Hug, Kathleen
From:
Hug, Kathleen
Sent:
Wednesday, September 27, 2000 9:44 AM
To:
"[email protected]'
Cc:
Povenmire, Susan L (OES)(FO); Clack, George; '[email protected];
'[email protected]'
Subject:
COP-6 tabletop exhibit
John - We will send you and Paul by courier today several design samples for the tabletop exhibit. These were prepared
by one of our own talented designers. The samples are only a fraction of the final size, which is about four feet high and
six feet long. So you have to "think big" when you look at the samples. The display panel is mounted on a heavy surface
that fits onto a slightly curved supporting structure.
The display is meant to provide background at the table where the U.S. press kit folders and other materials will be
distributed. It is intended to be more atmospheric than informative. Nevertheless, there is room for a few words --
whatever you and Paul want - on it. For a couple of the samples we are sending, we grabbed some phrases from the
domestic actions report to give you an idea of the amount of text the exhibit can hold without becoming too busy. Word
selection, as I said, is up to you, but it's a good idea to keep things short and punchy.
We will send the samples by courier. Could I please have your delivery address and a telephone number.
Thanks and regards. Kathleen
Kathleen E. Hug
Publications Manager
Office of International Information Programs
U.S. Department of State
301 - 4th Street, S.W. SA-44, 4 North
Washington, D.C. 20547
202-619-4176
[email protected]
1
MEETING THE
CHALLENGE OF
CLIM
MARK
CHANGE
SOLAR BUILDINGS
INDUSTRIES OF THE FUTURE
STEAM CHALLENGE
TECHNOLOGY IN HOUSING
BIOMASS GASIFICATION
ADVANCED TURBINE SYSTEMS
WIND ENERGY SYSTEMS
GEOTHERMAL TECHNOLOGY
BIOFUELS
HYDROGEN RESEARCH
CARBON-FREE FUELS
PHOTOVOLTAIC ENERGY SYSTEMS R&D
BIOPRODUCTS & BIOENERGY
ENERGY SMART SCHOOLS
CLIMATE CHANGE
SOLAR BUILDINGS
MEETING THE
INDUSTRIES OF THE FUTURE
STEAMCHALLENGE
TECHNOLOGY IN HOUSING
CHALLENGE OF
BIOMASS GASIFICATION
SOLAR BUILDINGS
INDUSTRIES OF THE FUTURE
STEAMCHALLENGE
TECHNOLOGY IN HOUSING
BIOMASS GASIFICATION
ADVANCED TURBINE SYSTEMS
WIND ENERGY SYSTEMS
GEOTHERMAL TECHNOLOGY
BIOFUELS
HYDROGEN RESEARCH
CARBON-FREE FUELS
PHOTOVOLTAIC ENERGY SYSTEMS R&D
BIOPRODUCTS & BIOENERGY
ENERGY SMART SCHOOLS
[email protected]
09/07/2000 04:57:35 PM
Record Type:
Record
To:
John D. Gibson/WHCCTF/EOP
CC:
Subject: Agency Contacts for COP 6 Report
John: Here are agency contacts and their e-mail addresses. I've spoken with
them all (except Holly) and they understand the quick turnaround time and the
need for one set of consolidated comments. Though I'm sure you'll emphasize
that again when you send out the draft. As for Holly, Susan P recommended that
she be the one - I've sent her an e-mail letting her know what to expect -
though if I don't get an acknowledgement back from her by tomorrow Dan Balzer
will be the backup. Also note -- Marybeth Z was not happy with the turnaround
time and was asking (threatening is more like it) that if Dan didn't like the
draft (he didn't see the first draft) would we still send it to print. May be a
problem.
DOE: Marybeth Zimmerman 586-7249 [email protected]
CC: [email protected] 586-1732
DOI: Noel Gerson 208-6291 [email protected]
USDA: Steve Schaefer (301) 504-4644 [email protected]
V
Chariton
State: Holly Kaufman [email protected] (cc: [email protected])
ben. Act
DOT: Todd Ramsden 366-0949 [email protected]
HUD: Kenneth Sandler 708-4277 X 102 [email protected]
seq.
AID: Bob Macleod 712-4473 [email protected]
3
Dev. weath
EPA: Jackie Krieger 564-5757 [email protected]
pred
Contents
Executive Summary
1
Chapter 1. Industry
7
Chapter 2. Buildings
13
Chapter 3. Electricity
21
Chapter 4. Transportation
33
Chapter 5. Agriculture & Forestry
41
Chapter 6. Research
45
(1),
-
Just Clinto2
2
Use whole Gove or different nothing
M
Put Gove next to quote
pull up
I
Executive Summary
ddressing climate change is the premier environmental chal-
A
lenge of the 21" century. Among the world's leading atmos-
pheric scientists, agreement is now widespread that the Earth
is warming and that greenhouse gas emissions from human activities
are at least partly to blame.
The United States is committed to meeting this challenge, both
through domestic actions to reduce greenhouse gas emissions and
through environmentally sound, cost-effective international cooper-
ation under the United Nations Framework Convention on Climate
Change and its 1997 Kyoto Protocol.
Awareness is growing throughout U.S. society that global warming is
a serious problem and that serious action is required. Most impor-
tantly, specific concrete actions by citizens, businesses, and govern-
ments are yielding tangible results. In fact, recent data show that
growth in U.S. greenhouse gas emissions has begun to decline, even
as the U.S. economy grows at an unprecedented rate-an impor-
tant measure of progress in the fight against climate change.
"The greatest environmental
challenge of the new century is
global warming If we fail to
reduce the emission of green-
house gases, deadly heat waves
and droughts will become more frequent,
coastal areas will flood, and economies will
be disrupted. That is going to happen, unless
we act.
President Bill Clinton
State of the Union Address
January 27, 2000
1
United States: Domestic Progress on Climate Change
Challenging the Historic Link between
U.S. Business Community Stepping
GDP and Carbon Emissions
Forward
Historically, U.S. CO,, emissions have grown at
U.S. industry is undergoing a sea change in its
roughly hall the rate of the gross domestic prod-
attitude towards climate change. This, in part,
uct (GDP). In recent years, however, very robust
reflects a realization by more and more compa-
growth in the nation's GDP has been accompa-
nics that saving energy and reducing waste make
nied by a slowdown in the growth of U.S. green-
sense not just for the environment. but also for
house gas emissions. This trend grew even more
their bottom line. The automobile industry, for
pronounced in the late 1990s.
example, is making important progress in reduc-
ing emissions from vehicles.
Over the 1990s. the U.S. GDP grew almost
three times faster than energy-related CO., emis-
Ford and GM announced production plans for
sions.
sport utility vehicles (SUVs) that are 15 to 25
percent more fuel-efficient than today's SUVs.
In both 1998 and 1999, U.S. GDP grew by
Preliminary estimates by the U.S Environmental
more than + percent each year while CO,, emis-
Protection Agency indicate that these commit-
sions grew by less than 1.5 percent per year.
ments could result in cumulative emissions
In addition. recent data demonstrate that from
reductions of up to 100 MMTCE through 2020.
1960 to 1996. energy intensity-the amount of
Thanks in part to the public-private
energy used per unit of GDP-declined by an
Partnership for 11 New Generation of Vehicles (PNGV).
average of 1.3 percent per year. Even more
General Motors (GM), Ford Motor Company,
telling. from 1996 to 1999. the nation's energy
and Daimler-Chrysler have all unveiled diesel-
intensity declined at a rate of 3.2 percent amnu-
battery hybrid concept cars that are capable of
allv. Finalk, the carbon intensity of the U.S.
traveling 70-90 miles per gallon (mpg).
economy-the amount of CO. emitted per unit
of GDP-declined by 15 percent over the course
Honda and Toyota introduced gasoline-bat-
of the 1990s.
terv hybrids into the U.S. market with fuel econ-
omy ratings of up to 70 mpg on the highway.
Factors coutributing to these trends may include
a high rate of new investments and the rise of the
Also, this year Johnson & Johnson and IBM
digital economy. What is clear is that U.S. busi-
became the first two companies to join a new
nesses, states and localities. and the Federal gov-
partnership with the conservation community to
ernment are achieving real results in reducing
help businesses voluntarily lower energy con-
growth in greenhouse gas emissions. There is
sumption. Under this partnership, companies
also a commitment at all levels to ensuring that
make specific commitments 10 reduce their emis-
these positive results multiply in the years ahead.
sions and participate in an independent verifica-
tion process. In SO doing, these two companies
join a host of major companies that are stepping
forward with real plans 10 address climate
change. including DuPont, Motorola, United
Technologies, Boeing, Shell, Weyerhaeuser,
We have learned that a strong
and Amoco and Arco, subsidiaries of British
economy anda safe environment
Petroleum. And in May 2000. 11 major U.S. cor-
go hand in hand."
porations, calling themselves the Green Power
Vice President Al Gore
Market Development Group. began purchasing
April 2000
green energy and otherwise providing support 10
the development of green energy markets.
2
com
reduce enversion
by an amount
equal to 100
willion not
]
Low of ander
1.
vs.
2, years strange, bigge
3, change - bight
4, 1990=1.0 at left
-
If
Growth in U.S. Economy and CO2 Emissions
1.3
Gross Domestic Product
(1990=1.0)
1.2
Change Relative to 1990
Carbon Emissions
(1990=1.0)
1.1
1.0
0.9
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
The rise in good corporate citizenship is fur-
Four pending appliance standards (clothes
ther evidenced by the decline of business
washers, fluorescent light ballasts, water
organizations
è
dedicated
heaters, and central air conditioners) are
to opposing international action to address
expected to save consumers more than $10
climate change. and the rise of other, more
billion and reduce cumulative emissions by
constructive voices, such as those of the
22 MMTGE through 2010.
Business Council for Sustainable Energy,
The ENERGY STAR program promotes
the International Climate Change Partner-
energy efficiency in U.S. homes and build-
ship, and the Pew Center for Global
ings. It is estimated that by 2010 ENERGY
Climate Change.
STAR will reduce cumulative U.S. greenhouse
Real Actions, Real Results
gas emissions by more than 100 MMTCE
Public-private partnership programs to
For the past seven years, the hallmark of the
reduce methane emissions are expected to
Clinton-Gore Administration's strategy for
hold methane emissions at or below 1990
reducing U.S. greenhouse gas emissions has
levels through 2010. Partners in the methane
been to use R&D investments and tax incen-
programs will reduce cumulative emissions
tives to increase energy efficiency. spur the
by an estimated 120 MMTCE by 2010
broader use of renewable energy, and work
with industry to promote voluntary, cost-
Programs designed to halt the growth in
effective reductions. Among the many U.S
emissions of the most potent greenhouse
climate protection programs showing tangi-
gases-the so-called "high global warming
ble results are the following:
potential (GWP) gases"-are achieving sig-
nificant progress. Investments already made
Minimum efficiency standards on residen-
by partners in these programs will reduce
tial appliances have saved consumers nearly
cumulative emissions by an estimated
$25 billion through 1999. avoiding cumula-
80 MMTCE by 2010.
tive emissions by an amount equal to almost
50 million metric tons of carbon (MMTCE).
3
United States: Domestic Progress on Climate Change
Funding for Technology Programs to
Growing Commitment by the U.S.
Combat Climate Change
Government
(In millions of dollars)
Over the past two years (FY 1999 and FY
1500
2000). the Clinton-Gore Administration has
secured more than $7 billion in overall fund-
1200
ing to fight climate change. This includes
more than $2 billion for the research and
900
development of clean energy technologies in
the four major carbon-emitting sectors of the
U.S. economy: Industry, Buildings. Electricity
600
Generation, and Transportation.
300
The President's FY 2001 budget proposed
$2.4 billion in funding for renewable energy.
energy efficiency, agricultural- and forest-
0
1993 1994 1995 1996 1997 1998 1999 20002001*
based bioproducts and energy, research and
*proposed
development. and tax incentives for the pur-
chase of clean cars. homes, appliances, and
no
clean energy production. This represents a 43
percent increase over FY 2000 enacted levels
Targeted Tax Credits to Fight Global
and builds on the Administration's consistent
Warming
record of fighting for-and achieving-high-
er funding levels for climate programs.
As part of the Climate Change Technology
Initiative, President Clinton has proposed $9.3
New Federal Initiatives
billion in tax incentives over 10 years for con-
sumers who purchase energy-efficient products
In addition to lighting for increased funding
and for producers of energy from renewable
for existing climate programs, the
sources. Highlights include the following:
Administration has proposed or implemented
several major climate initiatives in the past
Tax credits for fuel-efficient cars. The package
year. including:
extends the current tax credit (of up to $4,000)
through 2006 for qualified electric and fuelcell
Cutting Fuel Use by Federal Fleets. An
Executive Order from President Clinton
vehicles and also includes a tax credit of $500-
3,000 for the purchase of a qualifying hybrid
requiring U.S. government agencies to reduce
vehicle from 2003-2006.
the amount of petroleum used by their vehicle
fleets by 20 percent below 1999 levels by
Tax credits for energy-efficient homes.
2005. This action is expected to reduce green-
Consumers can receive a $1,000-2,000 credit
house emissions by an amount equal to
toward the purchase of a new energy-efficient
160.000 metric tons of carbon (MTCE) per
home; a 20 percent tax credit for the purchase of
year.
selected energy-efficient products for homes
and buildings; and a $1,000-2,000 credit for
21" Century Truck Initiative. A 10-vear
installing a solar energy system.
research and development partnership aimed
at doubling-and, in most cases. tripling-the
Tax credits for clean energy. The package
fuel economy of U.S. trucks.
extends existing tax credits for the production of
electricity from wind and closed-loop biomass
International Clean Energy Initiative. The
and creates credits for electricity from open-
President proposed $201 million for FY 2001
loop biomass facilities, coal-biomass co-firing,
(a better than 100 percent increase over FY
and landfill methane.
4
down
( fort size T. 7 I
I
2000 enacted levels) for a multi-agency ini-
Measuring Greenhouse Gas Emissions
tiative to accelerate the international devel-
And Emissions Reductions
opment and deployment of clean energy
technologies.
Greenhouse gas emissions typically are
expressed either in terms of metric tons of car-
States and Localities Taking Action
bon equivalent (MTCE) or in metric tons of car-
bon dioxide equivalent. This report uses MTCE
Many states and localities throughout the
or million MTCE (MMTCE). To convert carbon
United States are coming to recognize the
equivalents to carbon dioxide equivalents, mul-
effects that climate change could have on
tiply by 3.67.
their communities and economic well-being
and are stepping forward to take real steps to
This report focuses on progress the United
reduce emissions:
States is making at combating climate change on
multiple fronts. Each chapter provides an
A total of 78 U.S. cities are participating in
overview of programs and accomplishments
the International Council for Local
within key sectors of the U.S. economy. The
Environmental Initiatives' (ICLEI) Cities for
greenhouse emissions from each sector-
Climate Protection Campaign (CCP), a program
industry, buildings, electricity, transportation,
that offers training and technical assistance
and agriculture and forestry-are not mutually
to cities, towns, and counties for projects
exclusive. For example, buildings house indus-
focusing on reducing emissions.
trial processes; thus, greenhouse gas emissions
In June 2000. the U.S. Conference of
related to the production of goods and services
Mayors passed a resolution recognizing the
might be viewed as deriving from either the
seriousness of global warming and calling for
buildings or the industrial sector. Because of this
increased cooperation between cities and the
overlap, it would be appropriate to add
Federal government in taking action to
together emissions or emission reductions for
address the challenge
each sector to produce an estimate of total U.S.
emissions or emission reductions.
To date. 26 states have initiated voluntary
climate action plans and 17 have completed
Likewise, because of the interactions among
those plans.
programs that are designed to reinforce each
other, an estimate of aggregate U.S. reductions
Conclusion
cannot be produced by adding up emission
reductions for all of the programs discussed in
The United States is committed to doing its
this report. Estimates from different Federal gov-
part to protect our climate and pass on a liv -
ernment agencies, private sector entities, and
able world to our children and grandchil-
state and local governments may rely on differ-
dren. The United States understands that
ent baselines and cannot be directly compared.
domestic progress in reducing emissions is
Finally, substantial uncertainty is associated
an important part of that commitment. We
with any of these projections because many of
must also make more progress international-
the estimates attempt to quantify the adoption
Iv--both inside and outside of the Kyoto
of projected technologies and practices more
Protocol. In the long run. the United States'
than a decade into the future.
balanced approach to addressing climate
change will allow us to continue to grow our
economy and protect the environment at the
same time-the essential challenge facing all
nations.
5
S
Chapter 1. Industry
everal positive trends characterize greenhouse gas emissions
S
from the U.S. industrial sector, reflecting the basic economic
fact that saving energy and reducing waste is in corporate
America's interest. More and more companies are realizing that sav-
ing energy and reducing waste make sense not just for the environ-
ment, but also for their bottom line.
After 1997, carbon dioxide emissions from the combustion of fossil
fuels by the U.S. manufacturing sector began to decrease, partly due
to increasing efficiency, as measured by a reduction in emissions per
unit of gross domestic product. Methane emissions from U.S. coal
mining also are decreasing, owing at least in part to investments in
methane recovery from coal mines and projects to use that methane.
Emissions from natural gas systems are decreasing as well. primarily
due to greater use of plastic piping for distribution. In fact, through
voluntary public-private partnership programs and other actions,
overall U.S. methane emissions are expected to be at or below
1990 levels through 2010.
Public-private partnerships are substantially reducing emissions
of the "high global warming potential" (GWP) gases-perfluo-
rocompounds (PFCs) and several hydrolluorocarbons (HFCs)
-from industrial operations. These initiatives are underway in
the semiconductor industry, aluminum production, the chemi-
cal industry, electric transmission and distribution systems, and
the magnesium industry.
7
United States: Domestic Progress on Climate Change
Johnson & Johnson: A Win-Win
Industry Initiatives on Climate Change
Johnson & Johnson, the pharmaceutical com-
Awareness is growing among U.S. corpora-
pany, estimates that its efforts to improve ener-
tions that climate change is a serious issue
gy efficiency in its manufacturing processes are
deserving serious action. As a result. a number
saving $3.8 millionia year Since 1991, the com-
of companies are undertaking forward-look-
pany has cut energy use by 8 percent while pro-
ing initiatives:
duction has soared by 330 percent.
In May 2000. 11 major U.S. corporations.
On top of that, Johnson & Johnson is saving an
calling themselves the Green Power Market
estimated $9.7 million as a partner in the U.S.
Development Group (GPAIDG). began purchas-
government's ENERGY STAR buildings program
ing green energy and otherwise providing
through the company's effort to improve energy
support to the development of green energy
efficiency in its facilities. (See Chapter 2,
markets. (See Chapter 3, "Electricity.")
"Buildings.")
In 2000, Johnson & Johnson and IBM were
the first two companies to join Climate Savers.
a new partnership 10 help businesses volun-
tarily lower energy consumption and reduce
emissions of greenhouse gases. In joining
Climate Savers, companies make specific com-
A Quick Recovery
mitments to reduce those emissions and par-
ticipate in an independent verification
Centerplex, a small business located in Seattle,
process.
Washington, found that energy efficiency
helped cut its annual energy bill in half in 1993.
In 1999. the Business Roundtable, a group of
By switching to more energy-efficient products,
CEOs from leading U.S. corporations,
the company is saving $23,000 and preventing
released a report advocating "the deploy ment
more than 58 MTCE per year. Centerplex esti-
of more energy-efficient and breakthrough
mates it was able to recover the cost of its envi-
technologies" and called on government and
ronmentally and economically sound invest-
industry to work together to find answers to
ment in only 18 months.
the challenges of climate change.
The Pew Center on Climate Change
launched a $5 million campaign in 1998 10
build support for taking action on climate
change. Boeing, DuPont, Shell, Weyer-
haeuser, and 17 other major corporations
Majestic Metals
joined the center's Business Environmental
Leadership Council, agreeing that "enough is
Majestic Metals, a precision sheet metal manu-
known about the science and environmental
facturer in Denver, Colorado, achieved a 15 per-
impacts of climate change for us to take
cent annual reduction in its natural gas bill-
actions to address its consequences."
saving some $40,000 per year-through energy
efficiency improvements. Efficiency measures
Energy Efficiency in Industrial
include the development of a cost-effective
Processes
closed-loop rinse system in its metal pre-paint
processing area. Other energy efficiency
A cornerstone of the U.S. strategy to reduce
improvements included enhanced insulation
greenhouse gas emissions from the industrial
and an upgraded heating system.
sector is the development of partnerships
between the Federal government and private
8
Greening the Cement Industry
of $25 million per year and avoid emissions
of 130,000 MTCE
Cement manufacturing accounts for approxi-
mately 5 percent of U.S. CO₂ emissions from
We recognize that the debate
industrial sources Companies representing
over climate change.goes well
more than 70 percent of U.S. cement production
beyond the matter of the U.S.
are taking advantage of the latest methods for
economy. We also believe that
improving energy efficiency. These companies
protracted debate about the
have produced action plans in which they have
adequacy of the science is
committed to reducing their CO2, emissions by
something Texaco wishes to
more than 736, 364 MTCE by the end of 2000 with
move beyond
an expected cost savings of around
J.G. Metzger
$2.3 million.
Vice President, Texaco
February 2000 announcement of
Texaco withdrawal
industry to improve efficiency and reduce
From the Global Climate Coalition
waste.
One Federal program. Industries of the Future,
Recovering Useful Methane
works in partnership with the nation's most
U.S. industry works in concert with the
energy-intensive industries, enhancing their
Federal government through a variety of vol-
long-term competitiveness, and accelerating
untary partnerships that are directed toward
research, development, and deployment of
climinating market barriers to profitable col-
technologies that increase energy and
lection and use of methane that otherwise
resource efficiency. For example, steel scrap
would be released to the atmosphere.
generated in steelmaking plants is now being
Collectively, these programs are expected to
recycled at a rate close to 100 percent. By
hold methane emissions at or below 1990
2010, participating industries are projected
levels through 2010. Partners in the methane
to avoid 15 MMTCE and realize $3 billion in
programs will reduce cumulative emissions
energy savings annually.
by an estimated 120 MMTCE by 2010.
The Federal government's Best Practices
One of these partnerships, the Landfill
Program helps participating U.S. manufac-
Methane Outreach Program (LMOP), has assist-
turers lower energy bills with little to no
ed more than 140 planned and operational
added capital investment through the careful
projects by providing decision support soft-
selection and adoption of new processes and
ware, identifying potential partners, and
component technologies. One best practice
addressing specific technical or regulatory
program. Steam Challenge. helps industrial
issues.
partners retrofit. operate. and maintain their
steam systems more efficiently and prof-
The Coalbed Methane Outreach Program
itably. The program expects to achieve a 20
(CMOP) works with coal mines and project
percent efficiency improvement by 2010. sav-
developers to develop technical and cost
ing some 2 quads of energy annualy.
evaluation models. As a result, methane
recovery by the coal industry has more than
A similar program. Motor Challenge. stresses a
doubled since 1993. Nearly $50 million in
systems approach to the engineering. specifi-
direct gas sales were generated in 1999.
cation, and maintenance of motors, drives,
and motor-driven equipment. Funded at just
Natural GasSTAR works with more
over $5 million a year, Motor Challenge
than 70 gas production, transmis-
helps industry realize electricity cost savings
sion, and distribution companies.
9
Unite States: Domestic Progress on Climate Change
Lucent Shines with Clean Energy
Working with the Landfill Methane Outreach
Program, Lucent Technologies found it could
save approximately $100,000 a year on fuel bills
at its Columbus, Ohio, plant by using captured
landfill gas instead of fossil fuels to power boiler
operations that generate steam for space-heat-
ing and hot water. Lucent's new fuel source is
reducing annual greenhouse gas emissions by
100,000 MTCE-equivalent to removing more
Voluntary partnership programs are expected to
than 80,000 automobiles from the road. And
hold methane emissions at or below 1990 levels
because landfill gas is less expensive and easier
through 2010.
to maintain than traditional fuels like coal and
oil, Lucent saves money on fuel costs and oper-
providing partners with detailed technical
ating expenses.
and economic information on how to reduce
emissions. The program has identified more
than 50 previously unrecognized ways of eco-
nomically reducing methane emissions. which
HOW are being widely adopted by industry.
Reducing Emissions by Reducing Waste
The U.S. government's WasteWise program
works to reduce municipal solid waste and
greenhouse gas emissions through energy sav-
ings, increased carbon sequestration, and
avoided methane emissions from landfills.
WasteWise has grown from 361 partners in
1994 to its current membership of more than
1.000. The partners reported total reductions
of 7.8 million tons of solid waste in 1998.
Company Gets Wise to Waste
Avoided disposal cost savings grew from $38
million in 1994 to $280 million in 1998. Since
Herman Miller, a Zeeland, Michigan, furniture
the program's inception, partners have avoid-
manufacturer, saved $422,000 in 1998 by switch-
ed an estimated 19 MMTCE.
ing to returnable packaging and changing its
packaging design. The company also eliminated
Reducing High GWP Gases
40 tons of panel textiles and 27.5 tons of textiles
for chairs through a life cycle analysis process
Public-private Environmental Stewardship
and saved $407,300. In 1998 the company pre-
Partnerships are substantially reducing U.S.
vented 725 tons of waste, collected 10,273 tons
emissions of PFCs and several HFCs, the
of recyclables, and purchased 37,423 tons of
"high global warming potential" (GWP) gases,
recycled-content products.
which are released as byproducts of industrial
operations. Investments already made by
partners in these programs will reduce cumu-
lative emissions by an estimated 80 MMTCE
by 2010.
10
The PFC Emission Reduction Partnership for the
Semiconductor Industry has served as a catalyst
for companies in Europe, Japan, Korea,
Faiwan. and the United States to join togeth-
er 10 set the first global target for reducing
greenhouse gas emissions: Participating
countries will reduce PFC emissions to at
least 10 percent below 1995 levels by 2010.
Since the launch of the Voluntary Aluminum
Industrial Partnership (VAIP) in 1995, the pro-
The Voluntary Aluminum Industrial Partnership
gram's membership has grown to include 11
(VAIP) is reducing PFC emissions while increasing
of the nation's 12 primary aluminum pro-
the efficiency of primary aluminum production.
ducers. representing 22 smelters and 94 per-
cent of U.S. production capacity. As of 1998,
VAIP partners cumulatively achieved a dra-
matic 44 percent in PFC emissions from
1990 levels.
In the chemical industry. all four of the U.S.
manufacturers that emit HFC-23 during the
manufacture of HCFC-22 are significantly
reducing emissions of this highly potent
greenhouse gas through process optimiza-
tion.
Two new partnerships, the SF₀ Emission
Reduction Partnership for Electric Power Systems
and the SF, Emission Reduction Partnership for
the Magnesium Industry. are identifying and
encouraging adoption of best management
practices for reducing emissions of sulfur
hexafluoride (SF₆). a highly potent green-
house gas. The program to reduce emissions
from electric power systems now represents
approximately 25 percent of the companies
within this industry. The program to reduce
emissions from magnesium production
already represents 60 percent of U.S. magne-
sium industry emissions.
11
and
Chapter 2. Buildings
here are several promising trends for reducing emissions
T
from the U.S. buildings sector, including the increasing
deployment of energy-efficient technologies and the growing
application of whole-building and whole-community approaches.
The sector has other good news to report as well. From 1984 to 1997,
energy consumption per housing unit in the United States
decreased, primarily as a result of a large reduction in energy con-
sumption for space heating. Total energy consumption in commer-
cial buildings remained roughly constant from 1989 to 1995, as did
energy use per square foot.
Studies show that by investing in simple profitable building
upgrades, many U.S. homes and businesses could reduce their annu-
al energy use by nearly 30 percent. To meet this need, the U.S. gov-
ernment created a variety of programs that focus on developing and
promoting the broader use of cleaner and more efficient building
and appliance technologies.
The buildings sector, comprising primarily residential and commercial facili-
ties, is responsible for approximately 35 percent of U.S. greenhouse gas emis-
sions. Electricity consumption for lighting, heating. cooling, and operating
appliances accounts for the majority of emissions from
types of buildings
these
Community Actions on Energy Use in Buildings
Improving the energy efficiency of buildings is a priority for U.S. state and
local governments. One program, Rebuild America. helps communities iden-
tify clean energy opportunities by providing on-site technical assistance,
training, and access to resources. The program's network of community
partnerships-made up of municipalities, state agencies, schools and uni-
versities, nonprofit organizations, and businesses-tailors programs to local
needs, choosing the buildings to renovate and the technologies to use.
Rebuild America partnerships in 51 U.S. states and territories are committed
to performing energy retrofits on 469 million square feet of space By August
2000, the number of partners was nearing 300 By 2005, energy efficiency
measures undertaken by Rebuild America partnerships are expected to
achieve savings of $1 billion annually and double that amount by 2010.
E
13
United States: Domestic Progress on Climate Change
Rebuild Duke University Facilities
In addition. local governments that partici-
pate in ICLEPs Cities for Climate Protection pro-
In 1998 the Rebuild Duke University Facilities
gram use various methods to promote build-
partnership completed lighting and water con-
ing energy efficiency. not only within their
servation improvements in 114 academic build-
own facilities. but also in the commercial and
fings with 3.2 million square feet. This Rebuild
residential building stock. Over the past year.
America partnership is presently renovating
participating governments have implemented
inefficient and aging heating, ventilation, and air
a range of measures that are reducing emis-
conditioning systems in the campus buildings
sions from both municipal and private sector
that consume the greatest amount of energy.
buildings.
During fiscal year 1998-99, the partnership
saved the university an estimated 10 million
"Energy conservation not only
kilowatt-hours of electricity, 42 million pounds
reduces global warming
of steam, and 7 million cubic feet of water.
pollution, it also helps local
businesses save money and
remain competitive. That's a
for the and it's
just one of the measures we re
pursuing to meet our pledge
to cut-the emissions that cause
global warming.
The Honorable Paul Schell
Mayor, City of Seattle, Washington
Schools Saving Energy
America's schools spend more than $6 billion
each year on energy. Schools could save 25
percent by reducing energy consumption
through better building design. widely avail-
able energy-efficient and renewable energy
technologies, and improvements to opera-
tions and maintenance. In addition to saving
money. the EnergySmart Schools program is
reducing greenhouse gas emissions through
Daniel Boone High School
gains in energy efficiency and the use of clean
Since 1995, Daniel Boone High School, located in
energy technologies. So far. more than 240
Washington County, Tennessee, has realized a
such community partnerships have been
34 percent reduction in annual energy costs due
formed. involving 2.000 schools.
to the installation of a geothermal heating and
In addition. the ENERGY STAR' label for school
cooling system. Annual savings have averaged
buildingss. provides tools for schools to evalu-
$82,000. With the installation of the geothermal
ate their own energy use. find ways to reduce
system, the school also reduced maintenance
it. and meet indoor air quality standards. A 25
costs, improved indoor air quality, and gained
percent reduction in schools' energy use will
control over individual classroom temperatures.
cut annual U.S. greenhouse gas emissions by
Because the geothermal system was sized to
3 to + MMTCE.
allow for changes, the school is able to add
electric loads easily.
14
Teaching Old Buildings Some New
Energy Tricks
On Earth Day 1993, President Clinton launched a
new initiative, The Greening of the White House,
to improve the energy and environmental per-
formance of the White House complex with
steps that can be taken in any home. Measures
implemented include replacement of standard
installing energy-efficient windows or using
light bulbs with more efficient compact fluores-
window awnings, are not options. The solution
cents, installation of weather-tight windows,
was to implement an Energy Management
heating and air conditioning upgrades, and
Program that involves the continuous evalua-
composting of yard trimmings from the White
tion of existing conditions, a facility-wide
House grounds for use as fertilizer. The recently
energy tune-up, load reduction, equipment
released status report on The Greening of the
replacement, building façade restoration, and
White House found that the initiative is saving
indoor air quality programs. The results are
$300,000 a year and reducing annual carbon
impressive. In 1992, electricity usage, which had
emissions by 800 MTCE-the equivalent of
been climbing by roughly 3 percent per year
removing more than 600 automobiles from the
over the preceding decade, exceeded 41 million
road.
kilowatt-hours (kWh) and was expected to
Three of the buildings that house the U.S.
approach 50 million kWh by 2000. Instead,
Department of Agriculture in Washington, D.C.,
energy consumption had declined by more than
are designated as historic structures-a circum-
24 percent by 1997-for a cumulative savings of
stance that means many of the simple solutions
2 million kWh per year, or 1,758 MTCE.
for reducing energy consumption, such as
Federal Government Leading By
less (in constant dollars) than it was in 1985.
Example
Implementing the measures needed to com-
ply with the Executive Order will result in an
The Clinton-Gore Administration has set
annual reduction in greenhouse gas emis-
aggressive goals for curbing greenhouse gas
sions of 2.4 MMTCE and save U.S. taxpayers
emissions by U.S. government agencies. In
approximately $750 million a year.
1999. President Clinton issued Executive
Order 13123 requiring all Federal agencies
The Executive Order requires agencies to
to take steps to cut greenhouse gas emissions
opt for purchases from cleaner, more effi-
from energy use in buildings by 30 percent
cient power generators. Agencies are direct-
below 1990 levels by 2010. At present, the
ed to adopt policies to increase the use of
U.S. government is the single largest energy
electricity generated from renewable energy
consumer in the world. Its annual energy bill
sources and to consider off-grid electricity
exceeds $8 billion, including $4 billion to
opportunities that provide energy and envi-
heat. cool, and power 500.000 buildings.
ronmental benefits, while allowing agencies
As a result of the President's leadership, the
Federal government's energy bill is $2 billion
15
United States: Domestic Progress on Climate Change
PATH Makes Waves in California
10 avoid the costs of building new transmis-
sion lines 01 digging "P existing lines.
Rooftop photovoltaic solar panels and the first
units of a new generation of high-efficiency gas
Energy Efficiency in Private Buildings
absorption chillers are standard equipment in a
new development in the San Fernando Valley
Public-private partnerships are producing
outside Los Angeles, California. At Village Green,
important benefits in greenhouse gas abate-
the homes of the future are here today. In 1999
ment in buildings. What all of the partner-
families began moving into the first 22 of 186
ships have in common is that they all strive to
planned homes, just about a year after President
lower costs for builders, developers, and
Clinton visited the site to launch the Partnership
homebuyers while reducing energy and envi-
for Advancing Technology in Housing (PATH)
ronmental impacts and improving building
Village Green is one of five PATH pilot projects
durability and worker safety. One suite of pro-
around the country.
grams, ENERGY STAR, promotes energy effi-
ciency in the nation's homes and buildings.
The homes will use less than half of the electric-
Based on actions already taken by partners,
ity of a home built to the state's current energy-
ENERGY STAR estimates that by the year 2010
efficient building standards. Heating and cooling
more than 100 MMTCE of greenhouse gas
costs are guaranteed to be no more than $38 per
emissions cumulatively will be avoided. and
month. Most of the homes will have photovolta-
consumers and businesses will save more than
ic panels that will provide 90 percent of the elec-
$38 billion.
trical needs from the sun. Village Green will be
on a mass transit line, making it the largest tran-
ENERGY STAR labeled homes incorporate such
sit-based affordable housing development in
features as improved insulation, sealed ducts,
the Los Angeles area.
high-performance windows, and high-effi-
ciency heating and cooling equipment. These
"Village Green is living proof," says Los Angeles
homes are generally 30 percent more energy
Councilwoman Ruth Galanter, "that the building
efficient than is called for by local building
industry can combine new environmental tech-
codes. Currently, more than 800 industry
nologies with affordable housing right here in
partners. including about 40 utilities. have
one of the largest housing markets in the
signed agreements to promote ENERGY STAR
nation."
qualified homes.
ENERGY STAR also collaborates with a wide
range of building owners and users-retailers.
healthcare organizations. real estate investors.
state and local governments. schools and uni-
versities. and small businesses. Each partner
commits to improving the energy perform-
ance of its facilities and to using the perform-
ance metrics and tools provided by ENERGY
STAR. A new energy performance rating sys-
tem for commercial buildings allows the most
efficient buildings across the country to be
awarded the ENERGY STAR label. More than
1.000 buildings were rated in 1999 using this
new system. and 90 qualified for the new
label.
16
More than 15 percent of the U.S. commer-
additional 25 demonstration and field evalu-
cial, public, and industrial building market is
ation sites nationwide.
enrolled in ENERGY STAR. Cumulatively, part-
The Building America program is a cost-
ners have invested more than $3.6 billion in
shared partnership for incorporating whole-
energy-efficient technologies and. in 1999
building design improvements. To date.
alone, saved more than 20 billion kWh of
more than 1.200 houses have been complet-
energy.
ed under this partnership program that
Going forward. the recently introduced
achieve ENERGY STAR or greater savings in
Building Benchmarking Tool. now allows
heating and cooling energy usage. In the
building owners and managers to know
near future. an additional 4,100 houses will
whether their buildings have good or poor
be built under this contribution to PATIL
energy performance. Similar to a miles-per-
The energy saved annually by these 1,200
gallon rating for automobiles. this new tool
houses is more than 43,000 MBru with a sav-
provides tenants and potential buyers with a
ings of more than 250 MTCE, 10,000
better understanding of the operating
pounds of sulfur dioxide emissions avoided
expenses of buildings and thus produces
and 11,000 pounds of nitrogen oxide emis-
additional incentives for energy efficiency via
sions eliminated.
the marketplace.
Solar Buildings
Partnering with Home Builders
The Federal government's Solar Buildings
The Partnership for Advancing Technology in
program has provided $2 million in funding
Housing (PATH) is a public-private partner-
to help develop Transpired Solar Collectors.
ship including the National Association of
Transpired solar collectors. located on build-
Home Builders as a charter member, along
ing walls, are capable of converting 60-75
with building product and equipment manu-
percent of the solar energy striking them
facturers, individual home builders, develop-
into usable heat. Building owners and oper-
ers. and members of the finance community.
ators are finding them to be a reliable, low-
PATH aims to cut the environmental impact
cost technology that is well-suited for pre-
and energy use of new housing by 50 percent
heating the large quantities of ventilation air
or more. and reduce energy use in at least 15
that most industrial and commercial build-
million existing homes by 30 percent OF
ings must pull in during the fall and winter.
more by 2010.
Ford Motor Company, General Motors,
Federal Express, and McDonnell Douglas
Along with the contributions of such Federal
are on the growing list of industrial users of
programs as Building America and Energy
this technology.
Star Homes. accomplishing these objectives
would save consumers $11 billion in annual
Energy-Efficient Products Help
energy costs and reduce annual carbon emis-
Consumers Fight Global Warming
sions in 2010 by nearly 24 MMTCE-rough-
ly the amount that is produced by 20 million
Using more energy-efficient appliances and
automobiles. There are more than a dozen
other products helps reduce overall energy
field evaluation and demonstration sites
use in buildings and thus carbon emissions
across the nation. In addition, PATH projects
from the buildings sector. Two types of
are now underway in pilot communities in
Federal programs promote the use of
Denver, Los Angeles, Pittsburgh, San
more energy-efficient products:
Fernando Valley, and Tucson, as well as an
Appliance standards increase the
17
United States: Domestic Progress on Climate Change
ENERGY STAR Cumulative Benefits
through 2010 for Buildings and
Products ($Billions)
If
ENERGY STAR
ENERGY STAR
Buildings
Products
Private Sector
$7.0
$0.7
Investments
Savings on
$19.8
$26.3
Energy Bills
minimum level of efficiency of products on
Net Savings
the market, while the ENERGY STAR program
$12.8
$25.6
on Energy Bills
promotes the voluntary use of highly efficient
MMTCE
products.
45
60
Avoided
Minimum efficiency standards on residential
appliances such as furnaces, water heaters, air
(measured since the early 1990s)
conditioners. and refrigerators saved con-
sumers nearly $25 billion through 1999.
avoiding cumulative emissions of nearly 50
MMTCE. In 1999 alone, appliance standards
saved the equivalent of the total annual ener-
gy consumption of more than three million
American households. Four pending appli-
ance standards (clothes washers. fluorescent
light ballasts. water heaters. and central air
conditioners) are expected to save consumers
more than $10 billion and reduce cumulative
emissions by 22 MMTCE through 2010
Based on one study, the ENERGY STAR label is
recognized by 30 percent of the American
public. At of the close of 1999. more than
1.200 manufacturers were producing 7.000
product models with the ENERGY STAR label in
31 consumer product categories, and the pub-
lic had purchased 380 million ENERGY STAR
products to date. The list of products is con-
tinuing to grow. Recent additions include
DVD players. CD players. and compact lluo-
rescent light bulbs.
18
"Newmark Homes joined the
ENERGY STAR homes.program
because, like our consumers,
we-feel that energy efficiency
is important. We wanted our
energy-efficiency program to
be 188 several notches above
our competitors, and being
an-ENERGY STAR builder
guarantees that goal.
Mick Beckett
Senior Vice President
Newmark Homes
Helping Low-Income Families Save
Energy
The Weatherization Assistance Program (WAP)
provides energy-efficiency services to low-
income families and individuals who might
not otherwise have access to energy-saving
technologies. Created in 1976, WAP focuses
on households with elderly members, per-
sons with disabilities, and children. Since the
program's inception, WAP has retrofitted
almost 5 million homes, saving an estimated
7 MMTGE annually. In 2001, the Federal
government expects to provide state grants
to weatherize 74,751 homes. saving 110,000
MMTCE annually and $1.80 in energy costs
for every $1.00 invested over the life of the
measures.
19
The
Chapter 3. Electricity
educing greenhouse gas emissions from the electricity sector
R
is a national priority in the United States. U.S. climate efforts
in this area include improving the efficiency of electricity
generation, substituting lower carbon fuels and carbon-free renew-
ables, reducing the demand for electricity through greater end-use
efficiency, and restructuring the electric power industry.
At the Federal level, these efforts are being accomplished through a
variety of voluntary partnerships. In addition, Federal funding is
sponsoring research and development of promising low- or no-emis-
sion technologies for generating electricity from fossil power, hydro-
electric power. wind power, solar power, biomass gasification, nuclear
power, and geothermal heat pumps.
The U.S. private sector is also demonstrating its leadership and envi-
ronmental stewardship with initiatives such as the Green Power Market
Development Group, a group of 11 major corporations that is
exploring a variety of green energy options. (See page 22.)
Electric utilities account for approximately 29 percent of U.S. emissions
and are, collectively. the single largest source of the nation's greenhouse
gases. Carbon dioxide (CO,), a hyproduct of the combustion of fossil fuels,
accounts for the majority of the sector's emissions. but methane (CH,),
nitrous oxide (N,O), and sulfur hexafluoride (SF₆) also are emitted during
the generation, transmission. and distribution of electricity.
Carbon-free technologies such as nuclear energy. hydroelectric, and other
renewables, supply 30 percent of the electricity produced in the United
States while generating almost no greenhouse gas emissions. If these sources
were not available, greenhouse gas emissions would be greater by at least 250
million metric tons of carbon (MMTCE) each year.
21
United States: Domestic Progress on Climate Change
Growing Green Power
Electricity Sector Restructuring
A core element of President Clinton's climate
A prime example of leadership by example in
change program involves restructuring the
the corporate world is the Green Power Market
electricity industry in a manner that will
Development Group (GPMDG), which was
reduce greenhouse gas emissions while cut-
organized in May 2000 to support the develop-
ting consumers' energy bills. The
ment of green energy markets in the United
Administration's restructuring proposal
States. The members, a number of private cor-
involves using market forces to obtain the
porations not directly involved with the electric
greatest amount of energy from each unit of
utility industry, are exploring a variety of green
fuel. Most states have restructuring activities
energy purchase opportunities to identify those
underway.
that are cost-competitive. This is a long-term
The President's proposal also calls for a
process with companies hoping to support mar-
Renewable Portfolio Standard to increase the use
ket development over a 10-year period.
of electricity from non-hydro renewable
As members of the GPMDG, 11 major U.S.
sources to at least 7.5 percent of sales by 2010.
businesses are working with the World
It also provides for a Public Benefits Fund of $3
Resources Institute and Business for Social
billion per year, some of which will be used to
Responsibility to purchase 1,000 megawatts of
spur greater investment in energy efficiency
new green energy capacity and otherwise pro-
and renewable energy technologies. This plan
vide support to the development of green ener-
is projected to reduce carbon emissions by
gy markets. The GPMDG believes that such mar-
roughly 40 to 60 million MMTCE in 2010
kets are essential to provide competitively
while saving consumers at least $20 billion
priced energy that also protects the Earth's cli-
per year on their electricity bills. The plan is
mate and reduces conventional air pollutants.
now under consideration by the U.S.
Corporate members of the group include Alcoa,
Congress.
Cargill-Dow, Delphi, DuPont, General Motors,
IBM, Interface, Johnson & Johnson, Kinko's,
"We have a corporate goal-of
10 percent of ourenergy sup
Oracle, and Pitney Bowes. Together, these
ply from renewable sources
companies account for about 7 percent of indus-
We're excited about partici
trial energy use in the United States.
pating in [the Green Power
Market Development Group]
because we hope it will-help
us to meet that commitment.'
Paul Tebo
Vice President for Safety,
Health and Environment
DuPont
Bioenergy
Biomass is plant matter such as trees. grasses,
agricultural crops. and other material derived
from living matter that can be used as a solid
fuel or converted into liquid or gaseous fuels
to supply electricity. heating, transportation,
and other energy markers.
22
Switchgrass to Reduce Coal Emissions
Switchgrass once grew abundantly in southern
lowa's-rolling hills. The Chariton Valley Biomass
Project which was initiated in 1996, is evaluat
ing the possibility of growing switchgrass on
marginal land as a biomass crop to replace a
portion of the burned at a local generating
station. Apublic private initiative that is expect:
ed to be complete in 2004 the Chariton project
is also looking at the economic benefits of grow
ing switchgrass as a profitable alternative to row
or no effection wildlife when harvesting occurs
crops Other benefits include the fact that the
Co-firing 5 percent switchgrass with.coal can
plant's massive root system sequesters carbon
reduce emissions by almost 44,000 MTCE per
and.filters pesticides and herbicides One of the year
project's additional goals is to ensure minimal
Next to hydropower, more electricity is gen-
On August 12. 1999. President Clinton
erated from biomass than from any other
issued Executive Order 13134 on Bioproducts
renewable energy resource in the United
and Bioenergy. coordinating Federal efforts to
States. The 37 billion kilowatt-hours of elec-
accelerate biobased technologies to convert
tricity produced each year from biomass are
sustainably grown crops. trees, and other bio-
more than the entire state of Colorado uses
mass into fuels. power, and products. The
annually.
goal is to triple U.S. use of bioproducts and
bioenergy by 2010. Meeting this goal could
create $15 to $20 billion in new income for
farmers and rural America, and reduce
annual greenhouse gas emissions by as much
as 100 MMTCE-the equivalent of taking
more than 70 million cars off the road.
In addition to aggressively sponsoring bio-
energy, this initiative supported the develop-
ment of the world's first efficient, low-pres-
sure biomass gasifier capable of producing a
high-quality fuel. The gasifier, which is oper-
ating in Vermont, can convert 200 tons of
solid biomass per dav into a clean-burning
gas with an energy content that is high
enough for electricity generation. In addi-
tion to providing clean energy (with extreme-
Iv low emissions of SOx and NOx). gasifiers
increase the number and types of biomass
fuels suitable for power systems.
Another promising avenue being
pursued is co-firing biomass with
Vermont biomass gassification plant
coal. Co-firing involves substitut-
23
United States: Domestic Progress on Climate Change
From Brownfields to Brightfields
ing biomass for a portion of coal in an exist-
ing power plant furnace. 11 is the most eco-
The New Center for Green Industry in Chicago,
nomic near-term option for introducing new
Illinois, is an alliance between the City of
biomass power generation. Compared to the
Chicago, Commonwealth Edison, the Spire
coal it replaces. biomass reduces SO,, NOx,
Corporation, and the U.S. government. The goal
and net greenhouse gas emissions. There is
is to develop one of the city's brownfields by
little or 110 loss in efficiency from adding bio-
building a factory for manufacturing solar pan-
mass. which allows the energy in biomass to be
els and constructing a solar energy system that
converted to electricity with the high efficien-
will supply some of the company's electricity
CV (in the 33-37 percent range) of a modern
needs and serve as a demonstration site. The
coal-fired power plant. By the year 2010. the
project will create 100 jobs in Chicago in manu-
potential market for biomass power systems
facturing and supporting industries when the
could approach 10,000 megawatts-chough
plant opens in the winter of 2000.
electricity for 10 million households. (For
The New Center for Green Industry solar sys-
more on bioenergy, see Chapter 4.
tems will produce more than 22 million kilowatts
Transportation, and Chapter 5. Agriculture
of power annually and spare the region's air
and Forestry.)
almost 3,093 MTCE over the next five years. The
plant will produce enough panels to meet local
Distributed Energy
solar demand, and local production will lead to
Utility restructuring, emerging technology.
cost reductions for consumers in the region in
environmental concerns, and an expanding
addition to stimulating the market for photo-
electricity market are important drivers facili-
voltaics.
rating the emergence of distributed genera-
tion as an important new energy option.
Public-private partnerships such as the
Distributed Energy Resources program offer the
promise of producing electricity in a funda-
mentally different way through a dispersed
fleet of small-scale electric generators provid-
ing power at or near customer sites 10 meet
specific needs. The power also is to be pro-
duced near the grid to support economic
operation of existing power stations.
Mostly fueled by natural gas. liquid fuels. or
renewables. these dispersed generation
resources can bypass congested portions of
the electric transmission and distribution SVS-
tem. On-site cogenerated electricity and heat
production, for example, can allow consumers
to use the heat hyproduct of electricity pro-
duction. saving dollars as well as reducing pri-
mary energy loads.
Distributed systems include combined cool-
ing, heat, and power systems, biomass-based
generators, combustion turbines, concentrat-
ing solar power and photovoltaic systems.
24
Leading the Way with CHP
Malden Mills, a fabric manufacturer in
Lawrence Massachusetts, installed a cogenera-
tion system to replace generating and heating
equipment destroyed in a fire. When complet
ed, the combined heat and power system
developed with the assistance of the Advanced
Turbine Systems (ATS) program-will lower the
company annual energy costs and reduce
emissions of sulfur dioxide by 99.6 percent, NOx
by 83 percent, and CO by 26 percent compared
with grid supplied power.
fuel cells, microturbines, engines/generator
launched the Combined Heat and Power
sets, and wind turbines storage and control
Challenge program with the goal of doubling
technologies.
U.S. combined heat and power capacity by
2010. By substituting 46 gigawatt of CHP
Combined Heat and Power
capacity for conventional capacity, annual
The U.S. government is actively supporting
greenhouse emissions will be reduced by 30
research, development, and deployment of
MMTCE and annual NOx emissions by hun-
dreds of thousands of tons. Recent analyses
combined heat and power (CHP) systems
Combined heat and power systems generate
have concluded that this goal can be
electricity and capture waste heat and use il
achieved through electric utility restructur-
to heat and cool buildings. or provide steam
ing and modifications to tax policy and air
in industrial processes. The use of waste heat
regulations.
results in total system efficiencies of 70 to 90
Solar Power Equals Emission Free
percent-a considerable performance gain
Electricity
over the 33 percent average efficiency of con-
ventional central electricity generating
The United States is capitalizing on opportu-
plants. In 1998, the U.S. government
nities to expand the use of solar energy. This
greenhouse gas-free
Photovoltaics: Increasingly Competitive
technology promises
to make a significant
contribution to the
1980:
nation's energy econo-
$1.00/kWh
my in the future. By
2010, solar power
2000:
could help avoid emis-
~20 cents/kWh
sions totaling 1.5
2005:
MMTCE. Although
~10 cents/kWh
the cost of solar tech-
nologies has been
Solar can supply all electricily for the
U.S. using this area (100x100 mi.) in the SW.
reduced signifi-
cantly in the
A distributed approach with PV installed on
last 15 years.
buildings, vacant land, and parking lots could
achieve the same result.
25
United States: Domestic Progress on Climate Change
more technical advances are needed to com-
pete with low-priced fossil fuels in major ener-
gy markets. loward this end. the U.S. govern-
ment's solar energy program is providing sup-
port for research by world-class scientists and
engineers in industry, universities. and the
national laboratories.
Over the past 20 years. Federal support for
Photovoltain Energy Systems RED has resulted
in a 90 percent reduction in the cost of pro-
Catching Rays by the Lake
ducing electricity from photovoltaics (PV). As
a result. between 1994 and 1998. energy pro-
The Dangling Rope Marina, on the northern
duced by PV modules more than doubled.
shore of Glen Canyon's Lake Powell in the state
growing from 26 megawatts in 1994 to more
of Utah, is a popular rest stop for travelers and
than 61 megawatts in 1998.
tourists. The facility was once run using a power
system that consumed about 65,000 gallons of
The lowest-cost solar power option available
diesel fuel annually. To find a greener alterna-
today is Parabolic Trough technology. these
tive, several private and public organizations
systems use curved mirrors to focus sunlight
teamed up on a $1.5-million renewable energy
on a receiver pipe. Parabolic-trough technolo-
project. In 1996, the marina replaced the old
gy is being used in California's Mojave Desert
diesel power system with a new 115-kilowatt
at nine power plants that sell their power to
photovoltaics-hybrid system with 384 PV
the local utility, Southern California Edison.
panels.
The plants, which total 354 megawatts of
installed capacity, generate enough power 10
During the new system's 20-year operating life,
meet the needs of approximately 500.000
it is expected to save as much as $2.3 million in
people with no emissions of greenhouse
energy costs while dramatically reducing green-
gases.
house gas emissions and other pollutants. The
project at Dangling Rope Marina on Lake Powell
President Clinton's Million Solar Roofs initia-
is just one example of more than 30 U.S. govern-
tive seeks 10 place solar energy systems on one
ment projects in 15 states that are producing
million roofs by 2010. To date, commitments
electricity from photovoltaics.
for one million systems have been made. and
more than 100,000 have been installed. indi-
cating the potential for widespread market
penetration of solar technologies. The
President's Climate Change Technology Initiative
includes $132 million in proposed tax credits
over five years to support this program.
Meeting the initiative's 2010 goals will reduce
carbon emissions by an amount equivalent to
removing 850,000 automobiles from the
roads.
The U.S. government's Brightfields initiative,
launched in 1999. is aimed at using aban-
One goal of GeoPowering the West partnership is
doned industrial sites-known as brown-
to double the number of states with geothermal
fields-for producing pollution-free solar
facilities to eight by 2008.
26
A New "Crop" Sweeps the Plains
Since 1998 more than 260 megawatts of new
wind generating capacity have been installed
on farmlands in the Great Plains region of the
United States. This new capacity is not only
helping to satisfythe growing demandfor.clean
electricity, it-is also generating benefits in the
form of substantial economicigains for farmers,
landowners; and local communities. Wind
farming creates construction and service jobs
in rural regions and provides a new source of
income for U.S. farmers, Native Americans and
other andowners as well as a new source
of tax revenues for local municipalities
One example is the ake Benton Wind Power
Plant, which was the world's largest wind gen
eration facility when it was completed in 1998
by Enron Wind Corporation This 107
megawatt plant can generate enough electricity
to power 43,000 homes The facility displaces
greenhouse gases equivalent to removing
50,000 new cars and light trucks from the road.
energy. Currently, Brightfields projects are Wind Power
underway in cities across the United States,
including Chicago, Miami. New Haven, and
In the 1990s, wind power was the world's
San Diego. The Brightfields model has
fastest growing source of energy. Worldwide,
proven extremely successful: Redeveloping
wind-generating capacity grew 36 percent
brownfield sites with solar energy manufac-
(3,600 megawatts) in 1999, bringing global
turing benefits local communities through
wind-generating capacity to 13.400 mega-
watts. In the United States, more than 700
economic development and environmental
protection.
megawatts of new capacity was added, repre-
senting a 41 percent increase in capacity.
The U.S. wind industry is completing the
research, testing, and field verification need-
ed to develop fully advanced wind energy
technologies that lead the world in cost-
effectiveness and reliability. The U.S. gov-
ernment's Wind Energy Systems program was
established to develop advanced wind fur-
bine technologies capable of reducing the
cost of wind energy to 2.5 cents per kilo-
watt-hour (in 15 mile-per-hour winds).
The Million Solar Roofs initiative seeks to place
solar energy systems on one million roofs.
27
United States: Domestic Progress on Climate Change
Wind: New Cash Crop for the
Another Federal initiative. Wind Powering
21st Century
America. was announced in June 1999 with a
goal of supplying 5 percent of U.S. electricity
1979
through wind technologies by 2020. Meeting
40 cents/kWh
this goal will avoid greenhouse gas emissions
of more than 30 MMTGE
Geothermal Power
2000
4-6-cents/kWh
Geothermal heat pump (GHP) technology
extracts heat from the ground during the
heating season and discharges waste heat into
2007
the earth during the cooling season. The
4 cents/kWh
Geothermal Heat Pump Consortium (GHPC) is a
partnership working to inform the public
about the technology and to expand the GHP
Increased turbine sizes
market in the United States.
R&Dadvances
GHPs can reduce energy consumption and
Manufacturing improvements
corresponding emissions by 63 to 72 percent
when compared with electric resistance heat-
ing using standard air-conditioning equip-
ment. In addition, GHPs reduce peak
demands. For that reason, some electric utili-
ties offer special financing. rebates, or electric
rates for customers who use GHPs.
Approximately 400,000 GHPs are in use today
for heating and cooling of residential. com-
mercial, and institutional buildings through-
out the United States. Savings from GHP
Green Technology Invades the Army
units installed between 1995 and 1998 are
estimated to be $29 to $39 million. The
In 1994 Fort Polk, Louisiana, adapted 4,003 U.S.
growth target of the GHPC and the Federal
Army housing units to use geothermal heat
government is to install 2 million GHPs by the
pump (GHP) energy. The resulting energy sav-
year 2005. Achieving this goal will reduce
ings are extraordinary. Fort Polk achieved a
greenhouse gas emissions by about 1.2
reduction of 43 percent or 7.5 megawatts of peak
MMTCE per year.
summer load and improved its load factor from
52 percent to 62 percent. In addition, service
In January of 2000, the public-private
calls on hot summer days dropped from 90 per
GeoPowering the West partnership was launched
day to virtually none, testifying to the reliability
to increase dramatically the use of geothermal
of GHP systems. The U.S. Army saved about 22
energy in the western United States. The goals
percent compared with previous maintenance
are to convert 10 percent of electricity use in the
costs. The Fort Polk project received Vice
western states to geothermal energy by 2020,
President Gore's "Hammer Award" for "ham-
increase the number of homes using geother-
mering away at building a better government"
mal energy to seven million by 2010. and don-
one that works better and costs less.
ble the number of states with geothermal
facilities to eight by 2008. The benefits will
include 20 MMTGE displaced in 2020.
28
Geothermal: Heat and Power for the
acceptance of the new technology. As a result.
21st Century
benefits will not begin to accrue until 2015
but will be quite substantial by 2030.
1985
Deployment of the new coal and gas systems
15 16 cents/kWh
in the United States is expected to yield
reductions of 5 MMTCE by 2015 and 75
MMTCE by 2030.
2000
5-8 cents/kWh
Nuclear Power
Nuclear energy provides approximately 20
percent of all U.S. generated electricity, and
2007
its continued role in electricity production is
3-5 cents/kWh
important for our economic and energy
security. The Administration's policy focuses
on the safety of existing reactors, advancing
More industry experience
nuclear power plant designs, and safe long-
Improved drilling technology
term storage of spent nuclear fuel. Three
programs are implementing these policies.
Economies of scale
The Nuclear Energy Plant Optimization
Reduced cost of finance
Program (NEPO) is applying new technolo-
gies to increase plant life, reliability, avail-
Advanced Technologies for Fossil
ability, and productivity. The Nuclear Energy
Fuels
Research Initiative (NERI) is researching
breakthroughs in nuclear fission and reactor
The U.S. government sponsors a number of
technology. Generation 11' Nuclear Power
R&D programs to develop more efficient
Systems is developing the next generation of
generating technologies and high-efficiency
reactors that are more economic, resistant to
coal-fired generating plants.
proliferation, produce less waste. and have
The U.S. government's new Power Systems
improved safety features.
Program is developing more efficient coal
and natural gas power generating technolo-
Hydropower
gies that can produce power with about 40
Hydropower currently generates about 10
percent fewer carbon emissions than conven-
percent of the nation's electricity.
tional technologies using those fuels. The
Maintaining existing hydropower genera-
program will result in "power-plexes" that
tion, however, is at risk due to a mix of envi-
can use multiple feedstock materials (coal,
ronmental. regulatory, and economic pres-
gas, biomass, and opportunity fuels like
sures. The Federal government is supporting
petroleum coke) to produce a slate of mar-
the development of advanced technology
ket-relevant energy products. including elec-
that will allow the nation 10 maximize the use
tricity. steam. chemicals. and alternative
of hydropower resources while minimizing
fuels.
adverse environmental impacts. The main
Research is now underway on combining
locus is on the development of a "fish-friend-
power-plexes with carbon sequestration in
ly turbine" that will decrease fish mortality
geological formations. The research itself
to 2 percent, compared with the cur-
will require a little over a decade to com-
rent 5 to 30 percent mortality.
plete. followed by a period for market
29
United States: Domestic Progress on Climate Change
Utilities Reducing Emissions Now
Superconductors
Climate Challenge is a voluntary effort between
High-temperature superconductors (ITTS)
the Federal government and the electric utility
conduct electricity with high efficiency and
industry for identifying and implementing
very little loss when cooled to liquid nitrogen
cost-effective activities to reduce, avoid, or
temperatures. A Superconductivity Partnership
Initiative (SPI) stands at the forefront of world-
sequester greenhouse gases. Currently, Climate
Challenge's partner utilities number more than
wide efforts to advance research and develop-
600 and represent 71 percent of 1990 U.S. car-
ment of high-temperature superconducting
bon emissions from electricity generation.
power equipment for energy transmission.
distribution. and industrial use.
Utilities estimate that pledged Climate
Challenge actions will reduce emissions by as
Among the accomplishments of the partner-
much as 47 MMTCE in 2000
ship is a new industrial HTS motor that is
smaller, lighter. and more efficient than con-
ventional motors. Other applications include
current controllers that protect utility equip-
ment, improve reliability. and increase stabili-
IV of the distribution grid. and underground
transmission cables that can double the power
capacity of current technology. The potential
global market for HTS products by the year
2020 might reach as high as $100 billion, sav-
ing 5 MMTCE in 2015 and !) MMTGE by
2030.
SF₆ Emissions
The SF, Emissions Reduction Partnership for
Electric Power Systems. mitiated in early 1999.
provides a forum for the electric power indus-
try 10 work together with the U.S. government
to reduce SF₆ emissions to technically and
economically feasible levels. SF₁, a gaseous
dielectric used in circuit breakers, gas-insulat-
ed substations. and switchgear, allows for the
safe transmission and distribution of electrici-
IV. As of May 2000. 58 electric utility compa-
nies had joined the partnership. (See Chapter
1. Industry.)
State and Local Initiatives in the
Electricity Sector
Many state and local governments have initi-
ated their own programs 10 address climate
change issues. Programs in Oregon, Idaho,
and California are highlighted here.
30
Ambitious Goals-Flexible Means
According to an Ore on law enacted in 1997
and updated in 2000, energy facility develop-
ers may choose from several options to meet
the CO2 emission standards These include
building efficiency facilities using cogen
eration, providing offset projects that avoid
reduce, or sequester CO emissions or paying
a fee of $2.30 per MTCE A developer using the
"monetary path" must provide funds to the
Climate Trust, an independent, nonprofit
organization that qualifies under the statutory
Design for a high efficiency facility in Klamath,
requirements to receive offset funds and
Oregon
acquire CO. offsets.
In 1997 Oregon enacted legislation that
In 1997 California created a Renewable
authorizes the state's Energy Facility Siting
Resources Trust Fund. administered by the
Council to set CO₂ Emission Standards for New
California Energy Commission, with the pur-
Energy Facilities. Facilities for which the coun-
pose of promoting renewable generation and
cil has set standards include base-load plants.
developing a strong consumer market for
non-base load (peaking) plants, and non-
renewable energy. The law authorizes the
generating energy facilities. The standard for
collection of $540 million from investor-
base-load gas plants requires a net emissions
owned utilities to be used as incentives or
rate of 0.675 pounds of CO₂ per kilowatt-
rebates for buyers. users, producers, and
hour. which is 17 percent below the most effi-
promoters of renewable energy in the state.
cient plant in operation in the United States
The fund provides financial incentives for 10
in 1999.
million megawatt-hours of renewable power
per year, equating to a reduction of approxi-
Geothermal energy has been used in Idaho
mately 1.6 MMTCE of greenhouse gases,
to provide heat and water since 1892.
along with 140 metric tons of SO, and 1.727
Following the energy crisis of the mid-1970s,
metric tons of NOx, if the electricity were
geothermal heating gained recognition as a
generated via conventional means.
viable alternative to petroleum-based energy
generation. To ensure the sustainability of
this resource. the Idaho Department of
Water Resources created the Boise Front Low
Temperature Geothermal Resource Ground Water
Management Area. Currently, the ground
water management area has geothermal
projects at four locations, and the projects
are saving an estimated 50.4 gigawatt-hours
of electricity per year. which equates to an
annual cost savings of $1 million.
31
DdW 801
#
a
I
THE
1
0
Chapter 4. Transportation
he United States is pursuing an array of strategies to reduce
T
transportation-related greenhouse gas emissions. In 2000,
the "big three" U.S. automakers all announced a number of
important breakthroughs in the development of new more fuel-effi-
cient vehicles. Among these were the unveiling of diesel-battery
hybrid concept cars that are capable of traveling 70-90 miles per gal-
lon (gasoline-equivalent) and commitments to more fuel-efficient
Sport Utility Vehicles (SUVs).
Many of these breakthroughs depend on technology developed, at
least in part, with the Federal government through the Partnership for
11 New Generation of Vehicles (PNGV). In 2000 a new partnership, the
21" Century Truck Initiative, was launched to develop heavy trucks
aimed at doubling-and, in most cases, tripling-the fuel economy
of U.S. trucks.
The Federal government also is seeking to lead by example by
revamping its procurement policies to help stimulate markets in
more fuel-efficient and alternative fuel vehicles. For example, the
Administration recently issued an Executive Order that requires
Federal agencies to reduce annual gasoline and diesel fuel con-
sumption by at least 20 percent by the end of 2005.
At the state and local levels, governments are implementing a
host of programs directed toward reducing transportation sec-
tor emissions by motivating consumer interest in fuel-efficient
vehicles and promoting development patterns that reduce
transportation demand and increase transit, bicycle. and pedes-
trian access.
33
United States: Domestic Progress on Climate Change
Accounting for 32 percent of all U.S. emis-
sions, the transportation sector is the second
largest and fastest growing source of green-
house gases. Collectively, passenger cars and
light-dury trucks contribute 58 percent of all
of the sector's greenhouse gas emissions. and
heavy-dury trucks contribute another 16 per-
cent. Other sources-aviation. marine. recre-
ational vehicles. rail. and farm equipment-
account for the remaining greenhouse gas
New diesel-battery hybrid vehicles achieve 70 to
emissions.
90 miles per gallon.
Now is the time to the
world in-the-emerging market
for morefuel-efficient_vehicles
of all kinds."
Vice President Al Gore
April 2000
Fuel-Efficient Trucks
Revving Up Hybrid Vehicle Incentives
On May 11, 2000, Maryland Governor Parris
The 21" Century Truck Initiative is a 10-year
Glendening signed into law a new package of tax
research and development partnership that
was announced by Vice President Gore in
incentives for energy efficiency and renewable
energy technologies. The Clean Energy
April 2000. This initiative between the U.S.
Incentive Act is structured to increase the state's
government and corporate partners will seek
market for advanced technologies that save
to increase the fuel economy of four classes of
energy or generate electricity from renewable
vehicles that, together, account for more than
sources. Among the specific provisions included
90 percent of all fuel used by U.S. trucks. The
in this legislation is a $2,000 reduction in the
program's cost-share investments in advanced
state titling taxes for buyers of new electric or
technologies will lead, within 10 years. 10 pro-
qualified hybrid vehicles.
duction prototypes that will do the following:
Triple the fuel economy (measured in ton-
miles/gallon) of heavy pickups, large delivery
vans, and full-sized passenger buses (relative
to today's comparable vehicles).
Double fuel economy of 18 wheeler long-
hanl trucks.
Improve safety (technologies will be
designed to cut truck fatalities in half).
Achieve superior operational performance
and lower costs for truckers.
Exceed expected emission requirements for
2010 (likely to be much more stringent than
today's standards).
34
Fuel-Savvy Sedans
a target city fuel economy of 40 mpg. The
Escape is slated for introduction to the mar-
The Partnership for 11 New Generation of Vehicles
ket in 2003 In July 2000, Ford also
(PNGV) is a major 10-year research and
announced that, between 2000 and 2005. it
development program to develop revolu-
will voluntarily commit 10 improve the aver-
tionary new technologies that could triple
age fuel economy of its SUVs by 25 percent.
the fuel economy (and cut carbon dioxide
emissions by 67 percent) of midsize family
In August 2000, General Motors
sedans. PNGV aims to meet this stretch fuel
announced that a hybrid version of its
economy goal as well as stringent criteria
Silverado/Sierra full-size pickup will be
emissions standards by 2004 without sacrific-
offered to consumers in 2004. The new vehi-
ing performance. safety, aesthetics, or afford-
de is expected to be at least 15 percent more
ability
fuel-efficient than the company's conven-
tional version. GM further announced that it
In 2000, the program achieved an important
intends to be the industry leader on overall
milestone when each of the participating
fuel economy for light trucks in 2005.
automakers introduced concept cars that go
a long way toward meeting the program's
Preliminary estimates by the U.S.
visionary goals:
Environmental Protection Agency indicate
that these commitments could result in
General Motors introduced the Precept
cumulative emissions reductions of up to 100
diesel-battery hybrid vehicle, which achieves
MMTGE through 2020. In addition,
90 mpg using diesel fuel (equivalent to 80
Daimler-Chrysler announced that, if the
mpg using gasoline).
Federal government offers tax incentives to
Ford Motor Company introduced the
make the vehicle cost-effective, it is prepared
Prodigy diesel-battery hybrid, which gets
to bring out a hybrid version of its Dodge
about 80 mpg using diesel fuel or the equiv-
Durango SUV that would be 20 percent more
alent of 70 mpg with gasoline.
fuel-efficient than its current model.
Daimler-Chrylser introduced the FSX3
Other Advances in the U.S. Automobile
diesel-battery hybrid, which achieves more
Market
than 70 mpg in gasoline equivalent.
Two Japanese automakers recently intro-
To further promote the development of a
duced advanced technology vehicles into the
market for advanced technology vehicles, the
U.S. market, setting the stage for further
Administration has proposed a federal
progress in reducing greenhouse gas emis-
income tax credit of up to $3,000 per vehicle
sions from the U.S. transportation sector.
for consumers who purchase hybrid vehicles
that meet certain design criteria. This pro-
Honda introduced Insight. a gasoline-bat-
posal has been introduced in the U.S.
tery hybrid, in 1999. The Honda Insight
Congress.
offers fuel economy ratings of 61 mpg city
and 70 mpg highway. Honda plans to sell
More Fuel-Efficient SUVs
approximately 6,500 of the cars during
2000.
Recently, U.S. automakers announced a
series of commitments to improving the fuel
Toyota introduced Prius, a compact, gaso-
efficiency of SUVs:
line-battery hybrid, in August 2000.
Toyota anticipates that the Prius, with
In April 2000, Ford Motor Company
fuel economy ratings of 45 mpg city
announced production plans for the gaso-
line-battery hybrid Escape. a small SUV, with
35
United States: Domestic Progress on Climate Change
Brewing Motor Fuel in Louisiana
and 52 mpg highway. achieve sales on the
order of 1.000 cars per month.
Ground was broken for the first commercial bio-
In addition, Honda announced plans to offer
mass-to-ethanol plant in October 1998 in
a fuel cell vehicle in 2003.
Jennings, Louisiana. BC International Corpora-
tion will use a patented, genetically engineered
Putting Clean Vehicles on the Streets
microorganism in its process of converting
organic material to ethanol, a form of alcohol
Over the past six years. nearly 80 communi-
used as clean-burning motor fuel. The ethanol
ties across the country have joined the Clean
produced by the Jennings plant is expected to
Cities program. This voluntary, locally based,
displace almost 0.5 million barrels of imported
public-private partnership is accelerating the
oil annually. The U.S. government invested $11
deployment of alternative fuel vehicles (AFVs)
million to help with the retrofit of an existing
and building local AFV fueling infrastructure
industrial site in Jennings. The total renovation
that can supply alcohol fuels. liquefied petro-
cost is estimated to be $90 million, for which the
leum gas, electricity, and natural gas. The
private sector is providing about 88 percent of
Clean Cities program counts among its suc-
the total capital investment.
cesses approximately 170.000 AFVs in both
public and private fleets, plus more than
4,000 alternative fuel refueling stations. In
1999, these vehicles and alternative fuels dis-
placed approximately 170 million gallons of
gasoline and diesel fuel and 310,000 MTCE.
Leading by Example with Federal Fleets
Powering Vehicle Fleets with Biodiesel
On April 21. 2000, President Clinton signed
A blend of 20 percent biodiesel (an alternative
Executive Order 13149. Greening the
motor fuel produced from renewable resources
Government through Federal Fleet and
such as vegetable oil or animal fats) and 80 per-
Transportation Efficiency. By the end of Fiscal
cent diesel fuel is referred to as B20. A one-year
Year 2005. all Federal agencies operating 20
demonstration at a U.S. government research
or more motor vehicles within the United
center in Beltsville, Maryland, began August
States must implement a strategy for reducing
1999. Currently, all 64 diesel-powered vehicles
their entire fleet's annual petroleum con-
on the east side of the facility use the B20 fuel
sumption by at least 20 percent, relative to FY
blend. The vehicles include pick-up trucks, trac-
1999 petroleum consumption levels.
tors, ride-on lawnmowers, and a compost turner.
The Executive Order further directs the agen-
Fuel blending is achieved on-site in under-
cies to establish fleets by 2005 that use alter-
ground storage tanks, and no engine conversion
native fuels a majority of the time. In addi-
is required to use B20. Replacing petroleum
tion. agencies must increase the average fuel
diesel with B20 reduces carbon dioxide emis-
economy rating of their light-duty vehicle
sions 16 percent. B20 also reduces emissions of
acquisitions by at least I mile per gallon
carbon monoxide (13 percent), particulate mat-
(mpg) by 2002 and 3 mpg by 2005. They are
ter (18 percent), and sulfates (20 percent)-
required to explore a variety of other
three pollutants that pose health risks in certain
approaches to reducing fuel consumption.
areas of the nation.
such as substituting cars for light-duty trucks,
increasing vehicle load factors, and reducing
vehicle miles traveled.
36
By reducing America's consumption of
petroleum by some 14 million gallons and
reducing greenhouse gas emissions by an
amount equal to 160,000 MTCE, greening
HEALTHY
ENVIRONMENT
the Federal fleet will enhance U.S. energy
security and reap significant environmental
benefits.
Developing Cleaner Fuels
In 1999, President Clinton issued the
Executive Order that accelerates federal
On April 21, 2000, President Clinton signed two
efforts to develop bioproducts and bioener-
Executive Orders aimed at reducing pollution
gy. In the transportation sector, program
generated by Federal fleet vehicles and Federal
goals include the development of low-cost
commuting.
biomass feedstocks and cost-competitive con-
version technologies for producing liquid
has the potential to create niche fuel markets
fuel from agricultural residues, forestry
in the near future.
wastes, and energy crops. Since biofuels pro-
duce almost no net carbon on a life cycle
Commuter Choice Benefits Package
basis, they are a promising supply side
The Federal government's $1.6 billion
option for reducing carbon emissions in
Commuter Choice Leadership Initiative,
transportation.
launched in 2000, encourages employers to
Through 1998, the use of ethanol blends in
offer a broad range of commuting options to
gasoline is estimated to have displaced 1.2
their employees as part of company benefits
quads of oil-based fuels (worth $12 billion),
packages. Some of the options include tele-
thereby reducing carbon emissions by as
working, carpooling and vanpooling servic-
much as 4 MMTCE If Federal biofuels goals
es, transit vouchers, and cash in licu of park-
are met by 2010, annual emission reductions
ing spaces. In support of the Commuter
from using clean fuels will approach 3.4
Choice Leadership Initiative, the U.S. gov-
MMICE
ernment is launching a partnership program
with employers with the goal of achieving
Through the Ultra Clean Transportation Fuels
partnerships with 500 businesses by the end
Program. U.S. government offices are
of 2002 and 1.000 businesses by the end of
researching near-term petroleum-based
2003.
transportation fuel options, intermediate
options that are based on petroleum and
On April 21, 2000. President Clinton signed
other fossil fuel feedstocks. and long-term
Executive Order 13150. Federal Workforce
options for renewable fuels such as biofuels.
Transportation. which will reduce Federal
employees' contribution to traffic congestion
Through the Hydrogen Research Program. the
and air pollution. This order directs that
Federal government is accelerating advances
Federal agencies in the Washington, D.C.,
in producing low-cost hydrogen production
area offer their employees up to $65 per
and storage systems-prerequisites to the
month in transit and vanpool benefits.
widespread use of hydrogen as a fuel. Given
the recent demonstration of high-perform-
As part of the President's recently
ance Proton Exchange Membrane fuel cell
announced Livability Agenda, the
systems by Daimler-Chrysler, Ford Motor
Administration is increasing sub-
Company, and other companies, hydrogen
stantially the investment in trans-
37
Unit ed States: Domestic Progress on Climate Change
portation programs that will help reduce
Intel-igent Commuting
greenhouse gas emissions by improving trans-
The Intel Corporation's comprehensive and
portation and land use planning, strengthen-
aggressively promoted RideShare program is a
ing existing transportation systems. and pro-
model for companies nationwide. The program
moting broader use of transportation alterna-
promotes the use of transit, biking, walking, skat-
tives. These investments include $6.1 billion
ing, and telecommuting Participation istencour-
for public transit.
aged at Intel's facilities in Arizona, California,
New Mexico, Oregon, and Washington. By taking
Relieving Congestion and Reducing
the initiative in promoting transportation alter
VMT
natives, Intel has reduced traffic congestion in
The $1.6 billion per year Congestion Mitigation
the communities where its facilities are located
and Air Quality Improvement (CM 1Q) program
The program provides preferential parking for
funds projects that reduce congestion and
carpools and vanpools, free or subsidized
greenhouse gas emissions. as well as other air
access to transit, and shuttles to and from transit
pollutants. Under GMAQ, the cities of Dallas
and between Intel facilities. In addition,
and Fort Worth, Texas. converted their public
employees are encouraged to work from home
sector vehicles to alternative fuels. The
or switch to compressed schedules to reduce
Philadelphia Bievele Network designed and
the number of their commutes.
constructed a city-wide network of bicycle
routes. New York City obtained $1.9 million
Employee response has been remarkable. Forty
in CMAQ matching funds to purchase a ferry
percent of the employees in Arizona and
and provide operating assistance for freight
Washington and 32 percent in Santa Clara,
operations to remove 54,000 truck trips amm-
California, participate. Collectively, these pro-
ally from the New York and New Jersey
grams have avoided 20 million miles of vehicle
streets.
travel and the resulting pollution. The success of
Intel's RideShare program demonstrates the
"Through public-private
influential role that major corporations can play
partnerships and a new
in environmental policy and in making it easy
agenda supporting the future.
and convenient for employees to use alternative
production and use of rail
modes of transportation.
rather than automobiles, the
City of New Orleans is aggres
sively working to showcase
progressive.energy-saving
efforts
Mixed-Use Approach
The Honorable Marc H. Morial
The city of Portland, Oregon, is taking a holistic
Mayor of New Orleans, Louisiana
approach to reducing emissions from trans-
portation. By developing new housing units in
the central city area, the city aims to decrease
the number of commuter trips by suburban
dwellers. Portland officials estimate that for
each 2,500 units of housing created in the down-
town area, a total of 303 MTCE will be reduced.
This translates into a total reduced fuel cost of
$180,000 for those households.
38
Ride the Wave of the Future-the
A recent rider survey documented that the
Electrowave
availability of Electrowave is enabling nontran
sit users to change their traveling habits, with 90
The easy availability of Florida's first electric
percent stating that they did not use public
transit system in the rapidly growing South
transportation in the past. The Electrowave con
Beach community has residents and tourists
sists of a fleet of 11 electric buses with amenities
abandoning their cars in favor of the nonpollut-
such as air conditioning and state of the art
ing Electrowave shuttle. The Electrowave, which
handicapped accessibility
was introduced in 1998, is a project of the City of
Miami Beach, the Miami Beach Transportation
The Electrowave's unqualified success has
Management Association, and business and exceeded all expectations In its first year of
community leaders who are concerned about operation the emission free shuttle buses car
the impact of increasing traffic congestion and
ried 1.5 million one way passengers, resulting in
resulting pollution on scenic South Beach, the
the avoidance of 900,000 vehicle miles. substan
state's second largest tourist attraction.
tia reductions in the emission of both CO and
NOx, and less traffic congestion.
39
griculture & Fores
Chapter 5. Agriculture and Forestry
gricultural activities contribute about 7 percent of all U.S.
A
greenhouse gas emissions (not including fuel used on farms)
and are sources of methane and nitrous oxide as well as car-
bon dioxide. Greenhouse gas emissions from the agriculture sector
can be reduced through implementation of technologies that
improve land and resource management practices; improve energy
efficiency on farms, forests, and ranch lands; abate methane emis-
sions directly from ruminant animals and manure handling; and
reduce nitrous oxide emissions from soils.
Unlike other sectors of the U.S. economy, agricultural and forestry activities can
also actively remove carbon from the atmosphere. In its submission to the United
Nations Framework Convention on Climate Change Secretariat, August 1, 2000,
the U.S. government reported that based on updated inventory data for 1997,
310 million metric tons of carbon (MMTCE) were sequestered in managed forests
and 24 MMTCE on crop and grazing lands, for a total of about 18 percent of the
U.S. greenhouse gas emissions for the year. Most of the carbon sequestration
occurred in the forestry sector (approximately 90 percent), primarily from tree
growth and forest soils.
Bioproducts and Bioenergy
Scientific advances in agriculture, forestry, and other biological sciences are
making bioproducts and bioenergy technically feasible and economically
viable. In 1999, the President issued the Executive Order on Bioproducts and
Bioenergy coordinating Federal efforts to accelerate these 21" century tech-
nologies, which can convert sustainably grown crops, trees. and other bio-
mass into fuels. power, and products. The Administration set a goal of
tripling U.S. use of bioproducts and bioenergy by 2010. Meeting this goal
could create $15 to $20 billion in new income for farmers, forest land-
owners, and rural America, and reduce annual greenhouse gas emissions
by 100 MMTCE-the equivalent of taking more than 70 million cars off
the road. (See also Chapter 3, Electricity, and Chapter 4, Transportation.)
Complementing the President's Executive Order is the Biomass Research and
Development Act, signed on June 20, 2000. The Act authorizes $49 million in
funding and establishes a technical advisory committee and agency board to
coordinate activities related to biobased products and bioenergy.
The U.S. government's Commodity Credit Corporation (CCC) will accelerate
commercial investment in innovative bioproduct and bioenergy tech-
nologies by providing up to $100 million in FY 2000 and up to $150
41
United States: Domestic Progress on Climate Change
Biotechnologies: Real Products,
million in FY 2001 and 2002 in incentive pay-
Real Applications
ments to ethanol and other bioenergy pro-
ducers to expand production of biobased
A number of biobased products are already on
fuels.
the market. For example:
U.S. government scientists married cornstarch
Methane and Nitrous Oxide Mitigation
to a synthetic chemical to create a product so
The U.S. government also is engaged in a
thirsty, it can absorb 2,000 times its own weight
variety of activities directed toward reducing
in water. The absorbent compound, called
emissions of methane and nitrous oxide asso-
SuperSlurper, is used as an electrical conductor
ciated with agricultural production. The
in batteries, as well as fuel filters, baby powders,
1gSTAR Program provides important tools.
and wound dressings. Superabsorbents are now
guidance, and methods to encourage the use
a $2 billion per year market.
of methane recovery (biogas) technologies at
Xanthan gum is a natural polymer fermented
certain confined animal feeding operations.
from glucose, by the action of a microorganism,
The Ruminant Livestock Efficiency Program
Xanthomonas campestris. A small amount of the
(RLEP) promotes livestock management
gum is sufficient to turn a free-flowing liquid
strategies that result in lower methane emis-
into a viscous solution, which is widely used as
sions per unit of milk or meat produced. In
a thickening agent in foods and also in non-food
addition, many of the practices recommended
uses. Sales of xanthan are approximately $80
by the RLEP for improving forage production
million a year.
remove carbon dioxide from the atmosphere
U.S. government scientists are working with
by storing carbon in the soil as organic matter.
Lambent Technologies Corporation of
The Nitrogen Fertilizer Efficiency program is
Norcross, Georgia, to develop new biodegrad-
exploring alternative systems of nitrogen
able hydraulic fluids made from oil seeds such
management for a variety of crops including
as soybeans and sunflowers. This new lubricant
corn, cotton. potatoes, and rice in order to
has the industrial quality and performance
reduce nitrous oxide emissions.
characteristics of current petroleum-based
hydraulic fluids.
Carbon Sequestration
Many others are in the pipeline, such as the
Carbon sinks will play a critical role in helping
following:
the world meet the challenge of climate
Fantesk is a starch-based chemical that can
change. Significant gains in carbon sequestra-
tion and environmental co-benefits can be
replace the resins used to make particle board,
reducing or eliminating formaldehyde emis-
made through improved management of our
sions, making the product safer for the con-
forest resources. Research priorities include
sumer and the environment.
developing forestry practices that conserve
soil carbon: increasing the potential for soils.
Hypoallergenic latex made from the domestic
forests, and forest products to sequester
guayule plant could have a significant impact on
carbon: developing sustainable biomass pro-
the $3.1 billion U.S. latex glove market. Guayule,
duction and management systems: and
a native plant of the desert Southwest, could
improving forest carbon inventory and
stimulate economic development on Native
accounting systems. The U.S. government has
American lands.
begun to analyze the net carbon effects of vari-
ous conservation and environmental programs
and to determine how they can be enhanced
42
to foster greater sequestration. Below are
Conservation Practices for Storing
descriptions of some of these programs.
Carbon
From its inception in 1985, the Conservation
Resource conservation practices on farms pro
Reserve Program (CRP) has planted 3.5 mil-
duce environmental benefits such as improv-
lion acres (1.4 million hectares) of trees on
ing soil, water, and air quality on and off the
cropland. The entire 36.4 million acres
farm Economic benefits accrue from reducing
enrolled in the CRP is estimated to be
the number and intensity of field operations
sequestering 11.3 MMTGE per year.
saving money, time, and labor. These practices,
Additional benefits from eliminating nitro-
which also can enhance carbon storage in soil,
gen fertilizer applications have been estimat-
include the following
ed at 1.8 MMICE per year.
Using conservation tillage and no-till conser-
The Wetlands Reserve Program (WRP) offers
vation systems
private landowners financial incentives 10
restore wetlands in exchange for discontinu-
Rotating crops and incorporating small
ing the land's use for crop production. The
grains hay, legumes, or other crops into rota
Swampbuster program has preserved more
tions
than 5.8 million acres of wetlands that would
Planting cover crops
otherwise have been converted to agricultur-
al use.
Managing nutrients and irrigation efficiently
and effectively
From 1991 to 1997. more than I million
acres of trees were planted through the
Installing permanently vegetated conserva
Forestry Incentives Program (FIP) program.
tion buffers, such as windbreaks grass-water
Another 273,000 acres of trees were planted
ways, filter strips, and riparian buffers
through the Stewardship Incentives Program
Restoring or protecting wetlands
(SIP) program.
Converting marginal agricultural land to
Research indicates that improved manage-
perennial grassland or forest
ment of cropland soils through reduced
tillage, erosion prevention, and cropping
mate forecasts intended for a general audi-
systems can sequester significant quantities
ence to forecasts that will be specific to agri-
of carbon. Improved management of grazing
culture. The primary challenges are to apply
lands also can contribute significant seques-
the predictions to farms at time periods that
tration benefits. Increasing soil organic
are relevant to agricultural decision-making
content not only provides climate change
and to establish impacts on soil water and
benefits. but also improves water holding
plant productivity. This information will
capacity, fertility, and productivity-helping
provide opportunities for proactive plan-
soils resist erosion, keeping nutrients and
ning to exploit favorable climate conditions
pesticides from washing into water bodies,
and mitigate adverse climate extremes. The
and reducing flooding.
result will be information that can be used
to determine the number of livestock that
Helping Farmers Second-Guess Mother
Nature
a farm can support during an upcoming
season. the need for purchase of outside for-
Unpredictable variations in weather and di-
age, decisions on winter wheat or other
mate hinder efforts to manage resources
grains, fertilizer needs. and erosion
effectively for agricultural uses. The U.S.
protection.
government is working to adapt seasonal cli-
43
7
J.
Chapter 6. U.S. Global Change Research Program
he U.S. Global Change Research Program (USGCRP) seeks to
T
provide a sound scientific understanding of the human and
natural forces that influence the Earth's climate system, and
thus provide a sound scientific basis for national and international
decision-making on global change issues. The USGCRP seeks to
observe, understand, predict, and assess the critical natural and
human-induced dynamic states and trends of the Earth's global envi-
ronmental systems across a wide range of time and spatial scales.
This multi-agency National Research Program is overseen by the
National Science and Technology Council, the Office of Science and
Technology Policy, and the Office of Management and Budget.
FY 2001 Budget Highlights
For FY 2001. the President is requesting $1.74 billion for the USGCRP, an
increase of $41 million above the amount enacted for FY 2000. Of this, $845 mil-
lion is for scientific research and improvements to surface-based monitoring.
Another $897 million is for development of Earth-observing satellites and asso-
ciated data systems to monitor climate change and other global changes.
Important highlights include the following:
$28 million to enhance surface-based climate observations, including cre-
ation of a climate reference network to provide for the first time automated.
simultaneous, and ideally located measurements of changing temperatures,
precipitation, and soil moisture. Measurements of atmospheric trace gases,
aerosols, ocean temperatures, and ocean currents also will be expanded.
$308 million for research on changes in the Earth's water cycle, which is
one of the primary determinants of the Earth's climate. The launch of the
EOS Aqua spacecraft in December 2000 will provide new global measure-
ments of humidity. cloud properties, sea ice, precipitation. soil moisture,
runoff, and snow to support this research.
$224 million for research on the potential impacts of climate change and
other stresses on forests, coastal areas, croplands, and other ecosystems. New
studies will improve our understanding of the relationships among land cover,
land use. climate, and weather. and on identifying "thresholds" for significant
changes in ecosystems.
$299 million for the multi-agency carbon cycle science initiative begun
in FY 2000. This request includes funds to study how carbon cycles
between the atmosphere. the oceans, and land, and the role of farms,
45
United States: Domestic Progress on Climate Change
Objectives of the USGCRP
forests, and other natural or managed lands
in capturing carbon.
Determine the origins, rates, and likely future
$485 million for research on the Earth's cli-
course of natural and anthropogenic global
mate system. This includes funds to study the
changes
interaction of long-term climate change and
Increase understanding of the combined
shorter-term patterns of climate variability,
effects of multiple stresses on ecosystems
investigation of the radiative effects of clouds
on climate, improving model simulations of
Understand and model global environmen
the Earth's climate, and collection and analy-
tal change and its processes on finer spatial
sis of new satellite observations of clouds,
scales and across a wide range of time scales
aerosols, trace gases, land surface and ocean
Address the potential for surprises and
properties. ice extent and topography, and
abrupt changes in the global environment.
the Earth's radiation budget.
Understand and assess the impacts of global
Other USGCRP-sponsored research focuses
environmental change and their consequences
on the long-term climate record of the Earth,
for the United States.
the human dimensions of global change. and
changes in atmospheric chemistry.
The National Assessment
The National Assessment of the potential con-
sequences of climate variability and change
undertaken by the USGCRP over the past
several years has examined the potential eco-
logical and socioeconomic impacts of climate
change on the United States. and the degree
to which particular regions and sectors of the
nation are vulnerable to such change. Thus
the National Assessment is providing impor-
tant information to support decisions on how
best to adapt and prepare for both the next
few decades and the next century. In addition,
the National Assessment will identify key
information gaps and research needs (i e.,
information that is still required to answer
questions of interest to decision-makers).
The initial major product of the assessment
process is a National Assessment Synthesis Report.
This report has completed multiple layers of
peer-review by technical experts and U.S. gov-
ernment agencies, and was posted on the
World Wide Web for a 60-day public comment
period. The assessment included regional
workshops with a broad range of stakeholders.
plus regional and sector analyses (Human
Health, Water Resources. Coastal Areas,
Forests, and Agriculture).
46
W
Meeting the
Challenge of
Climate
Change
November 2000
The Kyoto Protocol:
The Road to
Rat
is
November 2000
0007
ovember
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t
e.Sureu
Chimate
G1
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Domestic
0007
ovember
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Building National
[email protected].
09/12/2000 02:18:34 PM
Record Type:
Record
To:
John D. Gibson/WHCCTF/EOP
CC:
Angela C. Mizeur/WHO/EOP, [email protected], [email protected]
Subject: comments on COP6 draft
Here are comments on Friday's draft from Kathleen Hogan/Energy Star. There are
not many in the e-file - a few on hgih gwp gases and energy star.
Forwarded by Jackie Krieger/DC/USEPA/US on 09/12/2000
02:13 PM
Kathleen
Hogan
09/08/00
01:26 PM
To:
jackie krieger
CC:
kate narburgh
Subject: comments on COP6 draft
I have some line edits in the attached draft (relined)
In addition, I would recommend that we
-- push to remove the Climate Challenge pledge at this point which does not earn
the gvmt any credibility given that it is the year 2000 and there is no evidence
that this pleage has come to fruition
-- the car equivalence numbers in the energy star chart are not correct. There
is one number: 10 million cars across all Energy Star programs.
-- the industry section minnexec summary would be helped by moving the methane
bullet up saying that we believe through the voluntary programs and other
actions that methane emissions will be at or below 1990 levels in 2010. it
would also be helped by included the similar bullet on the high GWP gases --
just like was included last year
-
COP6Consolidredline.doc
"Newmark Homes joined the ENERGY STAR homes program because, like our consumers, we feel
that energy efficiency is important. We wanted our energy-efficiency program to be
several
notches above our competitors, and being an ENERGY STAR builder guarantees that goal."
Mick Beckett
Senior Vice President
Newmark Homes
The ENERGY STAR also buildings program collaborates with a wide range of building owners
and users-retailers, healthcare organizations, real estate investors, state and local governments,
schools and universities, and small businesses. Each partner commits to improving the energy
performance of its facilities and to using the performance metrics and tools provided by ENERGY
STAR to achieve significant savings in both dollars and greenhouse gas emissions. A new energy
performance rating system for commercial buildings allows the most efficient buildings across
the country to be awarded the ENERGY STAR label. This innovation in the commercial
marketplace has motivated new sectors to capture the environmental and financial value of
improved energy performance. More than 1,000 buildings were rated in 1999 using this new
system, and 90 qualified for the new label, which serves as a good model for market-driven
solutions.
Cumulatively, ENERGY STAR buildings partners, which represent More than 15 percent of the
U.S. commercial, public, and industrial building market is enrolled in Energy Star.
Cumulatively, partners have invested more than $3.6 billion in energy-efficient technologies and,
in 1999 alone, saved more than 20 billion kWh of energy.
Going forward, the recently introduced Building Benchmarking Tool will, for the first time,
allows building owners and managers to know whether their buildings have good or poor energy
performance. Similar to a miles-per-gallon rating for automobiles, this new tool provides tenants
and potential buyers with a better understanding of the operating expenses of buildings and thus
produces additional incentives for energy efficiency via the marketplace. In addition, ENERGY
STAR buildings recently developed, and made available a benchmarking tool that is specifically
designed for schools. By the end of 2000, this benchmarking tool will be available for office
buildings, schools, and retail spaces.
In 1999, the government introduced a new energy performance rating system for commercial
buildings that allows the most efficient buildings across the country to be awarded the ENERGY
STAR label. This innovation in the commercial marketplace has motivated new sectors to capture
the environmental and financial value of improved energy performance. More than 1,000
buildings were rated in 1999 using this new system, and 90 qualified for the new label, which
serves as a good model for market driven solutions.
[pull section on energy efficient products up to here]
Better Quality, Better Earnings, Better Environment
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ENERGY STAR started with a program called Green Lights in 1991. When airplane manufacturer
Boeing joined the Green Lights program to improve the company's lighting efficiency, it
reduced energy consumption by 200 million kilowatt-hours a year. This move cut Boeing's
annual operating costs by $12 million and produced another unexpected benefit-better quality
products. The new lighting in one building boosted the defect detection rate by 20 percent.
Partnering with Home Builders
The Partnership for Advancing Technology in Housing (PATH) is a public-private partnership
with the National Association of Home Builders as a charter member, along with building
product and equipment manufacturers, individual home builders, developers, and members of the
finance community. (http://www.pathnet.org/) PATH aims to reduce the monthly cost of new
housing by 20 percent or more; cut the environmental impact and energy use of new housing by
50 percent or more; reduce energy use in at least 15 million existing homes by 30 percent or
more; improve durability and reduce maintenance costs by 50 percent; reduce by at least 10
percent the risk of loss of life, injury, and property destruction from natural hazards; and decrese
by at least 20 percent illnesses and injuries from residential construction work. Accomplishing
these objectives would save consumers $11 billion in annual energy costs and reduce annual
carbon emissions in 2010 by nearly 24 MMTCE-roughly the amount that is produced by 20
million automobiles. There are more than a dozen field evaluation and demonstration sites across
the nation. In addition, PATH projects are now underway in pilot communities in Denver, Los
Angeles, Pittsburgh, San Fernando Valley, and Tucson, and has an additional 25 demonstration
and field evaluation sites nationwide.
Graphics: Insert housing picture here (file: housing construction)
PATH operates five working groups to gain input from industry and other partners on finance,
consumer education, barriers and insurance, and technology roadmapping. In FY 2000, PATH
funded more than $2 million in housing technology research, including key energy efficiency
technologies such as super-insulating panels and advanced solar roofing.
PATH Makes Waves in California
Rooftop photovoltaic solar panels and the first units of a new generation of high-efficiency gas
absorption chillers are standard equipment in a new development in the San Fernando Valley
outside Los Angeles, California. At Village Green, the homes of the future are here today. I 1999
families began moving into the first 22 of 186 planned homes, just about a year after President
Clinton visited the site to launch the Partnership for Advancing Technology in Housing (PATH).
Village Green is one of five PATH pilot projects around the country.
The homes will use less than half of the electricity of a home built to the state's current energy-
efficient building standards. Heating and cooling costs are guaranteed to be no more than $38 per
month. Most of the homes will have photovoltaic panels that will provide 90 percent of the
electrical needs from the sun. Village Green will be on a mass transit line, making it the largest
transit-based affordable housing development in the Los Angeles area.
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"Village Green is living proof," says Los Angeles Councilwoman Ruth Galanter, "that the
building industry can combine new environmental technologies with affordable housing right
here in one of the largest housing markets in the nation."
Energy Efficient Products
The ENERGY STAR label on energy using products and equipment is helping overcome
informational, institutional, and organizational barriers that work against the development and
diffusion of energy-efficient technologies. By making it easy for consumers to identify high-
quality, energy-efficient products for their homes and offices, ENERGY STAR labels are making it
possible for consumers to reduce expenditures on energy services while contributing to climate
protection change mitigation goals. Consumers are informed about the economic and
environmental benefits of energy efficient products through public service advertisements, media
events, and the distribution of brochures and other types of outreach materials.
Progress to date is substantial. The ENERGY STAR label is now recognized by 30 percent of the
American public. At of the close of 1999, more than 1,200 manufacturers were producing 7,000
product models with the ENERGY STAR label in 31 consumer product categories, and the public
has purchased more than 350 380 million ENERGY STAR products to date. The list of products is
continuing to grow. Recent additions include DVD players, CD players, and compact fluorescent
light bulbs.
ENERGY STAR Cumulative Benefits through
2010 for Buildings and Products
ENERGY
ENERGY
STAR
STAR
Buildings
Products
Expenditures
$7.0
$0.7
Savings on Energy Bills
$19.8
$26.3
Net Savings
$12.8
$25.6
MMTCE Avoided
45
60
Equivalent Cars Off Road
36 million
49 million
Buildings Research and Technology Dissemination
The U.S. government undertakes energy research and technology dissemination applicable to the
building sector through a variety of programs. The Weatherization Assistance Program (WAP)
provides energy-efficiency services to low-income families and individuals in the United States
who might not otherwise have access to emerging energy-saving technologies. Created in 1976
by the Energy Conservation in Existing Buildings Act, WAP focuses on households with elderly
members, persons with disabilities, and children. Since the program's inception, WAP has
retrofitted almost 5 million homes, saving an estimated 7 MMTCE annually. In 2001, the Federal
government expects to provide state grants to weatherize 74,751 homes for low-income families,
saving $1.80 in energy costs for every $1.00 invested over the life of the measures and 0.11
MMTCE annually. http://www.eren.doe.gov/buildings/weatherization_assistance/index.html
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The government is laying the groundwork for future strengthening of the Weatherization
Assistance Program. Through a new strategy called Weatherization Plus, which will incorporate
advanced technologies in a whole-house approach and adopt a whole-community approach to
enhancing program benefits, the WAP program will be able to greatly increase the energy saved
and the number of families served. Through this approach, energy savings and the leverage of
program funds will increase, while emissions of pollutants will decrease.
The government's Solar Buildings program has provided $2 million in funding to help develop
Transpired Solar Collectors. This project has created one of the most efficient solar collectors
currently available for commercial use. Transpired solar collectors are capable of converting 60-
75 percent of the solar energy striking them into usable heat. Building owners and operators are
finding them to be a reliable, low-cost technology that is well-suited for preheating the large
quantities of ventilation air that most industrial and commercial buildings must pull in during the
fall and winter. http://www.eren.doe.gov/solarbuildings/ Photo available?
Conserval markets the technology as the Solarwall® and has installed more than 50 systems
since 1992. Ford Motor Company, General Motors, Federal Express, and McDonnell
Douglas are on the growing list of industrial users of this technology. A typical system (6,237
square feet of collector area) saves 1,665 million Btu per year. Current annual energy savings for
installed systems is approximately 86,600 million Btu, saving about $400,000 in avoided fuel
costs and reducing annual CO₂ emissions by 10 million pounds. Over their lifetimes, the
currently installed systems will displace 2.2 trillion Btu of energy, save $10 million in avoided
fuel costs, and reduce emissions by 0.03 MMTCE.
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End box
New Federal Initiatives
In addition to fighting for increased funding for existing climate programs, the Administration
has proposed or implemented four major climate initiatives in the past year:
Cutting Fuel Use by Federal Fleets. An Executive Order from President Clinton requiring
U.S. government agencies to reduce the amount of petroleum used by their vehicle fleets by
20 percent below 1999 levels by 2005. This action is expected to reduce greenhouse
emissions by an amount equal to 160,000 metric tons of carbon (MTCE) per year.
21st Century Truck Initiative. A 10-year research and development partnership aimed at
doubling and, in most cases, tripling, the fuel economy of U.S. trucks.
International Clean Energy Initiative. The President is seeking $201 million for FY 2001
(a better than 100 percent increase over FY 2000 enacted levels) for a multi-agency initiative
to accelerate the international development and deployment of clean energy technologies.
Clean Air Partnership Fund. The President is seeking $85 million for FY 2001 for a new
fund to provide grants to state and local governments and tribes for projects that reduce
greenhouse gases and ground-level pollutants like soot, smog, and air toxics.
States and Localities Taking Action
In addition to the Federal government and major U.S. corporations, states and localities
throughout the United States are coming to recognize the effects that climate change could have
on their communities and economic well-being. - Many are stepping forward individually, in
partnership with the Federal government, and in concert with other jurisdictions to take real steps
to reduce emissions:
A total of 78 U.S. cities are participating in the International Council for Local
Environmental Initiatives' (ICLEI) Cities for Climate Protection Campaign (CCP) - The
program offers training and technical assistance to cities, towns, and counties for projects that
focus on reducing emissions through improving energy efficiency, expanding the use of
renewable energy, enhancing waste management practices, and improving land use planning
and transportation systems.
In June 2000, the U.S. Conference of Mayors passed a resolution recognizing the
seriousness of global warming and calling for increased cooperation between cities and the
Federal government in taking action to address the challenge
In 1999, a group of more than 530 local officials in the United States issued a "Statement
on Global Warming," expressing concern about the impacts of climate change on their
communities and urging accelerated Federal efforts to assist them in reducing global warming
pollution.- Signatories included the mayors of Atlanta, Baltimore, Chicago, Cincinnati,
Denver, Honolulu, Las Vegas, Madison, Milwaukee, Minneapolis, Newark, New Orleans,
Portland, Salt Lake City, San Francisco, Seattle, St. Louis, and Tampa.
To date, 26 states have initiated voluntary climate action plans and 17 have completed
those plans, with technical assistance from the U.S. government's State and Local Climate
Change Program.
Graphics: Insert state and local map if room (state action plans and cities in Cities for Climate
Protection Campaign: Caption: Twenty six states have initiated voluntary action plans to address
climate change, and 78 cities and counties currently participate in the Cities for Climate
Protection Campaign.
Photo of Gore
"We have learned that a strong economy and a safe environment go hand in hand."
Vice President Al Gore
April 2000
Conclusion
The United States is committed to doing its part to protect our climate and pass on a livable
world to our children and grandchildren.- The United States understands that domestic progress
in reducing emissions is an important part of that commitment. - We must also make more
progress internationally-bothinternationally-bot inside and outside of the Kyoto Protocol.
In the long run, the a United States' balanced approach to addressing climate change will allow
us-the United States to continue to grow our economy and protect the environment at the same
time thetime-the essential challenge facing all nations.
"Many people
still believe you cannot cut greenhouse gas emissions without slowing
economic growth. In the Industrial Age that may well have been true. But in this digital
economy, it is not true anymore. New technologies make it possible to cut harmful emissions and
provide even more growth."
President Bill Clinton
State of the Union Address
January 27, 2000
Photo of Clinton
Graphics: keep the following box at the end of Ch 1 and set it off in some special way.
Measuring Greenhouse Gas Emissions and Emissions Reductions
Greenhouse gas emissions typically are expressed either in terms of metric tons of carbon
equivalent (MTCE) or in metric tons of carbon dioxide equivalent. This report uses MTCE or
million MTCE (MMTCE). To convert carbon equivalents to carbon dioxide equivalents,
multiply by 3.67.
This report focuses on progress the United States is making at combating climate change on
multiple fronts. Each chapter provides an overview of programs and accomplishments within key
sectors of the U.S. economy. The greenhouse emissions from each sector-industrysector--
industry, buildings, electricity, transportation, and agriculture and forestry-are not mutually
EXECUTIVE SUMMARY
Graphics: Use larger font for following text
Addressing climate change is the premier environmental challenge of the 21st century. Among
the world's leading atmospheric scientists, agreement is now widespread that the Earth is
warming and that greenhouse gas emissions from human activities are at least partly to blame.
The United States is committed to meeting this challenge, both through domestic actions to
reduce greenhouse gas emissions and through environmentally soundenvironmentally sound,
cost-effective international cooperation under the United Nations Framework Convention on
Climate Change and its-the 1997 Kyoto Protocol.
Awareness is growing throughout U.S. society that global warming is a serious problem and that
serious action is required. State and local leaders, religious and scientific organizations, and
businesses large and small throughout the nation are joining the Federal government inare
pursuing creative, cost-effective steps to reduce greenhouse gas emissions. In fact,
Most importantly, specific, concrete actions by citizens, businesses, and governments are
yielding tangible results. In fact, recent data show that growth in U.S. greenhouse gasthose
emissions has begun to decline, even as the U.S. economy grows at an unprecedented rate-
anrate-an-important measure of progress in the fight against climate change.
End large font
"The greatest environmental challenge of the new century is global warming
If
we
fail
to
reduce the emission of greenhouse gases, deadly heat waves and droughts will become more
frequent, coastal areas will flood, and economies will be disrupted. That is going to happen,
unless we act.
President Bill Clinton
State of the Union Address
January 27, 2000
Photo of Clinton and Gore to come from WHCCTF
Challenging the Historic Link Between-between GDP and Carbon Emissions
In recent years, very robust growth in U.S. gross domestic product (GDP) has been accompanied
by a slowdown in the growth of the nation's greenhouse gas emissions.- This trend has
growngrew more pronounced in the late 1990s.
Over the 1990s, the U.S. GDP grew almost three times faster than energy-related CO₂
emissions.
In both 1998 and 1999, U.S. GDP grew by more than 4 percent each year while CO₂
emissions grew by less than 1 percent per year.
Graphics: Insert graph, Growth in the U.S. Economy and CO₂ Emissions
Caption for graph: Recent years have produced a widening gap between the robust growth in the
U.S. gross domestic product (GDP) and much slower growth in the nation's greenhouse gas
emissions.
In addition, recent data demonstrate that from 1960 to 1996, energy intensity-theintensity-the
amount of energy used per unit of GDP-declinedGDP-declined by an average of 1.3 percent
per year. Even more telling, from 1996 to 1999, the nation's energy intensity declined at a rate of
3.2 percent annually.-This is significantly greater than the 2.6 percent rate of decline that
occurred during the oil crisis years of 1973 to 1986.- Finally, the carbon intensity of the U.S.
economy—theeconomy-the amount of CO₂ emitted per unit of GDP-declined--deelined by
15 percent over the course of the 1990s.
Factors contributing to these trends may include a high rate of new investments (averaging about
17 percent of GDP over the past three years) and the rise of the digital economy. - What is clear
is that U.S. businesses, states and localities, and the Federal government are achieving real
results in reducing greenhouse gas emissions. It is also clear that there is a commitment at all
levels to ensuring that these positive results multiply in the years ahead.
U.S. Business Community Stepping Forward
U.S. industry is undergoing a sea change in its attitude towards climate change. This new outlook
reflects in part the basic economic fact that saving energy and reducing waste is in interest of
American businesses. More and more companies are realizing that saving energy and reducing
waste make sense not just for the environment, but also for their bottom line.
The automobile industry, for example, is making important progress in reducing emissions from
vehicles.
Thanks in part to the public-private Partnership for a New Generation of Vehicles (PNGV),
General Motors (GM), Ford Motor Company, and Daimler-Chrysler have all unveiled
diesel-battery hybrid concept cars that are capable of traveling 70-90 miles per gallon (mpg).
To encourage consumer interest high efficiency vehicles as they become available, the
Administration is proposing tax credits of up to $3,000 for the purchase of a qualified hybrid
vehicle (See "Targeted Tax Credits to Fight Global Warming.")
Ford and GM announced production plans for sport utility vehicles (SUVs) that are 15 to 25
percent more fuel efficient than today's SUVs.- (fPreliminary estimates by the U.S.
Environmental Protection Agency areindicate that these commitments will result in
cumulative emissions reductions of over more than 100 MMTCE through 2020.)]
Honda and Toyota introduced gasoline-battery hybrids into the U.S. market with fuel
economy ratings of up to 70 mpg on the highway.
Also, this year Johnson & Johnson and IBM became the first two companies to join a new
partnership with the conservation community to help businesses voluntarily lower energy
consumption and reduce emissions of greenhouse gases. Under this partnership, companies make
specific commitments to reduce their emissions and participate in an independent verification
process. In so doing, these two companies join a host of major U.S. companies that are stepping
forward with real plans to address climate change-often saving themselves and their
shareholders money in the process, including DuPont, Motorola, United Technologies, Boeing,
Shell, Weyerhaeuser and Amoco and Arco, subsidiaries of British Petroleum.
Renewable energy markets received a significant boost in May 2000, when 11 major U.S.
corporations, calling themselves the Green Power Market Development Group, began
purchasing green energy and otherwise providing support to the development of green energy
markets.
The rise in good corporate citizenship is further evidenced by the decline of business
organizations dedicated to opposing international action to address climate change, and the rise
of other, more constructive voices, such as those of the Business Council for Sustainable
Energy, the International Climate Change Partnership, and the Pew Center for Global
Climate Change.
Real Actions, Real Results
For the past seven years, the hallmark of the Clinton-Gore Administration's strategy for reducing
U.S. greenhouse gas emissions has been to use R&D investments and tax incentives to increase
energy efficiency, spur the broader use of renewable energy, and work with industry to promote
voluntary, cost-effective reductions. Many U.S. climate protection programs now show tangible
results:
Minimum efficiency standards on residential appliances such as furnaces, water heaters, air
conditioners, and refrigerators have saved consumers nearly $25 billion through 1999,
avoiding cumulative emissions by an amount equal to almost 50 million metric tons of carbon
(MMTCE). Four pending appliance standards (clothes washers, flourescentfluorescent light
ballasts, water heaters, and central air conditioners) are expected to save consumers over
more than $10 billion and reduce cumulative emissions by 22 MMTCE through 2010.
NORAH: check spelling of flourescent
The ENERGY STAR label promotes the voluntary use of highly efficient products. products
by making it easy for consumers to identify high quality, energy efficient products for their
homes and offices. It is estimated that by 2010 ENERGY STAR programs (for both buildings
and products) will reduce cumulative U.S. greenhouse gas emissions by more than 100
MMTCE.
Public-private partnership programs to reduce methane emissions are expected to hold
methane emissions at or below 1990 levels through 2010. Partners in the methane programs
will reduce cumulative emissions by an estimated 120 MMTCE by 2010.
Programs designed to halt the growth in emissions of the most potent greenhouse gases (so-
called "high global warming potential (GWP) gases") are achieving significant progress.
Investments already made by partners in these programs-will reduce cumulative emissions by
an estimated 80 MMTCE by 2010.
Growing Commitment by the U.S. Government
Over the past two years (FY 1999 & FY 2000), the Clinton-Gore Administration has secured
more than $7 billion in overall funding to fight climate change. - This includes over-more than $2
billion for the research and development of clean energy technologies in the four major carbon-
emitting sectors of the U.S. economy: Industry, Buildings, Electricity Generation,
Transportation.
The President's FY 2001 budget proposal includes $2.4 billion in funding for renewable energy,
energy efficiency, agricultural- and forest-based bioproducts and energy, research and
development, and tax incentives for the purchase of clean cars, homes, appliances, and clean
energy production. This represents a 43 percent increase over FY 2000 enacted levels and builds
on the Administration's consistent record of fighting for-and achieving-higher funding levels
for climate programs.
Graphics: Insert graph, Funding for Technology Programs to Combat Climate Change
Funding for Technology Programs to Combat Climate Change
(In millions of dollars)
Year 1993 1994 1995 1996 1997 1998 1999 2000 (Estimated) 2001 (Proposed)
[$$ 603 796 960 785 764 825 1,009 1,095 1,432]
Begin text box
Targeted Tax Credits to Fight Global Warming
As part of his Climate Change Technology Initiative, President Clinton has proposed [$9.3]
billion in tax incentives over [10] years for consumers who purchase energy-efficient products
and for-producers of energy from renewable sources. Highlights include the following: John: the
cuts made up to this point would probably be enough-if we also cut the following three bullets
(not of much interest to international audience) and just left the first sentence.
Tax credits for fuel-efficient cars. The package extends the current tax credit (of up to
$4,000) through 2006 for qualified electric and fuel cell vehicles and also includes a tax
credit of $500-3,000 for the purchase of a qualifying hybrid vehicle from 2003-2006.
Tax credits for energy-efficient homes. Consumers can receive a $1,000-2,000 credit toward
the purchase of a new energy energy-efficient home; a 20 percent tax credit for the purchase
of selected energy energy-efficient products for homes and buildings; and a $1,000-2,000
credit for installing a solar energy system.
Tax credits for clean energy. The package extends the 1.5 cents per kilowatt hourkilowatt-
hour tax credit for the production of electricity from wind and closed-loop biomass; provides
credits for open-loop biomass facilities and coal-biomass co-firing; and provides credits for
electricity produced from methane from certain landfills.
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001
Office of Planning, Budget and
Management
EE-3
Fax Number: (202) 586-8177
Main Number: (202) 586-6768
To: Janet Anderson
From: Michael York
Fax Number:
Date:
# of pages (including cover sheet): 25
Comments:
Mary Beth will call you at = 5:00
home 703 979 7559
[email protected]
09/12/00 TUE 16:13 FAX
1
002
NORA
1 of 15 of 15
did energy-related CO₂ emissions.
Graphics: Insert graph, Growth in the U.S. Economy and CO₂ Emissions
Caption: Recent years have produced a widening gap between the robust growth in the U.S. gross
domestic product (GDP) and much slower growth in the nation's greenhouse gas emissions.
Underlying these overall numbers are some encouraging data about U.S. energy intensity - the
amount of energy needed to support the nation's economic activity. From 1960 to 1996, energy
intensity declined by an average rate of 1.3 percent per year. From 1996 to 1999, however, the
nation's energy intensity declined at a rate of 3.2 percent annually. In absolute terms this is
significantly greater than the 2.6 percent rate of decline that occurred during the oil crisis years of
1973 to 1986.
What is remarkable about this trend in the last three years is that it has occurred in the absence of
either major price signals or fundamental shifts in energy policy. Instead, new investments,
averaging about 17 percent of GDP over the last three years, appears to be driving much of the
decline in energy intensity. Others have speculated that the rise of e-commerce lies behind these
numbers and predict continued progress in reducing energy intensity as e-commerce continues to
thrive.
Regardless of the underlying causes behind this data, it is clear that many U.S. businesses, states
and localities, and the Federal government are achieving real results in reducing greenhouse gas
emissions. It is also clear that there is the depth of commitment at all levels needed to assure that
add WRI corporate renewable purchases here (Dave)
these results multiply in the years ahead. This paper represents a progress report detailing both
those results and that commitment. Some particular projects and commitments that deserve
highlighting are set forth below.
Corporate America Stepping Forward
U.S. industry is undergoing a sea-change in its attitude towards the issue of climate change. This
reflects the basic economic fact that saving energy and reducing waste is in corporate America's
interest. More and more companies are realizing that saving energy and reducing waste make
sense not just for the environment, but also for their bottom line.
In 2000, Johnson & Johnson and IBM became the first two companies to join the World
Wildlife Fund's Climate Savers, a new partnership to help businesses voluntarily lower energy
consumption and reduce emissions of greenhouse gases. In joining Climate Savers, companies
make specific commitments to reduce those emissions and participate in an independent
verification process. In so doing, these companies host of major U.S. companies that stepping
forward with real plans to address climate change - often saving themselves and their
shareholders money in the process. A sampling of this list includes: DuPont, Motorola, United
Technologies, Boeing, Shell, Weyerhaeuser and Amoco and Arco, subsidiaries of British
Petroleum.
In addition, the automobile industry is starting to show important progress in reducing emissions
from automobiles. Thanks in part to the public-private Partnership for a New Generation of
ox sum
09/12/00 TUE 16:14 FAX
003
Vehicles (PNGV), General Motors, Ford Motor Company, and Daimler-Chrysler have all
unveiled concept cars that are capable of traveling 70-80 miles per gallon. The vehicles were
partly developed under the PNGV program. To encourage consumer interest in these new types
of vehicles, the Administration is proposing tax credits of up to $3,000 for the purchase of a
hybrid vehicle (see box). In addition, all three major Detroit automakers also have announced
production plans for fuel-efficient sport utility vehicles (SUVs) using technologies developed in
part under PNGV.
Real Actions, Real Results
For the past seven years, the hallmark of the Clinton-Gore Administration's strategy for reducing
U.S. greenhouse gas emissions has been to use R&D investments and tax incentives to increase
energy efficiency and spur the broader use of renewable energy and to work with industry to
promote voluntary, cost-effective reductions. Many U.S. climate protection programs can now
show real, tangible results, including:
Minimum efficiency standards on residential appliances such as furnaces, water heaters, air
conditioners, and refrigerators, have saved consumers a total of nearly $25 billion through
1999, avoiding cumulative emissions of nearly 50 MMTCE. Four pending appliance
standards (clothes washers, ballasts, water heaters, and central air conditioners) are expected
to save a total of 10 quads of energy through 2030.
The Energy Star label promotes the voluntary use of highly efficient products by making it easy
for consumers to identify high-quality, energy-efficient products for their homes and offices.
Appears to
In 1999 alone, Energy Star programs reduced electricity consumption by more than 44 billion
kilowatt-hours. It is estimated that(in)2010 Energy Star programs (for both buildings and
be
high
products) will reduce U.S. greenhouse gas emissions by an amount equal to over 100 million
metric tons of carbon (MMTCE) - the equivalent of taking some 85 million cars off the road.
DWR
We do not have information to support #s this high.
Programs designed to halt the growth in emissions of high GWP (spell out) gases are achieving
significant progress. Investments already made by partners in these programs will reduce
cumulative emissions by an estimated 80 MMTCE by 2010.
Any others in the report that deserve special highlighting? Substitutes suggested?
Growing Commitment by U.S. Government
Over the past two years, the Clinton-Gore Administration has secured more than $6 billion in
overall funding to fight climate change. For clean energy technologies alone, the President has
secured $2 billion to research and develop technologies in the four major carbon-emitting sectors
of the U.S. economy:
Industry
Buildings
range 8- of
Electricity generation
Perhaps COMMTC in
Transportation
a
smgle year.
Risks making all other
ex sum
#s quite small.
09/12/00 TUE 16:15 FAX
004
effective closed-loop rinse system in its metal pre-paint processing area. Other energy
efficiency improvements included enhanced insulation and an upgraded heating system.
The government's Best Practices Program is an initiative aimed at broadly improving energy
efficiency in U.S. manufacturing plants. The best practices program provides technical assistance
services and tools related to motor, steam, and compressed air systems. The program helps
participating U.S. manufacturers lower energy bills with little to no added capital investment
through the careful selection and adoption of new processes and component technologies.
http://www.oit.doe.gov/bestpractices/
/bestpractices
delete
An example is the Steam Challenge is a Best Practice program; which helps industrial partners
retrofit, operate, and maintain their steam systems more efficiently and more profitably is e
estimated that the Best Practices Program will help industry save more than $600 million and
avoid 2-5 MMTCE in 2010. http://www.oit.doe.gov/steam/ The program expects to
acheive a 20% efficiency improvement by 2010, saving 2 quado,
A Quick Recovery
Centerplex, a small business located in Seattle, Washington, found that energy efficiency helped
cut its annual energy bill in half in 1993. By switching to more energy-efficient products, the
company is saving $23,000 and preventing more than 465,000 pounds of greenhouse gas
emissions a year. Centerplex estimates it was able to recover the cost of its environmentally and
economically sound investment in only 18 months.
A similar program, Motor Challenge, is an industry-government partnership that increases the
market penetration of energy-efficient motor-driven systems. A key element in the Meter
Challenge strategy is to The program encourage stresses a new systems approach to the
engineering, specification, and maintenance of motors, drives, and motor-driven equipment.
Funded at just over $5 million a year, Motor Challenge helps industry realize electricity cost
savings
of,
$370
million
year
Energy
hom
just
T3
131 unlion Btu per year, or amost 32 in vings.
$ 25 million per year, and avoid 130,000 metric tons of carbon.
Another program, Industries of the Future, works in partnership with the nation's most energy-
intensive industries and is accelerating research, development, and deployment of technologies
that increase energy and resource efficiency. Two key elements of the program's strategy include
developing an industry-driven document outlining each industry's vision for the future and a
technology roadmap to identify technologies needed to reach that industry's goals. By 2010,
participating industries are projected to avoid 15 MMTCE and realize $3 billion in energy
savings annually. http://www.oitdoe.gov/industries.shtml
An Efficient Steel Industry
Industries of the Future works in partnership with the U.S. steel industry-the fourth largest
energy-consuming manufacturing subsector in the country-to enhance its long-term
competitiveness. Steel industry partners co-fund projects to increase energy efficiency and
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005
reduce waste. Today, steel scrap generated in steelmaking plants and during the manufacture of
steel products is being recycled at a rate close to 100 percent. More than 90 percent of obsolete
scrap from discarded cars, appliances, and post-consumer products currently is recycled.
http://www.oit.doe.gev/stel/ NOT DOE program. Too small
(DWR)
Greening the Cement Industry
Cement manufacturing accounts for approximately half of U.S. CO₂ emissions from industrial
sources. Companies representing more than 70 percent of U.S. cement production are working
with the Federal government to take advantage of the latest methods for improving energy
efficiency and reducing emissions. These companies have produced action plans to help them
reduce annual emissions by 8 percent below their business-as-usual projection, with annual
estimated cost savings of $2.3 million.
Recovering Useful Methane
U.S. industry works in partnership with the government through a variety of voluntary
partnerships that are directed toward eliminating market barriers to profitable collection and use
of methane that otherwise would be released to the atmosphere. Collectively, these programs are
expected to hold methane emissions at or below 1990 levels through 2010. Partners in the
methane programs will reduce cumulative emissions by an estimated 120 MMTCE by 2010.
One of these partnerships, the Landfill Methane Outreach Program (LMOP), provides technical
information and support to the multiple stakeholders in landfill projects, including state agencies,
energy companies, communities, and industry. The landfill program has assisted more than 140
planned and operational projects through such activities as providing decision support software,
identifying potential partners, and addressing specific technical or regulatory issues.
Lucky Lucent Saves Big
Too small an exaple COWR)
Working with the Landfill Methane Outreach Program, Lucent Technologies found it could
save approximately $100,000 a year on fuel bills at its Columbus, Ohio, plant by using captured
landfill gas instead of fossil fuels to power boiler operations that generate steam for space
heating and hot water. Along with saving the company money, Lucent's new fuel source is
reducing annual greenhouse gas emissions by 0.1 MMTCE-an amount equivalent to removing
more than 23,000 automobiles from the road. For Lucent, a notable benefit of the landfill gas-to-
energy project is a cost savings of more than $100,000 per year. Because landfill gas is less
expensive and easier to maintain than traditional fuels like coal and oil, Lucent saves money on
fuel costs and operating expenses.
The Coalbed Methane Outreach Program (CMOP) works with coal mines and project
developers to identify attractive opportunities and participants. The government profiles
promising projects, develops technical and cost evaluation models, and undertakes studies on
specific project implementation issues. As a result of the program, methane recovery by the coal
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#5 presented
CHAPTER 2
must be checked.
here should
be in source
units.
BUILDINGS
Graphics: Use large font
Two of the most Three promising trends for reducing emissions from the U.S. buildings sector
are: the increasing deployment of energy efficiency technologies; the growing application of
These #5 do not appear to be correct.
whole-building and whole-community approaches; and greater use the emergence of combined
heat-and-power generation in commercial facilities [why mention if not in text?]. The sector has
other promising news to report as well. From 1984 to 1997, [total or primary?] energy
consumption per housing unit in the United States decreased, primarily as a result of a large
reduction in energy consumption for space heating.
Studies show that by using proven cost-effective products and investing in simple profitable
building upgrades, many U.S. homes and businesses could reduce their annual energy use by
nearly 30 percent. To meet this need, the U.S. government created a variety of programs that
focus on developing and promoting the broader use of cleaner and more efficient building and
appliance technologies.
End large font
we found
for site
24% 7
for source
the
134%1
evergy
energy
using
E/A
The buildings sector, comprising primarily residential and commercial facilities, is responsible
for approximately 35 percent of U.S. greenhouse gas emissions. Residential buildings account
for about 56 percent of those emissions. Electricity consumption for lighting, heating, cooling,
and operating appliances accounts for the majority of greenhouse gas emissions from both types
of buildings. The remaining emissions are largely due to the use of natural gas and petroleum,
primarily for meeting heating and cooling needs.
From 1984 to 1997, total energy consumption by U.S. residential units increased 19 percent.
[also, check w/ opening para] The decrease of emissions from space heating was partially offset
by an increase in energy consumption for appliances and lighting. With commercial buildings,
however, total energy consumption remained roughly constant from 1989 to 1995, as did energy
use per square foot.
Community Actions on Energy Use in Buildings [sentences moved]
Improving the energy efficiency of buildings is a priority for state and local governments. The
United States wastes $12 billion every year due to inefficient and outdated building energy
technologies. When building officiency is increased, the demand for burning fessil fuels
decreases and pollution is eased.By investing in energy-efficient buildings, communities can
help stimulate economic development through job creation, while reducing local and regional
sources of pollution.
One program, Rebuild America, helps communities identify clean energy opportunities by
providing on-site technical assistance, workshop training, and access to the expertise, analytical
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tools, guidebooks, and other resources available from the department's national laboratories.
save energy and dollars by improving the energy performance of the built environment and
incorporating energy efficiency and renewable energy technologies into the design of new
facilities. The program's network of community partnerships-made up of municipalities, state
agencies, schools and universities, nonprofit organizations, and businesses-tailors programs to
local needs, choosing the buildings to renovate, the technologies to use, and the quantity of
energy to save. http://www.eren.doe.gov/buildings/rebuild/
Such waste can be readily avoided given the caliber of building technology available. Rebuild
America strives to increase awareness among community leaders [inconsistent with statement
above that it is a priorty] of elean energy opportunities by about the high price that communities
pay for inefficient buildings and how these wasted energy dollars can be redirected to pay for
building improvements. The government actively supports Rebuild America partnerships by
Rebuild America partnerships in 51 U.S. states and territories are committed to performing
energy retrofits on million square feet of space. By August 2000, the number of partners was
469
nearing 300. By 2005, energy efficiency measures undertaken by Rebuild America partnerships
are expected to achieve savings of $1 billion annually and double that amount by 2010.
Rebuild Duke University Facilities
The Rebuild Duke University Facilities partnership completed lighting and water conservation
improvements in 1998 in 114 academic buildings with 3.2 million square feet. This Rebuild
America partnership is presently renovating inefficient and aging heating, ventilation, and air
conditioning systems in those campus buildings that consume the greatest amount of energy. The
buildings range from 150,000 square feet to 600,000 square feet. During fiscal year 1998-99, the
partnership saved the university an estimated 10 million kilowatt-hours of electricity, 42 million
pounds of steam, and 7 million cubic feet of water. Rebuild Duke University Facilities achieved
energy savings of $600,000 and 42.1 billion Btu annually.
Seventy-eight U.S. cities currently participate in the International Council for Local
Environmental Initiatives' (ICLEI) Cities for Climate Protection (CCP) campaign. Local
governments that participate in Cities for Climate Protection use various methods to promote
discussed
building energy efficiency, not only within their own facilities, but also in the commercial and
residential building stock. Over the past year, participating governments have implemented
(DWR)
measures that are reducing emissions from municipal buildings by more than 0.01 million metric
tons of carbon (MMTCE) per year. These localities, in partnership with their local business
communities, have generated annual emission reductions in excess of roughly 0.1 MMTCE from
buildings owned by the private sector. (See also "Executive Summary" and Chapter 1,
"Industry.")
Reducing Emissions Chicago Style
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Improving Energy Efficiency in Federal Facilities
The U.S. government is serving as a model for emissions reductions in its own buildings. In
addition, the government works elessly with industry through two highly successful public
private initiatives, ENERGY STAR and the Partnership for Advancing Technology in Housing
(PATH) program, as well as a number of other initiatives aimed at reducing emissions from
residential and commercial buildings. [Appears out of context]
The U.S. government is the single largest energy consumer in the world. Its annual energy bill
exceeds $8 billion, including $4 billion to heat, cool, and power 500,000 buildings. The Clinton-
Gore Administration has set aggressive goals for curbing greenhouse gas emissions by U.S.
government agencies. In 1999, President Clinton issued Executive Order 13123 requiring all
Federal agencies to take steps to cut greenhouse gas emissions from energy use in buildings by
30 percent below 1990 levels by 2010. http://www.wbitehouse.gov/Initiatives/Clinate/fedenergy.html
As a result of the President's leadership, the Federal government's energy bill is $2 billion less
(in constant dollars) than it was in 1985. [sentence moved from below] Implementing the
measures needed to comply with the Executive Order will result in an annual reduction in
greenhouse gas emissions of 2.4 MMTCE and save U.S. taxpayers more than $750 million a
year. In addition to direct benefits from emission abatement, the order will contribute to future
emission reductions by expanding markets for renewable technologies and serving as a powerful
example to U.S. businesses and consumers.
about
The Greening of the White House
On Earth Day 1993, President Clinton launched an initiative to improve the energy and
environmental performance of the White House complex with steps that can be taken in any
home. Measures implemented include replacement of standard light bulbs with more efficient
compact fluorescents, installation of weather-tight windows, heating and air conditioning
upgrades, and composting of yard trimmings from the White House grounds for use as fertilizer.
The recently released status report on The Greening of the White House found that the initiative
is saving $300,000 a year and reducing annual greenhouse gas emissions by 845 metric tons of
carbon, or Agencies-what unit is this in-carbon? Carbon dioxide? XXXXXX MMTCE-the
equivalent of removing more than 600 automobiles from the road.
http://solstice.crest.org/environment/gotwh/index.html
Teaching Old Buildings Some New Energy Tricks
One U.S. government agency is housed in three buildings in Washington, D.C.; that are
designated as historic structures-a circumstance that means many of the simple solutions for
reducing energy consumption, such as installing energy-efficient windows or using window
awnings, are not options. The solution involved implementing an Energy Management Program
that involves the continuous evaluation of existing conditions, a facility-wide energy tune-up,
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load reduction, equipment replacement, building façade restoration, and indoor air quality
programs. The results are impressive. In 1992, electricity usage, which had been climbing by
roughly 3 percent per year over the preceding decade, exceeded 41 million kilowatt-hours (kWh)
and was expected to approach 50 million kWh by 2000. Instead, thanks to energy management
program, energy consumption had declined by more than 24 percent by 1997-for a cumulative
savings of 2 million kWh per year, or 1,758 MTCE.
The Executive Order calls for agencies to use a wide range of energy management tools to fulfill
the new energy efficiency, renewable energy, and greenhouse gas reduction goals. For example,
financing options such as Energy Savings Performance Contracts (ESP Cs) offer Federal
agencies powerful teels for loveraging private sector financing to fund cost saving energy
improvements. Under ESPCo, private sector energy service companies finance the upfront cost
of purchasing and installing new energy officient equipment. Since the signing of the Executive
Order, more than $400 million in investments have been planned for ESPCs and other energy
saving measures.
Greening the Statue of Liberty
The U.S. government made use of energy savings performance contracting (ESPC) to install
energy-efficient lighting and energy management controls at the Statue of Liberty National
Monument. The project began in 1992 and is contracted for a 15-year period. The project's
ESPC has an investment value of $1 million and is expected to result in annual energy savings of
approximately 4 billion Btu per year, or approximately 0.0002 MMTCE
too small
DWR
More than 70 percent of the government's costs for energy used in buildings is related to the use
of electricity, so the Executive Order requires agencies to consider the source of their electricity
and opt for purchases from cleaner, more efficient power generators. Agencies are directed to
adopt policies to increase the use of electricity generated from renewable energy sources and :
The Executive Order also requires government agencies to consider off-grid electricity
opportunities that provide energy and environmental benefits, while allowing agencies to avoid
the costs of building new transmission lines or digging up existing lines. Off-grid options can be
particularly effective in remote locations such as some U.S. national parks. Technologies range
from solar outdoor lighting to small wind turbines and fuel cells.
Energy Efficiency in Private Buildings
Public-private partnerships are producing important benefits in greenhouse gas abatement in
buildings. What all of the partnerships have in common is that they all strive to lower costs for
builders, developers, and homebuyers while reducing energy and environmental impacts and
improving building durability and worker safety. One suite of programs, ENERGY STAR,
promotes energy efficiency in the nation's homes and buildings. Based on actions already taken
by partners, ENERGY STAR estimates that by the year 2010 more than 100 MMTCE of
Howes, Products, or both?
We cannot justify or
document a # this
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[moved from electricity chapter] Geothermal heat pump (GHP) technology extracts heat from the
ground during the heating season and discharges waste heat into the earth during the cooling
season. GHPs can reduce energy consumption and corresponding emissions by 63 to 72 percent
when compared with electric resistance heating using standard air-conditioning equipment. In
addition, using GHPs can benefit electric utilities and their customers. Because GHPs reduce
peak demands, some electric utilities offer special financing, rebates, or electric rates for
customers who use GHPs.
The Geothermal Heat Pump Consortium (GHPC) is a partnership working to inform the public
about the technology and to expand the GHP market in the United States. http://www.ghpc.org/
Approximately 400,000 GHPs are in use today for heating and cooling of residential,
commercial, and institutional buildings throughout the United States. Savings from GHP units
installed between 1995 and 1998 are estimated to be $29 to $39 million. The growth target of the
GHPC and the Federal government is to install 2 million GHPs by the year 2005. Achieving this
goal will reduce greenhouse gas emissions by about 1.2 MMTCE per year.
The government's Solar Buildings program has provided $2 million in funding to help develop
Transpired Solar Collectors. This project has created one of the most efficient selar collectors
currently available for commercial use. Transpired solar collectors, located on building walls, are
capable of converting 60-75 percent of the solar energy striking them into usable heat. Building
owners and operators are finding them to be a reliable, low-cost technology that is well-suited for
preheating the large quantities of ventilation air that most industrial and commercial buildings
must pull in during the fall and winter. Conserval markets the technology as the Solarwall® and
has installed more than 50 systems since 1992. Ford Motor Company, General Motors,
Federal Express, and McDonnell Douglas are on the growing list of industrial users of this
technology. A typical system (6,237 square feet of collector area) saves 1,665 million Btu per
year. Current annual energy savings for installed systems is approximately 86,600 million Btu,
saving about $400,000 in avoided fuel costs and reducing annual CO₂ emissions by 10 million
pounds. Over their lifetimes, the currently installed systems will displace 2.2 trillion Btu of
energy, save $10 million in avoided fuel costs, and reduce emissions by 0.03 MMTCE.
http://www.eren.doe.gov/solarbuildings/ Photo available?
too small (OWR)
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CHAPTER 4
TRANSPORTATION
Graphics: Use large font
The United States is pursuing an array of strategies to reduce transportation-related greenhouse
gas emissions. The U.S. private sector is actively engaged in efforts to reduce emissions from
transport systems. In fact, the "big three" U.S. automakers all recently announced a number of
important breakthroughs in the design of new more fuel-efficient vehicles. This year three motor
companies all unveiled concept cars that are capable of traveling 70-80 miles per gallon In
addition, programs to reduce congestion are paying dividends in the form of reduced vehicle
miles traveled (VMT) and greenhouse gas emissions.
equivalent
In addition to scores of farsighted U.S. corporations, state and local governments are
implementing a host of programs directed toward reducing transportation sector emissions. The
Clean Cities program and Maryland's Clean Energy Tax Incentives are motivating consumer
interest in fuel-efficient vehicles. State and city government programs, like Maryland's Smart
Growth Initiative, also are reducing greenhouse gas emissions by promoting development
patterns that increase transit use and bicycle and pedestrian activity.
At the Federal level, government procurement policies are being revamped to help stimulate
markets in more fuel-efficient and alternative fuel vehicles. For example, the Administration
recently issued an Executive Order titled Greening the Government through Federal Fleet and
Transportation Efficiency. This Executive Order requires Federal agencies to reduce annual
gasoline and diesel fuel consumption by at least 20 percent by the end of 2005. The purchase of
alternative fuel vehicles, improvements in fleet fuel efficiency, and reductions in vehicle miles
traveled are core components of the compliance strategies of Federal agencies.
The U.S. government also works through public-private partnerships to promote fuel efficiency
through research and development and demonstration and is stimulating markets by offering
targeted consumer and business tax incentives and technical assistance. Among these efforts are
the Climate Change Technology Initiative, the Partnership for a New Generation of Vehicles,
and the 21 Century Truck Program and Clean Cities for fuel-efficient vehicles, various clean
fuels programs, $6.1 billion for public transit, and a new commuter choice initiative that
encourages carpooling, transit, and biking and walking to work.
End large font
Accounting for 32 percent of all U.S. emissions, the transportation sector is the second largest
source of greenhouse gases. Carbon dioxide (CO₂), which is emitted as a result of the
combustion of fossil fuels, is the most prevalent greenhouse gas given off from transportation
related activities. However, the sector is also a source of methane (CH₄) (from uncombusted
fuel), nitrous oxide (N₂O) (from catalytic converters), and hydrofluorocarbons (HFCs) (from
mobile air conditioners).
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Collectively, passenger cars and light-duty trucks contribute 58 percent of all of the sector's
greenhouse gas emissions. Aviation (13 percent), heavy-duty trucks (16 percent), and rail and
marine (5 percent) are also important emission sources. Other mobile sources, such as
recreational vehicles and farm equipment, account for the remaining 10 percent.
The amount of CO₂ released from fossil fuel combustion is directly related to the quantity of fuel
burned. Fuel efficiency is therefore an important determinant of overall emissions of greenhouse
gases. Although fuel use by today's cars and trucks is much more efficient than it was 30 years
ago, the continuing increase in VMT and the trend toward larger vehicles, such as sport utility
vehicles (SUVs) and minivans, have dampened U.S. progress in reducing transport-related
emissions. Significant growth in air travel is another factor contributing to the sector's increase
in emissions.
Fuel-Efficient Trucks
Initiative
The 21st Century Truck Program is a 10-year research and development partnership that was
announced by Vice President Gore in April 2000. This partnership between the U.S. government
and nine major corporate partners that manufacture trucks, diesel engines, and transmissions
focuses on four types of heavy vehicles: large pickup trucks, urban delivery trucks, transit buses,
and line-haul semi-tractor trailers.
no new As
One goal of the program is to triple fuel economy for all of these vehicles, except the largest
line-haul trucks where the goal is to double fuel economy. The other goal of the program is to
achieve the government's proposed emissions goals of 0.2 g/hp-hr NOx and 0.01 g/hp-hr
particulate matter later this decade.
California's Green School Buses
The Safe School Bus Clean Fuel Demonstration Project is a program of the California Energy
Commission. This four-phase project is designed to demonstrate new clean fuel or high-
efficiency diesel fuel school buses that meet federal safety requirements. The first three phases,
which began in 1990 and ended in 1997, replaced old buses with advanced diesel-, compressed
natural gas-, and methanol-powered buses. These buses were placed at 124 Local Education
Agencies across the state. The schools pledged to keep detailed records of variables such as
miles traveled, fuel used, fuel costs, maintenance and repair costs, and problems encountered.
Reported results were used to assess the merits of each type of vehicle. The results indicated that
natural gas buses are the most reliable and cost-effective. Thus in the fourth and final phase,
which began in 1999 and concluded in 2000, only natural gas buses were distributed. In
[NOT DOE program. Noted A based on
reconciling 2 #5 presented
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15 percent more fuel efficient than the conventional version is. GM further announced that it
intends to be the industry leader on overall fuel economy for light trucks in 2005.
Daimler-Chrysler announced that, if the Federal government offers tax incentives to make
the vehicle cost-effective, it is prepared to bring to market a hybrid version of its Dodge
Durango SUV that would be 20 percent more fuel efficient than its current model. It also
plans to introduce a fuel cell vehicle in 2003 or 2004.
Graphics: include photo of these cars
Revving up Electric Vehicle Incentives
On May 11, 2000, Maryland Governor Parris Glendening signed into law a new package of tax
incentives for energy efficiency and renewable energy technologies. The Clean Energy Incentive
Act is structured to increase the state's market for advanced technologies that save energy or
generate electricity from renewable sources. Among the specific provisions include in this
legislation is a $2,000 reduction in the state titling taxes for buyers of new electric or hybrid
vehicles.
Other Advances in the U.S. Automobile Market
Additional progress in reducing greenhouse gas emissions from the transportation sector was
made when two Japanese automakers introduced advanced technology vehicles into the U.S.
market.
Honda introduced Insight, a two-seater, gasoline-battery hybrid, in December 1999. The
Honda Insight offers fuel economy ratings of 61 mpg city and 70 mpg highway. Honda plans
to sell approximately 6,500 of the cars during 2000.
Toyota introduced Prius, a four- to five-seat compact, gasoline-battery hybrid, in August
2000. Toyota anticipates that the Prius, with fuel economy ratings of 52 mpg city and 45 mpg
highway, will achieve sales on the order of 1,000 cars per month.
In addition, Honda announced plans to introduce hybrids into more of its models in the near
future and to offer a fuel cell vehicle in 2003.
Alternative Fuel Vehicles six
Over the past four years, nearly 80 communities across the country have joined the Clean Cities
program, a voluntary, locally based, public-private partnership that is working to expand the use
of alternatives to gasoline and diesel fuel. Clean Cities participants are accelerating the
deployment of alternative fuel vehicles (AFVs) and building local AFV fueling infrastructure
that can supply alcohol fuels, liquefied petroleum gas, electricity, and natural gas. The Clean
Cities program counts among its successes the AFVs in both public and private fleets,
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plus more than 4,000 alternative fuel refueling stations. In 1999, these vehicles and alternative
fuels displaced approximately 170 million gallons of gasoline and diesel fuel and 0.310
MMTCE. http://www.ccities.doe.gov/
Through its Hydrogen Research Program, the government is accelerating advances in producing
low-cost hydrogen production and storage systems-prerequisites to the widespread use of
hydrogen as a fuel. Given the recent demonstration of low-post, high-performance Proton
Exchange Membrane fuel cell systems by Daimler-Chrysler, Ford Motor Company, and other
companies
http://www.eren.doe.gov/power/hydrogen.html
Relieving Congestion
The Congestion Mitigation and Air Quality Improvement (CMAQ) program is one of the
programs funded by the Transportation Equity Act for the 21st Century (TEA-21), the nation's
largest transportation appropriations bill. CMAQ funds projects that reduce congestion and
improve air quality in areas with low air quality. These projects can involve everything from
public transit to shared-ride programs.
The cities of Dallas and Fort Worth, Texas, converted their public sector vehicles to alternative
fuels with funds from CMAQ. Philadelphia, Pennsylvania, built the Philadelphia Bicycle
Network, which involved identifying bicycle traffic generators, performing traffic and bike
counts, reviewing travel patterns, route analysis, bicycle parking and storage analysis, public
information and awareness, and the design and construction of a city-wide network of bicycle
routes. New York City obtained $1.9 million in CMAQ matching funds to purchase a barge and
provide operating assistance for freight operations to remove 54,000 truck trips annually from
the New York and New Jersey streets.
Better Traffic Lights
Since 1996, Denver, Colorado, has replaced roughly 20,500 traffic lights with light-emitting
diode technology (LED). Traffic signals using LED technology have several advantages over
incandescent bulbs. LED signals use less electricity and last 10 times longer than signals with
traditional bulbs. Because LEDs are made up of hundreds of small diodes, they do not burn out
all at once. Thus LED signals help prevent traffic delays and accidents. Denver officials estimate
that the new signals are saving $430,000 annually and helping the city to avoid the equivalent of
more than 0.002 MMTCE per year.
Mixed-Use Approach
The City of Portland, Oregon, is taking a holistic approach to reducing emissions from
transportation. By developing new housing units in the central city area, the city aims to decrease
the number commuter trips by suburban dwellers. The city estimates that for each 2,500 units of
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Federal Fleets
On April 21, 2000, President Clinton signed Executive Order 13149, Greening the Government
through Federal Fleet and Transportation Efficiency, which directs Federal agencies to take a
leadership role in reducing vehicular petroleum consumption. In particular, by the end of Fiscal
Year 2005, all Federal agencies operating 20 or more motor vehicles within the United States
must develop and implement a strategy for reducing their entire fleet's annual petroleum
consumption by at least 20 percent, relative to FY 1999 petroleum consumption levels.
In setting these targets, the Executive Order further directs the agencies to establish fleets that
make use of alternative fuels a majority of the time by 2005. In addition, agencies must increase
the average fuel economy rating of their light duty vehicle acquisitions by at least 1 mile per
gallon (mpg) by 2002 and 3 mpg by 2005. They are required to explore a variety of other
approaches to reducing fuel consumption, such as substituting cars for light duty trucks,
increasing vehicle load factors, and reducing vehicle miles traveled.
By reducing America's consumption of petroleum some 14 million gallons and reducing
greenhouse gas emissions by an amount equal to 0.160 MMTCE, greening the Federal fleet will
produce energy security and significant environmental benefits to the nation.
Another new Executive Order 13150, Federal Workforce Transportation, will reduce Federal
employee's contribution to traffic congestion and air pollution. This order directs that Federal
agencies in the Washington, D.C., area offer their employees up to $65 per month in transit and
vanpool benefits (increasing to $100 beginning in 2002), that three agencies implement a transit
pass program nationwide, and all agencies allow their employees to exclude from their taxable
wages the costs incurred through the use of mass transportation and vanpools.
Clean Fuels Research
Clean burning fuels have the potential to reduce greenhouse gas emissions significantly. Through
1998, the use of ethanol blends in gasoline is estimated to have displaced 1.53 quads (worth $12
billion) of oil-based fuels, thereby reducing carbon emissions by 5 MMTCE. If Federal biofuels
goals are met by 2010, the emission reductions from using clean fuels will approach 3.4
MMTCE. http://www.ott.doe.gov/biofucls/
annual
On August 12, 1999, President Clinton issued an Executive Order that accelerates federal efforts
to develop bioproducts and bioenergy. In the transportation sector, program goals include the
development of low-cost biomass feedstocks and cost-competitive conversion technologies for
liquid fuel production from agricultural residues, forestry wastes, and energy crops. Since
biofuels produce almost no net carbon on a life cycle basis, they are a promising supply side
option for reducing carbon emissions in transportation.
Clean fuels research also includes the Ultra Clean Transportation Fuels Program. Several
offices are researching near-term petroleum-based transportation fuel options, intermediate
options that are based on petroleum and other fossil fuel feedstocks (e.g., natural gas to liquids,
petcoke, and other carbonaceous feedstock conversion), and long-term options for rencwable
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Greenhouse gas emissions from the agriculture sector can be reduced through implementation of
technologies that improve land and resource management practices; improve energy efficiency
on farms, forests, and ranch lands; abate methane emissions from ruminant animals; and reduce
nitrous oxide emissions from soils.
Graphics: insert managed forest picture here from ag (file: managed forest1 or
managed forest2)
Forest Science and Technology
The government is expanding ongoing research and building on existing collaborations with
industry, landowners, universities, and federal and state agencies to develop the science and
deploy the technology needed for increased carbon sequestration opportunities and sustainable
management of natural resources. The research and demonstration priorities are to increase
sequestration and reduce emissions; develop forestry practices that conserve soil carbon; increase
the potential for soils, forests, and forest products to sequester carbon; develop sustainable
We canrot document or support This #,
biomass production and management systems; improve forest carbon inventory and accounting
systems, among others. For example, the government works with a variety of state, private,
industry, and university cooperators on research on short rotation woody crops, using an
integrated, interdisciplinary approach employing experimental and large-scale plantings.
Bioproducts and Bioenergy[ND25]
Scientific advances in agriculture, forestry, and other biological sciences are making bioproducts
and bioenergy technically feasible and economically viable. In 1999, the Administration
announced new steps to spur biobased technologies that can help grow the U.S. economy,
enhance energy security, and meet environmental challenges, including global warming.
The President issued Executive Order 13134 on Bioproducts and Bioenergy coordinating Federal
efforts to accelerate these 21st century technologies, which can convert sustainably grown crops,
trees, and other biomass into fuels, power, and products. The Administration set a goal of tripling
U.S. use of bioproducts and bioenergy by 2010. Meeting this goal could create $15 to $20 billion
in new income for farmers and rural America, and reduce annual greenhouse gas emissions by an
amount equal to as much as 100 MMTCE- the equivalent of taking more than 70 million cars
off the road. http://www.eren.doe.gov/bioenergy_initiative/pagel.htm
The Executive Order establishes a permanent council of government agency heads to develop a
detailed research program. The order builds on the Administration's record of strong and
consistent support for biobased industries, as indicated by: (1) the electricity restructuring bill
introduced by the Administration earlier in 1999 requiring that 7.5 percent of all U.S. electricity
come from renewable resources by 2010; (2) Executive Order 13101, signed in 1998, instructing
Federal agencies to make use of biobased products; (3) new proposed tax credits for biobased
electricity production; and (4) increased research funding.
NOTE DOE expects to contribute 21MMTE by 2010.
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DROP - TOO SMALL
Rebuild Chicago is a city-operated program that reduces energy use by commercial and
industrial facilities. City energy department staff members provide free energy audits that outline
the most effective energy conservation measures for individual businesses. The city then
provides a grant of up to 25 percent for lighting and 50 percent of other projects for energy
reducing measures. In 1999, participants in the Rebuild Chicago program elimmated 8,063 tons
or XXXXXX MMTCE of greenhouse gas emissions through reductions in the use of electricity
and natural gas. Agencies: what unit is 8,063 tons in? Carbon or carbon dioxide?
of carton
"Energy conservation not only reduces global warming pollution, it also helps local businesses
save money and remain competitive. That's a win-win for the city, and it's just one of the
measures we're pursuing to meet our pledge to cut the emissions that cause global warming."
The Honorable Paul Schell
Mayor, City of Seattle, Washington
Schools Save Energy As Well As Minds
America's schools spend more than $6 billion each year on energy. Schools could save 25
percent by reducing energy consumption through better building design, widely available
energy-efficient and renewable energy technologies, and improvements to operations and
maintenance. A 25 percent reduction in schools' energy use will cut annual U.S. greenhouse gas
emissions by 3 to 4 MMTCE.
EnergySmart Schools helps operators of school buildings create local partnerships to plan and
implement cost-saving improvements. In addition to saving money, the EnergySmart Schools
program is reducing greenhouse gas emissions through gains in energy efficiency and the use of
clean energy technologies. So far, more than 240 such community partnerships have been
formed, involving 2,000 schools. http://www.eren.doe.gov/energysmartschools/
The government's ENERGY STAR® label for schools provides tools for schools to evaluate their
own energy use, find ways to reduce it, and meet indoor air quality standards.
Daniel Boone High School
Daniel Boone High School, located in Washington County, Tennessee, was constructed in 1973
to serve approximately 1,100 students. The school has realized a 34 percent reduction in annual
energy costs since 1995, when a geothermal heating and cooling system was installed. Annual
savings have averaged $82,000. With the installation of the geothermal system, the school also
reduced maintenance costs, improved indoor air quality, and gained control over individual
classroom temperatures. Because the geothermal system was sized to allow for changes, the
school is able to add electric loads easily.
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Dennis Minano
Vice President for Environmental Health and Safety and Chief Environment Officer
General Motors
State and Local Initiatives in the Electricity Sector
These #s do not make sense because, thermal energy, not electricity
Many state and local governments have initiated their own programs to address climate change
issues. Programs operating in Oregon, Idaho, and California are highlighted here.
In 1997 Oregon enacted legislation that authorizes the state's Energy Facility Siting Council to
set CO₂ Emission Standards for New Energy Facilities. Facilities for which the council has set
standards include base-load plants, non-base load (peaking) plants, and nongenerating energy
facilities. The standard for base-load gas plants requires a net emissions rate of 0.675 pounds of
saving are
CO₂ per kilowatt-hour, which is 17 percent below the most efficient plant in operation in the
United States in 1999. Peaking plants must meet a net emissions rate of 0.7 pounds of CO₂ /kWh,
and non-generating facilites must meet a comparabe rate of 0.522 pounds of CO₂ /kWh. Three
power plants have met the standard. One of those is also required to do additional CO₂ offset
projects as a result of an earlier proceeding. The three plants are expected to reduce greenhouse
gas emissions by 198,000 MTCE per year over a 30-year project life. The total CO2 offset
project costs are $12.8 million.
The Flexibility of Choice
According to an Oregon law enacted in 1997 and updated in 2000, energy facility
developers may choose from several options to meet the CO₂ emission standards. These
include building high-efficiency facilities using cogeneration, providing offset projects
that avoid, reduce, or sequester CO2 emissions, or paying a fee of $0.57 per short ton of
excess CO₂, along with an administrative fee. A developer using the "monetary path"
must provide funds to the Climate Trust, an independent, nonprofit organization that
qualifies under the statutory requirements to receive offset funds and acquire CO₂ offsets.
[could be moved to geothermal discussion, below] Geothermal energy produces virtually
negligible greenhouse gas emissions and has been used in Idaho to provide heat and water since
1892. Following the energy crisis of the mid-1970s, geothermal heating gained recognition as a
viable alternative to petroleum-based energy generation. To ensure the sustainability of this
resource, the Idaho Department of Water Resources created the Boise Front Low Temperature
Geothermal Resource Ground Water Management Area.
Currently, four geothermal projects are in the ground water management area: projects at the
City of Boise, the Fort Boise Veteran's Hospital, the Boise Capitol Mall Complex, and the Boise
Warm Springs Water District. These projects are saving an estimated 50.4 gigawatt-hours of
electricity per year, which equates to an annual cost savings of $1 million. Depending on the fuel
type being burned in a conventional power system, using geothermal energy could reduce
greenhouse gas emission by 2,500 to 7,500 MTCE.
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California created a Renewable Resources Trust Fund, administered by the California Energy
Commission, with the purpose of promoting renewable generation and developing a strong
consumer market for renewable energy. The law authorizes the collection of $540 million from
investor-owned utilities to be used as incentives or rebates for buyers, users, producers, and
promoters of renewable energy in the state.
Participation in this program is growing, especially in the new and emerging technology sectors.
The fund provides financial incentives for 10 million megawatt-hours of renewable power per
year, equating to a reduction of approximately 1.6 million MTCE of greenhouse gases, along
with 140 metric tons of SO₂ and 1,727 metric tons of NOₓ, if the electricity were generated via
conventional means.
Electricity Sector Restructuring
A core element of President Clinton's climate change program involves restructuring the
electricity industry in a manner that will reduce greenhouse gas emissions while cutting
consumers' energy bills. The Administration's restructuring proposal includes a requirement that
utilities open up their distribution and transmission wires to all qualified sellers. The proposal
involves using market forces to obtain the most energy from each unit of fuel. Most states have
restructuring activities underway.
The proposal also calls for a Renewable Portfolio Standard to increase the use of electricity from
renewable sources to at least 7.5 percent of sales by 2010. To set an example and also to help
implement a Presidential Executive Order on Greening the Government through Efficient Energy
Management, one agency imposed a Renewable Portfolio Standard on itself, calling for 3 percent
of its total electricity needs to come from non-hydro renewable energy sources by 2005 and 7.5
percent of its total electricity purchases to come from green power by 2010.
The Administration's restructuring proposal also provides for a Public Benefits Fund of $3
billion per year to spur greater investment in energy efficiency, renewable energy technologies,
and nuclear power, and provides a green labeling requirement to inform consumers about clean
energy options. This plan is projected to reduce carbon emissions by roughly 40 to 60 million
MMTCE in 2010 while saving consumers at least $20 billion per year on their electricity bills.
The plan is now under consideration by the U.S. Congress.
Distributed Energy
The U.S. government continues to work with the private sector to develop public-private
partnerships to advance the deployment of renewable energy technologies in the distributed
power system. Utility restructuring, emerging technology, environmental concerns, and an
expanding electricity market are important drivers facilitating the emergence of distributed
generation as an important new energy option.
Resources
Public-private partnerships such as the Distributed Energy Systems program offer the promise of
producing electricity in a fundamentally different way through a dispersed fleet of small-scale
electric generators providing power at or near customer sites to meet specific needs and near the
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grid to support economic operation of existing power stations. Mostly fueled by natural gas,
liquid fuels, or renewables (solar, wind), these dispersed generation resources could bypass
major congested portions of the electric transmission and distribution system. On-site
cogenerated electricity and heat production can allow consumers to use the heat byproduct of
electricity production, saving dollars as well as reducing primary energy loads. [moved from
next para] Distributed systems include biomass-based generators, combustion turbines,
concentrating solar power and photovoltaic systems, fuel cells, wind turbines, microturbines,
engines/generator sets, and storage and control technologies. http://www.eren.doe.gov/der/
Traditionally, energy resources are produced or generated centrally and then distributed to end
users. Moving energy supplies eleser to the point of end use through reeftep photovoltaie
systems or microturbines promises important economic, environmental, and reliability
advantages.
Solar Electricity
The United States is capitalizing on opportunities to expand the use of solar energy. This
greenhouse gas-free technology promises to make a significant contribution to the nation's
energy economy in the future and, by 2010, could help avoid emissions totaling 1.5 MMTCE.
Although the cost of solar technologies has been reduced significantly in the last 15 years, more
technical advances are needed to compete with low-priced fossil fuels in major energy markets.
Toward this end, the U.S. government's solar energy program is providing support for research
by world-class scientists and engineers in industry, universities, and the national laboratories.
The lowest-cost solar power option available today is Parabolic Trough technology. These
systems use curved mirrors to focus sunlight on a receiver pipe, heating the oil within it,
producing steam, and generating electricity. Parabolic-trough technology is being used in nine
power plants that comprise the Solar Electric Generating Systems located in California's Mojave
Desert. The plants have been operated as commercial peak power facilities since 1985 and sell
their power to the local utility, Southern California Edison. The nine plants, which total 354
megawatts of installed capacity, generate enough power to meet the needs of approximately
500,000 people with no emissions of greenhouse gases.
http://www.eren.doe.gov/femp/prodtech/parafial.html
preliminary liminary pledges
The Million Solar Roofs initiative seeks to place solar energy systems on one million roofs by
2010. To date, commitments for over 1,000,000 systems have been made and over 100,000 have
been installed, indicating the potential for widespread market penetration of solar technologies.
President Clinton's Climate Change Technology Initiative includes $120 million in proposed tax
credits to support this program. Meeting the initiative's 2010 goals will reduce carbon emissions
by an amount equivalent to removing 850,000 automobiles from the roads. [change]
http://www.eren.doe.gov/millionroofs/background.huml
The government's Brightfields initiative, launched in 1999, is aimed at using abandoned
industrial sites-known as brownfields-for producing pollution-free solar energy. Projects are
designed to turn environmental losses into economic gains by taking advantage of restructuring
in the electricity sector and making pollution-free solar energy available to consumers. Currently,
Brightfields projects are underway in cities across the United States, including Les Angeles,
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Miami, SanDiego, New Haren CT
Missicapolis, Chicago, and Washington, D.C. The Brightfields model has proven extremely
successful: Redeveloping brownfield sites with solar energy manufacturing benefits local
communities through economic development and environmental protection.
http://www.eren.doe.gov/brightfields/
as a "brightfield"
OWR
A Brighter Future
The New Center for Green Industry in Chicago, Illinois, is an alliance between the City
of Chicago, Commonwealth Edison, the Spire Corporation, and the U.S. government.
The goal is to develop one of the city's brownfields with a factory for manufacturing
solar panels and a solar energy system that will supply some of the company's electricity
needs and serve as a demonstration and educational site. The project will create 100 jobs
in Chicago in manufacturing and supporting industries when it opens its plant in the
winter of 2000.
The New Center for Green Industry solar systems will produce more than 22 million
kilowatts of power annually and spare the region's air almost 25 million pounds of
carbon dioxide over the next five years-the amount produced by driving an automobile
64.5 million miles. In addition, the project has attracted a major solar assembly plant to
Chicago. The plant will produce enough panels to meet local solar demand, and local
production will lead to cost reductions for consumers in the region in addition to
stimulating the market for photovoltaics.
Solar R&D
a 50% reduction in The cost of producing photovoltaics
e
Over the past 20 years, Federal support for Photovoltaic Energy Systems R&D has resulted in
90 seduction for productiby photovoltaise (PV). As a result, between
1994 and 1998, energy produced by PV modules more than doubled, growing from 26
megawatts in 1994 to more than 61 megawatts in 1998. Today, the government is working to
accelerate R&D of the next generation of photoveltaic cells. http://www.eren.doe.gov/pv/
In addition, the Photovoltaic Energy Systems R&D program is increasing research into
buildings-integrated applications and helping to develop new, uncon ventional technologies.
These R&D investments will enable photoveltaies to make significant contributions to the
nation's energy economy in the 21 century. Reducing system costs from about $7 per watt to $3
per watt would accelerate growth of the solar energy market and result in a domestic industry
with billions of dollars in annual sales.
Photovoltaic Manufacturing Technology (PVMat) is a research and development partnership
with members of the U.S. photovoltaics industry. The program, which was initiated in 1990,
aims to reduce costs and extend the world leadership role of the U.S. photovoltaics industry in
manufacturing and developing commercial PV modules and systems. http://www.nrel.gov/pvmat/
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The results of this multiphased, cost-shared project are striking. A recent analysis found that
from 1992 to 1996, module manufacturing costs fell by 56 percent. During this period, the U.S.
manufacturing capacity increased by more than a factor of six. In addition, the U.S. share of the
world market increased from 31 percent in 1992 to about 42 percent in 1996. Continuing on this
course could bring module manufacturing costs down to almost $1.50 per watt in the near future.
Catching Rays by the Lake
The Dangling Rope Marina, on the northern shore of Glen Canyon's popular Lake Powell
in the state of Utah, is a popular rest stop for travelers and tourists. The facility was once
run using a power system that consumed about 65,000 gallons of diesel fuel annually.
Not only was the diesel system old, noisy, and expensive to operate, using it exposed the
area to a potential oil spill.
To find a greener alternative, several private and public organizations teamed up on a
$1.5-million renewable energy project. In 1996, the marina replaced the old diesel power
system with a new 115-kilowatt photovoltaics-hybrid system. This quiet, nonpolluting
array of 384 PV panels is accompanied by a 2.4-megawatt-hour battery bank for storage,
a propane-fueled engine generator for occasional backup power, and a 250-kilowatt DC-
to-AC hybrid power converter.
During the new system's 20-year operating life, it is expected to save as much as $2.3
million in energy costs. Annual greenhouse gas and air pollutant emissions amount to:
2,000 pounds of sulfur dioxide
5,180 pounds of carbon monoxide
27,000 pounds of nitrogen oxides
Roughly 0.0001 MMTCE
The success of the project at Dangling Rope Marina on Lake Powell is just one example
from more than 30 current government photovoltaics electricity projects in 15 states.
Combined Heat and Power
The U.S. government is actively supporting research, development, and deployment of combined
heat and power (CHP) systems. Combined heat and power systems capture waste heat and use it
to heat and cool buildings, or provide steam in industrial processes. The use of waste heat results
in total system efficiencies of 70 to 90 percent-a considerable performance gain over the 33
percent average efficiency of conventional central electricity generating plants. In 1998, the
government launched the Combined Heat and Power Challenge program with the goal of
doubling U.S. combined heat and power capacity by 2010. http://www.oit.doe.gov/chpchallenge/
By substituting the targeted 50 gigawatt of CHP capacity for conventional capacity, annual
greenhouse emissions will be reduced by 30 MMTCE and annual NOx emissions by hundreds of
46
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thousands of tons. Recent analyses have concluded that this goal can be achieved by electric
utility restructuring, and revising tax policy and air regulations to remove barriers.
Leading the Way with CHP
Malden Mills, a fabric manufacturer in Lawrence, Massachusetts, installed a cogeneration
system to replace generating and heating equipment destroyed in a fire. Developed with the
assistance of the Advanced Turbine Systems (ATS) program, the combined heat and power
system will lower the company's annual energy costs and reduce emissions of sulfur dioxide by
99.6 percent, NOx by 83 percent, and CO2 by 26 percent compared with grid-supplied power.
http://www.oit.doe.gov/bestpractices/learn_otbers/pdfs/iuly_99.pdf
Wind Power
over 700
In the 1990s, wind power was the world's fastest growing source of energy. Worldwide, wind-
generating capacity grew 36 percent (3,600 megawatts) in 1999 bringing global wind-generating
capacity to 13,400 megawatts. In the United States 732 megawatts of new capacity was added,
representing a 41 percent increase in capacity for a.tetal of 2,500 megawatts. These wind energy
systems are helping the nation meet its electricity needs with no greenhouse gas emissions. Both
the Federal government and the private sector are working to capitalize on this technology.
about
The U.S. wind industry is completing the research, testing, and field verification needed to
develop fully advanced wind energy technologies that lead the world in cost-effectiveness and
reliability. The Wind Energy Systems program was established to develop advanced wind turbine
technologies capable of reducing the cost of wind energy to 2.5 cents per kilowatt-hour (in 15
mile-per-hour winds) 2002 [need The program's goal is to achieve
10,000 megawatts of installed wind-powered generating capacity in the United States by 2010,
which could displace as much as 10 MMTCE per year. http://www.eren.doe.gov/wind/
5
Wind Power America stayted in June 1999 with a goal of supplying 5 percent of U.S. electricity
through wind technologies by 2020. Meeting this goal will avoid greenhouse gas emissions of
more than 30 MMTCE. In addition, the Wind Power America program will provide a source of
income for U.S. farmers Native Americans, and other rural landowners. As of April 27, 2000,
some 30 Federal agencies had committed to purchase e significant pertion of their electricity
needs from wind energy. http://www.eren.doe.gov/windpoweringamerica/
ing
announced
has
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Harnessing the Great North Wind
The Lake Benton Wind Power Plant was the world's largest wind-generation facility
when it was completed in 1998 by Enron Wind Corporation. This 107-megawatt plant
can generate enough electricity to power 43,000 homes. The facility displaces greenhouse
gases equivalent to removing 50,000 new cars and light trucks from the road. U.S.
facilities totaling more than 160 megawatts in generating capacity that are using Enron
Wind's 750-kilowatt and 550-kilowatt turbines have generated 122 gigawatt hours of
electricity (equivalent to 1.3 trillion Btu of primary energy). Over their lifetimes, the
turbines will displace 110 trillion Btu of primary energy, $246 million in
and reduce emissions by 2.1 MMTCE.
A New "Crop" Sweeps the Plains
Since 1998 more than 260 megawatts of new wind generating capacity have been
installed on farmlands in the Great Plains region of the United States. This new capacity
is not only helping to satisfy the growing demand for clean electricity, it is also
generating benefits in the form of substantial economic gains for farmers, landowners,
and local communities. Wind farming also creates construction and service jobs in rural
regions, and provide a source of income for U.S. farmers, Native Americans, and other
rural landowners [moved sentence] as well a new source of tax revenues for local
municipalities.
Geothermal Power
[Geothermal heat pump material moved to buildings section)
see
Another initiative on renewables is a new public-private partnership launched in 2000,
GeoPowering the West, a commitment to increase dramatically the use of geothermal in the
western United States. The goals are to convert 10 percent of electricity use [or new capacity?] in
the western states to geothermal energy by 2020, increase the number of homes using geothermal
to seven million by 2010, and double the number of states with geothermal facilities to eight by
2008. The benefits will include 20 million tons of atmospheric carbon displaced in 2020.
Green Technology Invades the Army
In 1994 Fort Polk, Louisiana, adapted 4,003 U.S. Army housing units to use geothermal
heat pump (GHP) energy. The resulting energy savings are extraordinary. Fort Polk
achieved a reduction of 43 percent or 7.5 megawatts of peak summer load and improved
its load factor from 52 percent to 62 percent. In addition, service calls on hot summer
days dropped from 90 per day to virtually none, testifying to the reliability of GHP
systems. The U.S. Army saved about 22 percent compared with previous maintenance
costs. The Fort Polk project received Vice President Gore's "Hammer Award" for
"hammering away at building a better government"- one that works better and costs
less.
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President Clinton's FY 2001 Climate Change Budget
"The greatest environmental challenge of the new century is global warming
If we fail to reduce the emission of
greenhouse gases, deadly heat waves and droughts will become more frequent, coastal areas will flood, and
economies will be disrupted. That is going to happen, unless we act. Many people
still believe you cannot cut
greenhouse gas emissions without slowing economic growth. In the Industrial Age that may well have been true.
But in this digital economy, it is not true anymore. New technologies make it possible to cut harmful emissions and
provide even more growth.
-- President Bill Clinton, State of the Union Address, January 27, 2000
Meeting the Challenge of Global Warming. Against a backdrop of growing scientific consensus that the
Earth is warming - and that human activities are at least partly to blame - President Clinton's FY 2001
budget is proposing $2.4 billion (a 43 percent increase over FY 2000 enacted levels) in funding to combat
global climate change. This includes a series of new initiatives, such as accelerated efforts to develop
clean energy sources both at home and abroad and a new Clean Air Partnership Fund to boost state and
local efforts to reduce greenhouse gases and air pollution, as well as a five-year package of tax incentives
to spur clean energy technologies and increased investment for R&D in energy efficient technology and
renewable energy. In addition, the President is proposing more than $1.7 billion for global change
research, for a total package for FY 2001 of over $4 billion.
International Clean Energy Initiative. To help accelerate the development and deployment of clean
energy technologies around the world, President Clinton is proposing $201 million (a more than 100
percent increase over FY 2000 enacted levels) for a multi-agency initiative to encourage open competitive
markets; remove market barriers in developing countries to clean energy technologies; and to provide new
incentives for clean energy technology innovation and export. The initiative will promote U.S. clean
energy exports, create high-value jobs, and assist developing countries in fighting air pollution and climate
change.
Bioenergy & Bio-based Products Initiative. The budget includes $289 million to accelerate the
development of bio-based technologies, which convert crops, trees and other "biomass" into a vast array of
fuels and products - an increase of $93 million over FY 2000 enacted levels. In addition to helping meet
environmental challenges like global warming, this initiative will increase the viability of alternative
energy sources, support farm incomes, and diversify and strengthen the rural economy.
Clean Air Partnership Fund. The President proposes $85 million for a new fund to provide grants to
state and local governments for projects that reduce both greenhouse gases and pollutants like soot, smog,
and air toxics.
Climate Change Technology Initiative (CCTI). The CCTI is a package of targeted tax incentives and
investments aimed at increasing energy efficiency and spurring the broader use of renewable energy. The
package will save consumers money and reduce greenhouse gas emissions at the same time. CCTI
investments have risen substantially each of the past two years. The President's new budget proposes a
still more accelerated effort.
$4.0 billion in Tax Incentives over 5 years. The proposed package contains $4.0 billion over
five years in tax cuts ($201 million for FY 2001) for consumers who purchase energy efficient
products and for producers of energy from renewable sources. This year's CCTI tax package is
$400 million greater than last year's proposed five-year package. Highlights include:
Tax credits for energy efficient homes. Consumers can receive a $1000-2000 credit
toward the purchase of a new energy efficient home: a 20 percent tax credit for the
purchase of selected energy efficient products for homes and buildings. and a $1000-2000
credit for installing a solar energy system.
Tax credits for fuel-efficient cars. The package extends the current tax credit (of up to
$4000) through 2006 for qualified electric and fuel cell vehicles and also includes a tax
credit of $500-3000 for the purchase of a qualifying hybrid vehicle from 2003-2006.
Tax credits for clean energy. The package extends the 1.5 cent per kilowatt hour tax
credit for the production of electricity from wind and closed-loop biomass; provides
credits for open-loop biomass facilities and coal-biomass cofiring; and provides credits for
electricity produced from methane from certain landfills.
$1.4 billion for Energy Efficiency & Clean Energy. The proposed package contains over $1.4
billion in FY 2001 to research, develop, and deploy clean technologies for the four major carbon-
emitting sectors of the economy -- buildings, transportation, industry, and electricity - a 30 percent
increase over the amount appropriated in FY 2000. Highlights include:
Partnership for a New Generation of Vehicles. PNGV is a government-industry effort to
develop comfortable, affordable cars that meet all applicable safety and environmental
standards and get up to three times the fuel efficiency of today's cars. The combined
proposal for PNGV in the FY 2001 budget is $255 million, an increase of $30 million
over FY 2000 enacted levels.
Partnership for Advancing Technology in Housing. PATH is a government-industry
partnership to improve the energy efficiency of new homes by more than 50 percent and to
retrofit 15 million existing homes to make them 30 percent more energy efficient within a
decade. The FY 2001 budget request for building efficiency efforts, such as PATH,
Energy Star, and Building America, totals $275 million, a 42 percent increase over FY
2000 appropriations.
Renewable Energy. The President proposes $410 million for the Department of Energy's
solar and renewable energy programs, a 32 percent increase over the amount appropriated
in FY 2000. The package includes expanded efforts in key renewable technologies, such
as wind, bioenergy, photovoltaics, and geothermal energy.
Cleaner Fossil Fuels. The budget request contains $233 million for R&D to develop next-generation
technologies for coal combustion with much higher energy efficiency and lower greenhouse gas emissions.
Weatherization & State Energy Grants. The budget request includes $191 million -- a $22 million
increase over FY 2000 appropriations -- to deliver energy conservation services to low-income Americans
and to assist state energy offices in addressing their energy priorities.
U.S. Global Change Research Program. The FY 2001 request includes over $1.7 billion for scientific
research to improve our understanding of human and natural forces that influence the Earth's climate
system and to assess the likely consequences of global warming.
2
President Clinton's FY 2001
Climate Change Budget
The President's climate change package for FY 2001 totals over $4.1 billion - an increase of
$760 million from the amount enacted for FY 2000. This includes $2.4 billion for programs
directly aimed at combating global warming - a 43 percent increase over FY 2000 enacted levels.
This includes a series of new initiatives, such as accelerated efforts to promote the development
and deployment of clean energy technologies around the world; a stepped-up program to develop
bioenergy and bio-based products; and a new Clean Air Partnership Fund to boost state and local
efforts to reduce both greenhouse gases and ground-level air pollutants. It also includes the
Climate Change Technology Initiative (CCTI), which mixes tax incentives and direct spending to
spur the research, development, and deployment of energy efficient technology and renewable
energy and other climate-related investments, such as R&D of highly efficient technologies for
the combustion and use of coal and natural gas, weatherization, and state energy grants. The
President is also proposing over $1.7 billion for the United States Global Change Research
Program, to enhance our understanding of the human and natural forces that influence the Earth's
climate system.
Table 1. Climate Change-Related Domestic Programs ($ in Millions)
FY 2000 FY 2001
Enacted
Request
Change
Climate Change Solutions
International Clean Energy Initiative
98
201
+103
Biofuels & Bioproducts Initiative
196
289
+93
Clean Air Partnership Fund
0
85
+85
Climate Change Technology Initiative--tax incentives
I
N/A
201
+201
Climate Change Technology Initiative--investments
1,095
1,432
+337
Other Climate-Related Investments (cleaner coal &
Natural gas; weatherization; state energy grants)
413
424
+11
Subtotal, Climate Solutions
10
1,665
2,386
+721
Global Change Research Program
1,701
1,740
+39
TOTAL
3,366
4,126
+760
I First year of a proposed five year, $4.0 billion package.
2 Subtotal excludes double counts for funds included in new initiatives and cleaner coal which are also part of the
CCTI.
International Clean Energy Initiative
To accelerate the development and deployment of clean energy technologies around the world,
President Clinton is proposing the International Clean Energy Initiative - a $200 million multi-
agency effort (a more than 100 percent increase over FY 2000 enacted levels) to encourage open
competitive markets and remove market barriers to clean energy technologies in developing and
transition countries and to provide new incentives for clean energy technology innovation and
export. This initiative will promote U.S. exports and create high-value jobs, and will assist
countries to power their economic development while fighting air pollution and climate change.
Window of Opportunity for America and the World. Developing country energy use will
overtake that of industrial countries by 2020. These energy technology markets are projected to
total $4 to $5 trillion over the next 20 years and $15 to $25 trillion over the next 50 years.
Developing country energy use is expected to account for three-fourths of the increase in global
energy use between now and 2050.
Advanced, low-polluting energy technologies, developed and manufactured in the United States,
can provide these energy services efficiently, but existing markets often do not value
environmental and efficiency benefits. In addition, environmentally superior options often carry
higher up-front costs, may be unfamiliar, or are perceived as more risky by decision-makers in
developing countries. The initiative builds on a recent set of recommendations by the President's
Committee of Advisors on Science and Technology (PCAST) and is directed at leveling the
playing field between cleaner U.S. energy technologies and services and polluting alternatives.
Real Benefits At Home and Abroad. The initiative will help lay the technical and policy
foundation that will allow developing and transition countries to build a clean energy future,
leapfrogging past the polluting energy technologies used by the industrial countries, while
building competitive markets open to U.S. firms. The goals of this initiative include:
Doubling clean energy technology exports by 2005, creating as much as $5 billion in new
export revenues for U.S. companies and as many as 100,000 new U.S. jobs.
Cutting energy use in targeted country buildings and appliances in half through advanced
building design tools and building equipment codes and standards.
Developing integrated renewable energy technologies that have the potential to power the full
range of energy services for the 2 billion people in developing countries that do not now have
electricity.
Sharply reducing sulfur, particulate, and greenhouse gas emissions by developing advanced
coal-fired power plants and low-cost hydrogen fuels.
Maximizing use of combined heat & power systems through technical and policy assistance.
Reducing methane emissions from pipelines and other fossil sources by an amount equal to
as much as 100 million metric tons of carbon per year by 2005.
Providing technical and policy support to encourage the development of natural gas grids.
Reducing energy use in the industrial sector through the introduction of best practice
methods, including advanced sensors and controls, and energy efficient motor drive systems.
Conducting research in nuclear energy to address cost, waste, safety, and proliferation
concerns.
Providing technical and policy assistance in support of energy sector reform that creates
open, competitive markets while protecting the public interest.
Initiative Structure. This initiative will strengthen efforts to streamline current bureaucratic
procedures to better assist U.S. firms wishing to invest in clean energy projects in developing and
transition countries. This initiative will also encourage public-private partnerships with foreign
counterparts to demonstrate clean energy technologies, drive down their cost, and facilitate
private sector financing for their large-scale deployment. The initiative will employ a range of
proven policy tools, including U.S. technical and policy assistance to developing countries
through personnel exchanges, conducting collaborative R&D with key foreign research groups,
developing integrated renewable energy, energy efficiency, and advanced fossil energy
technologies and pilot projects, and providing a range of trade supports to expand clean energy
exports.
The initiative's requested $100 million increase for these activities includes an additional $46
million for the Department of Energy (DOE); $30 million for the U.S. Agency for International
Development; $15 million for the Export-Import Bank; $5 million for the Trade and
Development Agency; and $4 million for the Department of Commerce. A $3 million increase
in base programs is also requested at DOE, bringing the total increase to $103 million.
Bioenergy & Bioproducts Initiative
President Clinton's FY 2001 Budget includes $289 million to accelerate the development and use
of bio-based technologies. which convert crops, trees, and other "biomass" into fuels, power.
chemicals. and other products. This initiative supports the President's August 1999 Executive
Order 13134 and Memorandum on Promoting Biobased Products and Bioenergy, aimed at
tripling U.S. use of biobased products and bioenergy by 2010. The initiative provides an increase
of more than $93 million (47 percent) over the amounts available for FY 2000, with $49 million
directed towards the Department of Energy (DOE) and $44 million for stepped-up efforts at the
Department of Agriculture (USDA). (Funding in DOE is also considered part of the Climate
Change Technology Initiative.) In addition to this increase in R&D, the Commodity Credit
Corporation will provide $100 million in FY 2000 and up to $150 million in FY 2001 and 2002
in incentive payments to encourage production of biobased fuels. The initiative will increase the
viability of alternative energy sources and help meet environmental challenges like global
warming, while diversifying and strengthening the rural economy.
New Economic Opportunities for a New Century. Continuing advances in forest and farm
technology, molecular biology, and other areas are fueling a revolution in the use of biomass to
make low-polluting products, such as:
transportation fuels, like cellulosic ethanol from agricultural waste;
electricity, by burning wood chips and switchgrass along with coal in existing plants and by
converting paper industry wastes into fuel gases for advanced gas turbines;
commercial products, such as chemicals, glues, paints, packing materials, and textiles.
Already, creative companies such as Cargill-Dow Polymers are making this vision a reality,
recently announcing plans to build a $300 million production facility that will convert corn based
sugars into plastic fibers than can be used to make products that are all natural and
biodegradable.
Meeting the President's goal of tripling U.S. use of bioenergy and bioproducts will add billions
in new income for farmers, producing 50,000 new, high-technology jobs in small processing
plants in rural American and up to 130,000 such jobs in biopower, bioproducts, and biofuels
industries.
Cleaner Energy, Cleaner Environment. Bioenergy and bioproducts can dramatically reduce
greenhouse gas emissions that contribute to global warming. Since crops absorb carbon during
growth, their use for energy and other applications results in near zero net carbon release.
Tripling our use of bioenergy and bioproducts by 2010 will reduce annual greenhouse gas
emissions by up to 100 million tons - the equivalent of taking over 70 million cars off the road.
Making Biomass Competitve With Fossil Fuels. A major goal of this initiative is to make
biomass a viable competitor to fossil fuels as an energy source and chemical feedstock while
protecting the environment. This goal is achievable, but it will require an unprecedented effort to
support research in universities, companies, and our national laboratories. In the past few years,
for example, federal research has developed techniques that greatly accelerate the production of
sugars and other useful chemicals from materials like corn stover and wood. The research
funded under this initiative will ensure a continuing flow of the basic innovations on which such
investments can be made.
Many uses for biomass materials are possible in the near future and this initiative will support
research concepts on a competitive basis. This will include support for integrated systems
capable of processing feedstocks simultaneously into a variety of products such as fuels,
chemicals, and electricity. Much like today's petroleum-based refineries, the mix of products
from these facilities will depend on market conditions. The research aims to understand the basic
chemistry of cellulose and other materials in biomass, and develop new thermal, chemical, and
bio-chemical techniques for converting these materials into useful forms.
Initiative Structure. The President's August 1999 Executive Order instructs DOE, USDA, the
National Science Foundation, the Environmental Protection Agency and other agencies, to work
closely together in supporting the broad range of needed research and development efforts.
These efforts will support research partnerships linking industry, university, and government
research facilities selected on a competitive basis. Key areas of new research activity will
include:
Development of inexpensive systems to break down cellulose into low-cost sugars, allowing
woody and grassy crops and agricultural waste, such as corn stalks, to take the place of
high-value grain and food crops as biofuel feedstocks.
Renewable bioproducts, using multi-disciplinary and university/industry partnerships to
develop and accelerate adoption of possible "leap-frog" technologies for converting crops,
trees and residues into chemical feedstocks and consumer products.
Biopower, promoting both the integration of biomass gasification systems with modern
gas-turbine/steam-turbine generation systems, and the co-firing of biomass with coal.
Expanded Forest Service research on faster-growing trees and the use of small-diameter trees
for commercial, biobased products.
Methane gas recovery pilots to reduce greenhouse gas emissions from livestock operations
and provide assistance to farmers that want to produce or market biobased products.
Expanded Agricultural Research Service research to develop biobased materials from
commodities and bioproducts, and convert biomass to energy.
Competitive resources for research partnerships with universities, complementing the new
Initiative for Future Agriculture and Food Systems announced by USDA earlier this month.
Rural development grants to rural electric cooperatives to develop pilot projects to
demonstrate the commercial viability of small-scale biomass fuel generation, grants for
technical assistance for processing and marketing biobased products, and loans for facilities
and operating capital for organizations engaged in biobased production activities.
Clean Air Partnership Fund
To help protect public health and ease the threat of global warming, President Clinton is
proposing $85 million for the creation of a new Clean Air Partnership Fund. The Fund will
provide grants to states, localities, and tribes to support efforts that achieve reductions in both
greenhouse gas emissions and ground-level air pollutants. First proposed as part of last year's
FY 2000 budget, the Fund will be administered by the Environmental Protection Agency under
existing authority.
Integrated Pollution Control. The Fund will stimulate integrated, cost-effective pollution
control
strategies. It directs new resources to state, local, and tribal governments to finance projects and
programs that achieve accelerated reductions in both air pollutants, such as soot, smog, and air
toxics, and in greenhouse gases.
A Quicker Path to Cleaner Air. By providing new resources for projects that accelerate
pollution reductions, the Fund will enable communities to achieve multi-pollutant clean air goals
sooner and reduce greenhouse gas emissions at the same time.
Technological Innovation. The Fund will help spur both public and private sector innovations
in next-generation pollution control technology.
A Magnet for Local Investment & Innovation. The Fund will encourage public-private
partnerships to demonstrate ways to create a cleaner environment at the local level. The Fund
can be used to support local revolving funds, low-interest loan programs, matching grants, and
other mechanisms that will leverage the original Federal investment, greatly increasing its
impact.
"Win-Win" Clean Air Projects. The Fund will support a wide range of practical projects that
will mean cleaner air, reduced greenhouse gas emissions, and real savings for taxpayers and
consumers. These could include projects such as building combined heat and power facilities
that put waste heat to work, reducing emissions of both sulfur dioxide and carbon dioxide;
retrofitting municipal buildings to make them more energy efficient, reducing pollution resulting
from electricity generation; and upgrading municipal vehicle fleets to make them more fuel
efficient.
Climate Change Technology Initiative:
$4.0 Billion in Tax Incentives
The President is proposing a new $4.0 billion package in tax incentives over five years to help
reduce greenhouse gas emissions by spurring the purchase of energy efficient products and the
use of renewable energy (see Table 2). This year's CCTI tax package is $400 million greater
than last year's proposed five-year package.
Table 2. CCTI Tax Incentives ($ in Millions)
Revenue Effect
Total
FY 2001
FY01-05
Homes and Buildings
Provide tax credit for energy efficient building equipment
-18
-201
Provide tax credit for new energy efficient homes
- 82
-633
Provide tax credit for solar energy systems
-9
-132
Vehicles
Extend tax credit for electric and fuel cell vehicles and provide
tax credits for qualified hybrid vehicles
0
-2078
Clean Energy
Extend tax credit for electricity produced from wind and closed-
loop biomass; provide credits for open-loop biomass facilities
and coal-biomass cofiring; and provide credits for methane from
certain landfills
-91
-976
Industry
Provide 15-year recovery period for distributed power property
-1
-10
TOTAL*
-201
-4030
*Totals may not add due to rounding.
HOMES AND BUILDINGS
Tax credit to consumers who purchase new energy efficient homes. To encourage the
purchase of new energy efficient homes, consumers would receive a tax credit of $1,000 for
homes purchased from 2001-2003 that use at least 30 percent less energy than the standard
under the 1998 International Energy Conservation Code (IECC) and a credit of $2,000 for
homes purchased from 2001-2005 that use at least 50 percent less energy than the IECC
standard.
Tax credit for energy efficient equipment in new and existing homes or buildings. This
credit will encourage the purchase of electric heat pump water heaters, natural gas heat
pumps, and fuel cells. The credit would apply to both residential and commercial equipment.
The credit would be 20 percent of the cost of the investment, subject to a cap, for equipment
purchased from 2001-2004.
Tax credit for solar energy systems. A 15 percent tax credit will encourage the purchase by
consumers and businesses of solar energy systems. The maximum credit would be $2,000 for
rooftop photovoltaic systems placed in service from 2001-2007 and $1,000 for solar water
heating systems placed in service from 2001-2005.
VEHICLES
Tax credits for electric, fuel cell, and qualified hybrid vehicles. Cars and light trucks
(including minivans, sport utilities, and pickups) currently account for 20 percent of
greenhouse gas emissions. Tax credits for electric, fuel cell, and hybrid vehicles will help to
move advanced technologies from the laboratory to the highway. These technologies can
significantly reduce emissions of carbon dioxide, the most prevalent greenhouse gas.
-- Extend the current tax credit for electric vehicles and fuel cell vehicles. Under
current law, a 10 percent credit, up to $4,000, is provided for the cost of qualified electric
vehicles and fuel cell vehicles. The credit begins to phase down in 2002 and phases out
in 2005. The President's proposal would extend the tax credit at its $4,000 maximum
level through 2006.
-- Tax credits for hybrid vehicles. The credit - available for all qualifying vehicles,
including cars. minivans, sport utility vehicles. and pickup trucks - would range from
$500 to $3,000 for qualified hybrid vehicles purchased from 2003-2006, depending upon
the vehicle's design performance.
CLEAN ENERGY
Tax credit for electricity produced from wind. Current law encourages the production of
electricity from wind, which emits no greenhouse gases, through a tax credit of 1.5 cents per
kilowatt hour (adjusted for inflation after 1992). The current tax credit covers facilities
placed in service before January 1, 2002. The President proposes a 2.5-year extension of this
tax credit.
Tax credits for electricity produced from biomass. Biomass refers to trees, crops and
agricultural wastes used to produce power, fuels or chemicals. This package of credits would:
-- Extend current "closed-loop" biomass credit. This proposal extends for 2.5 years
the current 1.5 cent per kilowatt hour tax credit (adjusted for inflation after 1992), which
covers facilities placed in service before January 1, 2002.
-- Provide credits for "open loop" biomass facilities. This proposal expands the
definition of biomass eligible for the 1.5 cent tax credit to include certain forest-related
resources and agricultural and other sources for facilities placed in service from 2001-
2005, and provides a 1.0 cent credit for electricity produced from 2001-2003 from
facilities placed in service prior to January 1, 2001.
-- Provide a credit for cofiring biomass and coal. This proposal adds a 0.5 cent per
kilowatt hour tax credit for electricity produced by cofiring biomass in coal plants from
2001-2005.
-- Provide credit for methane from landfills. This proposal adds a 1.5 cent per kilowatt
hour credit for electricity produced from landfills not subject to EPA's 1996 New Source
Performance Standards/Emissions Guidelines (NSPS/EG) and 1.0 cent per kilowatt hour
for landfills subject to NSPS/EG. Qualified facilities would be facilities placed in service
after December 31, 2000 and before January 1, 2006.
INDUSTRY
15-year recovery period for distributed power property. The development of distributed
power technologies has made it possible to generate electricity locally at dispersed industrial,
commercial, and residential locations. Such technologies can be more energy efficient and
generate fewer greenhouse gases than conventional generation methods. This proposal would
simplify and rationalize the current depreciation system by assigning a single 15-year
recovery period to distributed power property.
Climate Change Technology Initiative:
$1.4 Billion for Efficient Energy and Clean Energy
The President's FY 2001 budget proposes over $1.4 billion for the research, development, and
deployment of renewable energy technologies, energy efficient products and buildings that will
help reduce U.S. greenhouse gas emissions. This represents a $337 million increase (30 percent)
over FY 2000 spending (see Table 3). The President's proposed investment package covers the
four major carbon-emitting sectors of the economy -- buildings, transportation, industry, and
electricity -- as well as carbon sequestration (see Table 4). The following sections highlight
selected programs in each of these areas of effort. The full agency programs extend well beyond
what is described here.
Table 3. CCTI Funding by Agency ($ in Millions)
FY 1999
FY 2000
FY 2001
Change
Enacted
Enacted
Request
from 2000
Energy
902
980
1,169
+189
EPA
109
103
227
+124
Housing & Urban Development
10
10
12
+2
Agriculture
0
0
24
+24
Commerce
0
2
0
-2
TOTAL*
1,021
1,095
1,432
+337
*Totals may not add due to rounding.
Table 4. CCTI Funding by Area of Activity ($ in Millions)
FY 1999
FY 2000
FY 2001
Change
Enacted
Enacted
Request
from 2000
Buildings
176
194
275
+81
Transportation
285
309
382
+73
Industry
187
189
251
+62
Electricity
310
321
406
+85
Carbon Sequestration
14
30
52
+22
Management, Planning & Analysis
48
51
65
+14
TOTAL*
1,021
1,095
1,432
+337
* Totals may not add due to rounding.
BUILDINGS
Partnership for Advancing Technology in Housing. PATH is a partnership between the
Federal government and building industry to develop and deploy housing technologies to
make new homes 50 percent more energy efficient and to make at least 15 million
existing homes 30 percent more energy efficient within a decade. PATH has established
five pilot communities in Denver, Los Angeles, Pittsburgh, and Tuscon. The program
coordinates work in the Department of Housing and Urban Development, the Department
of Energy (DOE), the Environmental Protection Agency (EPA), FEMA, the Department
of Commerce and other agencies, ensuring, for example, that research conducted in
DOE's enhanced residential buildings program is quickly transferred into practice. The
FY 2001 budget request for building efficiency efforts, such as PATH, Energy Star, and
Building America, totals $275 million, a 42 percent increase over FY 2000
appropriations.
Energy Efficient Appliances and Products. Various DOE and EPA programs aim to
promote the dissemination of energy efficient appliances and products:
-- DOE will accelerate its program to establish energy efficiency standards for
commercial heating and cooling, water heaters, and electrical distribution
transformers, and will begin efforts to harmonize international energy-efficiency
standards and test methods to promote exports of efficient U.S. products.
-- EPA and DOE's Energy Star Products program saves consumers money and
reduces greenhouse gas emissions at the same time by promoting the use of
energy efficient products - everything from computers to refrigerators to central
air-conditioning units. New funding will support the launch of new Energy Star
product lines and will promote the Energy Star labeling program in 6-10 export
markets.
Energy Efficient Commercial Buildings. DOE and EPA work in partnership with
industry to research, develop, and deploy new technologies and practices to improve the
energy performance of commercial buildings. Participants include the Empire State
Building. the World Trade Center, and Chicago's Sears Tower. Buildings in the top 25
percent in energy efficiency qualify for EPA's "Energy Star Buildings" label.
Energy Smart Schools/Energy Star Label for Schools. DOE and EPA have two
programs that are working in coordination to improve energy efficiency in U.S. primary
and secondary schools, bringing together public and private sector resources to cut
schools' energy bills so that the savings can be reinvested in students and their education.
TRANSPORTATION
Partnership for a New Generation of Vehicles. PNGV is a government-industry effort
that aims to develop attractive, affordable cars that meet all applicable safety and
environmental standards and get up to three times the fuel efficiency of today's cars.
Since 1993, great strides have been made in producing lower-cost, light-weight materials,
inexpensive fuel cells, and advanced internal combustion engines for use in hybrid
vehicles. The program aims to produce a prototype mid-sized family car capable of 80
miles per gallon with a two-thirds reduction in carbon emissions by 2004. In January
2000, the auto-industry partners unveiled their PNGV "concept cars" at the Detroit Auto
Show, which keeps the program on schedule for meeting its 2004 goal. The FY 2001
budget includes $255 million for PNGV-related work, an increase of $30 million over the
amount appropriated for FY 2000.
Light and Heavy Trucks. Similar government-industry efforts are aimed at developing
cleaner, more efficient diesel engines for both light and heavy trucks.
-- By 2003, DOE aims to develop advanced diesel cycle engine technologies for
pickup trucks, vans, and sport utility vehicles which achieve at least a 35 percent
fuel efficiency improvement relative to current gasoline-fueled trucks while
meeting strict emission standards.
-- By 2004, DOE, in coordination with EPA and the Department of Defense, aims
to develop engine and vehicle technologies for heavy trucks that will increase
the fuel economy to 10 mpg from the current average of 7 mpg.
INDUSTRY
Industries of the Future. This DOE program works cooperatively with the nation's most
energy-intensive industries - such as aluminum, glass, chemicals, forest products, mining,
petroleum refining, and steel - developing technologies that increase energy and resource
efficiency. Promising collaborative efforts include improvements in the process of
making steel, pulp and paper, and other energy-intensive products that could dramatically
increase efficiency, lower greenhouse gas emissions, and improve competitiveness.
Industrial Combined Heat and Power (CHP) Systems. DOE is developing new
industrial CHP systems to capture thermal heat would otherwise be wasted. These
systems are expected to be 15 percent more energy efficient and 80 percent cleaner than
conventional power systems and cut electricity costs by 10 percent. In addition, EPA and
DOE are also working to eliminate barriers to the rapid dissemination of combined heat
and power technology.
Voluntary Industrial Partnerships. EPA will expand its industry partnership programs,
such as Climate Wise and the Voluntary Aluminum Industrial Partnership, to
encourage businesses to take advantage of cost-effective emissions reductions
opportunities -- including emissions of the most potent greenhouse gases. such as
methane, perfluorocarbons (PFCs), hydrofluorocarbons (HFCs). and sulfur hexaflouride
(SF6).
Agriculture and Forestry. The Department of Agriculture (USDA) will undertake R&D
and support demonstration projects aimed at both lowering greenhouse gas emissions
from agriculture and forestry and reducing their vulnerability to climate change.
-The Natural Resources Conservation Service will invest $3 million in projects
to demonstrate and test various means of reducing greenhouse gas emissions in
agriculture, such as compost-based waste-handling facilities, rotational grazing
systems, and improved feed and forage systems.
--The Agricultural Research Service will devote $8.5 million towards climate
change related activities, including the development of new technology and
expertise for reducing agriculture's vulnerability to a changing climate. Field
experiments will seek to measure various potential effects of climate change, such
as varying amounts and patterns of rainfall on forage production.
The FY 2001 budget also includes important USDA funding for developing advanced
biomass energy technologies; R&D and demonstration projects for carbon sequestration;
research to study the role of farms, forests, and other natural or managed lands in
capturing and storing carbon; and a comprehensive U.S. soil carbon inventory (see p.16
below).
ELECTRICITY
Photovoltaic (PV) Energy Systems. Over the past 20 years, Federal R&D has resulted in
a 90 percent cost reduction in solar photovoltaics. DOE will accelerate R&D of the next-
generation photovoltaic cells; increase manufacturing R&D; increase research in
buildings-integrated applications; and fund efforts to develop new, unconventional
technologies.
-- Million Solar Roofs. In June, 1997, the President announced an initiative to
encourage the installation of one million solar systems by 2010, which would
reduce carbon emissions equivalent to the annual emissions from 850,000 cars. To
date, DOE has received commitments for over 900,000 solar rooftop installations.
In FY 2001, DOE expects 40,000 systems to be installed under this program.
bringing the total to 90,000.
-- Technology Advances. By 2004, DOE aims to increase the efficiency of thin-
film PV modules in multi-megawatt production from 7 percent to 12 percent and
to reduce module manufacturing costs by 40 percent (from $2.50/watt to
$1.50/watt). Specific performance measures for FY 2001 include achieving 14
percent stable efficiency in prototype thin-film modules and, in a new initiative
begun in FY 2000, identifying at least three promising non-conventional PV
technologies for further development.
Biomass Power. DOE supports biopower systems R&D addressing three major
technology areas: co-firing biomass with fossil fuels such as coal and natural gas, small
modular biopower systems, and advanced biomass gasification. This work is also
included in the Bioenergy and Bioproducts Initiative described in above (see pp.4-5
above).
Wind Powering America. This initiative, announced in June 1999, will accelerate
DOE's research, development. testing and field validation of next-generation wind
technologies, with a goal of supplying 5 percent of U.S. electricity through wind
technologies by 2020. This will be supported by an aggressive R&D program that will
reduce the cost of electricity in favorable wind sites to 2.5 cents per kilowatt hour by
2002, and will move specialized cold-weather wind turbines from development to
demonstration in 2000, leading to commercialization in 2001.
Hydrogen. DOE will accelerate research on low-cost hydrogen production and storage,
prerequisites to the widespread use of hydrogen as a fuel.
High Temperature Superconductivity. DOE supports industry-led projects to capitalize
on recent breakthroughs in superconducting wire technology, aimed at developing devices
such as advanced motors, power cables, and transformers. These technologies would
allow more electricity to reach the consumer without an increase in fossil fuel input.
CARBON SEQUESTRATION
R&D for Sequestration. Research initiatives are being funded to find ways to sequester
(store) carbon. Examples include:
-- Enhancing Forest and Farmland Sinks. The Forest Service, in conjunction
with other USDA agencies, will spend $3 million for R&D and demonstration
projects for optimizing forest, farmland, and rangeland carbon sinks. The focus of
such projects will include storage of carbon in forest soils and increased durability
and use of wood products to sequester carbon.
-- Enhancing natural geological and oceanic processes. DOE will support
research into the feasibility of capturing and storing carbon dioxide in
underground geological structures and in the deep ocean.
Other Climate-Related Investments
There are a number of additional programs for which funding is proposed in the FY 2000 budget
that - while not part of the Climate Change Technology Initiative (CCTI) per se - contribute to
improving energy efficiency and reducing greenhouse gas emissions. These programs include:
Cleaner Coal and Natural Gas. The FY 2000 budget includes a total of $232 million (of
which $56 million is part of CCTI) to support the Department of Energy's (DOE)
aggressive R&D effort to develop next-generation technologies for the combustion and
use of coal and natural gas. For example, research and development of integrated
gasification combined cycle technology could lead to ultra-high efficiency coal plants
with significantly lower greenhouse gas emissions.
Low Income Weatherization and State Energy Grants. These DOE programs facilitate
energy efficiency investments at the State and local level. The Weatherization
Assistance Program, for example, delivers energy conservation services, such as
insulation, to low-income Americans, reducing energy costs for consumers, improving
health and safety, and reducing carbon emissions. The total FY 2001 budget request for
these two programs is $191 million - a $22 million increase over FY 2000
appropriations.
Agricultural & Forestry Conservation Programs. The Administration's 2001 Farm
Safety Net Initiative proposes an increase of $1.3 billion in FY 2001 funding for
Department of Agriculture conservation programs. Many of these same programs have
the co-benefit of reducing carbon emissions resulting from agriculture and forestry and
enhancing the ability of "sinks," such as forests and farmlands, to sequester or store
carbon. This includes programs such as the Conservation Reserve Program, the
Environmental Quality Incentives Program, and the Farmland Protection Program.
In general, these programs assist farmers, ranchers, and other landowners in conserving
and improving soil, water, and other natural resources associated with rural land.
U.S. Global Change Research Program
The United States Global Change Research Program (USGCRP) seeks to provide a sound
scientific understanding of both the human and natural forces that influence the Earth's climate
system. USGCRP science results provide useful information for environmental decision-making
on issues such as climate change, ozone depletion, changes in ecosystems, and land use. This
multi-agency effort is coordinated through the National Science and Technology Council.
For FY 2001, the President is requesting $1.74 billion for the USGCRP, an increase of $39
million above the amount enacted for FY 2000. $843 million is for scientific research and
improvements to surface-based monitoring, (an increase of $79 million, or about 10 percent).
$923 million is for NASA's development of Earth observing satellites to monitor climate change
and other global changes (a decrease of $34 million, reflecting the phasing of funding for large
development projects). Important USGCRP budget highlights include:
Improved Climate Observations. The FY 2001 budget provides $26 million to enhance
NOAA surface-based observations, including creation of a climate reference network to
provide, for the first time, automated, simultaneous, and ideally located measurements of
changing temperatures, precipitation, and soil moisture. Measurements of atmospheric trace
gases, aerosols, ocean temperatures, and ocean currents will also be expanded.
The Global Water Cycle. The FY 2001 budget provides $308 million (an increase of $35
million, or about 13 percent) for research on changes in the Earth's water cycle, which is one
of the primary determinants of the Earth's climate. The water cycle is emerging as a top
research priority because changes appear to occurring already. The launch of NASA's EOS
Aqua spacecraft in December 2000 will support this research by provide new global
measurements of humidity, cloud properties, precipitation, snow, and sea ice.
Ecosystem Changes. The FY 2001 budget provides $224 million for research on the
potential impacts of climate change and other stresses on forests, coastal areas, croplands,
and other ecosystems (an increase of $19 million, or 9 percent). New studies will improve
our understanding of the relationships among land cover, land use, climate, and weather, and
help identify "thresholds" for significant changes in ecosystems.
Carbon Cycle Initiative. The FY 2001 budget request continues strong support for the multi-
agency carbon cycle science initiative begun in FY 2000, providing $227 million (an increase
of $23 million or 11 percent). This request includes funds to study how carbon cycles
between the atmosphere, the oceans, and land, and the role of farms, forests, and other natural
or managed lands in capturing carbon. Such carbon "sinks" may help the United States and
other nations offset greenhouse gas emissions. Key agencies include the Departments of
Agriculture (USDA), Energy, Interior, NASA, the National Science Foundation, and the
Smithsonian Institution. Included in the request is $13.5 million (an increase of over $12
million) to significantly expand USDA Natural Resources Conservation Service soil carbon
inventory and analysis efforts.
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TAKING
ACTION
ON
CLIMATE
CHANGE
/
United States: Taking Action on Climate Change
TABLE OF CONTENTS
Executive Summary
1
I. New Federal
5
Initiatives
Executive Order on Bio-Based
7
Products and Bioenergy
Federal Energy Efficiency
11
Executive Order
Wind Powering
17
America Initiative
Brightfields Initiative
19
II. States and
21
Localities Taking
Action
III. U.S. Companies
25
Moving Forward
IV. Ongoing
31
U.S. Domestic
Programs
i
United States: Taking Action on Climate Change
EXECUTIVE SUMMARY
C
limate change threatens the United States and all nations. To help address this
threat, the United States is taking significant new steps to reduce greenhouse gas
emissions. During the past year, President Clinton launched initiatives on bioenergy,
wind and solar energy, and Federal energy efficiency. In addition, a growing number
of state and local governments and private companies are stepping forward to address
climate change with prudent, creative, cost-effective strategies to reduce greenhouse
gas emissions. At the same time, the United States continues to invest more than
$1 billion per year in research and development on technologies that will help reduce
greenhouse gas emissions. In short, from city council chambers to corporate board-
rooms, the United States is mobilizing against global warming-the greatest environ-
mental challenge of the 21st century.
New Initiatives
Wind Powering America. This new
In 1999, the Clinton Administration
U.S. Department of Energy (DOE)
launched four initiatives that will help
initiative seeks to supply 5 percent of
reduce greenhouse gas emissions in the
U.S. electricity through wind tech-
United States:
nologies by 2020, which would
avoid emissions of 35 MMTCE.
Bioenergy. In August 1999, the
Brightfields. DOE announced a
President signed an Executive Order
program aimed at using former
to accelerate the development of bio-
industrial sites contaminated with
based industries. The President set a
toxic waste for producing pollution-
goal of tripling U.S. use of bioenergy
free solar energy.
and bioproducts by 2010. This
would reduce annual greenhouse gas
These new Federal initiatives on climate
emissions by an amount equal to as
are set forth in the first section of this
much as 100 million metric tons of
report.
carbon (MMTCE).
U.S. States, Localities,
Federal energy. In June 1999,
and Companies
President Clinton issued an Execu-
Moving Forward
tive Order requiring each Federal
In addition to actions at the Federal
agency to reduce greenhouse gas
level, many states, cities, industries, and
emissions from energy use in build-
sectors of the U.S. economy are moving
ings by 30 percent below 1990 levels
forward on their own to address climate
by 2010.
change, understanding that the threat is
real and prudent action is called for.
1
United States: Taking Action on Climate Change
EXECUTIVE SUMMARY
These actions are described in more
emissions reductions of almost
detail in Parts II and III of this report.
40 MMTCE over the next decade.
Federal efforts focused on non-CO₂
Ongoing Federal
Efforts
greenhouse gases have locked in
emissions reductions of well over
The foundation of President Clinton's
100 MMTCE through 2010. In so
environmentally and economically
doing, they are expected to maintain
sound plan for reducing U.S. greenhouse
methane emissions at or below 1990
gas emissions remains the Climate
levels through 2010. Not counting
Change Technology Initiative (CCTI)-
applications to replace ozone-depleting
a vigorous five-year, $6.3 billion pro-
substances, they will also maintain
gram of tax incentives and investments
industrial emissions of hydrofluorocar-
focusing on energy efficiency and renew-
bons (HFCs), perfluorocarbons
able energy technologies. Last year, in
(PFCs), and sulfur hexafluoride (SF₆)
Fiscal Year 1999, President Clinton and
at or below 1990 levels through 2010.
Vice President Gore secured more than
$1 billion in CCTI funding. These
Other CCTI investments have a more
CCTI investments already are yielding
long-term R&D focus and can be
real results and real emissions reductions.
expected to yield even greater reductions
For example:
in the decade ahead. Among these are:
the Partnership for a New Generation of
Federal energy efficiency standards for
Vehicles, a government-industry effort to
equipment and appliances, such as
develop cars that achieve up to three
heating and cooling equipment,
times the fuel efficiency of today's cars;
water heaters, lighting, refrigerators,
the Partnership for Advancing Technology
clothes washers and dryers, and
in Housing, which aims to improve the
cooking equipment will avoid cumu-
energy efficiency of new homes by more
lative emissions of more than 225
than 50 percent and to retrofit 15 mil-
MMTCE by 2010.
lion existing homes to make them
30 percent more energy efficient within
Federally led voluntary programs,
a decade; and research partnerships for
such as ENERGY STAR® labeling for
key renewable energy technologies such
high efficiency products and build-
as wind, photovoltaics, geothermal, and
ings, already have resulted in more
biomass.
than $3 billion in technology invest-
ments by U.S. companies, con-
In addition to the CCTI, other important
elements of the President's October 1997
sumers, and state and local organiza-
tions. These investments will deliver
plan include a proposal to restructure the
electricity industry by introducing compe-
tition that will provide incentives for
2
United States: Taking Action on Climate Change
EXECUTIVE SUMMARY
energy efficiency; a wide range of industry
aimed at increasing energy efficiency
consultations with key energy-intensive
and spurring the broader use of
industry sectors to improve energy use
renewable energy; working with
and reduce emissions; a commitment to
industry and others to promote sen-
work with the U.S. Congress and industry
sible solutions; and employing mar-
on legislation to reward companies that
ket-based mechanisms to ensure
take early action to reduce their emissions;
cost-effective reductions. All of the
reducing the Federal government's own
materials included in this report
greenhouse gas emissions; and a strong
are part of Stage 1 of the
program of scientific research to further
President's plan.
our understanding of human and natural-
ly induced changes in the Earth's environ-
Stage 2: Review and evaluation in
ment and assess the likely consequences of
preparation for a domestic emissions
global warming.
trading system. Under the President's
plan, the United States will review its
These ongoing Federal programs and poli-
progress beginning around 2004 and
cies to address climate change are set forth
evaluate next steps as it moves towards
in more detail in Part IV of this report.
a market-based permit trading system
for carbon emissions. Emissions trad-
Part of a Larger
ing will harness the power of the mar-
Three-Stage Plan
ket to achieve a national greenhouse
gas target at the lowest possible cost.
The programs and policies set forth in this
The United States is using emissions
report are part of the United States' longer-
trading successfully to reduce the pol-
term response to the challenge of climate
lution that causes acid rain, exceeding
change. In 1993, following the U.S. ratifi-
environmental objectives while reduc-
cation of the UN Framework Convention
ing the costs to 50 percent below the
on Climate Change, President Clinton
expected level.
launched the Climate Change Action Plan
(CCAP), emphasizing a series of win-win
Stage 3: Binding targets through a
voluntary initiatives for reducing green-
domestic emissions trading pro-
house gases. These efforts were expanded
gram. Beginning in 2008, an emis-
significantly in October 1997, prior to the
sions trading program would be
Kyoto conference, when the President out-
implemented to cut emissions in the
lined his more comprehensive, three-stage
major greenhouse gas-emitting sectors
plan for reducing U.S. emissions. The
of the U.S. economy: buildings, trans-
three stages of the plan are:
portation, industry, and electricity.
Stage 1: Priming the pump through
The President's three-stage plan recog-
R&D investments and tax incentives
nizes the long-term nature of efforts to
address climate change. It allows us to
3
United States: Taking Action on Climate Change
EXECUTIVE SUMMARY
monitor our progress and re-assess our
the lower-emitting service and high-
success in reducing emissions, the state
technology sectors.
of scientific knowledge, and the response
of the U.S. economy. The plan's graduat-
The Way Forward
ed approach to emissions reduction will
allow the United States to exploit the
At the same time, we realize that it is far
opportunities that exist for win-win
too soon to conclude that the 1998
reductions that both help the environ-
emissions figures represent a trend, and
ment and save money for consumers,
there is certainly no room for compla-
businesses, and governments.
cency. Reducing emissions will continue
to be an uphill climb-both for the
United States and the entire world.
1998 Emissions
In 1998, greenhouse gas emissions in the
In the long run, the President's balanced
United States grew only slightly
approach to the challenge of climate
(0.4 percent) despite strong U.S. eco-
change will allow the United States to
nomic growth (3.9 percent). Although
continue to grow our economy and pro-
there were several one-time contributing
tect the environment at the same time.
factors (including mild weather that
reduced the demand for heating fuel),
As President Clinton has said: "One of
the 1998 emissions figures are encourag-
the big ideas the world has to abandon is
ing. Clearly, these numbers demonstrate
the idea that the only way to build a
that economic growth and emissions
modern prosperous economy is with the
need not move in lockstep. The 1998
industrial energy use patterns of a for-
figures are consistent with a long-term
mer era. It is not true."
movement in the U.S. economy toward
4
United States: Taking Action on Climate Change
PART I: NEW FEDERAL INITIATIVES
O
ver the past year, the Clinton Administration introduced a series of new
Federal initiatives to address the challenge of climate change. They include:
Executive Order on Bio-Based Products and Bioenergy
Executive Order on Federal Energy Efficiency
Wind Powering America Initiative
Brightfields Initiative
This section discusses each of these initiatives in turn.
Measuring Greenhouse Gas Emissions and
Emissions Reductions
Greenhouse gas emissions can be
add together emissions reductions for
expressed either in terms of metric tons
all programs listed in this report to
of carbon equivalent (MTCE) or in
arrive at an estimate of total U.S. reduc-
metric tons of carbon dioxide equiva-
tions. Furthermore, estimates from gov-
lent. This report uses MTCE or million
ernment agencies and industry sectors
MTCE (MMTCE). To convert
rely on different baselines and cannot be
carbon equivalents to carbon dioxide
directly compared. There is a substantial
equivalents, multiply by 3.67.
amount of uncertainty associated with
any of these projections because the
Because of the interaction effects of
estimates attempt to quantify projected
programs designed to reinforce each
technology adoption more than a decade
other, it would not be appropriate to
into the future.
5
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW EXECUTIVE ORDER
ON BIO-BASED PRODUCTS AND BIOENERGY
O
n August 12, 1999, President Clinton announced new steps to spur bio-based
technologies that can help grow the U.S. economy, enhance U.S. energy security,
and meet environmental challenges, including global warming. The President issued
Executive Order 13134 coordinating Federal efforts to accelerate these 21st century
technologies-which can convert sustainably grown crops, trees, and other "biomass"
into fuels, power, and products. He also set a goal of tripling U.S. use of bioenergy
and bioproducts by 2010. Meeting this goal could create $15 to $20 billion in new
income for farmers and rural America, and reduce annual greenhouse gas emissions
by an amount equal to as much as 100 million metric tons of carbon (MMTCE)-
the equivalent of taking more than 70 million cars off the road.
What the Executive
and environmental potential of bio-based
Order Does
industries. The new Executive Order:
Scientific advances in agriculture, forestry,
and other biological sciences are making
Establishes a permanent council con-
bioenergy and bioproducts technically
sisting of the Secretaries of Energy
feasible and economically viable. Recent
and Agriculture, the Environmental
reports and studies concluded that U.S.
Protection Agency Administrator,
government support for research is
the Director of the National Science
essential to realizing the full economic
Foundation, and other agency heads
Biomass: Clean Renewable Energy for the 21st Century
The term biomass refers to trees, crops,
energy and other applications results
and agricultural, forestry, and other
in near-zero net carbon release. Thus,
organic waste materials that can be
substituting sustainably grown bio-
used to make fuels, chemicals, and
mass for fossil fuels can dramatically
electricity. Biomass is a clean and
reduce greenhouse gas emissions that
renewable source of energy. It can be
contribute to global warming, while
used to fuel cars, power factories, and
also reducing emissions of nitrogen
create a host of chemicals and other
oxides (NOx), sulfur oxides (SOx),
everyday products. Energy from bio-
and other pollutants. In addition, the
mass sources-mostly from wood and
deep-rooted plants commonly used
wood waste-currently accounts for
for biomass, such as poplar, willow,
about 3 percent of the total U.S. ener-
and switchgrass, are helpful in control-
gy supply. Since biomass crops absorb
ling erosion, filtering chemicals from
carbon during growth, their use for
water runoff, and slowing floodwaters.
7
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW EXECUTIVE ORDER
ON BIO-BASED PRODUCTS AND BIOENERGY
to develop a detailed research program
USDA, and the National Science
to be presented as part of the annual
Foundation.
Federal budget.
Instructs the council to review major
Bioenergy and
Bioproducts Are
agency regulations, incentives, and
Here Today
programs to ensure that they are
effective in promoting the use of
Clean bioenergy and bioproducts are very
bioproducts and bioenergy. The
much here and now. Already DOE and
council's plan will be reviewed by an
USDA are participating in partnerships
outside advisory group with repre-
on a number of breakthrough bioenergy
sentatives from bio-based industries,
and bioproducts projects, including:
agriculture and forestry sectors, uni-
Biomass-to-Ethanol Demonstration
versities, and environmental groups.
Projects. During the autumn of 1998, BC
Directs the U.S. Department of
International Corporation broke ground
Energy (DOE) and the U.S.
in Jennings, Louisiana, for the first com-
Department of Agriculture (USDA)
mercial plant to produce ethanol from the
to establish a National Bio-based
cellulose in agricultural waste-in this
Products and Bioenergy Coordina-
case, sugar cane bagasse. A number of
tion Office to manage the prepara-
other demonstration projects to convert
tion of interagency budgets and pro-
municipal solid waste to ethanol are under
vide a convenient point of entry for
development.
anyone interested in Federal work in
Biorefinery for Chemicals. Cargill
bio-based products and bioenergy.
Corporation, one of the largest privately
The Executive Order also builds on the
held companies in the United States,
Administration's record of strong and
built a prototype biorefinery in Blair,
consistent support for bio-based indus-
Nebraska. This new facility will use corn
tries, as indicated by: (1) the electricity
to produce a stream of chemical products
restructuring bill introduced by the
and also a biodegradable polymer, poly-
Administration earlier in 1999 requiring
lactic acid, used in manufacturing films,
that 7.5 percent of all U.S. electricity
fibers, rigid materials, and coatings.
come from renewable resources by 2010;
(2) Executive Order 13101, signed in
Co-Firing Technologies. A number of
September 1998, instructing Federal
projects are underway to explore ways to
agencies to make use of bio-based prod-
use biomass such as switchgrass and
ucts; (3) new proposed tax credits for
short-rotation wood crops like willows to
bio-based electricity production; and
make electricity by co-firing them with
(4) increased research funding for DOE,
coal. Two of the most prominent studies-
the Iowa Chariton Valley initiative and
8
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW EXECUTIVE ORDER
ON BIO-BASED PRODUCTS AND BIOENERGY
the New York Salix project-also will
The Administration's
investigate the technical and economic
Fiscal Year 2000
aspects of biomass gasification, in which
Budget on Biomass
biomass is made into a fuel gas that can
The President's Fiscal Year 2000 budget
be used for heat or power production.
request contains $242 million for invest-
ments in biomass research, development,
Biomass to Energy. In the United States,
and deployment, including:
more than 270 landfill gas-to-energy pro-
jects use the gas from decomposing waste
Advanced Biomass Power and Fuels—
as an energy source.
funding for DOE and USDA to continue
developing, testing, and demonstrating
Economic Potential of
high-yield, low-cost biomass feedstocks;
Using Biomass for
processes for co-firing biomass with coal
Energy and Products
to produce electricity; advanced tech-
Using biomass for energy and products
nologies for biomass gasification using
is not only good for the environment, it
paper industry by-products; and continued
also promises real economic opportunities
work on producing alternative fuels, such
for farmers, the forest products industry,
as cellulosic ethanol, from biomass.
energy producers, and chemical manufac-
National Biomass Partnership-funding
turers. In rural areas, a fast-growing
for DOE, USDA, and other Federal agen-
bioenergy market will increase the demand
for energy crops, agricultural and forest
cies and their private partners to launch a
national partnership to develop advanced
residues, and wastes of all types. By creating
integrated biomass technologies.
high-tech jobs and new economic oppor-
tunities, meeting the President's goal of
The President also proposed a package of
tripling U.S. use of bioenergy and bio-
biomass tax credits, which would add
products could add $15 to $20 billion in
an extension of five years to the current
new income for farmers and many rural
tax credit of 1.5 cents per kilowatt-hour
communities, ensuring that they are an
for electricity produced from biomass. In
integral part of a prosperous 21st century
addition, the proposal expands the types
global economy. The President's
of biomass eligible for the credit to
Committee of Advisors on Science and
include certain forest-related, agricultural,
Technology noted in a recent report,
and other resources. Finally, the package
"Powerful Partnerships: The Federal Role
includes a 1.0 cent per kilowatt-hour tax
in International Cooperation on Energy
credit for electricity produced by co-firing
Innovation," that investments in bioenergy
biomass in coal plants.
technologies, infrastructures, and markets
can play a crucial role in helping the
world meet its future energy needs in an
environmentally sustainable way.
9
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW FEDERAL ENERGY
EFFICIENCY EXECUTIVE ORDER
O
n June 3, 1999, President Clinton issued Executive Order 13123 that will
help meet the challenge of global warming by requiring each Federal
agency to reduce greenhouse gas emissions from energy use in buildings by 30
percent below 1990 levels by 2010. This will reduce annual greenhouse gas emissions
by 2.4 million metric tons of carbon equivalent (MMTCE)-the equivalent of tak-
ing 1.7 million cars off the road-and save U.S. taxpayers more than $750 million a
year. The order also will expand markets for renewable technologies, reduce air pollution,
and serve as a powerful example to U.S. businesses and consumers who can reap
substantial benefits from energy improvements.
Aggressive New Goals
New Energy Efficiency Goal for
The Federal government is the largest
Industrial and Laboratory Facilities.
energy consumer in the United States.
The order requires each Federal agency to
Its annual energy bill runs more than $8
improve its energy efficiency in industrial
billion, including $4 billion to heat, cool,
and laboratory facilities by 25 percent rel-
and power 500,000 buildings. Federal
ative to 1990 by 2010.
agencies already have reduced energy
consumption 17 percent per square foot
Expanded Use of Renewable Energy.
relative to 1985 levels. The Executive
Building on the President's commitment
Order builds on that progress, extending
to install 20,000 Federal solar energy sys-
current energy efficiency goals and set-
tems by 2010, the order calls for Federal
ting new targets for greenhouse gas
agencies to expand their investments in
reductions, renewable energy use, and
renewable energy through applications of
water conservation.
solar, wind, geothermal, and biomass
technologies at Federal facilities and
New Greenhouse Gas Reduction Goal.
through the purchase of electricity from
The order requires each Federal agency
renewable energy sources.
to reduce greenhouse gas emissions that
Water Conservation. The order calls for
result from energy use in its buildings by
30 percent below 1990 levels by 2010.
Federal agencies to improve their efficiency
in the use of water in order to reduce
This is the Federal government's first-ever
goal tied to greenhouse gas reductions.
water consumption and associated energy
use. The order requires the U.S.
New Energy Efficiency Goal for
Department of Energy (DOE) to work
Facilities. The Executive Order requires
with other Federal agencies to develop
each Federal agency to improve energy
water consumption baselines and then set
efficiency in its buildings by 35 percent
appropriate goals for water conservation.
relative to 1985 levels by 2010.
11
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW FEDERAL ENERGY EFFICIENCY
EXECUTIVE ORDER
Fewer Exempt Facilities. Prior to the
by their efforts and may be paid only if
President's new Executive Order, a large
actual savings result from the reduced
number of facilities (accounting for
energy use. All additional savings go to
17 percent of energy use in buildings)
the Federal government. The government
were exempt from meeting Federal energy
benefits from new equipment, reduced
goals. Now all facilities are subject to
energy costs, improved energy efficiency,
those goals and requirements unless they
reduced greenhouse gas emissions, and
meet new exemption criteria to be devel-
conservation of nonrenewable fuels.
oped by DOE. In addition, each agency
must report all exempt facilities in its
To date, DOE and the U.S. Department
annual report to the President and explain
of Defense (DoD) have made more than
the rationale behind excluding them from
$8 billion in ESPC contract authority
Federal energy goals.
available for all Federal agencies to fund
energy improvements. In addition, many
Cutting-Edge Tools
of these contracts are "Super ESPCs"
and Strategies
that rely on the same principles as regular
ESPCs but offer an umbrella contract to
The Executive Order calls for agencies to
allow expedited service. The Executive
use a wide range of energy management
Order calls for agencies to maximize their
tools and strategies to fulfill the new
use of ESPCs and utility energy efficiency
energy efficiency, renewable energy, and
service contracts to realize energy and
greenhouse gas reduction goals.
cost savings.
Alternative Financing. Financing options
Life-Cycle Cost Analysis. Federal agencies
such as Energy Savings Performance
need to consider the full cost of their
Contracts (ESPCs) and utility energy
investments, including energy, operation,
efficiency service contracts offer Federal
and maintenance costs, not simply the
agencies powerful tools for leveraging
purchase cost of projects or products. By
private sector financing to fund cost-
taking all costs into account, agencies can
saving energy improvements at no net cost
save money and reduce energy use. To
to taxpayers. Under ESPCs, private sector
that end, the order requires agencies to
energy service companies finance the up-
consider life-cycle costs-that is, invest-
front cost of purchasing and installing
ment, capital, installation, energy, operating,
new energy efficient equipment. The
maintenance, and disposal costs-over the
Federal government uses a portion of the
life of the project or product.
savings it accrues through reduced energy
bills to repay the energy service company
ENERGY STAR® Labels and Other
over the life of the contract. Contractors
Energy Efficient Products. The order
then receive a predetermined share of the
calls for agencies to purchase energy effi-
value of the energy savings generated
cient products such as those with the
12
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW FEDERAL ENERGY EFFICIENCY
EXECUTIVE ORDER
ENERGY STAR label. Purchasing compact
Off-Grid Electricity Generation. The
fluorescent light bulbs, highly efficient
Executive Order requires agencies to
boilers, and other energy efficient prod-
consider off-grid electricity opportunities
ucts can save Federal agencies hundreds
that often provide energy and environ-
of millions of dollars.
mental benefits, while allowing agencies
to avoid the costs of building new trans-
ENERGY STAR BuildingSM Label.
mission lines or digging up existing
Agencies shall strive to meet the ENERGY
lines. Off-grid options can be particularly
STAR Building criteria in their eligible
effective in remote locations such as
facilities to the maximum extent practica-
some U.S. national parks. Technologies
ble by the end of 2002. The label signifies
range from solar outdoor lighting to small
that the building is in the top 25 percent
wind turbines and fuel cells.
of similar buildings with regard to
energy efficiency.
Sustainable Building Design. In July
1998, a number of Federal agencies
Electricity from Renewable Energy and
committed to constructing sustainably
Energy Efficient Sources. Given that
designed buildings. The June 1999
more than 70 percent of the Federal
Executive Order requires all Federal agen-
government's costs for energy used in
cies to apply sustainable design principles
buildings comes from electricity, the
to the siting, design, and construction of
Executive Order requires agencies to con-
new facilities, thereby saving energy and
sider the source of their electricity and
taxpayer dollars, and reducing pollution.
opt for cleaner, more efficient electricity
generation. Specifically, agencies shall
strive to minimize the greenhouse gas
Strengthening
Agency Accountability
intensity of purchased electricity. In addi-
tion, agencies should adopt policies to
The Executive Order provides a frame-
increase the use of electricity from renew-
work to hold agencies accountable for
able energy sources.
their progress in Federal energy manage-
ment. The following new management
Highly Efficient Energy Systems. The
strategies and reporting requirements
Executive Order calls for agencies to
will help ensure that all Federal agencies
make greater use of highly efficient energy
manage energy use wisely, reaping sub-
systems, including combined heat and
stantial fiscal and environmental benefits
power systems that use "waste" heat from
for years to come.
industrial processes to supply power to
other needs. These systems can offer
Annual Reports to the President and
tremendous energy and cost savings, as
Annual Score Cards. Under the
well as significant environmental benefits.
Executive Order, each Federal agency
must submit an annual report to the
13
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW FEDERAL ENERGY EFFICIENCY
EXECUTIVE ORDER
President describing the agency's progress
Under this award, Viron Energy Services
in meeting the goals. In addition, the
and Pepco Energy Services will upgrade
Deputy Director for Management of the
the energy performance of 837 Federal
Office of Management Budget will evalu-
buildings at no up-front cost to taxpayers.
ate each agency's performance and submit
The 18-year service contract, covering
agency score cards to the President.
five military installations in the
Washington, DC, area, will reduce annual
President's Management Council. The
energy consumption by 17 percent. The
President's Management Council, which
reductions will reduce annual greenhouse
generally consists of deputy secretaries
gas emissions by 24,000 metric tons of
from all agencies, will monitor agency
carbon equivalent (MTCE)-equivalent
progress on Federal energy management
to taking more than 19,000 cars off the
and provide a high-level forum for iden-
road-and will save DoD more than
tifying ways to accelerate improvements.
$219 million in energy and related costs.
Agency Energy Teams. The Executive
Other examples of energy-saving actions
Order requires each agency to form a
that the Executive Order is designed to
technical energy support team to ensure
promote include:
that energy management strategies are
implemented across all facilities. The
Energy Efficient Procurement. The
energy teams bring together legal, pro-
Defense Logistics Agency (DLA), which
curement, and other essential agency
supplies almost 20 percent of all light
representatives to overcome barriers to
bulbs purchased by the Federal govern-
realizing energy and cost savings.
ment, teamed up with DOE to offer
half-price compact fluorescent light bulbs
New Public-Private Advisory
to any Federal purchaser.
Committee. The order calls for DOE to
organize an advisory committee to bring
Last year, the DLA supplied 1.5 million
together private and public sector experts
bulbs to Federal purchasers. If the bulbs
who can advise agencies on ways to improve
had all been compact fluorescents, savings
their energy management practices.
over the life of the bulbs would have
totaled $7.5 million. Recently, DOE
Concrete Steps,
added compact fluorescents to the
Concrete Savings
ENERGY STAR product-rating program,
providing consumers with quality assur-
In conjunction with the signing of a new
ance when they purchase the bulbs. A
Executive Order to promote energy effi-
compact fluorescent bulb can last up to
ciency, President Clinton announced the
five years, saving $67 over its lifetime.
Pentagon's intent to award the Federal
government's largest-ever Energy
Saving Performance Contract (ESPC).
14
United States: Taking Action on Climate Change
THE PRESIDENT'S NEW FEDERAL ENERGY EFFICIENCY
EXECUTIVE ORDER
Renewable Energy Projects. Some 18
and "solar walls" that preheat outside air
Federal agencies-from the departments
for interior heating.
of Agriculture, Interior, and Transportation
to the Smithsonian Institution and the
Buying Renewable Power. EPA's Rich-
U.S. Postal Service-recently received a
mond, California, laboratory became the
combined $1.5 million in DOE funding
first major Federal facility to use 100
for more than 100 cost-effective renew-
percent renewable energy. Initially, 60
able energy projects at government sites.
percent of the power supplied will
The technologies include more than 50
come from geo-thermal sources, and 40
new or renovated solar water heating sys-
percent will come from biomass. This
tems, large and small photovoltaic (PV)
green power purchase will produce
systems, PV-powered lights, wind power,
environmental benefits equivalent to
eliminating more than two million pas-
Prior Federal Energy
senger car miles driven in California
Efficiency Efforts
each year.
The President's June 1999 Executive
ENERGY STAR Buildings. EPA retrofitted
Order builds upon previous efforts to
GSA's Foley Square Federal Office
improve Federal energy efficiency. The
Building in New York City to qualify for
Energy Policy Act of 1992 established
the ENERGY STAR Buildings Label. The
the goal of improving energy efficiency
building, which opened in 1994, has 1.2
in Federal office buildings by 20 per-
million square feet and houses offices of
cent on an energy-per-square-foot basis
the Federal Bureau of Investigation,
by the year 2000, compared with a
Internal Revenue Service, and EPA. By
baseline year of 1985. In March 1994,
deploying equipment and products that
President Clinton issued Executive
qualify the building for the ENERGY
Order 12902, which extended the
STAR label, Foley Square saves taxpayers
energy efficiency goal to 30 percent
$1.3 million annually in energy costs.
below 1985 levels by 2005. The latest
order extends these goals still further,
while also tightening provisions on
exempted facilities and setting forth
the first-ever Federal goal tied specifi-
cally to greenhouse gas reductions.
15
United States: Taking Action on Climate Change
WIND POWERING AMERICA INITIATIVE
W
ind is an emissions-free energy technology with largely untapped potential
to meet future U.S. energy needs while helping address the challenge of cli-
mate change. Wind Powering America is a new U.S. Department of Energy (DOE)
initiative announced in June 1999 to supply 5 percent of U.S. electricity through
wind technologies by 2020. Meeting this goal will avoid annual greenhouse gas
emissions of over 30 million metric tons of carbon equivalent (MMTCE) in 2020.
Mid-term program goals include:
Doubling the number of states with more than 20 megawatts of wind
capacity to 16 by 2005, and tripling that number to 24 by 2010.
Increasing the contribution of wind turbines to Federal electricity use to 5
percent (1,000 megawatts) by 2010.
Accelerated R&D
Remote Community Power. Kotzebue,
Wind Powering America will seek to meet
Alaska, located north of the Arctic circle, is
its goals through a robust program to
putting wind energy to work in reducing
accelerate the research, development, and
its dependence on diesel fuel for electric
deployment of wind technologies. The
power. Shipment of diesel fuel to Kotzebue
initiative will build partnerships with
as well as many other Alaskan communi-
states and localities, educate the U.S.
ties is expensive, seasonally limited, and
public on the benefits of wind power,
environmentally risky. Kotzebue recently
and encourage Federal agencies and
began operating a wind farm comprised of
organizations to lead by example in the
10 rugged 66-kilowatt turbines that are
employment of wind technologies.
reliably providing up to 10 percent of the
community's power needs with an energy
cost savings of about 40 percent.
Wind Power Is
Here and Now
Federal Opportunity. Three 225-kilowatt
A New "Crop" for Farmers. Since 1998
wind turbines are saving the U.S. Navy
more than 400 megawatts of new wind
more than $100,000 each year in diesel
generating capacity has been installed on
fuel costs for powering its station on San
farmlands in the Great Plains region of the
Clemente Island, 70 miles off the coast of
United States, providing a substantial eco-
Southern California. In addition, the tur-
nomic boost directly to farmers, landowners,
bines are helping the Navy respond to
and local communities while satisfying the
stringent local air pollution control man-
growing demand for clean electricity. Wind
dates. With a near-perfect reliability
farming creates construction and service
record, the project is serving as a model
jobs in rural regions, as well substantial tax
for the way that wind energy can bring
revenues for local municipalities.
benefits to Federal facilities.
17
United States: Taking Action on Climate Change
BRIGHTFIELDS INITIATIVE
B
rightfields is a new initiative launched by the U.S. Department of Energy
(DOE) in August 1999, aimed at using former industrial sites contaminated
with toxic waste for producing pollution-free solar energy. This novel concept
addresses three of the nation's greatest challenges: climate change, urban revitalization,
and toxic waste cleanup.
From "Brownfields"
Chicago First City to Use
to "Brightfields"
Brightfields Approach
Many former industrial sites in U.S.
The City of Chicago, working with DOE
urban areas are hard to redevelop because
and Commonwealth Edison, developed
of a legacy of toxic waste contamination.
an extensive plan that uses the bright-
This initiative will turn these "brown-
fields approach to advance its economic
fields" into "brightfields" by placing clean
development, climate change, air quality,
energy systems, such as photovoltaic
and electricity reliability goals.
arrays, and high-tech solar manufactur-
ing facilities on these sites.
As a first step, municipal officials persuaded
the Spire Corporation to manufacture solar
Solar energy technologies, and photovoltaic
panels at one of the city's brownfields, cre-
systems in particular, are well-suited to
ating more than 100 new jobs. A solar
brownfield sites. They require little mainte-
energy system also will be installed, both to
nance and can stand directly on the ground
supply some of the company's electricity
without penetrating the surface or disturbing
needs and to serve as a demonstration and
any existing contamination. The systems
educational site. In addition, the city and
can be installed to function on or off the
Commonwealth Edison committed $8
local power grid, depending on the needs
million over the next five years to purchase
of the site and existing infrastructure. They
and install solar energy systems at other
are especially attractive in urban areas with
brownfield sites, schools, office buildings,
air quality concerns. With zero emissions,
and municipal and commercial properties,
solar energy systems can offset emissions
and along transportation routes.
from other energy sources, particularly dur-
ing peak hours when utilities often rely on
DOE has begun work with cities in
older systems that pollute more heavily.
California, Connecticut, Minnesota,
New York, and Virginia to explore ways
Brightfields also provide an opportunity for
that brightfields can help communities
blighted urban neighborhoods to attract
address concerns about land use, eco-
high-tech jobs and environmentally con-
nomic development, energy, air quality,
scious businesses that are interested in
and climate change.
supporting green investments or locating
in environmentally friendly industrial parks.
19
United States: Taking Action on Climate Change
PART II: STATES AND LOCALITIES
TAKING ACTION
M
any U.S. states and communities are helping lead the fight against global
warming. State and local governments, as regulators of many direct and indirect
sources of greenhouse gas emissions and as managers of facilities that consume significant
amounts of energy, are in a unique position to make a difference. Many are doing
just that by stepping forward-both in partnership with the Federal government and
on their own initiative-with innovative programs to reduce emissions. Their efforts
are creating jobs and strengthening local economies, saving energy and money, and
improving local air and environmental quality.
State and Local
5.7 million metric tons of carbon equiv-
Success Stories
alent (MMTCE) from the state's
The following are just a few examples
business-as-usual projections. Strategies
of the wide array of actions that states
include improving commercial and
and localities are taking to address cli-
industrial energy efficiency, using innov-
mate change:
ative technologies, preventing pollution,
recycling, reducing solid waste, and
The State of New Jersey committed to
sequestering carbon. One project, the
reduce its greenhouse gas emissions by
Affordable Housing Initiative, offers
3.5 percent below 1990 levels by 2005.
grants to developers to design low-income
This amounts to a reduction equal to
housing that meets energy efficiency
U.S. Mayors Issue Statement on Global Warming
In September 1999, a group of more
Local Environmental Initiatives (ICLEI)
than 530 local officials in the United
coordinated issuance of the statement.
States issued a "Statement on Global
Warming," expressing concern about
Sixty-six U.S. cities have joined ICLEI's
the impacts of climate change on their
U.S. Cities for Climate Protection
communities and urging accelerated
Campaign. Participating cities agree to
Federal efforts to assist them in reduc-
a set of milestones that includes prepar-
ing global warming pollution.
ing a baseline survey of emissions, setting
Signatories included the mayors of
a reduction target, preparing a local
Atlanta, Baltimore, Chicago, Cincinnati,
action plan, and implementing the plan.
Denver, Honolulu, Las Vegas, Madison,
In 1998, the campaign avoided green-
Milwaukee, Minneapolis, Newark,
house gas emissions of approximately
New Orleans, Portland, Salt Lake City,
1.3 million metric tons of carbon equiv-
San Francisco, Seattle, St. Louis, and
alent (MMTCE).
Tampa. The International Council for
21
United States: Taking Action on Climate Change
PART II: STATES AND LOCALITIES TAKING ACTION
standards 30 percent better than current
As part of an overall restructuring of the
building codes. The state also established
State of California's utility industry,
a Carbon Dioxide Bank working group
the state established a Renewable Resource
and signed a letter of intent with the
Trust Fund to collect $540 million from
Netherlands that establishes a framework
investor-owned utilities to support existing
for developing joint initiatives to address
and emerging renewable energy tech-
global warming, including an emissions
nologies. Municipal utilities and individual
trading system.
customers also may contribute to the
fund. The fund is used to support produc-
In 1997, the State of Oregon enacted
tion incentives, producer and consumer
landmark legislation establishing a car-
rebates, and an education program to
bon dioxide standard for all new power
help develop a consumer market for
plants of 25 megawatts or more. New
renewables. California also is collecting
natural gas-fired plants must emit 17 per-
$218 million from the state's
cent less carbon dioxide per kilowatt-hour
investor-owned utilities for energy effi-
than the most efficient gas-fired plants
ciency projects.
currently operating in the United States.
The standard can be met by any combi-
In the State of North Carolina, Wake
nation of efficiency, co-generation, or
County Public Schools embarked on an
offsets from off-site mitigation. The miti-
ambitious effort to upgrade the energy
gation measures will offset 3.2 MMTCE
efficiency of the county's 120 school and
over the next 100 years.
administration buildings. By using a
shared savings program in which indi-
The State of Wisconsin is implementing
vidual schools receive a 10 percent share
energy efficient technologies and prac-
of their total annual energy savings, the
tices throughout state government, and
school system involved the entire
encouraging consumers and businesses
community in energy efficiency efforts.
to do the same. The state's high-visibility
Measures already in place are avoiding
public education campaign included
more than 2,400 MTCE annually.
retail store displays, newspaper and radio
spots, brochures, and a toll-free call-in
The city and county of Denver,
number. To date, Wisconsin has upgraded
Colorado, invested in lighting upgrades
53 million square feet in state government
in 4.5 million square feet of office space,
buildings, avoided annual greenhouse
as well as multiple energy efficiency mea-
gas emissions of almost 30,000 metric
sures in nearly 2,000 additional facilities.
tons of carbon equivalent (MTCE),
The city's downtown district now has
and saved more than $7 million in
the highest number of buildings with
annual energy costs.
the ENERGY STAR® label of any U.S.
municipality. ENERGY STAR Buildings is
a U.S. Environmental Protection Agency
22
United States: Taking Action on Climate Change
PART II: STATES AND LOCALITIES TAKING ACTION
(EPA) program recognizing buildings that
Minneapolis and St. Paul, Minnesota,
are in the top 25 percent of their class
continued efforts toward fulfilling their
with regard to energy efficiency. The city
pledge (made in 1993) to reduce their
also replaced incandescent light bulbs
combined carbon dioxide emissions by
with high-efficiency red light emitting
20 percent below 1988 levels by the year
diodes in traffic signals at more than
2005. So far, the Twin Cities' efforts
1,200 intersections. All told, Denver's
have focused largely on improving ener-
efforts avoid emissions of more than
gy efficiency in municipal properties,
1,900 MTCE each year.
which has saved more than $877,000 in
annual energy costs.
In San Diego, California, the city
government, San Diego County, and the
Low Income Weatherization
San Diego Unified School District are
and State Energy Grants
focused on a concentrated effort to
improve building energy efficiency. The
Two U.S. Department of Energy
city's Environmental Services Building,
(DOE) programs specifically target
for example, became the first facility in
energy efficiency investments at the
the United States to receive EPA's
state and local levels. The
ENERGY STAR Buildings label. The county
Weatherization Assistance Program
recently installed energy efficient lighting
delivers home energy efficiency
in some 5 million square feet of office
services, such as insulation, to low-
space in less than 18 months. Together,
income U.S. households, reducing
these efforts are reducing annual green-
energy costs, improving health and
house gas emissions by more than 1,200
safety, and reducing carbon emissions.
MTCE and saving $5.6 million in annu-
In Fiscal Year 2000, this program will
al energy costs.
weatherize the homes of 66,000 low-
income families, avoiding emissions
The New York State Energy Research
of more than 760,000 metric tons of
and Development Authority (NYSER-
carbon equivalent (MTCE) and sav-
DA) now offers to pay 50 percent of an
ing $248 million. The State Energy
applicant's consulting services for feasi-
Program has provided grant funds to
bility audits for energy upgrades in five
carry out more than 8,700 projects
of the state's electric distribution systems.
since 1976. The program promotes
NYSERDA will pay for an additional 25
the adoption of high-potential ener-
percent of the audit costs of any applicant
gy technologies developed under
who has joined EPA's ENERGY STAR
DOE energy efficiency and renew-
Buildings partnership.
able energy research programs, flexi-
bly addressing unique state needs
and opportunities.
23
United States: Taking Action on Climate Change
PART II: STATES AND LOCALITIES TAKING ACTION
Soon, more than a dozen school districts
Renewable and energy efficiency projects
in the State of Iowa will have installed
have been initiated at four sites in the
nonpolluting wind turbines to produce
state, reducing annual greenhouse gas
electricity for classrooms. Forest City
emissions by 185 MTCE, and saving
Community Schools, for example, began
$140,500 per year in energy costs and
operating a 600-kilowatt wind turbine
fuel savings.
in January 1999 that is expected to pro-
vide 80 to 90 percent of the school's
Working In
electrical needs.
Partnership with
Federal Government
Prince Georges County, Maryland,
In addition to the Weatherization
installed a methane recovery system at a
landfill and uses the methane to provide
Assistance Program and the State Energy
heat, hot water, and electricity to a nearby
Program, the Federal government has
correctional facility. Annual methane emis-
numerous programs that provide support
sions were reduced by more than 250,000
to state and local climate change efforts,
MTCE, and energy revenues total nearly
including many of those discussed here.
$1.3 million.
Among these programs are ENERGY STAR
Buildings, WasteWi$e, and a number of
others set forth in the final section of
The University of Virginia is making
energy efficiency upgrades to more than 7
this report.
million square feet of facilities through
lighting retrofits, building system improve-
One program, EPA's State and Local
ments, heating pipe insulation, occupancy
Climate Change Program, is a
sensors, and other measures. The university
capacity-building initiative that provides
invested $4.3 million in energy efficiency
states and communities with guidance and
steps, avoiding annual greenhouse gas
technical information in establishing
emissions of more than 1,700 MTCE.
greenhouse gas baseline emissions invento-
ries and identifying options to reduce
In 1999, Santa Monica, California,
emissions. To date, 34 of 50 states have
became the first major municipal govern-
completed greenhouse gas emission inven-
ment in the world to purchase renewable
tories, and 25 states are producing action
energy to provide all of its power needs
plans to identify options that reduce emis-
(approximately 5 megawatts).
sions. For example, Vermont's State Action
Plan identified ways to reduce cumulative
In 1994, the State of Utah established a
emissions by 21 percent, or almost 13
partnership with the National Park Service
MMTCE by 2020. Vermont's policies
to demonstrate the use of renewable
also would reduce acid rain precursors by
energy and energy efficient technologies in
24 percent, ground level ozone by 30 per-
the parks and monuments of Utah.
cent, and energy use by 16 percent.
24
United States: Taking Action on Climate Change
PART III: U.S. COMPANIES MOVING FORWARD
M
any U.S. businesses are stepping forward to assume leadership roles in
addressing the challenge of climate change.
Growing Commitment
Carrier air conditioners, Pratt & Whitney
to Greenhouse Gas
engines, and Sikorsky helicopters-
Reductions
announced a plan to cut emissions by
An increasing number of U.S. companies
improving energy efficiency 25 percent
are committed to taking real actions to
per unit of production by 2010. In addi-
cut their greenhouse gas emissions. In
tion, IBM announced a corporate-wide
the past six months:
annual goal of improving energy efficiency
by 4 percent. IBM also set a reduction
DuPont announced three goals for 2010
target for PFCs; and by 2002, IBM will
related to climate change. The first is to
reduce its emissions of perfluoroethane
reduce greenhouse gas emissions by 65
by 40 percent per unit of production.
percent from a 1990 baseline; the second
Also, British Petroleum extended its com-
is to hold energy use flat at 1990 levels;
mitment to reduce greenhouse gas emis-
and the third, to generate 10 percent of
sions 10 percent below 1990 levels by 2010
DuPont's energy from renewables. These
to include its newly acquired U.S. sub-
goals build upon previous objectives
sidiaries, Amoco and Arco.
announced for 2000.
Motorola led efforts in the semiconductor
World Class Leadership
industry to reduce greenhouse gas emis-
In April 1999, thanks to the leadership
sions by pledging to reduce the company's
of Motorola and others, the global
perfluorocarbon (PFC) emissions by 50
semiconductor industry agreed to
percent relative to a 1995 baseline by
reduce perfluorocarbon (PFC) emis-
2010. The mitigation is made possible
sions by 10 percent by 2010 relative to
by reducing the use of PFCs or replacing
a 1990 baseline. Manufacturers in
them during the cleaning and etching
Europe, Japan, Korea, the United
stages of the manufacturing process.
States, and Taiwan committed to
Motorola's target exceeds the goal for PFC
aggressive action to reduce the use of
reduction set by most of the other
PFCs in existing equipment and agreed
members of the semiconductor industry.
to invest in major design changes for
(See "World Class Leadership.")
future low- or no-emitting manufactur-
ing processes. Companies that accepted
DuPont and Motorola are just the latest
the World Semiconductor Council's
additions to the roster of U.S. corpora-
reduction target for PFC emissions
tions that understand the threat of global
produce more than 90 percent of the
warming is real. In 1998, United
world's semiconductors.
Technologies-producers of Otis elevators,
25
United States: Taking Action on Climate Change
PART III: U.S. COMPANIES MOVING FORWARD
Real Actions,
label, compared with the industry average
Real Reductions
of 40 percent. Panasonic also aggressively
In recent years, dozens of firms in a variety
promotes public awareness of energy
of industries have been moving forward
efficiency. Because of the firm's efforts,
with real actions to reduce their emis-
EPA's ENERGY STAR public service
sions of greenhouse gases and improve
announcement recently ran hourly on the
their energy efficiency. Examples include:
large astrovision screen in Times Square,
New York City.
Alcan Ingot committed to reducing its
PFC emissions by about 50 percent, rel-
Ricoh Corporation is a leader in the
ative to 1990 levels, by the year 2000
design and manufacture of energy effi-
through the U.S. Environmental
cient ENERGY STAR office equipment and
Protection Agency's (EPA) Voluntary
in educating its own employees and the
Aluminum Industrial Partnership program.
public about the environmental benefits
At Alcan's Sebree Aluminum Plant, the
of energy efficiency. Ricoh markets a wide
company reduced its PFC emissions by
range of ENERGY STAR digital printers,
63 percent over the past five years through
faxes, and copiers. The company also
the installation of computer-based systems
developed an exceptional web-based
that improve the flow of raw materials
interactive educational tool on ENERGY
into aluminum smelting pots.
STAR and the environment. The tool was
intended initially for the Ricoh's sales
Applied Materials is addressing climate
staff and service technicians in the United
change aggressively by developing a tech-
States and Canada but is now used for
nology that cleans semiconductor chemical
public education as well. Ricoh expects
vapor deposition chambers with minimal
to attract millions of web viewers by the
emissions of PFCs. The technology
end of 1999 and to expand the use of
simultaneously improves productivity by
this educational tool to other countries.
reducing chamber clean time by up to 60
percent. A high-density, microwave-driven
ST Microelectronics improved energy
plasma discharge dissociates PFC
efficiency and reduced PFC emissions in
molecules with an efficiency greater than
semiconductor manufacturing. The
99 percent and consequently reduces
company benchmarked its energy use at
greenhouse gas emissions by two orders
production facilities and is implementing
of magnitude.
energy efficiency projects using wind
turbine, photovoltaic, thermal solar,
Panasonic is a leader in the manufacture
fuel cell, and cogeneration technologies
and promotion of energy efficient ENERGY
that will reduce greenhouse gas emissions
STAR® home electronic products. During
by a factor of 10 by 2010.
Panasonic's first year of partnering with
EPA, almost 97 percent of the company's
Texas Industries is pursuing a goal of
unit sales qualified for the ENERGY STAR
zero waste in its cement and steel oper-
26
United States: Taking Action on Climate Change
PART III: U.S. COMPANIES MOVING FORWARD
ations. To jumpstart the process of reach-
Reduction Partnership for Electric Power
ing this goal, the company developed a
Systems program. TXU realized signifi-
technology that uses a steel making by-
cant reductions in the use of SF₆ gas by
product, slag, in the cement manufacturing
introducing advanced leak detection
process. The technology increases
equipment, initiating aggressive policies
cement production by up to 15 percent,
to identify equipment in need of repair,
reduces greenhouse gas emissions by
and implementing a strict inventory
about 10 percent, and lowers conventional
protocol that ensures all purchased SF₆
air pollutants by up to 40 percent.
is fully and properly used.
Trigen is a corporate leader in promoting
combined heat and power across the
Industry Sectors
Move Forward
country, and the company has been
successfully installing high-performing
In addition to the semiconductor industry
projects. For example, Trigen's Grays
(see "World Class Leadership" on page
Ferry combined-cycle gas turbine cogener-
20), a number of other industry sectors
ation unit in Philadelphia replaced several
old oil-fired district heating boilers. The
Corporations Speak Out
for Action
project is designed to operate at 70 percent
fuel efficiency, producing 150 megawatts
In 1998, the new Pew Center on
of power and 1.4 million pounds of
Climate Change launched a $5 million
steam per hour. The district energy system
campaign to build support for taking
provides heat to 70 percent of the down-
action on climate change. Boeing,
town area's buildings and institutional
DuPont, Shell, Weyerhaeuser, and
facilities. The project is estimated to reduce
some 17 other major corporations
emissions by approximately 90,000 metric
joined the center's Business
tons of carbon equivalent (MTCE)
Environmental Leadership Council,
annually. The cogeneration project at the
agreeing that "enough is known
Loctite Corporation in Rocky Hill,
about the science and environmental
Connecticut, operates at 88 percent effi-
impacts of climate change for us to take
ciency and is capable of generating 9.5
actions to address its consequences."
million kilowatts per year of electric
In addition, the Business Roundtable,
energy. Annual emissions reductions are
a group of CEOs from leading U.S.
estimated at 750 MTCE per year.
corporations, this year released a
report advocating "the deployment of
TXU, one of the largest energy providers
more energy-efficient and break-
in the United States, is committed to
through technologies" and called on
reducing emissions of sulfur hexafluoride
government and industry to work
(SF₆) gas voluntarily in partnership with
together to find answers to the chal-
EPA's Climate Challenge and Emission
lenges of climate change.
27
United States: Taking Action on Climate Change
PART III: U.S. COMPANIES MOVING FORWARD
also are improving efficiency and reduc-
half of this sector's energy is used for feed-
ing greenhouse gas emissions:
stocks, while the remainder provides fuel,
power, and steam. The Chemical
The electric utility sector entered into
Manufacturers Association (CMA) adopted
the Climate Challenge program in 1994
its own Climate Action Program to reduce
and agreed to reduce, avoid, or sequester
or avoid greenhouse gas emissions. A large
greenhouse gas emissions voluntarily by
portion of the industry reported emissions
2000. Utility companies, together with
every year from 1992 through 1997;
the U.S. Department of Energy (DOE)
energy efficiency performance for those
and EPA, developed a workbook of
companies improved nearly 22 percent
reduction options that was widely circu-
per pound of production with a corre-
lated. Individual companies entered into
sponding drop in carbon dioxide emissions
agreements, and, as a result of their par-
of 24 percent. The CMA awards compa-
ticipation, utilities estimate emissions
nies for outstanding energy efficiency
reductions of as much as 47 million met-
projects, thereby providing a model that
ric tons of carbon equivalent (MMTCE)
other companies can use to reduce emis-
in 2000.
sions and improve efficiency. The projects
range from waste elimination and equip-
The steel industry is the fourth largest
ment innovations to new catalysts and
energy-consuming manufacturing subsec-
process redesign. CMA intends to continue
tor in the United States. The industry
to implement its Energy Efficiency
recently undertook a number of projects
Continuous Improvement and Climate
to increase energy efficiency and reduce
Action Programs vigorously in order to
waste. From 1994 to 1996 alone, the
strengthen the industry's performance.
energy intensity of blast furnace iron
making dropped by 4 percent. A compa-
The cement industry emits carbon diox-
rable drop in carbon dioxide emissions
ide from the use of fossil fuels as well as
accompanied the reduction in energy con-
from the calcination process in which
sumption. Nearly 80 percent of obsolete
limestone is heated. Companies repre-
scrap from post-consumer products, such
senting more than 70 percent of U.S.
as discarded cars and appliances, is cur-
cement production have joined EPA's
rently recycled; the steel industry is
Climate Wise program to take advantage
engaged in research to allow it to meet its
of the latest methods of improving energy
goal of 100 percent recovery. Utilizing
efficiency and reducing emissions. A
scrap steel greatly reduces the amount
spreadsheet-based workbook incorporates
of energy required to make steel from
issues specific to the cement industry and
virgin materials.
enables companies to prepare an action
plan and report the results of their efforts.
The chemical industry represents nearly
The companies estimate that in 2000,
7 percent of total U.S. energy use. About
annual emissions will be reduced by 8
28
United States: Taking Action on Climate Change
PART III: U.S. COMPANIES MOVING FORWARD
percent below the business-as-usual pro-
sions, as well as zero carbon dioxide
jection and that annual savings will total
emissions released from the smelting
$2.3 million.
process. In addition, 11 of 12 U.S. pri-
mary aluminum manufacturers reduced
The aluminum industry is another
their annual greenhouse gas emissions
energy-intensive sector with many
by 1.8 MMTCE annually and are
opportunities to reduce its greenhouse
committed to reducing PFC emissions
gas emissions. The industry is investing
by 45 percent to 1990 levels by 2000
in R&D, with a goal of a 15 percent
through EPA's Voluntary Aluminum
reduction in energy use and concomi-
Industry Partnership.
tant decrease in carbon dioxide emis-
Industry Consultations
An important component of the Presi-
the Administration and industry lead-
dent's October 1997 plan to reduce
ers are focusing on the development of
U.S. greenhouse gas reductions is to
a common methodology on emissions
build voluntary partnerships with
baselines, measuring, monitoring, and
energy-intensive industries to develop
reporting, as well as the identification
strategies to cut emissions. High-level
of opportunities for the development
Administration officials have met with
and diffusion of less carbon-intensive
top management of the aluminum,
technologies and practices. As part of
cement, forest products, gas pipelines,
these consultations, the Administration
and steel industries, and publicly
and industry officials discuss ways to
owned and investor-owned electric
ensure credit for businesses that take
utilities. These consultations between
early actions to reduce emissions.
29
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
I
n addition to efforts by U.S. states and localities, U.S. companies, and new Federal
initiatives, there are literally dozens of win-win climate change programs and initia-
tives put into place by President Clinton since 1993. These new programs aim to
develop and deploy energy efficient technologies and spur the development and
broader use of renewable energy. These efforts have accelerated and expanded since
the Kyoto climate change conference in 1997. Sustaining this commitment to reduc-
ing U.S. greenhouse gas emissions has been a focused effort by President Clinton to
invest in the research, development, and deployment of energy efficiency technologies
and renewable energy-an area whose budget in the U.S. Department of Energy
(DOE) has exceeded $800 million each and every year of the Clinton Administration.
The following survey highlights the most
sions result from the electricity needed
important of these investments, as well as
to run appliances and equipment in
a number of programs aimed at reducing
buildings, such as heating, ventilation,
or avoiding U.S. greenhouse gas emissions
and air conditioning equipment. Studies
administered by the U.S. Environmental
show that many homes and businesses
Protection Agency (EPA), the U.S.
could reduce their energy use by about
Department of Agriculture (USDA), and
30 percent using proven, cost-effective
other agencies. Together, the programs
products, and investing in simple prof-
cover the four major greenhouse gas-
itable building upgrades. A variety of
emitting sectors of the U.S. economy
DOE and EPA programs focus on
(buildings, transportation, industry, and
developing and promoting the broader
electricity), carbon sequestration, agri-
use of cleaner and more efficient build-
culture and forestry, and a robust sci-
ing and appliance technologies. The
entific research program.
programs include:
As the other components of the President's
Partnership for
strategy are implemented by industry
Advancing Technology
partners, citizens, and the U.S. Congress,
in Housing (PATH)
the Administration expects accelerated
PATH is a partnership between the
and greater energy efficiency, environ-
Federal government and the building
mental, security, and economic benefits.
industry to develop and deploy hous-
ing technologies to make new homes
50 percent more energy efficient and to
Buildings
make at least 15 million existing homes
The buildings sector is responsible for
30 percent more energy efficient with-
approximately 35 percent of U.S. green-
in a decade. Meeting PATH's goals
house gas emissions. Most of the emis-
would reduce annual carbon emissions
31
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
in 2010 by an amount equal to nearly 24
Energy Efficiency
Standards for Equipment
million metric tons of carbon equivalent
and Appliances
(MMTCE)-the amount produced by
To save energy and reduce consumer
some 20 million cars-and would save
utility bills, the U.S. government develops
consumers $11 billion a year in energy
test procedures and national minimum
costs. PATH has established five pilot
energy efficiency standards for equipment
communities in Denver, Los Angeles,
and appliances, such as heating and
Pittsubrgh, and Tuscon that are incorpo-
cooling equipment, water heaters, light-
rating new housing technologies and
ing, refrigerators, clothes washers and
advanced building concepts.
dryers, and cooking equipment.
Climate Change Technology Initiative
The centerpiece of President Clinton's
Most of CCTI's specific investment
domestic climate change program is the
initiatives and programs are discussed
Climate Change Technology Initiative
within this section. Highlights of
(CCTI)-a package of targeted tax
CCTI's proposed tax package include:
incentives and investments aimed at
Tax credits for energy efficient homes.
increasing energy efficiency and spurring
Consumers would receive $1,000-
broader use of renewable energy. The
$2,000 credit toward the purchase of a
package amounts to an additional $6.3
new energy efficient home; a 10-20
billion over five years ($3.6 billion in tax
percent tax credit for the purchase of
cuts and $2.7 billion in new investment),
selected energy efficient products for
their homes and buildings; and a
over and above what was already planned
$1,000-$2,000 credit for installing a
for climate change-related investments.
rooftop solar system.
The CCTI has been endorsed and sup-
Tax credits for fuel-efficient cars.
ported by the President's Committee of
The package includes tax credits ranging
Advisors on Science and Technology
from $1,000-$4,000 for the purchase
(PCAST). In 1997, PCAST produced a
of a qualifying electric, fuel cell, or
major analysis of energy R&D needs that
hybrid vehicle.
provided the analytical underpinning for
Tax credits for renewable energy.
CCTI's package of investments. In Fiscal
The package extends the 1.5 cents per
Year 1999, the President secured more
kilowatt hour tax credit for the pro-
than $1 billion for CCTI investments-a
duction of electricity from wind and
25 percent increase over the prior year. As
biomass; expands the biomass credit
of this writing, the Administration was
to cover additional sources of biomass;
and adds a 1.0 cent per kilowatt hour
engaged in negotiations to preserve these
tax credit for co-firing coal and biomass
gains in the face of efforts by the U.S.
in power plants.
Congress to scale back on investments in
energy efficiency and renewables.
32
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
Through 1997, residential appliance stan-
The ENERGY STAR Buildings™
dards avoided cumulative emissions of 37
Partnership encourages individual
MMTCE and saved consumers a cumula-
building owners, developers, and
tive $13.3 billion. By 2010, the currently
managers to install energy efficient
enacted standards will have avoided
lighting and undertake a five-stage
cumulative emissions of more than more
strategy to capitalize on system
than 225 MMTCE and saved consumers
interactions that maximize energy
almost $50 billion.
savings at minimum cost. To date,
buildings representing more than 13
In the upcoming year, the U.S. govern-
percent of U.S. commercial square
ment expects to publish standards for
footage have signed up for the pro-
clothes washers, water heaters, fluores-
gram. Among them are the Empire
cent lamp ballasts, and central air condi-
State Building, World Trade Center,
tioners. These standards, and the recently
and Chicago's Sears Tower.
enacted standards for refrigerators and
room air conditioners, are expected to
EPA estimates that by 2010 investments
have avoided cumulative emissions of
in ENERGY STAR technologies and services
almost 12 MMTCE through 2010.
already in place today will reduce
cumulative greenhouse gas emissions
by 40 MMTCE and save consumers
ENERGY STAR Partnerships
and businesses more than $13 billion
The ENERGY STAR partnership programs
in energy costs.
are designed to remove market barriers to
the purchase of energy efficient products,
Energy Efficiency in Schools
services, and technologies in residential,
commercial. and industrial buildings.
The energy to run the nation's 115,000
primary and secondary schools costs
approximately $5 billion annually-more
The ENERGY STAR Products pro-
than the cost of textbooks and comput-
gram allows manufactures of selected
ers combined. DOE and EPA have two
energy efficient products to promote
programs that are working in coordina-
their products with the ENERGY STAR
tion to improve energy efficiency in U.S.
label. This allows consumers to easily
primary and secondary schools. DOE's
identify products that help the envi-
EnergySmart Schools works in partner-
ronment and save energy and
ship with major companies, unions,
money. More than 3,000 highly effi-
nonprofits, and Federal, state, and local
cient ENERGY STAR product models,
agencies to cut energy bills in schools so
ranging from computers to refrigera-
that the savings can be reinvested in stu-
tors to central air-conditioning units,
dents and their education. EPA's ENERGY
currently are available to consumers.
STAR Label for Schools provides tools
33
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
for schools to evaluate their own energy
of U.S. annual petroleum consumption).
use, find ways to reduce it, and meet indoor
Reflecting the fact that more than three-
air quality standards. DOE estimates that a
fourths of total energy consumption in
25 percent reduction in schools' energy use
the transportation sector is used in cars
will cut annual U.S. greenhouse gas emis-
and trucks, U.S. climate efforts in this
sions by 3 to 4 MMTCE.
area aim almost exclusively at reducing the
consumption of oil (and oil by-products)
in those vehicles.
New United States and
European Community
Agreement on
Partnership for a New
ENERGY STAR Labeling
Generation of Vehicles
Partnership for a New Generation of
Later this year, the United States and
Vehicles (PNGV) is a Federal government-
the European Community are expected
industry effort that aims to develop
to sign an agreement making the
attractive, affordable, family-size cars
ENERGY STAR label an international
that meet all applicable safety and envi-
symbol for energy efficiency. The
ronmental standards while achieving up
agreement is intended to unify volun-
to three times the fuel efficiency of today's
tary energy efficiency labeling programs
cars. Since 1993, the program has made
in two of the major global markets
great strides in developing lower-cost,
for office equipment. This coordinated
lightweight materials, operational fuel
effort will serve to increase global
cells, and advanced internal combus-
supply of energy efficient equipment
tion engines for use in hybrid vehicles.
and demand by establishing uniform
The PNGV program aims to develop
criteria for energy efficiency in the
concept cars in 2000 and produce a
United States and the European Union.
production prototype mid-sized family
In addition, the proposed agreement
car capable of 80 miles per gallon (mpg)
would lend greater authority to efforts
by 2004. In Fiscal Year 1999, appropria-
by other countries to stimulate the
tions for PNGV-related work totaled
market for energy efficient products
more than $240 million.
and establish the ENERGY STAR pro-
gram as the international symbol for
energy efficiency. The agreement cur-
Light and Heavy Trucks
rently is awaiting EC approval.
Similar government and industry efforts
are aimed at developing cleaner, more
efficient diesel engines for both light and
Transportation
heavy trucks.
The transportation sector accounts for
approximately 30 percent of U.S. annual
By 2002, DOE aims to develop
advanced diesel cycle engine tech-
greenhouse gas emissions (and 65 percent
nologies for pickup trucks, vans,
34
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
and sport utility vehicles that achieve
Industry
at least a 35 percent fuel efficiency
Industry accounts for approximately
improvement relative to current
one-third of U.S. annual carbon dioxide
gasoline-fueled trucks while meeting
emissions (and 27 percent of U.S. energy
strict emission standards.
consumption in 1997). A number of
DOE and EPA programs focus on devel-
By 2004, DOE, in coordination with
oping and promoting energy efficient
EPA and the U.S. Department of
technologies and practices in the nation's
Defense, aims to develop engine and
most energy-intensive industries.
vehicle technologies for heavy
trucks that will increase the fuel econ-
omy to 12 mpg from the current
Industries of the Future
average of 5.3 mpg.
This DOE program works cooperatively
with the nation's most energy-intensive
industries-such as aluminum, glass,
chemicals, forest products, mining, petro-
Breakthroughs on
leum refining, and steel-on research to
Concept Cars
develop technologies that increase energy
A direct result of the Partnership for a
and resource efficiency. Together, partici-
New Generation of Vehicles (PNGV)
pating industries use more than 80 percent
is the development of "concept cars,"
of all energy consumed in U.S. manufac-
including hybrid vehicles that com-
turing. Promising collaborative efforts
bine a traditional power source with
include improvements in the process of
battery storage and electric motors.
making steel, pulp and paper, and other
On October 5, 1999, Ford presented
energy-intensive products that could dra-
to DOE the company's P2000 concept
matically increase efficiency and lower
car, which uses advanced materials to
greenhouse gas emissions. DOE esti-
reduce the weight of a full-size vehicle
mates that participating industries will
by 40 percent. Combined with an
prevent emissions of more than 25
advanced direct injection engine, the
MMTCE by 2010 and realize $4 billion
P2000 is projected to deliver 63 miles
in energy cost savings.
per gallon. In addition, General
Motors and Daimler Chrysler displayed
Climate Wise
driveable vehicles powered by fuel
This EPA program gives technical assis-
cells. Concept cars that meet PNGV's
tance to more than 530 individual
80 mpg goal are expected to be
manufacturing companies that have
unveiled in 2000.
entered into partnership agreements with
the Federal government to reduce green-
35
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
house gas emissions, increase productivity,
HFC, PFC and SF₆ Emission
Reduction Programs
and save money. Companies submit
comprehensive action plans that identify
Of all greenhouse gases, perfluorocarbons
specific steps they will undertake between
(PFCs), sulfur hexafluoride (SF₆), and
the time they enter into the compact and
several hydrofluorocarbons (HFCs) are
2000. By 2010, Climate Wise partners are
the most potent because of their extreme
projected to have avoided cumulative
stability in the atmosphere and strong
greenhouse gas emissions of nearly 14
absorption of radiation. PFCs, for example,
MMTCE and saved $2 billion through
commonly have atmospheric lifetimes
their participation in the program.
on the order of thousands of years. The
U.S. government administers a variety of
industry-government voluntary partner-
Methane Reduction
Programs
ships that are reducing emissions of
The U.S. government administers a vari-
those gases substantially. The Voluntary
ety of industry-government voluntary
Aluminum Industrial Partnership
partnerships that significantly reduce U.S.
(VAIP) works with 11 of the nation's 12
methane emissions from a variety of
primary aluminum producers to reduce
sources: The Landfill Methane Outreach
PFC emissions while increasing the effi-
Program, the Coalbed Methane Outreach
ciency of primary aluminum production.
Program, Natural GasStar, AgSTAR, and
The Federal government also administers
the Ruminant Livestock Efficiency
a regulatory program through the Clean
Program (RLEP). These programs encour-
Air Act to help direct industry toward
age emissions reductions either through
safe, new alternatives as manufacturers
the profitable collection and use of
consider substitutes for ozone-depleting
methane, as opposed to its release to the
chlorofluorocarbons (CFCs) and halon
atmosphere, or, in the case of RLEP,
compounds.
through more efficient production in the
livestock and dairy sectors. In 1998, par-
Investments already made by partners in
ticipants in the programs reduced
voluntary programs will reduce cumula-
methane emissions by almost 5 MMTCE.
tive emissions by more than 49 MMTCE
EPA estimates that investments already
over the lifetime of the projects. In addition,
an estimated 54 MMTCE will have been
made to reduce methane emissions by
partners in these programs will reduce
prevented by 2000 through regulation.
cumulative emissions by almost 70
HFC and PFC emissions in applications
MMTCE and save more than $1 billion.
to replace ozone-depleting substances are
By 2010, EPA expects that methane
expected to be significantly below busi-
emissions will be stabilized at 1990 levels
ness-as-usual scenarios due to voluntary
as a result of these voluntary partnerships.
and regulatory initiatives. HFC, PFC and
SF₆ emissions from other industrial
36
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
sources are expected to be at or below
than 900 organizations are WasteWi$e
1990 levels by 2010.
partners. Waste reduction activities reduce
greenhouse gas emissions in several ways,
Industrial Combined Heat
including energy savings, increased carbon
and Power Systems
sequestration, and avoided methane emis-
DOE is developing new industrial com-
sions. In 1998 alone, the combined waste
bined heat and power (CHP) systems to
reduction results of Waste Wi$e partners
capture thermal heat that otherwise would
prevented emissions of approximately 4.5
be wasted. CHP systems are expected to
MMTCE-equal to the average annual
be 15 percent more energy efficient and
emissions from electric power consump-
80 percent cleaner than conventional
tion from roughly 2.7 million households.
power systems and cut electricity costs
by 10 percent. In addition, EPA and
Electricity
DOE are working to eliminate barriers
to the rapid dissemination of combined
Greenhouse gas emissions from the
heat and power technology.
generation, transmission, and distribu-
tion of electricity account for 30 percent
of U.S. annual greenhouse gas emissions.
Motor Challenge
U.S. climate efforts in this area include
Motor Challenge, Steam Challenge,
improving the efficiency of electricity
Combined Heat and Power Challenge,
generation through substituting lower
and Compressed Air Challenge are a
carbon and carbon-free fuels, reducing
group of voluntary initiatives aimed at
the demand for electricity through
improving energy efficiency in U.S.
greater end use efficiency, and restructur-
manufacturing plants by breaking down
ing the electric power industry. These
market barriers to the development and
efforts are being accomplished through a
diffusion of energy efficient technologies
combination of DOE and EPA volun-
and practices. These four Federal pro-
tary partnerships and R&D efforts.
grams offer industry a variety of technical
assistance, tools, and information. By
Electricity Restructuring
2015, these initiatives are expected to
A core element of the President's climate
reduce emissions by approximately 20
MMTCE and generate $3 billion in
change program involves restructuring
annual cost savings.
the electricity industry in a manner that
will reduce greenhouse gas emissions while
cutting consumers' energy bills. The
WasteWiSe
Administration's restructuring proposal
WasteWi$e works with U.S. businesses;
includes a requirement that utilities open
Federal, state, local, and tribal government
up their distribution and transmission
agencies; and other institutions to reduce
wires to all qualified sellers; a renewable
municipal solid waste. Presently, more
portfolio standard to increase the use of
37
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
electricity from renewable sources to at
includes $120 million in proposed
least 7.5 percent of sales by 2010; a $3
tax credits to support this program.
billion per year Public Benefits Fund to
Meeting the initiative's goals will
spur greater investment in energy efficien-
reduce carbon emissions equivalent
cy and renewable energy technologies; and
to the annual emissions from
a green labeling requirement to inform
850,000 cars by 2010.
consumers about clean energy options.
This plan is projected to reduce carbon
Hydrogen Research Program
emissions by roughly 40 to 60 MMTCE
DOE currently is accelerating research on
in 2010 while saving consumers at least
low-cost hydrogen production and stor-
$20 billion per year on their electricity
age-prerequisites to the widespread use
bills. The plan is now under consideration
of hydrogen as a fuel. Over the next five
by the U.S. Congress.
years, hydrogen is expected to make a sig-
nificant penetration into several niche
Photovoltaic Energy
fuel markets, owing to the recent demon-
Systems R&D
stration of low-cost, high-performance
Over the past 20 years, Federal research
Proton Exchange Membrane (PEM) fuel
and development has resulted in a 90 per-
cell systems by Daimler Chrysler, Ford,
cent cost reduction in solar photovoltaics
and other companies.
(PV). As a result, industrial manufacturing
of PV modules more than doubled
High Temperature
between 1994 and 1998, growing from
Superconductivity
26 megawatts in 1994 to more than 53
DOE supports industry-led projects to
megawatts in 1998. DOE now is acceler-
capitalize on recent breakthroughs in
ating its R&D of the next generation of
superconducting wire technology, aimed
photovoltaic cells; increasing manufacturing
at developing super-efficient power
R&D; increasing research in buildings-
equipment, such as advanced motors,
integrated applications; and developing
power cables, and transformers. These
new, unconventional technologies.
technologies would allow more electricity
to reach the consumer without increas-
Million Solar Roofs. This initia-
ing the use of fossil fuels.
tive, announced by the President in
June 1997, seeks to place solar ener-
Climate Challenge
gy systems on one million roofs by
This program is a joint voluntary effort
2010. To date, commitments for
between DOE and the electric utility
900,000 have been made, indicat-
industry to reduce, avoid, or sequester
ing the potential for widespread
greenhouse gases. Utilities identify and
market penetration of solar tech-
implement cost-effective activities that
nologies. The President's Climate
are specified in agreements between the
Change Technology Initiative
38
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
Federal government and individual elec-
40-year license, DOE initiated the Nuclear
tric utilities. Under this program, the
Energy Plant Optimization (NEPO)
electric utility industry as a whole also
program. NEPO supports collaborative
has developed nine industry-wide initia-
R&D with industry, aimed at resolving
tives to research, develop, and promote
open issues related to plant aging. It also
technologies and practices that lower
supports the application of new technolo-
greenhouse gas emissions. Currently,
gies to improve plant economics, reliability,
Climate Challenge's partner utilities
and availability.
number more than 600 and represent 71
percent of the 1990 U.S. carbon emissions
Sequestration
from electricity generation. Utilities
and Agriculture
estimate that pledged Climate Challenge
actions would reduce emissions by as
R&D for Sequestration
much as 47 MMTCE in 2000.
DOE is pursuing research on sequestration
technologies to separate and capture car-
Cleaner Coal and
bon dioxide from energy processes and
Natural Gas
combustion, disposal technologies for
DOE supports an aggressive R&D effort
storing carbon dioxide in underground
to develop next-generation technologies
geological structures and in the deep
for the combustion and use of coal and
ocean, and advanced concepts to trans-
natural gas. For example, research and
form carbon dioxide into either useful
development of new coal combustion
or environmentally benign products. In
technologies, such as integrated gasification
the post-2015 time period, this program
combined-cycle and pressurized fluidized
has the potential to eliminate hundreds
bed combustion, could lead to ultra-high
of millions of metric tons of greenhouse
efficiency coal plants with dramatically
gases from the atmosphere.
lower greenhouse gas emissions-as much
as 75 MMTCE by 2030.
Carbon Sequestration in
Agriculture and Forestry
Nuclear Energy
Natural carbon sinks will play a critical
Nuclear power plants provide approxi-
role in helping the world meet the chal-
mately 20 percent of U.S. electricity and
lenge of climate change. Recently, focus
avoid greenhouse gas emissions of 150
has intensified on agriculture and
MMTCE annually. Licenses for U.S.
forestry practices that can affect the abil-
nuclear power plants will begin to expire
ity of farmland and forests to sequester
in large numbers in 2010. To ensure that
carbon and help mitigate the impacts of
current nuclear plants can continue to
climate change. As understanding of these
deliver adequate and affordable energy
practices has increased, the U.S. govern-
supplies up to and beyond their initial
ment has begun to analyze the net carbon
effects of various USDA conservation and
39
United States: Taking Action on Climate Change
PART IV: ONGOING U.S. DOMESTIC PROGRAMS
environmental programs and to determine
Scientific Research
how they can be enhanced and expanded
The Administration is continuing its
to foster greater sequestration. In general,
strong support ($1.7 billion in Fiscal
the programs assist farmers, ranchers,
Year 1999 funding) for the U.S. Global
and other landowners in conserving and
Change Research Program (USGCRP),
improving soil, water, and other natural
which seeks to provide a sound scientific
resources associated with rural land. The
understanding of the human and natural
programs include:
forces that influence the Earth's climate
system. National and international poli-
Conservation Technical Assistance
cymakers use the information produced
(CTA) helps farmers develop and
by USGCRP scientists to make informed
implement conservation plans on
decisions on global change issues.
farms and ranches. Practices that
Specific new research focuses include:
sequester carbon include cover crops,
residue management, crop rotation,
Carbon Cycle Initiative-a new
and buffer establishment.
multiagency initiative to improve
understanding of the ways that car-
Conservation Reserve Program
bon cycles between the atmosphere,
(CRP) provides rental payments and
oceans, and land.
cost-sharing on 36.4 million acres for
grass, shrub, or tree planting in
Soil Carbon Inventory-expanded
exchange for retiring highly erodible
efforts to conduct a comprehensive
or other environmentally sensitive
scientific inventory of carbon stored in
cropland.
U.S. soils and develop methods to
predict how various practices and
Forestry Incentives Program (FIP)
policies would affect soil carbon levels.
provides financial and technical assis-
tance to encourage production of
Consequences of Climate
sawtimber and pulpwood on nonin-
Change-the first national assess-
dustrial private forestlands, and the
ment of the potential impacts of
Stewardship Incentives Program
climate change on the United States.
(SIP) provides financial and techni-
cal assistance to expand tree planting
and implement stewardship plans on
private properties.
40
Ag chapter
A blend of 20 percent biodiesel (methyl soyate from soybean oil) and 80 percent diesel fuel is
referred to as B20. Biodiesel is an alternative motor fuel produced from renewable resources
such as vegetable oil or animal fats and, typically, blended with petroleum diesel. A one-year
demonstration at a U.S. government research center in Beltsville, Maryland, began August 1999.
Currently, all 64 diesel-powered vehicles on the east side of the facility use the B20 fuel blend.
The vehicles include pick-up trucks, tractors, ride-on lawnmowers, and a compost turner. A
visitors center tour bus is also running on the blended fuel.
Fuel blending is achieved on site in underground storage tanks, and no engine conversion is
required to use B20. Replacing petroleum diesel with B20 will reduce carbon dioxide emissions
16 percent. JOHN; DOE says in what timeframe? What are the market penetration conditions for
this statistic ?B20 will also reduce emissions of carbon monoxide (20 percent), particulate matter
(22 percent), and sulfates (20 percent)-three pollutants that pose health risks in certain areas of
the United States. B20 reduces unburned hydrocarbons by 7 percent. B20 also reduces levels of
two compounds identified as potential carcinogens, PAH (polycyclic aromatic hydrocarbons) (13
percent), and nPAH (nitrated PAH) (50 percent).
or
Replacing a gallon of pet. diesel
@USDA Roger Conway
with a gallon of BZO
Transp.
chapter
Developing Cleaner Fuels
On August 12, 1999, President Clinton issued an Executive Order that accelerates federal efforts
to develop bioproducts and bioenergy. In the transportation sector, program goals include the
development of low-cost biomass feedstocks and cost-competitive conversion technologies for
liquid fuel production from agricultural residues, forestry wastes, and energy crops. Since
biofuels produce almost no net carbon on a life cycle basis, they are a promising supply side
option for reducing carbon emissions in transportation.
1.2
Clean burning fuels have the potential to reduce greenhouse gas emissions significantly. Through
1998, the use of ethanol blends in gasoline is estimated to have displaced quads (worth $12
billion) of oil-based fuels, thereby reducing carbon emissions by as much as MMTCE. If 4
Federal biofuels goals are met by 2010, the emission reductions from using clean fuels will
approach 3.4 MMTCE. http://www.ott.doe.gov/biofuels/ JOHN: DOE says is this cumulative or
annual?
in 2010.
Clean fuels research also includes the Ultra Clean Transportation Fuels Program. Several
offices are researching near-term petroleum-based transportation fuel options, intermediate
options that are based on petroleum and other fossil fuel feedstocks, and long-term options for
renewable fuels, such as biofuels. The Fuels Utilization R&D Program, which is part of the Ultra
Clean Transportation Fuels initiative, will facilitate the identification, development, and testing
of new fuel formulations for use by the advanced automotive and truck engines developed in the
PNGV and heavy truck programs.
Through its Hydrogen Research Program, the Federal government is accelerating advances in
producing low-cost hydrogen production and storage systems-prequisisites to the widespread
use of hydrogen as a fuel. Given the recent demonstration of low-cost, high-performance Proton
Exchange Membrane fuel cell systems by Daimler-Chrysler, Ford Motor Company, and other
companies, hydrogen has the potential to create niche fuel markets in the near future.
From Brownfields to Brightfields
The New Center for Green Industry in Chicago, Illinois, is an alliance between the City of
Chicago, Commonwealth Edison, the Spire Corporation, and the U.S. government. The
goal is to develop one of the city's brownfields with a factory for manufacturing solar
panels and a solar energy system that will supply some of the company's electricity needs
and serve as a demonstration and educational site. The project will create 100 jobs in
Chicago in manufacturing and supporting industries when it opens its plant in the winter
of 2000.
The New Center for Green Industry solar systems will produce more than 22 million
kilowatts of power annually and spare the region's air almost 11,340 MTCE over the next
five years-the equivalent of taking 2,500 cars off the road during those five years. In
addition, the project has attracted a major solar assembly plant to Chicago. The plant will
produce enough panels to meet local solar demand, and local production will lead to cost
reductions for consumers in the region in addition to stimulating the market for
photovoltaics.
original had 25 X 10⁶ lbs CO2
25 X 106 ÷ 2200 ÷ 3.667
= 3100 metric tons carbone
how many others
were changed?
David Gardiner <[email protected]>
09/12/2000 09:22:40 AM
Record Type:
Record
To:
John D. Gibson/WHCCTF/EOP
CC:
Subject: new executive summary
A couple of thoughts on the new draft, which is a
major improvement on the old one:
In the discussion of the improving GHG numbers, we
should note that in addition to the improvement in the
ratio of GHG to GDP, the rate of grwoth in US
emissions is also smaller.
In the discussion of what's driving the improvement in
numbers, the word "e-commerce" is too narrow. I'm not
sure what the right word is, but the digital
revolution, which is broader, is driving a range of
productivity and energy efficiency gains, including
e-commerce.
Put the Ford/GM announcements ahead of the IBM/J&J
announcements. Cars are still the number #1 symbol of
US energy profligacy, and the emission reductions from
the Ford/Gm announcements are more significant. (I
have preliminary estimates from EPA, which could be
firmed up and used if we want.)
In the description of Stage 2 of the three stages, it
suggests that emissions trading will begin in 2004.
We want this stage to include economic and scientific
evaluation of current progress as a precursor to Stage
3 which will be the emissions trading stage.
In the ICLEI section, I think cities that are in the
Cities for Climate Protection Campaign make a pledge
that includes reducing emissions. If so, that sounds
like a stronger commitment than the others that are
listed in this section and I would include it.
Hope that this helps.
Do You Yahoo!?
Yahoo! Mail - Free email you can access from anywhere!
http://mail.yahoo.com/
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FAX to John Gibson - 202 395 2342
Copy to Jackie Krieger - 202 501 0394
From David Doniger (cell # 336-72-01-51-90)
Here are some (unfortunately, scrawled) comments on the executive summary.
This is an improvement, but I think more improvement is possible. Please take the line edits that seem
valuable to you. Below is a summary of comments of a more organizational or emphasis nature.
1) The current "Corporate America" section (I prefer "American Business") strikes me as very weak. It
needs to be beefed up with more corporate actions if it is to have any heft - especially since the PNGV
"action" is still mostly just R&D. I think it is fair to put it to EPA to come up with those examples,
and I'm asking Jackie to work quickly with EPA staff to come up with more. I also think there is room
to catalogue the associations that are proving helpful (e.g., Pew, ICCP, BCSE) and mention some of
their most prominent companies. It's also a way to pay a left handed tribute to the decline of the GCC:
"While organizations dedicated to opposing international action have declined, others voices have
come forward."
2) I think the "Real Actions, Real Results" section is the meat I realize it looks perhaps "too
programmatic." We could, however, easily come up with "featured" corporate partner examples for
No
the DOE energy standards and the EPA Energy Star programs - to put it a more personalized face on
it
3) I think the box on the President's three-part commitment should be up front, near the "Real Actions,
Real Results" section.
4) For clarity, I've retyped some one of the more illegible comments on sections of the attached:
"In recent years, very robust growth in U.S. gross domestic product (GDP) has been accompanied by a
slowdown in the growth of the nation's greenhouse gas emissions. This trend has grown more pronounced
in the late 1990s:
Over the 1990s, U.S. GDP grew almost three times faster than energy-related CO2 emissions.
In 1998 and 1999, U.S. GDP grew by more than 4 percent per year while CO2 emissions grew by less
than 1 percent per year.
"
In the following discussion of declining energy intensity, ask Skip Laitner whether there is a more positive
term: "growing energy efficiency"?
(202)
S64
9833
Dor Zingu 564-
1109
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To:
Doniger, Haspel, Bodansky, Miotke
From:
Gardiner
Re:
New Draft of COP6 Materials
September 12, 2000
Attached is the latest draft of the materials for COP6. John Gibson wants comments by today. He has sent
this to others in your Department/Agency, and it would most helpful if you would provide one coordinated
set of comments, but given the timing of this, it would be better to get your comments rather than none at
all
John's e-mail is John D. [email protected].
Thanks for your help.
2023952342
The American (Corporate
America") section is short + weak. them It a
might section) you could patners in
be put in a box, rather beefit up
a lu text with statistics star on how programs many etc. Pew
decline Enegy of GCC, rise of
etc.
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Executive Summary
Graphics: Use larger font for following text
Climate change is the premier environmental challenge of the 21st century. There is widespread
consensus among the world's leading atmospheric scientists agree that the Earth is warming and that
human activities are contributing to this trend.
The United States is fally committed to meeting this challenge, both through domestic actions to reduce
greenhouse gas emissions and by working with other nations to achieve agreement on a sound, cost-
effective global strategy true, and binding agreement that can be ratified,
agreement
a
problem
There is a growing awareness throughout U.S. society that the problem of global warming is serious and
that serious action is required. State and local leaders, religious and scientific organizations, and
>
businesses large and small throughout the Nation are joining the Federal government in pursuing
creative, cost-effective steps that reduce greenhouse gas emissions.
Most importantly, these efforts are yielding tangible results in terms of tons of greenhouse gas emissions through $1
we and tangible, changing the path of U.S.
avoided due to specific, concrete actions taken by governments and businesses. Moreover, there is
significant evidence that the United States is beginning to decouple economic growth and greenhouse
important landmark in the world's fight against climate change.
gas emissions growth - an achievement that would be truly historical shape in represent be an
End large font
"The greatest environmental challenge of the new century is global warming If we fail to
reduce
the
emission of greenhouse gases, deadly heat waves and droughts will become more frequent, coastal
:
areas will flood, and economies will be disrupted That is going to happen, unless we act.
President Bill Clinton
State of the Union Address
January 27, 2000
Photo of Clinton and Gore to come from WHCCTF
Decoupling Economic Growth and Emissions Growth
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very robut girth in
Page 2 of 8
In Recent years have produced a widening gap between the robust growth in the U.S. gross domestic
product (GDP) and much slower growth in the nation's greenhouse gas emissions. The disparity
(Thistree
between GDP and carbon dioxide (CO₂) emissions was greater in the second half of the 1990s than it
has
was in the first half.
has been accompanied by
from
less than
more
In 1999, the U.S. GDP grew by 42 percent while CO₂ emissions grew by only about 1 percent
pm
combine
1987
more thank payear
per you
Ei
In 1998, the U.S. GDP grew by 4 percent while CO₂ emissions grew by only 0.4 percent
the
Overall, during the 1990s, the U.S. GDP grew almost three times more quickly than did
1
energy-related co₂ emissions.
ash
dy:
Graphics: Insert graph, Growth in the U.S. Economy and CO2 Emissions
Caption: Recent years have produced a widening gap between the robust growth in the U.S. gross
domestic product (GDP) and much slower growth in the nation's greenhouse gas emissions.
Can contranalate a delines in intensity
into a figure virease energy
Underlying these overall numbers are/sure MAR encouraging data about U.S. energy intensity - the amount
of energy needed to support the nation's economic activity. From 1960 to 1996, energy intensity
declined by an average rate of 1.3 percent per year. From 1996 to 1999, however, the nation's energy
intensity declined at a rate of 3.2 percent annually In absolute terms this is significantly greater than the
2.6 percent rate of decline that occurred during the oil crisis years of 1973 to 1986.
without
What is remarkable about this trend in the last three years is that it has occurred in the absence of either
major price signals or fundamental shifts intenergy policy. Instead, new investments, averaging about 17
percent of GDP over the last three years appears to be driving much of the decline in energy intensity.
Others have speculated that the rise of e-commerce lies behind these numbers and predict continued
progress in reducing energy intensity as e-commerce continues to thrive
Regardless whaters of the underlying outises behind this data, it is elear that many U.S. businesses, states and
lako
geors
Krupid of (whichtyptec
localities, and the Federal government are achieving real results in reducing greenhouse gas emissions. It
an
is also clear that there is the deptharf commitment at all levels needed to assure that these results
multiply in the years ahead, This paper represents a progress report detailing beth those results and that
effice
commitment. Some particular projects and commitments that deserve highlighting are set forth below
this
American Boisiness Is
Corporate America Stepping Forward
information older capito
U.S. industry is undergoing a sea-change in its attitude towards the issue of I climate change. This reflects
the basic economic fact that saving energy and reducing waste is in corporate America's interest. More
and more companies are realizing that saving energy and reducing waste make sense not just for the
environment, but also for their bottom line.
American business
In 2000, Johnson & Johnson and IBM became the first two companies to join the World Wildlife
Fund's Climate Savers, a new partnership to help businesses voluntarily lower energy consumption and
reduce emissions of greenhouse gases. In joining Climate Savers, companies make specific
commitments to reduce those emissions and participate in an independent verification process. In so
doing, these companies host of major U.S. companies that stepping forward with real plans to address
climate change - often saving themselves and their shareholders money in the process. A sampling of
http:/s.f62.mailyahoo.corn/ym/ShowLeter?box=Inbox&MsgId=5393_3563_211_2147_96.91200
I would suitchtlis section with the next me.
The next is more meaniful impressive
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this list includes: DuPont, Motorola, United Technologies, Boeing, Shell, Weyerhaeuser and Amoco
and Arco, subsidiaries of British Petroleum.
Irraddition, I the automobile industry IS starting to show important progress in reducing emissions from
mark is maling important
automobiles. Thanks in part to the public-private Partnership for a New Generation of Vehicles
(PNGV), General Motors, Ford Motor Company, and Daimler-Chrysler have all unveiled concept
Chul
cars that are capable aftraveling 70-80 miles per gallon. The vehicles were partly developed under the
get
PNGV program. To encourage consumer interest in these new types of vehicles, the Administration is
proposing tax credits of up to $3,000 for the purchase of a hybrid vehicle (see box). In addition, all three
major Detroit automakers also have announced production plans for fuel-efficient sport utility vehicles
(SUVs) using technologies developed in part under PNGV.
Must mention Toyota, Honda hybrids
Real Actions, Real Results
For the past seven years, the hallmark of the Clinton-Gore Administration's strategy for reducing U.S.
greenhouse gas emissions has been to use R&D investments and tax incentives to increase energy
efficiency and spur the broader use of renewable energy and to work with industry to promote voluntary,
cost-effective reductions. Many U.S. climate protection programs can now show real, tangible results,
including:
and reduce pollution,
Minimum efficiency standards on residential appliances such as furnaces, water heaters, air
conditioners, and refrigerators, have saved consumers a total of nearly $25 billion through 1999,
avoiding cumulative emissions of nearly 50 MMTCE. Four pending appliance standards (clothes
No one
washers, ballasts, water heaters, and central air conditioners) are expected to save a total of 10
speaks
"quads quads of energy through 2030.
get DOE to put this in $ and
Carbon
terms
or kilowatt thows
pruchase &
The Energy Star label promotes the voluntary use of highly efficient products by making it easy
for consumers to identify high-quality, energy-efficient products for their homes and offices. In
1999 alone, Energy Star programs reduced electricity consumption by more than 44 billion
kilowatt-hours It is estimated that in 2010 Energy Star programs (for both buildings and products)
will reduce U.S. greenhouse gas emissions by an amount equal to over 100 million metric tons of
Sample
carbon (MMTCE) - the equivalent of taking some 85 million cars off the road.
We estimate that
more than
partners
Programs designed to halt the growth in emissions of high GWP (spell out) gases are achieving
significant progress. Investments already made by partners in these programs will reduce
cumulative emissions by an estimated 80 MMTCE by 2010.
what doe the mean, 80 mp Tove the duade?
Humst potent greenhouse
gases (so-called "high GWPgases
Any others in the report that deserve special highlighting? Substitutes suggested?
Growing Commitment by U.S. Government
Over the past two years, the Clinton-Gore Administration has secured more than $6 billion in overall
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funding to fight climate change. For clean energy technologies alone, the President has secured $2
billion to research and develop technologies in the four major carbon-emitting sectors of the U.S.
economy:
Industry
Buildings
Electricity generation
Transportation
As of this writing, the President and Vice President are seeking funding for even more ambitious
funding levels for climate protection programs. The President's FY 2001 budget proposal includes $2.4
billion in funding for renewable energy, energy efficiency, agricultural- and forest-based bioproducts
and energy, research and development, and tax incentives for the purchase of clean cars, homes, and
appliances. These investments represent a 43 percent increase over FY 2000 enacted levels.
This year's budget proposal builds on the Administration's consistent record of fighting for - and
achieving - higher funding levels for climate programs. (see chart below)
Graphics: Insert graph, Funding for Technology Programs to Combat Climate Change
Funding for Technology Programs to Combat Climate Change
(in millions of dollars)
Year 1993 1994 1995 1996 1997 1998 1999 2000 (Estimated) 2001 (Proposed)
$$ 603 796 960 785 764 825 1,009 1,095 1,432
Norah - make this a box - ignore different colors
Targeted Tax Credits to Fight Global Warming
As part of his Climate Change Technology Initiative, President Clinton has proposed $9.3 billion in tax
incentives over 10 years for consumers who purchase energy efficient products and for producers of
energy from renewable sources. Highlights include:
Tax credits for energy efficient homes. Consumers can receive a $1000-2000 credit toward the
purchase of a new energy efficient home; a 20 percent tax credit for the purchase of selected energy
efficient products for homes and buildings; and a $1000-2000 credit for installing a solar energy system.
Tax credits for fuel-efficient cars. The package extends the current tax credit (of up to $4000) through
2006 for qualified electric and fuel cell vehicles and also includes a tax credit of $500-3000 for the
purchase of a qualifying hybrid vehicle from 2003-2006.
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Tax credits for clean energy. The package extends the 1.5 cent per kilowatt hour tax credit for the
production of electricity from wind and closed-loop biomass; provides credits for open-loop biomass
facilities and coal-biomass cofiring; and provides credits for electricity produced from methane from
certain landfills.
End of box
put American Business here maybe
(it o so short + weals as - or Put
New Federal Initiatives
Maybe
it in a Box
this
In addition to fighting for increased funding for climate programs, the Administration has proposed or
implemented four major climate initiatives in the past year:
Cutting Fuel Use by Federal Fleets. An Executive Order from President Clinton requiring
Federal government agencies to reduce the amount of petroleum used by their vehicle fleets by 20
pitifully small
percent below 1999 levels by 2005. This action is expected to reduce greenhouse emissions by an
amount equal to 0.16 million metric tons of carbon (MMTCE) per year. This Executive Order is
especially important because the U.S. government is the largest consumer of energy in the world.
should not be listed; certainly not first.
21st Century Truck Initiative.A10-year research and development partnership between the U.S.
government and nine major U.S. corporations that manufacture trucks, diesel engines, and
transmissions. (get the title right)
International Clean Energy Initiative. The President is seeking $201 million for FY 2001 (a
more than 100 percent increase over FY 2000 enacted levels) for a multi-agency initiative to
accelerate the international development and deployment of clean energy technologies.
Clean Air Partnership Fund. The President is seeking $85 million for FY 2001 for a new fund
to provide grants to state and local governments and tribes for projects that reduce greenhouse
gases and ground-level pollutants like soot, smog, and air toxics.
Begin Box This should be featured up fort at or before Consentment" "groming
The programs and policies set forth in this report are part of a three-stage plan to respond to the
challenge of climate change. In 1993, following the U.S. ratification of the UN Framework Convention
on Climate Change, President Clinton launched the Climate Change Action Plan (CCAP), emphasizing
a series of voluntary initiatives for reducing greenhouse gases. These efforts were expanded significantly
in 1997, prior to the Kyoto conference, when the President outlined a more comprehensive plan for
reducing U.S. emissions:
Stage 1: Priming the pump through R&D investments and tax incentives aimed at increasing
energy efficiency and spurring the broader use of renewable energy; working with industry and
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others to promote sensible solutions; and employing market-based mechanisms to ensure cost-
effective reductions.
Stage 2: Review and reviewuation in preparation for a domestic emissions trading system. When
this stage begins around 2004 emissions trading will harness the power of the market to achieve a
national greenhouse gas target at the lowest possible cost. The United States is using emissions
trading successfully to reduce the pollution that causes acid rain, exceeding environmental
objectives while reducing the costs to 50 percent below the expected level.
Stage 3: Binding targets through a domestic emissions trading program. Beginning in 2008, this
program would be implemented in the major sectors of the U.S. economy discussed in this report:
industry, buildings, electricity generation, and transportation.
This three-stage plan recognizes the long-term nature of the challenge and allows us to monitor our
progress and re-assess our success in reducing emissions, the state of scientific knowledge, and the
response of the U.S. economy.
End Box
Thinking Globally, Acting Locally
In addition to Federal government and major U.S. corporations, states and localities throughout the
United States are also coming to increasingly recognize the effects that climate change could have on
their lives and economic well-being. Many are stepping forward both individually and in concert with
other jurisdictions to take real steps to reduce emissions:
The International Council for Local Environmental Initiatives' (ICLEI), Cities for Climate
Protection Campaign (CCP), offers training and technical assistance to cities, towns, and counties
for projects that focus on reducing emissions through improving energy efficiency, expanding the
use of renewable energy, enhancing waste management practices, better land use planning, and
improving transportation systems. A total of 78 U.S. cities and counties currently participate in the
Cities for Climate Protection Campaign.
In June 2000, the U.S. Conference of Mayors passed a resolution recognizing the seriousness of
the climate change and calling for increased cooperation between cities and the Federal
government in taking action to address the challenge.
In 1999,a group of more than 530 local officials in the United States issued a "Statement on
Global Warming," expressing concern about the impacts of climate change on their communities
and urging accelerated Federal efforts to assist them in reducing global warming pollution.
Signatories included the mayors of Atlanta, Baltimore, Chicago, Cincinnati, Denver, Honolulu,
Las Vegas, Madison, Milwaukee, Minneapolis, Newark, New Orleans, Portland, Salt Lake City,
San Francisco, Seattle, St. Louis, and Tampa.
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To date 35 states and territories have completed voluntary greenhouse emissions reports with
technical assistance from the U.S. government's State and Local Climate Change Program. Of
the states that have completed emissions inventories, 26 have initiated voluntary action plans and
17 have completed those plans.
check w/ EPA; what to have "nitiated"
and "completed" viluntary actimplem.
Graphics: Insert state and local map if room (state action plans and cities in Cities for Climate Protection
Campaign: Caption: Twenty-six states have initiated voluntary action plans to address climate change,
and 78 cities and counties currently participate in the Cities for Climate Protection Campaign.
"We have learned that a strong economy and a safe environment go hand in hand."
Vice President Al Gore, April 21, 2000
Photo of Gore
The United States understands that domestic progress on climate change is important in itself- - in short,
it is important that our nation does its part so that we may pass on a livable world to our children and our
grandchildren. Yet it is also important for setting the stage so that more progress may be made
internationally - - both in and outside of the Kyoto Protocol. In the long run, President Clinton's balanced
approach to addressing climate change will allow the United States to continue to grow our economy
and protect the environment at the same time. It is the President's fundamental belief that all nations
must meet this essential challenge.
"Many
people still believe you cannot cut greenhouse gas emissions without slowing economic
growth. In the Industrial Age that may well have been true. But in this digital economy, it is not true
anymore. New technologies make it possible to cut harmful emissions and provide even more growth."
President Bill Clinton
State of the Union Address
January 27, 2000
Photo of Clinton
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Graphics: keep the following box at the end of Ch 1 and set it off in some special way.
Measuring Greenhouse Gas Emissions and Emissions Reductions
Greenhouse gas emissions typically are expressed either in terms of metric tons of carbon equivalent
(MTCE) or in metric tons of carbon dioxide equivalent. This report uses MTCE or million MTCE
(MMTCE). To convert carbon equivalents to carbon dioxide equivalents, multiply by 3.67.
This report focuses on progress the United States is making at combating climate change on multiple
fronts. Each chapter provides an overview of programs and accomplishments within key sectors of the
U.S. economy. The greenhouse emissions from each sector-industry, buildings, electricity,
transportation, and agriculture and forestry-are not mutually exclusive. For example, buildings house
industrial processes; thus, GHG emissions related to the production of goods and services might be
viewed as deriving from either the buildings or the industrial sector. Because of this overlap, it would
not be appropriate to add together emissions or emission reductions for each sector to produce an
estimate of total U.S. emissions or emission reductions.
Likewise, because of the interactions among programs that are designed to reinforce each other, an
estimate of aggregate U.S. reductions cannot be produced by adding up emission reductions for all of
programs discussed in this report. Furthermore, estimates from different Federal government agencies,
private sector entities, and state and local governments may rely on different baselines and cannot be
directly compared. Finally, substantial uncertainty is associated with any of these projections because
many of the estimates attempt to quantify the adoption of projected technologies and practices more than
a decade into the future.
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