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FOIA Number: 2017-1094-F FOIA 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] Stack: Row: Section: Shelf: Position: S 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 N t e.Sureu Chimate G1 UO Domestic 0007 ovember N t € a UO 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 COP6Concolidredline Predecisional Draft 09/12/00 Dane 21 of 52 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. Dredecisional Draft 09/12/00 Done " of 52 "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 COP6Consolidredline Dredecicional Draft 09/12/00 Dane " of 52 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. COP6Concolidredline Predecisional Droft 00/12/00 Dane 24 of 50 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. 09/12/00 TUE 16:13 FAX 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 12 of 54 09/12/00 TUE 16:16 FAX 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 Planning comments COP6C nsolidatedd2 Predecisional Draft 09/12/00 Page 13 of 54 09/12/00 TUE 16:17 FAX 006 #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 Planning comments COP6C onsolidatedd2 Predecisional Draft 09/12/00 Page 17 of 54 09/12/00 TUE 16:18 FAX 007 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 18 of 54 09/12/00 TUE 16:19 FAX 008 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, Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 20 of 54 09/12/00 TUE 16:20 FAX 009 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 21 of 54 high. 09/12/00 TUE 16:21 FAX 1 010 [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) 09/12/00 Planning comments COP6CoRAolidatedd2 Predecisional Draft Page 26 of 54 09/12/00 TUE 16:21 FAX 011 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). Planning comments COP6CoRaolidatedd2 Predecisional Draft 09/12/00 Page 39 of 54 09/12/00 TUE 16:22 FAX 012 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 40 of 54 09/12/00 TUE 16:23 FAX 1 013 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, Planning comments COP6Co@olidatedd2 Predecisional Draft around 170,000 09/12/00 Page 42 of 54 09/12/00 TUE 16:24 FAX 014 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 43 of 54 09/12/00 TUE 16:25 FAX 015 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 46 of 54 09/12/00 TUE 16:26 FAX 016 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. Planning comments COP6Cohsolidatedd2 Predecisional Draft 09/12/00 Page 49 of 54 09/12/00 TUE 16:26 FAX 017 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. Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 19 of 54 09/12/00 TUE 16:27 FAX 018 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. Planning comments COP6Corsplidatedd2 Predecisional Draft 09/12/00 Page 29 of 54 09/12/00 TUE 16:28 FAX 019 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 Planning comments COP6Coasolidatedd2 Predecisional Draft 09/12/00 Page 30 of 54 09/12/00 TUE 16:29 FAX 020 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, Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 31 of 54 09/12/00 TUE 16:30 FAX 021 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/ Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 32 of 54 09/12/00 TUE 16:31 FAX 022 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 33 of 54 09/12/00 TUE 16:32 FAX 023 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 Planning comments COP6Consolidatedd2 Predecisional Draft 09/12/00 Page 34 of 54 09/12/00 TUE 16:33 FAX 024 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. Planning comments COP6Censolidatedd2 Predecisional Draft 09/12/00 Page 35 of 54 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. Clinton Presidential Records Digital Records Marker This is not a presidential record. This is used as an administrative marker by the William J. Clinton Presidential Library Staff. This marker identifies the place of a publication. Publications have not been scanned in their entirety for the purpose of digitization. To see the full publication please search online or visit the Clinton Presidential Library's Research Room. 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/ 12-09-2000 17:25 DE PALAIS DES CONGRES A 0012023952342 P.10 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 12-09-2000 17:20 DE PALAIS DES CONGRES A 0012023952342 P.01 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. 12-09-2000 17:21 DE PALAIS DES CONGRES A 0012023952342 P.02 anoo! Mail Page 1 ot 8 Yahool Mail for [email protected] Yahoo! . My Yahoo! Options - Sign Out Help Mail Addresses Calendar Notempad Attachment View Powered by Outsidelmerver Back to 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 http://s.f62.mail.yahoo.com/ym/ShowLeter?box-Inbox&Msgld=5393_363_21_2147_96.9/1200 12-09-2000 17:21 DE PALAIS DES CONGRES A 0012023952342 P.03 Yahoo! Mail 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 12-09-2000 17:22 DE PALAIS DES CONGRES A 0012023952342 P.04 Y anoo! Mail Page 3 of 8 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 http:/s.f62.mail.yahoo.com/ym/ShowLeterbox=lnbox&Msgld=5393_3563_211_2147_96.9120 12-09-2000 17:23 DE PALAIS DES CONGRES A 0012023952342 P.05 Y anoo: Man Page 4 of 8 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. http://us.f6.mail.yahoo.com/ym/ShowLeter?box=lnbox&Msgld=5393_3563_211_2147_96.9/12/0. 12-09-2000 17:23 DE PALAIS DES CONGRES A 0012023952342 P.06 Yahoo! Mail Page 5 of 8 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 http://s.f62mail yahoo.com/ym/ShowLeter7box=Ihbx&MsgIdF5393_353_211_2147_96.9120Q 12-09-2000 17:24 DE PALAIS DES CONGRES A 0012023952342 P.07 ahoo! Mail rage o or 5 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. 12-09-2000 17:24 DE PALAIS DES CONGRES A 0012023952342 P.08 Yahoo! Mail Page 7 of 8 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 http://s.f62.mail.yahoo.com/ym/ShowLeter?box=lnbox&Msgld=5393_3563_211_2147_96.91206 12-09-2000 17:25 DE PALAIS DES CONGRES A 0012023952342 P.09 1 rage o or 8 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. Back to Yahoo! Messenger - Send instant messages to your online friends. Address Book Alerts Auctions Bill Pay Bookmarks . Briefcase . Broadcast Calendar . 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