US bill could cut energy costs by $51bn

The Energy Savings and Industrial Competitiveness Act would cut energy bills by $51bn, save 32 quadrillion BTU of energy, and avoid 1.3bn tons of carbon dioxide emissions cumulatively for measures by 2050. 

The bill was approved by the Senate Energy and Natural Resources Committee with bipartisan support. Chairman Lisa Murkowski (pictured) has confirmed she is preparing a package of energy-related bills that have advanced through her committee for a full Senate vote. The bill, introduced in an updated form last year, is supported by a host of business associations and energy efficiency leaders, including the U.S. Chamber of Commerce.

The analysis shows that the bill’s provisions on building energy regulations would have by far the largest energy-saving impact. These provisions would direct the Department of Energy to work with states, Indian tribes, local governments, code and standards developers, and others through a rulemaking process to develop energy savings targets for model building energy codes. The Department would also assist state adoption of these codes and implement a new grant programme to help homebuilders, contractors, trades, code officials and others to cost-effectively implement updated codes. States and localities would continue to decide which codes to adopt.

“This would be the biggest cut of energy waste from any new federal law in a decade,” said ACEEE senior policy advisor, Lowell Ungar. “By spurring the construction of more energy-efficient buildings, reducing energy waste in industrial plants, and assisting energy improvements in existing buildings, it would cut our energy costs and greenhouse gas emissions. That is just smart policy.”