2006 Northeast Energy Efficiency Summit addresses reliability, affordability and sustainability
This spring, NEEP celebrated its tenth anniversary by hosting the 2006 Northeast Energy Efficiency Summit, a daylong event in Boston featuring an in depth conference, efficiency exhibits and a gala evening awards dinner. The Summit brought together influential policymakers, business leaders, efficiency program administrators, advocates and more to discuss energy efficiency and best practices for reliability, affordability and sustainability.
NEEP thanks all those who participated in the Summit including our Gold Sponsors: Conservation Services Group, Constellation Energy Group, KeySpan Energy Delivery, Long Island Power Authority, National Grid, New York State Energy Research and Development Authority, NSTAR Electric & Gas, Northeast Utilities, and the U.S. Environmental Protection Agency. For a full list of Bronze and Contributing Sponsors, as well as a list of exhibitors and all other Summit details, please visit the Summit Web site.
"The time is now"
NEEP’s outgoing Board President, Ashok Gupta of the Natural Resources Defense Council, and incoming Board President, Penni McLean-Conner of NSTAR, in their roles as conference co-chairs, welcomed the participant’s to the NEEP Summit, and set the context for the day’s discussions.
“The time is now for energy efficiency,” McLean-Conner noted, added that energy efficiency is being seen “as a priority from the economic, energy and environmental standpoints.”
Gupta added his congratulations to the organization, saying that “NEEP is about partnerships; NEEP is about cooperation,” and cited some of the organization’s significant accomplishments over the past decade in the areas of market transformation; training and education; and public policy.
Left: Ashok Gupta, Natural Resources Defense Council; Middle: Penni McLean-Conner, NSTAR; Right: Kathleen Hogan, U.S. Environmental Protection Agency
Dr. Kathleen Hogan, Director of the Climate Protection Partnerships Division of the U.S. EPA, opened the Summit with the Keynote address on “Energy Efficiency to Build a Future with Economic Prosperity and Environmental Sustainability.” She framed the days proceedings by noting the “major challenges” the country faces with regard to our energy system, and, particularly, the fact that “limited [energy] supply is exacerbating prices and affordability.” “Fortunately,” Hogan said, “we do have an abundant, cost-effective resource to deploy, and that resource is, of course, energy efficiency.”However, she also pointed out that, “despite the documented benefits, energy efficiency remains underutilized.” Among the obstacles she cited were the fact that “distribution companies are rewarded incentives more for new generation” than for investing in energy efficiency, as well as continuing issues of consumer education. Hogan also noted the work being done by a leadership group, sponsored by the EPA and the Department of Energy, that has crafted a national “Energy Efficiency Action Plan” that takes on some of those obstacles and offers a guide for state policy solutions.She also praised NEEP for its 10 years of leadership, noting that policy issues like appliance standards only occurred at the federal level “because the states stepped up.” “I’d like to personally congratulate NEEP for 10 years of raising the bar for energy efficiency,” she said.
The Value of Energy Efficiency
Kurt Adams, Chairman of the Main Public Utilities Commission, served as moderator for the morning panel discussion focusing on the Value of Increased Energy Efficiency in the Northeast. Asking, “Where will the next megawatt come from?” Adams introduced three leading experts to give their perspectives on effective energy efficiency policies for the region.
Morning Panelists from left to right:Kurt Adams, Maine Public Utilities Commission; Denise Sheehan, New York Dept. of Environmental Conservation; Rick Sergel, North American Electric Reliability Council; Bob Ruddock, Associated Industries of Massachusetts
System Reliability
Rick Sergel, President and CEO of the North American Electric Reliability Council (NERC) discussed the bulk power market and the role of energy efficiency to maintain it. To improve reliability, Sergel advocated for a mix of mandatory standards, benchmarking systems and real time information systems. Sergel told the audience that technology will give us the opportunity to control the demand side of power and will allow us to use demand side responses to increase efficiency and improve reliability.
“Only by opening up the potential of the demand side will we enhance the reliability of the system,” Sergel pointed out.
Affordability
Robert Ruddock, Executive Vice President of Government Affairs for the Associated Industries of Massachusetts (AIM) gave the industry view on the value of energy efficiency and what policies are most effective for businesses. Noting that “energy efficiency is essential for survival,” because it can manage energy costs for businesses and increase system reliability, Ruddock called for a balance of aggressive energy efficiency with new and more generation capacity. With energy as one of the key components related to the high cost of doing business in Massachusetts, Ruddock supported motivating businesses to analyze opportunities for reducing their energy use. However he pointed out that most businesses see efficiency and managing energy as outside their scope of work. Ruddock therefore advocated for more education, “richer” efficiency programs and the need to avoid adding to the costs of implementing efficiency in order to successfully reach the business community with the efficiency message.
Environmental Sustainability
Denise Sheehan, Commissioner of the New York State Department of Environmental Conservation provided a forward-looking perspective on the role of energy efficiency in that state’s environmental goals. New York engages in energy efficiency to preserve the environment, to ensure energy security and to remain economically competitive. Commissioner Sheehan highlighted New York’s multi-pronged approach to climate change and energy efficiency, which includes addressing the government, transportation, electric generation, building and land sequestration sectors. The leadership in designing energy policy that takes into account the different areas that energy touches starts from the top, Sheehan noted, “with the recognition from the governor that these things go hand-in-hand.”
No Free Parking
With the Boston skyline as a backdrop for an outdoors, tented lunch, featured speaker Douglas Foy, former Secretary of Commonwealth Development for Massachusetts, and current President of DIF Enterprises told the audience that cities are the perfect opportunity for energy efficiency. “If you care about energy efficiency, cities are the answer,” said Foy. Calling climate change the issue of our age, Foy explained “climate change will only be solved with whole systems thinking,” that includes siting and transportation considerations in energy efficiency planning.
Noting that one third of our energy use and one third of climate change stem from transportation, Foy suggested that building and locating in urban areas to maximize the use of public transportation would increase our energy efficiency and help curb climate change. Currently, said Foy, our energy savings are washed out by transportation related costs.
Foy believes it is critically important to reinvest in our cities because they are the “center of development, center of growth.” We must “cluster together” and “build the great American neighborhood” to solve our energy problems, said Foy.
Best Practices and Practical Applications
The afternoon panel expanded upon the morning policy discussion by detailing examples of best practices in energy efficiency applications. Moderator Beth Sachs, co-founder and Executive Director of Vermont Energy Investment Corporation (VEIC) led the panelists through a discussion of innovative applications and best practices for business, consumer markets and government.
Afternoon Panelists from left to right: Beth Sachs, Vermont Energy Investment Corporation (VEIC); Rick Matilla, Genzyme Corporation; Tony Marone, United Illuminating; Jim Hunt, City of Boston
Business
Rick Mattila, Director of Environmental Affairs for Genzyme Corporation discussed why energy efficiency is good for business using the new Genzyme Center building in Cambridge, Massachusetts as an example. This LEED Platinum certified office space uses 41 percent less energy than a comparable building built to minimum code requirements. The urban office development includes a 12-story glass atrium and 800 operable windows to increase natural air flow and improve heat recovery. Artificial light is controlled and natural light is enhanced via the glass atrium as well as through reflective blinds and ceiling panes. A green vegetative roof reduces heat islands and storm water runoff, a building management system to monitor and control 5,000 points throughout the building. The innovative vision and energy efficient design of the Genzyme Center creates many benefits for employees according to the results of a survey Matilla shared with Summit participants:
- 58 percent of employees responded that they are more productive at Genzyme Center.
- 73 percent responded that they are more alert /productive (due to lighting features).
- 74 percent responded that the Genzyme Building enhances their work.
- 88 percent responded that they experienced an improved well-being from the gardens and views.
Consumers
Addressing best practices in the consumer market, Anthony Marone, Associate Vice President of Client Services for United Illuminating explained that “how you offer services and who you partner with makes a difference” in the successful delivery of energy efficiency programs. Having a well-defined process to guide activities and manage program delivery is just as important as working with others who have shared interests and who are successful in your target market, said Marone. Knowing your product and your customers; working through a systematic process of evaluation, creation, modification, marketing, selling, monitoring and coordinating; engaging with partners; and adapting to the market place are all among the best practices that have enabled UI to successfully reach consumers with efficiency in Connecticut.
Government
For the public sector, Jim Hunt, Chief of Environmental and Energy Services for the City of Boston, discussed how Boston is applying energy efficiency practices to realize environmental and economic benefits. The city of Boston’s strategy for successful energy efficiency projects includes designating a high level position in the Mayor’s cabinet to focus on efficiency; dedicating appropriate staffing and resources; highlighting budget savings and quality of life benefits; touting early successes to increase public interest; and considering innovative energy management budgeting. For example, an energy management board that focuses on efficiency, renewables and green building carries out Boston’s commitment to sustainability. Boston has implemented a green building work plan to require all city buildings to meet Leadership in Energy and Environmental Design (LEED) Silver requirements while all private buildings in the city must meet the LEED certifiable threshold.
As part of an integrated management plan for Boston, the energy use of 362 buildings was analyzed. City Hall and the Boston Public Library were singled out as the least efficient and the most public and thus prime candidates to focus efficiency projects to gain public attention on the issue. Boston has budgeted $6 million for energy efficiency improvements for fiscal year 2007.
The Amazing Race Towards More Efficiency
The conference portion of the 2006 Northeast Energy Efficiency Summit closed with a look toward the future of efficiency in the Northeast. Steve Nadel, Executive Director of the American Council for an Energy-Efficient Economy (ACEEE) declared that energy efficiency in the Northeast has made good progress, but more is needed. He called for energy efficiency efforts to be doubled moving forward.
Cheryl LaFleur, Vice President and Chief Operating Officer for National Grid proclaimed that there is “tremendous potential for energy efficiency in the future,” and began a discussion about “the amazing race” towards more efficiency. Looking ahead, LaFleur cited an increasing demand by customers for energy, energy sources that are difficult to site and constraints on delivery and environmental issues associated with siting new facilities. Energy efficiency will be a key part of the solutions to these problems in the future said LaFleur. However, she cautioned that to advance efficiency to its furthest potential, we need clear policy directions; educational outreach to decision makers; partnerships; new services and expanded programs; and long term, reliable funding.
The conference portion of the Summit was followed by an evening awards dinner program (see related article). For more information about the panelists and their presentations, please visit the Summit Web site.
