state energy program progress and challenges eastern states meeting november 15, 2006
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SEP Budget
FY 2006: $36.4 million
FY 2007:
Administration Request $49.5 million
House Budget $25 million
Senate Budget $49.5 million
At present, DOE is operating on a Continuing Resolution which is expected to run through the end of the year.
EPAct 2005
Two changes to SEP:
• Establishes goal of 25% or more improvement in energy efficiency by 2012, as compared to 1990.
• Requires the Secretary of Energy, every three years, to invite the Governor of each State to review and if necessary revise the SEP State Plan, in consideration of the Plans of other States within the region and opportunities and actions than could be carried out in pursuit of common energy conservation goals
• SEP regulation has been updated to reflect these changes – revisions in Federal Register 10/2/06
EPAct 2005
EPACT establishes three programs to be carried out through the State Energy Offices (subject to funds availability):
• Section 125: Establishes an Energy Efficiency Program for Public Buildings for States
• Section 140: Establishes a Pilot Program of financial assistance to at least 3-7 States to plan and adopt State-wide programs that encourage energy efficiency.
• Section 913: Establishes a Program to demonstrate renewable energy in public buildings.
SEP Strategic Plan
The SEP Strategic Plan, developed by State representatives, establishes the following goals:
• Increase energy efficiency to reduce energy cost and consumption for consumers, business and government
• Reduce reliance on imported energy
• Improve the reliability of electricity, fuel and delivery of energy services
• Reduce the impacts of energy production and use on the environment
The draft Plan is in final editing and will be available in December.
IG Report
Earlier this year, the DOE IG conducted an audit to determine whether the Department had implemented controls for the State Energy Program to
• ensure grant funds were used for their intended purpose
• determine the cost benefit of the program in meeting its goals
IG Report (cont)
The IG Letter Report recommended:
• Specifying the monitoring responsibilities and staffing of the program at the reorganized EERE field sites.
• Implementing regularly scheduled monitoring visits that address administrative, financial, and programmatic areas
• Completing work with the State to design appropriate quantifiable performance measures and to use the results to re-evaluate the cost benefit of the program.
IG Report
EERE’s Response – Next Steps
• Monitoring working group is revising SEP and WAP monitoring guidance and developing a coordinated grant monitoring schedule.
• SEP Strategic Plan includes more specific and measurable performance measures.
• Planning for the next phase of SEP evaluation efforts has begun, building on ORNL’s metrics work.
Grants Management Issues
UNCOSTED CARRYOVER
• Special area of emphasis
• EERE has been criticized for its financial management. Uncosted carryover in grants and contracts is being targeted
• Uncosted carryover negatively impacts our justifications for additional funding for SEP.
Grants Management Issues
E-GOV and Grants.gov:
• E-Gov’s budget for 2007 has been cut, and the system design contractor has been changed.
• SEP Forms are caught in this change.
• Plans are to use Grants.gov for 2007 State Plan submission
Energy Emergency Plans:
• 50 States and Territories have submitted updated Energy Emergency Plans to date.
• Copies have been provided to the Office of Electricity Delivery and Energy Reliability
PVE Funds
Last Remaining PVE Funds Were Distributed in Summer 2006
Good News/Not-so-Good News
• Good News: OHA distributed $42 million during July and August, 2006, mostly to States and local governments.
• Not-so-Good News: No requirement that these funds be used for energy-related programs.– These funds represent direct restitution to individual claimants for
documented overcharges– Could go into a State’s general fund, or to a specific agency
GET YOUR “BID” IN!
PVE Funds
PVE DATA RECONCILIATION
• Significant number of discrepancies between PVE fund records maintained by DOE and the States; need to reconcile as much as possible
• E-Mail sent out to each State with the information we have on file from DOE’s systems and the State Annual Reports.
• Please follow up with Faith Lambert (202-586-2319, [email protected]) or Harvey Major (202-586-0124 or [email protected]) with questions
• Deadline for submission of FY 2006 Annual Reports extended to allow for reconciliation
EERE Air Quality Integration – Market Transformation Opportunities
DOE, in partnership with EPA and states, is supporting air quality integration
15 states are actively working on EE/RE projects to help achieve air quality objectives
Successes to date:
Texas is including nearly 1000 EE/RE projects in its NOX SIP
Colorado spent $500,000 of an enforcement settlement on EE/RE measures in local schools
The Illinois PUC looked favorably on an RPS goal with consideration of the air quality benefits
Connecticut implemented 99 new Clean Energy Projects in 2005, including 75 new PV installations & 6 fuel cells
DOE has provided assistance with quantification of emissions avoidance, tapping expertise at NREL
EERE Addresses Complex National Energy Issues
• Increasing dependence on foreign oil
• Environmental impacts associated with energy use
• A vulnerable national energy infrastructure
• Rising fossil fuel prices
States Guide State Information Task
State Energy Information Advisory Board provides guidance.
State energy offices submit news releases, project descriptions for bimonthly newsletter, Conservation Update, and success stories.
WIP sponsors state-oriented Web sites for EERE:
– State Energy Program Web site organizes descriptions of state energy office projects by topic and state.
www.eere.energy.gov/state_energy_program/
– EERE State Activities & Partnerships links to state content on EERE Web sites, publishes energy statistics, organizes news by state.
www.eere.energy.gov/states/
– Weatherization & Intergovernmental Program site links to all WIP program Web sites.
www.eere.energy.gov/wip/
Technical Assistance Project (TAP)
Crosscutting policy and technical assistance for states (up to $5k)
Five topic areas:– Systems benefit charges or other rate-payer funded
utility efficiency and renewable programs– Renewable or efficiency portfolio standards (RPS)– Use of clean energy technologies to reduce air emissions– Use of renewable energy on state or local public lands– Use of renewables for disaster relief, mitigation, and
planning (NEW)
State Services Delivered (7-25-06)
3*4*
2
6
3
4
4
1
5
3*
22
3* 2
3
3
4
2
3
63 NH4 MA1 RI3 CT1 DE
3
2
4
1
1
1
2
1
2
2
2
1
1
2
2
1*
1*
2
*Includes Multi-State Request(s)
Technical Assistance Project (TAP)
For more information:
Jerry Kotas (Golden PMC) at 303-275-4850, [email protected]
Renewable Energy Production Incentive (REPI)
What is REPI?
An incentive payment for public utilities, not for profit electric cooperatives, and Tribal utilities that generates and sells renewable energy to end use consumers.
Qualifying Technologies solar, wind, biomass, landfill gas, livestock methane, ocean, or geothermal energy
Fiscal Year EERE Budget Request
($million)
Congressional Appropriation ($million)
2007 4.946 --
2006 5.00 4.856
2005 5.00 4.960
2004 4.00 3.926
2003 4.00 4.816
2002 3.99 2.840
Applications Received from Qualifying Facilities -2000 to 2005
66
3526
4257
41 54
65
22
18
3625
0
1020
3040
5060
70
2000 2001 2002 2003 2004 2005
Production Years
Nu
mb
er o
f Q
ual
ifyi
ng
F
acil
ites
60 % Appropriation (Formerly Tier 1) 40 % Appropriation (Formerly Tier 2)
REPI Contact Information
For Policy and Appropriation questions contact:
Dan Beckley
1000 Independence Ave, SW
Washington, DC 20585
Email: [email protected]
For REPI implementation - facility qualifications, applications, and payment
questions contact:
Christine Carter
1617 Cole Boulevard
Golden, Colorado 80401
Email: [email protected]
REPI Websitehttp://www.eere.energy.gov/wip/program/repi.html