Wind Power News Highlights

Wind energy generation is increasing, particularly in the United States, at a rapid pace. This pace is so rapid that, “The American Wind Energy Association (AWEA) reported today in its third quarter (Q3) market report that the U.S. wind energy industry installed 1,649 megawatts (MW) of new power generating capacity in the third quarter…bringing the total capacity added this year to date to over 5,800 MW” (Source: AmericanWindEnergyAssociation.com, October 20, 2009). In fact, as of February 2009, the United States surpassed every country in the world in wind energy generation (Source: NREL.gov, February 2009).

A Different Kind of Ownership

Though a large number of wind farm projects are funded by utilities, economic-stimulus funding, and private companies, a new type of group is taking on wind energy in the state of Montana. A community-owned wind farm projected to generate 500 megawatts will undergo on-site testing for the next year before the first phase of the turbine installation will begin. The project, a joint venture between National Wind and area ranchers and Montana Wind Resources LLC, will phase in several stages of 100+ megawatt turbine clusters over the next five to eight years (Source: RenewableEnergyWorld.com, December 1).

Combating the Wind Energy Storage Problem

Calmac recently developed a different approach to wind power storage that involves an interesting component; ice. Given that roughly 75% of the energy used in the United States is used by buildings and that a significant percentage of that goes towards air conditioning, excess energy storage in the form of ice has a lot of potential (Source: AlernativeEnergyNews.info, December 1). The thought process is that excess wind energy can be converted into ice during non-peak use hours, such as at night (when the wind is typically strongest), thus lessening the overall demand during peak times. Though there are similar devices available on the market, Calmac’s tank allows for the uniform building of ice throughout, charges in 6-12 hours, and can cut energy demand costs from 20-40%.

Re-framing the Storage Question

What if wind power could be reliably used by utilities without needing battery storage? The National Renewable Energy Laboratory recently announced a project that may bring researchers a step closer to this reality. NREL and Second Wind Inc., will test the Triton Sonic Wind Profiler, a device aimed at better predicting when and where wind will blow (Source: RenewableEnergyWorld.com, December 9). This testing, which will take place over the course of the next year, will eventually lead to the incorporation of the Triton Sonic Wind Profiler in a Wind Instrument Characterization System at the National Wind Technology Center. In the long run, the hope is for this collective set of tools to reliably predict future wind power output for use in the real-time power grid and to aid in development of new wind generation plants for optimal gathering capabilities.

Existing Technology, New Approach

In its own response to the wind power battery dilemma, Duke Energy is pursuing a more traditional battery storage project. The project, which will use an economic-stimulus grant of $22 million, involves the installation of batteries at its 151-megawatt Notrees wind farm in Texas. Duke Energy intends to prove that current batteries can store sufficient amounts wind-generated energy for reliable use by utilities, even when the wind is not blowing (Source: Charlotte.BizJournals.com, December 2).

Wind Energy Cost Hurdles and Drawbacks

Besides the obvious issues that wind farms create (noise, unsightliness, hazards to birds or bats, energy storage issues), there are a few other items worthy of consideration. As noted in an article by Daniel Price in Hutchnews.com, there is a tendency for wind farms to be built away from population centers and a fairly substantial up-front investment cost. In his article, he explains that transmission from these more remote locations poses a challenge for utility providers. A recent study by the found that the presence of wind turbines does not negatively impact housing prices (Source: NYTimes.com, December 9). If these wind farms truly do not negatively impact property values in their immediate vicinity, a compelling case exists for more of these facilities to be built closer to population centers, thus reducing transmission costs.

Another barrier to lowering the cost-per-kilowatt-hour of energy generated by wind turbines is the large amount of land necessary for industrial-use wind farms. “…it takes 60 acres per megawatt of installed capacity but only about 5 percent to 8 percent (three to six acres) are actually occupied by turbines, access roads and other equipment.” If the scale of these wind turbines is a clear barrier to more widespread use, what are some viable smaller-scale wind turbine options? The National Renewable Energy Laboratory is currently exploring this market by testing a handful of small turbine systems for certification; for more information, please click here.

Environmental Effects

At the request of congress, The National Academy of the Sciences recently produced a study about the hidden costs and effects associated with different types of energy generation. This study found that damages to the environment in terms of hidden pollutants, toxins and general effects were very small compared with traditional fossil fuel sources (Source: AmericanWindEnergyAssociation.com, December 2009). To read the full report, please click here.

Energy Efficiency Outreach Programs

Boulder County, Colorado, recently launched an interesting energy efficiency outreach program funded partially by the American Recovery and Reinvestment Act. The program involves door-to-door energy efficiency outreach every Saturday from November through April, during which time homes in the targeted area will get a free two-hour energy audit. The outreach workers, dubbed the “Energy Corps,” will install small efficiency upgrades such as compact fluorescent light bulbs, low-flow showerheads, programmable thermostats, weather stripping and clotheslines. They will also check household appliances and make adjustments to those items as necessary to improve efficiency (Source: DailyCamera.com, 10/18/09).

Homeowners associations within the county can apply on behalf of their tenants and will work with county officials to sign up the willing households for the upgrades. If the program is deemed successful, the county will actively seek new sources of funding to continue it past the current deadline of April. In addition to county efforts, the City of Boulder is implementing its own door-to-door program that assesses larger-scale energy upgrade needs, arranges for financing, and schedules the projects for home owners.

On October 19, the US Department of Energy released a Recovery Through Retrofit report stating that energy efficiency retrofitting on existing homes could reduce energy waste by 40%, and that these changes alone could “…cut energy bills by $21 billion and reduce greenhouse gas emissions by 160 million metric tons every year” (Source EnergyEfficiencyNews.com, October 21). With this in mind, proactive programs like the one Boulder County is piloting could be a tremendously positive force in the United States’ drive to reduce energy consumption and carbon emissions levels as rapidly as possible. For more information about the Recovery Through Retrofit report and its full list of recommendations, please click here.

Similar programs to those seen in Boulder are rolling out nationwide as a part of the Energy Efficiency and Conservation Block Grant Program, which has earmarked more than $2.7 billion in grants available to cities, counties, tribes and SEOs and has granted more than $1.4 billion in funding already (Source: EECBG.energy.gov). To see a full listing of recipients, please click here.

In a separate finding, a recent study by the American Council for an Energy-Efficient Economy surveyed state-implemented energy efficiency programs (using data from 2007) and found that, “… it costs an average of 2.5 cents to save a kilowatt hour of electricity through the programs” (Source: WSJ.com, October 22). In contrast, according to the same study, building new energy plants results in a cost-per-kilowatt-hour of nearly three-times that rate.

Beyond the government-driven initiatives are growing efforts by utilities to reduce energy consumption. These customer initiatives range from free high-efficiency light bulbs to tiered pricing based on total energy consumption. In many states, comprehensive partnerships are forming to align the efforts of both government and utility programs toward a shared set of overall goals. One example of this type of partnership can be found in the Colorado Public Utilities Commission's recent Energy Efficiency Status Report. For a state scorecard on Utility-based energy efficiency programs provided by the ACEEE, please click here.


Last, on the local effort level and though it’s hardly news, each state continues to offer energy efficiency upgrades and weatherization efforts for low-income residents as a part of a series of US Department of Energy weatherization and low-income energy programs (Source: EERE.energy.gov).

Residential Energy Generation News

Although there are dozens of energy efficiency improvements that the average homeowner can embrace, there are an increasing number of renewable energy generation systems - and incentives – that are appearing in the residential marketplace.

Selling Your Energy - Ontario's Feed-In Tariff Proposal

The province of Ontario, Canada recently announced a strong feed-in tariff system modeled after similar programs in Europe. The program takes into account the cost differential between energy types and rewards participants accordingly, so the same number of watts fed into the main grid from these private sources are rewarded on a scale according to the estimated installation and generation costs to the energy contributor (Source: RenewableEnergyWord.com, September 25).

The proposed program includes everything from solar-generated energy to offshore wind energy and unlike programs that exist in the United States, there are no government subsidies or credits involved. In addition to the proposed feed-in tariffs, the province will commit to building an infrastructure of what they term “enabler” lines to aid in transmission of these new, privately generated renewables to the main transmission grid.

One anticipated result of these tariffs is a swift growth in the installation of renewable energy generation systems in private homes and commercial buildings. With such a wide variety of opportunities to generate renewables, one could expect to see an expansion upon the traditional hardware available to facilitate this generation.

A Material Improvement

One area where more experimental forms of energy generating components are already available to the homeowner is in solar generation cells. Several companies are developing building and roofing materials that include photovoltaic films that can be integrated into an existing roof design, rather than in the form of the standard - but less aesthetically pleasing - solar panels. Such roofing materials, while appealing, are still more costly and less efficient at this stage than the traditional solar panel technologies (Source: NewYorkTimes.com, September 26).

This week, however, some of the top experts in the development of solar materials presented some encouraging news in the development of solar generation materials at the Photovoltaic Solar Energy Conference and Exhibition (PVSEC), a European solar tradeshow. Among the many stated goals of these experts were advancements in both the efficiency of crystalline silicon (c-Si) and thin-film solar photovoltaics (PV) and the costs to produce these materials (Source: TradingMarkets.com, September 26).

Energy Efficiency Meets Renewable Energy - Geothermal

Another type of energy generation system that holds some promise on the homeowner’s level are geothermal systems, in which ground source heat pumps transfer heat stored in the ground to the residence, where a small amount of electricity can then be used to bring the temperature up further and the heat can be used for the home or to heat water. If no additional energy is added, the relatively cool temperature (compared to surface-level temperatures) can be used to cool air for dispersion into the home. Depending on the location of the home, a vertical system may involve drilling down to 200 feet and could cost as little at $10,000-$15,000, though many systems can cost more (Source: BCLocalNews.com, September 26). For the typical cost of a system, a homeowner could expect to recover the costs of installation at around seven years of operation, which tends to be sooner than the payoff seen with some other forms of energy efficiency or renewable energy generation systems at the homeowner’s level.

Making an Impact with Energy Efficiency - Where to Start

As I’ve mentioned in previous blogs, the best starting place for many homeowners is still to take on the simpler, less expensive energy efficiency improvements before seeking out more costly renewable energy generation systems. For homeowners who don’t have any idea where to start looking for the most cost-effective energy efficiency improvements to their home, I recommend The Home Energy Saver website tool, which was developed by the Environmental Energy Technologies Division at Lawrence Berkeley National Laboratory.

Changes in the Residential Energy Efficiency and Renewable Energy Marketplace

Off the Grid - Total Energy Solutions for the Home

In an effort to serve growing demand for a broad spectrum of energy efficiency improvements that can be made to our homes, GE recently announced plans to become a one-stop shop for residential energy efficiency products (Source: EnergyEfficiencyNews.com, July 15). In addition to some of the more conventional products that GE offers, such as energy efficient light bulbs, appliances, and climate control consoles, the company will soon add residential energy generation and storage products. GE estimates that by improving the energy use of appliances, HVAC systems, and lighting, peak energy demand will decline by 7% in the United States.

As we look at the expansion of energy offerings that could feasibly enter the residential market in the coming months and years, one wonders which methods will truly be the most cost effective in the long run. Though most people are aware by now that better insulation, smart climate control consoles, energy efficient light bulbs and other small items can drastically reduce energy waste in their homes, what can be said of energy generation products designed for residential use?

For most, residential solar panels, wind turbines and other energy generation technologies have historically been out of reach both financially and logistically. As I mentioned in this earlier blog, however, the options available to the average homeowner in terms of renewable energy hardware and financing for such systems are increasing rapidly. The price of solar panels, for example, has dropped 40% this past year, opening the door for some to consider installation of such panels on their property for the first time (Source, NewYorkTimes.com, August 28).

In addition to improvements in technology and the reduction in price of some renewable energy components, government and utility subsidy programs for residential renewable energy systems are also starting to gain momentum. Though a reduction in market pricing and increases in availability of private financing for such systems is a positive trend, the impact of government subsidization and financing programs face a high standard of scrutiny. With a wider range of options now available for both energy conservation and renewable energy generation in the typical residence, a recent article in the Wall Street Journal raises an important question where our tax dollars are concerned; “…should the government be doing more to subsidize conservation?”

This same article cites a study by a consulting firm McKinsey & Co. that examined the cost of eliminating one ton of CO2 emissions via different methods, including light-emitting diodes, energy efficient appliances, wind power and solar power (Source, Online.WSJ.com, July 15). The study found, not surprisingly, that reducing energy demand through an upgrade of more efficient items for the home reduced CO2 more cheaply than generating new energy through the installation of renewable energy collection devices. The latter part of this article goes on to discuss a bill that’s pending in congress right now that would do just such a thing by offering tax incentives for homeowners and businesses who install these energy saving items. In addition to its focus on reducing energy demand, the bill is structured on a results-basis so as to provide the greatest incentive for the most energy demand reduced.

Government Funding - Upgrades for the Home

Many countries worldwide are rolling out with similar energy efficiency incentive packages, such as a £15 million home makeover package, which will provide free energy audits, advice, and free or discounted insulation materials to 96,000 homes (Source: EnergyEfficiencyNews.com, August 3). As I mentioned in an earlier blog, there are similar programs being considered or implemented at national, state and local levels, such as Boulder County's (Colorado) ClimateSmart program, which loans income-qualified homeowners up to $50,000 to make energy efficiency improvements to their homes and applies the debt to the property itself. ClimateSmart participants may also install renewable energy hardware under the program, including photovoltaic, solar thermal, or wind energy systems (a full list of approved projects is available at this link).



On a national level and as a part of the American Recovery and Reinvestment Act, tax credits are available at 30% of the cost, up to $1,500, in 2009 & 2010 for several energy efficiency improvements to existing homes, including roofs, HVAC upgrades, insulation, water heaters and more (Source: EnergyStar.gov). On the renewable energy side, the Federal Government is offering a 30% individual tax credit for residential solar electric expenditures through December 31, 2016, several of which have no upper limit on the base cost (Source: Energy.gov, EnergyStar.gov). This renewable energy tax credit includes small wind property credits with a cap of $4,000 and geothermal heat pumps up to $2,000.

Return on Investment - Thoughts on Spending Stimulus Dollars Wisely

As efforts to reduce CO2 emissions ramp up in the United States and worldwide, it will be interesting to see how many new programs will be geared toward simple efficiency upgrades as opposed to renewable energy research and industry. Currently, there's a wide variety of funding and programs in place at the federal, state, county and some city levels for either or both types of improvements. While the goal is to ultimately reduce our overall pollutant waste, we should also be mindful of squeezing the most energy savings out of each dollar we spend wherever possible. I expect to see a rash of cost-effective net energy-savings studies on both commercial and residential properties in the coming months as individuals and builders begin utilizing stimulus funding to pursue these upgrades. My hope is that these studies will also factor in the net employment stimulus effect that these projects are having so that funding is most strongly allocated to those that are serving the dual purpose of employing the most workers for the most energy savings gained per dollar spent.

Energy Efficient Cars – Energy Storage, Vehicle Efficiency and Biofuels

New Energy Storage Developments

One of the greatest challenges presented by the prospect of clean cars that run in part or completely on a renewable energy source is the three-fold issue of storing energy within the vehicle: storage device size, storage longevity, and recharge time. Though similar problems plague most intermittent energy sources, including solar and wind power, vehicles present a much greater challenge due largely to the physical constraints of their size. While wind and solar power plants typically use deep cycle batteries for this purpose, they are too large, too costly and too slow to cater to the unique demands of vehicles.

According to a new study announced by the University of Maryland in College Park, a new and improved electrostatic nanocapacitor could be the solution. According to the university, they’ve developed a means of high-density energy storage that’s both compact enough for vehicle use and up to 10 times more efficient than any technology that currently exists (Source: EnergyMatters.com.au). The basic idea behind the nanocapacitor is that nanotechnology is used to create many fast moving energy conduits that transport energy back and forth from the source(s) to the reception site, which in this case is the engine. The hope for this technology is that you would be able to stack these nanocapacitors in layers within the car and that they’d be able to deliver high-power energy quickly enough for the engine to function properly without the power storage drawbacks of the more traditional battery sources (Source: Eng.UMD.edu). This discovery holds a great deal of promise and could solve many of the issues that more conventional clean car battery technologies have been unable to.

Efficient Vehicle Design

Another area of transportation research with potential is the so-called “hypercar,” which is a machine designed to eliminate the waste of vehicle function. There are many ways to accomplish this, including improvements to internal combustion processes, reduction of composite material weight, streamlined aerodynamics and other design changes. By eliminating this waste, these vehicles could be extremely efficient and pollute far less (Source: AssociatedContent.com).

One of the more interesting such projects was championed by the Rocky Mountain Institute in 2007 and is called “MOVE,” which stands for “MObility + Vehicle Efficiency” (Source: Move.RMI.org). In a recent announcement from this project, Indiana’s Bright Automotive has released plans to produce a plug-in hybrid vehicle that would get 100 mpg in the next few years. The project claims that it would be able to manufacture 50,000 of these cars by 2012. The vehicles, which start in an all-electric mode for the first 30 miles of “tank” operation, then use hybrid technology to run on a combination of electric power and fuel for the next 400 miles (Source: Move.RMI.org).

I would argue that this model of vehicle design should be adopted for use with any clean-car power technologies that ultimately prevail in the marketplace. Imagine a vehicle that runs on a combination of renewable and electric energy that wastes the least amount of power possible thanks to intelligent engineering. You’d have a vehicle that rarely needed to be “plugged-in” because it could both drive longer using the same amount of energy and recharge itself to some significant degree. Though it may sound like a thing of futuristic movies, cars like these may be just one breakthrough away.

New Biofuel Study

Hypercars like those in the works by RMI could also become even more “green” if Exxon Mobil produces results in its’ new 600 million dollar, six-year study of algae-based biofuels. This study is aimed at developing biofuels from photosynthetic sources that could be refined into ethanol using existing oil-industry infrastructure for expediency (Source: NYTimes.com, July 14). There are several companies exploring the practical use of algae-based biofuels, which can be grown without placing a strain on existing agricultural food sources and grow in part by ingesting and processing CO2. Though this idea has a great deal of potential, existing studies of algae-based fuel are finding that growing the stuff is trickier than it sounds. Solix Biofuels, which is based in Fort Collins, Colorado, has spent the last five years trying to perfect the conditions and reduce the significant up-front costs of growing the algae (Source: PopularMechanics.com, March 2007). Among the challenges are water temperature controls and CO2 atmospheric controls, both of which currently require expensive materials and housing to combat. While Exxon Mobil will face these same issues, they have both funding and infrastructural advantages that may take algae-based biofuels from small-scale development to a fully realized, widely-distributed fuel source.

Energy Efficient Buildings – Revamping Existing Spaces

Improving Energy Efficiency in Large Buildings

A recent British study found that 70% of the carbon reductions sought by 2020 can be achieved by investing in energy efficiency measures (Source: TheClimateGroup.org, July 6). As a hot topic at the G8 Summit this week in Italy, many of the tested methods that may help to achieve this goal will be discussed at length. The focal areas of this study include buildings, lighting, vehicles, motors and a reduction in deforestation, all of which the study claims bear reasonably low investment costs for the high rate of return in efficiency gain.

At a time when stimulus dollars in the United States are being allocated precisely to such “green” infrastructure projects, one must wonder how much of that money will or should be allocated for use in existing structures. With such a variance in structural composition, scale, and location, the challenges that exist are very broad in scope and make for a difficult blueprint or set of standards across all projects.

So, how do we tackle this issue? Considering that buildings account for about half of the CO2 emissions in the United States, this is an important question. Is it possible to compile lists of suggested improvements based on studies of several buildings, some fraction of which may ultimately apply to individual projects down the road? The good news is that we may be getting closer to an answer for that question. As I write this blog, there’s a large-scale energy efficiency retrofitting evaluation of the Empire State Building in Manhattan. The project, announced in April, is the product if a collaboration between four groups: the Clinton Climate Initiative, the Rocky Mountain Institute, Johnson Controls Inc. and Jones Lang LaSalle (Source: Envirovaluation.org, April 11). The program has a budget of $500 million dollars and is truly the first of its’ kind, utilizing experts from a range of specialties to formulate a comprehensive energy efficiency overhaul of one of the largest, oldest buildings in the middle of one of the busiest cities on earth.


The goal of this group is to reduce the emissions waste of the Empire State Building by up to 38%. Another goal of this project is to maintain performance of the building’s systems while getting the best possible “bang for your buck” in improvements, while providing a basic formula for other office building structures to follow. So, what were some of the winning ideas? The analysis revealed eight areas that would mark prudent efficiency upgrades, including:

• Changes to window lighting and window insulation.
• Radiator insulation to prevent the escape of generated heat.
• Better tenant-controlled lighting in each work area.
• More efficient building climate controls.
• More advanced ventilation controls.
• Building-wide HVAC upgrades.
• More (for a full list, please click here).

In addition to office buildings, we stand to gain a great deal of benefit from retrofitting existing homes and residential buildings as well. The challenges on this front are similar to those in the commercial sector, except for the depth of credit access that may be available to make these improvements. For a corporation or corporations, taking on an energy efficiency improvement project is more likely to be financially feasible and is likely to pay dividends more quickly than a similar project for a residential structure. One step in the right direction on this front is the Thousand Home Challenge. This challenge is the brainchild of a non-profit called ACI, which strives to bring together sponsors, architects, engineers, and designers to make real, measurable improvements to a thousand homes in an effort to lay a blueprint for energy efficiency improvements in the residential sector. According to their materials, residential energy consumption accounts for 21% of greenhouse gas emissions in the United States (Source: AffordableComfort.org).



When it comes to the topic of improving energy efficiency in existing buildings, it’s clear that we have a long way to go. I can think of no better place to start than at a meeting of some of the most powerful forces in the world during this week’s G8 summit.

Wind Energy – Recent Developments and Topics

Regional Energy News – Rocky Mountain West:

Duke Energy Generation Systems is planning to build a 51-megawatt wind farm on the eastern plains of Colorado. The group, which is a commercial arm of the university, negotiated an energy purchase agreement with Tri-State Generation and Transmission, an organization of dozens of energy cooperatives in the region. The wind farm will span roughly 6,000 acres on the eastern plains and is slated to open in 2010 (Source: Charlotte Business Journal, July 6).

This wind project will connect directly into the existing Tri-State transmission lines, enabling the quick 2010 turnaround to Tri-State customers. This project is the second renewable energy partnership announced by Tri-State this year; the first was for a 30-megawatt solar generating facility located in New Mexico, which was announced in March (Source: Tri-State Generation and Transmission Association, July 6).

As a non-profit network of cooperatives, Tri-State Generation and Transmission Association has a very interesting operations model. Every day, Tri-State focuses on maximizing minute-to-minute energy price savings for its customers as it directs power to its grids while simultaneously adhering to a hodge-podge of regional and national regulations. In addition, Tri-State negotiates long-term deals with energy providers to help meet the same goals over longer-term time windows. As a group that’s fully accountable to its’ customers, it serves as a possible model for energy operations on a larger scale in the long-term. What’s interesting about this deal with Duke is that Tri-State is taking action to exclusively support this project, rather than simply purchasing renewable energy credits from disparate sources throughout the region.

While other energy cooperatives exist and function in largely the same manner, few if any grapple with the unique geographical challenges and sheer physical span that Tri-State does while serving large portions of Wyoming, Colorado, Nebraska, and New Mexico. At the very least, it will be interesting to see how many additional renewable energy projects that Tri-State either backs or outright purchases in the next few years. For more information about Tri-State, please visit their website, http://www.tristategt.org/ .


Offshore Wind Farm Study:

One of the more interesting announcements in the wind energy sector came on June 24, 2009, when the Federal Government announced that it would lease offshore land to wind-energy companies for data gathering on potential wind farm construction. The land spans an area of six to 18 miles off of New Jersey and Delaware and the idea follows suit with some established European energy strategies in countries like Denmark (Source: WindEnergyNews.com, June 24).

Without the use of some federal land, particularly in such population dense areas as the eastern seaboard, wind energy will be difficult to utilize. In addition, the densely populated areas in those regions are most in need of reliable renewable sources. If the results of the study are positive, the involved companies may be able to build wind farms within the next five years.


High Altitude Wind Power:

On the research front, a study on high altitude wind patterns was announced in the Energies Open Access Journal this June. The study looked at jet-stream driven wind patterns around 30,000 feet above sea level to assess whether or not that energy may be an efficient source for some larger cities. According to the study, wind energy potential at this altitude is up to 10 times stronger than on land (Source: WindEnergy.com, June 19).

The technology of capturing wind energy at high altitudes, however, is still tenuous at best. In order to stay in place at high altitudes, a device must include a floating or flying mechanism (an engine), which requires energy to operate and potentially renders it less efficient. An equally, if not more difficult issue is the transmission of this power to the ground. Thus far, the devices being developed for this application include sky-to-ground tether lines that would transmit the generated energy to a plan or line on land. A third, and less often discussed challenge for this method of energy collection, involves our current use of air space. Though heavily regulated and monitored above 18,000 feet, air space and flight travel may prove to be very tricky hurdles for energy companies to get over with the federal government.

Programs That Work: Energy Efficiency Initiatives with Power in a Recession

There's a lot of buzz out there around the idea of reducing energy waste in new construction projects. Hundreds of researchers, architects and construction companies have perfected dozens of highly effective building methods, materials and mechanisms to create efficient new buildings in both the commercial and residential markets.

While promoting the latest and most cost-effective methods in new construction projects is a step in the right direction, less clarity and more challenges exist on the topic(s) of how to promote energy efficiency upgrades in existing homes and office buildings. "Nearly half of America’s energy - and 10 percent of the energy used in the world - goes towards powering our buildings, and much of that energy is wasted. Buildings account for 40 percent of total U.S. carbon dioxide emissions, a major contributor to global warming. " (Source: EnvironmentMinnesota.org, 6/2/09).

In addition to all of the hurdles associated with retrofitting existing structures including the cost of materials and the wide variance in structural design, building owners face the additional pressures of a prolonged recession. How then can we encourage residents, businesses, construction contractors and local governments to take on the additional short-term costs of adding energy efficient components to the property they own?

While I do not pretend that I have a solid answer to this question, I would like to examine programs and incentives with a great deal of potential in these times of economic stress. Virtually all of these incentives are government based and many of them are tied to the economic stimulus legislation that originated in Washington, D.C.

One such initiative that caught my eye recently is Boulder County's (Colorado) ClimateSmart program. The 6.6 million dollar program, approved by county voters last November, allows for homeowners to apply for a loan of up to 20% with a limit of $50,000 to make energy efficiency improvements to their homes. The unique part about this program is that it ties any loans granted are attached to the property, rather than the owner. The owner pays a special assessment in property taxes, but will not carry the loan with them should they sell the property (Source: The Denver Post, 6/27/09).

In a time where homeowners are struggling with their mortgages, worrying about the safety of their jobs and doing whatever they can to make ends meet, this program may be particularly attractive. For any homeowner who wishes to make such improvements but does not wish to take additional risks with their own credit in case of emergency (through tapping into their home equity line of credit or by taking out standard loans from a bank), this is an incredible opportunity. In addition, the long-term cost-comparison between the standard credit options and this county incentive program stacks favorably for the county's option.

A second, and more traditional, incentive program is the Renewable Energy Finance Act of Colorado, which was signed on April 22nd of this year. This is also a government reimbursement program (on the state level) that's focused primarily on the financing of solar electric systems and the cooperation of local utilities on streamlining access to solar rebate programs to customers of all income levels (Source: Colorado.gov, 4/22/09). "SB51 doesn’t create a pot of money for homeowners or businesses to directly borrow. Instead, the act creates a fund in the Governor’s Energy Office, which provides the backing to banks and other lenders to make clean energy loans." (Source: Todd Hartman, spokesman for the Governor’s Energy Office, The Summit Daily News, 4/23/09). In the same article, author Tillie Fong mentions that the upfront cost of the average residential solar panel system is between $6,000 and $8,000, a significant barrier when loan money systems are in a tight recessionary period as they are today. With this program, the party who installs the equipment will own the equipment until the resident pays it off. In addition, the loan is secured by the Governor's Energy Office, rather than the customer.

Again, this government incentive model shifts the lending burden off of the homeowner and allows them to pursue the improvements so long as they can make the monthly payments (which are likely to be at a lower interest rate than with a privately secured loan).

Another type of energy efficiency program comes from electric cooperatives and providers in a given area. One such example is a program promoted by the Colorado Springs Utility, which provides low interest rate financing for some pre-approved energy and water efficiency home improvement projects. The loans range from $1,000 to $50,000 and are separate from their Renewable Energy Rebate Program, which gives customers a credit on their bills for setting up solar panels and connecting them to the utility's electric grid, a common credit offered by a wide variety of electric utility providers (Source: SolarPowerAuthority.com).

This program follows the same type of model that the Renewable Energy Finance Act does by using the borrowing power and backing of the utility to negotiate loans for in the individual customers, much as a health insurance pool will do. Without the backing of the utility, many of their customers would be unable to finance such improvements in the first place or may not be able to afford the higher loan rate(s) available as individuals.

There are literally thousands of programs out there that try to foster energy efficiency upgrades among residential and commercial developments, but the three above illustrate important options and models that may be more effective than others. The Boulder County ClimateSmart program is, in my opinion, the most compelling of the three at this fragile moment in our economy for the simple fact that the owner of the property is not stuck with the burden of the loan in the long run. Though I believe that we have a long way to go in promoting these improvements in our existing buildings and thus minimizing energy waste, ideas like these give us more opportunity to make the right - and sustainable - improvements despite the instability of our economic circumstances.