American Council for an Energy-Efficient Economy scores U.S. states on energy efficiency

by Shane Henson — October 28, 2011—As energy efficiency has become a major concern for state governments, many have taken the lead in creating initiatives and programs that assist or require businesses and consumers to reduce energy costs. The American Council for an Energy-Efficient Economy (ACEEE), an organization working to advance energy efficiency policies, programs, technologies, investments and behaviors, recently released the fifth edition of its annual State Energy Efficiency Scorecard, which shows which states have made headway in regard to energy efficiency and which are lagging behind.

The ACEEE Scorecard presents a comprehensive ranking of the states based on an array of metrics that capture best practices and recognize leadership in energy efficiency policy and program implementation. The Scorecard benchmarks progress and provides a roadmap for states to advance energy efficiency in the residential, commercial, industrial, and transportation sectors.

The ACEEE Scorecard shows that the top 10 states are: Massachusetts (taking the #1 position for the first time); California (slipping from the top spot it held for the first four editions of the Scorecard); New York State; Oregon; Vermont; Washington State; Rhode Island; Minnesota, Connecticut; and Maryland (making its first appearance in the top 10 and also one of the six most improved states in the 2011 Scorecard).

The 10 states most in need of improvement (starting with dead last) are: North Dakota; Wyoming; Mississippi; Kansas; Oklahoma; South Carolina; West Virginia; Missouri; Alabama (also one of the top six most improved states); and South Dakota.

The six most improved states include Michigan, Illinois, Nebraska, Alabama, Maryland, and Tennessee.

According to ACEEE officials, facing uncertain economic times, states are continuing to use energy efficiency as a key strategy to generate cost-savings, promote technological innovation, and stimulate growth. The ACEEE Scorecard documents the following trends:

  • Total budgets for electricity efficiency programs increased to $4.5 billion in 2010, up from $3.4 billion in 2009. Combined with natural gas program budgets of about $1 billion, total energy efficiency budgets in 2010 equal about $5.5 billion. Given the increasing regulatory commitments to energy efficiency, this growth will likely continue over the next decade.
  • Twenty-nine states have either adopted or have made significant progress toward the adoption of the latest energy-saving building codes for homes and commercial properties—up from twenty in 2010 and ten in 2009.
  • Twenty-four states have adopted an Energy Efficiency Resource Standard (EERS), which sets long-term energy savings targets and drives utility-sector investments in energy efficiency programs. States that adopted EERS policies in 2007 and 2008 are now realizing significant energy savings and moving ahead in the Scorecard rankings.
  • States continue to improve policies to reduce financial, technical, and regulatory barriers to adoption and deployment of combined heat and power (CHP) systems, which generate electricity and thermal energy in an integrated system. Tremendous potential remains for CHP, particularly in states with heavy industrial and manufacturing bases.