Louisiana could do much more to advance energy efficiency, says ACEEE

by Shane Henson — June 19, 2013—Energy efficiency is still largely an untapped energy resource that could save Louisianans money on their utility bills, create local jobs, and increase the competitiveness of the state’s businesses, according to two reports released this week by the American Council for an Energy-Efficient Economy (ACEEE), a nonprofit working to advance energy efficiency policies, programs, technologies, investments and behaviors.

Per the reports, Louisiana’s 2030 Energy Efficiency Roadmap: Saving Energy, Lowering Bills, and Creating Jobs and New Orleans’ Efficient Path to 2030: Leadership to Save Energy, Lower Bills, and Create Jobs, a set of new or expanded energy efficiency policies and programs could save the state’s customers $4.2 billion in lower energy costs and support 27,100 jobs within the state by 2030.

“These reports show that Louisiana could save billions by cutting down on energy waste,” said Maggie Molina, senior manager at ACEEE and lead author of the Louisiana report. “Improving energy efficiency also creates local jobs—contractors are employed to help residents and businesses improve their homes and buildings, and money saved on utility bills is spent in the local economy, further boosting local job growth.”

While Louisiana has taken steps to cut down on energy waste, progress has been fitful in recent months, the report notes. In December 2012, the Louisiana Public Service Commission (PSC) took steps towards helping residents and business lower their power bills by approving utility energy efficiency programs, only to later suspend the rules in February. The PSC now plans to revisit the issue in June.

The New Orleans City Council is currently considering expanding customer access to energy efficiency services through its Energy Smart programs in partnership with Entergy New Orleans, the city’s energy utility. The reports find that while New Orleans is leading the state on energy efficiency programs, existing policies are still not capturing the full economic benefits from energy efficiency such as lower utility bills and job creation. A comprehensive suite of energy efficiency policies and programs could net New Orleans nearly $450 million in energy bill savings and support 1,500 full-time jobs by 2030, the report stresses.

“The opportunities for new energy bill savings and new local economic development from expanded energy efficiency are significant,” said Eric Mackres, senior researcher at ACEEE and lead author of the New Orleans report. “The City Council’s leadership on energy efficiency at this critical juncture can set the stage for long-lasting economic benefits for residents and businesses in New Orleans.”

Other states in the region are also beginning to increase their efforts to help cut energy waste, says ACEEE. Arkansas is a leader with the passage of an energy efficiency resource standard in 2010. Recently, Mississippi passed four landmark energy efficiency bills as part of a comprehensive energy development strategy. ACEEE’s 2012 State Energy Efficiency Scorecard, which scores states on their efforts to encourage energy efficiency, ranked Louisiana 43rd.