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2008.11.07 -The Guardian- Letter to the Editor Press
The following opinion piece by ENE's Leslie Malone was published in The Guardian (Charlottetown, PE), on November 7, 2008.
It is also available at The Guardian Web site:
http://www.theguardian.pe.ca/index.cfm?sid=187982&sc=104
You say prosperity, I say energy efficiency
LESLIE MALONE
Commentary
The provincial government is set to unveil two new policy documents — an energy strategy and a climate change action plan.
These complementary documents, along with the recently released Island Wind Energy 10 Point Plan, will form the government’s blueprint for addressing energy security, managing the rising cost of energy, mitigating and adapting to global warming, and effecting economic prosperity. No small potatoes.
But will these mandates translate into concrete action in the upcoming legislative session and thereafter? Despite the drumbeat of financial doom and gloom in the news, ENE (Environment Northeast) is cautiously optimistic that a green economy will prevail.
Prince Edward Island has become known for its efforts to advance renewable energy, and in particular, wind energy. We have not, however, built a reputation on our ability to use energy efficiently. In fact, we are lagging behind other jurisdictions when it comes to investing in fuel saving, consumer protecting energy efficiency programs.
In a recent study, researchers at the University of California at Berkeley found that California’s economy has been boosted by its energy efficiency policies. Over the last 35 years, investment in energy efficiency has created jobs, raised real household income, and increased California’s Gross State Product. The study concluded that energy efficiency can become to the energy sector “what Information Technology was to management, and biotechnology to medicine, a way to revolutionize traditional practices and increase real living standards around the world.”
Other jurisdictions are realizing the benefits of energy efficiency and are ramping up investment to capture this abundant, local resource. In our efforts to increase economic prosperity and address climate change, P.E.I. must prioritize efficiency alongside renewables. If we do not innovate, our ability to compete in the new green economy will be compromised and serious social equity concerns will persist.
First, P.E.I. should institutionalize absolute greenhouse gas emissions reduction targets and timelines. The Intergovernmental Panel on Climate Change recommends reducing CO2 emissions 25-40 per cent below 1990 levels by 2020 and 80-95 per cent below 1990 levels by 2050.
Second, the province should adopt new rules that establish a market-based price on carbon by participating in a cap-and-trade program, implementing a carbon levy, or a combination of the two. This will give direction to the market and incent innovation.
Third, reform the utility planning process and direct utilities to invest in the cleanest and cheapest energy resources first. Our electricity needs can be met by purchasing power (supply-side) or by reducing energy use (demand-side). A significant amount of energy efficiency, in other words energy savings, can be procured for one to four cents per kilowatt hour (kwh) — much less than the cost of purchasing a kwh of traditional supply. A mandate that requires procurement of all cost-effective energy efficiency that is less expensive than traditional electric supply would save ratepayers money and cut greenhouse gas emissions.
Fourth, invest in programs that help heating oil customers install energy efficiency measures to seal and insulate their building envelope and upgrade their heating system. Heating oil is the primary fuel used by homeowners and businesses on P.E.I. and is a major source of greenhouse gases on the Island. Establishing energy efficiency programs that take a multi-fuels approach will make our homes more comfortable while keeping tens of millions of dollars in the local economy each year.
Fifth, institute a building energy code — something that currently does not exist on P.E.I. — to ensure new buildings are energy efficient. Nova Scotia announced in October it would fast- track its building energy code. Their efficiency standard will now come into effect in 2009, two years ahead of schedule.
Sixth, reduce fuel consumption and greenhouse gas emissions from the transportation sector by eliminating growth in vehicle kilometres travelled (VKT) by 2020 and reducing VKT to 2000 levels by 2050. This can be addressed through land use planning that focuses on compact, smart growth developments that promote public transportation and active transportation alternatives.
I encourage our decision-makers to show vision and leadership in the upcoming legislative session and enact meaningful energy and climate policies and programs. As a first step, government should provide a series of deadlines by which it will adopt the best practices listed here and in its forthcoming plans. The need is clear and the time to act is now.
Leslie Malone lives in Charlottetown and is the Canadian policy associate with ENE (Environment Northeast), a non-profit organization that uses policy analysis, collaborative problem solving, and advocacy to advance the environmental and economic sustainability of eastern Canada and the northeastern United States.



