Energy and Air Quality Subcommittee Hearing

Climate Benefits of Improved Building Energy Efficiency

July 17, 2008

            The hearing will come to order.

            In the next Congress, this subcommittee will initiate legislation to reduce greenhouse gas emissions between 60 and 80 percent by 2050.

            A portion of that goal will be met through a cap and trade regulation on large scale stationary sources and on transportation.

            But to achieve the goal, other steps will also be required. Last year's energy law began that process with a landmark measure to enhance the efficiency of a broad range of household appliances.

            It also encourages a smart electricity grid and the capture of waste heat from industry.

            By 2030, last year's law will reduce greenhouse gas emissions a cumulative total of 10.6 billion tons. In the year 2030 alone, the annual reduction will be 700 billion tons, equal to all of the emissions of all of the vehicles on America's highways today.

            Another key step will be making America's buildings more efficient. The energy they consume accounts for 40 percent of total U.S. greenhouse gas emissions. Some experts believe that it would be possible to apply affordable solutions to reduce CO₂ emissions attributable to the nation's buildings by more than 60 to 80 percent by 2050, suggesting that achieving those efficiencies will be a key ingredient of our overall greenhouse gas reduction strategy.

            And these may be among the least expensive reductions we achieve.

            It's estimated that new building efficiencies cost about 3 cents per kilowatt to install, while the consumption of energy is at best 5 cents per kilowatt.

            These savings are effective immediately with no lead time, are permanent, are free of environmental negatives, are not attended by the large infrastructure costs that new electricity generation requires, and deliver their full benefit, unlike new electricity generation which on average only delivers about 30 percent of the fuel input as usable energy.

            These realities suggest that making buildings more efficient is truly the low hanging fruit in the CO₂ reduction effort.

            Last year this committee proposed and the House passed section 431 to present to the states a new recommended building code to advance the efficiency of energy use in buildings. That section was deleted because of Senate action and was therefore not a part of the bill signed into law in December.

            The provision would have left to the states the decision regarding whether to adopt the recommended building code, but financial assistance was afforded to the states that agreed to do so.

            The debate on this provision will reemerge next year as will proposals to enhance weatherization programs and making more stringent the standards for the Energy Star program for buildings.

            Today's witnesses will comment on these and other approaches we can take to advance building efficiency and by doing so advance our objective of reducing greenhouse gas emissions.