Today, Sept. 24, as the Efficiency Maine Trust is holding a public input session, a diverse group of experts called on Efficiency Maine and the Maine Public Utilities Commission (PUC) to develop and approve, respectively, a strong three-year plan that will maximize energy savings for homes, businesses, industry, and municipalities. Today’s day-long stakeholder meeting at the Augusta Civic Center follows a contentious legislative session that ended in lawmakers voting unanimously to reaffirm their commitment to Maine’s strong energy-efficiency law.

“Energy efficiency is the most powerful strategy Maine can pursue to address our energy challenges,” said Dylan Voorhees, Clean Energy Director for the Natural Resources Council of Maine. “This has been reaffirmed by the Legislature, the impressive results of Efficiency Maine programs, and by business leaders and ordinary Mainers every day. Having a strong three-year plan is the foundation of Maine’s progress on energy efficiency.”

According to Maine law, every three years Efficiency Maine must develop a plan that lays out the programs, initiatives, and budgets it will use to help homeowners, small businesses, industrial producers, and others save money through energy-efficiency improvements. These range from helping homeowners install insulation, to helping small businesses cut electricity bills with lighting retrofits, to helping hospitals and paper mills install sophisticated high-efficiency equipment.

In FY 2015 alone, Efficiency Maine helped roughly 4,000 businesses (most of them small businesses), 10,000 homeowners, and more than 3,000 units in larger multifamily buildings. It launched a new program specifically designed to help small businesses by bringing ready-to-go lighting improvements right to their doorstep. Roughly 350 small businesses participated in this initiative, primarily focused in Aroostook County and Waterville-Winslow.

“Small businesses are a foundation of the Maine economy and our members are deeply committed to saving energy with energy efficiency,” says Will Ikard, Director of the Maine Small Business Coalition, which represents more than 4,000 small business owners across the state. “We applaud Efficiency Maine for beginning to focus more intensely on initiatives for small businesses and urge them to step up those efforts significantly in the next three years.”

“Everybody seems to talk about the fact that Maine homes are some of the oldest and leakiest in the country,” said Richard Burbank, President of Evergreen Home Performance. “But Efficiency Maine and the businesses like mine aren’t just talking about it, we’re addressing the problem. Efficiency Maine is rapidly accelerating the rate of home energy improvements and, as a result, companies like ours are growing and hiring workers. Much more remains to be done, but we’re charting the right course.”

Over the first four years of its operation (2010-2014), Efficiency Maine initiatives yielded $1 billion in lifetime energy savings, primarily in electricity and heating oil reductions. Every dollar invested by Efficiency Maine—which is generally matched by spending on the part of the home or business—has yielded more than $5 in energy savings. 

“Energy efficiency is a fantastic investment for the state of Maine,” said Tom Tietenberg, Professor of Economics, Emeritus, at Colby College and a former board member of the Efficiency Maine Trust. “By helping homes and businesses overcome informational, technical, and financial barriers, Efficiency Maine is helping energy consumers of all types keep more of their dollars in their pockets. These savings, in turn, mean more spending within Maine and a boost to the Maine economy. They also increase the competitiveness of our businesses and create good local jobs in the process. Maine would do well to further increase its successful energy-efficiency efforts."

Maine policymakers have recognized the proven successes and excellent economic returns that energy efficiency provides. Maine law requires Efficiency Maine to develop a plan that seeks to capture all cost-effective energy-efficiency savings opportunities that it can achieve. In 2013, the Legislature passed an omnibus energy bill that clarified this standard, and capped ratepayer contributions at $60 million/year. In 2015, in reaction to a PUC decision to limit efficiency spending to less than $25 million, the Legislature voted unanimously, over the governor’s veto, to reaffirm that efficiency spending could be up to $60 million, as long as the spending met the “cost-effectiveness” test.

“We know three things very clearly,” said Voorhees. “First, energy efficiency is extremely cost-effective. Second, Maine’s efficiency efforts are a proven success. Third, there are huge opportunities to improve the energy efficiency of our buildings. If you put those together, the direction Maine must take is clear: we should do as much energy efficiency as we can.” 

Maine’s energy-efficiency efforts get a big boost from our participation in the Regional Greenhouse Gas Initiative (RGGI), a market-based program to limit climate-changing carbon pollution from power plants. RGGI carbon markets currently generate about $15 million/year that Maine uses to support energy-efficiency efforts, specifically those that reduce oil use. This includes the Home Energy Savings Program and programs for large manufacturers. RGGI took on additional significance when the U.S. EPA finalized its Clean Power Plan, the first national limits on carbon pollution from power plants. Under the Clean Power Plan, it is expected that Maine and the region will continue to operate RGGI (which is stricter than the Clean Power Plan), and continue to lower both energy costs and carbon pollution through energy efficiency.

“Energy efficiency is the biggest win-win-win I can imagine for Maine’s economy, environment, and energy future,” said Voorhees. “When you can save five dollars for every dollar invested, it makes sense that Maine has a policy to maximize those investments and those savings. It’s up to Efficiency Maine and the PUC to make sure the reality lives up to the potential.”

Judy Berk is communications director for Natural Resources Council of Maine