New technologies, such as high-efficiency heating and cooling equipment in office buildings, pumps and motors in industrial settings, compact fluorescent bulbs and low-emitting diodes, etc., provide an opportunity to slash energy use, reducing emissions from electricity generation. However, high prices do not allow any considerable re-equipment of the US population.
The new initiative offers a wonderful solution of the problem. The auction is to bring hundreds of millions of dollars annually. This money can be used to assist residential and business customers to upgrade their equipment.
The author of the article fairly suggests that the initiative should become the foundation of federal-state partnership. Conducted by the federal government, the auction is likely to raise much more money, leading to a significant reduction of energy use and gas emissions. Set under a national cap and run by the federal government, the auction could bring tens of billions annually. The states could get funds for implementation of their decisions and regulation on utilities, the location of power plants, building codes and land use. Many states take steps in the direction of energy efficiency. So Massachusetts has cut the annual growth in electricity demand by nearly one-third. Rebates, low-interest loans and incentives allowed residential and business customers reequip their settings reducing the use of energy and saving their money. California promotes solar power installations and energy efficient building designs. Connecticut has issued a law making utilities to re-equip and invest into energy efficiency projects. The International Energy Conservation Code and its equivalents for residential and commercial buildings have become the guidelines for action in many states. According to the Clean Air Act states should get federal funds to carry out their local strategies on pollution prevention.