Under the leadership of Gov. Janet Napolitano, Arizona legislators in 2003 passed H.B. 2324, a measure aimed at cutting the state government's energy consumption significantly during the next decade. H.B. 2324, which dovetails with Napolitano's Efficiency Review (ER) initiative to improve state government performance, requires the state's Administration and Transportation Departments and Arizona's universities to cut their energy use by 10 percent below 2001-2002 levels by July 2008, and by 15 percent by July 2011.
Last year legislators sought to extend Arizona's existing law. HB 2606 and HB 2776, would require state agencies and universities to reduce energy use by 30% by 2020. HB 2776 also would require all new state buildings to conform to voluntary national green building standards known as Leadership in Energy and Environmental Design (LEED). The measure also seeks to establish energy efficiency standards for specific appliances and equipment requiring that 15% of the electricity generated by retail customers by generated from renewable energy by 2025.
According to the first two annual reports submitted by the state agencies and universities, they are on track to meet the 2003 10% reduction mandate. Existing law also requires the agencies and higher education institutions to buy only federal "Energy Star" compliant products or others certified under the Federal Energy Management Program, and to adhere to the International Energy Conservation Code in new construction. The measure is expected to carve about $90 million off the state's energy bills, according to the Southwest Energy Efficiency Project.
The law builds on energy efficiency steps taken under Arizona's Smart Energy campaign, which was prompted by the rolling blackouts that plagued neighboring California in 2001. New energy conservation measures include installing sensors that turn off lights in empty rooms, replacing light fixtures with more energy-saving models, and squeezing even more efficiency out of air conditioners in summer months. When buyers at all levels of government use the same criteria in choosing their products, a powerful market signal is sent to manufacturers and vendors that some of their largest and most important customers are committed to energy efficiency. This spurs competition and offers consumers the highest value for the best prices. As of January 2007, 42 buildings in Arizona have earned the US EPA Energy Star Building label, including the Arizona Department of Environmental Quality, the Arizona Department of Administration and the Arizona Department of Health Services buildings.
The new law's proponents expect that state agencies and schools will enlist energy service companies (ESCOs) to help them devise and implement energy savings projects -- businesses that develop, install, and finance projects to improve energy efficiency and cut operating costs. Over time, the projects pay for themselves in the form of lower energy bills.
The law's backers also say they hope it will spur similar energy-saving activity in the region. A study released in August 2003 by the Southwest Energy Efficiency Project (SWEEP) found that making new homes and commercial buildings in the Southwest more energy efficient could potentially save 19 billion kilowatt-hours of electricity and 60 billion cubic feet of natural gas per year by 2020, adding up to net cost savings of $8.4 billion for consumers and businesses. Moreover, electric utility energy efficiency programs in the southwest region are expanding and have a combined budget of over $100 million in 2006, up from just $21 million in 2001.
In 2004, one year following the SWEEP study's publication, California Governor Arnold Schwarzenegger signed an executive order aimed at reducing electricity purchased by state-owned buildings by 20 percent in 2015. The state's own buildings consume over $500 million of electricity per year, and the measures outlined in the Governor's Order can save California taxpayers $100 million per year.
The order seeks to achieve this through retrofitting existing buildings with Energy Star electrical equipment and by building the most resource-efficient new state buildings.
Arizona House Bill 2324, 2003
www.swenergy.org/legislative/2003/index.html
Arizona Gov. Janet Napolitano's Efficiency Review Website
www.governor.state.az.us/er/
Arizona's Smart Energy Usage Program
www.commerce.state.az.us/Energy/Smart/
Southwest Energy Efficiency Project (SWEEP)
www.swenergy.org
U.S. Environmental Protection Agency's Energy Star Program
www.energystar.gov
Arizona Energy Efficieny Actions
http://www.epa.gov/solar/energy-programs/
state-and-local/states/az.html
Executive Order of Governor Arnold Schwarzenegger, S-20-04,
http://www.dot.ca.gov/hq/energy/ExecOrderS-20-04.htm
Energy Star, "State of California," http://www.energystar.gov/index.cfm?c=government.challenge_california
SWEEP website, Increasing Energy Efficiency in New Buildings in the Southwest: Energy Codes and Best Practices, August 2003
www.swenergy.org/ieenb/index.html
Energy Efficiency Task Force Report of the Western Governors' Association
, www.westgov.org/wga/initiatives/cdeac/
Energy%20Efficiency-full.pdf
SWEEP
2260 Baseline Rd. #212
Boulder, CO 80302
Ph: 303/447-0078
Fax: 303/786-8054
Email: info@swenergy.org
Jeff Schlegel
SWEEP Arizona Representative
1167 W. Samalayuca Dr.
Tucson, AZ 85704
(520) 797-4392
(303) 786-8054 (fax)
schlegelj@aol.com
Tad Wootton
Director
Office of Governor Janet Napolitano
Energy Efficiency Review
Exec Office Tower
1700 West Washington
Phoenix, AZ 85007
Tel: (602) 542 1246
Fax: (602) 542 1585
twootton@az.gov
Jan Mazurek
Director
Energy & Environment Project
Progressive Policy Institute
600 Pennsylvania Ave., SE, Suite 400
Washington, DC 20003
(202) 547-0001
(202) 544-5014 (fax)
jmazurek@ppionline.org
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