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National Action Plan for Energy Efficiency
Action Plan Recommendations
- Recognize energy efficiency as a high-priority energy resource.
- Make a strong, long-term commitment to implement cost-effective energy efficiency as a resource.
- Broadly communicate the benefits of and opportunities for energy efficiency.
- Provide sufficient, timely, and stable program funding to deliver energy efficiency where cost-effective.
- Modify policies to align utility incentives with the delivery of cost-effective energy efficiency, and modify rate making practices to promote energy efficiency investments.
The National Action Plan for Energy Efficiency was a private-public initiative to create a sustainable, aggressive national commitment to energy efficiency through the collaborative efforts of gas and electric utilities, utility regulators, and other partner organizations. Such a commitment can take advantage of large opportunities in U.S. homes, buildings, and schools to reduce energy use, save billions on customer energy bills, and reduce the need for new power supplies.
The Action Plan was led by a diverse Leadership Group (PDF) (3 pp., 53K, About PDF) of more than 60 leading gas and electric utilities, state agencies, energy consumers, energy service providers, environmental groups, and energy efficiency organizations. The Leadership Group identified key barriers limiting greater investment in cost-effective energy efficiency, made five key policy recommendations to overcome the barriers, and documented policy and regulatory options for greater attention and investment in energy efficiency. Many Leadership Group organizations were joined by other states, utilities, and key stakeholders across 49 states in making aggressive commitments to energy efficiency and endorsing the recommendations of the Action Plan.
Action Plan reports, guides, tools, and factsheets are available to help state policy-makers, energy consumers, utilities, environmental groups, and others understand options for:
- Advancing a Comprehensive Policy and Program Framework
- Setting High-Level State Policy Goals for Saving Energy
- Establishing and Implementing Effective Efficiency Programs
- Addressing Utility Barriers
- Adopting Additional State Policies
The State and Local Energy Efficiency Action Network builds on the great progress made by the Action Plan and strives to help the nation achieve all cost-effective energy efficiency by 2020 by focusing on the assistance that states and local governments need to perform their critical role in advancing policies and practices that bring energy efficiency to scale.
Advancing a Comprehensive Policy and Program Framework
- National Action Plan Vision for 2025: A Framework for Change. This document establishes a goal of achieving all cost-effective energy efficiency by 2025 and presents 10 implementation goals as a framework for advancing the Action Plan’s five key policy recommendations, which many of the Leadership Group organizations and others have endorsed. The Vision also presents an approach for measuring progress.
- Full report (PDF) (112 pp., 719K)
- Executive summary (PDF) (24 pp., 264K)
- Measuring Progress Toward the Vision for 2025. Measuring progress in achieving the 10 implementation goals is an important part of the Vision for 2025. State progress is essential because states oversee the majority of policies that regulate the nation’s investment in energy efficiency. The following tables summarize state progress toward the Vision for 2025 as of December 2008:
- National Action Plan for Energy Efficiency Report. This seminal report includes the Action Plan recommendations, identifies key barriers, and summarizes methods for energy efficiency in utility ratemaking and revenue requirements, energy resource planning processes, rate design, and energy efficiency program best practices.
- Full report (PDF) (216 pp., 2M)
- Executive summary (PDF) (16 pp., 179K)
- EPA’s Clean Energy Resources Database. This database contains additional resources and documents on energy efficiency, as well as a searchable database to find resources cited in many of the Action Plan reports and guides listed below.
Setting High-Level State Policy Goals for Saving Energy
- Guide to Resource Planning with Energy Efficiency (PDF) (112 pp., 1.7M). A variety of successful processes are used to integrate energy efficiency into electric and gas resource planning and to facilitate the effective procurement of cost-effective energy efficiency. This “how-to” guide describes the key issues, best practices, and main process steps for integrating energy efficiency into resource planning on an equal basis with other resources.
- Guide for Conducting Energy Efficiency Potential Studies (PDF) (96 pp., 979K). This document provides guidance on standard approaches for parties looking to a) determine how much energy efficiency is available in their utility footprint, state, or region; b) evaluate efficiency as an alternative to supply-side resources; or c) formulate detailed program design plans by understanding the potential for cost-effective energy efficiency.
- Energy Efficiency as a Low-Cost Resource for Achieving Carbon Emissions Reductions (PDF) (86 pp., 632K). This report summarizes the scale and economic value of energy efficiency for reducing carbon emissions and discusses barriers to achieving the potential for cost-effective energy efficiency.
- Energy Efficiency Benefits Calculator. This calculator can be used to help educate stakeholders on the broad benefits of energy efficiency. It provides a simplified tool to demonstrate the business case for energy efficiency from the perspective of the consumer, the utility, and society. It can be adapted to apply to various utility structures, policy mechanisms, and energy growth scenarios.
- Energy Efficiency Benefits Calculator (XLS) (2.6M)
- Corresponding presentation: The Business Case for Energy Efficiency (PDF) (49 pp., 297K)
- Discussion of Consumer Perspectives on Regulation of Energy Efficiency Investments (PDF) (44 pp., 693K). This report considers consumers’ perspectives on policy and regulatory issues associated with the administration of energy efficiency investments funded by ratepayers of electric and natural gas utilities.
- Consumer Energy Efficiency Fact Sheet (PDF) (4 pp., 199K). An increasing number of electric and gas utilities, as well as states, are offering energy efficiency programs to help consumers control their energy costs. This fact sheet provides basic information about energy efficiency, explains how utility and state investment in energy efficiency helps consumers, and describes what to expect from utility or state efficiency programs.
Establishing and Implementing Effective Efficiency Programs
- Understanding Cost-Effectiveness of Energy Efficiency Programs (PDF) (96 pp., 1M). This paper discusses the five standard tests used to assess the cost-effectiveness of energy efficiency, how states are using these tests, and how the tests can be used to determine the cost-effectiveness of energy efficiency measures.
- Customer Incentives for Energy Efficiency Through Program Offerings (PDF) (40 pp., 1.1M). This brief summarizes the approaches used by energy efficiency program administrators when assessing the range of financial and other incentives to be used in energy efficiency programs.
- Rapid Deployment Energy Efficiency (RDEE) Toolkit. The RDEE Toolkit provides detailed program design and implementation guides to help entities choose successful programs as they advance energy efficiency program funding opportunities through the American Recovery and Reinvestment Act (ARRA) of 2009.
- Model Energy Efficiency Program Impact Evaluation Guide (PDF) (152 pp., 1.4M). This document provides guidance on model approaches for calculating energy, demand, and emissions savings resulting from energy efficiency programs. It describes several standard approaches that can be used for calculating savings, defines terms, provides advice on key evaluation issues, and lists efficiency evaluation resources.
- Energy Efficiency Program Best Practices (PDF) (55 pp., 442K). This chapter from the National Action Plan for Energy Efficiency Report reviews and presents best practices for operating successful energy efficiency programs at a portfolio level. It addresses issues such as assessing energy efficiency potential, screening energy efficiency programs for cost-effectiveness, and developing a portfolio of approaches.
- Sector Collaborative on Energy Efficiency (PDF) (80 pp., 497K). This report was designed to help gas and electric utilities, utility regulators, and energy users identify and act on cost-effective opportunities for expanding energy efficiency resources in the five commercial sectors participating in the Sector Collaborative. The report describes the barriers to cost-effective energy efficiency, documents how energy savings are valuable investments for participating sectors, identifies tools needed for implementation and evaluation of efficiency measures, and highlights new commitments and partnerships to increase efficiency investments.
- ENERGY STAR Fact Sheet (PDF) (4 pp., 216K). ENERGY STAR tools and strategies can help organizations deliver energy savings with lower program costs and quicker implementation, increasing overall program effectiveness.
Addressing Utility Barriers
- Customer Incentives for Energy Efficiency Through Electric and Natural Gas Rate Design (PDF) (44 pp., 241K). This brief summarizes the issues and approaches involved in motivating customers to reduce the total energy they consume through energy prices and rate design.
- Utility Best Practices Guidance for Providing Business Customers with Energy Use and Cost Data (PDF) (56 pp., 299K). This guidance summarizes the context; current state of utility practices; and the customer, business, and policy cases for providing customers with consistent, standardized energy use and cost data.
- Aligning Utility Incentives with Investment in Energy Efficiency (PDF) (116 pp., 1.1M). This paper describes the financial effects on a utility of its spending on energy efficiency programs, how those effects could constitute barriers to more aggressive and sustained utility investment in energy efficiency, and how adoption of various policy mechanisms can reduce or eliminate these barriers. Privately, publicly, and cooperatively owned utility cases are covered.
- Coordination of Energy Efficiency and Demand Response (PDF) (72 pp., 787K). This paper summarizes existing research and discusses current practices, opportunities, and barriers to coordinating energy efficiency and demand response programs.
Adopting Additional State Policies
- Building Codes and Energy Efficiency Fact Sheet (PDF) (6 pp., 178K). Building energy codes establish a minimum level of energy efficiency for residential and commercial buildings. This can reduce the need for energy generation capacity and new infrastructure while reducing energy bills. States and municipalities are updating existing codes, adopting new codes, and expanding code programs to improve compliance and achieve real results.
- Energy Efficiency Program Administrators and Building Energy Codes (PDF) (44 pp., 406K). This brief explores how energy efficiency program administrators have helped advance building energy codes at federal, state, and local levels—using technical, institutional, financial, and other resources—and discusses potential next steps.
- Clean Energy Lead By Example (LBE) Guide. The Clean Energy LBE Guide highlights key strategies, resources, and tools states can use to lead the country in the adoption of cost-effective energy efficiency and clean energy programs for their buildings, facilities, and operations. Each of the strategies promoted in the guide is road-tested and deemed cost-effective.
- Energy Efficiency Workforce Development. The Action Plan Leadership Group identified the need to support the development of an energy efficiency workforce to advance their Vision of all cost-effective energy efficiency by 2025.
- For more information on existing state and local workforce policy initiatives, visit EPA’s State Climate and Energy Program Workforce Development page.
- Read Lawrence Berkeley National Laboratory’s (LBNL’s) Energy Efficiency Services Sector: Workforce Education and Training Needs (PDF) (72 pp., 463K) study.
- For more information on existing state and local workforce policy initiatives, visit EPA’s State Climate and Energy Program Workforce Development page.
For More Information
EPA and the U.S. Department of Energy facilitated the National Action Plan for Energy Efficiency from 2005 to 2010. Learn more about other past activities.
In addition to the contacts provided on the inside cover of each Action Plan report and guide, you can contact Stacy Angel (angel.stacy@epa.gov, 202-343-9606) with any inquiries.
To receive hard copies, please complete the Hard Copy Order Form for Selected Guides and Papers (PDF) (1 p., 146K).