Pres. Obama's stimulus plan: Sometimes good ideas take time

With news this past week that the Democratic-controlled Congress has passed the $787 billion economic stimulus bill, a 2001 report from the five national laboratories, finally has a new life. The stimulus bill heralds a new era of energy efficiency and job stimulation. On May 6, 2001, The New York Times front page reported, "Scientists at the country's national laboratories have projected enormous energy savings if the government takes aggressive steps to encourage energy conservation in homes, factories, offices, appliances, cars and power plants." The story went on to reveal a lengthy detailed report that said a government-led program to encourage energy efficiency could "reduce the growth in electricity demand by 20% to 47%." This modest investment was projected to eliminate the need for between 265 and 610 large 300-megawatt power plants—depending on how aggressively the government planned to invest. The measures recommended included replacing incandescent with compact fluorescent light bulbs, installing low-flow shower heads, new attic insulation and new energy-efficient heating and cooling systems. The report estimated that depending on how aggressively the government proceeded, the measures could eliminate the need for between 265 and 610 large 300-megawatt power plants. The 2009 Stimulus Plan appropriates money for these types of initiatives. For example, the stimulus bill appropriates $4.5 billion with the goal of making 75% of federal buildings energy efficient-a slow and piecemeal process today. Since the government borrows money at significantly less than 20%, the energy savings will yield a significant surplus. Figuring only a modest 15% return, here is an example. A 20-year bond for $4.5 billion at 3% interest would cost the taxpayers $302.5 million per year. But the energy savings generate $675 million per year, resulting in a net surplus of $372.5 million, which could be used to lower taxes or preserve vital services. While many governments, such as Westchester County and Greenburgh, recognize this fact and have pursued energy efficiency, the influx of funding expected from the stimulus plan will encourage other communities to follow suit —not to mention create thousands of new jobs. With the stroke of a pen to the 2009 Stimulus Plan, President Obama resurrected hope for an energy-efficient future. Alexander Roberts, NYS certified in energy management practices, is executive director of Long-Island's Community Housing Innovations, Inc.