{"id":526224,"date":"2010-04-13T10:40:47","date_gmt":"2010-04-13T14:40:47","guid":{"rendered":"tag:www.southernstudies.org,2010:\/\/5.12220"},"modified":"2010-04-13T13:03:11","modified_gmt":"2010-04-13T17:03:11","slug":"voices-with-so-much-potential-for-energy-efficiency-why-is-the-south-so-inefficient","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/526224","title":{"rendered":"VOICES: With so much potential for energy efficiency, why is the South so inefficient?"},"content":{"rendered":"<p>        <span class=\"mt-enclosure mt-enclosure-image\" style=\"display: inline;\"><a href=\"http:\/\/www.southernstudies.org\/images\/sitepieces\/south_metro_carbon_footprints.jpg\"><img loading=\"lazy\" decoding=\"async\" alt=\"south_metro_carbon_footprints.jpg\" src=\"http:\/\/www.southernstudies.org\/assets_c\/2010\/04\/south_metro_carbon_footprints-thumb-250x202.jpg\" class=\"mt-image-right\" style=\"float: right; margin: 0pt 0pt 20px 20px;\" height=\"202\" width=\"250\" \/><\/a><\/span><i>By David Roberts, <a href=\"http:\/\/www.grist.org\/article\/2010-04-12-so-much-potential-energy-efficiency-why-is-south-so-inefficient\/\">Grist<\/a><\/i><\/p>\n<p>When it comes to energy reform, the American South has often been a<br \/>\ndeadweight, anchoring the country to the status quo. There are any<br \/>\nnumber reasons why: It&#8217;s oil, coal, and nuke country. It&#8217;s heavily<br \/>\nRepublican. Many of the affluent white men who dominate its politics<br \/>\nview energy as part of the culture war, another attack by hippies on the<br \/>\n American way of life. Plus they like trucks.<\/p>\n<p>But one phenomenon more than any other shapes the South&#8217;s attitude<br \/>\ntoward energy policy. It lies beneath all the others, yet it&#8217;s the least<br \/>\n well-understood and the most rarely discussed. What is it?<\/p>\n<p>Instead of ruining the surprise, let&#8217;s take a quick detour that will<br \/>\nhelp make the point.<\/p>\n<p><strong>Energy efficiency in the South<\/strong><\/p>\n<p>According to a report released this morning, for every dollar the<br \/>\nSouth invests in energy efficiency, it will receive an average of $2.25<br \/>\nin benefits over the next 20 years in jobs, economic growth, and lower<br \/>\nbills.<\/p>\n<p>&#8220;<a href=\"http:\/\/www.seealliance.org\/programs\/se-efficiency-study.php\">Energy<br \/>\n Efficiency in the South<\/a>&#8221; is a detailed new study from researchers<br \/>\nat the Georgia Institute of Technology and Duke University&#8217;s Nicholas<br \/>\nInstitute; it uses models based on U.S. Energy Information<br \/>\nAdministration forecasts to estimate the benefits of various energy<br \/>\nefficiency policies across three sectors: residential, commercial, and<br \/>\nindustrial. The conclusions, while in keeping with past research on the<br \/>\nsubject, are nonetheless pretty jaw-dropping.<\/p>\n<p>According to the study, an aggressive set of energy efficiency<br \/>\npolicies in the region could:<\/p>\n<blockquote>\n<p><strong>1. Prevent energy consumption from growing over the next 20<br \/>\nyears. <\/strong>In the absence of such initiatives, energy<strong> <\/strong>consumption<br \/>\n in these three sectors is forecast to grow by approximately 13 percent<br \/>\nbetween<strong> <\/strong>2010 and 2030.<\/p>\n<p><strong>2. Generate new jobs, cut utility bills and sustain economic<br \/>\ngrowth.&nbsp; <\/strong>Overall utility bills would be reduced by <strong>$41<br \/>\nbillion each year in 2020 and $71 billion in 2030<\/strong>; the average<br \/>\nresidential electricity bills would decline by $26 per month in 2020 and<br \/>\n $50 per month in 2030; electricity rate increases would be moderated;<br \/>\nand <strong>380,000 new jobs would be created by 2020 (annual job growth<br \/>\n increases to 520,000 new jobs in 2030).<\/strong>&nbsp;The region&#8217;s economy<br \/>\nis anticipated to grow by $1.23 billion in 2020 and $2.12 billion in<br \/>\n2030.<\/p>\n<p><strong>3. Reduce the need for new power plants.&nbsp; <\/strong>Almost 25<br \/>\ngigawatts of<strong> <\/strong>older power plants would be retired and<br \/>\nthe construction of up to 50 gigawatts of new plants (equal to the<br \/>\namount of electricity produced by 100 power plants) would be avoided.<\/p>\n<p><strong>4. Result in substantial water conservation. <\/strong>The<br \/>\nreduction in power plant capacity would save southern NERC regions 8.6<br \/>\nbillion gallons of freshwater in 2020 and 20.1 billion gallons in 2030.<\/p>\n<\/blockquote>\n<p>(Left off this list are the incredible health benefits of reducing<br \/>\nfossil fuel use.)<\/p>\n<p>The reason efficiency has such potential in the South is that it&#8217;s<br \/>\nthe least efficient region of the country and the most fossil-fuel<br \/>\ndependent. Low-hanging fruit abound. And it&#8217;s not just that the region<br \/>\nas a whole would benefit, it&#8217;s that the benefits are incredibly<br \/>\negalitarian. Virtually everyone in the region would see their fortunes<br \/>\nimproved.<\/p>\n<p>So, let&#8217;s see: Create jobs, save ratepayers money, save businesses<br \/>\nmoney, save state governments money, save lives, spur economic growth<br \/>\n&#8230; seems like a no-brainer! A case study for forward-looking public<br \/>\npolicy. And yet, despite their obvious benefits, such policies are not<br \/>\nforthcoming in the South, and they&#8217;re unlikely to appear any time soon.<br \/>\nWhy is that?<\/p>\n<p><strong>Southern means Southern Company<\/strong><\/p>\n<p>Here we return to the single biggest factor in the South&#8217;s energy<br \/>\nintransigence: the energy companies that dominate it are not<br \/>\nparticipants in a competitive market. Most of the region&#8217;s utilities are<br \/>\n regulated monopolies, which means their customers and their profits are<br \/>\n guaranteed by law. They don&#8217;t compete; they manage state regulators,<br \/>\nwhich is a whole different kind of skill. They are involved in cozy,<br \/>\ngood ol&#8217; boy relationships with those regulators that in some cases<br \/>\nstretch back generations. They have their way of doing things and it<br \/>\nworks for them. Why would they want change?<\/p>\n<p>In particular, regulated monopoly utilities have one way to make more<br \/>\n money: build more power plants and sell more power. They convince<br \/>\nregulators to offer a set return on capital, and then they deploy the<br \/>\ncapital to get the return. So all that decreased consumption? All those<br \/>\nsavings on power bills? All those avoided power plants? That&#8217;s all <em>bad<br \/>\n news<\/em> for southern utilities. It translates directly into lost<br \/>\nrevenue for them.<\/p>\n<p>That&#8217;s why Southern Company, the region&#8217;s largest utility, <a href=\"http:\/\/www.grist.org\/article\/2009-07-01-environment-southern-company\/\">has<br \/>\n more lobbyists in D.C. than any other energy company<\/a>, almost double<br \/>\n the runner up. Its position has always been secured through influence<br \/>\nover politicians. It&#8217;s got a bunch of dirty old power plants<br \/>\ngrandfathered under the Clean Air Act. It&#8217;s got guaranteed access to a<br \/>\ngrowing rate base. It&#8217;s trying its damnedest to keep any hint of market<br \/>\ncompetition or other radical changes as far away as possible. And the<br \/>\nlast thing it wants is for its customers to start using less of its<br \/>\nproduct.<\/p>\n<p>It&#8217;s a damn shame. If we treated efficiency as an energy source, we<br \/>\nwould see that the South has access to an enormous reserve of it. It&#8217;s<br \/>\nan abundant supply, and it&#8217;s <em>cheap<\/em> &#8212; cheaper than coal,<br \/>\ncheaper than nukes, cheaper than natural gas. The South is a veritable<br \/>\n&#8230; dare I say it? &#8230; no, I shouldn&#8217;t &#8230; but I must &#8230; <em>Saudi<br \/>\nArabia of energy efficiency<\/em>.<\/p>\n<p>But the presence of huge demand and cheap supply means nothing unless<br \/>\n there is a market set up to bring the one to the other. And there&#8217;s no<br \/>\nmarket in the South. Energy incumbents control policy in the region, and<br \/>\n they&#8217;ve been publicizing costs and privatizing profits for decades.<br \/>\nThey don&#8217;t want a new competitor. It&#8217;s that simple.<\/p>\n<p><font style=\"font-size: 0.8em;\"><i>(Map from <a href=\"http:\/\/www.seealliance.org\/programs\/se-efficiency-study.php\">Southeast Efficiency Study<\/a>.)<br \/><\/i><\/font><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By David Roberts, Grist When it comes to energy reform, the American South has often been a deadweight, anchoring the country to the status quo. There are any number reasons why: It&#8217;s oil, coal, and nuke country. It&#8217;s heavily Republican. Many of the affluent white men who dominate its politics view energy as part of [&hellip;]<\/p>\n","protected":false},"author":247,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-526224","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/526224","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/247"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=526224"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/526224\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=526224"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=526224"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=526224"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}