Shepherd Advisors

The votes have been cast, ballots counted. What do the results of this election mean for community energy efficiency and renewable energy projects?

Well, two of the key rally calls of this election were "reduce government spending" and "lower taxes." Therefore, public funding for community energy efficiency and renewable energy projects is projected to slow.

However, significant progress on these efforts has been made through the substantial federal and state grants to communities for clean energy projects through programs like the Energy Efficiency Conservation Block Grants. The stimulus dollars went a long way in creating momentum for community clean energy and sustainability efforts, and will leave a legacy of local strategies, knowledge, and institutional capacity to keep moving on energy reduction despite reduced federal and state funding.

In order to continue achieving their energy reduction and renewable energy goals, communities will now have to build on progress to date with creative solutions. Some key strategies to consider include:

• Maintain Partnerships - between the public, private, and not-for-profit sectors to help leverage resources, increase purchasing power for energy efficiency and renewable energy technologies, and enable broader communication and education efforts within the community.
• Reinvest Savings - Utilize cost savings from energy efficiency investments and retrofits made in the last few years to invest in future retrofits and renewable energy projects. This can be done by allocating a percentage of operating cost savings from reduced utility bills to already identified projects, or using it to capitalize a municipal energy fund for future projects. There are numerous models out there of communities who have successfully done this.
• Integrate Energy Sustainability and Economic Development Planning - Recognize and support the connection between sustainability and economic development, and be a leader in helping state and federal lawmakers to understand this too. For a state like Michigan that has a substantial manufacturing base that can be employed in the clean energy sector, and that spends over $20 billion a year importing coal for our energy production, the potential economic development opportunities from being a major supplier and producer of alternative energies are substantial. And local communities that save money by reducing energy and supporting businesses in the growing clean energy sector will benefit most.

These are slower, more long-term approaches compared to short-term implementation of grant funds...but there are fewer grant reports to complete! So this is not time to stop all the great energy efficiency efforts we have been making in Michigan. Community energy leaders will simply have to be more creative to keep the momentum going!

Please contact Shanna Draheim to discuss community energy efficiency and renewable energy projects and other creative solutions.