Mark Hopkins United Nations Foundation June 2009

POLICY ELEMENTS Policy Market Creation TechnologyInnovationFinancing Public Awareness and Support Worker Training A comprehensive policy approach provides the foundation to grow a new economy based on a commercial market for clean energy. Result: New business and job opportunities

MAKING A DOWN PAYMENT Stimulus Package CONCRETE LONG TERM RESULTS The economic stimulus jumpstarts a fundamental change in energy strategy. Additional policy changes extend and enhance the benefits of the stimulus. “To control our own destiny, America must develop new forms of energy and new ways of using it. This is not a challenge for government alone…It is a challenge for all of us.” President Barack Obama, December 15, 2008

“REBUILDING AMERICA”  American Recovery & Reinvestment Act includes about $30 billion for clean energy:  $11B for smart electric grid  $6B renewable energy loan guarantee to leverage $60B in private sector financing  $10B for school energy retrofits  $8.5B for federal building retrofits  $5B to weatherize a million low income homes  $6.3B for state & municipal energy programs  $8.2B for research, advanced batteries and CCS  $500M for a Green Jobs Retraining Program  Stimulus especially targets the building sector

STIMULUS BENEFITS  Energy efficiency is the largest supply resource in the US; the stimulus builds on that success by:  Retrofitting 4 million buildings, leading to the retrofit of 50 million by 2020  Directly creating 100,000 new jobs and stimulating many more though indirect economic effects  Creating new business activity in the hard-hit construction industry  Bringing renewable energy to scale to lower per unit cost of production to make it more affordable  Lowering energy costs for millions of families and small businesses

THE COALITION APPROACH UNF Market Creation TechnologyInnovationFinancing Public Awareness and Support Worker Training Labor Financial Institutions, Insurance, Investors IT Sector, National Labs, Universities IT, Utilities, & Business Government Utilities and Building Trades Environmental, Religious, & Consumer Groups

REBUILDING AMERICA PARTNERS AFL-CIO -- AFL-CIO Building and Construction Trades -- Allianz of America -- Associated Builders & Contractors -- Associated General Contractors of America -- Building Owners and Managers Association -- Change to Win -- Center for American Progress – Ceres -- Con Edison -- Consumer Federation of America -- Copper Development Association -- Council on Competitiveness -- Edison Electric Institute -- Energy Future Coalition – Intel -- Jones Lang LaSalle -- National Wildlife Federation -- Natural Resources Defense Council -- North American Insulation Manufacturers Association -- Pacific Gas & Electric -- Polyisocyanurate Insulation Manufacturers Association -- The Real Estate Roundtable -- Sacramento Municipal Utility District - - United States Green Building Council Stimulus was supported by a diverse coalition: labor, construction, business, and environmental organizations “The breadth of this coalition reflects the very strong public support for energy efficiency investments. ‘Rebuilding America’ will pay off with an immediate economic stimulus as well as being a good long-term investment in the economy. A failure to include a major investment in energy efficiency in the economic recovery package would be a tremendous mistake.” Tim Wirth, UN Foundation President and former US Senator

WHY ENERGY EFFICIENCY?  It’s Cheaper : Programs deliver energy efficiency for 3 to 4 cents per kWh as compared to 10 cent or more per kWh cost of new power supply  It’s Cleaner: No GHG emissions and eliminates the need for hundreds of new polluting power plants.  It’s Faster: A new power plant takes 6 to 12 years to approve and build – energy efficiency can be deployed immediately.  It’s Bigger: Energy efficiency can supply most or all electricity demand growth through  It’s Better: Consumers save billions of dollars in utility bills and it drives sales of energy efficient products and creates thousands of new jobs.

ENERGY & CLIMATE LEGISLATION US House of Representatives: Establishes a National Cap and Trade Emissions Reduction Market Includes an energy efficiency and renewable energy standard and provisions on Smart Grid Approved by House Energy and Commerce Committee and is now awaiting full approval by full House of Representatives US Senate: Deploys clean-energy technology and improves energy efficiency Increases energy innovation and makes energy markets more transparent The bill awaits Senate Energy Committee approval. Once the two bills are approved they will be sent to a House/Senate Conference Committee that will prepare final compromise legislation; once approved it will be sent to President Obama to sign.  This legislation is the critical to establish the US position at Copenhagen Climate Negotiations this December