AHAM's Blog

Breakfast with Congressman Jason Chaffetz (R-UT)

I attended a small breakfast meeting this morning with Congressman Chaffetz, who is a Republican member from Utah and is a member of the Judiciary, Natural Resources and Oversight & Government Reform Committees.

Chaffetz is a freshman Member of Congress who says that his success in the election was due to grassroots effort and using social media outlets such as Facebook and YouTube.

I informed him about the recent release of funding for the Energy Efficient Appliance Rebate Program, in which Utah may participate if the state energy office sends their initial application to the Department of Energy by August 15.  The Congressman was not aware of the release of the solicitation for this program and appreciated learning about it.  The Congressman, in jest, was disappointed, as he just purchased a new refrigerator and cooktop.  I reassured him that there is no reason for him to have buyer’s remorse because he would be seeing savings in his utility bill due to the fact that the average energy use of a new refrigerator is about the same as a 60W light bulb left on 24 hours a day.

BIG NEWS! DOE INITIATES APPLIANCE REBATE PROGRAM

Today the Department of Energy announced the funding for the Energy Efficient Appliance Consumer Rebate Program, which will deliver direct rebates to consumers for the purchase of ENERGY STAR appliances.  AHAM has been working with the DOE since this program was first announced in the stimulus bill, a.k.a the American Recovery and Reinvestment Act of 2009, as we believe it is the most practical and effective step a homeowner can take to increase energy efficiency of their home and immediately reduce utility bills.   

 

Now, it is up to each State Energy Office to register its interest in obtaining funding for this program.  Several states already have announced that they will be applying for the funding.  Arizonans could get $6.2 million for appliances!   Missouri and Kansas are lining up for their share of the funding.  Residents of New Mexico are ready to help stimulate the economy and decrease their energy bills with their share of the funding, amounting to $2 million.  

AHAM encourages the states to submit their plans to DOE early to put money in their residents’ hands as quickly as possible.   

If you are in the market for a new appliance, tell us what you think, and which appliance you will buy first. 

The Need for Balanced Federal Energy Legislation

Congress is spending significant time this year on energy efficiency legislation, with a keen focus on appliance efficiency.  Both houses of Congress have committees developing new provisions relating to the development of appliance efficiency standards while the Department of Energy is struggling to comply with a federal court ordered schedule to complete work on several appliance standards.  This is while the agency is also attempting to adhere to additional new requirements on appliance efficiency included in laws enacted in 2005 and 2007.  AHAM is involved in influencing the outcome of the 2009 energy legislation to ensure an adequately funded federal program that blends national efficiency requirements, and education and incentive programs that encourage manufacturers and consumers to seek even higher efficiency products.

While AHAM is encouraged that the new legislation embraces the potentially game changing application of smart grid technology to home appliances, we are nonetheless concerned that portions of the legislation will do more harm than good to a well thought out national appliance efficiency program.  

Will Climate Change Reach Pennsylvania Avenue?

It is safe to say that the momentum is not behind the enactment of a broad climate change bill this year.  However, the more important question is whether it will happen next year.

For those who are still unsure whether the climate change bill will be completed this year, let me provide a few reasons it is unlikely:

• Chair of the Senate Committee with jurisdiction (Environment & Public Works) hasn’t released legislation yet.
• Midwest Democratic Senators have said they don’t see a bill moving this year.
• Congressman Van Hollen (D-Md.) has suggested a vote might not take place this year.  This is significant because Van Hollen is head of the Democratic Congressional Campaign Committee and is responsible for electing more Democrats to the House and ensuring vulnerable Democratic members get re-elected.  This tells me that there is a worry that a climate change bill may not be selling well in swing districts.
• Chairman Waxman is still struggling to find a majority of votes in his committee to pass a bill.

Using a crystal ball to look at the political landscape in 2010 – which is President Obama’s first mid-term election year—I see that politicians will be more risk averse the closer it gets to an election, and this one is just 6 months away.  Also, will politicians feel that the climate change “issue” is better to have at their side during the 2010 campaign rather than trying to campaign on the success of a compromised climate change bill, which no one may be excited about?  And what will the state of our economy be and will it provide fodder for the opponents of climate change legislation who characterize it as an energy tax?