The CWLP agreement with the Sierra Club states that a portion of power sales from the new plant will go toward an environmental initiatives fund. At least half of the fund is designated for energy efficiency projects for CWLP customers. The rest can be used on other initiatives that reduce carbon emissions, such as renewable energy or improving pollution controls on their existing coal plants.
The Energy Services Office has already seen a significant budget increase following the Sierra Club agreement and more money will be on the way now that the new Dallman 4 plant is going online. The bad news is that the slumping economy means demand for power sales is much lower than what everyone expected a year ago. The good news is that the federal stimulus bill contains money for municipal energy efficiency projects.
CWLP was ready to apply for extra stimulus dollars partly because they were already working on new programs and had previously hired RLW Analytics to conduct a community energy usage study. You may recall that one city alderman voted against conducting the study because it cost more than the original estimate in the Sierra Club agreement. Thankfully, he was outvoted and now that early investment will continue to pay off in the form of lower utility bills, cleaner air, and new green jobs.
Some of the funds awarded were announced in a press release I received earlier today from the city. Below is the full text.
Springfield Awarded $1.2 million for Efficiency Projects
Mayor Tim Davlin announced today that the City of Springfield has been awarded an Energy Efficiency Community Block Grant allocation of $1,225,600 from the U.S. Department of Energy’s American Recovery and Reinvestment Act announced this past March.
“These funds will further bolster CWLP’s activities to save energy, reduce greenhouse gasses, and create jobs locally through many important energy efficiency projects.” said Mayor Tim Davlin. “Every dollar that we can invest into smart energy solutions is a win for the city in that Springfield homes and businesses are less expensive to heat and cool and it’s an opportunity for local energy efficiency related firms to expand business in tight times.”
This grant, specifically allocated to Springfield, originated from a Department of Energy program totaling almost $1.8 billion nationally. Energy efficiency projects funded through this grant will provide both significant energy savings and reduce the carbon footprint for City Water, Light and Power (CWLP) electric customers.
“With this funding, we particularly look forward to expanding our efficiency and rebate options we can offer to our residential and business customers,” said CWLP General Manager Todd Renfrow. “Every kilowatt saved is money to be earned for being a smart consumer.”
CWLP will utilize these funds to undertake one new energy efficiency programs and reinstate two others, which include a high efficiency air conditioner rebate program, a commercial retro-commissioning program and bringing back a commercial lighting retrofit program, CityLights. These programs will be managed by CWLP’s Energy Services Office and will lead to substantial energy and cost savings for many CWLP customers.
The 2009 American Reinvestment and Recovery Act was signed into law by President Obama in February.
Department of Energy’s EECBG Program
www.eecbg.energy.gov