Act Now- Ensure Energy Efficiency Central to Montana's Energy Policy

Why Energy Efficiency?

Montana is sitting on a goldmine fuel source that has gone largely untapped - energy efficiency. Energy-efficient technologies exist today that could save the state between 25 and 30 percent on energy spending through 2030 and reduce the need for expensive new power plants.  Energy Efficiency should be the cornerstone of Montana's energy policy.

Montana's power companies play an important role in bringing these energy-saving solutions to their customers, and in the process, create good local jobs to get the work done. Simple upfront investments in the efficiency of new and existing homes, offices, schools and other buildings saves property owners money on energy bills, puts people to work and improves the comfort, health and productivity of those living, learning and working inside.

Montana's elected leaders can help everyday consumers save money and spur the economy by supporting policies that help advance energy efficiency programs at every scale - from the utilities that procure it, to our physical places of business and in our homes.

Specific Policy Suggestions for Montana

• First, Montana should start at the source, and establish an energy efficiency standard for utilities. An efficiency standard is similar to a renewable energy standard and would establish a statewide measurable energy savings goal for utilities. Such a standard would ensure that all major gas and electric power companies are tapping into Montana's reservoir of energy savings, from making power plants more efficient to helping households and businesses reduce energy use. An efficiency standard would reduce the need for expensive new power plants and lower energy bills for all Montanans.

• Second, Montana can protect businesses and homeowners from paying for wasted energy and help them increase property values by setting and consistently applying strong building codes. Montana's building codes set the bar for the energy efficiency of new homes and other buildings. With energy-wise and enforceable building codes, our homes would be constructed right from the start - with adequate insulation, air and duct sealing and more - to keep energy bills down and occupants comfortable in any season. Every Montana homebuyer has the right to be guaranteed that their new home meets high efficiency standards. Ultimately, stronger building codes make home ownership more affordable and increase the re-sale and rental value of homes and offices.

• Finally, Montana can provide better opportunities for its residents to choose efficiency through USB programs and energy efficiency tax credits. Some utilities already serve their customers through the Universal Systems Benefits (USB) policy, providing low-income home weatherization, free energy audits, as well as coupons and rebates for efficiency improvements at home, from light bulbs to insulation. The legislature should ensure that all utilities provide effective programs for their customers. Additionally, residential consumers would benefit from an increase in the state energy efficiency tax credit. The current tax credit is for 25% of the investment and cannot exceed $500. The legislature should consider raising the limit on the Montana tax credit to match the federal limit of $5,000 (i.e. a 25% tax credit not to exceed $1,250).

Montanans pay more for electricity than any other state in the region. It is time to put energy efficiency technology to work to help Montanans reduce energy use and lower monthly bills.  Investing in energy efficiency for Montana's households, businesses and industries is a down payment on energy independence for Montana.