Maine news, sports, weather from Waterville Morning Sentinel

STATE HOUSE

Energy independence is agency's goal

Efficiency Maine Trust to promote savings for businesses, consumers

By Ethan Wilensky-Lanford ewlanford@mainetoday.com
Staff Writer

In 2001, the six New England governors, plus the premiers of Canada's Maritime provinces, pledged to lower the region's carbon dioxide emissions to 1990 levels by 2010.

That goal has not been reached. In 2006, the author of a report -- Climate Change Roadmap for New England and Eastern Canada -- from a group called Environment Northeast explained how this region can meet its ambitious emissions aims.

Now that author, Michael Stoddard, is in a position to do more than advise governments on changing energy habits. In two weeks, Stoddard will take charge of a new state authority -- the Efficiency Maine Trust -- that plans to save Mainers money, increase energy independence, and help the region reach its carbon emissions goals.

Officials say the emerging trust will be "one-stop shop" for energy efficiency for consumers and businesses. It officially assumes authority over efficiency programs -- existing and new -- in July; Stoddard anticpates starting with a staff of 12, all of whom now work for the Maine Public Utilities Commission.

"There are some ambitious energy savings targets in the law (that established the trust)," said Stoddard, "including saving 20 percent of the heating oil we now use and 30 percent of the electricity and natural gas we now use by 2020."

In his new role, Stoddard, who grew up in Brunswick and returned to the state in the mid-1990s after doing international development and election work, will focus on reducing the demand for energy by making cost-effective financial investments to help people save on electricity and use less heating oil.

"The evidence shows time and time again that we are saving up to three dollars for every dollar we invest," he said. "Those three dollars stay in the Maine economy, where they get re-spent on other things."

In addition to providing financial incentives, such as perhaps paying for a business to install more efficient lighting, or giving a small cash bonus to homeowners who replace their outdated refrigerators, the trust will help coordinate marketing and technical support for products like pellet stoves, solar water heaters, and storm windows.

"This is going to be a team effort," Stoddard said. "The Efficiency Maine Trust includes the first-in-the-nation program to integrate heating and electricity efficiency measures and aggressive targets for energy savings."

The trust will begin with an annual budget of tens of millions of dollars. More than $10 million has been raised in the first year of proceeds from a regional carbon-trading initiative called the Regional Greenhouse Gas Initiative, or RGGI.

Another $12 million or so has come from a user fee tied to electricity use; at current costs, the charge amounts to roughly 1 percent of Maine ratepayers' bills. (A similar fee of 3 percent is charged to natural gas users.)

The trust also holds about $40 million in federal stimulus money for use over the next two years.

The state has also applied for a $75 million federal grant that the trust would administer. That money would fund a loan program now being considered by the Legislature (L.D. 1717) that would enable homeowners to borrow money for efficiency upgrades like a mortgage, payable to their community as part of their property taxes.

If a separate bill (L.D. 1786) passes, the trust could also raise millions by leasing state-owned land for energy transmission corridors.

"While we have a steady stream to save electricity and natural gas, we have no comparable revenue stream to help Maine customers save heating oil," Stoddard said. This year, the trust will prepare a study and make recommendations to the Legislature about how it can help Maine customers reduce heating oil use.

Stoddard said he expects to soon complete the three-year plan that volunteer directors from industry, retail, consumer and public organizations have been working on since last fall.

"It is such a huge privilege to be given this opportunity to work on such an important set of challenges with such a dedicated and thoughtful board of directors," he said.

He said he is confident that the ambitious energy and emissions goals the region's leaders set can be met, although he does not downplay the complexity of the task. The trust is a prime example, he said, of the potential for a state to take action where the federal government has been slow.

"If we do this well, we will provide a model that other states can follow and that federal policy can follow," he said. "It's urgent that Congress take some action on carbon regulation. That would be a true partnership with the states."

Stoddard and his wife Barbara have a 12 year-old son and a 10-year-old daughter. He is an avid skier and coaches youth soccer and lacrosse in the Portland area leagues. He also plays ice hockey.

"We've had an absolute blast establishing the New England Pond Hockey Tournament in Rangeley," he said. "If we don't so something to address climate change, we may need to move it to Quebec."

Ethan Wilensky-Lanford -- 620-7016

ewlanford@mainetoday.com