FY 2014 Budget Recommendation:
Issues in Brief
Deval L. Patrick, Governor
Timothy P. Murray, Lt. Governor
Building on the Patrick-Murray Administration’s nation-leading clean energy accomplishments, the Administration announced the Accelerated Energy Program (AEP) in January 2013, which aims to reduce energy consumption by 20 to 25 percent at 700 state sites, creating about 4,000 clean energy jobs and saving the Commonwealth an estimated $43 M annually.
Reducing State Energy and Water Use
State government is the largest energy user in the Commonwealth, consuming over 1 billion kWh of electricity and emitting over 1 million metric tons of greenhouse gases per year. Annually, agencies and campuses spend over $250 M per year on energy.
AEP will significantly reduce the current annual consumption of more than 800 million kilowatt hours of electricity, 12 million gallons of heating oil, 55 million therms of natural gas, and emissions of more than 800,000 tons of greenhouse gases, which represent more than 4,000 buildings and 58 million square feet. The program will save an estimated 135,000 metric tons of greenhouse gases annually, the equivalent of removing 26,000 vehicles from the road per year.
Over the three year life of the Accelerated Energy Program, projects will range from small lighting and fixture upgrades to major equipment retrofits. Projects will also span a diverse set of sites, ranging from hospitals and colleges to prisons, ice rinks, and more.
The AEP program will be funded through the state’s Clean Energy Investment Program (CEIP), general obligation bonds, and Mass SaveŽ. CEIP uses utilities savings from energy and water projects to repay the bonds used to finance the projects. For a project to be eligible for CEIP funding, it must result in annual savings greater than or equal to 110 percent of the project’s debt services cost.
Leading by Example
When Governor Patrick signed Executive Order 484 Leading by Example – Clean Energy and Efficient Buildings in 2007, the Patrick-Murray Administration launched a dedicated effort to reduce greenhouse gas emissions, potable water usage, and overall energy consumption. The Executive Order established several aggressive and clear goals for the Commonwealth’s facilities portfolio:
Since 2007, the Division of Capital Asset Management and Maintenance (DCAMM) has completed projects at nearly 30 percent of all Commonwealth facilities. These projects have been a contributing factor in elevating Massachusetts to the top of the American Council for an Energy-Efficient Economy’s national rankings for state energy-efficiency policies in both 2011 and 2012. This distinction recognizes many initiatives in Massachusetts, including the investment and savings in energy efficiency for residential, low-income, commercial, and industrial electric and natural gas customers, delivered through the Mass Save program.
Prepared by the Executive Office for Administration and Finance ·
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