By Emma Horst-Martz
As New Jersey plans for an arduous recovery from the COVID-19 pandemic, common-sense choices on energy efficiency will provide much-needed savings for consumers.
Our state is among those hardest hit by the pandemic’s economic impact, with one of every 10 residents filing for unemployment benefits. And, the ominous backdrop of this tragic health and economic crisis is, as always, climate change. As a coastal state, New Jersey will be one of the first to feel the harm from rising sea levels, extreme seasons and stronger storms -- like Hurricane Sandy in 2012. Aside from feeling the obvious environmental impacts, consumers, many of whom already struggle to keep up with utility bills, will be left to pay for the mess.
Fortunately, New Jersey has the opportunity to change this. As state leaders consider how to fill a $10 billion hole in the state budget, New Jersey has some useful tools in the recently adopted Energy Master Plan and a new order from the New Jersey Board of Public Utilities to move New Jersey toward a clean energy future that saves consumers money.
Energy efficiency and building electrification are key parts of these plans. A recent study from University of California Berkeley found that the U.S. could get the health and environmental benefits of reaching 90% zero-carbon electricity by 2035 and, at the same time, reduce electric bills. It will take a serious commitment from each state, and New Jersey is positioned to lead the way.
First, we need to stop raiding the state’s Clean Energy Fund to use the money for other purposes when economic times are tough. Protecting the funds set aside for electrification, energy efficiency and other clean energy projects is critical for saving consumers money. Raiding the fund and rerouting the money -- as New Jersey did for years -- is akin to kicking the can down the road and then having to pay much more to address crumbling gas infrastructure.
Additionally, when considering cost-cutting measures, state leaders should protect other funds meant to advance energy efficiency projects, and do more to promote increased participation in existing energy efficiency programs. And, new vehicles are needed to improve access to affordable energy efficiency programs and to increase customer engagement, particularly in low- and moderate-income communities. A whole-home approach should be used to ensure that homes are protected against harsh weather, are safe for families, and are in good shape for upgraded heating and cooling systems to be installed.
Beyond residences, many office buildings are largely empty, so there is time and space to complete retrofitting projects that increase energy efficiency in existing commercial buildings. To make this work possible, building codes must reflect a high standard of efficiency to maximize the benefits and savings of retrofitting. Updating appliance efficiency standards will also generate significant savings in residential and commercial spaces.
Finally, in order to modernize our buildings and energy infrastructure, we must transition to electrifying buildings. This would significantly reduce our reliance on dirty energy sources such as gas and oil, and also sets up the infrastructure to power buildings from clean sources like wind and solar in the future. It is the most cost-effective to electrify large buildings, so the state could start with its own while we work to make it more accessible for commercial and residential buildings to do so as well.
Along with innumerable challenges, the global pandemic offers the opportunity to move forward with energy efficiency plans in ways that truly respond to New Jerseyans’ needs. Lowering utility costs over the long term while reducing our collective carbon footprint is essential to restoring strength to our state and preparing for an uncertain future.
Emma Horst-Martz is a campaign associate with NJPIRG Law and Policy Center.
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