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March 16, 2010: Utility Spending on Energy Efficiency Programs Increased 43 Percent in 2009

BOSTON - Utilities in the United States increased their spending on energy efficiency programs by 43 percent in 2009, according to a new report from the nonprofit Consortium for Energy Efficiency (CEE), which represents energy efficiency program administrators from across the U.S. and Canada. U.S. utility spending on energy efficiency programs reached $5.3 billion, including $4.4 billion for electric energy efficiency programs and $930 million for natural gas programs.

Spending on natural gas programs increased the most, at 79 percent, while electric programs increased by 38 percent. Utility energy efficiency programs also expanded geographically, as such programs are now offered in 46 states, compared to only 37 states in 2008. The CEE report notes that electric energy efficiency spending grew the fastest in the Southeast and South Central states, with a 76 percent increase to $800 million in 2009. For instance, new legislation in Maryland increased electric energy efficiency spending by a factor of 13, while Kentucky increased its spending by an order of magnitude and Tennessee’s spending increased by a factor of 5. Electric energy efficiency programs focus a majority of their spending on commercial and industrial facilities, while natural gas programs are skewed more toward residential customers.

For more information, see pages 20-22 (PDF pages 11-12) of the CEE annual report available at www.cee1.org/files/2009CEEAnnualReport.pdf.

Publication date: 03/15/2010

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