Austin's Low-Income Weatherization Funding in Jeopardy

Austin Energy could lose out on an additional $2.9 million in federal stimulus money for low-income weatherization if it does not properly manage and spend all of its current funding. In order to receive the additional funds, Austin Energy has until the end of August to spend its $1 million in current funding. Presently, the utility has only spent about $300,000. This leaves only two months for Austin Energy to more than double the amount of work it has already taken the last nine months to accomplish. Should Austin Energy fail to meet this deadline, the state would consider reallocating funds away from Austin and into other communities with higher performing agencies.

Austin Energy admits it has been slow to get its low-income weatherization program up to speed, citing paperwork issues, but now says its problems have been worked out and the utility is optimistic that it will meet the August 31 deadline to receive additional funding.

Austin Energy Solar Array Put On Hold

Austin Energy's $180 million 300 acre solar array in Webberville was supposed to be the largest in the country, but project delays will cause Austin Energy to miss its target of generating 30 megawatts of solar energy by the end of this year. Earlier this month, the California-based company contracted to build the facility, Gemini Solar Development Company, LLC, delayed its submission of site development plans while the company deals with several regulatory issues. Construction on the Webberville project, originally scheduled for completion in December, is now delayed for at least six months, with completion of the solar array now expected by late 2011.

The plant is an important milestone in Austin Energy's 2020 Generation Plan, which aims to achieve 200 megawatts of solar power by 2020. Under this plan, over 30,000 area homes would get their electricity from solar power plants. Once completed, the Webberville plant will produce enough energy to power 5,000 homes.

U.S. Department of Energy Announces Funding for Weatherization Training Centers

Earlier this month, the U.S. Department of Energy announced that $29 million of funds from the American Recovery and Reinvestment Act will go towards 34 weatherization training centers across 27 states. These centers will provide training to help local workers develop the skills needed to perform energy efficiency and weatherization services. The training programs aim to support a range of public and private energy efficiency efforts, including the Department's Weatherization Assistance Program, which has already funded the weatherization of nearly 200,000 homes since last February.

"A well-trained workforce will be a crucial part of America's clean energy economy in the years ahead," said Deputy Secretary of Energy Daniel Poneman. "These investments in efficiency training programs will help build a foundation for long-term growth in America. Energy efficiency improves the competitiveness of our economy, benefits the environment, and puts Americans back to work."

Texas was not selected to receive any funding for this project. To see a breakdown of how funding was distributed to the selected states, visit the DOE website.

PEC Terminates General Manager Juan Garza

On Monday, June 14 the Pedernales Electric Cooperative Board of Directors voted to terminate the contract of General Manager Juan Garza. Garza will vacate his position at the end of the month, and the Board intends to hire a firm to conduct a national search for a new general manager, a process which could take between six and nine months. The board is considering the matter of an interim general manager.

“It is safe to say that anytime an action like this is taken, it is an indication that the Board and general manager are not in sync and are going in different directions,” said Board President Larry Landaker of the Board’s decision. “It is the sense of the Board that the general manager needs to be on the same page as the Board and going in the same direction.”

PEC hired Garza as general manager in 2008 and he took the position on a platform of reform and accountability after his predecessor, Bennie Fuelberg, resigned amid felony charges of theft and money laundering.

For more information visit the PEC website.

Austin Energy Receives $10 Million for Municipal Loan Program

From Austin Energy:

The Austin City Council today accepted $10 million in federal grant funds to develop a municipal loan program to help make energy-efficiency improvements and solar energy installations available to a greater number of Austin Energy businesses and residential customers.

The funding from the American Recovery and Reinvestment Act, which requires no local match, will not be used to provide loans to customers but rather to design a menu of effective and efficient financing options that may well lay the groundwork for the next generation of Energy Efficiency Retrofit (EER) programs both in Austin and across the country.

One potential component of the program would be development of a Property-Assessed Clean Energy (PACE) financing mechanism whereby property owners could use money from a financing pool and then repay their loans through a property tax assessment that would stay with the property even if it were sold. The financing pool could come from either municipal or private financing. Both options will be explored during program development.

The public financing approach is supported by 2009 Texas House Bill 1937, approved by the Legislature. The cities of San Antonio and El Paso also have expressed their intention to move forward to develop PACE-type programs. And today, in a related action, the Austin City Council also approved an interlocal agreement under which Austin Energy and San Antonio will work together in developing their programs. San Antonio also was awarded $10 million in federal funding for PACE program development.

Austin Energy estimates creation of a $96.5 million EER program would result in energy efficiency and solar installations to some 7,250 homes and businesses during the first three years of the program. The improvements would save 129,000,000 kilowatt-hours of electricity, savings equivalent to powering 1,075 average-size Austin homes year-round -- as well as avoiding 76,000 metric tons of carbon dioxide emissions. It also is estimated that a program of this size would create or retain more than 300 jobs over the first three years.

Under such a program, Austin property owners would be able to invest in energy efficiency and solar energy improvements without large upfront costs. In addition, an EER program could provide financing with additional reasonable flexibility regarding the credit rating of participants, thus increasing eligibility while helping to assure the lowest financing rates available.

Nationally, similar PACE-type legislation has been passed in 17 states with programs currently planned or under way in more than 10 cities and counties across the U.S.

Austin Energy Leads Nation in Green Power

Austin Energy was named the nation's leader in voluntary renewable energy sales in 2009 for the eighth year in a row. More than 850 utility companies offer green power programs and have sold over 6 billion kilowatt-hours of renewable energy nationally. Austin Energy sold over 764 million kWh of renewable energy in 2009, which is enough electricity to supply the needs of about 60,000 residential customers for a year.

Commercial customers account for about 84% of Austin Energy GreenChoice purchases. There are currently about 480 commercial customers and 9,750 residential customers in the program.

The nation's Top 5 renewable energy providers are:
1. Austin Energy
2. Portland General Electric
3. PacifiCorp
4. Sacramento Municipal Utility District
5. Xcel Energy

For more information, visit the National Renewable Energy Laboratory and read Austin Energy's Press Release.

U.S. House Passes "Cash for Caulkers" Bill

Last week, the U.S. House of Representatives passed a $6 billion bill to expand the "cash for caulkers" program which provides rebates to homeowners who make energy efficiency improvements. This Home Star Energy Retrofit Act will be a two-year program and provides rebates for air infiltration and duct sealing measures, adding insulation, replacing windows and upgrading to energy-efficient appliances. The program offers two maximum rebate levels, $3,000 and $8,000 depending on the home and types of improvements performed. Details on how homeowners and contractors can participate will be available in July once the program has launched.

For more information, you can read the entire bill.