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Sen. Tom Carper

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Finding 'Triple Happiness' by Saving Taxpayer Money, Saving Energy and Creating Jobs

Posted: 05/11/11 03:09 PM ET

As a recovering Governor I know that states and municipalities are the laboratories of democracy for our nation. The work done in states and local communities to save energy is critical to helping not only ease budget pressures, but also in giving the federal government some great examples of what can work. Similarly, the federal government and our nation can benefit from smarter, greener federal building.

This weekend I was back in Delaware -- as I am most weekends -- and I was driving home from an appointment. I was making great time. I think the only person who could have made better time is Vice President Biden, and he has about a dozen Secret Service cars that ferry him around Delaware these days.

As I was driving, I got stuck behind one of those Chinatown buses -- the large coach buses that go between Boston, New York, Philadelphia and Washington for about $3 each way. While those buses may excel in affordability, they often fail when it comes to speed.

As I crept forward, trapped behind the bus, there was nothing I could really do except read the back of this huge white bus. And so for about 20 solid minutes I stared at the back of the bus which was emblazoned with the phrase "Double Happiness." Apparently, that was the name of the bus line. "Double Happiness."

I was struck by the calming, Zen-like quality of the name. I thought it might be a good phrase to describe what we're seeking when we talk about pushing the federal government to reduce its energy use. My hope is that we might be able to achieve some "Triple Happiness."

For example, becoming wiser with how the federal government uses its energy can
help us do three things. One, it helps us protect the environment by lowering emissions and greenhouses gases released into the air. Two, it helps us ease help us ease the enormous budgetary pressures facing our federal government. And three, it helps to create jobs for Americans while reducing the amount of oil we have to import from overseas.

Why is this effort to save the federal government money by saving energy so important? Between 2001 and 2009 we ran up as much new debt than in the first 208 years of our nation's history. Last year, we ran up what may be the largest budget deficit in our nation's history. Things may be improving somewhat, but we're still facing an ocean of red ink for as far at the eye can see.

In part because of these kinds of problems, the federal government has rarely enjoyed the reputation of being good at managing things. There is perhaps no better example than the way in which we have traditionally managed our federal property.

Earlier this year, President Obama announced plans for federal agencies to reduce their greenhouse gas pollution by over 25 percent by 2020. According to the Office of Management and Budget, this represents between $8 billion and $11 billion in cost savings over that period. Creating more energy efficient and sustainable federal buildings can help us meet these goals.

The annual energy bill for the federal government is around $25 billion. Of that, over $7 billion alone is spent on energy to operate federal buildings. That's a big total that is ripe for savings.

The federal government alone owns and operates some 500,000 buildings. President Obama issued an executive order early in his term directing federal agencies to achieve zero net energy by 2030. He also urged agencies to use sustainable and energy efficient design principles for all new construction and retrofits. At least 15 percent of existing buildings need to meet these guiding principles by fiscal year 2015.

A focus on more energy conscious operations has had a number of successful examples in the private sector, as well as here in the federal government. For example, when Bill Ford became chief executive officer of Ford Motor Company in 2001, he was determined not only to turn the troubled company around, but also to make it more environmentally sustainable.

When Ford first took the helm of the company, he said it was his intention to ''transform a 20th century industrial icon into a model of 21st century sustainable manufacturing.'' There is no greater example of this effort than the Ford River Rouge auto plant in Dearborn, Michigan.

Once in decay, that plant now serves as a world-class test lab for sustainable manufacturing practices. Looking at the balance sheets for Ford in the past few years, it's clear that this has not only been an environmentally responsible path forward, but a profitable one as well.

The U.S. Postal Service has also provided clear leadership in this area. This is not only because senior leadership at the Postal Service and postal employees believe in the importance of lowering their impact on the environment, but because they see it as a smart business decision.

As many of you are aware, the Postal Service continues to face enormous financial difficulties. They believe environmentally sustainable building and operations are a clear way to cut fat from their operations. In three of the Postal Services' processing and distribution plants, they cut energy consumption by over 30 percent in a little over a year. Among other things, they did it by replacing old, leaky seals on dock loading doors and started using more energy efficient lighting.

It's estimated that between 20 and 50 percent of the energy we use in our homes and offices is for lighting. This is a pretty simple and inexpensive way that we can save a lot of energy and money.

Whether you're one of the nation's largest auto manufacturers, or delivering mail and packages to hundreds of millions of homes and businesses each day, the business case for pursuing more energy efficient operations is made clear in dollars and cents.

The federal government simply can't afford not to take advantage of the savings promised by making itself more energy efficient and sustainable. In order to help agencies meet the fiscal and environmental challenges ahead, I am pleased today to introduce the Reducing Federal Energy Dollars Act of 2011. This bill is affectionately known as The R-FED Act.

The R-FED Act is comprehensive set of proposals to -- among other things -- make it easier for federal agencies to use private financing to pay for energy efficient retrofits, at little or no cost to taxpayers.

Agencies face tight budget conditions today and will likely face them for years to come. Given this reality, these private financing tools -- known as "Energy Savings Performance Contracts" -- will be critical to improving our federal buildings and reaching the energy reduction goals of the federal government.

According to the Department of Energy, as of March 2010, 550 Energy Savings Performance Contracts were awarded to 25 agencies in 49 states. I'm told they generated $11 billion in energy cost savings, $9.6 billion of which goes to fund the energy projects and $1.4 billion was in reduced government spending.

These projects save money as they save energy and under law, each project must be measured, verified and guaranteed.

I believe these projects are a great tool and it's my hope we can expand their use throughout government to reach the ambitious energy reduction goals set out by the Congress and this President.

In addition to Energy Savings Performance Contracts, the R-FED Act also includes proposals to: increase transparency and accountability for how much energy federal agencies are using, update outdated and inefficient building designs and better manage the energy use of personal computers used at federal agencies.

I look forward to working with my colleagues in the Senate and House in moving the bill forward this session. I believe there are a lot of common sense, bipartisan proposals in my bill and elsewhere that can push the federal government to become more energy efficient and help agencies reach the mandates set out under the law.

I also want to thank the U.S. Green Building Council and its members for voicing their support for the bill as well.

One of the questions I ask myself frequently is: How can industry and the federal government work together toward reaching "Triple Happiness?"

For me, I believe the federal government can be most effective by leveraging its enormous buying power. We're a big dollar buyer and by investing in green technology we can help bring innovative products to the marketplace. We have a real role to play in advancing innovation and making sure our federal facilities are not only keeping up, but leading the way.

This could be done through a national clean energy standard. This would require some percentage of our electricity to come from low -- or zero -- pollution technologies, such as the wind turbines being built off the shores of Rehoboth Beach, Delaware, or of Maryland, New Jersey and a number of other coastal states. Or, we could encourage the largest energy consumer in our economy -- the U.S. government -- to buy or help produce more energy from clean sources.

In 1993, President Clinton issued an executive order requiring the U.S. government to purchase recycled paper. By creating more demand for recycled paper, this initiative helped lower the price of recycled paper for everyone else. I think it's clear that a similar approach, when it comes to green and high performance building technology and design, could again leverage the federal government's purchasing power and ultimately make those innovations more affordable for American families and businesses.

The U.S. Green Building Council's Center for Green Schools is a great example of how the private sector can bring together technical knowledge and best practices to help government excel in this area. The Center for Green Schools helps to drive change in how local school districts design, so that those districts can cut operational costs while at the same time enhancing student learning experiences. A student will enjoy his or her time in the classroom more with better lighting and cooling systems, or just a more beautiful building. And dollars that would have been spent on kilowatts can now to go books and test tubes.

I have seen the positive impact of this kind of building first hand in Seaford, Delaware. The Seaford School District is a rural school system in southern Delaware. Beginning in 2005, the district implemented an energy management plan, ultimately reducing its energy consumption by more than 15 percent annually. As a result, the district is saving an estimated $100,000 in annual energy costs and preventing nearly one million pounds of harmful carbon emissions per year.

To me, this is a perfect example of how private innovation and public leadership can work together to use taxpayer dollars more effectively, and at the same time better care for our environment. Particularly in times like these when we're struggling with a massive federal deficit, we need to work together to foster what I call a "culture of thrift" in the federal government where we spend prudently to get a bigger bang for the taxpayers' buck. This requires looking into every nook and cranny of government -- including our federal property management practice -- and asking: Is it possible to get better results for less money? Improving federal energy efficiency may not sound sexy, but the savings are real and significant. If we're serious about addressing our federal budget deficit and restoring our nation's fiscal soundness for my own children and for yours, then we can't keep wasting billions of taxpayer dollars on energy costs that could be avoided.

If we can accomplish this, while at the same time creating good-paying jobs here at home and saving energy -- well, it sounds like "Triple Happiness" to me.

 

Follow Sen. Tom Carper on Twitter: www.twitter.com/@SenatorCarper

As a recovering Governor I know that states and municipalities are the laboratories of democracy for our nation. The work done in states and local communities to save energy is critical to helping not...
As a recovering Governor I know that states and municipalities are the laboratories of democracy for our nation. The work done in states and local communities to save energy is critical to helping not...
 
 
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HUFFPOST SUPER USER
aligatorhardt
Cut on the bias
09:41 PM on 05/24/2011
Another thought on efficiency is to institute longer budget periods that consider investments that pay off, but don't fit into a one year budget. Figuring on short term leads to penny wise but dollar poor reliance on low quality, inefficient low bid only purchasing that often is less efficient over a longer period, when replacements are needed more frequently.
09:47 PM on 05/15/2011
Mandated conservation efforts are the wrong approaches to addressing a nation's energy needs.

It should be obvioius that in a supposed 'free society' you cannot control individuals behaviour.

Politicly it would be impossible, because some presidential candidate would simply win the next general election promising to increase the fossil fuels so citizens are not 'grounded', like children.

Reality dictates that mankind uses ever increases in flux-density energy technologies, such as nuclear power.

Producing more power will bring the costs down for consumers.

Forcing people with homes that has less efficient energy options to 'upgrade' or 'mandate' conservation is not fair since at the times these houses were built, they were considered sufficient.

It's the responsibility of government to back the development of new scientific/technological energy sources not bail out the older, outdated ones by mandating conservation to justify price increases.
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aligatorhardt
Cut on the bias
09:42 PM on 05/24/2011
Nuclear power is not cheap, not clean, not wanted.
iridium53
Semper Fi
01:12 AM on 05/15/2011
The lazy, feckless United States government cannot create an energy plan.

But, they can have U.S. Senators worrying about federal energy usage - instead of somewhat lower managers?

I just don't see the governance group at corporations - the Boards of Directors - spending a great deal of time on this. Bill Ford seems to be a nice guy, and I'm sure he did a bang-up job setting policy. I'm also sure he delegated down.

Perhaps U.S. Department heads might want to be more capable managers?
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JustBNice
make friends with everyone
01:33 PM on 05/12/2011
I hope Sen. Carper reads some of the comments here - like the two just below.

And maybe even respond.
10:04 AM on 05/12/2011
And this is from a senator that refused to sign the letter to House GOP stating $20 billion a year can be saved by stopping Oil Company subsidies.

Carper is a weak Senator and not a fighter for Democratic ideals. We need fighters in Congress to counteract the increasingly ultra right wing republicans.
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AbeMartin
The best person fer a job is never a candidate
08:11 AM on 05/12/2011
Senator Carper, perhaps you should spend more time in Delaware and Maryland.  The Double Happyness bus, which is actually AABus.com fares cost $15-$20 each way.  (Incidentally, in New York, they do stop in Chinatown, but it is primarily patronized by other minorities who debark or board near Macy's in NYC.)  

Workers who have to commute, interstate, by bus on a regular basis pay a heavy price because governors, past and present like you, and members of the Congress, past and present, like you, have failed to enable the creation of light rail between metropolitan areas, relying instead on the poorly operated and maintained government subsidized AMTRAK.  And even when money has been approved, as it was under the Obama Stimulus legislation, the administration of the funds by the Federal government has been so high-handed and poorly planned that many states, including Florida have said "no thanks."

It is true that buses do save energy costs by enabling up to 55 people to essential carpool.  However, a light rail service would do more because as CSX points out in their ads, a fuel efficient train can move one ton of freight or people (ten 200 lb, or 13 150 lbs people) 436 miles on one gallon of fuel.

That is fuel efficiency.  And the Federal government owns the medians on the Interstate Highway system, so land acquisition is not needed.  Do the math, Senator, instead of lapsing into fugue states while behind the wheel.
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SimonLeigh
07:46 AM on 05/12/2011
Brilliantly obvious and obviously brilliant. But there's no strong motivation until energy is no longer subsidised with taxpayers' money. The true cost of energy--with its unwanted side-effects--is much higher. Motorists whine at the pumps, but they'll have to get used to prices approaching what the rest of the world pays. The rest of the world doesn't owe $14 trillion to Chinese banks.
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StevenWells
Objects in the avatar are larger than they appear
03:29 PM on 05/15/2011
Just a small point of accuracy:

"The rest of the world doesn't owe $14 trillion to Chinese banks." Neither do we. China comprises about 9% or our debt. Japan is the largest foreign holder, but the majority is held right here, within our borders.
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SimonLeigh
06:59 AM on 05/16/2011
Thanks, Steven. You're right; my last sentence is wrong. (But I still like my second-last.)
11:55 PM on 05/11/2011
Senator Carper, you said what most of us OUTSIDE the beltway know with this: "becoming wiser with how the federal government uses its energy can help us do three things. One, it helps us protect the environment by lowering emissions and greenhouses gases released into the air. Two, it helps us ease help us ease the enormous budgetary pressures facing our federal government. And three, it helps to create jobs for Americans while reducing the amount of oil we have to import from overseas."

We also know this: those INSIDE the beltway do not know that, and not even all the US Democratic Party's Senators know it.

Are you singing to the choir instead of preaching fire and brimstone to the unrepentant sinners?

Or what?
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BluePhantom2
The Blacksmith & the Artist reflected in their art
07:41 PM on 05/11/2011
Love your ZEN line. Put solar panels on the roofs of Fed buildings that way they could do less damage on cloudy days! Windmills are another posibility for less federal hassle.
11:57 PM on 05/11/2011
Yes, and require every bus and big rig trailer and railroad car manufactured after 1914 include on their roofs solar power collecting panels, with the power collected powering the respective vehicle(s).
06:45 PM on 05/11/2011
One of the philosophies of being 'green' means living where you work. If you take transitional employment and millions of dollars have been spent creating this massive technological communications network that enables an individual such as our leaders to reach their constituents, who are eating hot dogs on Saturday so they can afford to put gas in their cars on Monday, why can't our leader me more of an example when it comes to conservation and congestion.
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p47nandmosquito
04:02 PM on 05/11/2011
Senator Carper, I hope someday soon all our leaders will be as enlightened on these issues as you are. Good luck with this bill, and God bless you.
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03:50 PM on 05/11/2011
Yeah, well, what we need are PACE loans so that WE can all retrofit for efficiency and clean, point of use solar power production.

Where is the legislation overruling Fannie and Freddie's idiotic ban on PACE so that we can get back to work, improve our property values, reduce our energy use and save ourselves trillions of dollars in reduced energy bills and avoided (unneeded) Big Solar, Big Wind and Big Transmission infrastructure expenses?

Fine if you want to spruce up federal buildings, but WE want to fix up our homes and businesses! RESTORE PACE NOW!
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PoloniumMan
"It worked." J. Robert Oppenheimer
09:19 AM on 05/14/2011
Yes, spend our money retrofitting our homes. Reduce the size of the federal government so we don't need all 500,000 buildings. The Department of Defense has been trying to unload bases and facilities that it believes are no longer necessary, but local congressmen don't want the base in their district to be closed.
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Minolta321
Photographer
03:33 PM on 05/11/2011
As things are now, "green energy" is more expensive energy. And lets be honest, it's the entitlement system that is gradually bankrupting our nation and a present administration in Washington that has massively spent thinking they can bail us out of a recession with debt and have massively expanding government in the face of a pending disaster of spending.

Energy simply is not at the core of our GOVERNMENT deficit-SPENDING problem.

I'm sure the far left however appreciates anyone who pretends it is. By the way, it's about time Obama starts to let Americans drill for their own oil.
11:44 PM on 05/11/2011
It may not be the core budget issue, but when you have income problems you seek to save money wherever you can. Also this who article was about saving energy (and money) not necessarily "going green".

As for "entitlements" Social Security is a benefit we pay for and is separate from the budget. Medicare is a huge cost to the government, but could be made solvent by increasing Medicare taxes... or by finding a way to control medical cost. (BTW Medicare is the most efficient insurance available).

Didn't they establish in 2008 that all the drilling in the world would only save us like 1% at the pump and even that not for 10 years?

Republicans will oppose The R-FED Act simple because at the end of the day the care more about shrinking the government then they do about shrinking the budget deficit.
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Sarah Trickey
love, luck and lollipops. Narf!
02:02 AM on 05/12/2011
It takes 10 - 15 years to establish an oil well, rig it and pump the oil out of the ground. It also takes alot of regulation and even then catastrophe can occur.

I do, however, agree with you that the corporate subsidy entitlements are bankrupting our nation. We could be doing so much more for our country and our fellow citizens were it not for big business
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Ron Broxted
02:44 PM on 05/11/2011
One wishes that our equivalents to Senators in the British isles would use public transport!