Understanding Energy Efficiency as a Resource

When utilities and other organizations talk about energy efficiency as a resource, they are describing efficiency as an energy resource that can yield energy and demand savings that can transfer electricity generation from nuclear power, coal, wind power, natural gas, and other supply-side resources. Putting money in energy efficiency and the outcome resource advantages are factored into utility energy resource decision-making regarding investing in operating existing systems and new resources.

Defining efficiency as a resource and keeping it in mind when deciding makes it important because of the apparent resource cost advantage of energy efficiency. Through energy efficiency programs, customers will get greater energy savings, it can also lessen the need to install, replace, or upgrade transmission and distribution tools.

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American Council for an Energy-Efficient Economy (ACEEE) encourages people to use energy efficiency as a resource when deciding in utility and regulatory. The organization has been doing some research on how utilities and regulators incorporate efficiency into their activities.

Efficiency can likewise improve system reliability and enable utilities to lower or manage the need for their systems – in some instances offsetting the need to add new peak generation capacity.

Lowering fossil fuel utilization has several additional advantages that include a decrease in the environmental effects and lessens air pollution associated with the production of fossil fuel and use. These benefits can be considered by decision makers when deciding on utility system resource.

Multiple Benefits of Energy Efficiency as a Resource

As energy efficiency continues to gain popularity as an important resource for the economic and social development of all economies, knowing its real value is important.

The multiple benefits approach to energy efficiency policy aims to expand the viewpoint of energy efficiency beyond the conventional measures of reduced energy demand and decrease greenhouse gas emissions by knowing its effects on different spheres.

The term “multiple benefits” objective is to focus on the truth that is most of the time overlooked: putting money in energy efficiency can provide lots of benefits to different investors. Whether by reducing energy demand and its costs or facilitating the achievement of other goals, the present study acknowledges the great potential of energy efficiency.

The multiple benefits of energy efficiency as a resource are important for both IEA member and non-member countries. The 5 areas that greatly benefited from energy efficiency are as follows:

• Macroeconomic development
• Industrial productivity
• Energy delivery
• Public budgets
• Health and well-being

Evaluating Energy Efficiency Programs

Low-cost energy efficiency programs have been ongoing successfully in some nations since the late 1980s and have proven great energy savings. These programs have succeeded in various contexts like in regulated and unregulated markets, investor-owned, gas and electric utilities and cooperative utilities.

Knowing the results, benefits, and lessons learned from an energy efficiency program is one way of understanding it. The result can be used in improving and enhancing future programs and identifying the importance and potential of a portfolio of energy efficiency programs in a unified resource planning process. The evaluation process will help determine the performance of administrators and contractors responsible for implementing efficiency programs. The process is also conducted to estimate energy savings attributable to a program in a way that is justifiable in utility regulatory proceedings.

Benefits of Having Energy Efficiency Programs

All through the day, people rely on energy to light and heat their homes, fuel their vehicles, and power their computers and machinery at work. Their lives and the entire economies also rely on using energy. Over time, there has been a significant increase in the use of energy. The size of an average household is increasing, and people use a bigger number of appliances, electronics, and lights in their homes nowadays, which is why energy efficiency programs are developed to use less energy that offers the same level or even better service.

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Two Qualities of Increasing Energy Efficiency

1. Behavior – to reduce energy, people should change their behavior. No-cost and simple actions like turning off the lights and TVs when not in use, not idling vehicles, and powering off office machines after work can ultimately save energy.
2. Using Technologies – there are technologies that help reduce energy needs, including installing high-efficiency windows or insulating a basement to lessen energy costs while having better comfort; designing a building that meets or exceeds the highest standards in terms of energy efficiency in order to lessen operating expenses; or purchasing only appliances and electronics that have ENERGY STAR certification from the government.

People in all parts of the society need to start realizing the benefits of energy efficiency programs. These are important tools in the battle against climate change, and they have bigger benefits that go beyond climate change.

• Reducing Household Electric Bills

Energy efficiency is the cheapest, easiest, and most efficient technique for households to use energy in the most sensible way. It can save money on both transportation costs and household expenses.

• Enhancing Business Competitiveness

Energy expenses affect the bottom line of a business. Organizations that control their use of energy can enjoy lower electricity, transportation, and heating costs.

• Increasing Comfort

Electric bills could make up a high percentage of the expenses of a household. Because of this, some families are having trouble paying to heat their households at a comfortable level. Poorly heated households could make residents more vulnerable to a variety of health conditions. Energy efficiency provides a possibility to reduce energy costs and at the same time, enhancing comfort.

A model energy efficiency home controls the heat, moisture, and air flow. Air sealing, insulation, and Energy Star-rated windows function to maintain dry and warm air inside the home. Motorized ventilation systems (heat recovery ventilators, fans) spread the internal air and drive out undesirable moisture and other pollutants. High-efficiency boilers or furnaces with the proper sizes use less energy to heat the households or buildings. Also, if the air flow is properly controlled, it minimizes the possibility of cold and hot spots in every room.

• Decreasing Local Air Pollutants

Wood, oil, and other sources can contribute to local air pollutants. Energy efficiency can lessen the amount of toxins coming from them. These are not connected to greenhouse gas emissions. They include thin particulate substance in the air and other chemicals like sulfur dioxide that can be harmful to health.

Now that you know energy efficiency programs offer a range of benefits, it is time for you to take action.