SUBJECT: Governor Signs Energy Efficiency and Affordability Act -- Praises Legislature for ‘putting progress first’

Montpelier, Vt. – Governor Jim Douglas signed into law today the Energy Efficiency and Affordability Act of 2008 establishing an efficiency program to help homeowners and businesses reduce fuel consumption and save money.

“In previous sessions, we’ve seen permit reform, e-State telecommunications legislation, workers compensation reform, Next Generation college scholarship and workforce training programs, and landmark health care reform all pass when the focus is on areas where we agree and can make progress,” the Governor said. “This year’s energy efficiency and affordability bill demonstrates how, by working together, we can make Vermont more affordable and take meaningful steps to address global climate change.”

Over the past few years, the rising cost of heating fuel has put significant financial pressure on homes and businesses. Since 2004, the average Vermonter is paying about $500 more each year, the Governor said.

“As world demand for fossil fuels continues to increase, and as prices continue to rise, Vermonters are looking for innovative ways to save money and limit exposure to these volatile markets,” the Governor said. “That is why I am so pleased we are taking this step. Now we are prepared to help Vermonters better manage their heating resources, protect our environment and save money.”

The new all fuels efficiency program will coordinate expertise, technical assistance, and resources to help Vermonters make their homes and businesses more energy efficient.

“Our goal is to provide a range of financial support for physical enhancements to homes and businesses,” the Governor said. “We envision the use of grants and loan programs to help reduce the initial expense of these investments, and help spark growth in the private home efficiency market.”

The legislation also continues to support the use of renewable energy in Vermont through an increased use of net metering, changes to farm energy programs and the use of biodiesel in state buildings and vehicle fleet.

Governor Douglas said it was critically important that the bill not increase the tax burden on Vermonters. That is why $1.6 million of funding for the all fuels program will come from either existing revenues. Another $2.4 million in funding will come from Vermont’s participation in the Region Greenhouse Gas Initiative (RGGI), he said.

“I am very proud of the fact that Vermont is the nation’s greenest state. Because we have made responsible decisions in recent years regarding our energy development and the preservation of our green space, Vermont absorbs more carbon than we produce,” Douglas said. “This puts us in a strong position to capitalize on our RGGI relationship to obtain new revenues to make sustainable invests in this energy efficiency and affordability.”

Governor Douglas said this investment could result in an almost 3 to 1 return for homes and businesses that make changes.

“By dealing aggressively with the rising fuel costs, this investment will make Vermont a more affordable place to live, work and raise a family,” he said.

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