Zero Net Energy Usage in New Construction

The PUC is engaged in an ongoing proceeding to design, fund and implement energy efficiency programs for residential and business users. These programs have paid for energy efficiency programs such as replacement of light fixtures and HVAC systems with more efficient systems. The utilities currently have approximately $2 billion for various programs over the next three years. Energy efficiency programs have been very successful in California and have resulted in a reduction in the number of power plants that would otherwise need to be built. At the same time, energy efficiency programs reduce greenhouse gas emissions.

In a decision adopted in October, 2007, that approves a new energy efficiency strategy, the PUC adopted two “initiatives” aimed at substantially reducing energy consumption in new construction. First, the PUC adopted a zero net energy standard for new residential construction by 2020.

In addition to the zero net goal by 2020, the PUC adopted an interim goal that 50% of new homes achieve energy savings that meet the Tier II standards of the Energy Commission’s New Solar Homes Program by 2011. (The New Solar Homes Partnership Tier II Energy Efficiency Requirements are 35% Total Energy Savings Compared to 2005 Title 24; 40% Cooling Energy Savings Compared to 2005 Title 24; Energy Star for Builder Provided Appliances; and full Compliance with Title 24 Lighting Requirements).

Second, the PUC adopted a zero net energy usage standard for all new commercial construction by 2030. In the interim, the utilities are required to use the following milestones:
o 2011: 30% of newly constructed buildings would incorporate energy efficiency measures so that the building specifications will exceed 2005 Title 24 requirements by 30% or more;
o 2015: 50% of newly constructed buildings would incorporate energy efficiency measures so that building specifications will exceed 2005 Title 24 requirements by 30% or more;
o 2020: 20% of newly constructed buildings would demand “zero net energy”; and
o 2030: 100% of newly constructed commercial buildings would demand zero net energy.

The PUC recognized that it has no jurisdiction over affected stakeholders. Nonetheless, the decision orders the utilities and PUC staff to work with various stakeholders, including the Energy Commission on energy building standards, local government planning and building officials, the BIA, developers, and labor on the development and implementation of a zero net energy usage strategy.

The focus now will likely shift to the Energy Commission, which is the agency that actually has jurisdiction to update the state’s energy building standards. The Energy Commission has virtually completed its 2008 update of energy building standards, and has not announced when the next update will occur.

http://www.cpuc.ca.gov/puc/