To many of us, energy policy is a vague concept to which we pay little attention. Why? Most energy policy decisions are made at the state and national level, and the one manifestation of energy policy we seem to care about most—gasoline price— seems uncontrollable. Nevertheless, energy policy determines the cost of the 254 kilowatt hours of energy (10 to 15 times the daily electricity use of the average Harvard household) each of us uses directly or indirectly. The policies that drive prices and types of energy we use are made principally by federal and state governments. However, this year, our Planning Board, Municipal Building Committee, Board of Selectmen, and Town Meeting will make energy policy decisions that will have long-lasting effects on town services and tax and energy bills.
Federal energy policy
The energy policy of the United States is arguably murky and fragmented. The last time the federal government enacted legislation focused on energy was 2005. That legislation included provisions related to energy efficiency, renewables, conventional fuels, vehicle and motor fuels, electricity, tax incentives, and climate change. However, legislation is only the tip of our national energy policy iceberg. A sprawling array of regulations, executive orders, and other legislation affecting the tax code, transportation, agriculture, land use, national security, and government practices constitutes the bulk of our nation’s energy policy.
—Jim Elkind
Perhaps the most visible and oft discussed aspects of our national energy policy—subsidies and tax breaks—guide private sector energy investments. In the seven years between 2002 and 2008, this country provided direct subsidies and tax benefits to fossil fuels totaling $72.5 billion. Renewables (excluding ethanol) received $12.2 billion. Spending on national, state, and ratepayer-funded energy efficiency programs in 2008 totaled $3.2 billion (up from $1.1 billion in 2000). These continuing financial incentives and programs spurred efficiencies, on-shore and offshore drilling for gas and oil, as well as the development of wind power and solar power. Notably, the subsidies have stimulated 39 percent average annual growth in solar and 48 percent average annual growth in wind power over the last several years.
Our energy policies combined with those of other countries have helped to drive the costs of on-shore wind power so that they are on par with conventionally generated electricity. In the approximate 30 years since the beginning of the solar industry, the costs of solar modules have declined 90 percent. In 1980, one watt of solar capacity cost $24.21 (in today’s dollars). Now, one watt of solar capacity costs $2.42. While this still does not deliver electric power at costs that are fully competitive with conventionally supplied electricity, there are an increasing number of unsubsidized solar projects selling power to US utilities.
Massachusetts energy policy
Massachusetts, through the 2008 Green Communities and the Global Warming Solutions Acts, adopted a portfolio of energy policies. These policies focus on reducing the $22 billion per year we spend on energy while growing our state’s economy. The highest priority policy objective is to improve energy efficiency state-wide. In 2010, Massachusetts utilities budgeted $301.9 million for electric energy efficiency programs and $83.8 million for natural gas programs.
The combination of these programs and legislation earned the state recognition in 2011 for having the most progressive energy efficiency policy and implementation program. In addition, the state is fostering the development of renewables with direct subsidies and policy innovations that include Solarize, Rebuild Massachusetts, and other programs.
Harvard’s energy policy
Harvard does not have a stated energy policy. However, its actions constitute an energy policy largely consistent with the commonwealth’s. Town Meeting committed to energy efficiency in 2008 by appointing an Energy Advisory Committee to help town boards “reduce energy consumption and costs, and improve energy efficiency use and practices.” At the 2009 Special Town Meeting, by voting to become a Green Community, Harvard reaffirmed its commitment to energy efficiency and declared its support for solar power. With the Green Community vote, Harvard committed to reducing municipal energy use by 20 percent over five years, adopted the stretch building code, and committed to procure fuel efficient vehicles. Further, the town became eligible for grants to fund energy efficiency projects.
In recent meetings of the School Committee, Capital Planning and Investment Committee, and the Finance Committee, these officials opted to support the energy efficiency projects before them. The Municipal Building Committee and the Board of Selectmen will make policy statements about the role of energy efficiency in Harvard. Their decisions on energy efficiency of Town Hall and the Hildreth House will either reduce or increase the town’s energy use and costs for years to come.
When we chose to become a Green Community, we established a zoning district for solar. Through our votes, we expressed support for commercial solar photovoltaic systems in town. Harvard solidified its commitment to solar by becoming a Solarize Massachusetts community last spring. During the Solarize program, 24 percent of our households expressed interest in residential solar. Combining the Solarize program with the emergent community solar garden, 6 percent of our households have committed to solar power. When this solar capacity is completed, Harvard will have one of the highest residential solar densities in the country.
Issues before the town
The town also expresses its energy policy through its bylaws. State law allows communities to regulate solar development through local zoning and other regulations as long as the regulations are not overly restrictive and focus on protecting the public health, safety, or welfare of residents. Harvard’s Planning Board intends to present at least one solar bylaw to town meeting this year. The bylaw(s) will determine where in town ground-mounted solar projects can be built, how big they can be, and who can use the power from them. The hearings that shape these bylaws and, ultimately, the vote of town meeting will determine our town’s policy toward solar development.
We rarely face long-term energy policy decisions in Harvard. Most energy policies originate at the state and federal levels. This year, however, our town boards and town meeting face important choices on solar power and energy efficiency. Our choices will have long-term implications to your tax bill, town services, and energy costs. With these matters at stake, it makes sense for each of us to be engaged and to make our opinions heard in the civil public discourse that will form these policies.
Jim Elkind, of Slough Road, coordinated the Solarize Harvard program and is a member of the Harvard Energy Advisory Committee.
