Schumer Reveals New Estimates Showing His Energy-Efficiency Proposal Would Create Nearly 500k New Jobs, Save Households Nearly $70b Annually On Their Energy Bills

Press Release

Independent Report from Nonprofit Group Suggests Job Impact of Schumer Proposal Would Exceed Previous Estimates

Senator's Proposal Would Require Electricity Companies To Cut Energy Usage By 15%, Natural Gas Distributors By 10%

Schumer: New Energy Efficiency Standards Generate Innovative Industries And Replenish Job Losses; New Report Shows There Is No Time To Waste

U.S. Senator Charles E. Schumer (D-NY) released new independent estimates Wednesday showing that his energy-efficiency proposal—which was the subject of a Senate hearing last spring—would create nearly half a million new jobs and save consumers nearly $70 billion on their energy bills by 2030. In light of the new figures, which were contained in a report unveiled today by the American Council for an Energy-Efficient Economy (ACEEE), Schumer renewed his call for the Senate to pass his proposal, which would achieve significant cuts in national energy consumption by requiring utilities to meet dramatic energy savings goals.

“These estimates exceed our previous expectations about the benefits of passing a strong energy-efficiency proposal,” said Schumer. “Establishing targets for energy efficiency is step one to putting America on a track to energy independence. The job creation and consumer savings estimated by this report show there is no time to waste in passing this legislation and jump-starting America'senergy future. Additionally, energy efficiency is cheap, clean, and will put America on the path towards independence from foreign oil.”

Schumer's proposal, dubbed the Save American Energy Act, would require retail electricity companies to cut energy usage by 15 percent and natural-gas distributors to achieve cuts of 10 percent by the year 2020. The ACEEE, in conducting its analysis, studied the impacts of a less aggressive version of Schumer's proposal that required a 10-percent cut in usage by electricity companies only. Even still, the ACEEE estimated that if such a provision were added to the energy bill passed by the House earlier this year, the net job creation by 2020 could reach 569,200 and top 1,035,500 by 2030. Net annual consumer savings to the U.S. economy were predicted to total $38 billion by 2020 and $105 billion by 2030. The average American household would be expected to save up to $486 annually by 2020 and $832 annually by 2030. By 2020, the CO2 emissions avoided by this legislation will be the equivalent of taking 82,743,392 cars off the road. By 2030, this number could reach 165,254,230 cars.

Taken by itself, a proposal similar to Schumer's would produce more than 465,000 new jobs and save consumers $67 billion by 2030. Schumer added that since the study assumed a proposal that required only a 10-percent usage reduction by electricity companies, the report probably underestimates the benefits his more aggressive measure would achieve.

Schumer's legislation was the subject of a hearing in the Senate Energy and Natural Resources Committee back in April. It is co-sponsored by U.S. Senators Bernie Sanders (I-VT) and Jeff Merkley (D-OR). U.S. Rep. Ed Markey has offered a similar version of Schumer's bill in the House.

The ACEEE was founded in 1980 and advances the cause of energy efficiency to promote economic prosperity, energy security, and environmental protection. Established by leading researchers in the energy field, this nonprofit works with the government, the private sector, and other nonprofit organizations to create, analyze, and support new policies for increasing energy efficiency in the United States.

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