Executive Order Promotes Industrial Energy Efficiency

President Obama on August 30 signed an Executive Order to facilitate investments in industrial energy efficiency that will strengthen U.S. manufacturing and help create jobs. These efforts to boost industrial energy efficiency, including combined heat and power systems, can save manufacturers as much as $100 billion in energy costs over the next decade. Such efficiency measures will reduce energy consumption and harmful emissions.

While manufacturing facilities have become more energy efficient over time, there is an opportunity to accelerate and expand on this trend with investments that reduce energy use through more efficient manufacturing technologies and processes, including expanding use of efficient, on-site heat and power generation, known as combined heat and power. The order also establishes a new national goal of 40 gigawatts of new combined heat and power capacity by 2020, a 50% increase from today.

This Executive Order builds on steps the administration has taken to scale up private sector investments in energy efficiency in our homes, buildings, and factories with efforts like the Better Buildings Initiative and investments upgrading homes around the United States.

In addition, the Executive Order directs the EPA and the Departments of Energy, Commerce, and Agriculture to coordinate actions at the federal level while providing policy and technical assistance to states to promote investments in industrial energy efficiency. The Executive Order also directs agencies to foster a national dialogue through ongoing regional workshops to encourage the adoption of best practice policies and investment models. See the White House press release.

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