G4. _ Energy use set aside for investments in efficiency
Set aside a fee on energy use or some of the savings from efficiency projects to create an internal funding mechanism to invest in energy and carbon-reduction.
The King County Department of Natural Resources and Parks implemented a “Beyond Carbon Neutral Accelerator Program” in 2014, creating an internal funding mechanism to invest in energy and carbon-reduction projects. It imposed a $0.58/MMBTU fee, equivalent to approximately $5.80/MTCO2, on all DNRP divisions, using the funding to support investments in energy efficiency, renewable energy, and other projects. Between 2014 and 2016, DNRP set aside $1.65 million through this program, and leveraged $207,000 in utility rebates, to invest in projects that will save the department over $4 million and an estimated 55,000 MTCO2 over the life of the improvements.
The City of Phoenix has a similar program, in which a percentage of the savings from energy efficiency projects is set aside and dedicated to further investments in efficiency. To date $4.4 million (20% of the total savings) has been reinvested, resulting in direct and accountable savings of $22.8 million. The City’s program was described in detail as one of the 126 case studies of the most successful energy efficiency and renewable energy programs in the United States and around the world done by the Results Center.
The University of British Columbia has a Sustainability Revolving Fund, which makes loans to departments and operating units for projects, if the loans can be repaid over time through the resulting ongoing savings. The Billion Dollar Green Challenge has a number of reports on green revolving funds, and resources for implementing them.