The cost of energy is rising. American dependence on foreign oil is a growing
concern. Global warming and its consequences are increasing. What is Congress
doing now to reduce energy dependence on foreign oil and promote renewable energy?
In August, the House passed HR 3221, which made sweeping changes to our nation’s
energy policy to emphasize renewable energy. I recognize that the nation’s
energy and environmental polices are a matter of national security. It is critical
to not be dependent on oil from countries that are unfriendly to us. Transforming
our energy policy can also be the engine of economic growth in the 21st century.
I was very proud to cosponsor the Udall amendment to the energy bill that requires
electric utilities to get 15 percent of their energy from renewable sources by
the year 2020. Many states have already passed renewable portfolio standards
that require electric utilities to generate a percentage of electricity from
renewable sources. Here in New Hampshire our standard is 25 percent by the year
2025. The House bill also included billions of dollars in research and development
funding for alternative energy. We also scaled back tax breaks that many big
oil companies enjoyed on their way to earning record profits. In the fall, Congress
will take up comprehensive global-warming legislation.
I am a cosponsor of HR 1590, the Safe Climate Act, which establishes a cap-and-trade
program to responsibly reduce carbon emissions to 20 percent of the 1990 level
by 2050. Cap-and-trade systems establish an overall cap for emissions, divide
total allowable emissions into permits,
and allow companies to buy and sell those permits to fit their needs. I think
our free-market approach to addressing earlier environmental challenges can serve
as a model as we address these new concerns.
Developing alternative energy technologies was a national concern in the early
1980s. Why did the country lose its focus on this issue later in the decade,
and is Congress refocusing attention on it now?
The gasoline crisis of the 1970s focused attention on renewable energy sources,
but as the gas crunch subsided, gasoline was once again cheap and we unfortunately
lost our focus on alternative energy as a matter of foreign policy. If you look
at the makeup of the last Congress, I think you will see that many important
members of the Energy and Commerce committee and others were susceptible to the
oil lobby. As a new member of Congress, I came in with a mandate for change from
a state that places significant emphasis on the environment and a sustainable
quality of life. Chairman Barney Frank (D-MA-4) asked me to sit on the Financial
Services Energy Efficiency Task Force along with my colleague Congressman Ed
Perlmutter of Colorado.
We are currently working on legislation to transform the way the financial services
industry deals with green building. I think it is in the best interests of individuals
and businesses to use green strategies in their day-to-day activities. We have
started by providing Fannie Mae with an incentive to buy green mortgages. We
like to use incentives rather than regulations to help inspire the market to
go green.
Energy use in buildings accounts for a high percentage of U.S. energy consumption.
What can Congress do to promote the broader use of green technologies in the
construction and maintenance of buildings?
Congress and the federal government have to be leaders in promoting energy efficiency
in buildings. As the folks making the law, I think it is incumbent on us to really
set an example. The Carbon Neutral Government Act, of which I am a cosponsor,
requires that all federal buildings and office space leased by the federal government
be carbon neutral by 2050. This allows the federal government to be a leader
in green building and save millions in taxpayer dollars. It will also generate
a market for clean energy solutions that can serve as a model for private industry.
Some financers of affordable housing have introduced green standards for the
buildings they finance. MaineHousing, for one, requires all of its developments
to comply with new Green Building Standards. Is this an approach that can be
duplicated nationwide?
Absolutely. I consider states the laboratories for democracy as well as the testing
ground for green standards. In the absence of coordinated federal efforts, the
states have really taken the lead in green building. In New Hampshire, the nonprofit
Jordan Institute works with the Community Area Trust for Affordable Housing and
the local school systems to develop, build, retrofit, and certify green affordable
housing and schools. The Jordan Institute holds workshops and provides advice
on how to make these buildings green. One of its tools is a state revolving fund
to support the construction and renovation of buildings that use green techniques.
I think this concept could also work on the federal level to fund green schools
and affordable housing. The states have also taken the lead with renewable portfolio
standards. Many business and industry officials have told me that a federal renewable
portfolio standard is essential to promote green energy nationally.
How is Congress promoting the use of alternative sources of energy in affordable
housing?
We understand that alternative and renewable energy sources represent a huge
opportunity to make housing more affordable. I added an amendment to HR 3221
that directed the Department of Energy to create regulations for a program to
provide rebates to families and small businesses that install renewable energy
systems (wind, solar, biomass, etc.). While renewable energy has great potential
to save money in the long term, the initial cost of installing renewable systems
are considerable. This program would address one of the major obstacles facing
those who want to use renewable energy in their homes or small businesses. I
also introduced an amendment in the farm bill to help create a joint federal-state
program to provide assistance to public buildings that want to convert to biomass
heating. Near Concord, New Hampshire, where I live, the Merrimack Valley High
School has switched to boilers that burn wood chips. It’s a carbon-neutral
energy source and it is saving $80,000 a year in heating costs. They expect the
payback period to be six or seven years. We are seeing increasing interest in
the northern states in renewable heating systems centered around wood pellets
and other biomass fuels available here.
What impact does the high cost of energy have on affordable housing in New England?
New England’s climate makes energy costs a huge factor in building and
maintaining housing. Although green building technologies may require an initial
upfront cost, the payback through lower heating costs will save money in the
long run.
Describe recent legislation that provides additional support for the construction
of affordable housing.
On July 31, the House Financial Services Committee passed HR 2895, the National
Affordable Housing Trust Fund Act of 2007. This fund will be the largest expansion
of federal housing programs in decades. Its goal is to produce, rehabilitate,
and preserve 1.5 million units of housing over the next 10 years. The bill will
initially allocate between $800 million and $1 billion annually to states and
local communities without increasing government spending and the federal deficit.
Funding for the trust will be drawn from the reinvestment of some Fannie Mae
and Freddie Mac profits. I think it is a brilliant conception and a priority
of our chairman, Rep. Barney Frank. I am really proud of the work we did to bring
this through the committee, and I am looking forward to its passage.
Do you think the current interest in green building and renewable energy can
be sustained over the long run?
There is a sea change in the attitudes of the American people. Recent events
in the Persian Gulf and the War in Iraq, the fluctuation and rise in energy prices,
and our awareness of global warming have combined to create a new concern among
the American people. I think it’s imperative for this country to become
number one in the world in energy efficiency, conservation, and renewable alternative
energy. By leading the world instead of following, we can benefit the economy,
create jobs at home, and develop goods and services to sell overseas that help
people instead of hurt them. The atmosphere is very different today. Members
of Congress such as myself are going to maintain vigilance about energy and the
environment. It is one of the most important issues that we have to deal with
as we point this country toward the future instead of trying to hold on to an
obsolete past. T
Democrat Paul W. Hodes, a member of the House Financial
Services Committee, represents New Hampshire’s second congressional
district.
|
