The NAIOP Disinformation Study
By Edward Mazria
I was wondering when it would happen, a Building Sector disinformation campaign launched by vested interests. Well, it’s happened. The campaign hit The New York Times on Saturday…
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Economic Policy, Economic Stimulus, Emerging Tech for Energy, Green Architecture, Sustainable Economy
Because investing in energy efficiency in buildings is the most effective way to create jobs and revive the economy (see Justification), Architecture 2030 recommends an investment of $171.72 billion ($85.86 billion each year for two years) in a plan that integrates a housing mortgage buy-down and an accelerated-depreciation program for commercial buildings with energy efficiency in buildings, specifically with the widely adopted energy reduction plan called the 2030 Challenge1. This investment will create 3.75 million direct jobs in the Building Sector, as well as 4.34 million indirect and induced jobs and over 350,000 jobs from consumer spending.
Of special note, tying the mortgage buy-down and accelerated depreciation to achieving specific energy reductions immediately creates the opportunity for a $1.6 trillion renovation market that does not currently exist. The immediacy and magnitude of this opportunity can turn the tide for the construction industry, as well as the nation.
The plan, called the 2030 Challenge Stimulus Plan (‘Plan’), would save consumers $142.33 billion to $200.88 billion2 in energy costs and mortgage payments over a five-year period, significantly reducing the risk of mortgage failure while increasing disposable income. Because the 2030 Challenge calls for buildings to be renovated or designed to reduce their fossil-fuel, GHG-emitting energy consumption in a range from 30% below that required by the IECC 2006 and ASHRAE 90.1-2004 code standards to carbon neutral3, the Plan will also reduce CO2 emissions by 481.13 MMT and energy consumption by 6.17 QBtu over the same five-year period.
Robert Pollin, Univ. of Massachusetts – Amherst Economics Professor:
To the house committee on pensions and jobs:
Energy efficiency (government) investments… Seems to be no brainers. We are dealing with known technologies. An example is retrofitting existing buildings… We can invest in retrofitting the public sector buildings starting tomorrow. There are 800,000 construction workers who have lost their jobs. We can put them back to work. We can get these projects going. They are relatively short term projects. And they will pay for themselves… on average, you’ll see a full return on your investment within about 5 years.
With respect to renewable energy. In regards will tax credits. We do know that renewable energy tax credits which you had stalled and now you’ve restored* are very effective. The market is very responsive… the last time you held back on the renewable tax credits and then increased them we saw a doubling, for example, in investments in wind energy. So those things are there before us.
I do think that the first priority… in the energy area … is energy efficiency. And you’ll get the most jobs. It will be done fast. The technologies are there. And you will fight global warming. You will increase energy independence. You will create a lever against future rises in the price of oil.
* He’s referring to the Renewable Energy Tax Credits extension that were blocked in the Senate after a republican filibuster.
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Sustainable Construction, Sustainable Economy, Green Jobs