Congress eyes energy savings

COLUMBIA -- Congress is working toward a solution -- developed in South Carolina -- to cut the demand for energy in the United States and help rural residents pay for efficiency upgrades to their homes.

U.S. House Majority Whip Jim Clyburn, a South Carolina Democrat, said the legislation passed the committee-level this week and made it to the full House, moving it one step closer to becoming law. The bill would authorize customers of the state's Electric Cooperatives to take out low-interest loans for items such as new roofs, heating and air units and insulation to make their homes more energy-efficient. The efficiencies, in turn, will lower energy consumption and generate savings each month on the electric bills that can be used to pay back the loans.

If the bill passes, rural residents across the country will be able to borrow $4.9 billion to retrofit their homes and businesses, Clyburn said.

Clyburn said he is optimistic the president will sign the Rural Energy Savings Program Act, dubbed "Rural Star." The bill was introduced by Clyburn and a bipartisan group of congressmen and senators. U.S. Sen. Lindsey Graham, R-S.C., is another bill supporter.

"The loans to consumers in this bill help them implement energy efficiency measures in their homes to reduce energy consumption and energy costs, easing their financial burden and helping them get closer to their American dream," Clyburn said in a statement.

Clyburn said the loan program is estimated to create between 20,000 and 40,000 new jobs a year in the domestic manufacturing and construction sectors. Michael Couick, chief executive officer of the Electric Cooperatives of South Carolina, said the program is expected to create 7,000 new jobs in the state over the next 20 years, including roughly 3,000 in the next 18 to 24 months.

Couick said he is hopeful the House can pass the bill before the August recess. On the Senate side, Majority Leader Harry Reid, D-Nev., is expected to make the plan a central component of a national energy bill he expects to introduce later this month.

Gov. Mark Sanford signed a new law that authorizes the loan program in South Carolina earlier this year, but the programs needs financial backing before it can go into effect.

The city of Charleston is developing a similar initiative for its residents.

The "CharlestonSAVES" program calls for experts to analyze residents' utility bills and make recommendations on how they can save money and make their homes more efficient. Like the national plan, the Charleston program is designed to allow residents to repay their loans with the money they save on energy costs.

City Council approved the plan in mid-June and it is expected to be available in six months.

Reach Yvonne Wenger at 803-926-7855 or ywenger@postandcourier.com.