Texas is one of largest energy users in the nation, and has some of the largest energy companies such as Electricity Texas – Just Energy. . It’s important to understand how energy is used in this state in order to determine how Texas energy consumption impacts the economy and investments. Oil is one of the major contributors to the economy. Because of the amount of energy consumption, there is a great initiative to make homes more energy efficient.
How Texas Leaders Will Address the Issue
Texas leaders recognize that as the demand for energy grows, they will have to find innovative ways to manage energy consumption. This plan includes measures to increase water and energy efficiency upgrades. The new conservation efforts could mean greater savings for the community.
Supporters acknowledge that there is a growing problem in Texas, and they are making great strides to become a model for other states in the nation. Unfortunately, they’re a long way from meeting this mark. Currently, they are adopting an approach known as the Property Assessed Clean Energy (PACE) program. The initial investment is huge and may take years to recoup, but the effort may be well worth it. These types of programs are well supported by legislature.
PACE allows commercial and industrial property owners the ability to use a property tax lien to finance energy efficiency upgrades. The payments are forwarded to a private lender and are paid through a lien. When this program is running smoothly, property owners will pay less than what they would typically pay on their energy bills. New owners will inherit the debt if a property is sold. This rule reduces the risk of investments.
PACE is designed to ignite investments and reduce business expenses without subsidies or designating winners or losers. In addition to Texas, there are 30 other states that have adopted financing plans. Most of the plans have fallen short of expectations because most homeowners were fearful that PACE liens would overshadow mortgages if they defaulted.
Texas values local power, but it recognizes that it must make some changes to conserve the local energy sources that are available. All programs designed to conserve energy will be unveiled within the coming months. The program may support home upgrades as well.
What Makes Texas Different?
In short, the state uses half of the energy produced in the United States due to the industry and comprises nearly 20 percent of all industrial consumption in the United States. With new programs, Texas could become a leader in energy efficiency, and ‘going green’ could be simply a way of life instead of just a growing trend.