Accelerating Investment in Industrial Energy Efficiency

This executive order directs federal agencies to coordinate efforts to accelerate industrial energy efficiency investments, particularly combined heat and power (CHP) systems, with a national goal of deploying 40 gigawatts of new industrial CHP by 2020. It tasks DOE, Commerce, Agriculture, and EPA with stakeholder engagement, technical assistance to states and manufacturers, and using existing authorities to support efficiency investments.

Federal Register Open PDF 77 FR 54779

Impact dates

Dec 31, 2020
Deploy 40 gigawatts of new, cost-effective industrial CHP

Key directives

Coordinate to achieve 40 gigawatts of new industrial CHP by end of 2020
Convene stakeholders through public workshops to develop best practice state policies and investment models
Provide assistance to states on CHP emission reduction benefits for State Implementation Plans
Provide incentives for CHP deployment through set-asides, grants, and loans
Employ output-based approaches as compliance options in regulations
Expand Better Buildings, Better Plants program participation and tools
Provide technical and financial analysis to states, utilities, and industrial facilities
Improve federal data collection and analysis usefulness
Assist states in developing state-specific best practice policies

Who is ordered

Timeline

Immediate

Interagency coordination mechanism established
Stakeholder engagement through public workshops begins

Near term (90d)

Development of best practice state policies and investment models
Technical assistance rollout to states and manufacturers

Long term

Progress toward 40 GW CHP deployment goal by end of 2020
Potential tens of billions in industrial energy cost savings over next decade

Risks & tensions

Goal is aspirational ('strongly encourage') rather than mandatory; no enforcement mechanism specified
Implementation explicitly 'subject to availability of appropriations' — funding constraints may limit reach
Multiple agencies required to coordinate; interagency friction possible without clear lead
No baseline measurement specified for 40 GW goal, making progress assessment difficult
Output-based regulatory approaches (Sec. 2(c)(iii)) face potential legal and administrative barriers