Florida Governor Crist Signs Executive Orders to Affect Climate Change

On Friday July 13th, Our Florida Governor Charlie Crist signed landmark Executive Orders setting the future direction of Florida as the lead state in the Southeastern U.S., to take on the challenge of Climate Change legislation to reduce greenhouse gas emissions aggressively in State Government, Electric Utilities, and in the automobiles and homes of Floridians.

Last week, Governor Crist assembled a Team of State, Regional, National, and International leaders and highlighted keynote speakers such as Governor Schwarzenegger, Ted Roosevelt IV, Robert F. Kennedy Jr. and others for a Climate Change Summit in South Florida.

I applaud Governor Crists’ apolitical Summit meeting and resulting executive orders for the future direction of the State of Florida for advancing the global climate change agenda. Republican Governor Crist commented that while the perception of such energy conservation and environmental initiatives, seem to be more attributed to democrats, that he considered it a people’s issue and one of the most important this century considering Florida’s vulnerability to rising sea levels and violent weather events.

The highlights of these orders require Florida State Government to reduce carbon emissions progressively to achieve a 40% reduction by 2025, with more current “stepping stone” benchmarks to be achieved along the way. It also requires state buildings to be constructed with more energy efficient methods and use of solar energy, as well as purchased or leased vehicles having to use alternative fuels.

Florida Electric Utilities must plot a course to achieve reductions in emission levels with a goal of 80% less than 1990 levels by 2050. The governor also requested the Public Service Commission adopt a 20% Renewable Portfolio Standard (RPS), making Florida the 24th State to do so, with a focus on the increased use of solar and wind energy technologies.

Automobiles in Florida will also comply with California emission standards, projecting 30% reduction of emissions by 2016. When approved by the EPA, this may be sufficient to cause the auto industry to capitulate and adopt the standard nationwide.

Florida homes and appliances will also need to improve their energy efficiencies by 15% over prior standards. Partnerships with Germany and the United Kingdom have been forged to discuss and promote initiatives that broaden the Kyoto Protocol and the continuation of emission reductions beyond 2012. Crist will also create a team to create an action plan and to look beyond the current executive orders to promote future legislation for the 2008 session.

These developments have been responded to in many ways, as might be expected.

I will share some that I have seen in print with my comments:

1. Some officials in Florida’s slowing construction industry, have stated, “These mandates in new construction, will make homes less affordable and out of reach for many new homeowners.”

Florida’s new energy legislation, House Bill 888, passed during the 2006 legislative session, created Florida’s Energy Commission http://www.floridaenergycommission.gov/ whose task is to create the future legislative directives for Energy Conservation, Alternative Fuels, Carbon Emissions, and to even define Renewable Energy. I have been attending these meetings held around the state and have gained considerable insight from them.

A recent meeting held in Cocoa Beach exposed the fact that less than 2% of Florida homes met the minimum 30% Energy Star rating standard, which is not even the current 50% model used in today’s Energy Star rated new homes. Simply said; Florida homes are an energy disaster resulting in high utility bills for the occupants, a huge drain on existing utilities, and have resulted in the harmful environmental effects of this massive waste of energy.

The Florida Builder need only be advised that their customers are demanding greener homes and would opt for more efficient methods of construction if offered by their builder, even if it did add to the cost of the home. This is especially more evident since properly packaged improvements would result in utility bills much lower than the added cost of the improvements affects on the mortgage payment and a healthier environment for the occupant.

H. B. 888 also created cash rebates to help pay Florida homeowners for Solar Pool Heaters, Solar Water Heaters, and Solar Electric Systems. This is being welcomed by
Florida homeowners who are told that these incentives and Federal income Tax Credits exist for them to take advantage of. Studies have indicated that over 80% of homeowners would choose to make these improvements, if offered, and yet builders believe that less than 20% have an interest. Only 15% of those builders who were requested to provide the buyer with information had any knowledge to impart.

It is sad to realize what ground we have lost over the last 10 - 15 years of runaway growth and development in Florida, with no attention being paid to the effects of ignoring energy efficiency in the construction of homes, businesses, and government buildings. It is this that has brought about the talk of new Nuclear, Coal, and Trash burning power plants to meet current and future energy needs.

This is now a huge opportunity with a profitable potential for Builders to recognize the markets they serve and integrate these highly demanded methods of construction and energy conserving products into their projects. Use it as a selling tool and service to the customer as there are special mortgage products of advantage to such buyers and all kinds of cash incentives as added bonuses.

2. ” We want to do our part, but just don’t know where to start with measures to help limit our human footprint and help to reduce emissions caused by the energy we consume.”

The first important comment would be to advise that we all start to do the simplest and most cost effective things and set your short term goals reasonably and within your household budget for projects around the home. This ensures that we all will do something and others may do a lot. Here is a good place to start: http://environment.about.com/od/globalwarming/tp/globalwarmtips.htm

Those who may have a budget of $5,000 or more, might consider solar installations for their pool, hot water, and for those who are not totally bound by concerns about short term paybacks, can even install solar electricity. A growing number of Floridians are taking advantage of the state rebate program which could amount to as much as $20,600.00 per household to install all three solar system types.

Solar Hot Water has a 4-6 year payback for just about anyone, and can put money in a homeowner’s pocket from day one, if incorporated in a mortgage. It hasn’t ever cost more monthly than it can save on the utility bill, over the last 28 plus years I have been in this business. That means it puts cash in your pocket UP FRONT and will always save more each month than it will ever cost and can only get better as the utility bills increase. If during the last 10-15 year building boom in Florida, we had just used solar water heat in all the homes, there would not be an energy crisis and talk of new nuclear, coal, and trash burning power plants needed to meet current and future power requirements. Each conventional home water heater in Fla generates the same amount of greenhouses gases as a car driven 12,000 miles per year on Fla highways.

It sure seems like we all should have these!

3. ” How come Florida is the Sunshine State and we don’t use more of it to save energy in our homes? “

This is a long story, which could be another whole discussion, but I will certainly say that a person doing so well at what they are currently doing often looks no further for better ways to do things. There is also the problem of non-disclosure. If you buy a car or even a toaster you get an owners manual, energy or fuel usage information, and yet when you buy a home you basically get the bill and the door key. A recent client of ours had a brand new 3700 square foot home built in the Orlando area and thought that it would be efficient as it was built to modern day codes. A first months electric bill of $650 changed his mind about that. He did a Solar Home Makeover, and got approximately $23,000 in state rebates and Federal Tax subsidies and lowered his utility bills to below $200.00 per month. His builder refused to cooperate to make the improvements cheaper and more convenient, to do all this in the process of construction, rather than after closing. Disclosure of the best energy practices, resulting costs and savings benefits would have changed how this happened for sure. We have a lot of work to do, but the Governor has started the ball rolling. I’m excited about the future and hope we all rally to the cause. I look forward to all commentary and contributions.

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