Industrial Efficiency (E.O. 13624)

Summary

Helps factories save money and reduce pollution by encouraging them to use less energy through better technology and processes.

What problem does this solve?

American factories use a lot of energy but often don't invest in new ways to save it, which hurts their ability to compete. This order tells government agencies to work together to help factories invest in energy-saving technology, making them more competitive and cleaner.

What does this order do?

Sets a national goal for combined heat and power (CHP)

Aims to add 40 gigawatts of new, cost-effective industrial Combined Heat and Power (CHP) systems in the U.S. by the end of 2020 to improve energy efficiency.

Requires federal agencies to work together

Directs the Departments of Energy, Commerce, Agriculture, and the EPA to coordinate their policies to promote investment in industrial energy efficiency.

Provides technical help to states

Offers assistance to states on how to account for the emission reduction benefits of energy efficiency when developing their plans to meet national air quality standards.

Expands the Better Buildings, Better Plants program

Seeks to increase participation in the Department of Energy's program that helps companies reduce their energy use by 25 percent over 10 years.

Who does this affect?

Industrial manufacturers
Utility companies
State governments

What is the real world impact?

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Boosts American manufacturing

Aims to make U.S. factories more competitive globally by helping them lower their energy bills. This frees up money for companies to grow, create jobs, and invest in new products.

When does this start?

This order became effective on August 30, 2012, and sets a key goal for 2020.

National Goal for New CHP

A national goal of deploying 40 gigawatts of new, cost-effective industrial CHP is set to be achieved by the end of 2020.