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Energy Office Spreads Word On Using Stimulus Funds

May 6, 2009 — The Virgin Islands is getting $31 million from the federal stimulus package for conservation and renewable energy projects, and the V.I. Energy Office spread the word at a town meeting in Frederidsted Tuesday on how businesses and working people alike can make long-term energy saving improvements now.
Designed to boost employment and spending, and thus boost the economy in the short run, the stimulus act favors projects that can be started and completed quickly, Energy Office Director Bevan Smith said, as he outlined the new and expanded programs the money will fund. Funds are divided into three categories, with $20.7 million going to the State Energy Program; $9.6 million for Energy Efficiency Block Grants and $1.4 million for the new federal Weatherization Assistance Program.
Some of the programs need local matching funds. The territory has to match the federal $1.4 million for weatherization with $2 million locally, he said. Some, like the weatherization program, are aimed at working families. It allows up to $6,500 per home in energy-efficiency upgrades to families making up to 200 percent of the federal poverty level — about $42,400 for a family of four. Replacing inefficient old refrigerators, insulation jackets on water pipes, lighting retrofits, water heater and light timers are some of the approved uses.
"Weatherization in hot climates allows low-income families to reduce their energy bills by making their homes more energy-efficient," Smith said.
Residents who are already in Human Service's ECAP energy bill assistance program are pre-approved, with priority going to the elderly, persons with disabilities, families with children, high residential energy users, and households with a high-energy burden.
The State Energy Program gets the bulk of the money, funding a grab bag of projects from no-money-down solar water heaters to — possibly — building a one-megawatt wind farm and giving it to the Water and Power Authority.
Under the block grants, hotels, resorts and other businesses may qualify for help with energy-saving retrofits, street signal lights will be replaced with super-efficient Light Emitting Diodes (LED) and the Waste Management Authority may get help capping the Bovoni landfill and installing methane gas collection equipment.
"They have been under a consent decree for a long time to cap the landfill, and we don’t want the director to get into any trouble," Smith said, half in jest.
The Energy Office has set a goal of 2012 for reducing the territory's energy consumption 25 percent from 1990 levels, he said.
The crowd, nearly filling the chambers of the Legislature in Frederiksted, was largely enthusiastic, with some, like longtime St. Croix residents Patricia Oliver and Steffen Larsen, offering up additional suggestions on good energy-saving programs. Many in the gallery were principals in solar and wind energy companies, offering their perspective on what is needed.
"The biggest obstacle for anyone to enter into energy saving improvements is the initial outlay," said Manny da Motta of Solar Solutions. "In my opinion the rebates are pretty generous … But we do not have the long-term financing here like in the States. Two local banks offer loans up to $25,000, but it is very high interest and short term."
Da Motta suggested anything to make it easier to get loans would help.
Smith agreed but said there was more lending potentially available. "Through the Community Development Bank, the territory can offer loans as low as zero percent," Smith said.
The hearings are on each of the main islands in their respective Senate buildings from 6 p.m. to 9 p.m. The St. Thomas hearing is Wednesday and St. John Thursday.
For more information on what types of improvements the government can help you to pay for, you can call at 773-1082 or visit the Energy Office website.
Editor's note:An earlier version incorrectly identified the landfill to be capped using stimulus package energy funds. Bovoni landfill is to be capped.
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