New, energy-efficient technology increases the ability of consumers to decrease their energy expense.  Lower energy use decreases the need for all or a portion of the additional generation resources.  Texas has provided incentives for energy efficiency and currently meets at least 20% of its growth in energy demand from energy efficiency, including building more Energy Star rated homes than any other state.

As one of the fastest growing states and healthiest economies in the country, Texas must continue to meet its growing demand for electricity.  The Electric Reliability Council of Texas (ERCOT) forecasts that peak demand will grow at approximately two percent per year between now and 2025, requiring almost a 50 percent increase in generation capacity by that date.  Texas is also highly dependent on natural gas-fired electric generation can also lead to higher electricity prices during periods of volatility in natural gas prices.

In 2007, Governor Perry signed HB 3693, comprehensive energy efficiency legislation, into law.  This legislation provides incentives and tax credits for utilities and consumers to build energy efficient homes, retrofit old buildings, replace inefficient air conditioners and lighting systems, and other steps to reduce help consumers reduce their energy costs.

Texas’ energy efficiency programs have been ranked among the most cost-effective in the nation, and Texas continues to expand the use of new energy efficiency technology to help meet the energy needs of our growing economy.