The Green Journey Starts at Home ™

Department of Commerce warns of salespeople pitching energy savings from radiant barriers
Due diligence urged in seeking most cost-effective energy improvements

April 10, 2013

For Immediate Release:

SAINT PAUL, MN – The Minnesota Department of Commerce, Division of Energy Resources has issued an alert to consumers who are considering the purchase of radiant barriers in their attics. The Commerce Department, which has received recent reports of salespeople pitching the radiant barrier product in flyers and at free dinners throughout Minnesota, warns consumers that radiant barriers are not a cost-effective way to reduce heating or cooling loads in Minnesota.

“Radiant barriers in attics may be valid for homes in southern states,” said Commerce Commissioner Mike Rothman, “but they save very little energy in Minnesota homes.”

Radiant barriers consist of a reflective film, usually aluminum, laid over the top of attic insulation in existing homes. They are sold as an energy-saving product, with claims of significant reductions in both heating and cooling costs. However, their potential benefit is primarily in reducing air conditioning cooling loads in warm or hot climates and in buildings with little or no insulation. A Radiant Barrier Fact Sheet compiled by the Oak Ridge National Laboratory for the U.S. Department of Energy shows that the benefits of radiant barriers decrease significantly as one travels north. In southern cities like Miami, Fla., or Austin, Texas, radiant barriers could reduce one’s utility bill by as much as $150 per year using average residential electricity prices. But by the time you reach colder climate states such as Minnesota, where air-conditioning loads are considerably less, savings drop to only $10 to $40 a year. If there are no ducts or air handlers in the attic, the savings are much less.

So, consumers need to be aware that with the price of installation for a radiant barrier is $2,000 or more with a savings of $20 per year, it would take 100 years to pay back the investment. It is also important to note that radiant barrier products have negligible benefit in reducing heating costs. It is unlikely that most Minnesota consumers would realize any measurable energy savings from radiant barriers in attics.

“We strongly urge all consumers to be cautious, conduct due diligence, and explore other proven means to make their homes and businesses more energy efficient,” said Rothman. “Don’t be misled by ‘deals’ or ‘pilot programs’ available for a limited time only. Get input and bids from atleast three contractors, and make sure those contractors are reputable.”

The U.S. Department of Energy and the Minnesota Department of Commerce agree that, in Minnesota, implementing air sealing and adding conventional attic insulation would be considerably cheaper and much more effective for saving energy than installing a radiant barrier. In fact, as attic insulation levels increase, the potential benefits from a radiant barrier decrease. Getting a home energy assessment through your gas or electric utility is also encouraged as a first step to identifying cost-effective energy improvements.

For more information on insulation and other energy-efficient measures to improve your home, contact the Division of Energy Resources at 800-657-3710 or 651-296-5175 or visit http://mn.gov /commerce/energy. The website offers free downloadable home energy guides, including the “Home Envelope” consumer guide that includes information on energy efficiency and choosing a contractor

With Congress struggling to find consensus on most issues, Reps. David McKinley (R-W.V.) and Peter Welch (D-Vt.) today found common ground by introducing bipartisan energy efficiency legislation that will create jobs, save homeowners money and benefit the environment.

The Home Owner Managing Energy Savings (HOMES) Act will provide rebates to homeowners who invest in energy efficiency improvements. Homeowners who demonstrate a 20 percent energy savings will receive a $2,000 rebate. For every 5 percent in additional energy savings, they can receive another $1,000 – up to a total of $8,000 or 50 percent of the project’s cost. The legislation is modeled after the Welch-authored Home Star Energy Retrofit Act (H.R. 5019), which passed the House with bipartisan support in the 111th Congress.

John Hess the CEO of the Hess Oil Company addressed the Oil and Money Conference in late 2009. In this presentation he identifies our energy and environmental challenges ahead. He anticipates a massive energy shock that he believes will devastate economic recovery. Global demand for energy is growing at a phenomenal rate as the non-developed countries come on-line. While he argues there are plenty of oil reserves there is not the production capacity to meet the huge demand. There is a large lead time to build the capacity.

It is refreshing for an oil company leader to argue for the need for better conservation in our buildings (40% of our energy consumption) and for new mileage standards (50 mpg). He acknowledges the huge impact the United States has on hydrocarbon emissions (4% of population yet 26% of CO2 emissions). He believes we should tax gas heavily, like Europe, to encourage conservation.

It is a short article, worth reading.

http://www.energybulletin.net/node/50502

The future of fossil fuels look problematic. People keep discussing proven reserves and whether peak oil already has arrived or not. What is most important is the fact that – no matter how much additional oil we can still retrieve – future barrels will be much more difficult to extract relative to the past.

This is expected to result in a rapid increase in oil prices from a decline in the availability of cheap and easily accessible oil sources. Our prices today are artificially constrained by the global recession. When the recession passes, prices of oil can be expected to soar.

Loyd’s of London, the world’s leading insurance market, recently published a report stating that businesses are underestimating the catastrophic consequences of declining oil.

Ron Oxburgh, a former chairman of Shell, wrote that “It is pretty clear that there is not much chance of finding any significant quantity of new cheap oil. Any new or unconventional oil is going to be expensive.” He went on to quote King Abdullah of Saudi Arabia commenting on a new oil find: “Leave it in the ground…our children need it.”

Loyd’s of London warned of “catastrophic consequences” for businesses that fail to prepare for a world of increasing oil scarcity and a lower carbon economy.

The Guardian paper wrote “The Lloyd’s insurance market and the highly regarded Royal Institute of International Affairs, known as Chatham House, says Britain needs to be ready for “peak oil” and disrupted energy supplies at a time of soaring fuel demand in China and India, constraints on production caused by the BP oil spill and political moves to cut CO2 to halt global warming.”

A similar warning was written in an earlier piece by the Wall Street Journal.

http://www.guardian.co.uk/business/2010/jul/11/peak-oil-energy-disruption

This afternoon, the House passed the Home Star Energy Retrofit Act of 2010 (H.R. 5019) with a vote of 246 to 161!  The bill passed with bi-partisan support – 12 Republicans voted in favor.

Let’s see how our Minnesota representatives voted:

• Bachmann, Michele, Minnesota, 6th – Nay
  She likes the ‘Drill Baby Drill’ approach and evidently does not have much use for conservation.  In the aftermath of the BP spill you would think that she would see that there needs to be smart alternatives, to drilling our way out of our energy challenges.
• Ellison, Keith, Minnesota, 5th – Yea
  Smart man!  He earned your support.
• Kline, John, Minnesota, 2nd – Nay
  Kline writes on his site that “Any legislation designed to revive and renew our economy should help American families and small businesses by preserving and creating more jobs in America. Americans should be able to keep more of their hard-earned money – to save, spend or invest. Legislation based on those principles would put America on a direct road to economic recovery.”

  If Kline really believes in his words, that we need to create jobs and help people save money, there is is no good reason from him to vote Nay.  Remember this folks when he is up for reelection.

• McCollum, Betty, Minnesota, 4th – No vote
• Oberstar, James L., Minnesota, 8th – Yea
  Another smart individual who deserves your support.
• Paulsen, Erik, Minnesota, 3rd – Nay
  What is Erik thinking??
• Peterson, Collin C., Minnesota, 7th – Yea
  Thanks Collin.
• Walz, Timothy J., Minnesota, 1st – Yea
  Tim understands energy conservation and deserves your support.

This is a major milestone for Home Star, but work still remains. First, the Senate must follow up and pass their version of the Home Star bill. Additionally, today’s vote was an authorization, so it must be matched with an appropriation bill. An appropriation bill will actually allocate the $6 billion dollars to the program.

HOME STAR legislation is scheduled to be voted on by the full U.S. House of Representatives this coming Thursday, May 6.

This initiative establishes a $6 billion rebate program to encourage immediate investment in energy-efficient appliances, building mechanical systems and insulation, and whole-home energy efficiency retrofits. HOME STAR will rapidly create jobs in both construction and manufacturing, while saving families money on their energy bills. It will build on current state programs and existing industry capacity for performing both retrofits and quality assurance, using federal standards and incentives as a common platform to lower program costs and increase consumer awareness.

For an interesting article on Energy Conservation please see the March edition of National Geographic.

The New York Times provides an interesting video on thermography and energy loss detection —  see this link.  NYTimes editor Tom Zeller has written  an article on having an energy audit performed, the recommended improvements and the results of the improvements.