The Federal Government Should Establish and Meet Energy Conservation Goals

Between 1972 and 1976, the rate of energy consumption in the nation decreased because of supply disruptions, a recession, and increased prices. Energy conservation has not been sustained, however, and energy consumption currently is increasing. The Administration proposed a national energy plan (NEP) which stresses conservation.

The success of energy conservation measures will depend on the development of consumer attitudes and habits which foster efficient energy use. Federal programs to change energy consumption patterns involve three basic approaches: (1) voluntary; (2) indirect market intervention; and (3) direct market intervention. Federal programs have had some success in reducing energy consumption in transportation and in the residential sector. NEP includes initiatives which could make investments in industrial energy conservation more financially attractive, result in greater realization of energy conservation opportunities in the residential sector, and meet needs in the commercial sector for financial incentives to energy conservation investments. Additional federal actions are needed in all sectors to meet NEP goals and objectives.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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