It is not often that utility companies make headlines about energy efficiency. However, today Exelon, one of the nation's largest power generator's, announced that they have cut greenhouse-gas emissions by 35 percent from 2001 levels. This exercise of energy efficiency was a result of plans Exelon announced last summer to reduce, offset or displace 15 million metric tons of greenhouse gas emissions by 2020. As a member of the United States Environmental Protection Agency's Climate Leaders Partnership, Exelon has developed a corporate-wide inventory of the six major greenhouse gases with a commitment to setting measurable goals for achieving credible, cost-effective environmental improvements.

A 35 percent reduction in emissions was the result of retiring six fossil fuel plants with 11 units in Massachusetts, Pennsylvania and Texas; reducing leakage of greenhouse gasses from its electricity transmission and distribution systems and natural gas delivery system; increasing energy efficiency in its buildings and increasing the fuel efficiency of its vehicle fleet. Exelon also anticipates a further reduction in its greenhouse-gas emissions by expanding its energy efficiency programs to reduce energy consumption by the company and its consumers as well as focusing more on renewable energy.

It is time that we change the way utilities view efficiency and distributed generation. Utilities should be investing in low-cost efficiency as they are well positioned to overcome these barriers by offering programs and incentives to manufacturers, distributors and consumers.  These are economic development opportunities as new requirements and incentives save consumers money, keep energy dollars at home and grow local energy service jobs. Establishing cost effective energy efficiency as a resource that electric and natural gas utilities must invest in along with supply and transmission options is essential. Making utilities partners in energy efficiency is one of the first steps.

"As a national energy policy begins to take shape in Washington, we believe that our industry must take decisive action to address climate change," said Exelon Chairman and CEO John W. Rowe, in a speech at the Energy Information Administration 2009 Energy Conference in Washington, DC today. Establishing a regulatory framework that will drive investment in all cost-effective energy efficiency in order to further lower energy bills for residential, commercial and industrial consumers, reduce the myriad of environmental impacts from energy production and use, and meet global warming pollution reduction goals of reducing greenhouse gases is critical in moving forward.