The role of energy efficiency spending in Maryland's implementation of the Regional Greenhouse Gas Initiative

Anthony Paul*, Karen Palmer, Matthias Ruth, Benjamin F. Hobbs, Daraius Irani, Jeffrey Michael, Yihsu Chen, Kimberly Ross, Erica Myers

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review


What are the economic consequences of increased state spending on electricity consumption efficiency? The State of Maryland faces this question in deciding how much of its CO2 allowances auction proceeds (under the Regional Greenhouse Gas Initiative) to devote to such programs. Starting at a base of 25% of the proceeds, we consider the energy savings, emissions reductions, employment, and other impacts of increasing that percentage to 50% and 100%. A series of models - Haiku, JHU-OUTEC, and IMPLAN - are used for the analysis. We conclude that increasing the state's expenditures on energy efficiency programs would result in a decline in electricity consumption in the state and a corresponding decline in expenditures on electricity. Program implementation would lead to net positive growth in statewide economic activity and include growth in both jobs and wages.

Original languageEnglish
Pages (from-to)6820-6829
Number of pages10
JournalEnergy policy
Issue number11
Publication statusPublished - Nov 2010


  • Climate policy
  • Electricity demand\
  • Energy efficiency

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