Tories kill EnerGuide

[nassauone]

Aside from being a conservative (ie. anti-environment in my books) do you think the fact he if from ALTA has anything to do with this? Some big boys out there support him. I think in the end it is going to come down to a Alberta vs. Ontario fued for Prime Ministership.

From the Star:

Tories pull plug on popular EnerGuide
Announce phase out of home reno grants
Funding for plan axed in May 2 budget
May 16, 2006. 01:00 AM
LES WHITTINGTON
STAFF REPORTERS

OTTAWA—Thousands of Canadians hoping for federal grants to help cover the cost of making their homes more energy efficient are in limbo after the Harper government quietly cancelled a popular program.
Funding for the $44-million EnerGuide for Homes was axed in the Conservatives' May 2 budget but official notice that it is being phased out only emerged on a federal government website on the weekend.
Homeowners who took steps before midnight Friday to begin energy-saving renovations under the EnerGuide program will still be in line for grants averaging $737 per household if the retrofit work is completed by next March 31, a federal spokesperson explained yesterday. But getting the money may depend on how many people complete the process by next March and how much money Ottawa sets aside to pay for the grants to homeowners, said Emma Welford, an aide to Natural Resources Minister Gary Lunn.
The intention is to deliver grants to every household that qualifies, Welford said. But "of course, all of that is subject to the availability of funding."
Last year, with interest in the program booming along with energy prices, the Liberal government spent $44.3 million on EnerGuide and had planned to increase funding by $200 million this year. But that money was cut in the Conservative budget.
Lunn has asked the Harper government for additional cash to cover homeowner grants during the phase-out period but Welford declined to say how much was requested.
Cancellation of the program, which paid grants to 30,429 homeowners last year, spread shock through the network of hundreds of conservation organizations and companies that has grown up to publicize EnerGuide and provide energy audits and renovations.
"The government's cancellation of these popular, effective programs is very bad news for residential energy efficiency in this country," said Clifford Maynes, executive director of Green Communities Canada, a Peterborough-based group of environmental service organizations.
There are also concerns about the federal Conservatives' decision to scrap a new five-year, $500 million program introduced by the Liberals called EnerGuide for Low Income Households, which would have paid the full cost of renovations to improve energy use for low-income earners.
"Low-income households already live close to the edge, and steep increases in energy prices will push many of them over," said Maynes. He called on Prime Minister Stephen Harper to reconsider eliminating these initiatives.
Critics of the Conservatives' approach point out that Harper's party voted in support of funding for EnerGuide for Housing in the Commons in November.
As they field questions from upset homeowners and service providers, organizations involved in upgrading homes are wondering why the current federal government, which favours a "Made-in-Canada" approach to tackling global warming, didn't see the appeal of EnerGuide.
"I am baffled by the decision because it seems to be exactly what they say they want," said Mary Jane Patterson, manager of the Residential Energy Efficiency Program in Waterloo. "It's a Canadian program through and through. It's very accountable because of the (energy) evaluations. The grants are based on results" and the project is effective in reducing pollution, she said.
"People are stunned, they're asking, `Who can I write to in the government right now?'" she recounted.
The Conservatives say EnerGuide is being dropped because the cost of the audits was too high. Last year, audits in support of homeowners' energy renovation grants totalled $15.1 million out of the total $44.3 million cost of the program, Natural Resources officials said.
"We are going to ensure that every single Canadian taxpayer gets value for their money," Lunn said yesterday when asked in the Commons to justify the decision.
Contractors who performed the evaluations — which made homeowners eligible for grants covering part of the cost of recommended energy efficiency measures — received a terse email from Ottawa late Thursday announcing the impending end of EnerGuide.
Ottawa's decision may put pressure on the Liberal government in Ontario to step in and fund the EnerGuide project instead of the federal government. Quebec and New Brunswick have agreed to do so, according to federal officials.

 

[rbtaylor]

Cancellation of the program isn't all that bad. Most programs need a major restructuring after a decade. Goals and requirements change but the program often doesn't.

High energy prices have made high efficiency appliances and devices attractive without a tax credit or rebate required.


What is important is that the funding used for Energuide is pushed into a new program with modern goals that is not attractive at this time, but can be made attractive with additional incentives.


The energy that goes into manufacturing a widget is often far higher than the energy required to operate the widget over the rest of its lifetime.

Giving credits for purchasing high durability devices, when appropriate, makes sense. Starbucks mugs that get reused hundreds of times instead of disposable cups. Cars that last 7 years for the average family instead of 3 to 4.

 

[bizorky]

If they want to change a program, then alter its structure. To kill it outright and start a totally new program (if that is what they intend to do) is expensive and requires a long public campaign to inform citizens, other levels of government and businesses of its existence and its rules.

 

[cacruden]

People generally don't go out and renovate -- just to make their house more efficient (energy-wise). They do it because they want to change to look, or it has become a necessity.

For the FEW that would actually do that, they probably have sat down and worked out the math on it.

As far as energy efficient replacements -- that can be done through building codes, and not raising standards for new construction.

Programs that hand out subsidies, etc. like this are usually just abused. It reminds me of the research tax credit. I remember sitting down and CONVINCING a person from Revenue Canada (I think) that the company I worked for deserved the credit (honestly -- in my heart I did not believe that we did -- but I did not lie to him either -- just made it sound good). We did not invest money in research because that grant was there -- it was because it was there that we tried to get some of it.

 

[bizorky]

Having lived just long enough, I've come to understand that virtually any program can be abused. If the fear of abuse is a reason to do away with this program, then I suppose everything else should be done away with as well. Your anecdotal example is, at best, vague.

No, people don't renovate to make there house more energy efficient, but they can do so. More people can be encouraged to do so through subsidies. In the long run they will save money on their energy expenditures.

Building code improvements and raising standards for new construction can go hand in hand.

 

[Antiloop33rpm]

Aside from being a conservative (ie. anti-environment in my books) do you think the fact he if from ALTA has anything to do with this? Some big boys out there support him.

I dont know if EnerGuide was killed out of anti-environmentalism, or just to save money to pay for tax cuts. But the money for his bribe to Quebec has to come somewhere I suppose.

I dont think there is any doubt that Harper is an Alberta loyalist and that many of his policy decisions are made in the best interest of the province. The power that oil now has in the global economy is an awesome force and Harper is the perfect lap dog for Exxon, Shell, Haliburton and any other industry or group that relies on it. I expect more policy decisions that go against the interests of Canadians outside Alberta and for Canada to soon assume the title of worlds worst polluter. All because of some dirty sand.

I think its also worth remembering that Canada is a northern country. We can have rather tough winters and heating homes isnt just a comfort issue, as it is with air conditioning, it is fundamental to being able to live in this country. I havent seen the current (former) state of the renovation program that is (was) available to Canadians, but this kind of program is easily justifiable in our country. I actually prefer this kind of program which takes preventative measures and reduces energy costs, regardless of source, than just handing over tax rebates whenever the price of heating gets dodgy.

 

[bizorky]

It seems that Kyoto is about to become toast as well.

 

[Antiloop33rpm]

Any predictions on what they will do for the hat trick? My money is on dismantling VIA. Ah the Conservatives, I think I will join in their fun and go dump some gasoline in a lake and why throw out that old couch when I can just burn it in all its polyester glory.