22 May 2008
Technology and business innovations combat high energy costs

Washington -- High energy costs in the last five years have been a catalyst for energy-saving innovation in America. Innovation and energy-conserving habits of Americans have reversed the growth in U.S. energy consumption.
Between 2005 and 2006, according to the Department of Energy’s “Renewable Energy Consumption and Electricity Preliminary 2006 Statistics,” “total [U.S.] renewable energy consumption increased 7 percent. In contrast, total U.S. energy consumption in that period declined 1 percent, mainly due to decreased consumption of fossil fuels.” In layman’s terms -- Americans have started to use less energy, especially from nonrenewable sources.
The drive to conserve energy is evident in all walks of American life. From the cars they drive, to the homes they live in, to the buildings they work and shop in, Americans are finding innovative ways to conserve energy.
IF YOU HAVE TO DRIVE
The advent of high gas prices has spurred innovation in the U.S. car market. Toyota Prius started a trend of hybrid vehicles, which have double the fuel efficiency of the average car on the market. Currently, hybrids are offered by virtually all the major car companies in the United States. In addition, car manufacturers are pouring more money into research and design of fuel-efficient cars. (See “U.S. Automakers Follow Different Paths to Advanced Vehicles.”)
There are other innovations that currently are being implemented, such as the use of ethanol (a renewable fuel), and innovations that are still being developed, such as making cars from ultralight materials. There are also innovations in the use of cars: companies such as Zipcar, through car sharing, have allowed many people in American cities to live without cars while still enjoying the benefits of using a car. (See "Reinventing the Wheels: The Automotive Efficiency Revolution" and “Car-Sharing Business Grows Quickly in U.S. Cities.”)
The face of American cities also has begun to change. More people are using public transportation and choosing to live in locations were mass transit is easily accessible. According to the New York Times, “Americans took 10.3 billion trips on public transportation last year, up 2.1 percent from 2006. Transit managers are predicting growth of 5 percent or more this year, the largest increase in at least a decade.”
Americans are traveling more by bus and train, and using more efficient cars. In fact, according to the Department of Energy, U.S. consumption of liquid fuels including gasoline will decrease in 2008 for the first time since 1991. It will decrease even more if you account for the increased use of ethanol which is a renewable source of energy.
BUILDING GREEN
Buildings in which Americans live, work and shop have been undergoing a similar transformation as a result of innovative practices aimed at mitigating high energy costs. The American home has become more energy efficient with the use of measures such as improved construction materials and double-paned windows. Green roofs, which help reduce energy costs and pollution, have sprouted up in many U.S. cities. (See “’Green’ Houses Gain Popularity Among U.S. Builders, Consumers” and “Architects Look to Nature and Each Other.”)
American businesses also have begun to implement environmentally sound technologies that both save money and help the environment. An increasing number of American buildings have been nominated for the coveted Leadership in Energy and Environmental Design (LEED) certification, which recognizes both new and existing buildings that meet stringent environmental standards. In all, American architects have used innovative methods to make buildings more environmentally friendly and energy efficient. (See “U.S. Companies Embrace Green Technology” and “Merchandise Mart Sets 'Green' Standard for Existing Buildings.”)
High energy costs certainly have accelerated the American drive for energy efficiency. Both the federal government and individual states like California have acted to promote environmentally friendly innovation. The Bush administration has set ambitious goals, such as increasing the use of renewable fuels by 500 percent by 2022. (See “States and Communities Go Green” and “Investment in Renewable and Alternative Energy Technologies.”)
But in the end, making America less dependent on expensive, nonrenewable energy will be determined not only by government policies, but also by the ability of American business and technology innovators to offer new solutions to today’s energy needs.
See also: Energy and Climate