Portland, Maine, to bulk-purchase clean energy equipment in electrification push

Dive Brief:

The city of Portland, Maine, will use a bulk purchasing program to offer lower-cost solar panels, heat pumps and electric vehicle chargers for homeowners and businesses as part of an initiative to lessen fossil fuel use.
The recently announced “Electrify Everything” campaign is part of the city’s goal to reduce community-wide greenhouse gas emissions 80% by 2050. According to Portland Sustainability Coordinator Troy Moon, buildings account for 60% of emissions in the city, with vehicles accounting for another 30%.
Through the voluntary campaign, Portland will provide information to residents on technology options, financing programs and rebates, as well as offering discounted pricing through bulk purchases. “We want to have something for everybody,” Moon said.

Dive Insight:

As cities ramp up their climate change mitigation goals, many are targeting the building sector as a prime opportunity. In New York City, for example, buildings account for more than 70% of greenhouse gas emissions; the figure is nearly 80% in St. Louis and 70% in Chicago. A 2020 report from the American Council for an Energy-Efficient Economy found that if cities nationwide applied building codes that required certain upgrades to appliances, heating and cooling systems, lighting and weatherization to just two-thirds of existing buildings, carbon emissions would drop by 11% compared to the base case. That reduction would be the equivalent of more than the total emissions from buildings, power plants and vehicles in New York state.

Some cities have used regulations and mandates to electrify buildings and remove fossil fuel infrastructure. Cities like Berkeley, San Jose, Oakland and San Francisco have all banned natural gas infrastructure in new buildings. Portland’s “Electrify Everything,” however, focuses more on voluntary measures by encouraging residents and businesses to purchase and install the technology, especially on existing buildings. Moon said the program is designed to help residents who are already interested in making carbon reductions, but may not have the financial or technical support to take that step.

“Our goal is to expand clean energy and electrify the city, which go hand in hand,” Moon said. “A lot of people want to take these steps, but they can seem overwhelming. We want a one-stop shop opportunity that can take the burden off the residents.”

The voluntary strategy is one that can be effective, said Missy Stults, director of the Office of Sustainability & Innovations for the city of Ann Arbor, Michigan. The city’s A2Zero sustainability plan has a mix of mandates (for example, energy use benchmarking for multi-family and rental homes) and incentives and educational tools to encourage the purchase of energy-efficient equipment. Stults said the two-pronged approach has helped move residents to adopt cleaner technology and get behind the overall effort.

“Every single individual in our community isn’t going to solve this problem on their own,” Stults said. “We can help individuals disrupt the system and be part of the movement to build a clean energy future.”

The bulk purchasing concept being adopted in Portland is an attempt to use the economies of scale to lower the unit price of electric vehicles and other equipment. It’s similar to the community-based "solarize" programs, which see neighborhoods or groups of homes bulk purchase solar equipment to bring clean energy to new homes. The bulk purchases are especially helpful for low-income households and small businesses, who may lack the up-front capital to buy or install new equipment, said Jenna Tatum, director of the Building Electrification Institute. City-led community electrification efforts have proven effective, Tatum said, especially in reaching minority and historically underserved communities.

“An equitable transition is essential not just because it’s the right thing to do, but because we can’t truly have an energy transition if we’re leaving half the population behind,” Tatum said. “If we don’t think about electrifying buildings in a way that is conscious of affordability, there are a lot of potential downsides.”

Portland last week issued a request for proposals to energy efficiency providers and solar partners soliciting discounted pricing for equipment like solar panels, heat pumps and electric vehicle chargers. Moon said the city’s aim is to make the lofty sustainability and climate goals accessible to citizens and build a bottom-up approach that includes all communities.

“We want customers to participate in at least one element,” Moon said. “If someone wants to decarbonize 100%, that’s great. But we know most people want help just taking the first step.”