April 21, 2010

The city of Phoenix, in partnership with Arizona State University and Arizona Public Service, has been awarded a $25 million federal grant from the U.S. Department of Energy and the American Recovery and Reinvestment Act (ARRA) to launch "Energize Phoenix," a project that will reduce electricity consumption, generate thousands of green jobs and transform neighborhoods.

Through an innovative strategy supported by a mix of public and private funding, Energize Phoenix is designed to create 1,900 to 2,700 new jobs, most of them "green" jobs. These will include residential and commercial construction jobs to install insulation and energy-efficient windows and equipment, including air conditioning and water heaters, to help customers reduce and improve their energy usage.

These resources will be used to achieve specific goals, including shrinking home energy consumption by 30 percent; reducing commercial energy use by 18 percent; eliminating carbon emissions by 50,000 metric tons per year; retrofitting 3,500 homes and 30 million square feet of office and industrial space for greater energy efficiency; and advancing energy efficiency as the option of choice for the local community.

"My focus on working with Washington and the Administration continues to pay dividends to our residents. This game-changing grant will create more than 2,000 jobs, save our residents money, and help the environment," said Mayor Phil Gordon.

"ASU's strengths in sustainability and renewable energy span the gamut from cutting-edge theoretical research, such as our project to create jet fuel from algae to on-the-ground, transformative projects such as Energize Phoenix," said ASU President Michael M. Crow. "It is another example of the great public benefit that has derived from the partnership of ASU with the city of Phoenix."

The Energize Phoenix federal grant will be used to transform a 10-mile stretch of the light rail line into a Green Rail Corridor that will be a model of energy efficiency and sustainability. The corridor spans from Central Avenue and Camelback Road to 44th and Washington streets, and includes diverse neighborhoods, commercial businesses, and public institutions and offices. Much of the area, however, has aging homes and commercial buildings, and a large percentage of the households are below the poverty line.

"This grant award recognizes our city's more than 30-year commitment to energy conservation and our dedication to growing our future by strengthening our green-energy economy. The combination of new jobs, energy savings and use of cutting-edge technology puts Phoenix on the right road toward our next economic growth cycle," said Councilwoman Peggy Neely, chairwoman of the City Council Transportation, Infrastructure and Sustainability Subcommittee.

The grant will be used as seed funding to establish a fiscally viable, permanent program that eventually will be expanded throughout the city. Locally, these funds will be leveraged by at least $190 million of additional funding from a combination of banks, local businesses and public partners.

"We are supportive of efforts that help create a more sustainable energy future. The Energize Phoenix project will provide cost-effective energy efficiency upgrades for a large percentage of residential, commercial and public buildings along the Green Rail Corridor. It also includes deployment of smart meter technology that will give customers more control of their energy usage than they have ever had. We are eager to see the benefits the Energize Phoenix project will provide to APS customers in the Green Rail Corridor," said Don Robinson, APS president and chief operating officer.

In addition to creating thousands of local jobs, building the Green Rail Corridor will establish novel financial mechanisms to spur energy-efficient investments and cut monthly energy costs for households and businesses there. At the same time, it will reduce harmful carbon emissions and improve residential and commercial buildings through energy-efficient upgrades and weatherization. Most important, the project will instill a sense of pride in the community and create a model of energy efficiency and long-term sustainability adaptable to major cities across the country.

• Proposed Phoenix Green Rail Corridor Map

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