Preston has hope for energy retrofit program
February 03, 2012

By NICK LYPACZEWSKI TIMES-JOURNAL

Natural Resources minister Joe Oliver closed the ecoENERGY Retrofit-Homes program last Sunday but Elgin-Middlesex-London Tory MP Joe Preston says it will likely be back sooner or later.

"Let me be clear, I have no crystal ball...(but) programs like this are very successful and if we can afford to do it, we should do it," he said from Ottawa Thursday.

"We will hopefully bring it or something like it back forward in the future....It's a program that I would like -- that I think -- going forward we will continue some version of it."

The ecoENERGY program provides government grants to low-rise property owners with building elements that result in significant energy savings. It started in April 2007 and was originally scheduled to end March 2011. As part of the federal government's 2011 budget, however, it was renewed until March 2012. The average grant per property was about $1,400.

The federal government ended the program before March because participants reached the maximum 250,000 point. Prime Minister Stephen Harper's government committed $400 million to the project in 2011 but industry estimates peg the total grant payout at about $200 million.

But Preston says the decision to nix the program after reaching their participation maximum without an extension was one-part fiscal and one-part emotional.

"From a fiscal responsibility point of view, we have to know ... that we're going to spend the right money in the right years and know about how much it is going to be."

"But most governments have learned: if you just leave something in place -- even if it's extremely popular -- people knowing that there's no deadline just allows them to procrastinate."

As for the left-over funds, Preston says that will hopefully cover the 250,000 registrants' grants. But if there's anything after that, Preston says he has a suggestion.

"If there's money left over, I know what we should do with it: give it back to the taxpayers or leave it in a program that works like this one," he said.

Preston reiterates the program was extremely popular. Even regionally he says his constituency office fielded calls from interested residents almost every day since it began in 2007.

"A lot of people who got to really know that the program, that it was there and was working," he adds.

Some members of the building community, however, said axing the program is illogical including Jeff Murdock, Vancouver energy audit company Building Insight Technologies vice-president.

"With the Harper government focused on creating jobs and securing Canada's energy future, we are surprised that Minister Oliver closed such a successful program early," he said.

"We are shocked that the federal government is cutting back its investment in job-creating and energy saving retrofits at a time of global economic, environmental and energy uncertainty."

A news release from Building Insight says the home retrofit program is a low-tax job creation system which generates $2 in tax revenue for every $1 the government invests in grants.

It also cites a Ontario Real Estate Association survey in which 92% of Ontario homeowners think government should create more incentives for homeowners to be more environmentally friendly and energy efficient.

While he couldn't confirm the numbers, Preston says it's true the program did spur jobs and tax revenue but that's not uncommon for numerous government programs. He adds making homes energy efficient shouldn't be motivated by government grants.

"The incentive out there shouldn't be based on the fact that the government's offering funds to do it. It should be based on the fact that I can make my home more energy efficient and therefore save money," he said.

"We found many households were moving forward to do this anyway and took advantage of a government program that existed but I'm not suggesting that people will quit making their homes energy efficient...just because this (program) isn't there."