The U.S. potentially could reduce non-transportation energy consumption by 23% by 2020 and greenhouse gases by 1.1 gigatons annually, but this goal is achievable only if significant barriers are addressed and overcome, says a new report from McKinsey & Co. These barriers include $520 billion in needed up-front investment and a fragmented network of buildings, devices, building codes and other requirements.
The potential for reducing energy consumption in the U.S. is huge, but coordinated national and regional strategies are needed to unlock the existing potential, says the New York City-based management consulting firm in its July 29 report. “Energy efficiency should be elevated to a national priority,” says Kenneth Ostrowski, McKinsey senior partner. “Significant and persistent barriers will need to be addressed at multiple levels to stimulate demand for energy efficiency and manage its delivery across more than 100 million buildings and literally billions of devices.”