Energy Costs

U.S. industry consumes more than one-third of the energy used nationwide, according to federal government data. That statistic is sobering, but it also represents an opportunity for industry innovation and leadership. We must plan for the future with forward-thinking approaches to energy sourcing and savings. When industry makes even relatively small strides toward energy efficiency, the results are significant. At large companies, shutting off computers when they aren't in use can reduce annual carbon footprints by tens of thousands of metric tons.

WASHINGTON -- U.S. consumer prices rose in June at the slowest pace in seven months as energy prices posted the largest monthly decline in five years, the Labor Department said yesterday.The smaller-than-expected 0.1 percent increase in the consumer price index, down from a 0.3 percent increase in May, suggests that Federal Reserve policy-makers, who left interest rates unchanged at a policy meeting two weeks ago, might do the same when they next meet Aug. 20, some observers said."We have an economy that's well-balanced and performing at a very satisfactory pace," said Lynn Reaser, chief economist at Barnett Banks in Jacksonville, Fla.In most cases, the Fed prefers to move on bad inflation news rather than good economic reports.

Oil prices hit a record high yesterday as Middle East violence and a political showdown in Russia cast more doubt over supply, raising concerns that energy costs might continue to rock the wobbly U.S. economy. Oil rose 70 cents, to $45.50 a barrel, on the New York Mercantile Exchange. It was the highest closing price since oil futures contracts began trading in 1983. Before the close, the price reached $45.75. Oil prices have set intraday trading records every day except one since July 30. High oil prices act like a tax on the economy, diverting consumer spending from other purchases.

The Baltimore County government expects to announce in coming weeks the sale of 18 acres in Essex to a developer who would build housing for senior citizens and low-income families, a government spokesman said yesterday. The county has been trying to sell the land for nearly two years as part of the planned redevelopment of Kingsley Park, a formerly crime-ridden apartment complex at Old Eastern Avenue and Back River Neck Road. Donald I. Mohler, a spokesman for County Executive James T. Smith Jr., said officials are close to a deal with a well-known developer, whom he did not identify, and hope to announce an agreement in the next four to eight weeks.

The University of Maryland is considering a proposal to raise student fees by $15 a year to cover rising energy costs in the aftermath of hurricanes Rita and Katrina. The increase would be on top of a $70 increase approved by a committee made up of College Park students and administrators. In total, the current $1,255 in annual student fees would increase by $85 next fall, according to Cassandra Robinson, a university spokeswoman. The fees, which are in addition to tuition, cover recreational activities.

Assessments take big leap Assessments mailed to a third of Maryland property owners boosted values an average of 20 percent, the biggest jump since the current system was established in 1980. Ravens' Billick to return in 2006 Ravens owner Steve Bisciotti announced that Brian Billick will return as the team's coach next season after consecutive underachieving seasons. City schools reach energy deal Baltimore school officials are signing contracts for upgrades in dozens of school buildings that could save millions in energy costs -- enough money, they say, to pay for the energy-efficient upgrades.

Power prices add to economic woes Economist Lester B. Lave is quoted in "Customers howl as utility bills skyrocket" (Feb. 24) lamenting that utility prices have become a political situation: "When the price of lettuce goes up, we don't demand an investigation," he says. This must be one of the most absurd things I have ever heard. How can one compare a few cents' increase in the price of lettuce to a rise of a few hundred dollars in energy costs? Baltimore Gas and Electric's excuses for rising prices are just as absurd.

In Jay Hancock's article, "Lack of climate change bill killed new nuclear reactor" (October 10), he concludes that now, more than ever, large, expensive interstate transmission lines, particularly PATH and TrAIL, are needed for electricity. This is a faulty conclusion. The same reasoning that made Calvert Cliffs 3 illogical works against PATH and TrAIL — there are more viable alternatives economically and environmentally. First and foremost is energy efficiency and demand response.

WASHINGTON -- Hurricanes Katrina and Rita cut a swath of destruction through the national economy last month, with surging energy costs pushing consumer prices to their highest monthly rise in 25 years, the government said in a flurry of economic statistics yesterday. Other data also weren't pretty, with industrial production dropping to its lowest level in 23 years and a measure of consumer confidence hitting a 13-year low. Retail sales also were relatively weak, and a measure of worker earnings took its worst drop in nearly a decade.

Dozens of Baltimore schools are slated to receive new heating, lighting and other energy-efficient upgrades under a deal that school officials say will pay for itself. The system will use the money it saves in energy costs to pay for the upgrades - estimated at $25 million for an initial batch of 76 schools plus administrative headquarters on North Avenue. The savings will also cover interest on a loan and $727,874 in fees paid to energy savings companies implementing the project. System officials are promoting the project as a creative way to make desperately needed repairs despite limited funding for school construction.