HUD SECRETARY DONOVAN HIGHLIGHTS $200 MILLION IN RECOVERY ACT FUNDS TO STIMULATE TRANSITION TO SMART GRIDS IN BALTIMORE
Grants will create jobs and save Baltimore customers $2.6 billion when fully implemented

WASHINGTON - Following President Obama's announcement of nearly $3.4 billion in funds for the largest single
energy grid modernization investment in U.S. history, U.S. Department of Housing and Urban Development (HUD) Secretary Shaun Donovan today highlighted HUD's clean energy plans to create jobs and save American taxpayers money at Baltimore Gas and Electric (BGE) in Baltimore, Md.

Earlier this week, BGE was one of 100 private companies to receive grant awards under the American Recovery and Reinvestment Act of 2009 to promote energy-savings for consumers, increase efficiency, and foster the growth of renewable energy sources like wind and solar. The company was awarded $200 million to install two-million
residential and commercial smart meters that will lead to reducing peak electricity usage by as much as one-third
and save customers approximately $2.6 billion when the system is completely implemented.

"We are proud to promote the great work that Baltimore Gas and Electric is doing to create jobs while promoting energy efficiency and clean energy," said Donovan. "BGE's creation of a successful smart grid pilot program, which received the grant award, is the type of commitment needed to transform our nation's energy consumption."

In addition to the Obama Administration's plans to spur the nation's transition to a smarter, more reliable electric system, HUD is also promoting components of its contribution to a clean energy economy that creates jobs and is capable of generating $1 billion in savings for taxpayers over the next half-decade. HUD's proposed Energy
Innovation Fund which is designed to provide financing to stimulate the development of residential energy-efficient retrofit standards is being positioned to lead to an Energy Efficient Mortgage product for homeowners that may provide incentives to offset or reduce mortgage insurance premiums when the homeowner invests in clean energy improvements. HUD also is encouraging all federally-assisted housing to bring clean energy elements to its properties through Recovery Act programs including a $250 million program for assisted housing and $600 million in Capital Fund competitive grants.

The Recovery Act includes $13.61 billion for projects and programs administered by HUD, nearly 75 percent of which was allocated to state and local recipients only eight days after President Obama signed the Act into law. The remaining 25 percent of funds are currently being awarded through an ongoing competitive grant process. HUD is committed to implementing Recovery Act investments swiftly and effectively as they generate tens of thousands
of jobs, modernize homes to make them energy efficient, and help the families and communities hardest hit by the economic crisis.

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HUD is the nation's housing agency committed to sustaining homeownership; creating affordable housing opportunities for low-income Americans; and supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development and enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet and espanol.hud.gov.