PSC: Clean energy naysayers have it wrong

From a letter to the Wisconsin legislature from Public Service Commission (PSC) Chair Eric Callisto:

Yesterday [March 12, 2010], several interest groups wrote legislators urging opposition to the Clean Energy Jobs Act. The groups warned that the cost of renewable energy standards and enhanced energy efficiency programs would be “enonnous” and the benefits only “nominal.” Once again, the clean energy naysayers have it wrong. Enhanced renewable portfolio standards and increasing our efforts in energy efficiency reduce our dependence on imported energy, keep more of our energy dollars here at home, and help to ensure that Wisconsin and our country is competitive in the global energy economy.

You should know that the memo from clean energy opponents includes some key factual errors.

In particular, it claims that enhanced energy efficiency programs will add $700 million in new costs for consumers, citing a report by the Energy Center of Wisconsin (ECW). In reality, we will save money on our energy bills the IOOre we do on energy efficiency. It is common sense — the less energy we consume, the less we pay on our utility bills.

As for the ECW report, what it actually concludes is that Wisconsin consumers will save $900 million per year in energy costs if we invest between $350 and $400 million in energy efficiency programs; and if we invest roughly $700 million in energy efficiency. Wisconsin consumers will save $2 billion per year in energy costs. . . . Incidentally, ECW also found that enhancing our energy efficiency programs would support between 7000 and 9000 new jobs. The bottom line is that if we don’t invest in energy efficiency, we will be spending significantly more on new generation.

The memo also claims that meeting a 25 percent renewable portfolio standard will add more than $15 billion in extra costs for consumers. Increasing our renewable energy portfolio can reduce Wisconsin energy costs in the long run, particularly when implemented alongside enhanced energy efficiency programs – as the Clean Energy Jobs Act envisions. The enclosed, recent Public Service Commission analysis, confirms that.

PSC: Clean energy naysayers have it wrong

From a letter to the Wisconsin legislature from Public Service Commission (PSC) Chair Eric Callisto:

Yesterday [March 12, 2010], several interest groups wrote legislators urging opposition to the Clean Energy Jobs Act. The groups warned that the cost of renewable energy standards and enhanced energy efficiency programs would be “enonnous” and the benefits only “nominal.” Once again, the clean energy naysayers have it wrong. Enhanced renewable portfolio standards and increasing our efforts in energy efficiency reduce our dependence on imported energy, keep more of our energy dollars here at home, and help to ensure that Wisconsin and our country is competitive in the global energy economy.

You should know that the memo from clean energy opponents includes some key factual errors.

In particular, it claims that enhanced energy efficiency programs will add $700 million in new costs for consumers, citing a report by the Energy Center of Wisconsin (ECW). In reality, we will save money on our energy bills the IOOre we do on energy efficiency. It is common sense — the less energy we consume, the less we pay on our utility bills.

As for the ECW report, what it actually concludes is that Wisconsin consumers will save $900 million per year in energy costs if we invest between $350 and $400 million in energy efficiency programs; and if we invest roughly $700 million in energy efficiency. Wisconsin consumers will save $2 billion per year in energy costs. . . . Incidentally, ECW also found that enhancing our energy efficiency programs would support between 7000 and 9000 new jobs. The
bottom line is that if we don’t invest in energy efficiency, we will be spending significantly more on new generation.

The memo also claims that meeting a 25 percent renewable portfolio standard will add more than $15 billion in extra costs for consumers. Increasing our renewable energy portfolio can reduce Wisconsin energy costs in the long run, particularly when implemented alongside enhanced energy efficiency programs – as the Clean Energy Jobs Act envisions. The enclosed, recent Public Service Commission analysis, confirms that.

Lake Geneva company could grow with passage of Clean Energy Jobs Act

From an article by Kayla Bunge in the Janesville Gazette:

LAKE GENEVA — John Kivlin despises the word “sustainability” for all the political and social stereotypes it stirs up.

But he can find few other words that accurately describe his philosophy on renewable energy and its ability to create local jobs and fuel the state economy, he said.

“(Investing in renewable energy) is sort of like buying locally,” he said. “You buy food from the producer, and you keep that cash here. This is the same. You produce the energy here and you keep the jobs and money here.”

Kivlin and his Lake Geneva-based company, Convergence Energy, a solar energy design and installation company, are poised to reap the benefits of the growing popularity of renewable energy among consumers, businesses and utilities.

“We’re buying almost all of our energy from out-of-state sources at best and from countries that really don’t like us, like Venezuela and Saudi Arabia, at worst,” he said. “The more that we can wean ourselves off that and become self-sufficient, the better. We’ll keep cash in the state, and it can be reinvested to create more jobs, and we’ll reduce the amount of carbon that’s emitted at the same time.”

Convergence Energy designs, integrates and installs solar electric, solar hot water and geothermal systems in homes and small businesses. The company also is starting a solar farm so consumers who can’t afford a solar energy system can invest in renewable energy and make money off the power sold to the electric company.

Kivlin said the company has installed systems at dozens of homes and businesses since it started in 2008. But he said the company stands to grow as more people look to renewable energy as a way to reduce their energy costs and their carbon footprint and if the proposed Clean Energy Jobs Act takes hold in the state.

The legislation calls for state-regulated utilities to increase to 25 percent by 2025 the amount of energy they get from renewable energy sources. The bill also calls for the state to reduce energy consumption.

The proposal could create 15,000 jobs in Wisconsin by 2025.

Opponents of the legislation say utilities will have to invest billions of dollars in renewable energy to comply with the aggressive mandates. Supporters say the state stands to lose billions of dollars if it continues to rely on coal.

Kivlin said the Clean Energy Jobs Act is forcing demand among utilities and fuels interest among homeowners and business owners.

“It’s driving more businesses like mine to start up and create jobs,” he said. “This could grow the industry in the state and the nation. The seeds are planted.”

Businesses support Clean Energy Jobs Act

From a commentary by Guy Selsmeyer, president of Northern Biogas, in the Wausau Daily Herald:

One sector of the Wisconsin economy, renewable energy, continues to create jobs, despite the economic recession. Already this year, three new businesses in renewable energy manufacturing have made headlines, creating nearly 1,000 manufacturing jobs in Wisconsin in the next few years.

It is therefore perplexing that we continue to hear claims from certain interest groups that policies encouraging renewable energy generation will eliminate jobs in Wisconsin. Renewable energy business see firsthand the potential for new job creation in the renewable energy industry.

Northern Biogas provides design and construction services for anaerobic digestion. Along with various other benefits, anaerobic digesters produce energy from local, organic resources such as livestock manure. Wisconsin spends $16 billion annually to import fossil fuels such as coal, oil, and natural gas from out-of-state.

Fortunately, our state has an abundance of natural resources, such as woody biomass, solar, wind, and livestock manure, in addition to other energy sources such a food processing waste and landfill gas. Unlike traditional energy sources plagued with volatile fuel prices, there are no fuel costs associated with wind and solar, while biomass and biogas use locally produced fuel with no or low costs.

Stable energy prices create certainty for utilities and consumers and provide security against unpredictable fuel cost increases.

The Clean Energy Jobs Act is a smart policy that will improve our economy and make us more competitive. An Enhanced Renewable Portfolio Standard (E-RPS), providing for 25 percent of our electricity from renewable energy resources by 2025, will keep us on pace with neighboring states.

PSC Chair: Clean Energy Jobs Act always cheaper than status quo

From a letter by PSC Chair Eric Callisto to the special committees on clean energy jobs:

. . . [W]hat follows is a summary of preliminary PSC cost modeling of the RPS and energy efficiency components of the CEJA. . . .

The modeling shows that in every case in which GHGs are monetized (i.e., there is a compliance cost associated with emitting GHGs), the cost of the CEJA is less than the cost of the status quo over the long run. That is, we will in all likelihood be spending more on electricity in the long run if we don’t act now and enact enhanced renewable portfolio standards and take more aggressive action on energy efficiency. . . . (Note: emphasis in original letter)

Table 4 (Note: Tables 1 – 3 were deleted for this summary) shows the forecasted impact of the proposed legislation on monthly electricity bills for an average residential customer. As in previous tables, these values show the incremental impact of the CEJA compared to the Status Quo. For example, the table indicates that monthly bills will be $1.08 lower under CEJA than under the Status Quo if GHG emissions cost $10/ton. Monthly bill impacts were not calculated for commercial and industrial customers because bills in those customer classes vary more widely than residential bills. . . .