by jboullion | Apr 16, 2010 | Uncategorized
A commentary by Michael Vickerman, executive director of RENEW Wisconsin:
Immediate release
April 15, 2010
More information
Michael Vickerman
RENEW Wisconsin
608.255.4044
mvickerman@renewwisconsin.org
Statement of Michael Vickerman
Executive Director – RENEW Wisconsin
Legislators Fire Duds at Clean Energy Jobs Act
In an April 13 statement, Reps. Mike Huebsch (R-West Salem), Phil Montgomery (R-Green Bay), and Scott Gunderson (R-Waterford) contend that the substitute amendment for the Clean Energy Jobs Act, released earlier this week, will drive up electric rates across Wisconsin. As ammunition for their argument, the representatives point to recent requests in Iowa to raise electric rates, which they attribute to the state’s renewable energy policy.
The argument advanced by these three lawmakers is truly absurd, given the facts of the situation. In the first place, Iowa’s Alternative Energy Production (AEP) law, which dates from 1983, requires the state’s two largest electric utilities to add a mere 105 megawatts (MW) of generating capacity between them. By 1997, both utilities had achieved full compliance with that law. That mandate has not been increased or modified since that time.
Fast forward to April 2010. Windpower capacity alone in Iowa now totals 3,670 MW, and the Hawkeye State is now the second largest producer of wind-generated electricity in the nation behind Texas. According to the Iowa Policy Project, windpower accounted for 14% of the state’s electric output in 2009. Additional information on windpower development in Iowa can be accessed here.
The vast majority of Iowa’s windpower capacity was built for reasons other than complying with the state’s renewable energy policy. Iowa utilities invested in windpower because it is the lowest cost generation option available to them. Here’s what MidAmerican Energy Company, Iowa’s largest investor-owned utility, says about its windpower assets.
MidAmerican began building wind turbines in 2004 and has made the investment without raising customers’ electric rates. The price of electricity per kilowatt-hour … for MidAmerican customers is lower today than it was in 1995, and the company has committed to not seek an electric rate increase to become effective until 2014, which is nearly 20 years without a rate increase.
Given MidAmerican’s experience with windpower, it is clear that the allegation from Reps. Huebsch, Montgomery and Gunderson was spun without any apparent connection to reality. The proper place to file a claim this ludicrous is in a manure digester, where it can be broken down into usable energy.
It’s worth pointing out that a significant percentage of Iowa’s wind capacity serves Wisconsin utilities, among them Madison Gas & Electric (MGE), which owns the 30 MW Top of Iowa 3 installation and purchases additional supplies of wind-generated electricity from independently owned facilities there. These facilities were constructed after 2006, the year Wisconsin’s current renewable energy standard was enacted. Yet MGE’s residential ratepayers have seen annual rate increases of only 1.5% in the last four years. Compared with other expenses, such as college tuition, health insurance premiums, and vehicle registration fees, electricity cost increases have barely been noticeable.
Windpower’s rapid growth in the Upper Midwest has also contributed to the reduction of fossil fuel consumption, resulting in lower natural gas prices. That benefit is passed through directly to Wisconsin energy users in the form of lower heating bills. Indeed, over the last 12 months, overall energy costs declined measurably for most Wisconsin households and businesses, thanks to the prolonged slump in natural gas prices.
There is no surer way to control energy bills than to reduce the state’s reliance on imported fossil fuels through increased conservation and substituting renewable resources wherever practical. The choice before the Legislature is clear cut and momentous. Either it can embrace a 15-year commitment to invigorate the state’s economy through sustained investment in clean energy or it can decide to coast along on current energy policies until they lapse several years from now and lose their force and effect.
We at RENEW believe the Clean Energy Jobs Act will propel the clean energy marketplace into an economic powerhouse that will generate jobs and help Wisconsin businesses remain competitive. We strongly support the passage of the Clean Energy Jobs Act bill as amended.
–END–
RENEW Wisconsin is an independent, nonprofit 501(c)(3) organization that acts as a catalyst to advance a sustainable energy future through public policy and private sector initiatives. More information on RENEW’s Web site at www.renewwisconsin.org.
by jboullion | Apr 16, 2010 | Uncategorized
From a guest column by Wisconsin Ag Secretary Rod Nilsestuen in The Tomah Journal:
Legislators recently announced a substitute amendment to the Clean Energy Jobs Act that will bring down consumer costs, create more than 16,000 jobs in the state and position Wisconsin to continue its leading role in clean energy production. Through the Clean Energy Jobs Act, we will create clean energy that works for Wisconsin and is made in Wisconsin. Our state does not pump a barrel of oil. We don’t have coal deposits or natural gas. Our energy costs n which amount to one out of every 10 dollars generated in Wisconsin n mean we send about $16 billion a year out of our state to pay for fuel and electricity.
Passing the Clean Energy Jobs Act is an enormous opportunity to reduce our dependence on foreign fuels and make sure Wisconsin doesn’t lose out on this chance to create clean energy jobs to countries like China. The world is moving rapidly in this direction, and Wisconsin is well-positioned to capture a significant share of the growing clean energy market.
Especially when it comes to agriculture.
A key component of the recently announced substitute amendment to the Clean Energy Jobs Act is incentives for the development of small-scale renewable energy projects, with a preference for manure digesters. Under the revised bill, $25 million in grants and loans will now be available per year for four years through an expanded Focus on Energy Program. That is a big step forward for rural Wisconsin.
by jboullion | Apr 16, 2010 | Uncategorized
From an article in the Milwaukee Journal Sentinel by Tom Content:
A stripped-down version of a bill to control carbon emissions was introduced by lawmakers on Tuesday, a measure that would sharply increase the use of renewable energy and open the door to new nuclear reactors in Wisconsin.
The revisions were drafted in response to concerns of business groups and politicians who said the original bill was too unwieldy, controversial and, potentially, costly.
Supporters said their changes will answer many of those concerns, and in a statement, Gov. Jim Doyle termed the revised bill “a good compromise that will bring down consumer costs.”
“Wisconsin is a manufacturing state, and we can’t afford to lose this opportunity to become a leader in solar and wind manufacturing to other states and countries like China,” Doyle said.
By increasing renewable power and weaning Wisconsin’s reliance on out-of-state coal and natural gas, supporters aim to boost green jobs and the economy while cutting emissions of carbon dioxide. The state now spends $16 billion a year on fossil fuels imported to make electricity.
The bill, years in the making, joins a heavy legislative docket awaiting consideration before the end of the session on April 22. Assembly Speaker Mike Sheridan (D-Janesville) indicated legislators are still working on the bill.
“We’re working to hopefully come together on a package,” he said. . . .
Republican opponents issued a statement saying that a survey of investor-owned utilities shows that compliance costs with the proposed regulations would exceed $15 billion.
They also complained lawmakers will not have adequate time to digest the 150-page legislation and demanded another public hearing.
“There will be little time to review this complicated piece of legislation before a vote is taken,” said Rep. Jim Ott (R-Mequon). “There will be no way most legislators will be able to fully absorb the content of a 150-page bill that was drafted in secret.”
Noting that electricity rates are rising in Iowa and Minnesota to pay for more wind power, Rep. Mike Huebsch, (R-West Salem), said, “Why we should going down the path to higher energy costs is beyond me.” [See RENEW Wisconsin’s response.]
No more hearings
A key sponsor, Rep. Spencer Black (D-Madison) called such talk “ideological rhetoric.” He said the bill wouldn’t get another hearing, but that lawmakers would have enough time to review it.
Also, a group that includes Milwaukee-based We Energies and renewable energy and energy efficiency firms such as Glendale-based Johnson Controls Inc., said Tuesday it was pleased with the modifications.
“It appears that this new legislation has taken into account many of the concerns over the cost and implementation of provisions in the original Clean Energy Jobs Act,” said Thad Nation, executive director of Clean Responsible Energy for Wisconsin’s Economy.
Roy Thilly, president and CEO of utility company WPPI Energy in Sun Prairie and co-chair of the state global warming task force, said the initial bill represented the full recommendations of the panel and that the revised bill underscores the dramatic change in the state’s economy since the task force wrapped up its work two years ago.
“They’ve done a really good job listening to what everybody said and they’ve made any number of changes,” he said of the bill’s authors. “It’s their bill now. They made some very substantial changes and fixed a number of problems that were identified.”
Environmental groups praised the compromise, saying it retained provisions that would boost energy efficiency, expand renewable energy and create jobs.
“On balance, if it’s passed we will be on a good track for the next 15 years,” said Michael Vickerman, executive director of Renew Wisconsin, a renewable-energy advocacy group. “Right now I’m seeing the signs of deceleration in Wisconsin’s renewable energy marketplace.”
by jboullion | Apr 15, 2010 | Uncategorized
From a news release issued by the Advocates for Renewable Energy, a coalition of organizations, including RENEW Wisconsin:
Act Will Save Wisconsin Utility Customers at Least $1.2 Billion
The Public Service Commission (PSC) released a study today finding that the Clean Energy Jobs Act substitute amendment will save Wisconsin electricity customers at least $1.2 billion over the next 15 years, and could save Wisconsin electricity customers up to $6.4 billion over that period, compared to the business as usual approach. The study is based on the energy cost savings of provisions included in the Clean Energy Jobs Act substitute amendment released on Wednesday.
“The PSC study confirms that the Clean Energy Jobs Act will save Wisconsin residents and businesses money,” said Vicky Lipinski of Procorp Enterprises, a water and wastewater treatment solution company in Milwaukee. “Sustainable energy solutions reduce costs for businesses and allow them to be more competitive and create jobs.”
The study finds that average customer electricity bills will be lower in 2015 and 2020 under all scenarios with the Clean Energy Jobs Act compared to the business as usual approach. These savings will be realized by customers even without any federal carbon regulation. When modest federal carbon regulation is assumed, the cost savings of the Clean Energy Jobs Act are even greater.
“Our continued reliance on fossil fuel generation provides great uncertainty in the energy market, as costs of coal and natural gas are highly variable and unpredictable,” said Shaina Kilcoyne of the coalition Advocates for Renewable Energy. “As the PSC study demonstrates, renewable energy provides stability and predictability, as well as cost savings for residents and businesses.”
The study is further proof that the cost concerns alleged by opponents of the bill are without merit. The Clean Energy Jobs Act will reduce energy costs, create jobs, and improve our economy.
“The Clean Energy Jobs Act will move our state forward and establish a stronger, healthier, more sustainable Wisconsin economy,” said Kilcoyne.
by jboullion | Apr 15, 2010 | Uncategorized
From a news release issued by the Advocates for Renewable Energy, a coalition of organizations, including RENEW Wisconsin:
Act Will Save Wisconsin Utility Customers at Least $1.2 Billion
The Public Service Commission (PSC) released a study today finding that the Clean Energy Jobs Act substitute amendment will save Wisconsin electricity customers at least $1.2 billion over the next 15 years, and could save Wisconsin electricity customers up to $6.4 billion over that period, compared to the business as usual approach. The study is based on the energy cost savings of provisions included in the Clean Energy Jobs Act substitute amendment released on Wednesday.
“The PSC study confirms that the Clean Energy Jobs Act will save Wisconsin residents and businesses money,” said Vicky Lipinski of Procorp Enterprises, a water and wastewater treatment solution company in Milwaukee. “Sustainable energy solutions reduce costs for businesses and allow them to be more competitive and create jobs.”
The study finds that average customer electricity bills will be lower in 2015 and 2020 under all scenarios with the Clean Energy Jobs Act compared to the business as usual approach. These savings will be realized by customers even without any federal carbon regulation. When modest federal carbon regulation is assumed, the cost savings of the Clean Energy Jobs Act are even greater.
“Our continued reliance on fossil fuel generation provides great uncertainty in the energy market, as costs of coal and natural gas are highly variable and unpredictable,” said Shaina Kilcoyne of the coalition Advocates for Renewable Energy. “As the PSC study demonstrates, renewable energy provides stability and predictability, as well as cost savings for residents and businesses.”
The study is further proof that the cost concerns alleged by opponents of the bill are without merit. The Clean Energy Jobs Act will reduce energy costs, create jobs, and improve our economy.
“The Clean Energy Jobs Act will move our state forward and establish a stronger, healthier, more sustainable Wisconsin economy,” said Kilcoyne.