National Study Vindicates Wisconsin’s Clean Energy Policies

Immediate release
July 18, 2011

More information
Michael Vickerman
Executive Director
608.255.4044
mvickerman@renewwisconsin.org

National Study Vindicates Wisconsin’s Clean Energy Policies

Nearly a decade of forward-looking strategies propelled investments in Wisconsin’s clean jobs economy above other Midwest states, according to an economic study issued by The Brookings Institution, a nonpartisan public policy organization in Washington, D.C.

Reviewing data gathered between 2003 and 2010, the Brookings analysis pegged the number of clean economy jobs in the state at 76,858, a net increase of nearly 4,000. Measured as a percentage, Wisconsin’s clean economy accounted for 2.7% of all jobs in the state, compared with 2.5% for Iowa, 2.1% for Minnesota, 1.9 % for both Indiana and Michigan, and 1.8% for Illinois. Overall, Wisconsin ranked 8th among all states and the District of Columbia in the relative size of its clean economy.

The report categorizes clean economy jobs as those in energy efficiency and renewable energy; sustainable forestry products; recycling and reuse; waste management and treatment; organic food and farming; energy efficient appliance and building manufacturing; and more.

“Clearly, Wisconsin’s commitment to clean energy has paid dividends, attracting new businesses and creating high-paying jobs that could have easily gone elsewhere,” said Michael Vickerman, executive director of RENEW Wisconsin, a statewide organization advocating for public policies and private initiatives that advance renewable energy.

These policies and initiatives include the establishment of Focus on Energy, the region’s first ratepayer-funded energy efficiency and renewable energy program, attractive buyback rates offered by utilities for renewable energy, and innovative incentives to encourage customer installation of renewables.

In addition, Wisconsin’s adoption of a 10% renewable energy standard back in 2006 spurred new utility-scale installations built by skilled tradesmen employed by local contractors. During the study period, the number of wind-related jobs in Wisconsin doubled from less than 450 to 900.

As documented in the Brookings report, the wages for these clean economy jobs run higher than the statewide average ($37,931 vs. $35,906).

“Unfortunately, Wisconsin’s clean economy is in danger of losing a good deal of its steam as a result of policy rollbacks and funding cutbacks in the renewable energy arena,” Vickerman said. “The short-sighted attacks we’ve seen in 2011 could throw the state’s clean economy into reverse next year.”

So far this year, the Legislature has reduced funding for Focus on Energy, suspended the statewide rule regulating the permitting of wind turbines, and weakened the state’s renewable energy standard by allowing utilities to count Canadian hydropower toward their requirements.

“On top of that, We Energies, the state’s largest utility, announced that it will discontinue what had been an effective renewable energy initiative,” Vickerman said. “Among other accomplishments, it was instrumental in enabling Helios USA to build a solar-electric manufacturing facility in Milwaukee’s Menomonee River Valley.” The plant now employs 50 workers.

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.

Wind farm plan gets green light — in Illinois

While Wisconsin’s hostility toward wind generation kills projects in the state, wind generation projects continue to create jobs and energy independence in surrounding states, according to this article in The News Gazzette, Champaign, IL:

DANVILLE — The Vermilion County Board authorized construction of the first wind turbine farm in the county Tuesday night despite objections from several local residents and incomplete information in the developer’s application.

The 27-member board voted 21-1, with four members absent and one seat vacant, to grant Chicago-based Invenergy a building permit to construct 104 wind turbines in west central Vermilion County.

Invenergy also submitted on July 1 its application to the Champaign County zoning board for a special-use permit to build 30 wind turbines as part of the same project in east central Champaign County. Invenergy officials said they hope construction in Vermilion County can start by the end of the year.

The lone no vote at Tuesday’s Vermilion County Board meeting came from member Terry Stal, D-District 4, who said after the meeting that he voted that way because the county should have all its agreements with Invenergy in place before the permit is issued. He said his vote reflected a procedural objection.

Milwaukee solar panel maker lands deal with U.S. military, adds 2nd shift

From an article by Tom Content in the Milwaukee Journal Sentinel:

Solar panels produced by Helios Solar Works of Milwaukee will be used by the U.S. Army, the FBI and other government customers under a strategic partnership announced Tuesday by Arista Power Inc.

Arista is a manufacturer of wind turbines and renewable energy storage systems based in Rochester, N.Y.

Financial terms of the partnership weren’t disclosed.

Helios will supply Arista with panels and will refer solar business opportunities to Arista. Arista has agreed to distribute Helios products to the military.

“One of the major benefits of our high-performance modules is their flexibility, which makes it possible to design systems that satisfy a variety of needs, from residential, commercial and governmental applications,” said Steve Ostrenga, Helios chief executive. “We view this as a perfect fit with Arista Power’s products, which are scalable and can be adapted to serve a variety of markets.”

The announcement comes as Helios is seeing demand for made-in-Milwaukee solar panels from the military, Ostrenga said in an interview. Helios is making panels for military bases in Arkansas, New York and Virginia.

“We’re getting a lot of movement in the military because the military has made a stance that, because of energy security, they want to be energy independent,” he said.

A large order for a military base in San Diego began production this week.

As a result of the demand, the company recently added a second shift, and employment is now at about 30 people, Ostrenga said. Plans are in the works for a third shift.

The Department of Defense released an energy strategy last month that incorporates greener technologies as a way to protect soldiers. Thousands of U.S. servicemen have lost their lives in attacks on fuel and other supply convoys in Iraq and Afghanistan.

“As long as U.S. forces rely on large volumes of energy, particularly petroleum-based fuels, the vulnerability and volatility of supplies will continue to raise risks and costs for the armed forces,” the Pentagon said in a report to Congress.

Legislators are exporting wind energy jobs and torpedoing all renewables

From a commentary by Jeff Anthony, American Wind Energy Association, on BizTimes.com:

The Wisconsin Assembly recently passed a bill that would enable hydroelectric power from Manitoba, Canada, to be shipped to Wisconsin to meet the state’s 2006 renewable energy law requiring 10 percent of the state’s electricity to come from renewable energy by the year 2015.

If enacted into law, the effect of the Manitoba Hydro Bill will be to ship jobs to Canada and reduce Wisconsin’s ability to meet its clean energy requirement by building more homegrown Wisconsin energy projects.

One of the bill’s sponsors, State Sen. Frank Lasee (R-De Pere), was quoted saying, “This new law will keep electric bills from going up by making it more affordable for utilities to meet green energy mandates.”

Unfortunately, he was mistaken in assuming that other forms of “green energy” will raise electricity rates in the state. If he had gotten his facts straight, he would have found that wind energy costs are at near-record lows, and many utilities in the U.S. are reaping the benefits of lower electricity rates as wind energy expands on their systems. But the facts about wind energy costs, like many other facts, apparently weren’t relevant in the rush to pass this ill-conceived bill.

What Sen. Lasee failed to mention is that his bill will also have a significant impact on Wisconsin by sending good-paying jobs that would otherwise have been created in Wisconsin – to Canada instead.

Sen. Lasee and the other state legislators who voted for the bill would have the state import electricity from Canadian energy projects that use Canadian workers. Today, Wisconsin supports 2,000-3,000 workers in the wind energy industry alone, and the Manitoba Hydro Bill now threatens many of those jobs in Wisconsin.

This is just the latest example of legislative activities that are exporting good-paying, clean energy jobs out of Wisconsin. Why?

At the beginning of the year, another onerous bill was proposed to impose extreme requirements on where Wisconsin wind projects can be located. A few weeks, later a joint committee of the legislature voted to suspend Wind Siting Rules that had been developed through a collaborative, open, and fair process. This rule was suspended by the joint legislative committee on the very day that these far better new rules would have taken effect.

Combined, these actions have jeopardized approximately 700 megawatts of wind projects that were proposed in the state, resulting in the potential loss of $1.8 billion investments and 2 million construction job-hours. And guess what – those 2 million job-hours will not show up in Wisconsin, and will likely move to neighboring states.

So what will be the next step in the “Wisconsin Jobs Export Agenda”?

Well, another piece of anti-clean energy job legislation has emerged, Assembly Bill 146, which would significantly reduce the growth of renewable energy in the state. The Wisconsin clean energy law was originally created to incentivize new renewable energy development and increase fuel diversity. AB 146 would effectively remove that incentive.

Small businesses hit hard by energy program cuts and changes

From an article by Judy Newman in the Wisconsin State Journal:

Focus on Energy, a statewide program that promotes energy efficiency, is in the midst of big changes: new management by an out-of-state corporation, suspension of a popular rebate program, and sharp funding cuts in the pending state budget.

Nearly 20 people already have lost their jobs, mostly in Madison, as a result of the management change.

Meanwhile, dozens of small Wisconsin businesses that specialize in setting up solar panels and wind turbines fear for their futures because of the slashed allocation and rebate removal.

“It’s a lot of economic activity and jobs in Wisconsin. It’s a lot of energy efficiency, as well,” said Keith Reopelle, policy director for Clean Wisconsin.

Focus on Energy was created in 2001 to provide education, resources and cash incentives to Wisconsin residents and businesses to increase the use of energy-efficient products and systems, from furnaces to solar panels to vending machines.

In the past 10 years, more than 91,000 businesses and more than 1.7 million residents used the program and saved $2.20 for every dollar spent, according to Focus data. . . .

Since taking over Focus on Energy on May 9, one of Shaw’s first decisions, with PSC support, was to suspend payments to businesses that install renewable-energy systems, as of June 30.

Contractors like Seventh Generation Energy Systems were stunned.“It’s pretty devastating,” said James Yockey, chief executive officer. “It probably took out six to 10 projects that we were looking to close … for work in the fall and the coming spring.”

Several of the projects were wind turbines for farmers. “I think the incentives are decisive in people saying yes,” Yockey said . . . .

Program supporters have appealed to Gov. Scott Walker to veto the Focus budget cut, including a letter signed by 124 Wisconsin businesses. As of Friday, there was no word on his response. Walker is scheduled to sign the budget today.

“Cutting Focus on Energy will result in higher electricity bills and fewer jobs,” Randy Johnson, president of U.S. Lamp, a Green Bay energy-efficient lighting design company, said in the letter.

Seventh Generation’s Yockey said he hopes to avoid laying off any of his 16 employees by aiming his business at other states, and that could mean moving the company. “We prefer to be located in Madison but the bottom line is: we’ll see where the business takes us,” he said.