by jboullion | Aug 1, 2013 | Uncategorized
PSC Delivers Another Blow to Beleaguered Renewable Energy Contractors
Immediate release — For the second time in three years, state of Wisconsin incentives for customer-sited solar and small wind systems will be suspended, a result of recent Public Service Commission (PSC) decisions affecting Focus on Energy’s renewable energy budget . The suspension will take effect August 13, according to Focus on Energy, and will run through the remainder of the year. Incentives for biogas and biomass installations are not affected by the PSC’s decisions.
The impending cut-off of solar and wind incentives follows an across-the-board suspension of renewable energy incentives that lasted one year before being lifted in July 2012. Focus on Energy is authorized to spend up to $10 million per year on renewable energy incentives.
Through May 2013, Focus on Energy had spent or obligated a total of $3,048,580 for projects expected to be placed in service this year. The suspension ensures that overall renewable energy awards in 2013 will fall well short of the $10 million maximum.
In 2012, the PSC established a two-tiered funding formula that allocates renewable energy incentives based on resource type. So-called Group 1 resources—biogas, biomass and geothermal (ground source heat pumps)–are eligible for 75% of program expenditures up to a maximum of $7,500,000 a year. Funding for so-called Group 2 resources—solar and small wind—cannot exceed 25% of renewable energy expenditures.
Under this structure, outlays for Group 1 resources determine the overall funding level for renewables, even though up to $10 million is available in a given program year.As a result of the funding suspension, no renewable energy incentives will be available to residential customers until 2014. Residential customers account for approximately 60% of Focus on Energy’s program dollars.
The following represents RENEW Wisconsin’s reaction to the suspension of incentives for solar and wind energy systems. RENEW Wisconsin’s advocacy was instrumental in creating a renewable energy component to Focus on Energy.
“First, let’s not stop these incentives simply because the accounting is difficult,” said Executive Director Tyler Huebner. “That may seem like the easiest fix for decision-makers in Madison, but this is going to cost jobs throughout Wisconsin, especially amongst the small businesses that do this work. Second, if the accounting is difficult, and we agree that it is, then let’s change it. The decisions to make the accounting difficult were made by the same three Commissioners just last year, and this recent decision only adds to the complexity.”
“The disruption to solar and wind incentives will inflict measurable financial hardship on contractors operating here, and will result in a net contraction of sales and jobs. This decision will likely force these contractors to shift the focus of their business to other states that are doing a better job of supporting solar and wind.”
“On several occasions before this decision, we communicated to the PSC the tenuous nature of the solar market today, and our best forecast of the likely impact from a disruption in the flow of incentives. By all appearances, the views of Wisconsin’s solar contractors were disregarded.”
“Yesterday, we sent a letter to the PSC asking it to reconsider this decision. This Friday, we will file comments with the PSC regarding future Focus on Energy planning, and our primary goal is to simplify the provision of incentives going forward. In our view, the current structure has proved to be an administrative nightmare, and this latest decision will worsen this already bad situation.”
“Finally, we don’t believe that providing policy support for the advancement of solar energy should be a partisan issue. It certainly isn’t in Georgia, where that state’s all-Republican utility commission ordered Georgia Power to acquire nearly 800 megawatts of solar by the end of 2016, effectively tripling what the state’s largest electric utility had already committed to provide.”
“It’s time for Wisconsin regulators to see the light on solar and let it drive our state’s economy forward,” Huebner said.
by RENEW Wisconsin | May 24, 2013 | Uncategorized
by Don Wichert
As part of a US DOE Sunshot grant, MREA subcontracted with RENEW to investigate whether Wisconsin’s interconnection rules were up-to-date or needed amending.
RENEW led a team that conducted an installer interconnection survey, assessed Wisconsin’s current interconnection rules, compared Wisconsin’s rules to national best practices, and had 6 meetings with an interconnection workgroup to consider all relevant information and make recommendations, if warranted.
The PSC is now conducting an investigation to get stakeholder input on the need to open an interconnection rules amendment docket. Comments are due by Monday, June 17, at noon.
It is very important that members of the renewable energy supply chain businesses and other stakeholders urge the PSC to open a docket on this topic. These comments have to be filed as described in the linked PDF or here:
ALL filed documents related to docket can be found in WI Public Service Commission’s Electronic Regulatory Filing (ERF) system by following these simple steps.
- Go to Search ERF @ http://psc.wi.gov/apps35/ERF_search/default.aspx
- Type in docket number 5-gf-233 in docket search box and then click on {GO} button.
These rules only get evaluated about every ten years or so. If you ever had an issue with interconnection or would like to see the process get easier, faster, and cheaper without reducing safety, now is the time to make your comments heard.
Please let us know if RENEW can be of additional assistance in submitting comments.
by RENEW Wisconsin | May 22, 2013 | Uncategorized
Mark Redstein’s new opinion piece in the Milwaukee Journal Sentinel makes a strong case for clean energy in the state.
Over the past few years, Wisconsin’s wind industry has faced an unreasonable number of obstacles, more than any other form of energy production, nearly grinding the job- and energy-creating potential of this critical sector to a halt. If Wisconsin is going to move its economy forward, it needs to stop pushing back and open the door to clean, renewable wind energy.
Fortunately, the door has started to creak open.
On April 29, the Brown County Circuit Court dismissed a lawsuit filed by the Wisconsin Realtors Association that claimed the state’s wind siting rule, PSC 128, was improperly enacted. The judge disagreed and ruled that the Public Service Commission lawfully enacted a balanced and comprehensive wind siting rule. …
[READ MORE]
by jboullion | Apr 16, 2013 | Uncategorized
From testimony given to Senate Committee on Energy Consumer Protection and Government Reform on April 10, 2013
RENEW Wisconsin has been leading and representing businesses, organizations, and individuals that seek more clean, renewable energy in Wisconsin since 1991.
I have been involved in bioenergy for over thirty years in designing and administering policies and programs at the Wisconsin Energy Office, as director of the Focus on Energy Renewable Energy program, and for the past year with RENEW. I have personally been involved in many of Wisconsin’s more than 100 biogas facilities over my career. These facilities include municipal wastewater treatment plants, landfill gas operations, dairy operations, and food waste.
Wisconsin has the natural resources, the supply chain infrastructure, the mix of industrial and agricultural producers, and a past history of success to once again lead the nation in biogas production and utilization. Currently, New York, Pennsylvania, and California are about to overtake our lead if they have not already done so. All it takes for Wisconsin to regain the lead is the right public policies that can overcome the remaining economic and institutional barriers.
RENEW believes that Wisconsin has the very doable potential to quadruple the number of biogas facilities in the next ten years from roughly 100 to 400. This would allow Wisconsin to have a similar number of biogas facilities per capita as Germany, the world biogas leader. RENEW prepared a list of 12 specific policies that together can retake Wisconsin’s leadership role in biogas and allow us to quadruple the number of local, environmentally beneficial, and job creating biogas facilities.
The four policies that are most important and have an immediate potential include:
- Allowing third party contracting arrangements that would reduce the financial and technical barriers to biogas system hosts;
- Allowing reasonable and flexible interconnection requirements as defined in RENEW’s current petition at the PSCW in docket 05-GF-233. For example, current requirements allow utilities to designate the type of telemetry (a communication link between generator and substation).
- By designating the most expensive type of telemetry (fiber optics) instead of other much less expensive, but just as reliable options, utilities can increase the cost of a biogas system by hundreds of thousands of dollars and effectively kill projects.
- Higher buyback rates or production tax incentives that recognize the social benefits of:
- locally produced energy
- environmental benefits to air, water, and land
- the economic benefits of building and operating biogas here in Wisconsin.
- Property tax reductions, similar to those given to wind and solar
We urge the Senate Committee on Energy, Consumer Protection, and Government Reform to seriously consider recommending these policies to your legislative colleagues and to agencies that have jurisdiction over these responsibilities.
It’s time to move forward and create the climate that once again makes Wisconsin the national leader in biogas.
Thank you.
Don Wichert, Interim Executive Director, RENEW Wisconsin
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