Renewable Energy Installations in WI

Friday, April 30, 2010

Assembly speaker says Clean Energy Jobs Act will return

From a blog post by Patrick Marley in the Milwaukee Journal Sentinel:

Madison -- Assembly Speaker Mike Sheridan (D-Janesville) said Thursday he expected bills would be taken up in next year's legislative session to curb global warming, create regional transit authorities and reform how elections are run.

The three bills were among those that didn't pass in the legislative session that ended last week.

"I believe it will come back and it may come back in a different version," Sheridan said of the global warming bill.

Sheridan said he thought Democrats had good prospects for maintaining control of the Assembly. They took hold of the house for the first time in 14 years after the November 2008 election.

Thursday, April 29, 2010

More groups join call for veto of waste-to-energy bill

Shortly following the end of the legislative session, RENEW Wisconsin wrote to Governor Jim Doyle asking him to veto Senate Bill 273, which would allow "plasma gasification" of municipal wastes to generate electricity. RENEW sought the veto because the bill would allow the electricity to be called renewable and count toward the renewable energy requirements placed on Wisconsin utilities.

Now several other organizations, including RENEW, fleshed out the orginal veto request with a second letter:


We, the undersigned businesses and organizations, urge you to veto SB 273, which would undermine Wisconsin's current renewable energy standards under Act 141. Signing this bill will result in less renewable solar, wind and biomass energy for Wisconsin at a time when our economy and our environment desperately need more, not less, of these technologies to decrease our dependence on dirty fossil fuels.

New development companies across the country are attempting to define gasification facilities as "green" renewable energy. Yet this technology, a glorified form of incineration that is burdened with many of the same cost and environmental drawbacks, has never been successfully deployed anywhere in this country. Developers are seeking tax incentives, grants and renewable energy credits at the expense of recycling and true renewable energy programs.

Please end your tenure as Governor by vetoing the bill that will undermine Wisconsin’s efforts to become a leader on genuine renewable energy. The benefits of doing so will be recognized for years to come.

The letter came from the Sierra Club – John Muir Chapter * Waukesha Environmental Action League * Midwest Environmental Advocates * Advocates for Renewable Energy * Wisconsin League of Conservation Voters * Clean Wisconsin * Wisconsin Environment * Citizens Utility Board * RENEW WI * Physicians for Social Responsibility * Wisconsin Network for Peace and Justice.

Wednesday, April 28, 2010

Call for presenters at Better Buildings, Better Business 2011

From the Energy Center of Wisconsin:

The Energy Center of Wisconsin is accepting proposals for its Ninth Annual Better Buildings: Better Business Conference, March 2-4, 2011 in Wisconsin Dells, WI. The 2010 conference shattered attendance records with 1,027 participants from 19 states and provinces across North America. More than 60 workshops and 70 speakers united technical strategies for building and remodeling homes to be energy efficient with business strategies for growing businesses. Whether you plan to join us a speaker, exhibitor or attendee—mark your calendar now for the 2011 conference!

If you are interested in participating as a presenter, please submit a proposal before June 15, 2010. Click the link below to download the presentation proposal form or visit the conference website for more information at www.ecw.org/betterbuildings. If you have any questions on presenting, please contact Phil Jahnke Sauer at pjahnkesauer@ecw.org or 608.238.4601 x124.

Submit workshop proposal.

Tuesday, April 27, 2010

Renewable Energy Not Responsible for MGE Rate Increase

IMMEDIATE RELEASE
April 27, 2010

MORE INFORMATION
Michael Vickerman
RENEW Wisconsin
608.255.4044
mvickerman@renewwisconsin.org


Renewable Energy Not Responsible for MGE Rate Increase

Higher costs associated with fossil fuel generation are driving Madison Gas & Electric’s costs higher, according to testimony submitted by company witnesses. The utility filed an application last week with the Public Service Commission (PSC) to collect an additional $32.2 million through a 9% increase in electric rates starting January 2011.

The bulk of the rate increase can be attributed to expenses associated with burning coal to generate electricity. A 22% owner of the 1,020-megawatt (MW) Columbia Generating Station near Portage, Madison Gas & Electric (MGE) and the owner plant owners plan to retrofit the 35-year-old facility to reduce airborne emissions. The cost of Columbia’s environmental retrofit is expected to total $640 million, of which MGE’s share is about $140 million.

MGE also owns an 8% share of the state’s newest coal-fired station, the 1,230-MW Elm Road Generating Station located in Oak Creek. A portion of the proposed rate hike would cover lease payments and other expenses at that plant.

MGE’s application does not attribute any portion of its proposed rate hike to renewable energy sources. However, MGE plans to increase the premium associated with its voluntary Green Power Tomorrow program from 1.25 cents per kilowatt-hour to 2 cents. RENEW estimates that the premium hike will collect more than $1 million in 2011 from the approximately 10,000 customers participating in the program.

According to the utility’s web site, 10% of MGE's electric customers purchase some or all of their electricity from renewable resources. Moreover, Green Power Tomorrow has the second highest participation rate of all investor-owned utilities in the country according to the National Renewable Energy Laboratory.

Not surprisingly, MGE anticipates subscribership in Green Power Tomorrow to decrease if the PSC approves the higher premium. Currently, the program accounts for about 5% of total electric sales. Program subscribers include the City of Madison, State of Wisconsin, Dane County Regional Airport, Madison West High School, Goodman Community Center and Home Savings Bank.

According to MGE, sinking fossil fuel prices have widened the difference between wholesale power costs and the cost of supplying customers with renewable energy. However, it is worth remembering that the cost of supplying power from MGE’s renewable energy assets, such as its Rosiere installation in Kewaunee County and Top of Iowa project, did not increase last year and will not increase in the foreseeable future.

“Even though the cost of MGE’s windpower supplies is not going up, Green Power Tomorrow customers will take a double hit if the PSC approves this rate increase and request for higher premiums,” said RENEW Wisconsin executive Director Michael Vickerman. “It’s a ‘heads-I-win-tails-you-lose’ proposition that will wind up rewarding customers who drop out of the renewable energy program because coal is cheaper.”

“It would be short-sighted to penalize renewable energy purchasers just because fossil fuel prices are in a temporary slump,” Vickerman said. “But if MGE is allowed to institute this penalty at the same time it imposes the cost of cleaning up an older coal-fired generator on all of its customers, including its Green Power Tomorrow subscribers, it would have a profoundly negative impact on the renewable energy marketplace going forward.”

“This is the wrong time to be throwing up barriers to renewable energy development. We at RENEW will fight proposals that reward fossil fuel use and penalize renewable energy,” Vickerman added.
END
RENEW Wisconsin (www.renewwisconsin.org) 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.

Monday, April 26, 2010

RENEW Wisconsin calls for veto of waste-to-energy bill

IMMEDIATE RELEASE
April 23, 2010

MORE INFORMATION
Michael Vickerman
RENEW Wisconsin
608.255.4044
mvickerman@renewwisconsin.org

RENEW Wisconsin Calls for Veto of Waste-to-Energy Bill

RENEW Wisconsin called on Governor Jim Doyle to veto a bill that allows garbage to qualify as a renewable energy resource.

“The bill (Senate Bill 273), passed in the last hours of the final legislative session, would lead to a cutback in new clean-energy installations using solar, wind, biogas, and biomass,” said Michael Vickerman, executive director of RENEW Wisconsin, a statewide renewable energy advocacy organization.

The bill would credit electricity from gasification of garbage toward the amount of renewable energy each Wisconsin utility must supply under current law.

“By failing to pass the Clean Energy Jobs Act, the Legislature essentially froze the overall percentage of renewable energy that Wisconsin utilities must supply to customers,” said Vickerman.

“Adding solid waste to the list of eligible resources without raising the percentage above the current requirement will result in a reduction of electricity derived from truly sustainable renewable resources.”

“No way can anyone legitimately say that this bill expands renewable energy in Wisconsin.”

“All in all, this session will be remembered as a wasted opportunity for clean energy and job creation,” Vickerman said.

“When we entered the month of April, we had high hopes for the Clean Energy Jobs Act, a bill that would have forcefully sent Wisconsin down a path to energy independence while creating thousands of new jobs. Instead, the Legislature crammed garbage down the throats of utility customers.”

“No other legislative body in history has managed to trash Earth Day and the legacy of Wisconsin’s own Gaylord Nelson as completely as the Wisconsin Senate whose leaders wouldn’t allow a vote on the Clean Energy Jobs Act,” according to Vickerman.

“Governor Doyle can honor Gaylord Nelson by vetoing SB 273.”

END

Friday, April 23, 2010

Wisconsin Democrats say no to Clean Energy on Earth Day

A news release issued by Clean Wisconsin:

MADISON -- Hours ago, the democratically controlled state Legislature failed the people of Wisconsin when it adjourned before taking up the Clean Energy Jobs Act.

"It's ironic that on Earth Day, our Democrat-led state Legislature effectively killed a vital piece of clean energy legislation," says Keith Reopelle, senior policy director, Clean Wisconsin. "Senate Democratic leaders Jeff Plale and Russ Decker's refusal to schedule the bill for a vote guaranteed the bill's demise."

The Clean Energy Jobs Act would have created more than 15,000Â jobs for Wisconsinites. Just yesterday, Wave Wind, a wind energy service provider in Sun Prairie, sent an open letter to the state Legislature noting that the delayed passage of the bill forced the company to lay off 12 employees. Had the bill passed, Wave Wind would have created 100 new high-quality jobs.

"The world is transitioning to a clean energy economy, and Wisconsin is getting left behind," says Reopelle. "Wisconsin has now lost the manufacturing and design jobs that would have been created by the bill  to China, California and Illinois."

The bill also would have lowered energy bills for homeowners and businesses with its renewable energy and energy efficiency provisions, allowing Wisconsin to make incremental but critically important steps toward reducing our greenhouse gas emissions and increasing our energy independence.

"It is a travesty that Wisconsin's Legislature missed the opportunity to take action on such an important bill for the health of our state's economy and environment," says Reopelle. "While today's inaction is definitely a setback, thanks to the hard work of our allies in the Legislature and coalition partners, we have laid the foundation for future clean energy legislation and remain hopeful that Wisconsin will soon return to its forward-thinking roots."

###


Clean Wisconsin, an environmental advocacy organization, protects Wisconsin's clean water and air and advocates for clean energy by being an effective voice in the state legislature and by holding elected officials and polluters accountable.

Wednesday, April 21, 2010

We Energies Wins Praise for Support of Clean Energy Jobs Act

A news release issued by RENEW Wisconsin:

IMMEDIATE RELEASE
April 21, 2010

MORE INFORMATION
Michael Vickerman
RENEW Wisconsin
608.255.4044
mvickerman@renewwisconsin.org

We Energies Wins Praise for Support of Clean Energy Jobs Act

A leading renewable energy advocacy group praised Milwaukee-based We Energies for its support of the Clean Energy Jobs Act legislation (Assembly Bill 649).

On Tuesday (April 20), We Energies distributed a memo explaining its support to all members of the state Assembly.

We Energies’ memo followed a similar memo last week from Clean, Responsible Energy for Wisconsin’s Economy (CREWE), a coalition of businesses and utilities supporting the legislation. Other utility members of CREWE are Alliant Energy, Madison Gas & Electric, WPPI Energy, Xcel Energy, and American Transmission Company.

“We Energies deserves praise for stepping out and speaking up on its own,” said Michael Vickerman,” executive director of RENEW Wisconsin.

“We Energies expressed its positive vision for a renewable energy future and the jobs that come with it,” added Vickerman.

The memo from Joel Haubrich, We Energies, said:

We Energies urges support for AB 649.

Throughout the process we have supported moving from our current 10% by 2015 renewable mandate to the 25% by 2025 renewable mandate. It will be a massive effort to meet the requirements in the legislation but we will . . . work to achieve the goal when it becomes law.

Recently, we asked the authors for specific changes to the legislation. On Monday, April 19, we believe we resolved our concerns and now can support the bill.

The changes we believe the authors have agreed to include: 1) incorporating language on “utility rate of return,” 2) removing the ambiguity as to who can perform energy conservation work, 3) allowing efficiency to count from 2016 to 2020 and 4) changing nuclear findings to previously agreed upon language.

We Energies urges support for these amendments and urges support for AB 649. (Emphasis in the original.)
END

RENEW Wisconsin (HUwww.renewwisconsin.orgUH) 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.

Tuesday, April 20, 2010

Utilities in business coalition urge passage of Clean Energy Jobs Act

From a news release issued by CREWE, a coalition of the following organizations -- Alliant Energy, Xcel, We Energies, Madison Gas and Electric, WPPI Energy, EcoEnergy, Johnson Controls, C5•6 Technologies, Axley Brynelson, Orion Energy Systems, Forest County Potawatomi Community, Poblocki Sign Company, Emerging Energies of Wisconsin, MillerCoors, American Transmission Co., DTE Energy Services, Kranz, Inc. and Greenwood Fuels:

(MADISON, Wis.)—The coalition for Clean, Responsible Energy for Wisconsin’s Economy (CREWE) today urged the State Assembly to pass the Clean Energy Jobs Act (CEJA) in order to create thousands of jobs and reduce electricity costs for Wisconsin consumers and businesses.

“The amended Clean Energy Jobs Act provides even more benefits than the original version, so our representatives must make the obvious choice and pass this bill,” Thad Nation, executive director of CREWE, said. “In fact, a recent survey shows that business leaders are eager to undertake energy efficiency efforts as a means of saving money and growing their respective businesses.”

CREWE member Johnson Controls surveyed more than 1,400 executives in North America and found that improving energy efficiency in buildings is their top priority. According to the Public Service Commission, the energy efficiency provisions in the new CEJA are likely to save Wisconsin ratepayers billions of energy dollars over the next several years.

The Assembly will vote on the bill Tuesday.

Among the amendments, a more aggressive energy efficiency policy will keep electricity affordable and target Wisconsin’s manufacturing, large commercial and and institutional sectors, which in turn will produce
many high-quality, well-paying jobs, Nation added.

Monday, April 19, 2010

AESP celebrates Earth Day, April 22

AESP Celebrates Earth Day
The Wisconsin Chapter of the
Association of Energy Services Professionals
Invites you to Attend

This event will kick-off with a presentation from the Office of Energy Independence (OEI) followed by a panel discussion on the environmental/energy impacts of biofuels:
+ Judy Ziewacz, Office of Energy Independence
+ Biofuels Panel, participants to be announced

Presentations will be followed by open floor discussion.

Don’t miss your chance to get in on this lively and important discussion!

Time: Thursday, April 22, 5:00 to 7:00
Place: WECC Office, 431 Charmany Drive, Madison, WI
Social hour from 5:00 to 5:30. Good food and drinks!

Cost: 15$ AESP members and Non-Profit Organizations
25$ Non-members
5$ Students/Unemployed
(Check or cash payment can be paid at the event)

RSVP to Kristopher at reimannk@gmail.com before April 20.

Friday, April 16, 2010

Legislators Fire Duds at Clean Energy Jobs Act

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.

Thursday, April 15, 2010

Study: Amended Clean Energy Jobs Act even better for state

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.

Wednesday, April 14, 2010

Groups urge passage of new version of Clean Energy Jobs Act legislation

Diverse groups lined up to support passage of the rewritten version of Clean Energy Jobs Act legislation when the new provisions were announced on Tuesday. Group already releasing statements of support include:

+ Clean Wisconsin.
+ AFL-CIO
+ Wisconsin Business Council
+ Clean, Responsible Energy for Wisconsin’s Economy (CREWE)
+ Wisconsin Environment
+ WPPI Energy.

According to the bill's co-authors the highlights of the bill make the following changes:

+ Increases the use of renewable resources to meet the state’s future energy needs, requiring 25 percent of Wisconsin’s energy needs are met by renewable sources by 2025, creates new opportunities for Wisconsin.
+ Establishes graduated statewide electricity savings goals that lead up to a 2 percent reduction by 2015 and annual reductions of 2 percent thereafter, this will help reduce energy costs to businesses and homes across the state.
+ Large conservation and efficiency projects that meet workforce standards could count toward a portion of the RPS, which accelerates savings and provides options for utilities to create jobs.
+ Supports the development of small scale renewables such as solar, wind and manure digesters through expanded Focus on Energy grants and loans that will now total $25 million per year each year for a four year period. This will allow Wisconsin Companies to grow their business and create more jobs.
+ Modifies, but not repeal, Wisconsin’s moratorium on nuclear power plants. The language has been tightened to remove the threat of constitutional challenge by tying those changes to the state’s traditional regulatory authority over the need and siting of any plant.
+ Adjusts several transportation provisions, including the elimination of the California vehicle emissions standard; the proposed low carbon fuel standard tied to decisions in other states; and boiler efficiency standards that could cause conflict with EPA regulations.

The co-authors also asked the Public Service Commission to update its cost analysis of the legislation, taking into account the changes made in the substitute amendment.

Tuesday, April 13, 2010

Wisconsin's scaled-back global warming bill unveiled

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

A revised state clean energy and global warming bill unveiled Tuesday scales back the scope of the bill but retains a commitment to expand use of renewable energy and open the door to construction of nuclear reactors in Wisconsin.

The revisions, obtained by the Journal Sentinel, were drafted in response to concerns raised by business groups and politicians that the original bill was too unwieldy, too controversial and potentially too costly.

Jettisoned from the package were mandates concerning transportation fuels, including a requirement that Wisconsin require greater use of low-carbon transportation fuels such as biofuels.

To reduce the overall cost of the package, the bill allows energy efficiency gains to count toward a portion of a mandate that 25% of Wisconsin's electricity come from renewable power sources by 2025.

A combined energy efficiency and renewable energy standard is also part of federal legislation that passed in the U.S. House of Representatives last year.

The state bill would allow one-fifth of the mandate to come through energy savings, most likely from major energy saving initiatives by factories and other big energy users.

Another change responds to concerns raised by utilities concerning a mandate that had been in the earlier bill concerning small renewable energy projects around the state. The mandate has been replaced with expanded funding for small renewable energy projects. The new proposal states a preference that much of that money be allocated toward manure digesters on Wisconsin dairy farms.

The latest version also underscores the consequences of the weak economy and declining sentiment for taking action on global warming.

Doyle signed an executive order creating the task force in April 2007 - well before the collapse in the economy. In December 2009, after details were known, many business groups attacked it and said the recommendations would harm the energy-intensive manufacturing sector.

But some other industries and companies, notably Johnson Controls, the state's largest public company, said the bill would create jobs and align the state to take advantage of emerging trends in sustainability.

At the same time, the public appears less concerned about climate change. A national Gallup Poll in March showed that the percentage of respondents who believe the seriousness of global warming is "generally exaggerated" has increased from 35% to 48% in two years.

"As introduced, the Clean Energy Jobs Act would reduce greenhouse gas emissions, create jobs, and help keep rising energy bills in check," said Keith Reopelle, senior policy director at the environmental group Clean Wisconsin, said in a statement. "The substitute amendment represents a compromise that will still accomplish all of these goals, but to a lesser degree than the original bill."

Clean Wisconsin is still reviewing the details of the changes.

"As we understand them, the changes in the substitute amendment will result in even more jobs and lower energy bills in the next few years by increasing short-term commitments to energy efficiency," Reopelle said. "However, paring back the renewable energy standard will likely result in less rate relief in the long term, because renewable energy helps hedge against the rising cost of fossil fuels."

Monday, April 12, 2010

Costs of coal plants keep going up

A commentary by Michael Vickerman, RENEW Wisconsin:

For Immediate Release
April 7, 2010

For More Information Contact
Michael Vickerman
608.255.4044
mvickerman@renewwisconsin.org

In recent weeks, some groups have suggested that we maintain our current energy portfolio, continuing to rely heavily on coal-fired generation for a substantial amount of our electricity. These groups claim that gradually moving toward more reliance on local, in-state sources of energy will increase electricity costs. These claims have been thoroughly discredited by two economic studies concluding that electricity bills will decrease with the Clean Energy Jobs Act.

Further, these groups refuse to acknowledge the substantial, ongoing costs associated with coal plants. Since 1999, Wisconsin utilities have spent over $2 billion of customer money keeping old, inefficient coal plants running. For comparison purposes, this sum is nearly triple the utilities’ investment in windpower facilities during the same period. Customers have seen the real and substantial impact of these coal plant costs through rising electricity rates over the past several years. These costs are in addition to the more than $700 million (exclusive of transportation costs) we send out of state each year to pay for the coal to fuel these aging plants. Reliance on dirty, antiquated coal plants leaves Wisconsin in a vulnerable position, unable to predict or control energy costs.

Unlike coal, clean resources like biogas, wind and solar will produce energy throughout their productive lives without requiring costly pollution abatement measures. Going forward, the more renewable energy we add to Wisconsin’s energy resource mix, the less exposed we will be to these downstream liabilities. The avoidance of these regulatory risks is another compelling reason for passing the Clean Energy Jobs Act legislation in this session.

Coal Plant Retrofit Costs (1999-2009)
(in Millions of Dollars)


Wednesday, April 7, 2010

Wisconsin Public Service Corp. wants to increase electric, gas rates

From an article by Richard Ryman in The Northwestern (Oshkosh):

Utility says one reason it needs hike is people are conserving energy

Wisconsin Public Service Corp. is asking to raise utility rates by $6.25 per month in 2011.

The Green Bay-based utility said Thursday it filed a request with the state Public Service Commission asking for a 6.9 percent increase in electricity rates and a 1.2 percent increase in natural gas distribution rates. The utility calculates the rate hike would increase typical residential electricity bills by $5.31 per month and typical natural gas bills by 94 cents per month.

The company said decreased electricity and natural gas use because of recession and increased conservation and energy-efficiency efforts are the major factors in the request.

David Kyto, director of rate case process, said the utility has cut $36 million in expenses, but other fixed costs, such as repair and maintenance of electrical lines, natural gas pipes and substations, cannot be reduced. That reduction includes the elimination of 220 jobs.

"We simply can't cut back on the activities that make sure the lights come on when the switch is turned and the furnace operates when the thermostat calls for heat," Kyto said.

The utility is in the midst of a four-year pilot program using decoupled rates. Under decoupling, the utility is guaranteed a set amount of revenue in return for enacting conservation measures and encouraging its customers to do the same. Decoupled rates apply to residential customers and small commercial customers, but not to large industrial users.

The Public Service Commission approved the decoupling mechanism because it reasoned that utilities would have no incentive to encourage consumers to buy less electricity and gas if they weren't guaranteed a set amount of revenue if sales were less than projections.

Tuesday, April 6, 2010

Will clean energy help Wisconsin’s job prospects?

From an interview conducted by Lisa Kaiser in the Shepherd Express (Milwaukee):

One of the biggest questions posed by the state’s proposed Clean Energy Jobs Act is whether it will produce more jobs in the state or force manufacturers to cut their workforce because of increased energy costs.

Last week, Randall Swisher, former executive director of the American Wind Energy Association, spoke at the Green Energy Summit in Milwaukee about the economic advantages of renewable energy. Prior to his visit, Swisher explained to the Shepherd why Wisconsin should embrace homegrown renewable sources of energy like wind power.

Shepherd: Texas is the leading wind producer in the country, the result of a fairly aggressive, deliberate strategy by that state’s policy-makers. Are there any lessons that can be learned from Texas’ experience?

Swisher: Partly, that the public supports going in this direction. The second lesson that we learned is that, when you put a lot of wind [power] on the system, it’s a lot more cost-competitive than people realize. The technology works and it’s not as difficult to integrate it into the electric utility system as a lot of people seem to believe. Because the wind doesn’t blow all the time, people sometimes think this could never amount to much or it’s going to be very difficult for public utilities to utilize it. You know, none of that is true.

Also, Texas has done a good job in terms of understanding that if you want to access the wind resource, you’ve got to ensure that you can deliver the power to where people need it. And that means that transmission is important to the future of wind in this country, and Texas is really leading the way with that. They’re spending like $5 billion building transmission lines over the next few years to access wind resources in west Texas. And the thing that’s particularly amazing about it is that the benefits to consumers of getting those lines built and getting the extra wind in the system would save customers about $2.5 billion a year. So they’ll pay for the line in about two years.

Shepherd: What’s your take on the impact of the Clean Energy Jobs Act on energy costs and jobs in Wisconsin?

Swisher: I’ve looked at some of the analyses and it seems like almost every analysis that has been done—other than the analysis that was commissioned by the major industrial customers [Wisconsin Manufacturers & Commerce (WMC)]—demonstrates that in fact [the bill] won’t have a severe impact on the economy and will be a net source of jobs. So you begin to wonder about the assumptions that were at the heart of the study that the major industry groups commissioned.

But [the WMC study] clearly doesn’t square with the facts as I understand them about the relative cost-competitiveness of wind and other renewables to meet the needs of the state over time. This is something that we found time and again. We did this on a national basis in cooperation with the U.S. Department of Energy. They did an analysis of what it would cost and whether it is feasible for wind to provide 20% of the nation’s electricity within a 2030 time frame. It showed that not only was it cost-competitive with other generation sources like gas or coal and nuclear, but because of the fuel cost savings, it was a net economic benefit. I think what we found on a national basis is going to be true in a state like Wisconsin as well.

Monday, April 5, 2010

Independent study confirms PSC cost analysis of Clean Energy Jobs Act


A news release issued by Advocates for Renewable Energy:

The Union of Concerned Scientists has released a study on the 25% Renewable Portfolio Standard and Energy Efficiency provisions within the Clean Energy Jobs Act (CEJA), confirming the findings of the Public Service Commission that CEJA will result in lower electricity bills than under a business as usual approach.

With a 25% Renewable Portfolio Standard, consumer electricity bills will be $34 million lower in 2015 and $59 million lower in 2025, compared with a business as usual approach. CEJA will result in cumulative cost savings to electricity ratepayers of $140 million by 2025. The report concludes that the Clean Energy Jobs Act will protect consumers from rising energy prices by investing in local sources of energy with stable and predictable long-term costs.

Saturday, April 3, 2010

From Shop Floor to Top Floor: Best Business Practices in Energy Efficiency, April 6-7, Chicago

From an announcement by the Pew Center on Global Climate Change:

The Pew Center on Global Climate Change invites you to join us on April 6-7, 2010 in Chicago for a major conference marking the release of our comprehensive report on best practices in corporate energy efficiency . . .

Current confirmed speakers include:

Keynotes:

•Eileen Claussen, President, Pew Center on Global Climate Change
•Kateri Callahan, President, Alliance to Save Energy
•Jay Golden, Assistant Professor, Arizona State University
•Kathleen Hogan, Deputy Assistant Secretary for Energy Efficiency, Department of Energy
•Suzanne Malec-McKenna, Commissioner, City of Chicago, Department of Environment
•John W. Rowe, Chairman and CEO, Exelon Corporation
•Former Senator John Warner

Full conference agenda.