Advanced Energy Perspectives

On August 3, the U.S. EPA rolled out its final Clean Power Plan regulation for greenhouse gas emissions at existing power plants. Reaction in the states varied, with some new states deciding to sue EPA and others quietly noting they are well positioned to meet their targets. But the response under consideration in North Carolina stands out for being not only self-defeating in its resistance to the EPA rule, but also costly to ratepayers.

“We are at another inflection point in California policy,” said Howard Wenger of SunPower Corp., an AEE board member. With legislation pending across the street in the Capitol to raise California’s already high standards for renewable energy and building efficiency, and adding a target of cutting petroleum use in half, all by 2030, what better context could there be for AEE’s third annual “Pathway to 2050” conference? The capacity crowd of nearly 400 gathered in the Sacramento Convention Center got a full sense of that inflection point – and the stakes for industry growth – from key policy makers and business leaders in a full day of dialogue and networking on August 20.

For over a year, the advanced energy industry in Michigan has engaged in a good faith effort to reshape the state’s energy policy. Throughout the process all parties have had reason to be optimistic about the legislation that would come out of this process. The level of public and stakeholder engagement led by Senator Mike Nofs, chair of the Energy and Technology Committee, was more in-depth than usual, and in March, Gov. Rick Snyder delivered an energy address that called for Michigan to reduce energy waste through increases in efficiency, as well as continue to diversify its energy portfolio with renewable energy. That’s why the pair of bills filed by Nofs and his committee vice chair took everyone by surprise.

In a recent opinion piece in the Wall Street Journal (“States Are Unplugging Their Renewable-Energy Mandates”), two state directors of the Koch brothers-backed Americans for Prosperity trotted out several tired and misinformed arguments against Renewable Portfolio Standards (RPS). The problem with this piece and others like it isn’t only that they mislead the reader with inaccurate statements and outdated information. The real problem is that they sidestep the central rationale for an RPS – overcoming the market and regulatory barriers that distort energy choices in this country.

The past two months have been a whirlwind for energy efficiency policy in Pennsylvania. This period was marked by the high point of the Public Utilities Commission (PUC) issuing a strong final rule for Phase III of Act 129, the next stage of the state’s energy efficiency mandate, and a low from the state legislature with the introduction of SB 805, which would exempt large industrial and commercial users, reducing funding for energy efficiency improvements by all customers and making efficiency gains subject to corporate whim.