FRANKFORT, Ky. - A Kentucky-based environmental consultant says the state can no longer afford to miss out on clean-energy jobs.
The House Economic Development Committee was briefed Thursday on the need for a Renewable Energy and Energy Efficiency Portfolio Standard. The standard, which requires utilities to gradually increase their use and purchase of renewable energy, is law in 29 states.
Environmental management and policy consultant Randy Strobo, a Louisville attorney and professor, told lawmakers that the standard, known as REPS, would create jobs and "saves money, improves efficiency, improves public health and invigorates the economy."
According to Strobo, Kentucky generates only 3 percent of its power from renewable sources. A REPS law would require investor-owned utilities and rural electric cooperatives to increase that to 12.5 percent by 2026. Strobo claimed the demand for electricity would shrink. and utility bills would be lower than without the standards.
North Carolina set standards in 2007. Daniel Brookshire, regulatory and policy analyst for the North Carolina Sustainable Energy Association, told Kentucky lawmakers that it's created thousands of jobs.
"Most of the firms are in energy efficiency, so they're doing weatherizations. - that's the bulk of the sector," he said, " and then, that's followed by solar."
The 2015 North Carolina Clean Energy Industry Census, released this week, estimated that the industry generated $7 billion in revenue last year, a 45 percent increase over 2014. Brookshire said there were 26,000 full-time jobs in clean-energy fields last year in North Carolina.
State Rep. Mary Lou Marzian, D-Louisville, plans to model legislation to create a Kentucky standard on the North Carolina law. There, it's estimated that investing in clean energy over building new power plants will save North Carolina ratepayers $651 million over a 20-year period - a figure not lost on Marzian.
"If you look at saving our ratepayers $651 million," she said, "these are folks that'll be spending that money in your communities."
Marzian said she will introduce legislation in the near future.
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The construction of more solar farms in the U.S. has been contentious but a new survey shows their size makes a difference in whether solar projects are favored by neighbors.
South Dakota's largest solar installation, the Wild Springs project in New Underwood, began operations in March and covers more than 1.5 square miles. The survey showed projects under 100 megawatts are generally favored by neighbors, while larger ones like Wild Springs are unpopular.
Kristi Pritzkau, finance officer for the City of New Underwood, said the construction traffic was tough on the town of just over 600 but the project's builder, National Grid Renewables, is giving back to the community.
"They had to use our well, so they paid for the water, and they paid for a new pump for it, too," Pritzkau pointed out. "They've been really great with the city."
Prtizkau noted the company donated to the town's pool and Lions Club and has created a school scholarship program, all part of the more than $500,000 of charitable giving it has promised in the project's first 20 years of operation. It is also expected to bring in $12 million of tax revenue to the county in the same time frame.
Sioux Falls-based Missouri River Energy Services has plans to build a new solar project near Brookings and build a transmission line from South Dakota into Minnesota.
Tim Blodgett, vice president of member services and communications for the company, said federal grant programs and tax credits provide incentives and South Dakota produces more energy than it can use.
"With the development of more wind, the development of solar, there's a lot planned right now to get these resources out of this area," Blodgett explained. "Into Minneapolis and other places where there's larger demand for the energy."
Currently, more than half the state's power generation comes from wind, followed by hydropower.
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Virginia officials support the Environmental Protection Agency's new emissions rule. The federal clean truck standards will reduce emissions by up to 60% in 2032 and prevent 1-billion metric tons of carbon pollution. Transportation is the largest source of greenhouse gas emissions in Virginia and nationwide.
Phillip Jones, Newport News Mayor, said the new rule helps end the city's environmental disparities.
"We have a very large multiple coal company in downtown Newport News in the southeast part of our community," he said. "That's going to lead to higher rates of asthma for that community. There's a lot of air-quality issues in downtown Newport News."
Jones noted the city has taken steps to reduce emissions. The city's school district has been using propane-powered buses and Newport News is purchasing alternate energy-powered vehicles. He added any opposition to this work centers on larger upfront costs, but the long-term benefits are worthwhile. The EPA's rule goes into effect in 2027.
Transportation agencies are also working to cut emissions. Hampton Roads Transit has been working to cut emissions with cleaner buses.
Sibyl Pappas, chief engineering and facilities officer with Hampton Roads Transit, said the agency's upcoming bus maintenance facility furthers its emissions-reduction goals.
"It's very near where Dominion Energy is bringing offshore wind onshore. So, we've talked with Dominion about buying wind power. So, potentially, those buses are zero emissions at the tailpipe and zero emissions at the generation point," Pappas said.
The facility will open in 2029 and be net zero-ready upon completion. While HRT had some hiccups with electric buses, Pappas feels the EPA rule encourages climate-smart initiatives for all economic sectors.
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As state budget negotiations continue, groups fighting climate change are asking California lawmakers to cut subsidies for oil and gas companies rather than slash programs designed to slow global warming.
Gov. Gavin Newsom's current proposal would cut oil and gas tax breaks by $22 million this year and $17 million the following year.
Barry Vesser, COO for The Climate Center, a nonprofit advocacy group, would like to see all subsidies eliminated.
"Oil and gas companies are one of the drivers of climate change, so we should not be making their profit margins bigger by providing public subsidies, and making it harder for renewables to compete against them," Vesser argued.
Gov. Newsom has also proposed to cut funding for climate-friendly programs helping lower-income families buy an electric vehicle or switch from gas to electric appliances.
Kevin Slagle, vice president of strategic communications for the Western States Petroleum Association, said in a statement, "California's already tough business climate is pushing companies to the brink. Removing incentives will drive California straight into the arms of more expensive foreign oil, ramping up costs for everyday Californians who can least afford it."
Vesser countered the threat of higher gas prices is a red herring.
"There's a lot that goes into calculating how much the cost of gas is, and this is not even pennies on the dollar," Vesser contended.
The state Senate's early action proposal estimated the budget deficit will be between $38 billion and $53 billion. The governor is expected to release new details on his budget priorities in mid-May. The Legislature must pass a balanced budget by June 15.
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