Volume 6, No. 2 Summer 1997 State Activities
California
At the same time, the CPUC authorized competitors to provide metering and
billing services, noting that "by allowing energy suppliers to provide
consolidated electric bills if they want to, customers who wish the convenience
of paying only one bill have it, and energy suppliers can reinforce their
business identity and customer communications, as well as reduce bill preparation
and processing costs."
CEC Submits Renewables Report
Maine
The law establishes a renewable portfolio standard as a component of power
provider licensing, which requires each competitive electricity provider
to include no less than 30% of its supply from renewable resources, including
hydro. The law also requires the PUC to establish information disclosure
standards for competitive electricity providers so that consumers can make
informed market choices and to establish a program allowing retail customers
to make voluntary contributions to fund renewables-related research and
development (R&D).
Massachusetts The expressed goal of the fund is to increase the availability, affordability, and use of renewable energy by Massachusetts electricity consumers by: (1) supporting increased demand for renewable energy resources via market development in the Commonwealth; (2) supporting the continued survival, development, and growth of renewable energy projects, enterprises, and related institutions in the Commonwealth and region; and (3) supporting the expansion of renewable energy expertise at all levels in the Commonwealth.
Some of the Collaborative's recommendations include: (1) creating two
interrelated funds, one for market development support and the other for
investment support; (2) explicitly encouraging the leveraging of fund dollars
from other public and private sources; and (3) encouraging public participation
and oversight by further empowering an advisory committee and broadening
its representation.
Minnesota
Under the program, customers can purchase 100-kWh blocks of wind-generated
electricity at an expected rate premium of approximately $3 to $4 per block.
A 12-month subscription commitment will be required.
Montana
The law also established a "universal system benefits charge" to ensure continued
funding of energy conservation, renewables, and low-income energy assistance
programs, with the funding level set at 2.4% of each utility's 1995 retail
sales revenue.
Nevada
The bill directs the PUC to establish "portfolio standards for domestic energy
to assure that a minimum percentage of all electricity consumed annually
in the state is provided by in-state renewable energy producers." The standard
begins at 0.2% in 2002 and rises to 1% by 2010; 50% of the portfolio requirement
must be derived from solar systems. The bill will be sent to Governor Bob
Miller, who is expected to sign the legislation.
New York
The tax credit would cover 25% of the total system cost, up to a maximum
of $3,750. Net metering would be limited to system sizes of 10 kW or less
and to a total of 0.1% of the 1996 peak demand of each electric utility.
The proposals result from a commitment made when the governor vetoed a previous
net metering bill because of safety concerns (SREN,
Fall 1996).
Oregon Power plant developers are now required to reduce the overall amount of CO2 emitted from new power plants. Net reductions can be achieved by contributing to energy conservation efforts, developing renewable energy projects, planting trees, and utilizing power plant waste heat. Overall, the law calls for a net CO2 reduction from power plant operations of at least 17%.
The bill, which resulted from recommendations made by a seven-member legislative
task force, had the support of various utilities, environmental groups, and
industry groups. In addition, it received unanimous passage in both houses
of the Oregon Legislature.
Other Activities
Utilities to Enter Green Power Business
AllEnergy Marketing Company, a joint venture formed by New England Electric System and Eastern Enterprises, announced the formation of a new division, ReGenSM Technologies, which plans to offer environmentally preferable electricity services. Over time, ReGenSM plans to facilitate the development of new renewable generation projects using clean technologies such as wind and solar to supplement existing regional resources. Initially, ReGenSM products will be available to wholesale and retail customers in New England, where retail markets will open in several states beginning in 1998. The company will target other markets nationwide as customer choice is adopted. Green Mountain Energy Sources (GMES), a subsidiary of Vermont-based Green Mountain Power Corporation, has registered with the California Public Utilities Commission to be an electricity provider when the state's utility market opens to competition in January 1998.
Noting that "the lights will work no matter who's providing the power," GMES
says it "is committed to enhancing the demand for cleaner energy through
renewable power sources that are less polluting to the environment." The
company notes that "if more people demand cleaner power alternatives, eventually
we can turn more renewable power plants on and turn off some of the most
environmentally damaging ones."
Edison Seeks "Green Power" Supplies
Edison believes that "there is significant consumer interest in alternative
energy sources in California. With direct access becoming available in January,
customers will not only have the opportunity to select their energy provider,
they can also look forward to enhanced product and service offerings, including
clean, renewable energy."
SMUD Unveils New Green Pricing Options
The Renewables Energy Option gives customers an option to buy all or part
of their electricity from new grid-based renewables at from 0.5¢/kWh
to 1.0¢/kWh more than the present rate. A second offering, Community
Solar, allows customers to contribute 1.0¢/kWh more for the purchase
and installation of PV systems for community facilities, including schools,
churches, and public buildings.
Wisconsin Utility Chooses Green Supplies
The renewable energy to be purchased is expected to total 5 MW. The utility
reports that more than 5000 customers are enrolled in the program.
Wyoming Wind Project Resurrected
Iowa Wind Projects Move Forward
Green Pricing Guide Available |
Renewables Components of State and Federal Restructuring Laws and Bills
| State | Mechanism* |
| Arizona** | RPS—solar portfolio requirement. Beginning in 1999, all participating electricity suppliers must obtain at least one-half of 1% of power sold competitively from a photovoltaic or solar thermal source. The solar requirement increases to 1% in 2002. |
| California | SBC—$540 million over four years to fund a mix of production incentives, project financing support, and customer rebates for renewables. |
| Maine | RPS—30% of retail sales to be provided by renewable resources, including hydro, fuel cells, and municipal solid waste (MSW) in conjunction with recycling. Voluntary fund for renewables R&D. |
| Montana | SBC—2.4% of 1995 utility revenues for energy conservation, renewables, and low-income energy assistance. |
| Nevada | RPS—0.2% of total consumption, rising to 1% by 2010, to be obtained from in-state renewable resources (half of which must come from solar power). |
| New Hampshire | None |
| Oklahoma | None |
| Pennsylvania | None |
| Rhode Island | SBC—0.23¢/kWh for a minimum of five years to fund renewables and demand-side management programs. |
| Bill | Sponsor | Mechanism* |
| H.R.655 | Schaefer | RPS—2% in 2000; 3% in 2005; 4% in 2010 (excludes hydro, MSW) |
| H.R.1359 | DeFazio | SBC—establishes a National Electric System Public Benefits Fund for funding of public-purpose programs, including renewables; would provide matching funds to states; charge not to exceed 2 mills/kWh. |
| H.R.1960 | Markey | RPS—3% in 1998, rising to 10% in 2010. |
| S.237 | Bumpers | RPS—5% in 2003; 9% in 2008; 12% in 2013 (includes hydro, excludes MSW); new renewables facilities receive two credits. |
| S.687 | Jeffords | RPS—2.5% in 2000, rising incrementally to 20% in 2020 (excludes
hydro, MSW).
SBC—establishes a National Electric System Public Benefits Fund for funding of public-purpose programs, including renewables; would provide matching funds to states; charge not to exceed 2 mills/kWh. |
| *RPS = renewables portfolio standard; SBC = system benefits charge.
**Adopted by the Arizona Corporation Commission, a constitutionally created regulatory body.
Be sure to visit the Green Power Network
State Renewable Energy News is prepared for the NARUC Subcommittee on Renewable Energy to promote information sharing on state-level renewable energy activities. It is issued three times annually to coincide with the NARUC committee meetings. The preparation and printing of this newsletter is sponsored by the Office of Utility Technologies of the U.S. Department of Energy.
Comments can be directed to: The Subcommittee Chairman is the Honorable R. Brent Alderfer, Commissioner, Colorado Public Utilities Commission - (303) 894-2000 x-303.
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