October 3, 2012

Sometimes, there is too much electricity

From Eastern Washington state's Tri-Cities Herald:
Mid-Columbia group forms to fight higher electric bills from unneeded power
A new campaign to change the state Energy Independence Act was launched Thursday in the Mid-Columbia to prevent rising electricity rates to pay for unneeded renewable energy.

Mid-Columbia state legislators, chambers of commerce, ports, business organizations, cities and public utility districts are backing the effort to prevent or delay increased electricity rates.

The group Citizens for Protecting Our Washington Energy Rates, or POWER, wants to change the Energy Independence Act, which was created by Initiative 937.

It requires utilities with at least 25,000 customers to buy at least 3 percent of their power this year from eligible renewable resources, such as wind and solar, and increase that to 9 percent in 2016 and 15 percent in 2020.

However, utilities, such as the Benton Public Utility District, already have ample power under contract and would have to buy additional power that it doesn't need or renewable energy credits.

To meet the 2016 requirement, Benton PUD will need to spend $1.5 million to $3 million a year for credits for renewable energy produced elsewhere, said Jim Sanders, general manager of the Benton PUD. Buying credits is expected to cost less than buying the unneeded power.

"I imagine taking $1 million and putting it into the trash barrel and burning it," because customers will see no benefit from it, he said.
Here is the website for Citizens for Protecting Our Washington Energy Rates From their background page:
The Challenge
The EIA (Energy Independence Act) requires an electric utility with 25,000 or more customers to use �eligible� renewable resources to meet a portion of load (3% in 2012, 9% in 2016, and 15% in 2020) and to acquire all cost-effective conservation starting in 2010. This is similar to other state requirements. In Washington, the initiative narrowly defines qualifying renewables and excludes the most cost-effective resource: hydropower.

Recommendations for change
The EIA is not living up to its goals. But with changes it can. Legislation is needed to clarify that if a utility has enough power to serve its customers, it can choose not to buy more renewable resources or renewable energy credits. The amendment assures that if a utility needs more resources, new acquisitions must meet EIA requirements. This legislation does not change the intent of the EIA. It protects utilities from unnecessary additional costs that are passed on to customers in the form of rate increases. And it eases the negative impacts higher energy costs pose on a weak economy.

We support a clean environment, increased conservation, and cost-effective renewable resources. We are committed to real energy independence. Washington State can remain one of the nation�s leaders in renewable energy and a low-carbon power system by amending and strengthening I-937.
Emphasis mine: excludes the most cost-effective resource: hydropower Washington state gets 64% of its energy from Hydro which is a perfect example of a renewable resource. To not count this shows that this initiative was driven by ideology and not facts. Political agenda and not Science. Posted by DaveH at October 3, 2012 3:50 PM
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