renewable portfolio standards

Fri, 2013-08-16 07:00Guest
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Study Finds Utility Decoupling is Gaining Traction

This is a guest post by Clint Robertson.

A new study found that 25 states had adopted revenue decoupling for at least one natural gas or electric utility by December 2012. In total, 24 electric and 49 natural gas utilities participate in decoupling according to the report by the American Council for an Energy-Efficient Economy, the Regulatory Assistance Project and the Natural Resources Defense Council.  

This is a big increase over 2009 data, which found that just 28 natural gas and 12 electric utilities had adopted revenue decoupling. So why the sudden increase in utility interest for decoupling?

Under most regulatory conditions, utilities make money based on how much energy their customers consume each month.  The more energy a utility sells, the larger its profit margin. While it's an effective way for utilities to make money and the system has worked well for over a century, it’s a hindrance to energy-efficiency initiatives that many states are mandating.

Basically, for utilities, waste and pollution equal profit.  If a utility promotes energy savings, it sells less energy, and in turn loses money.  To further complicate things, the decreased revenue makes it harder for utilities to cover fixed costs, such as the regular maintenance of power lines and facilities necessary for reliable energy service. So in an age where going green prevails and climate change initiatives stretch across the globe, it's not easy to get a utility to support energy-efficiency initiatives.

Wed, 2013-08-07 14:27Connor Gibson
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Exposed: ALEC’s New Anti-environmental Agenda Unveiled in Chicago This Week

by Connor Gibson, cross-posted from GreenpeaceBlogs with permission

New internal documents obtained by the Center for Media and Democracy (CMD) reveal new methods that fossil fuel companies, agrochemical interests and corporate lobbying groups will influence certain state policies in the coming months through the American Legislative Exchange Council, or ALEC.

ALEC’s annual meeting is taking place in Chicago this week, just as Common Cause and CMD have filed a complaint to the IRS over ALEC’s corporate-funded “Scholarships” for state legislatorsALEC is a tax exempt non-profit despite their mission of facilitating an exchange of company-crafted laws with state legislators in closed-door meetings.

ALEC’s Energy, Environment and Agriculture task force is drafting new model bills on behalf of its members like Duke Energy, ExxonMobil, Koch Industries and Peabody. ALEC’s anti-environmental agenda in Chicago is available for viewing (see E&E PM and Earthtechling). These are the new model bills ALEC and its energy, chemical and agricultural interests are finalizing this week:

The Market-Power Renewables Act and the Renewable Energy Credit Act: ALEC and other Koch-funded State Policy Network groups like the Heartland Institute haven’t had much success with their attempts to repeal state renewable portfolio standard (RPS) laws through the ALEC/Heartland Electricity Freedom Act. The Market-Power Renewables Act and Renewable Energy Credit Act are two newer, more subtle attempt to weaken RPS laws by phasing in a renewable power voluntary program, creating space for existing and out-of-state energy credits to displace new clean energy, and eventually repealing the RPS requirements entirely.

Fri, 2013-05-03 10:04Ben Jervey
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Koch Brothers, ALEC Attack Maine Renewable Energy Standards

Maine’s clean energy legislation has spurred more than $2 billion in local investment and created at least 2,500 jobs in the Pine Tree State. That isn’t stopping some state lawmakers from trying to weaken and kill these laws, as the local political puppets do the will of their fossil fuel masters, the Koch brothers.

A quick reminder: there’s a coordinated national campaign to dismantle renewable portfolio standards (RPS) at the state level. Behind the campaign is the American Legislative Exchange Council (ALEC), who we’ve covered quite a bit before. Behind ALEC is the Heartland Institute and the Koch brothers.

It’s a scene playing out in State capitols around the country – from Kansas to Missouri to Michigan to North Carolina. And now in Maine. State legislators, who typically receive hearty contributions from the Heartland Institute, Big Fossils, and local front groups who are wholly funded by the former, introduce legislation that was drafted by ALEC (a “corporate bill mill”) with the help of Heartland and the Big Fossils. The state legislators then present biased studies created by compromised think tanks that are funded by Heartland and the big fossils to support this boilerplate legislation. The legislation, of course, written to benefit Big Fossils – and the Koch brothers – and not the people of the respective states, where renewable portfolio standards are having great positive economic and environmental impact.

(For a good overview of ALEC’s work to bully state legislators into weakening these laws that undeniably help the economies and environments of the states in which they’re passed, check out this NRDC Action Fund post.)

Up in Maine, some local groups are asking, “Why do two rich men from Kansas want to dismantle Maine's renewable energy policy?” A new report just published by the Maine People’s Alliance, Maine’s Majority Education Fund, and the Maine Conservation Alliance (PDF) seeks to answer that question for Mainers.

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