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Posts Tagged ‘rps’

Texas wind farmToday, the Texas Senate passed Senator Fraser’s anti-renewable energy Senate Bill 931.  If passed by the House, this bill will abolish two of Texas’ few renewable energy programs – the renewable portfolio standard and building of competitive renewable energy zone transmission lines.

Job growth, economic development, stable business climate – I thought those were conservative bread and butter.  The wind industry should have earned the good graces of Texas lawmakers.  Wind farms annually pay over $85 million in taxes to rural Texas counties, plus about $65 million in lease payments to landowners.

solar panels - photo from ShutterstockAnd the solar industry is rapidly becoming a significant driver of Texas job growth as well.  As of November 2014, there were almost 7,000 solar jobs in Texas.  That’s a 68% increase from 2013, a job growth rate 24 times greater than in the Texas economy overall.

And yet, the Texas Senate has decided that Texas should have no renewable energy goal and that it should be more difficult for the Public Utility Commission of Texas (PUC) to build transmission lines to prime areas for wind and solar energy development.

Abolishing the Texas renewable energy portfolio standard would cause a devaluing of the Texas Renewable Energy Credit (REC) market and would cause renewable energy developers to lose a revenue stream they counted on when making investments.  Existing projects used REC revenue when applying for financing.  Now developers will have to go back to their financers and let them know that the Texas market has changed, and not for the better.

Competitive renewable energy zones have been established and transmission lines built to bring electricity from west Texas to the parts of the state where electricity is needed.  But that project is not yet complete.  Some of the best areas for solar energy development still have no transmission lines.

So, just as the solar energy is really starting to boom, the Texas Senate has voted to put the brakes on the policies that would best be able to allow this industry, as well as the wind industry, to grow successfully.

SB 931 heads to the Texas House of Representatives next, now is the time to call your Representative to voice your opposition to this anti-renewable energy bill.  If you don’t know who represents you, look it up.

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It wouldn’t be a Texas legislative session without some truly backwards bills.  Today we have House Bill 2026 by freshman Representative Sanford of Collin county that would eliminate our state renewable energy goals.

BeachWindIn 1999, the state of Texas made a commitment to renewable energy in the form of the renewable portfolio standard (RPS).  That decision played a major role in spurring the development of the wind industry in Texas.

We have now exceeded the renewable energy goals established in the 2005 update to the RPS and Texas has more wind energy capacity than any other state.[1]  On the surface that may seem to indicate that the RPS has been 100% successful and is no longer needed, but that isn’t the case.

One of the major reasons for establishing the RPS was to encourage diversification of our energy sources, which ultimately makes us more resilient to physical and economic forces that can impact the availability and price of energy sources.  While wind energy has increased from zero percent when the RPS was first established to around ten percent today, other renewable energy sources are still largely absent from our energy portfolio.

With more solar energy potential than any other state, Texas should be the center point of the solar industry as well.[2]  Instead we are lagging behind states with far less solar resources, such as New Jersey and Pennsylvania,[3] and are paying the price in missed opportunities for job growth and new generation capacity that can produce during peak demand.

Solar companies invest in California and other states, because smart policies created attractive markets in those places.  California has 1,505 solar companies compared to Texas’ 260. Even New Jersey has more, with 382.[4] Texas should be doing more, not less to attract solar businesses to our state.

SolarInstallProjections showing that we won’t have enough electricity to meet demand by 2020.[5]  The maximum wholesale price of electricity has been set to triple by 2015, without even determining what the cost to consumers will be.  There have been workshops and meetings to consider the prospect of implementing a capacity market in Texas, which would raise costs even more.  But little time has been spent considering simpler, cheaper solutions such as expanding efficiency and demand response (where customers get paid to reduce there energy usage for short periods of time when demand is high) and getting more solar capacity built in Texas.  Solar is most productive when we need it the most – on hot, sunny afternoons.

The RPS should be retooled to focus on solar and other renewable energy resources that are most capable of producing during peak demand.  Millions of dollars could be saved in the wholesale electric market if we had more solar panels installed.[6]

Solar, like wind, also has the benefit of needing very little water to operate.  Solar photovoltaic (PV) installations need an occasional cleaning to keep performance high, but the amount of water need is minimal in comparison to fossil fuel options.  Coal-fired generators need billions of gallons of water to operate each year[7] and while natural gas-fired generations consume less water than coal-fired generators, they still use more than solar, even without accounting for the millions of gallons of water used to extract the gas with hydraulic fracturing.[8]  Including more renewable energy in our portfolio will make our electric grid less vulnerable to drought[9] and will free up water supplies that are desperately needed for human consumption and agriculture.

Abandoning the RPS now would send a terrible signal to renewable energy companies that are deciding where to establish their businesses.  Our state made a commitment that isn’t set to expire until 2025 at the earliest.  There is no good reason to abandon the policy now.  We should be moving in the opposite direction of what is proposed in HB 2026.  Instead of giving up on a policy that has been successful, we should be looking at ways to build on that success and benefit our state.


[1] AWEA. “Wind Energy Facts: Texas.” Oct 2012. http://www.awea.org/learnabout/publications/factsheets/upload/3Q-12-Texas.pdf.

[2] NREL. “U.S. Renewable Energy Technical Potentials: A GIS Based Analysis.” July, 2012. Pg. 10-13. http://www.nrel.gov/docs/fy12osti/51946.pdf.

[3] SEIA. Solar Industry Data. http://www.seia.org/research-resources/solar-industry-data#state_rankings.

[4] SEIA. State Solar Policy. http://www.seia.org/policy/state-solar-policy.

[5] “Report on the Capacity, Demand, and Reserves in the ERCOT Region.” Dec 2012. Pg 8. http://www.ercot.com/content/news/presentations/2012/CapacityDemandandReservesReport_Winter_2012_Final.pdf.

[6] Weiss, Jurgen, Judy Chang and Onur Aydin. “The Potential Impact of Solar PV on Electricity Markets in Texas.” The Brattle Group.  June 19, 2012. http://www.seia.org/sites/default/files/brattlegrouptexasstudy6-19-12-120619081828-phpapp01.pdf.

[7] “Environmental impacts of coal power: water use” Union of Concerned Scientists http://www.ucsusa.org/clean_energy/coalvswind/c02b.html

[8] http://www.ucsusa.org/clean_energy/our-energy-choices/energy-and-water-use/water-energy-electricity-natural-gas.html

[9] Wu, M. and M. J. Peng.  “Developing a Tool to Estimate Water Use in Electric Power Generation in the United States.” Argonne National Laboratory – U.S. Department of Energy. http://greet.es.anl.gov/publication-watertool.

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The Solar Energy Industries Association (SEIA) has taken a step that any self-respecting supporter of renewable energy should do – ditched the American Legislative Exchange Council (ALEC).  This relationship looked a lot like the fabled one between the scorpion and tortoise.

Despite members such as the SEIA and the American Wind Energy Association (AWEA), ALEC has decided to make a nationwide push to roll back renewable energy portfolio standards (RPS) that have been enacted in many states.  The RPS sets a percentage of electricity consumed that must be derived from renewable energy sources, such as wind or solar.  The Texas RPS, passed in 1999, has helped propel the state into its role and a wind industry leader.  At one point last month, the ERCOT electric grid (which encompasses most of Texas) was getting 26% of its power from wind turbines.

congratulationsIt pleases me to see good organizations such as SEIA leaving the backward notions of ALEC behind and I hope that other well-meaning organizations, businesses and elected officials will take a hard look at the facts and do the same.  ALEC has perverted the legislative process to suit its needs.  Model bills are developed behind closed doors to fit certain member industry desires and are then pushed for adoption in as many states as possible.  Of course, as SEIA has likely discovered, not all members are equal and its the big boys that get to make the rules of the game.

Numerous polls and studies show widespread support for renewable energy, but nothing speaks so loud as money.  Only when the coffers at ALEC dry up will they stop pushing this kind of backward legislation.

It remains to be seen whether ALEC’s effort to repeal the RPS will gain any traction in Texas.  Here’s to hoping that saner heads prevail and send ALEC packing.

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Advocates fault PUC for turning a blind eye to industry as Texas falls behind

Solar energy backers rallied outside the Texas Public Utility Commission [last] week seeking enforcement of a seven-year-old law that would boost electric generation from geothermal, biomass and the state’s ample supply of sunshine.

Public comment [ended Friday]on proposed rulemaking at the PUC, which has been reluctant to embrace the non-wind portion of the so-called renewable portfolio standards passed by the Texas Legislature in 2005. With those standards calling for generation of about 500 megawatts of renewable power from non-wind sources by 2015 and 3,000 megawatts by 2025, the Clean Energy Works for Texas Campaign sent petitions to the PUC urging it to carry out the law’s provisions. The group estimates that more than 6,000 individuals across Texas and 50 businesses or organizations lent their signatures in support.

“Why aren’t we seeing the clean energy we’ve demanded from our legislators? Why aren’t we seeing the thousands of new green jobs, new energy businesses and new tax revenues for our underfunded schools?” asked activist Dave Cortez of the Texas BlueGreen Apollo Alliance. “Four words: The Texas Public Utility Commission – a government agency run by unelected commissioners who have the power to take state law and misinterpret it, sit on it, lambast it, everything but implement it and ultimately say, ‘No, sorry. We don’t like it.’”

The PUC’s stand, as articulated by Chairman Donna Nelson, stresses the fact that wind power’s success has eclipsed the minimum renewable standards set in the law many times over. And, she argues that the law’s instructions on non-wind energy are not mandatory, a point of contention with solar backers. Moreover, she has said propping up solar power would increase electric bills and that the commission is not in the business of favoring one type of energy generation over another.

Executives from two Austin-based solar companies who attended the rally said each had respectively grown from only two employees to at least 25. And, with the business climate unfriendly to solar in Texas, they said, both companies are making upcoming expansions in a state more hospitable to their interests.

“The bad news is we’re in the process of opening a second office, and the second office will be in California,” said Tim Padden, founder of Revolve Solar. “I would rather be in Dallas, San Antonio or Houston, but the reality is California has taken a stand to support the development of the solar industry seriously by setting statewide goals and local support for their solar companies. I want to see this happen here in my home state. These could be Texas jobs.”

Stan Pipkin of Lighthouse Solar, an Austin-based solar design integration firm said his own company has shown an almost identical job growth and will also be opening offices in California.

“I’m deeply concerned that Texas is not taking advantage of the energy resource we have in most abundance,” he said. “Texas is currently 10th in solar capacity. This is absolutely confounding given our solar resource, our electric demand and our shortage of reserve capacity. It just doesn’t make sense.”

By Polly Ross Hughes

Copyright September 14, 2012, Harvey Kronberg, www.texasenergyreport.com, All rights are reserved.  Reposted by TexasVox.org with permission of the Texas Energy Report.

The PUC has put the non-wind RPS on the agenda for its open meeting this Thursday.  We need you to be there to show your support for moving forward with the rulemaking process.  Please email kwhite@citizen.org if you are interested in attending.  The meeting will be in the Commissioners’ Hearing Room on the 7th Floor of the William B. Travis building at 1701 N. Congress Ave, Austin.

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We are taking our Clean Energy Works for Texas campaign to the doorstep of the Public Utility Commission (PUC) next week.  We hope you will join us for a rally on Thursday, October 18 at 12 p.m. in front of the William B. Travis building at 1701 N. Congress Avenue, Austin, TX 78701

We are urging the PUC to create rules to enforce and expand the non-wind renewable portfolio standard (RPS). Passed into law in 2005, the non-wind RPS has languished at the PUC, thanks to pressure from certain lobby interests not to enforce the law. 7 years is too long to wait.

The PUC needs to hear that the people of Texas are ready to get to work building 21st century energy economies. With more solar potential than any other state, Texas should be an epicenter of the solar industry. Our workers should be supplying solar panels, inverters and other equipment to the rest of the country and the world. Enforcing the non-wind renewable portfolio standard will send a message to investors that Texas is open for business.

http://www.facebook.com/events/186701511465498/

For more information on the campaign and to sign on in support, visit www.CleanEnergyWorksForTexas.org.

Contact kwhite@citizen.org with any questions.

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Reuters carried a good story with this headline Texas, home to Big Oil takes a shine to solar power that describes the solar potential that exists, along with industry involvement and how it could be expanded here if we could just develop some statewide policy that supports it.

Too bad the commissioners at the Texas Public Utility Commission (PUC) don’t see it the same way. After spending years (literally, years– since 2005) to come up with a portion of the state’s renewable portfolio standard to deal with solar and other forms of renewables besides wind,  they finally got around to publishing a proposed rule (the 500Mw non-wind portfolio standard) for these technologies.

This effort, at best, would be best termed as abysmal.

As described by the Environmental Defense Fund in this post “The proposed rule drastically reduces the target set by the Texas Legislature in 2005 of 500 MW by the year 2015.”

Commissioner Ken Anderson  described it this way: “This is just a proposal.”  In fact, all three Commissioners stressed  that the simple act of publishing the proposed rule does not mean that the commission ever intends to implement the rule.

So it looks like the Legislature is once again going to have to take up this simple task. And give the commission direction. As they did 5 years ago. And again during last session.

Texas has lost hundreds of opportunities for solar companies to locate here–  and over 10 billion in capitol investment– because we don’t have any statewide policy in place to support what could be the biggest boom industry since they started calling the Austin the Silicon Hills (as opposed to the silicon valley).

With the Legislature having its hands full with a huge budget shortfall, redistricting and their usual work on top of it, let’s hope they can find time to  send a clear message to the PUC that this needs to be done (as they were instructed in 2005) and it needs to be done now before more opportunities slip away.

We need  a dramatically increased solar program.  More than anything, we need the jobs, we need the energy, we have the people and we have plenty of sunshine.  We just need a little good policy.

With ICF International’s John Blaney stateing “We’re continuing to expect renewable capacity to grow rapidly in the near term, but it slows briefly after the incentives expire. Despite the recent market volatility – the huge buildup in 2009 and the slowdown in 2010 — we project that the U.S. will install just over 51 gigawatts of renewables between 2011 and 2016 and 86 gigawatts between 2017 and 2030″, is Texas really going to miss out on this energy boom ?

With Austin and San Antonio making strides, the announcement of the ground breaking by RRE Austin on their solar farm and SunPower looking to open an office in Austin its just the tip of what could be a clean tech explosion for Texas.

Send some sunshine our way.

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By promoting cleaner energy, cleaner government, and cleaner air for all Texans, we hope to provide for a healthy place to live and prosper. We are Public Citizen Texas.

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Statement of Tom “Smitty” Smith, Director, Public Citizen’s Texas Office

We are thrilled – but not surprised – that because of a growth spurt in the development of wind energy, Texas has met its renewable energy goal 15 years ahead of schedule. Each time Texas has set a renewable energy goal, the state has achieved it far in advance of the deadline set by the Texas Legislature. That’s because Renewable Portfolio Standards (RPS) policies are incredibly effective at stimulating new technologies and economic growth.

RPS policies are also remarkably successful at reducing air pollution and global warming gases. This program has resulted in 9 million fewer tons of carbon dioxide and reduces emissions of nitrous oxide, or NOx, by 15,000 tons per year and as such should be heralded as one of the state’s most effective environmental programs. The success of this initiative goes to show the positive outcomes that can be reached when environmentalists and business communities work together.

In 1999, the Texas Legislature created a Renewable Portfolio Standard that required all utilities to get at least 3 percent of their energy or a statewide total of 2,000 megawatts from renewables by 2020. In 2005, that goal was increased to 5,880 megawatts by 2015, with a target of 10,880 megawatts capacity created by 2025, which is the target that has been met. At the time of its implementation, this legislation was the most aggressive in the country. Similar policies have proven successful at creating demand for renewable energy throughout the United States, but nowhere have they been as successful as Texas. In Texas, these policies have resulted in the creation of as many as 83,000 jobs, according to Public Citizen studies.

Texas should adopt the same policies to encourage the growth of non-wind renewable energy such as solar, geothermal, biomass, agricultural methane and landfill gas. Texas has become a leader in wind as a result of carefully crafted policies like the RPS, but there is no reason we can’t do the same and become a leader in non-wind renewable energy as well. The Public Utility Commission and the Texas Legislature have the opportunity to develop other sources of renewable energy and thereby bring economic growth to Texas. This is happening elsewhere, but not in Texas, because we lack the specific incentives for non-wind renewables that other states have jumped to adopt.

The current success would not have been possible without the hard work of environmentalists, large wind producers like the Wind Coalition, the Texas Renewable Energy Industries Association (TREIA), environmental groups, church groups and rural county officials who worked together on what has become one of the state’s largest job creation programs and boon, through increased property taxes, to educational services in rural communities. Our thanks go out to these parties, and we certainly hope that in 10 years, we can applaud the similar success of solar and geothermal energy due to a non-wind RPS.

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By promoting cleaner energy, cleaner government, and cleaner air for all Texans, we hope to provide for a healthy place to live and prosper. We are Public Citizen Texas.

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Earlier this morning, I offered the consolation that bills which died due to the Voter ID debacle could be revived as amendments to other bills.  This afternoon, I’m keeping an eye on the Senate to see if my solar dreams will come true.

rays-of-hopeThis afternoon, the Senate has HB 1243 on their intent calendar.  HB 1243 is a “net metering” bill which would ensure that owners of solar installations, small wind turbines, or biogas generators get paid a fair price for the excess power they produce.  As HB 1243 is a solar-related bill, it can be deemed germane, or related, to solar SB 545, which “died” last night (as a reference, I’d also recommend this Houston Chronicle article).

Which means that SB 545 can (maybe, possibly) be amended to HB 1243.  Tentative huzzah!

It gets better.  HB 1243 is co-authored by Senator Troy Fraser — the same fellow who sponsored SB 545.  As both of these bills are Fraser’s babies, the chances of SB 545 living on as an amendment are looking pretty good.

Senator Fraser has yet another opportunity with this bill to fix a gaping hole in the 500 MW non-wind renewable portfolio standard (RPS) passed last session.  When this bill was passed, the RPS was described as a “goal” rather than a “target” — which due to a rather frustrating determination by the PUC, means that it can be interpreted as a recommendation rather than a requirement. Fraser was heard in committee calling this determination “the most ridiculous thing he’d ever heard.”  Translation: PUC has decided they don’t actually have to do anything to work toward that 500 MW of non-wind renewables.

fraserDuring these dark, cloudy times at the Texas legislature, Senator Fraser can shine a ray of hope into the Senate chamber.  He can create a pool of $500 million in solar rebates over the next 5 years, start a pilot program to put solar on schools, and create as many as thousands of green, local jobs in one fell swoop.  He can fix net metering so that individuals get a fair buy-back for the excess electricity they produce and actually have an incentive to shell out the cash for a new solar installation.  He can also ensure that Texas ends up with an additional 500 MW of non-wind renewables.

So cross your fingers, cross your toes… cross your arms and legs if you think it will help.  If Senator Fraser is your representative, give him a nudge — but otherwise, I’d stick to chanting.

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Last week was pretty crazy for Austin — SXSW came in like a lion, and I’ll admit I am quite pleased that the city is laying quietly like a lamb once again.  But though Sixth Street may be back to its sleepy Monday morning self, Public Citizen’s office is back in full swing.  We’ve got a lot coming up this week: Solar Day in the Senate, Energy Efficiency hearings galore, a press conference and hearing on Sen. Ellis’ coal moratorium bill… and that just brings us to Tuesday.  But before we launch headfirst into the environmentalist’s version of March Madness, let’s take a moment to regroup from last week.

From the good folks at Alliance for a Clean Texas, check out this mid-week review.  A taste:

With meetings of the House and Senate State Affairs committees, House Energy Resources, House Environmental Regulation and not one but two meetings of the Senate Natural Resources Committee, the environmental agenda is in full swing in the 81st Session. This morning, Senator Lucio and Representative Gallego led a press conference highlighting legislation filed that supports investment in emerging renewable energy such as solar and geothermal. (The entire press packet is available here.) Among the benefits to investment in renewable energy? Green jobs, for one. (Stay on the lookout for green hardhats in the Capitol. You never know who’ll turn up wearing one.)

For more information on our St. Patty’s Day press conference with Sierra Club, check out Floor Pass’ Luck O’ the Lege post.  You heard right, the number of renewable energy bills this session has doubled compared to last.  As Mark Strama noted at the conference, “if you can just get everyone that filed a renewable energy bill to vote for a renewable energy bill, you’ll pass them all.”  We should be so lucky!

Legislators who have authored Renewable Portfolio Standard (RPS) bills held a press conference this morning to announce that the number of renewable energy bills filed has doubled from last session to this session. For those yet unfamiliar with the jargon, RPS is a policy tool that sets a goal for providing a certain percentage of total energy used from renewable sources like wind and biomass. You can find descriptions of the RPS bills here.

Check our Flickr photostream for photos from the press conference, and stay tuned to stay in the loop this week!

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