29 Governors demand US renewable electricity standard

March 16, 2010

The Governors' Wind Energy Coalition recommendations back a 10% renewables standard by 2012

A group of 29 bipartisan state governors has called on the President and Congress to back a national renewable electricity standard and develop a new interstate transmission system to unlock the nation’s wind energy.

Governors from California to Maine and Washington to Florida came out today to warn that America’s dependence on imported energy “poses unacceptable and unnecessary risks to the nation’s energy, economic and national security”.

The so-called Governors’ Wind Energy Coalition has issued a series of recommendations that it says would support 500,000 jobs and tackle climate change while improving US energy independence.

This included more support for deep water offshore wind technology research and development, streamlined permitting processes for onshore and offshore wind projects, along with the adoption of a long-term tax credit scheme for clean energy manufacturers.

If the move to more wind power was taken, the Coalition claimed there would be energy-related cost savings to the nation ranging from $100 billion to $250 billion through 2030, “offsetting by several times the incremental cost of about $40 billion”.

The governors said Congressional action on a new Energy Bill had “stalled”, and said it hoped the bipartisan consensus of its recommendations could help move things forward.

Iowa Governor Chet Culver, who is chairing the Governors’ Coalition, said today: “Americans have great expectations for the nation’s energy future, and these recommendations from the nation’s governors to Congress and the Administration meet those expectations.”

Renewable Electricity Standard

Heading up the Governors’ recommendations was a nationwide Renewable Electricity Standard (RES), a uniform requirement for utilities to supply a growing proportion of their electricity from renewable sources.

While just over half of US states already have some form of RES, the Governors’ Coaltion said the nation’s wind industry and supporting infrastructure would not reach its full potential without a pan-American standard. A RES system is a “proven job creator” in the states that have one, as well as similar systems in foreign countries, the governors said, adding that it would boost US manufacturing efforts.

They support a 10% by 2012 target, which has been demanded by the wind industry itself, although the Governors did not suggest a longer-term target, such as the 25% by 2025 goal favour by US wind interests.

The Governors’ Wind Coalition argued against a voluntary RES, as has been favoured by some organizations and states, saying that voluntary approaches “generally do not produce the desired results in a timely fashion”.

If all electricity suppliers had to play by the same rules, the Coalition explained, there would be no risk of companies losing market share by pushing for a voluntary target while competitors do not.

Last year, the US House of Representatives narrowly passed a Bill recommending a requirement on utilities to source a growing proportion of their power from renewable sources and energy efficiency savings. The Waxman-Markey climate and energy bill, or American Clean Energy and Security Act as it is now called, requires overall renewable energy and efficiency to provide 6% of power in 2012, rising to 20% in 2020.

However, the recommendations of the House Bill need to be taken forward through the Senate before they can gain the President’s signature and become law.