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Renewable Energy Measure Could Give State A Shock

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The Tampa Tribune

Published: February 17, 2009

Congress is developing legislation that would require power companies to obtain more energy from renewable sources. The effort, which will cut the nation's dependence on foreign oil, clean the environment and create American jobs, is worthwhile.

But the present proposal, sponsored by Sen. Jeff Bingaman, a New Mexico Democrat, could unfairly penalize Florida ratepayers.

The measure establishes renewable and energy efficiency targets for utilities that would increase from 4 percent in 2012 to 20 percent by 2039. The measure would allow states to buy renewable energy "credit" from states that exceed the standards.

Listed as eligible renewable sources are solar, wind, landfill gas, geothermal, ocean (current, wave, tidal and such), biomass and hydropower.

But the list appears skewed to needs of Western states, where wind and hydropower are readily available.

It leaves out what presently is Florida's major source of renewable energy - refuse-to-energy plants, such as Tampa's MacKay Bay Refuse-To-Energy Plant. The 22.8-megawatt plant generates enough power to meet the needs of 12,000 homes. It has been fitted with state-of-the-art air emission controls that make it, city officials say, one of the cleanest sources of alternative power in the world.

Yet the state would get no credit for the plant's power should current language be adopted.

Refuse-to-energy plants now represent one-third of Florida's renewable generation. Waste heat from phosphate and other industrial plants accounts for almost a quarter of the state's renewable energy. Waste heat also would not be counted toward the renewable standards.

The likely result would be the state would either be fined or forced to buy renewable energy from out-of-state, which would hardly encourage the development of efficient local sources.

Benefiting would be Western states, such as New Mexico, where wind power can be easily generated.

With renewable funds flowing to other states, Florida utilities' ability to invest in alternative energy sources, such as solar and biomass, would be compromised.

As John Ramil, president of TECO says, "We pay the market price for the energy from municipal (waste) plants. We would rather see the money stay here."

The nation does need to focus on renewable energy sources.

Bingaman is correct when he says, "Such a standard diversifies our resource base, lessening the effect of supply disruptions or shortages, creating greater economic stability. It reduces our dependence on foreign sources of energy, creating greater energy security. It would also spur the development of a national green energy economy, creating hundreds of thousands of jobs, many in rural areas."

He stresses independent analysis of the standards show they will cost little and may even result in lower costs.

But that won't be the case for Floridians if changes are not made in the proposal's language.

As the debate proceeds, Florida's congressional delegation should make sure the energy standards don't pull the plug on Florida's existing renewable effort or give ratepayers an unnecessary jolt.

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