The Louisiana Public Service Commission is trying to increase “green” efforts in Louisiana.The LPSC has proposed a new environmental policy called a Renewable Portfolio Standard — or RPS — and will present its policy proposal for review on March 10.According to the Louisiana Department of Natural Resources Web site, a RPS requires electricity companies to purchase or generate a certain amount of power from renewable energy sources, like biomass, solar, wind, water or geothermal.”This is something across the country to encourage renewable energy development,” said Christian Roselund, communications director for the Alliance for Affordable Energy. “It’s been the most widely adopted policy in the U.S.”Twenty-eight states have adopted RPS policies as well as Washington, D.C., Roselund said. An additional six states have a pending RPS target, he said.Roselund said southern states like Louisiana, Mississippi, Alabama, Georgia and South Carolina have not implemented an RPS.”[The South is] behind the rest of the country in energy policy in general,” he said. “Frankly, I see regressive political structures. The excuse has been made that Louisiana doesn’t have enough renewable energy. It’s the resistance of companies like Entergy. They’ve strongly resisted renewable power and have been able to get away with it.”
LPSC’s RPS proposal will require utility companies to derive 12.5 percent of their power from renewable energy sources by 2025. The LPSC’ proposal also involves a goals-based or voluntary RPS policy.But the Alliance for Affordable Energy is opposing the LPSC’s proposal for various reasons, Roselund said.”It’s not a RPS,” he said. “It includes nuclear energy and advanced coal technology, and those are not renewable energies.”Roselund said the LPSC’s RPS goal of 12.5 percent by 2025 is too weak. He said the Alliance recommended a goal of 20 percent by 2025, which was similar to national targets. He said the LPSC’s proposal is unacceptable because it is voluntary and not binding.”Unfortunately, the Louisiana Public Service Commission staff has chosen a bizarre interpretation of what a RPS is and one that was unexpected,” Roselund said. “A non-binding RPS is meaningless.”Lauren Stuart, Center for Energy Studies research associate, said 96 percent of greenhouse gas emissions in Louisiana are energy related, which is why energy policy is important for the environment.”Currently our renewable sources of electricity generation are a negligible portion of the state’s energy use,” Stuart said. “Putting the sources of our electricity up to 12.5 percent would be a significant increase from where it is now.”Setting a low goal of 12.5 percent will more likely be accepted by the utilities industry, Stuart said. Setting a high goal has the benefit of adding pressure to the utilities industry to use renewable energy resources, she said.Roselund said biomass is Louisiana’s most available renewable energy resource. Biomass is biological matter, like plant or animal waste, that can be burned to generate electricity, he said.Roselund said Louisiana’s inland wind is unsuitable for large scale wind generation, but Louisiana’s offshore wind is strong and has the potential to be a valuable renewable energy resource. He said solar energy is another potential resource.”A shift to renewable energies will result in tremendous job growth in rural and urban areas [in Louisiana],” Roselund said. “It’s the future of our state … not just for stabilizing energy prices and job creation but carrying Louisiana through the 21st century.”Stuart said measuring the benefits of an RPS policy is tricky. She said the most likely outcomes will be increased utility bills for customers, expanded renewable energy industry opportunities and decreased electric power emissions.”What is for certain is that utility companies will not want to pay this out of their profit margin,” Stuart said. “They’ll pass along the cost to their consumers.”The LPSC will vote in May on whether to adopt an RPS for Louisiana. It will choose on Wednesday either to keep the current RPS proposal or to revise it further.”What proposal they decide to go for is the most significant point,” Roselund said. “If they vote on this policy, it will set us back. The big fight is not the vote, but the policy.”
__Contact Mary Walker Baus at [email protected]
LPSC to review renewable portfolio standard Wednesday
March 7, 2010