WisBusiness: Revised state energy bill gets a mixed reaction

By WisBusiness staff

Backers of the “Clean Energy Jobs Act” hailed a revised bill unveiled Tuesday as a positive step to move the state toward energy independence. But critics complained the legislation still largely resembles the unacceptable original plan.

The new version of the bill drops low-carbon fuel requirements, California vehicle emission standards and a boiler inspection and efficiency requirement that had been a concern for many industrial facilities.

It also tweaks language on renewable energy mandates to allow energy efficiency projects to count toward the requirements and continues to include the requirement that’s been a key focus for Gov. Jim Doyle — that 25 percent of the state’s energy portfolio come from renewable sources by 2025.

Doyle said it was a “good compromise that will bring down consumer costs, create more than 16,000 jobs in the state, and position Wisconsin to continue its leading role in clean energy production.”

But industry representatives say the legislation will still sock consumers with significant energy rate increases and hurt the state’s businesses.

Scott Manley of WMC said the most expensive provisions in the bill remain. Those include renewable energy mandate and new authority for the state Public Service Commission to raise revenue through electric bills to fund energy efficiency and conservation. Opponents have cited a PSC study they say shows the provision will cost taxpayers $700 million a year.

“The bottom line is this is still going to be a tremendously expensive bill for electricity customers in this state,” Manley said.

Todd Stuart, executive director of the Wisconsin Industrial Energy Group, said it appeared negotiators pulled out the provisions that were “no brainers and non-starters.” He was also disappointed no provisions were added to provide relief to consumers if the requirements prove more expensive than anticipated.

“I’m blown away by the fact there’s really no cost containment safety valve in here, nothing,” he said. “After months and even years of debate of costs, costs, costs, not to see a cost safety valve embedded in the bill is just stunning.”

Meanwhile state Rep. Spencer Black, one of the bill’s authors, said the bill will create jobs, hold down utility rates and “clean the air.”

He also said the bill has been made stronger by the changes, saying the revised bill would “not only improve our environment but improve our economy.”

Black said he expects committee action in the Assembly and Senate this week and is still holding to his prediction that it will pass by the last day of the legislative session, April 22, which is Earth Day.