The AP is reporting that the Republican controlled House is expected to introduce legislation shortly that will strip all authority from U.S. EPA to regulate greenhouse gases (GHGs) under its existing authority in the Clean Air Act. This would specifically target the EPA’s endangerment finding and could possibly go as far as saying GHGs are not
Meeting with Serbian Delegation Leads to Interesting Exchange
A few weeks back I was contacted by the Cleveland Council on World Affairs (CCWA) to meet with a small delegation of representatives from Serbia who were interested in learning about environmental regulations, specifically those that relate to solid waste and/or recycling. While I was to be interviewed by the delegation members, I think I…
Ohio Budget Update: Environmental Related Developments
Here is a quick update on some of the important changes that were or were not included in the Ohio Budget (H.B. 1) that impact environmentally related issues and Ohio EPA’s budget:
ERAC Deadlines- As discussed in my previous post, the Ohio Budget included mandatory deadlines placed on ERAC for making determinations on appeals filed before…
Ohio Utilities Commission Adopts Long Awaited Energy Efficiency and Alternative Energy Portfolio Standards
On April 15, 2009 the Public Utilities Commission of Ohio finally adopted the long awaited rules that will govern Ohio’s energy efficiency requirements and its Alternative Energy Portfolio Standard (AEPS). Ohio was one of the last states to have adopted a Renewable Portfolio Standard (RPS)- more broadly defined as a AEPS in Ohio. However, as…
PUCO Delay Creates Uncertainty in Ohio’s Renewable Energy Market
On August 20, 2008, the Public Utility Commission of Ohio (PUCO) put forth proposed rules governing alternative and renewable energy sources. The rules main purpose was to govern implementation of the State’s new Advanced Energy Portfolio Standard (AEPS) established in Senate Bill 221. The AEPS is broader version of a renewable portfolio standard (RPS) adopted by other states…
Progress in Ohio on Renewable Energy Job Creation…But What Next?
Governor Ted Strickland made his State of the State speech today. While almost the entire speech was focused on education there were a few interesting nuggets relative to Ohio’s progress in developing green jobs.
"Over the last three years, Ohio has led the nation with 350 new or expanded facility projects in the renewable energy
…
Ohio Scorecard on Developing a Clean Tech Economy
The gloom and doom of today’s economy, especially in Cleveland, is covered almost daily. Job’s have been disappearing from the area at a rapid clip. The front page of the Cleveland Plain Dealer has almost been dedicated to breaking the bad news. See, Plain Dealer Article "Northeast Ohio Job Loses Spread."
The Article includes the…
Local Zoning Can Tie Up Small Solar and Wind Projects in Red Tape
When a former Secretary of State (George Shultz) and a Vice President (Al Gore) can’t seem to navigate local ordinances to install solar systems on their own homes, what are the chances for everyone else?
These are two high profile examples cited in a recent report that discusses streamlining the local approval process for solar and…
Obama’s Environmental Agenda Collides with the Economy
Have you ever heard of the irresistible force paradox? What would happen if an irresistible force met an in-movable object? I think this paradox may describe what will happen when the Obama Administration’s environmental agenda meets the reality of the economy.
Remember a few months back when oil peaked around $140 a barrel. Of course…
Major Issues Revealed With Ohio’s Alternative and Renewable Energy Rules
The initial comment period is now closed on the Public Utilities Commission of Ohio’s (PUCO) draft rules for implementation of the Alternative and Renewable Energy Requirements. The PUCO received hundreds of pages of comments from a wide variety of perspectives: Utilities, Renewable Energy Developers, Industrial Customers, Environmental Groups, Clean Coal Technology Providers, and Consumer Groups.
The rules were set in motion by passage of Ohio’s comprehensive Energy Legislation (SB 221) which includes provisions designed to promote alternative and renewable energy development. The legislation includes both an Advanced Energy Portfolio Standard (AEPS) and a more traditional Renewable Energy Portfolio Standard (RPS).
While the Legislation was very complex, major policy issues were left to be sort out through rule promulgated by the PUCO. The comments received on the first draft of the rules for implementation of the AEPS and RPS reveal significant differences of opinion over critical issues.
Here is my critical issue list. The rules must address squarely these issues to determine the direction of Ohio’s energy policy.
- What are "advanced energy" resources and projects and how best to promote it? For example, right now the rules contain no standards for what qualifies as clean coal. Comments I submitted pointed out that a simple reduction of a few pounds from a 500 mw source that emits a 1,000 tons of pollution could still be considered a "clean coal" source. Worse yet, the entire generation could qualify toward meeting the AEPS. Without modification the AEPS could be rendered effectively meaningless.
- Double counting environmental attributes- It appears from the comments that Ohio doesn’t recognize this debate has been going on nationally for some time. Many of the 26 or so states that have had RPS standards have been sorting this type of issue out. The standard practice emerging nationally is not to allow CO2 emission reduction credits to be separated from a Renewable Energy Credit (REC). Allowing otherwise distorts the voluntary CO2 and REC markets.
- How much teeth does the RPS have? Many comments were submitted that the rules would grant the PUCO too much discretion to waive compliance with the RPS standard based upon a "act of god" (force majeure). Also, SB 221 allowed compliance with RPS benchmarks to be waived if electric rates rise as a result of the RPS by more than 3%. But how you measure the 3% increase is critical to determining whether there truly will be a RPS requirement in Ohio. It seems the rules have to answer the question-are we serious about having an RPS standard in Ohio?
(a summary of the major comments on the AEPS and RPS by clicking on "continue reading" below)
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