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Rhode Island Sends Mixed Signals on Renewable Energy

Rhode Island was one of the first states in the country to establish a renewable energy standard, a requirement for electricity suppliers to include an increasing percentage of power from sources such as local wind turbines and solar. The standard has worked well, changing the mix that Rhode Islanders get, whether they purchase from National Grid or through a competitive supplier. The standard is scheduled to increase by 1 or 1.5% per year. However, we were disappointed in December to learn that the Public Utilities Commission (PUC), appointees of Governor Chafee, voted 2–1 to delay a scheduled increase in the state’s requirement. What it means, very simply, is less renewable energy purchased by Rhode Islanders. And that means less green power on the New England grid because generators cannot get financing to build projects unless there is sufficient demand.

N Kingston turbinePP&L opposed the delay, as did the Conservation Law Foundation, the New England Clean Energy Council, and even the state Office of Energy Resources. In fact, even National Grid wrote testimony indicating that there were resources adequate to justify sticking with the original schedule.

In our view, the PUC made a terribly short-sighted decision. Renewables help us become less dependent upon fossil fuels and are absolutely critical to reducing the greenhouse gases causing global warming. We need to increase the Renewable Energy Standard, not backtrack!

On the bright side, legislation has recently been filed to dramatically expand the state’s very successful “Distributed Generation” (DG) program. The DG program requires National Grid to offer generators of in-state renewable energy projects with a fixed rate per kilowatt hour sufficient to make projects worthwhile. The pilot program, which expires at the end of 2014, has enabled developers to build projects at lower cost with less risk than in most states. The pilot program supports 40 megawatts of renewable energy capacity and has been especially important for commercial-scale solar projects, but it has also benefitted wind and will also benefit small-scale hydro and anaerobic digesters. 

distribution of new renewable energy by state and type In 2012, just 1% of the renewable energy purchased by Rhode Islanders for compliance with the Renewable Energy Standard mentioned above was actually generated from in-state projects.  The DG program helps to keep our renewable energy dollars in Rhode Island. 

Rhode Islanders – please contact your legislator and ask him or her to vote for the DG Growth Bill, House 7727 or Senate 2435.  You can get contact information at https://sos.ri.gov/vic/.

The bill that has just been filed has earned support from several stakeholders including PP&L, Conservation Law Foundation, New England Clean Energy Council, Environment Rhode Island, the state Office of Energy Resources and National Grid. If passed, it will drive the development of 160 megawatts over the next 4–5 years. That amount would place Rhode Island high on a scorecard of states in support of renewable energy. While PP&L has always been an advocate for the Renewable Energy Standard, we also feel it needs to be accompanied by policies that lead to projects built in-state, so that we can see a strong economic benefit. In our view, a wind or solar project in Maine is good, but a project in Rhode Island is better!

PP&L is proud to be part of the DG coalition. We feel that our memberships in both the Environmental Council of RI (environmental groups) and the New England Clean Energy Council (industry) were helpful in negotiations. 

But please note that the bill has not passed! Please contact your legislator and ask him or her to vote for the DG Growth Bill, House 7727 or Senate 2435.  If you are not sure who your senator or representative is, you can find out by visiting this page https://sos.ri.gov/vic/ or by calling our office at 401-861-6111 and asking for Kat or Priscilla.

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