MFPC Notes on LD 1181
An Act To Create Jobs Through Investment In Green Energy
To view LD 1181, please click here.
(MFPC comments in italics)
PART A
Page 1, 1.Definitions. B. Green design building standard. We need to check and see if this is flexible or feeds into the LEEDs program. Pat Sirois can review to see if National Building Standards Council program will fit. It places more value in wood construction and accepts more of a variety of certified programs.
PART D
Page 9, §2041 Green Energy Job Growth Fund.
1. Definitions. G. Target Populations, (3) Dislocated agriculture, timber or energy sector workers who can be retrained for high wage occupations in high-demand green energy economy industries.Traditionally papermakers make the highest average wage of Maine citizens. Pellet, biomass, liquid fuels, and related harvesting systems need to be included in the definition of the green energy economy. In New Brunswick they are transitioning to a forest energy economy- materials from the BioAtlantica study are circulating. In Maine we have competing uses for wood, but this creates opportunities for diverse markets when we experience an economic recovery.
Page 10, 2. Initiative and Fund Established, A. Green energy Job Growth Fund.
Need to make sure the green forest energy economy is included.
Page 11, 5. Designation of high-demand industries. Determining which industries are high-demand based on” current and projected job creation and strategic importance to the states green energy economy” is challenging. Theoretically from a manufacturing standpoint the more energy efficient you are with your manufacturing equipment the more work is done per man hour. The emphasis on career ladders is noble, but perhaps a focus on good quality jobs and an exceptional work environment is more realistic.
Page 12. 7. Industry or sector partnerships. A. An industry or sector partnership. (1) Organize key stakeholders in a targeted industry cluster into a working group that focuses on the human capital needs of a targeted industry cluster. Investment in this kind of focus in the forest industry adaptation would be extremely helpful and align government and industry focus. Take care of existing industries before investing in currently popular programs.
Page 18, (f) Performance Measures, with quantifiable benchmarks. (i) Workers employed in the industry sector….”number of workers with increased wages”. A focus on only continuous wages will drive costs for an organization too high and they will not be globally competitive.
PART G, PUBLIC BUILDINGS
1. Limitations of Home Rule Authority.
Lead by example and focus more on an incentives approach when proposing policy on local structures.
5. State Funding. This looks like a mechanism to provide a safety relief valve on project expenses.
PART I,
Page 29, 4-A Distributed renewable Energy technology. Distributed renewable energy technology means a product or facility or cluster of products or facilities that has generating capacity of more than 5 megawatts or an equivalent amount of heat energy and either generates energy in a manner that results in no carbon dioxide emissions or that relies on one or more of the following: It does not look like cogeneration using wood waste is on this list and it needs to be in order to support the green energy economy. To date biomass stand alone units have been considered neutral emitters with a debate on certifying the wood source. Cogeneration of heat and power will be one of the more efficient sources of fuel. This provision should also consider collocation of biomass energy plants and associated manufacturing.
2. Distributed renewable energy technology. This section looks like it creates a utility under the control of PUC for all energy projects. This could be problematic for encouraging entrepreneurial projects.
Page 34, 1-A Decoupling with respect to peak load. Decoupling is an important concept in creating incentives for utilities to survive and encourage new sources of power to be introduced to the system. Need to study applicability here.
Page 35 Sec. J-3, A. This looks like a ramped up portfolio of supply sources for retail electricity sales. This will only increase the costs of Maine energy available to manufacturing if it is not linked to price goals as well. We may be a green state when all is done, but without manufacturing we will be impoverished in the rural communities, this would be tragic especially when the forest products green energy opportunities are just emerging.
Page 39, D. Combined Heat and Power savings. Need to check with our mills to see how these provisions will work.
Page 40, 2. Purchase of Efficiency Credits. It looks like funding for all the programs will be achieved through the purchase of energy efficient credits through a calculation of energy savings. Not sure how this will lower costs for manufacturers. We are still evaluating how much of the RGGI funding will be returned to the manufacturing sector.
Page 66, Commercial Programs, 1. Small businesses. Need to define small businesses, under SBA definition I think most of the members qualify.
Page 70, INDUSTRIAL PROGRAMS,
§10191 Establishment of Industrial Programs. Efficiency Maine shall develop, implement and monitor programs and measures to increase electric, gas, and heat energy efficiency and conservation. Just need to make sure manufacturers are evaluated on per unit energy costs with a goal to decrease costs.
1. Small Business. Need to define.