PORT ANGELES — Clallam County Public Utility District commissioners have signed onto a fight against a portion of a “green energy” law they say will raise ratepayers’ bills.
Commissioners adopted a resolution Monday to endorse an effort by the Tri-City Regional Chamber of Commerce to amend the Washington Energy Independence Act.
The act requires qualifying utilities to incrementally increase the amount of eligible renewable-energy resources from the current 3 percent of the utility’s total resource pool to 9 percent in 2016 and to 15 percent by the year 2020.
The PUD primarily uses base-rate Tier I energy but has approved the purchase of more expensive Tier II electricity to meet the growing needs of its customers in 2013.
Those needs aren’t increasing as quickly as anticipated, due to effective energy-conservation programs and because there is less power consumption because of the current poor economy, said Joshua Bunch, PUD’s financial controller.
Since the PUD anticipates using little Tier II energy, the requirements of the act would mean the utility would be required to purchase the far more expensive renewable resource energy instead of the least expensive Tier I power, said Bunch.
Under the Energy Independence Act, existing low-cost and clean hydropower is not considered a renewable-energy source.
“Not only is low-cost clean hydropower not considered renewable under the act, but if we experience minimal load growth, we are still required to replace that very affordable clean power with power that is three to four times more costly,” said commission President Ted Simpson.
What PUD pays now
The PUD now pays between $30 and $35 per kilowatt hour, with a guaranteed price cap of $45 per kilowatt hour, said Fred Mitchell, power supply and utility services manager.
“The changes to the act supported by this resolution do not change the intent of the original initiative,” said Doug Nass, PUD general manager.
“It simply allows for greater local control and adapts to the current economic climate, where growth is very slow.
“It really doesn’t make much sense to purchase power that is three to four times more expensive than the clean renewable hydropower we have now, especially if we don’t need it,” Nass said.
Commissioner Hugh Haffner said Bonneville “is still cheaper than solar or the wind.”
The Tri-City Regional Chamber of Commerce is working to amend the Washington Energy Independence Act in a way that “prioritizes the acquisition of conservation and eliminates the forced acquisition of eligible renewable resources that are not needed to serve load.”
Detailed information about the Tri-City Regional Chamber of Commerce’s efforts are available at www.wapower.net.
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Reporter Arwyn Rice can be reached at 360-452-2345, ext. 5070, or at arwyn.rice@peninsuladailynews.com.
