Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON -- SELECT -- STRATEGIC RENEWABLE ENERGY

Date:04/26/2006
ATTENDANCE
Time:01:42 PM to 04:09 PM
Lundberg
X
Madden
X
Place:LSB A
Rose
X
Gallegos
X
This Meeting was called to order by
Solano
X
Representative Solano
This Report was prepared by
Geoff Johnson
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed: Action Taken:
Governor's Office of Energy Managemen
Renewable Energy Policies in Other States.
Panel Discussion: Renewable Energy Policy		-
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01:44 PM

Drew Bolin, Director, Governor's Office of Energy Management and Conservation (OEMC), commented on the history of the agency. He commented on past efforts and expenditures to make state buildings more efficient. He commented on the activities of his office related to advocacy of renewable energy in the state. He spoke of wind energy publications which are produced by the OEMC and commented on efforts that are being made in regard to emerging energy technologies, including biomass, biofuels and E85. He commented on the impact of renewable energy companies on economic development in the state. He distributed four handouts (Attachments A through D.)

02:00 PM

Jennifer DeCesaro, National Conference of State Legislatures, commented on renewable energy in the states. She commented on rules, regulations, and financial incentives related to renewable energy. She distributed four handouts, (Attachments E through H.) She commented on net metering in the states and its impact on small generators of electricity. She commented on Colorado's renewable energy efforts in relation to neighboring states. Of these states, New Mexico and Arizona are the most progressive in terms of renewable energy development. She distributed a copy of New Mexico House Bill 111 (and copies of other sample legislation) which would create a Renewable Energy Transmission Authority. She noted the efforts of the State of Arizona relating to renewable energy development. She described various state case studies relating to renewable energy production, including the State of Washington. She commented on renewable energy efforts in the State of Minnesota, including the state's Agricultural Improvement Loan Program and that state's incentives for ethanol production. She gave short-term and long-term recommendations to the committee.


02:14 PM

Paul Orbuch, Western Governor's Association (WGA), commented on the Clean and Diversified Energy Initiative, and the importance of energy and public lands policy to western states. He commented on a policy resolution of the Association related to electricity. He distributed two documents to the committee (Attachments I and J.) He spoke of WGA task forces that have examined policy related to various fuels. He commented on recommendations forthcoming related to renewable energy from the WGA.02:23 PM

Todd Foley, BP Solar, spoke of the solar energy activities of his company. He noted the advantages of solar energy to homeowners, and the environment. He spoke of the growth of the global solar market and said that costs of solar are falling and use is increasingly dramatically. He distributed a handout to committee members (Attachment K).

02:29 PM

Rick Gilliam, Western Resource Advocates, commented on the implementation of Amendment 37 and rules that have been promulgated by the PUC. He said that bills received by customers will be confusing due to "rider policies of the PUC." He commented on rural electric cooperatives in Colorado, and on net metering. He said that he would like to see some sort of "Blue Book type analysis" for utilities considering opting out of Amendment 37. He distributed two handouts to committee members (Attachments L and M.)

02:37 PM

John Covert, Harvesting Clean Energy Network, spoke of his organization's meetings with rural communities and relationships that have been developed with Colorado's stakeholders in renewable energy. He said that he is pleased with the leadership of the committee in this policy area.

02:43 PM

Bill Schoer, Colorado Energy Advocacy Office, distributed recommendations to the committee (Attachment N) including designation of a central agency to develop a comprehensive energy use and development plan.

02:57 PM

Steve Bernia, Department of Local Affairs, commented on renewable energy and building codes (Attachment O.)


03:02 PM

Richard Mignogna, Public Utilities Commission, commented on the implementation of Amendment 37 and final adoption of rules related to the Amendment. He commented on the role of the Public Utilities Commission in this regard.

03:16 PM

Recess.

03:20 PM

The committee meeting reconvened and Representative Solano asked for input from the panel on the packet of recommendations that have been submitted to the committee. Steve Bernia commented on the potential down side of a uniform policy on building codes related to renewable energy. Rep. Lundberg said that he believes that the state should be proactive in the consideration of building codes and permitting processes. He commented further on standards for above ground tanks for alternative fuel storage.

03:32 PM

Jennifer DeCesaro commented on requirements for state-owned buildings using energy efficient technologies. Drew Bolin said that Colorado law currently mandates life-cycle cost analysis. Representative Rose said that he would like to see funding for the construction of state facilities prioritized based on life-cycle costs. Bill Schoer said that recycling should fit within an authority to consider a total energy plan for the state.
03:39 PM

Drew Bolin spoke of the OEMC efforts to educate the public in regard to renewables. Todd Foley said that behavior is more likely to change with financial incentives. He added that many federal tax incentives relating to renewables will expire at the end of 2007. John Covert suggested prioritizing the enactment of tax incentives to support ethanol production and to increase its competitiveness.


03:47 PM

Representative Madden said that there will not be an official interim committee on this topic. She suggested that the group meet informally.

03:50 PM

Drew Bolin commented on tax incentives for the establishment of new ethanol plants. Jennifer DeCesaro commented on ethanol and biodiesel fuel standards. The industry responded that a guaranteed market is needed. Rick Gilliam commented on tax incentives and the necessity for mandates. Bill Schoer said that loans and grants are important for consumers. He suggested that the state raise the severance tax. He said that tax incentives are important for industry. John Covert commented on revolving loans for small scale community-based projects.

04:00 PM

Rick Gilliam commented on Public Utilities Commission rules. Richard Mignogna commented on non-price factors and the difficulty of putting these into monetary terms. He also commented on the possibility of biannual reviews of electric transmission facilities by the Public Utilities Commission.

04:08 PM

The committee meeting adjourned.