Essay: Power Source - 5/16/2008
“The Michigan House of Representatives today passed a comprehensive, long-term energy plan that will create thousands of jobs now for Michigan workers, keep electricity affordable for consumers and businesses, and ensure that our state has the safe, reliable power supply necessary to achieve major economic growth.”
Welcome to the wonderful world of doublespeak, Funny, but the House Democrats seem to have failed to mention that they also agreed to change the rate structure so that residential customers will pay a whole lot more and businesses a whole lot less.
True, this bill does set targets for renewable energy. But when I read the bills, I was unable to figure out just what penalty the utilities will have to pay if they don’t meet the renewable energy targets.
When I talked to the governor’s special energy advisor about this, I got a lot of doubletalk. And I came away utterly convinced that if any penalties are assessed, the utilities will cheerfully be able to pass them on to the consumers. They will also be allowed to propose rate increases that will automatically take effect if the state public service commission doesn’t stop them within a certain time period.
However, it gets worse.
These bills are now before the state senate, which, unlike the House, is still controlled by the Republicans. I have a hunch that they will fight to make any renewable energy targets strictly voluntary.
And you just know how fast these big utilities will move to spend money to make any change that they don’t have to make. Especially now that these bills also newly enshrine the CMS Energy and DTE Energy’s near-monopoly status.
What these bills are really designed to do is please the big two utilities, while maybe, at best, giving them a gentle nudge in the renewable energy direction. I’ll bet they drag their feet.
What is needed is a bill with teeth. Set a schedule for realistic renewal energy targets, and prescribe a system of rewards for making them and penalties for missing them. The penalties need to be real, and not something that can be passed on to consumers.
Something, say, requiring state government to open the field up to new competitors hungry enough to get it done. We also need to be honest. The governor has talked about renewable energy creating 19,000 jobs in the near future.
Skip Pruss, her energy advisor, talked as if most of these jobs would be created in tool-and-die shops. He sees an avalanche of orders for windmill parts from other states hot to get in on the renewable energy craze.
Call me a cynic, but I’m not convinced.
If we want renewable energy, we need to push for it. But not via a bunch of bills basically designed to create a safe monopoly for two energy companies who are still going to build coal-fired plants.
We can do better. Starting by insisting that our politicians be more honest.

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