Tuesday, January 06, 2004

Courtesy of the Great Lakes Renewable Energy Association:

EXECUTIVE SUMMARY

“Rolling blackouts in California. Asthma rates double. Natural gas futures spike
up 500%. The twin towers fall.” These kinds of headlines have heightened public
attention to energy issues across the country. Tapping into the eternal forces of
the sun, wind, and plant kingdom to supply our energy needs is called renewable
energy. In the past three decades, renewable energy technology has advanced,
making renewables more reliable and affordable. At the same time, public
concerns about other energy sources have grown.
Renewable energy systems create numerous public benefits, including:
· Zero emission energy - clean air and water, better health
· Stable energy pricing - freedom from fuel price volatility
· Distributed generation - energy provided where it’s needed
· Security - domestic energy that’s difficult to disrupt
· Jobs - local energy systems displace energy imports
Despite these exemplary qualities, relatively few renewable energy systems have
been deployed in Michigan. This is not a national condition, or even a regional
one. The reasons for the success of renewables in some states become
apparent when comparing renewable energy installation data from the U.S.
Department of Energy’s “Million Solar Roofs” program. There is a strong
correlation between the number of systems installed, and state policies toward
renewables. States with the most solar installations are the same states that
have provided incentives over a period of years. While some states have recently
enacted large budget rebate programs, others have offered lower-cost incentive
programs. These appear to be successful, and offer a lesson for Michigan. ***


There are a number of barriers restraining the deployment of renewable energy
systems in Michigan. These include:
· Uncertainty about renewable energy technologies:
In fact, these technologies are not new. Numerous systems have been
operating reliably and effectively in Michigan for decades. This barrier is
best addressed through public education and outreach programs, which
continue across the state.
· Tradition-based energy pricing:
A traditional model of power production, transmission, and distribution was
used to define current electric rate structures. Renewables offer public
benefits the value of which is not reflected in energy pricing today.
Michigan’s deregulation of power generation has opened up a variety of
new, voluntary pricing mechanisms such as green rates and green tags to
capture the value of at least some of these benefits.

Read The full report (Adobe Acrobat file) at:
http://www.glrea.org/images/Opportunities-Concept-Paper.pdf

*** Please note that, while the author of the report is focussing on driving renewable energy technology growth in Michigan, the same benefits can and do apply to all states, and the Great Lakes states have some unique opportunites in the field of renewable energy. (Dan Stafford)

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