Check out he bill just passed by our neighbor Kentucky.

JBK

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Paula Carrell Paula.Carrell@sierraclub.org 6/27/2008 7:42 PM >>>

CONTENTS 1. KY Acts on Energy Efficiency 2. MA Energy Bill a Mixed Bag

1. KY Acts on Energy Efficiency -- HB 2 signed by the Governor

And here's a challenge for other southern states:

* Establishes high performance buildings standards and timeframes for state-funded construction, and requires that by 2018, state-leased buildings meet those same standards; * An opportunity for boards of education to conserve more of their funding for instructional and other purposes by requiring enrollment in the very-successful Kentucky Energy Efficiency Program that is offered by the Kentucky Pollution Prevention Center and which has demonstrated the ability to conserve energy and save money for its current enrollees through common-sense efforts and monitoring of energy usage; * Residential Energy Efficiency -- Kentucky Income Tax Credits for a percentage of installed costs of upgraded insulation, energy-efficient windows and doors, and heating and cooling systems; * Commercial Property Energy Efficiency -- State Income Tax Credits for a percentage of installed costs of energy-efficiency interior lighting systems and HVAC systems; * Energy Star Home and Manufactured Home Credits -- for builders of ENERGY STAR homes and purchasers of ENERGY STAR manufactured homes. * A directive to the Public Service Commission to consider next-generation residential utility meters when reviewing utility demand management plans. The first step to ratepayers being able to better control their energy bills, and to utilities being able to manage their load in order to avoid or defer costly investments in meeting peak power demands, is so-called “smart metering” that offers customers and utilities a way to work in partnership to manage electricity demand and utility bill costs. * State Income Tax Credits for a percentage of installed costs of active and passive solar space heating systems, solar water heating systems, wind turbines, and solar photovoltaics systems. . . . and there's more.

Full bill text at http://www.lrc.ky.gov/record/08RS/HB2.htm

2. MA Enacts Problematic Energy Bill -- Gov. expected to sign next week

Jay McCaffrey says, "We support the bill, it will make significant strides to put Massachusetts on a path to a sustainable energy future. However, the hydro language is weak on environmental safeguards, and the bill includes a coal gasification proposal that was a total inside deal for a plant here in MA that wants gov handouts to jump start its crummy program. Unfortunately that standard is bad enough to wipe out some of the other gains in the bill."

Bill Summary * Instructs the state to meet at least 25 percent of its electric load with demand-side resources like energy efficiency and load management by the year 2020, and 20 percent of the load through renewable and alternative energy generation by the same year. Utility companies would have to acquire 15 percent of their power from renewable sources by 2020.

* Energy distributors would have to consider all energy options for power, and electric companies would be required to buy resources based on cost effectiveness and stability, with enforcement mechanisms attached. Fossil fuel use in buildings would be cut by 10 percent from 2007 levels by the year 2020, and total energy consumption would have to fall at least 10 percent by the year 2017.

* Regional Green House Gas Initiative: Establishes a RGGI trust fund and requires 100% auction. At least 80% of the auction revenues will go to utility-administered efficiency and Demand Response programs, with the rest going to communities affected by RGGI-forced plant closings and "green communities".

* Least Cost Procurement: The bill dramatically increases energy efficiency potential in Massachusetts by changing the way utilities (NStar, National Grid, etc) purchase energy. Now they will have to purchase efficiency when possible to cover load requirements. This should spur increased Energy Efficiency opportunities in Massachusetts.

* Coal Gasification: The bill does allow coal gasification to receive benefits under RPS. This was a defeat for the advocacy community. The emission cap is weaker than we would have liked, allowing co2 emissions levels equal to those of the Massachusetts Natural Gas plant average. Instead of requiring coal gasification projects to operate as cleanly as a new combined cycle natural gas power plant, they only have to operate as cleanly as an average natural gas plant. Some other states don’t even allow base-load power plants to be built unless they meet a more stringent standard than this, so it is disappointing that Massachusetts would set a lower bar for such projects to qualify for incentives. However, the bill does include some important protections, including a requirement for carbon capture and sequestration.

* Massachusetts Renewable Energy Trust Fund: The Mass Renewable Trust will still exist but with tighter controls and oversight by a new governing board. The Governing board will create 5-year plans for the regular board and could take Trust money for the new "Green Communities" program. Several new technologies included in fundable items for Renewable Energy Trust (geothermal, for example and improvements to the internal combustion engine).

* International Energy Conservation Code (IECC): Massachusetts will adopt and enforce the IECC within 1 yr of each revision, and the state has discretion to adopt more stringent provisions to the extent the relevant agencies “conclude they are warranted”

* Renewable Energy Portfolio Standard (RPS): Extends the RPS so that it will continue to grow at 1% per year past 2009.

Full bill text at http://www.mass.gov/legis/bills/senate/185/st02pdf/st02768.pdf