The Michigan Conservative Energy Forum had a stellar 2016 that culminated in Governor Snyder signing Public Acts 341 and 342 into law, a bipartisan-supported comprehensive energy package that is noteworthy for its efforts to increase homegrown, clean energy. Some of the successes in this package include:
1. A combined 35% goal of renewable energy and energy efficiency deployment by 2025.
2. An increase in our successfully-met renewable portfolio standard (RPS) from 10% to 15% by 2021, an amendment introduced and advocated for by Senator Dale Zorn, whom eloquently stated, “Let’s show the state and the country that we are serious about green energy.”
3. Additional scope and funding for the Utility Consumer Participation Board to intervene in electric rate cases on behalf of ratepayers.
4. Effectively maintaining the current solar net-metering program as is until 2020.
While there is still more work to be done on energy policy, these laws continue the positive strides to increase our use of renewable energy and energy efficiency that began with Public Act 295, which passed in 2008. As MCEF looks to our future educational efforts, we are focused on the ratepayer – allowing individuals a voice in the rates they pay and a bigger role in decisions regarding energy production and use.
Specifically in 2017 we look forward to working with policymakers, businesses, and allies to:
- Ensure Michigan electric ratepayers are receiving commensurate reliability for the prices they pay.
- Continue the successful solar net-metering program and remove barriers to localized power generation.
- Champion the development of electric vehicle infrastructure and battery technology, utilizing our states vast expertise in the automotive and manufacturing sectors to do so.
- Highlight the energy challenges facing Michigan's Upper Peninsula, and propose cost - effective, market-based solutions to ensure U.P. residents have consistent access to reliable and affordable electricity.
Focusing on the ratepayer, specifically including the ratepayer in decisions about Michigan’s energy future was a major theme at this year’s Catalyst Conference, in which we sought to “Chart Michigan’s Energy Future”. With the help of a panel of industry and ratepayer experts, I believe we made the pivotal first steps to do just that. Our third annual conference featured: Moderator Jim MacInnes, Chairman of the Utility Consumer Participation Board and Leadership Council member of MCEF; Marc Pauley, Commodities Manager at Granger Energy Services; Michael Moody, Assistant Attorney General and State Public Administrator; and Tyson Grinstead, Southeast Pubic Policy Director for Sunrun. The panel presentation can be viewed here.
House Energy Policy Committee Chair Representative Gary Glenn was our keynote speaker. He did a wonderful job of highlighting the free market’s role in promoting clean and renewable energy as well as the importance of getting the government out of the way of progress. Glenn emphasized that he would work with his committee over the next two years to reduce electricity rates for Michigan consumers. Watch Representative Glenn’s speech here.
I believe our Catalyst Conference will be just that – a catalyst for new ideas and a renewed interest in solving the energy challenges that face Michiganders each day. Our goal is and always has been about providing a forum for conservative energy solutions that embrace a cleaner, more affordable and more reliable Michigan energy future. I look forward to this journey and I hope you join us in the conversation in 2017 and beyond.
Post Written by Mark Huizenga, MCEF Leadership Council member & Board President
Energy efficiency is crucial to an “All of the Above” Michigan energy plan and it is one of the most effective ways to protect ratepayers, create jobs, and lessen our dependence on our natural resources. By utilizing energy-saving technology, we can help save money for our schools, hospitals, businesses and homes.
The holidays are a great opportunity to discuss ways that we can become more energy efficient in our everyday lives.
As the Mayor of Walker, MI, I have seen first-hand the immense differences switching to more energy-efficient technology makes to a city’s bottom line – meaning more money in my residents’ wallets and a more efficient use of local taxpayer dollars. The cheapest form of energy is the energy we don’t use. In fact, for every $1 spent on energy efficiency, $4 are saved, according to an economic impact study commissioned by the Michigan Conservative Energy Forum.
I have also seen how energy efficiency can save lives. My company, Key Green Solutions, provides a comprehensive energy, waste, water, food and carbon footprint calculator for hospitals in 22 states and one province. Key Green is rapidly being recognized as the premier sustainability management software suite for hospital systems across the United States. I am proud to help these hospitals effectively manage and decrease their energy use where it’s not needed. The money these hospitals save on their electric bills can then go towards hiring medical staff and buying life-saving medical equipment.
By optimizing how we use energy, we can build fewer power plants and move towards a cleaner energy future for generations to come. A cleaner environment will also mean fewer health problems such as asthma, cancer, heart disease and stroke that are caused by pollution related to coal power plants.
I urge individuals and companies alike to learn how they can make a difference while saving money on their electric bills. Use the holidays to think about ways that you can become more energy efficient; it could be as simple as turning off the lights in a room no one is using or replacing your appliances with more energy-efficient models. Check out this list for more energy-saving ideas and put more money back in your pocket:
· Use LED Christmas lights
· Use a timer to automatically turn off your lights
· If you’re buying your loved ones electronic Christmas gifts this season pick ones that have the energy star sticker
· Reduce the amount of time the oven has to be on by baking several dishes at the same time Turn off overhead lights when tree lights are on
· Use candles for decorative lighting
We can all agree that increasing energy efficiency and transitioning to cleaner forms of energy are good things – the underlying question is always how do you pay for it? Completing the smaller projects (i.e. the low hanging fruit) is generally a “no brainer”; the energy savings will pay for the extra cost within a year so it makes sense to do as a business or home owner. Some of the larger, more expensive projects can be harder to finance though – how do businesses justify spending $250,000 on a project that’s not going to pay off for 20 years? The standard options are taking out a loan or spending valuable cash on hand on these projects. However, many companies or individuals do not want to do this because of the opportunity cost of not investing in much needed equipment or other improvements. Fortunately independent groups have come up with solutions to that problem.
One of those solutions is a financing method called PACE (Property Assessed Clean Energy). PACE has been in Michigan since 2012 and got its start in Ann Arbor. PACE has slowly been making its way to other Michigan municipalities & counties (current list of PACE locations here). If your municipality or county isn’t covered and you’re interested in implementing an energy efficiency or clean energy project contact your local elected officials to find out how you can get PACE where you live.
PACE provides ways for industrial, commercial, and even some residential properties to finance clean energy projects that cost over $250,000. Your PACE project can be 100% financed and repaid in a period up to twenty years. The main restriction to receiving this financing is that the project has to have a positive cash flow – in other words you have to save more in energy savings then the project costs you.
One of the advantages to using PACE as opposed to other financing options is if you decide to relocate your business or just sell the property the project was implemented on the next owner takes over the payments (i.e. the special assessment). Another advantage is that the organizations that help you implement PACE financing can help you find the best ways to implement your clean energy or energy efficiency.
If you’re looking for ways to make your business more energy efficient & cleaner, PACE may be an excellent route to use. Please reach out to MCEF if you have any questions about how PACE financing works – if we don’t have the answers we can connect you with people who do!