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Statesman Journal - 2007-06-07

Energy bill foresees state as a powerhouse (new window)

Renewable sources available statewide; new jobs expected

June 7, 2007

The governor, legislators and renewable-energy supporters pointed to every region of Oregon when touting the new renewable-energy standard.

Wave power from the coast. Geothermal energy from south central. Wind from Eastern Oregon. Biomass from forested communities. Solar power from the entire state.

Gov. Ted Kulongoski on Wednesday signed the renewable-energy standard, Senate Bill 838, which requires major utilities to get 25 percent of their electricity from new renewable energy sources by 2025.

"This bill is the most significant environmental legislation we can enact in more than 30 years that will also stimulate billions of dollars in investment -- creating hundreds, if not thousands, of jobs in both urban and rural Oregon," Kulongoski said. "Today we are not only setting the state on a responsible path toward 25 percent renewable energy by 2025, but we are protecting our quality of life, reducing greenhouse gas emissions, stimulating our economy -- and protecting ratepayers with more stable and predictable utility rates."

The legislation creates interim targets of: 5 percent by 2011; 15 percent by 2015; 20 percent by 2020; and 25 percent by 2025.

The legislation also contains protections for ratepayers, including a 4 percent cost-cap -- a provision that caps utilities' costs for renewables at 4 percent above predicted fossil fuel costs.

Compared with the other 22 states which have similar legislation, Oregon's standard falls somewhere in the middle, said Marchant Wentworth, legislative representative for the Union of Concerned Scientists.

"Since (Oregon has) looked at a renewable energy standard, there's now 22 states with a standard and nine or 10 have come back and expanded theirs," he said.

Still, Wentworth said Oregon's law will create jobs and reduce energy costs, as well as increase renewable resources.

At least a dozen state legislators stood by Kulongoski's side when he signed the bill, showing their pride and support in the legislation.

"There is no doubt that this is an ambitious standard but Oregon always has been and is an ambitious state," said Sen. Brad Avakian, who championed this legislation in the Senate. "We have a rare and a rich legacy in Oregon. This kind of a bill adds to that legacy."