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Energy Update, March 26, 2010

March 26, 2010

In the States

CA – Governor Arnold Schwarzenegger has signed a bill into law that will provide a sales tax exemption on equipment used for manufacturing alternative energy products that have a tangible effect on greenhouse gas emissions or energy efficiency.  The new law is expected to be of fiscal benefit to the State since the jobs it creates or keeps will produce more tax revenue.  The Governor also signed a new law that will streamline the permit process for construction of large solar and wind projects, thereby helping alternative energy developers meet deadlines for expending stimulus funding.  California creates green tech manufacturing sales tax exemptionEnvironment News Service and Schwarzenegger signs energy law – Clean Skies

CO – Governor Bill Ritter has signed a new law that will require utilities in the State to obtain 30% of their electricity from renewable sources by 2020, the highest renewable energy standard in the region.  The previous standard required 20% of total electricity power to come from renewable sources by 2020.  Provisions in the new law also promote home-based alternative energy production through solar panels or wind turbines and require certifications for solar panel installers.  Ritter signs bill requiring greater use of renewable energy by 2020Denver Post

MA – Governor Deval Patrick’s administration is working to ensure that the benefits of several high-profile projects make their way to taxpayers.  Secretary of Energy and Environmental Affairs Ian Bowles is pushing for contract commitments from companies involved in one of these -- the country’s first offshore wind farm – that would guarantee that tax incentives from federal stimulus legislation and other Department of Energy assistance used for this project lead to lower, more stable rates.  Mass. Gov supporting renewable energy initiativesBoston Herald

SD – Governor Mike Rounds has signed a bill into law that will prohibit easements or leases for wind turbine towers from being finalized until 10 days after of an offer in order to provide homeowners more time to study the contracts.  The new law will also prohibit developers from requiring that the terms of easement contracts  be kept secret and will allow construction of certain larger projects to be completed in up to 12 years, rather than the 5-year timeframe required for smaller projects.  SD Governor signs changes in wind tower easementsBusinessWeek

Regional, National, and International News

A bipartisan group of 29 Governors has sent a report to the US Congress and the White House calling for a mandatory increase in renewable energy, an interstate system of electricity transmission lines, more federal funding for research, and an easier permitting process for offshore wind development.  The report was compiled by the Governors’ Wind Energy Coalition and specifically requests enactment of a renewable energy standard of 10% by 2012.  Group of 29 Governors seeks renewable power standard – ­Los Angeles Times and Governors’ Wind Energy Coalition Letter to President Obama and Governors’ Wind Energy Coalition Letter to Congressional Leadership and Great Expectations, US Wind Energy Development - Governors’ Wind Energy Coalition

The US Environmental Protection Agency (EPA) and Department of Energy (DoE) are strengthening verification methods for the Energy Star program, which provides special designation to appliances that meet certain energy efficiency standards.  The agencies say they will test each product seeking the label at independent laboratories starting with 200 base-level models in the next several months.  The change comes amid revelations that auditors have found many problems with the current verification process.  For example, auditors obtained verification for several nonexistent products, including a gasoline powered alarm clock.  A recent audit showed that 100% of computer monitors that had the logo were compliant with the standards, but 80% of those tested that did not have the logo were also compliant.  And it also found that some products without Energy Star designation consumed less power than those with it.  DoE, EPA announce new Energy Star testingClean Skies and Audit finds vulnerability of EnergyStar programNew York Times

For the first time, China now leads the United States and all other G20 countries in clean energy technology investments, pouring almost twice as much private capital as the United States into clean energy technology and designating one-third of its recent stimulus package for clean energy projects.  Developing countries such as Brazil and India are also greatly increasing their clean energy efforts through adoption of national renewable energy standards and investment in the development of biofuels and conservation funds.  In contrast, U.S. investment in renewable energy has fallen 40% since 2008.  China leads major countries with $34.6 billion invested in clean technologyNew York Times

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