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What's the role of government in boosting renewable energy projects?

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Categories: Government


Leapfrogging from our last post, "Plug or Play", in which the electric utilities communicate to their customers that electric use will be around for a long time, and keeping in mind that moving to electric vehicles (although a good thing) will also transfer a large load of electric demand on the generation of electricity, what's being done to make sure that the electric utilities generate their power from renewables, rather than fossil fuels?

And, what role does - or should - government have in that motivation?  They're unlikely to do it themselves, especially if the profit margins are lower and/or they have to charge us more for their product, right?

With that in mind, we'd like to draw your attention to an article from today's Cape Cod Times - a short one - and have you read that and let us know what role you think the government should have in 'persuading' electric utilities to move towards renewables.

As you see from the article, this generates (excuse the pun) work for project managers.

Here is the link.  Please read the article, "Green Energy Gets a Boost",  and come back here when done.

(Humming sound from author)

(A little more humming, follwed by a tapping of fingers on the desktop)

(More humming, and a yawn...)

Oh, good.  You're back!

You read the article, right?

*Sigh*, if you didn't read the article (tsk, tsk), here is a snippet that will help you finish this post with at least some sense of satisfaction:

The bills, now before a conference committee, increase the amount of electricity from renewable energy projects that can be sold back into the grid. Both require a more than doubling of the renewable energy utilities must buy. Buying the power would require competitive bidding, a measure that is considered a response to the noncompetitive process used by Cape Wind to sell more than 75 percent of the power from the proposed Nantucket Sound wind farm to NStar — now owned by Northeast Utilities — and National Grid. When Cape Wind entered into contracts with the two utilities it was allowed to do so without going out to bid.

So, what do you think? Is this a good role for government?  Do you think, that as we wait for renewable energy sources to come down in price, the government should incentivize the utilities to buy renewable energy?  Should the government, instead, be incentivizing companies to work on new ways to generate renewable energy more inexpensively?  Or both?

We'd love to hear from you.  If you have the energy.


Posted by Richard Maltzman on: July 17, 2012 09:06 AM | Permalink

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