Environmentalists Fighting Chamber's
Efforts to Improve the Environment?

Our state is at a critical time in which state leaders have to reconsider how we choose to generate electricity in the best interest of both the economy and the environment. The energy decisions our state lawmakers make over the next few years will play a crucial part in determining North Carolina's economic success and quality of life for decades to come. After six months of work with numerous stakeholder groups to build a comprehensive, consensus energy bill, some radical environmentalists; conservative groups such as the John Locke Foundation; and liberal, anti-growth groups are aggressively opposing a progressive energy plan for North Carolina's future.

Chamber Supports a Comprehensive
Energy Plan for Growth and Prosperity

Senate Bill 3: Promote Renewable Energy/Baseload Generation is a comprehensive plan to responsibly provide enough electricity to meet the increasing demand that comes with growth in our state. The proposal includes both provisions for utilities to keep up the necessary supply as well as a progressive plan to integrate renewable energy into our state. The proposal supports investment in robust energy efficiency programs and innovative alternative energy technologies, while at the same time recognizing utilities' obligation to provide power to consumers - business and residents alike. Two key provisions included in the bill are:

• A Move Toward Cleaner, Greener Energy
  The energy bill includes a new renewable energy and energy efficiency standard for utility companies. Utilities will have to provide 12.5 % of their retail power from renewables and efficiency programs by 2021. Two notable safeguards within the bill are: (1) Annual costs to customers for purchasing renewable energy are capped, and (2) The costs of energy efficiency programs can only be assigned to the customers that directly benefit from the program.
  
  Renewable energy and new energy efficiency programs have broad popular support. Studies confirm that stimulating renewable energy and new efficiency programs is a responsible way for the state to attempt to meet a portion of the growing need for electricity. The investment in these programs is a cost to consumers, but it may offset the need for new power plants and ultimately be less expensive than other alternatives.

• Meeting the Demands of a Growing State
  While supporters of Senate Bill 3, including our state Chamber, agree that our state should implement energy efficiency standards, the reality is that renewable energy and efficiency measures alone will not address North Carolina's total energy needs. Even with conservation and use of alternative energy, new power plants will still be required to keep up with the phenomenal growth projected for North Carolina over the next several decades and ensure a strong economic future. North Carolina is one of the fastest-growing states in the country; our population is expected to grow by 38 percent by 2030.
  
  Reliable, affordable energy is critical infrastructure in today's economy. For utilities to make wise investments in this critical infrastructure at the lowest cost to the customer, some certainty in financing is required. Therefore, provisions in the Chamber-backed energy bill will provide utility investors with more certainty about what costs are recoverable in rates once a plant is placed in service. Additionally, a better planning and review process will hold down utilities' financing costs and result in better long-term rates for the customer.

Anti-Growth Groups Would Leave NC in the Dark

Our state's utility companies have a legal obligation to meet North Carolina's growing energy demand with affordable, reliable electricity. Still, certain anti-growth groups are fighting what amounts to a comprehensive, forward-looking energy bill that would place North Carolina ahead of its peers in the southeast, over the possibility of new coal or nuclear plants down the road. These groups are out of touch with reality - unwilling to acknowledge that as North Carolina grows, demand for electricity grows. Increased customer demand for electricity is driven not only by more people, but also by bigger houses, increased use of air conditioning, and greater use of electronics in homes and businesses.

Utilities are committed to meeting energy demand in a way that keeps energy rates stable and affordable for customers while protecting the environment. Our state Chamber and the state's utilities have worked closely with government decision-makers and a host of interested parties to advance a new energy policy for North Carolina that balances growth and demand with protecting the environment and our quality of life. It would be a real shame for a few vocal detractors seemingly more interested in winning than making progress to cut the lights out on North Carolina's future by sinking the energy bill in the eleventh hour.

Ensuring reliable, affordable energy in a growth state such as North Carolina - while at the same time promoting renewable energy and efficiency - is a formidable challenge. Senate Bill 3 is a strong step forward in addressing this challenge. This comprehensive energy bill is an investment in our state's future that promotes economic development by showing both businesses here today and those that will come tomorrow that the energy they need will be available five, ten, and twenty years from now. It also illustrates that our state leaders and utilities are serious about energy conservation, alternative energy sources and protecting and improving our collective quality of life.

Chamber Will Fight for Reliable, Affordable Energy
The North Carolina Chamber will continue to collaborate with those numerous groups who have worked diligently on the comprehensive, progressive energy plan currently being considered by lawmakers. We must fight to ensure that our utility companies have the tools they need to provide what every North Carolinian expects, reliable, affordable energy. Environmental and anti-growth groups who argue that new "baseload generation" from coal and nuclear plants is not necessary to meet energy demand in the future are doing our state a disservice. This unrealistic and dangerous rhetoric is bad for all energy consumers and bad for North Carolina. What our state needs to sustain growth and bolster a sound and growing economy is a balanced approach to environmental and economic issues such as energy infrastructure, as provided in Senate Bill 3.