I’m learning about environmental policy and connecting with allies
Renewable portfolio standards were a major topic of discussion during today's meeting of the National Conference of Environmental Legislators.
When I was a legislative staffer for Senator Tom Begich, I often wondered why he would leave Alaska in the beautiful summertime to go to some boring conference in some far-off city in the lower 48. Well, now I am a State Senator and I find myself at a conference in a far-off city. I must admit that it is not boring at all. As it turns out, gathering with allies and like-minded colleagues is reinvigorating, thought-provoking, and extremely useful.
The conference I am attending is the annual National Forum of the National Conference of Environmental Legislators. NCEL was one of the first organizations I joined after being elected because they bring together policymakers and experts to explore good public policy to foster a healthy environment and respond to climate change.
One of the reasons I wanted to attend this national forum was to learn about how to improve the legislation I filed this year to implement a renewable portfolio standard for the Railbelt electric providers. This morning, I listened to a fascinating panel discussion about how to indigenize environmental policy and work closely with tribal partners. I walked out of the discussion with a long list of things to do to partner with Alaska Native Tribes and non-profit entities to move Alaska toward more renewable sources of electricity.
Today’s keynote address was made by the founder of the Blue Planet Alliance, which is working to get countries around the world to commit to 100% renewable energy by 2045. The most intriguing aspect of the presentation from Henk Rogers was how he and his group worked to pass legislation to set a 100% renewable energy goal in Hawaii by 2045.
Hawaii has a well-established renewable portfolio standard to speed up the transition to renewable energy sources. The next goal is to have 40% renewable energy by 2030. That goal seems well within reach because last year renewable sources were used to generate 29% of Hawaii’s electricity. In Alaska, we only generate about 15% of electricity from renewable sources.
In 2015, Hawaii became the first state to commit to generating 100% of its electricity from renewable energy sources. In subsequent years, Hawaii has worked diligently to reduce its dependence on imported fossil fuels and expand the use of roof-top solar and other renewable energy sources.
During today’s keynote session, I learned a lot about the partnerships and relationships needed to pass a renewable portfolio standard bill. I hope to use what I learned today to guide Senate Bill 101 successfully through the legislative process when the Alaska State Legislature reconvenes in January of next year.
Senate Bill 101 - Alaska’s RPS Bill
I have sponsored Senate Bill 101 to implement renewable portfolio standards (RPS) for power companies and utilities in the Railbelt region of Alaska that stretches from Fairbanks down to Homer. I believe a strong RPS is needed because the transition to renewable sources of energy is desperately needed to keep costs down and respond to global climate change caused by greenhouse gas emissions.
While Alaska has abundant wind, solar, tidal, and geothermal energy resources, 85% of the electricity used by the Railbelt system comes from fossil fuels. That means only 15% comes from renewable energy sources. We need a much swifter transition to renewable energy in Alaska, which is a reality acknowledged by both Republicans and Democrats. I may be one of the current sponsors of the RPS bill in the Legislature but don’t forget SB 101 builds on the RPS bill that Governor Dunleavy introduced in the 32nd Alaska State Legislature.
Unlike the Hawaii legislation, SB 101 does not include a 100% goal. Instead, Senate Bill 101 calls for 80% of the electricity used along the Railbelt to come from renewable energy sources by 2040. I chose not to call for 100% renewable energy because that is just not realistic in Alaska, yet.
Dwindling Supply of Cook Inlet Natural Gas
Right now, natural gas accounts for about 80% of the electricity generated by the three utilities in the Cook Inlet Region. Unfortunately, natural gas prices are rising, and the Alaska Department of Natural Resources is predicting that Cook Inlet will see natural gas production shortfalls as soon as 2027. Rather than turn to renewable energy, the Railbelt utility managers are talking about importing LNG to make up for the shortfall.
“The utility managers are all talking about importing liquefied natural gas to fill the gap that we’re going to see just in about three or four years in Cook Inlet natural gas. Importing LNG is going to be 40, 50, 60% more expensive than the price of gas now.” – Chris Rose, Executive Director of Renewable Energy Alaska Project
Last year, a working group made of representatives from the Railbelt utilities and the State of Alaska was formed to look at the energy situation along the Railbelt. In late June, the working group released the phase 1 assessment of the ongoing Cook Inlet Gas Supply Project. The assessment notes that the current proven Cook Inlet gas supply cannot fully meet the demand forecast beyond 2026.
One of the proposals being considered to address the energy needs of Southcentral Alaska is to import liquefied natural gas from overseas to meet the supply shortfall projected during the winter of 2027 - 2028. I’m convinced that if such a proposal were to ever come to fruition, energy prices along the Railbelt would go up not down.
The goal of the working group is to identify one permanent solution or multiple short and long-term options to pursue by the first quarter of next year. As a state, we need to transition away from fossil fuels and follow a new path to meet the energy needs of modern Alaska. Renewable energy offers a stable and sustainable way forward that can also be less expensive, especially in the long run.