Debate Continues on Maine Governor’s Energy Legislation

Active debate continues in the Maine Legislature on a proposal of the LePage Administration to eliminate current requirements that energy sellers include new renewable generation within their portfolio, including new resources such as wind, solar, bio-mass and hydro. Under current law, retail energy sellers must include a certain percentage of so-called “Tier One” resources within their energy mix, which percentage is currently at 4% and would rise by 1% per year until reaching 15% of each provider’s energy sales.  LD 1570, however, would freeze Maine’s renewable portfolio standard at the current 4% for such new renewable.  According to a report in the Portland Press Herald, the change would likely save homeowners 40 cents a month.  However, the Administration rejects those numbers and suggests that the change would save Maine ratepayers $42 million over the next six years. The Maine State Chamber of Commerce has declined to support the Administration’s proposal stating, “Overall, we need to do everything we can to lower electricity costs. But we also have to take into account businesses that benefit from hydro, biomass and wind.”  Many business interests are similarly concerned that the policy designed to lower energy costs will inadvertently stifle investment in Maine’s developing green energy industry.