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Initiative 937 Rejected by Grant PUD Commissioners
Resolution Passed to Provide Voters with Information on how I-937 Impacts Utility
EPHRATA -- Should utilities with more than 25,000 customers be required to ramp up their renewable energy sources to 15 percent of their generation portfolio by 2020? Grant PUD Commissioners say no and want ratepayers to have information to make an informed decision related to their vote.
If passed on the November ballot, Initiative 937 would require utilities to develop or purchase new renewable resources, such as wind and solar power, and undertake cost-effective energy conservation or face financial penalties.
“Grant PUD firmly supports renewable energy,” said Tim Culbertson, Grant PUD General Manager. “Our dams, Priest Rapids and Wanapum, produce enough clean, renewable hydropower to energize a city the size of Seattle. We also own a major share of the Nine Canyon wind project and purchase the entire output of two irrigation system hydro projects.”
Currently, more than 90 percent of Grant PUD’s generation comes from renewable energy sources with the majority coming from existing hydropower. I-937 would require the utility to purchase or develop more costly new renewable energy generation in order to meet the requirement.
Under the proposed initiative, incremental hydropower, including advanced turbines, counts as renewable. This is, in part, due to Grant PUD’s work with the initiative sponsors as that proposal was being drafted.
“We are pleased that our turbine replacement program would be counted toward the goal, if this passes,” said Randy Allred, Commission President. “We estimate that 50 percent of the Initiative’s requirements could be met with incremental hydropower. However, Grant PUD would have to invest in new alternative renewable energy sources, which could be very expensive, to meet the remainder of the requirement. This could put upward pressure on electrical rates.”
According to the Initiative, wind power is the most likely technology currently available to meet the requirements over the next 15 years, but other technologies may be used. Wind-powered generation is available about 30 percent of the time and does not always match customer demand. Hydropower that does not currently meet the Initiative definition of a renewable would be used to “firm” or back up this wind power on calm days. The Northwest Power and Conservation Council says that the cost of new wind projects has risen substantially. Integrating all this new wind power into the regional power grid will further strain the region’s transmission system.
“The decision on I-937 is in the hands of the voters,” said Culbertson. “If the Initiative passes, Commissioners and staff at Grant PUD will work with legislators and regulators to make this work to benefit our customers and the region.”
Contact: Rita Bjork
Phone: (509) 766-2530
E-mail: rbjork@gcpud.org
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