March 06, 2008

CUB 2008 Legislative Report

The Oregon legislature completed its supplemental session to test drive going to annual sessions. It was scheduled to go from Feb. 4th through Feb. 29th but legislators managed to end a week early on Feb. 22nd.

The number of bills that were allowed to be introduced was limited so CUB had a very narrow agenda. There was opportunity to work on a global warming bill, an energy efficiency bill and we monitored the bill to give OMSI money and a bill to upgrade the business energy tax credit. Here's what passed and what went by the wayside:

1) HB 3610 - The global warming bill. Although the bill was not onerous on Oregon industry, requiring little more than carbon emissions reporting from industries that were by and large already reporting (or expecting to), the bill generated a tremendous amount of controversy. Big polluters' lobbyists used the bill to "take a stand" on their right to emit whatever whenever. The bill died in the Ways and Means Committee. We will be addressing the issue of carbon emissions again, frequently.

2) HB 3612 - Energy efficiency in state buildings, requires that state agencies reduce their energy usage by 20% by 2015. We attempted to get this bill through in 2007 but didn't quite make it. This time, we did a lot of negotiation and did get the bill through, within a very tight timeframe.

3) OMSI - This Portland landmark received $1.6 million in state assistance, as expected. So, they have got all but $300,000 of the $4.6 million they originally sought. (This was an important issue for CUB to follow after the Legislature attempted to divert energy efficiency funds to OMSI during the 2007 session.)

4) BETC - The Business Energy Tax Credit was expanded to allow greater amounts to go to renewable energy manufacturers, without undercutting other BETC users like energy efficiency projects and the like.

So, here's a big question: did the legislature show that annual sessions could work? Well, the question is still open. Nothing bad happened but nothing extraordinary either (unless you count them finishing up ahead of schedule!).

We are very pleased to have made a large step forward for energy efficiency in state buildings, and we feel that the expansion of the BETC will be significant in the long run. Much work remains to be done in the field of global warming, and we are busy talking with allies about what tack to take on addressing global warming issues with the Legislature when they return in January 2009.

Thanks as always for supporting our work in Salem with your attention, your donations and your grassroots action.

Posted by Oregon CUB at 03:11 PM | Comments (0)

January 08, 2008

Our Year Looks Busy -- How About Yours?

As we open up a brand new year, we here at CUB have taken a moment to review the work that we know awaits us in the next 12 months. We share our list of projects with you, our members, so that you are aware of what issues and opportunities will be approaching in 2008.

Legislative and Policy Work

First, we will be present during the Oregon Legislature's February 2008 Session. Although we respect the limited nature of this one-month session, we will be doing the following things, if time permits: 1) we will revisit the bill (which did gain some traction toward the end of the 2007 session) which would require 20% energy reduction in all state buildings by the year 2015; and 2) we will potentially be moving a climate change bill which would require state agencies to evaluate programs and policies in order to achieve the carbon reduction goals outlined in the 2007 Climate Change Bill, HB 3543.

For nearly a decade, CUB has led policy discussions regarding utility structure, regulation, and energy, and much of that has been through its leadership role in the Fair and Clean Energy Coalition (which helped create the Energy Trust of Oregon). We will continue to refine policy and gather major players as we look ahead to the more complete Oregon Legislative Session beginning in January 2009.

We will continue to be a key player in the Western Climate Initiative discussions, an inter- state and province group working to create solutions for global warming pollution reduction. The first meeting of this group in the new year happens this week here in Portland, and CUB's staff attorney, Jason Eisdorfer, will be there. A key goal of the group is to, by this summer, produce a model cap and trade bill, aimed at putting a limit on allowable levels of carbon dioxide emissions.

Because CUB and its sister organization, the CUB Educational Fund, have been increasingly involved in policy development, particularly with regard to energy issues, we have decided to change the name of the CUB Educational Fund to the CUB Policy Center. Same great staff, same high level of commitment and broad experience, same outreach and public education on utility issues, but we feel this is a more accurate name for the way the organizational work load is developing.

Regulatory Work

Where to begin? Well, how about with telecomm? Qwest has filed a request with the Public Utility Commission to remove price caps applying to basic local service, and to deregulate many other commonly used phone services as well (i.e., directory assistance). We are jointly filing a Motion to Dismiss this case later in the week. If the Commission dismisses the Qwest case, we will undoubtedly be fighting Qwest on raising rates in the Legislature again next year. If not, we will continue to fight them at the PUC this year.

Energy efficiency filings have been submitted by Portland General Electric and PacfiCorp, a direct consequence of a provision in the 2007 Renewable Energy Standards allowing the electric utilities to do more cost-effective energy efficiency. PacifiCorp's filing we expect to be approved shortly, while PGE's contains some problematic issues (such as a lost revenue mechanism which would raise customers' rates, and which we believe to be unnecessary).

There are tax dockets open for all the major privately owned utilities subject to the Utility Tax Reform Bill of 2005, SB 408. The first changes in rates resulting from the tax reform will be going into effect this year. PGE customers should receive a rate reduction this summer.

Speaking of PGE, we are battling Oregon's largest single electricity provider on the issue of Advanced Metering machines. PGE wants to spend millions of dollars on meters that do not require human meter readers, and claims that the move will save money down the line. At the same time, they are asking to have customers pick up the rest of the bill on the pilot set of advanced meters they installed near Mt. Hood 4 years ago. CUB cries foul and argues for waiting until the technology is more mature, PGE has less upward pressure on rates, and "smart" appliances are more readily available to work with the advanced meters on evening out peaks in usage.

Another case, questioning whether PGE acted prudently in the case of its long Boardman plant outage in 2005 and 2006, will take some time and will decide who should absorb the money lost while the plant was shut down -- PGE or customers. CUB is trying to make the company pay for its own mistakes.

PGE may also file a general rate case this year, asking for higher rates based on their capital investment costs. We hope not.

There will certainly be the annual power cost rate cases for both PGE and PacifiCorp, in which the companies forecast their 2009 rates based on market prices, hydro conditions, and available generating resources. Idaho Power, serving customers in Eastern Oregon with electricity, will also be involved in a case which will determine the structure used to forecast its variable power cost rates.

The major natural gas companies in Oregon, NW Natural, Avista, and Cascade, have their own variable power cost cases, called PGA (short for Purchased Gas Adjustment) cases. In addition to specific PGA cases for each company, CUB is heavily involved in a more general PGA Investigation, which is reviewing the basic structure of the natural gas rate setting process in Oregon. CUB is arguing in that case for continued sharing of risk between natural gas companies and customers, as opposed to putting all such risk onto customers; and a mechanism which would require the companies to absorb moderate increases in cost, while allowing companies to seek recovery of extraordinary cost increases due to truly unforeseeable circumstances (remember Katrina?).

Last but not least is the issue of the Bonneville Power Administration's distribution of federal hydropower benefits to residents of the Northwest. At issue specifically is the resolution of the disagreement regarding the Residential Exchange, a system which was used until May of 2007 to share the benefits of the BPA system with residential and small farm customers of privately held utilities. An interim agreement signed by BPA contract-signers (mostly publicly-owned utilities) would result in a long-term diminution of benefits to private-utility customers from approximately 16% one year ago to 2% at the end of the 20-year agreement. One consequence of this proposed distribution of benefits would be the shifting of benefits from Oregon to Washington, which has a higher percentage of public power customers. At the same time, BPA has made it nearly impossible for citizens to form a public and get access to cheap federal hydropower that way, leaving a dramatic gap between the rates of public and private utility customers, and leaving BPA on the wrong side of the Northwest Power Act.

CUB has been active in the policy debate surrounding the Residential Exchange and will file as an intervenor in the BPA rate case later this year, during which these issues will be hashed out at greater length, and with buckets of numbers.

We also have to be ready to respond to unexpected rate case filings, and individual member concerns. If another megacorporation comes looking to buy one of our utilities, or if a low-income assistance program needs help to stay on course, CUB will make room on the calendar to do that work as well.

We appreciate the support of our members as we continue in this new year with our consumer advocacy and energy policy agenda. May we stay strong working together in 2008.

Posted by Oregon CUB at 03:27 PM | Comments (0)

August 16, 2007

Big Wins in the 2007 Legislative Session

Yet another session of the Oregon legislature has passed into the history books and CUB, with the help of its members, delivered some big wins for consumers. Of course, the session ended many weeks ago, but CUB, and our lobbyist Jeff Bissonnette, couldn't call it a day until the controversy surrounding the proposed diversion of public purpose funds was resolved. Now, we can finally report on the accomplishments of the session as a whole. The wins included ticking off just about every item on an ambitious Clean Energy Agenda, turning aside anti-consumer deregulation legislation for the telecommunications industry, and adding a layer of protection for consumers when a utility is the subject of a proposed purchase. All this during one of the shortest sessions in recent memory.

Jeff Bissonnette speaks to CUB Board members outside the Oregon House of Representatives during the 2007 Legislative Session.

Energy

SB 461: Passed and signed into law. Increases the Oregon Energy Assistance Program from $10 million to $15 million per year (indexed to load and residential customer growth), helping many more Oregonians pay their electric bill. This helps all consumers because keeping ratepayers connected to the system, rather than being disconnected and reconnected, lowers costs for everybody.

SB 838: Passed and signed into law. The Oregon Renewable Energy Act requires that 25% of the state's energy needs be met from renewable resources by 2025. Allows smaller utilities to meet a lower standard, but requires every utility to integrate renewable energy into future planning to meet future energy needs. In addition, the bill also allows for additional energy efficiency measures above the 3% public purpose charge already dedicated to energy conservation. Since efficiency is the lowest-cost way to acquire energy, this is a big step forward. Finally, the bill also extended the public purpose charge (which currently funds renewable and energy efficiency projects through the Energy Trust of Oregon) to 2025, beyond the former sunset of 2012. This demonstrates Oregon's continued commitment to a clean energy future and will help to stabilize the electrical system as a whole.

HB 2620: Passed and signed into law. Requires that 1.5 percent of all new public building construction be dedicated to including solar as part of the design.

SB 375: Passed and signed into law. Increases energy efficiency standards for certain named appliances. As a companion to the groundbreaking bill CUB helped pass last session, the 2007 bill added energy-saving standards for more appliances. The bill also allows the state Department of Energy to align Oregon standards with other standards adopted by other states.

HB 2211 and HB 2212 (included in HB 3201): Passed and signed into law. Originally HB 2211 increased the state Business Energy Tax Credit and HB 2212 increased the Residential Energy Tax Credit to provide additional incentives for using renewable energy in homes and businesses around the state. The Business Energy Tax Credit was also amended so that homebuilders could get a tax credit for including renewable energy systems in homes they were building and selling. Both bills became a part of an omnibus tax credit bill, HB 3201, which gained legislative approval and the governor's signature.

HB 3488: Passed and signed into law. Provides two innovative ways to increase renewable energy use, especially solar. First, the bill amended an existing statute that allows a utility to front the cost of energy conservation projects to a customer and then be repaid through the customer's electric bill. HB 3488 added the ability to do the same thing for a renewable energy system. The bill only provides the authorization for such a program, with the Public Utility Commission to later approve the details. Second, the bill provided a tax incentive for third-party investment in large renewable energy systems that would offset the energy usage of a facility owned by a public entity or non-profit organization. The public or nonprofit entity would eventually own the system.

SB 994: Line-item veto of a diversion of public purpose funds. At the last minute, the legislative Ways and Means Committee attempted to divert ratepayer public purpose funds dedicated to energy conservation and renewable energy resources (to pay down a debt owed by the Oregon Museum of Science & Industry). While CUB did not have an objection to helping OMSI, using dedicated ratepayer funds was inappropriate. After much grassroots lobbying and negotiation, the Governor ultimately issued a line-item veto of the diversion.

Global Warming

HB 3543: Passed and signed into law. Created the Oregon Global Warming Commission to coordinate state policy development on addressing global warming and climate change long-term. The bill also created the Climate Change Research Institute within the Oregon System of Higher Education and established goals for the reduction of carbon emissions. The bill will be a cornerstone for future global warming policy proposals.

Telecommunications

HB 2621: Held in committee. This bill was pushed by Qwest and would have deregulated the telecommunications industry in Oregon. While the bill also provided some additional consumer protections, CUB determined that the trade-off was not good enough for consumers. Although Qwest worked very hard to move this bill forward, CUB -- along with a range of other interest groups -- managed to forestall the effort. Qwest will likely be back for another try.

Consumer Protection/Public Power

SB 443: Passed and signed into law. Provides for the possible creation of Oregon Community Power, a public entity that could purchase a current private utility if the utility was for sale and the customers and municipalities in the utility's service territory believed it would be in the customers' interest to bring the utility into public ownership. This bill was similar to another bill from the 2005 session, which CUB helped write but ended up opposing because of a provision that would have limited the benefits of the federal hydropower system to the new utility and raised customers' rates. This bill adequately addressed those concerns. This provides an alternative path to public ownership which would have been handy when Texas Pacific Group was trying to buy PGE. Consumers now have another way to protect themselves if they believe a potential purchase of an Oregon utility would not be in their best interest.

After All Is Said and Done...

Let's just say it was quite a session. And there's not much time to rest up because the Legislature has planned a month-long special session in February 2008 as part of an experiment to explore moving toward annual sessions. Rest assured, CUB will be in the thick of things come February and, as always, we'll need the help of our members to win more victories and turn aside anti-consumer proposals.

But for now, we thank you for your support in the 2007 session and know that we can all claim a part of a history-making session. Thanks, CUB members!

Posted by Oregon CUB at 02:25 PM | Comments (2)

August 09, 2007

Governor Vetoes Diversion of Ratepayer Funds

Today, Gov. Ted Kulongoski took a break from signing the hundreds of new bills that passed into law in the 2007 Legislative Session -- took a break, that is, to use his line-item veto power, to rescind the diversion of ratepayer money. The $4.6 million in question was going to be taken from the public purpose fund, created under a 1999 law to promote energy efficiency and renewable energy. The public purpose funds were paid by PGE customers, and have been proven to result in lower rates and a cleaner energy system.

The intent of the Legislature was to help the Oregon Museum of Science & Industry (OMSI) with a serious financial issue they are facing. We here at CUB will continue to work with the Governor's office and the rest of the informal coalition that has come together to help find the funds that OMSI needs. We think this can and will be done without taking money from utility ratepayers. After all, OMSI is as well-loved an Oregon institution as you will find anywhere in the state. We just think that helping the museum should not be the burden of a small subset of Oregon ratepayers.

In his letter regarding the veto, Gov. Kulongoski says, "the use of public purpose charge funds for this purpose [helping OMSI] is inappropriate." We agree. He goes on to affirm the State's position that: "Investment in energy conservation, the development of renewable energy resources and low-income weatherization and bill payment assistance are critically important to Oregon's future as a leader in the sustainability movement. Use of public purpose charge dollars for general governmental purposes is inconsistent with that effort and is a break in trust with electricity consumers and those who supported and enacted the public purpose charge. It is important that we maintain inviolable sideboards on the use of public purpose charge funds." We are very appreciative of the Governor's veto, because it protects the PGE ratepayers whose money was being taken, and whose rates were going to increase as a result.

We are also appreciative of the willingness of the Legislative leadership and the Co-Chairs of the Ways and Means Committee that passed the bill, to be involved in working to find alternative solutions to the issue. We found during recent discussions that the public purpose fund -- its boundaries, its origins, and its ultimate purpose -- is not well enough understood by many in the Capitol building.

CUB Executive Director Bob Jenks had this to say about the veto and the protection of public purpose funds: "We give a lot of credit to the Governor for taking a stand to protect customers and energy efficiency programs by vetoing this diversion of public purpose funds. We also take some responsibility for the lack of understanding which led lawmakers to include the provision in the first place. We're going to redouble our efforts at educating our leaders in Salem and the general public about what an important role these funds have in protecting our environment and keeping rates low."

The veto would never have occurred without the public uproar that alerted the Governor's office and Legislative leadership to the severity of the problem. We want to thank all the CUB members and other supporters who participated by contacting their elected leaders with a message to "stop the diversion of ratepayer money."

It's been nearly 2 months since the 2007 session ended and yet the session only really ended for CUB today. Now we'll have the chance to sit back and take stock of the many wonderful changes that came from the Legislative session this year. We'll be working on a Legislative round-up for you in the next few weeks.

Posted by Oregon CUB at 02:24 PM | Comments (0)

July 12, 2007

Call Legislative Leadership for Action on OMSI Funding Mess

The firestorm continues regarding the Legislature's redirection of ratepayer energy efficiency monies (called public purpose funds and managed by the Energy Trust of Oregon) to pay off OMSI's 15-year-old rebuilding loan. The money swipe was part of an omnibus spending bill, SB 994, passed in late June without public input. Despite the fact that many large energy and environmental issues were decided during the 2007 Legislative Session, including the passage of a landmark Renewable Energy Standard, the OMSI issue has people unusually fired up. And now it's time to fire up Oregon's legislative leadership to clean up this mess (after all, they did create it).

Why are people reacting so strongly to this misuse of public purpose funds? Perhaps it is the understanding Oregonians have of how important energy efficiency and conservation are in protecting both our environment and ratepayers' pocketbooks. Perhaps it is the precedent that would be set if Energy Trust funds are siphoned off, allowing everyone and their brother to try for a shot at the money next session. Perhaps it is the blatant unfairness of using the money of a small subset of Oregonians to pay off a state debt. This is so unfair most people can't imagine that it could be legal, and CUB is inclined to agree.

Whatever the reason, no other recent energy issue has excited so much passion and so many phone calls and emails; thousands of emails have been sent to the Governor on this issue (from members of CUB, Northwest Energy Coalition, Onward Oregon, Interfaith Network for Earth Concerns, Oregon Apollo, and the Oregon Solar Energy Association, among other groups). And the media has been paying attention, as well. The Statesman Journal ran this
strongly worded opinion piece on July 2nd. The Governor has expressed doubt in the media about the legality of the money grab, and has requested an opinion from the Attorney General. And of course, the Oregonian editorialized against the move weeks ago.

CUB is hoping that the Governor will use his line-item veto to stop the raid on the public purpose funds. We sent
this letter outlining the legal and policy arguments for our veto request (thanks to those of you who also contacted him). Gov. Kulongoski has until August 9th to use his veto power in favor of protecting the public purpose funds. Legislative leadership still hasn't recognized the enormity of the problem, and we need them to help the Governor craft a solution to this mess (including OMSI's financial difficulty) that doesn't harm ratepayers or the environment.

In order to help ensure that the veto happens, and the mess is adequately cleaned up, we need your help again. Please contact legislative leadership with the following messages:

* The raid on ratepayer money designated for new energy efficiency and renewable resources to pay off OMSI's 15-year-old debt is unacceptable and probably unlawful;
* Legislative leaders should encourage the Governor to use his line-item veto to stop this misuse of public purpose funds;
* Legislative leadership should allocate General Fund money to help OMSI pay their debt, with the legislative Emergency Board providing some interim funding to OMSI quickly;
* Finally, ask them to pledge to take up the OMSI financial problem in the February 2008 Special Session of the Legislature, if it has not been resolved.

Please get those phone calls and emails rolling in to Senate President Peter Courtney at (503) 986-1600; and House Speaker Jeff Merkley at (503) 986-1200. If you have time, also contact the following leaders as well: Senate Majority Leader Richard Devlin at (503) 986-1700; and House Majority Leader Dave Hunt at (503) 986-1900.

No one argues with the importance of OMSI and its programs, or the need to get this valued Oregon institution on a more stable financial footing. But meeting that need is a state responsibility, not the responsibility of a few utility ratepayers. The Legislature goofed badly by choosing an action that is unfair, probably unlawful, and will likely raise rates in the short term and the long term. Had those legislators consulted CUB and others before trying to divert this money, we would have alerted them to the problems and tried to help them find another solution. We certainly would have helped them to understand that utility customers' money is not theirs to spend at will.

There is still a big job ahead of us in the next few weeks. So please take just a few minutes out of the hot summer weather and heat up the phone and email lines. Let legislative leadership know they're not out of hot water yet.

Posted by Oregon CUB at 04:31 PM | Comments (0)

June 28, 2007

Call on the Governor to VETO Public Purpose Giveaway

Here at CUB, we love biology, archeology, paleontology, astronomy and all the other wonderful things that children and their adult companions discover at OMSI. However, we also believe in upholding the Oregon Constitution and making good public policy that protects the environment and reduces rates. And so CUB is opposing the recent move of the Oregon Legislature to divert $4.6 million in funds paid by PGE customers to the Energy Trust of Oregon's public purpose funds for energy efficiency and conservation projects, in order to pay off an old OMSI debt.

We urge you to call the Governor at 503-378-4582 to tell him to use his line-item veto to restore this $4.6 million of public purpose funding and protect your money for investments in energy efficiency and renewables.

Although the rationale for the diversion of funds is that the OMSI debt was used for a more energy-efficient building (more than a dozen years ago), we aren't buying it. Those Energy Trust funds are required by law to fund new energy saving projects, not retire old debts. And however close some would claim this is to the intended purpose of the funds, in the final analysis, nothing except meeting the actual goals of new energy efficiency and conservation projects will fulfill the law. Any other use of the money is a misuse.

The Energy Trust has had to defend itself from various attacks and attempts to raid its pot of conservation and renewables funding over the years, as it has worked to establish programs and acquire an exceptional track record. It is therefore doubly important that this most recent attempt to reroute public purpose funds not be allowed to happen, as it would set a precedent that weakens the Trust for the future. The Legislature should be protecting this money for clean energy, waving a big "Hands Off!" sign, not giving the green light to prospecting funding-hunters.

This most recent raid was stealthy, rushed through at the end of an incredibly busy legislative session. Senate Bill 994, which contains the money grab, was adopted as an amendment in the Ways and Means Committee with no public hearing or comment period. With great speed, the bill was through the House and Senate as well. Even though the amendment was dressed up with descriptions of "energy efficiency," it's clear that this diversion is a raw deal. It's a raw deal for everyone who believes in clean energy and energy efficiency, but especially for those customers who actually paid the $4.6 million into the Energy Trust fund that's being raided. Customers deserve the assurance that the money they pay every month toward conservation and energy efficiency will actually go there.

CUB's opinion is that this diversion of funding is not even legal. Taking this public purpose funding steals from customers twice: once, when the money paid by customers toward energy conservation and efficiency programs is directed to pay off someone else's old debt; and a second time, because those programs would have saved customers money in the long run, reducing energy usage and removing 28,000 tons of carbon dioxide from the Oregon air.

Luckily, the Legislature does not have the final say on SB 994. It still must cross the Governor's desk. With everyone from the Oregon Conservation Network to Lars Larson to the Oregonian editorial page speaking out against the diversion of funds, we urge Governor Kulongoski to use his line-item veto to restore the funds to their rightful purpose: managing energy efficiency and conservation projects in a way that will decrease Oregonians' energy usage and keep our environment cleaner.

Call (503-378-4582) or email Governor Kulongoski now and tell him to restore public purpose funding and find another pot of money for OMSI.

We appreciate OMSI and some CUB staff even support it with membership, but we believe that there must be another way to solve the museum's financial difficulty. The Legislature has dug a hole with this poorly-thought-out amendment, and we're sure the Governor can find a way out.

So help us send that message to the Governor by calling 503-378-4582 or sending an email. It will just take a minute but will make a big difference in protecting energy efficiency and renewable programs now and in the future.

Posted by Oregon CUB at 02:45 PM | Comments (1)

June 07, 2007

Governor Signs Renewable Bill, CUB Still Has Pots on the Stove

Yesterday morning, Governor Ted Kulongoski signed into law SB 838, the Renewable Energy Standard, in a room full of those people who had helped make the idea into a bill and then move the bill through the Oregon Legislature (including, in the picture below, CUB Organizing Director Jeff Bissonnette, CUB Staff Attorney Jason Eisdorfer, and CUB Board Member Fred Heutte). The morning signing was a celebratory occasion, crowning months of hard work, and resulting in a movement toward a greener electricity system for Oregon, requiring 25% renewable energy sources by 2025.

Governor Kulongoski and Clean Energy Allies at RES Signing Ceremony

This is the second serious move Oregon has taken to address the consequences of global warming, the first being adoption of California's tail-pipe emissions standards. A third move is the passage of HB 2620, which ensures that all new public building projects will designate 1.5% of construction costs to installing solar power. This is a significant change, adding to an overall "greening" shift in our power system, and the precedent it sets for successfully integrating clean energy technology is a tremendous boon to the state.

Still in the works: We're very much hoping for a fourth major move toward reducing greenhouse gases, if the Legislature passes the Climate Integration Bill, which would establish requirements for utility reporting of carbon emissions, create a state policy commission on climate change, and establish a university-based research center on climate change policy. Gathering information on climate shifts both worldwide and from local impacts in Oregon would be a great foundation for future actions we can take to protect our land and economy from the difficulties that could be approaching due to global warming.

Two other energy efficiency bills (the cheapest and cleanest power is the power you don't use, right?) have been sent to the Ways and Means Committee, and still have a shot at passage: SB 576 would require state agencies to construct new buildings to LEED Gold Standards, which could lower those buildings' energy usage by 15%; and HB 2876 would require state buildings to achieve a 20% reduction in energy usage by 2015.

Also still cooking are amendments to revise and expand the clean energy tax credits for residential (RETC) and business customers (BETC) that already exist. This is especially exciting to add a financial incentive for developers to include clean energy systems, such as solar, onto the houses they build. After all, why should clean energy be only an after-purchase add-on when it could be common practice for all new housing construction? Every energy efficiency, conservation, and renewable bill that we can pass will pay dividends well into the future in reduced energy costs and pollution.

And last but not least is SB 461, the low-income energy assistance bill, which would raise the amount of money available for those unable to pay their utility bills from $10 to $15 million, resulting in an increase of about 20 cents per residential utility bill. This is important because Oregon is not even coming close to meeting the needs of those who cannot pay their energy bills, and because a cycle of shut-offs costs all customers money in the long run. This bill could still pass and we ardently hope that it does.

On the telecommunications front, it looks likely that the Telecomm Consumer Bill of Rights is not going to pass this session, and we are hopeful that neither will any of the several dangerous deregulation bills that were floated this time around by the telecomm industry.

With all of the energy bills still in play, we are clearly not done yet, and with the leadership in Salem hoping to end the session by June 29th, we are looking at an extremely busy next few weeks. Well, that's all to the good. We're pushing hard to the end. We may send another action alert on one of our priority bills in the next few weeks - keep your eyes peeled.

Posted by Oregon CUB at 04:26 PM | Comments (2)

May 24, 2007

Clean Energy Bill Going to Become a Law!

There has been dancing in the streets, or at least around our desks, after the passage of SB 838, the Renewable Energy Standard, by the Oregon House yesterday, with a final vote of 41-18. The passage of this bill means that by 2025, 25% of Oregon's electrical power needs will be met by new renewable energy sources. This is the most significant move Oregon has yet made to reduce greenhouse gas emissions and address global warming.

CUB feels like we have a won an Academy Award and so, before the music swells, we'd like to thank Governor Ted Kulongoski for his leadership on this bill, ably assisted by Staffer Peter Cogswell, Jeremiah Baumann of OSPIRG for tenacity and temerity in the face of huge opposition, Senator Brad Avakian, without whom the bill would not have begun its journey in the Oregon Senate, Representative Jackie Dingfelder, who made a fantastic showing in the Oregon House, and Portland General Electric and PacifiCorp, who helped organize support for the RES. CUB received some criticism for working with the utilities on this bill, but we say the end result speaks for itself: together we passed a strong bill that is going to keep Oregon clean and prosperous for the long haul. A large coalition of environmental groups and other stakeholders also played a large role and those groups deserve our thanks (some standouts include OLCV, the Oregon Conservation Network, the Oregon Business Alliance, EWEB, Oregon AFL-CIO, Renewable Northwest Project, Oregon Municipal Electric Utilities, Portland Jobs with Justice, and Ecumenical Ministries of Oregon).

CUB thanks all of our members who made phone calls and emails and trips to Salem in support of SB 838. And most of all, CUB staff and board members wish to thank our own Jeff Bissonnette, CUB Organizing Director and Man In Salem, who worked strategically and unceasingly to bring about this victory. And we thank our families, especially our mothers...

We tracked down Jeff, who had this to say about the passage of the RES: "Customers can rest a little easier knowing that, not only does this bill take us a big step forward in protecting our children's future, but also protects all of us against steep carbon-related rate hikes in coming years." When asked if he could relax a little now, he raised his eyebrows (through the phone line) and responded, "We still have quite an agenda going on."

The bill goes back to the Senate for a concurrence vote and then on to the Governor's desk. Passing the RES makes Oregon one of 22 states who have passed some sort of renewable energy legislation, and Oregon being Oregon, our bill is one of the very strongest in the nation. It's a wonderful success, and it WILL make a difference.

By the way, this is our 100th blog entry. We began this series of CUB Online newsletters with the news of our victory in the PUC decision to not approve the Texas Pacific purchase of PGE. We love having good news to share with you today, 99 emails later, as well.

Posted by Oregon CUB at 02:48 PM | Comments (0)

May 10, 2007

Q: Where's the real threat of higher rates coming from? A: Not clean energy.

The Industrial Customers of Northwest Utilities, better known as ICNU, has been opposing SB 838, the Renewable Energy Standard (or RES), Oregon's chance to build an electricity system composed of 25% renewable resources by 2025, on the grounds that rates might go up. One of the leaders of its coalition in opposition has been local corporate heavy Weyerhauser. Despite the 4% cost cap IN THE BILL, they have continued to beat the drum with legislators that rates would rise if we protect the stability of our electrical supply and our environment through investments in renewables. In fact, investment in renewable energy now will prevent higher costs later by avoiding fossil fuel volatility and carbon regulation. The bill also contains other consumer protections.

The truth is that the threat of higher rates isn't from the RES. As a matter of fact, PacifiCorp, in their latest resource plan, is expanding by over 40% -- from 1400 to 2000 Mw -- their amount of cost-effective renewable resources, and plans to integrate these resources by 2014. They are finding that renewables are cost-effective even today. (It's still important to pass the RES to ensure that all utilities make these kinds of investments.) And as carbon regulation hits and gas and coal prices go up, they will be even more affordable.

The real threat of higher rates is actually from Weyerhauser and ICNU themselves.

While the industrial customers were bemoaning higher rates at the Capitol, they were also actively trying to raise most residential customers' rates, by suing Bonneville Power Administration over the Residential Exchange. Their argument was that the Exchange, a provision of federal law that allocates a share of the benefits of the federal hydropower system to residential and small farm customers of investor-owned utilities (IOUs) such as PGE and PacifiCorp, was unfairly "subsidizing" these residential customers of IOUs on the backs of public power and industrial customers. The amount of benefits under the current Exchange settlement is worth $300 million/year or about 13% of these residential customers' rates. The court decided last week that the way BPA settled the Residential Exchange in their last rate case was not consistent with federal law; the court did not decide against the Exchange itself, but the amount to be allocated now hangs in some uncertainty. "'We're pleased that the 9th Circuit recognized the BPA was overstepping its authority,' said Melinda Davison, an attorney who represents industrial customers such as Weyerhauser and Georgia Pacific. 'We don't think public power customers should be subsidizing residential ratepayers.'" ("Ruling could raise power rates," Oregonian, 05-04-07.)

Where to begin? First off, there's the matter of complaining about a potential (but unlikely) 4% rate increase while actively working to raise other customers' rates a good deal more than that. Nice one. Then there's the matter of calling the Exchange a subsidy, when it's actually a fair allocation of shared federal resources, granted to all the region's residents in the 1980 Northwest Power Act. The Exchange is no more of a subsidy than the benefits that public power and industrial customers get. We actually don't believe it would even be legal for BPA to eliminate the Exchange benefits, but that's a battle for another day. Finally, what are industrial customers thinking? They insist that investment in new resources is unnecessary, be they renewable resources, conservation and energy efficiency programs, or even traditional fossil fuel generation (the one place we tend to agree with them). What, then, do they think we're going to do for increased energy as our region absorbs the expected growth in population over coming decades? We don't follow their reasoning, but we're certainly not following their lead on a path sure to lead to higher costs and bigger problems down the road.

This obstinate refusal to acknowledge the new ecological and economic reality is not really a necessary part of corporate business practice. The Oregonian announced May 9th that REI, Yakima, and Nike are all working on achieving carbon neutrality by offsetting the greenhouse gases they emit as a part of doing business. The day before that, Environmental Defense sent out a News Release saying that 12 more multinational corporations, including General Motors and Shell, were signing on to the U.S. Climate Action Partnership (USCAP), bringing the total number to 22. "As part of this announcement, these companies pledge to support national legislation to reduce America's global warming pollution by 60-80% by 2050." These organizations, not known for their radical rabble-rousing, are simply seeing the writing on the wall. In fact, according to one local expert, quoted in the Oregonian, "'It's not entirely commercial self-promotion, and it's not entirely intrinsic corporate virtue,' said Angus Duncan, president of the nonprofit Bonneville Environmental Foundation, which promotes clean energy development. 'It's a mix of two.'" These businesses know it's in their best interests to change course. Apparently Weyerhauser, which had earnings of $755 million in the first quarter of this year, isn't seeing the pattern or what is at stake.

If we let Weyerhauser dictate energy policy for the region, the end result will be both higher rates and hotter, dirtier air. What a deal. The RES still has a chance and is the best deal for Oregon's environment, community and economy. Oregon Legislators have the opportunity to do a good thing if they will only pass a Renewable Energy Standard for Oregon. Call your House Representative now at 800-332-2313 or email through the web. Tell him/her to vote yes on SB 838 for clean energy.

Finding a way to balance affordable rates and stable energy sources that don't cause irreparable harm to our environment is not radical politics -- it's just good energy policy.

Posted by Oregon CUB at 03:22 PM | Comments (0)

May 03, 2007

Only One Hurdle Remains for Renewable Energy Standard Bill -- Let's Clear It!

The Renewable Energy Standard Bill, SB 838, has passed out of committee in the Oregon House and will be headed for the floor soon. If passed, Oregon will produce 25% of its electricity from renewable sources by the year 2025, and will benefit from a wealth of new clean energy resources and a revitalization of rural economies.

If you've been reading CUB Online for long, you may have followed the entire course of this legislation, from "pie-in-the-sky" idea back in 2006, through strategic planning and drafting, on through its trajectory in the Oregon Senate, and here we are ready to take it home. Along with everyone from the environmental community to rural county commissioners, the Governor loves this bill; we have no doubt he'll sign it if passed. This is the final hurdle, folks.

The opposition hasn't given up, but has switched tactics. Knowing that they will have a hard time convincing anyone to vote "no" outright on such a great bill with such widespread support, they've decided to try to kill it by getting members to vote to send it back to committee. Don't let them do it.

CUB is going to be phone banking next week to awaken the considerable amount of grassroots support that we know exists out there. Dozens of people on this list, perhaps hundreds, have already taken action to support SB 838. There are hundreds more we can move to action with your help.

If you haven't already contacted your own House of Representatives member, do so now. This is a crucial time and the stakes are high. We could be developing a cleaner, more prosperous Oregon to leave to our children and grandchildren, or we could lose this opportunity. Call the Oregon Capitol now at (800)332-2313 or send an email through this link. Tell your rep to vote "yes" on SB 838 and to not let anyone send this bill back to committee.

If you've already contacted your legislator in the House, and you are assured of his/her support for the RES bill, consider coming down to the CUB offices in beautiful downtown Portland one evening next week to spend a few hours calling other CUB members to urge them to call their own representative. If you can phone bank for this Renewable Energy Standard, contact CUB Organizing Director Jeff Bissonnette at 503-516-1636 or at jeff@oregoncub.org. Also, send this message on to everyone you know who cares about clean energy.

We are so very close to victory. We can do great things for Oregon by passing this bill. We'll reduce greenhouse gases, we'll build businesses and create jobs statewide in rural economies, and we'll keep our own utility costs down (since this will protect all customers from the volatility of fossil fuel markets and the future costs of carbon regulation). Let's take it on home.

Posted by Oregon CUB at 12:39 PM | Comments (0)

April 19, 2007

ACTION ALERT: Call Your Representative and Make a Difference for Earth Day

Two critical bills need your help to pass the Oregon House. Put some action into your Earth Day by calling on your legislator to support Clean Energy and the creation of a Global Warming Commission.

CLEAN ENERGY
The Renewable Energy Standard Bill (RES), SB 838, made it through the Oregon Senate last week and now we need to keep the momentum going to make it through the House. It takes a lot more energy to overcome inertia than to keep a ball rolling, and we at CUB are all about saving energy.

That's why we are asking you to keep the RES bill on the move: CALL your Representative in the Oregon House at (800) 332-2313; tell them you support SB 838, the RES bill.

We've come a long way with this bill, but we're not there yet; we think we can get the votes we need to pass the House, but we need your help to make it happen. The opposition (led by industrial customers whose statements about the bill have been, in the words of CUB Energy Program Director Jason Eisdorfer, "either misinformed or misleading") has been lobbying hard to stop this bill; we need to make sure that representatives feel the broad base of statewide support for this bill that we know is out there. This may be the most important bill for Oregon's environment, economy, and customer protection that the Legislature will see this session. Global warming makes clean energy an urgent issue.

GLOBAL WARMING COMMISSION
While you're at it, there's another important bill that needs your help in the Oregon House: the Global Warming Commission bill, HB 3543, would create a state commission to compile and study developing research on global warming. That research would then be used to plan policy that will protect Oregon's coastlines, mountain ranges, water supplies, agriculture, and communities. Too much is at stake for Oregon's people and economy not to pass this bill.

CALL NOW!
If we do nothing else but pass these bills, the session will have been successful. Many of you have already taken action, and we thank you. If you have not yet done so, do not delay! This is not a situation that calls for last minute action - the time to act for clean energy is NOW. The Capitol Switchboard at (800) 332-2313 can connect you with your legislator. If you need to look up your legislator's name, or prefer to send an email, you can do that on the web. Call Now and ask your Representative to vote Yes for the RES bill (SB 838) and yes for the Global Warming Commission bill (HB 3543).

CELEBRATE THE EARTH WITH ACTION
In all its 37 years, Earth Day has never meant so much to so many. Of course, never has there been so much at stake for the interconnected systems that make the Earth function as our planetary home. Thousands of people will be attending an Earth Day celebration in Portland, Eugene, Corvallis, Rogue Valley or other Oregon communities this weekend.

Make Earth Day more meaningful by adding a scoop of weekday political action to your weekend party. The best thing any Oregonian can do for the Earth is to call your Representative and help pass the RES and the Global Warming Commission bills. Call now, and help make future Earth Days something to celebrate.

Posted by Oregon CUB at 03:07 PM | Comments (0)

April 12, 2007

Renewable Energy Standard Passes in Oregon Senate

Great news from Salem! The Renewable Energy Standard, Senate Bill 838, sailed though the Senate earlier this week with a vote of 20 to 10. This puts the bill in a strong position going forward to the Oregon House, where the fight may be tougher, but the momentum gained will hopefully bring a victory there, too.

We appreciate the calls and emails of all our CUB members who talked to their Senators about passing this energy standard, which would bring Oregon to the level of 25% renewable energy by 2025. All of our elected officials in Salem need to understand that global warming has added urgency to our need to switch to green power, and passage of this bill would move us toward green power in a significant way.

Now, turn that same energy and enthusiasm toward the House and call your Representative at 800-332-2313 or email through the Legislative website. We need grassroots advocates like you contacting your Representatives, and the need is, if anything, stronger than before.

We've been calling this bill "ambitious but achievable" ever since Governor Kulongoski made the proposal in his State of the State Address. This vote brings us halfway to actually achieving our ambitious goal for Oregon. Turning the tide on climate change requires making vast reductions in our greenhouse gas emissions. Starting sooner will ease the cost and the destruction later.

Another way for Portland metro area activists to support such change is to come out this Saturday to Portland's Face It Rally to Solve Global Warming.

Act now and keep the momentum building toward a sustainable energy future!

Posted by Oregon CUB at 02:51 PM | Comments (0)

April 05, 2007

CUB Tackles Telecommunications Issues in Salem

We have spoken most recently and most often in CUB Online about the clean energy legislation CUB is advocating in Salem, but we also are working hard at the Capitol on telecommunications issues. Today we want to share with you some information and analysis about two telecom bills that are before the Oregon Legislature.

The good news is that a Telecommunications Consumers' Bill of Rights is back, HB 2008, introduced by Rep. Phil Barnhart and Rep. Diane Rosenbaum. It is long past time Oregon telecommunications customers should have these basic protections, things like "clear and complete information about rates," "right to personal privacy," "accurate and understandable bills," and of course, the right "to select telecommunications providers and vendors and to have those selections respected by telecommunications utilities." In other words, no slamming allowed.

Earlier this week, CUB Executive Director Bob Jenks traveled to Salem to give testimony in support of HB 2008, and we include portions of that testimony below.

Another bill being discussed is HB 2621, and this one is harder to support. This bill, which both Qwest and the Public Utility Commission endorse, would end rate regulation of all telephone rates except basic service. This means that the phone companies could raise rates for many other services and features (such as call waiting, 3-way calling, and business services features) that go along with basic local phone service. In addition, the bill says that the phone company can ask the Commission to raise the rates for basic local service in three years.

The reason the PUC is on board with the bill is that it would also provide increased consumer protection, allowing the Commission to investigate and address complaints having to do with all voice telephone services, including wireless, cable and voice-over-the-Internet (VOIP). Currently, the PUC deals with local phone complaints, has some limited authority to handle wireless complaints, and no authority over cable and VOIP.

We do wholeheartedly endorse the consumer protection aspects of the bill but are troubled by the change to regulatory practice, which would make it difficult if not impossible for CUB to argue against a rate hike if one were to be proposed by the phone companies three years from now.

Currently, we can go to the PUC and argue that this is an industry whose costs are declining, and that companies therefore do not need to charge customers more for the telecommunications services they rely on to connect them to friends, family and necessary services. However, if this bill were to pass, the price of phone service would be "disconnected" from the company's cost, the standards for approving rate hikes would become far more subjective, and we might be forced to see ordinary home and business phone service increase by leaps and bounds. That we cannot support.

So we will continue to monitor HB 2621, and to advocate strongly for HB 2008, knowing that well-protected telecommunications utility services are a cornerstone for the healthy functioning of Oregon families, businesses and communities.

Testimony of Bob Jenks in support of HB 2008, April 4, 2007
House Consumer Protection Committee

I am pleased to be here today to testify in support of HB 2008. HB 2008 is a simple straight-forward bill. If the telecommunications industry was as straight-forward as this bill, a change in the law would not be necessary.

It is time to treat customers with the respect that we deserve.

Posted by Oregon CUB at 04:08 PM | Comments (0)

March 29, 2007

What's In a Name? Renewable Energy Standard Bill Passes Out of Committee

Great news for clean energy supporters! With a new name (or number, that is), plus an addendum supporting increased energy efficiency programs, the Renewable Energy Standard bill passed out of Committee on Tuesday of this week. As you may remember, the Renewable Energy Standard (RES) calls for 25% of Oregon's electricity to come from renewable sources by 2025. And its next stop is the Senate floor! The RES bill, previously SB 373, is now called SB 838, but has the same great combination of benefits for customers and the environment that CUB staff and our allies took such care in proposing.

Voting for the bill was a bipartisan group including Senate Committee Chair Brad Avakian, Sen. Jason Atkinson, Sen. Alan Bates, and Sen. Floyd Prozanski; Sen. Roger Beyer voted against the bill. We believe chances of a Senate floor passage of the bill are good, and that a statewide group of Oregon Senators exists who understand that the time for clean energy is now. We also want to make sure our Senators act upon the understanding that customers deserve the kind of long-term protection, both of affordable rates and stable power sources, that an RES would provide. (See the end of this article for an action you can take to help secure passage of SB 838.)

There are benefits and protections in this bill for everyone, starting with Oregon residential utility customers.

Those customers will benefit from having a significant portion of their electricity needs met from renewable sources developed to take advantage of sun, wind, geothermal, and hopefully someday wave energy. Diversifying power sources away from fossil fuels will make our electricity more stable, more local, and will keep long-term prices down. Once we invest in wind turbines or photovoltaics, there is no cost for the fuel. Talk about a free market!

Industrial customers will receive the same benefits as the residential customers CUB represents, though at this point they remain unconvinced. We have heard arguments against the bill to the effect that it will drive up prices. However, studies have shown this not to be the case in other states with similar laws. And the Oregon RES provides a cost cap of 4% which will quite likely never even be reached. Chances are far greater that relying on increasingly volatile fossil fuel markets to produce our energy will result in higher prices. We haven't quite figured out the sense behind these industrial customers' position, which so far has seemed to oppose additional investment in any new energy, either on the supply side or in managing demand (such as through energy efficiency programs). CUB recognizes that we will have to invest once in a while in the electricity production system to keep it functional, keep it sufficient to meet demand, and move it toward sustainability. We think the RES fits the bill (and in fact is the bill).

Rural Oregonians benefit from the taxes paid to those counties in which renewable projects are built, and by the possibility of increasing numbers of jobs in renewable power industries. Urban Oregonians benefit by buying the clean power their rural neighbors produce. Both urban and rural Oregonians benefit from the establishment of economic ties between different parts of the state.

Large utilities are protected by the assurance that they will be reimbursed for prudent investments. Smaller utilities are also protected, since they are only required to meet the standard if they sell more than 1.5% of the state's retail electricity. If they sell less than 1.5% they must meet a standard of only 5% renewables by 2025, an eminently reasonable goal.

Finally, this bill addresses a much-needed reduction in the amount of greenhouse gases our nation emits, 40% of which is attributable to the electricity we produce and consume. Climate change has added urgency to an already important issue. Producing "green" power rather than "brown" provides huge benefits for all of the humans and other creatures who depend on clean air and clean water to live. That would be you and I, and our children, and our children's children, and the many plants and animals that share the Pacific Northwest with us. Business and technology have brought us to a time of unprecedented population growth and relative comfort. Now, we must bring our business and technology to a place of sustainability, so that we don't collapse our society under the very weight of the engine that powers it.

This is only one piece of legislation in one state of one nation on the planet. But it is important in the overall scheme. If we can pass SB 838, the Renewable Energy Standard Bill for Oregon, we will have completed a pattern with Washington and California (who have already passed similar energy standards) that creates a sizable chunk of geographic and economic territory focused on finding a better balance between environmental health and human resource consumption. The Pacific Northwest can lead in sustainable energy and we will - all of us - be the better for it.

So call your Senator and let him or her know that this is THE bill to pass this session (Capitol Switchboard is 800-332-2313 or in Salem 503-986-1000). Or visit them on the web and send an email urging their support. We need clean and affordable energy and we need it now. Tell them to Vote YES on SB 838!

Posted by Oregon CUB at 01:38 PM | Comments (0)

March 08, 2007

Renewable Energy Standard Bill Gets a Hearing

The Renewable Energy Standard (RES) bill, Senate Bill 373, had its first hearing Tuesday in the Senate Environment and Natural Resources Committee, chaired by Sen. Brad Avakian. Governor Kulongoski made a brief speech about the importance of passing this bill, which would require that 25% of Oregon's electrical power be produced from new renewable resources by the year 2025. CUB's Program Director, Jason Eisdorfer, also testified at the hearing in support of the bill. We are happy to say that OSPIRG, the Northwest Energy Coalition, the AFL-CIO, and Portland General Electric have also signed on as supporters.

The bill is, of course, not without its opponents, (those groups were given a voice in the March 7th Oregonian). We are convinced, however, that the RES is good environmental policy, is good for statewide economic development, and is a fundamental customer protection issue. As consumer advocates, we'd like to elaborate on that last item. Here's what an RES offers Oregon utility customers:

1) Diversity of Resources & Cheap Fuel

Resource planning for a utility's customers should ideally be both broad and deep. The breadth of the resource portfolio is what is addressed here. By adding significant amounts of new renewable resources to our energy resource portfolio, we are without a doubt reducing our own risk of being exposed to fluctuating costs. Partially, this is because there are simply fewer costs to begin with. All energy resources require capital investment and will have Operations & Maintenance costs. However, fuel costs can simply be written out of the equation when you are dealing with many renewable energy sources. As Jason Eisdorfer said at the RES hearing Tuesday, "There's no market for sunshine. There's no market for wind. There's no market for the tidal pull of the moon." Greater diversity also means less risk falls on any one resource.

2) Long-term Resource Prudence

On the depth side of resource planning, we need to be looking not just 2, not just 5, not just 10 years out, but decades into the future in order to ensure a steady and affordable and sustainable source of electrical power. We are on the cusp with the issue of global warming; concern is building and will soon turn to some form of governmental action regarding greenhouse gas emissions. Fossil fuels in general, and coal in particular, will be targeted with some form of carbon regulation and the result will be costly. All coal power production will become more expensive and it will likely end prematurely the lifespan of some coal plants. A Renewable Energy Standard would set Oregon utility customers up well for the future, ensuring that we don't get caught holding the bag.

3) Protective Rate Cap

CUB is always working to protect reasonable rates. In fact, working for renewables is the best way we see to protect ratepayers' long-term economic health (see again No. 2). But new resources require new capital investments to get going, and so this Renewable Energy Standard Bill includes a cost cap to ensure that those initial investments do not become too big a burden on customers. The cost cap in the RES bill has been set at 4%, so that the differential between the green power we hope to acquire and the brown power we would otherwise have bought shouldn't raise rates more than 4%. We don't believe this cost cap will be triggered, but if it was the investment would pay huge dividends as fossil fuel-based energy becomes more scarce, more volatile, and more regulated.

4) Addresses Future Market Volatility

Did we mention more volatile? Market volatility will apply not only to fossil fuels (an area in which natural gas markets, for instance, have been on a roller coaster ride for several years). Even without variable fuel costs, renewable energy markets could be subject to price volatility, as well. This is because renewables like large wind farms are site-specific, and once the best sites are developed, the demand for power from those sites will grow and the cost will rise. Oregon, without an RES, would be at the mercy of California and Washington power customers, who have passed Renewable standards into law and who will be looking to meet their states' goals. If prices for renewable power should spike, Oregon's RES would offer the Oregon Public Utility Commission the ability to choose a market price at which customers' green power investment (again, the differential between green and brown power) would be channeled into a savings fund, until such time as the market settles and the opportunity to invest in a prudent renewable energy source arises. This mechanism is called the Alternative Compliance Payment and it is a mark of Oregon's foresight.

5) Helps Keep Planet Habitable. 'Nuff said.

If you have not already done so, now would be a good time to contact your Oregon State Senator and Representative, which you can do online here or by calling 1-800-332-2313. Let them know that passing the Renewable Energy Standard Bill, SB 373, is important to you.

And by the way, if you didn't catch the fact that the Superbowl this year was carbon neutral and the Oscars was calling itself a green event (and by doing more than simply giving Academy Awards to the documentary Inconvenient Truth and its lead song, Melissa Etheridge's I Need to Wake Up), here is an article about global warming from that bastion of environmental thought, Sports Illustrated. Global warming isn't on the fringe anymore -- it's a mainstream issue now.

Posted by Oregon CUB at 10:16 AM | Comments (0)

February 16, 2007

CUB Holds Successful Lobby Day

Members of CUB's volunteer Board of Governors and Staff members journeyed to the State Capitol in Salem yesterday for a Lobby Day in support of CUB's Pro-Consumer and Clean Energy Agenda. At the top of the list of bills we are supporting is SB 373, the Renewable Energy Standards Bill, which would require that 25% of Oregon's electricity production be produced from clean, renewable sources by the year 2025. We also spoke with our legislators and key committee chairs regarding SB 461, the bill which would raise the amount of low-income energy assistance money offered from $10 million (which currently serves only about 23% of the need) to $15 million, with an index tied to inflation.

Our newest CUB Board member, Linda Tomassi, traveled down from Portland, along with long-time CUB Board member and supporter Fred Heutte. CUB Executive Director Bob Jenks and staff members Lowrey Brown and Shannon Floyd also drove that I-5 corridor (and, yes, we did carpool!). Already close at hand was Board member and Salem resident Steve Weiss. And coming from farther afield were Board Chair Doug Crow, from Mosier, and Board Member Hank Keeton, from Scotts Mills. Jeff Bissonnette, CUB's lobbyist and organizing director, is a fixture at the Capitol these days; he shepherded our group through a dozen or so meetings throughout the day with great efficiency and aplomb. And our newest intern, Thomas Balcom, an anthropology student at Willamette University, helped manage the many details of a busy day.

We wish to express our great appreciation to the busy lawmakers who took time to meet with us, and talk with us about these important bills. That list includes: Senate Majority Leader Kate Brown, Senator Jason Atkinson, Sen. Jeff Kruse, Senator Rod Monroe, House Speaker Jeff Merkley, Rep. Terry Beyer, Rep. Scott Bruun, Rep. Ben Cannon, Rep. Brian Clem, Rep. Diane Rosenbaum, and with special thanks to Senator Brad Avakian and Rep. Jackie Dingfelder, not only for their time yesterday, but also for their leadership roles in working to pass the Renewable Energy Standard. In between the meetings with legislators, the CUB group gave a statement to members of the Capitol press corps, met briefly with Public Utility Commission Chair Lee Beyer, attended the tail end of the Oregon Conservation Network meeting, and enjoyed some lunchtime sandwiches and cookies around a table that looked out on the Capitol back lawn.

The day went really well and feedback from Linda made us smile: "We were organized, educated, coordinated, fed, encouraged and delivered. I knew you were really good at what you did, Jeff, but knowing and seeing are very different things. Thank you. What we did today was important. Oregon's policymakers are obviously impressed with CUB's integrity and competence. I am proud to be part of such an amazing organization." We had a great CUB Lobby Day, learned a lot about the bills, the people and the processes of our Capitol, and hopefully made some strides in moving along the RES and low-income assistance from bills to state law.

Just as important as the CUB Board going to Salem to push our agenda will be CUB's grassroots members writing letters, making phone calls and sending e-mails to your legislators at key times in the process. That's where CUB's clout really comes from. Stay tuned for action alerts that will be coming as the legislative session really starts to heat up.

And if you want to come to Salem yourself to personally talk to your legislator, consider attending the Oregon Conservation Network Lobby Day on April 3rd. It's always a fun and empowering day, joining with a few hundred Oregonians from around the state. A key focus will be supporting the Renewable Energy Standard bill as well as other parts of the Clean Energy Agenda. To find out more about the OCN Lobby Day, contact Jeff Bissonnette at jeff@oregoncub.org.

Posted by Oregon CUB at 03:00 PM | Comments (0)

January 04, 2007

Here Comes the Year of Clean Energy!

Well, 2006 has been called the Year of Living Globally (by eweek.com), the Year of You (by Time Magazine), and The Year of the Democratic Woman (by lots of people, from The Nation to The National Review). The year 2006 could (and has) also been called the Year of Global Warming. Last year gave us thousands of showings of An Inconvenient Truth, the Second Meeting of the Parties to the Kyoto Protocol in Nairobi, the evacuation of one island (off of India) due to rising sea levels, and today saw a cartoon by Jack Ohman of the Oregonian suggesting that Endangered Polar Bears could lead to Threatened Bush Junk Science. The denial is melting as fast as the ice sheets, it seems.

If 2006 was the year the U.S. began to acknowledge global warming, then 2007 will undoubtedly be the year we start to deal with it, right? Well, with the Chinese New Year coming up (February 18th) and China growing in importance to international discussions of finance, politics, and (yes) global warming, we also offer this description of those born in the upcoming Year of the Pig (or Boar): "Fire Pigs breathe new life into everything they do. These Pigs are vivid, motivated individuals who cannot be deterred from a goal once they have set it."

Cue the opening of the Oregon State Legislature. CUB and its allies, particularly those who are members of the Fair & Clean Energy Coalition, will be moving forward with a Clean Energy Agenda that has been fine-tuned and spit-polished, ready to take to Salem next week.

Our goals include:

1) We will work to create a Renewable Energy Standard for the State of Oregon that requires that 25% of Oregon's electricity come from renewable sources by the year 2025.

2) We will work to increase the amount of money available to help low income Oregonians pay their electric bills, from $10 million to $15 million.

3) We will work to remove the current sunset provision on the funding for the hugely successful energy efficiency and renewable projects managed by the Energy Trust of Oregon.

4) We will explore additional investment in those successful energy efficiency and renewables programs.

5) We will work to earmark one percent of new public buildings' budgets for installing solar technology.

6) We will work to improve building standards so that we achieve a 15% increase in energy savings in new buildings.

7) We will work to expand clean energy technology credits so that homebuilders and others will have an incentive to install solar power systems or energy efficient appliances.

8) And finally, we will work to increase our energy efficiency standards for appropriate appliances to reflect other energy-saving standards being adopted around the country.

This list has been carefully crafted by those within CUB and our network who know the affected laws currently in place (and in some cases helped write them) and know how to work for maximum impact going forward. We believe that everything on this list is eminently achievable.

In fact, we are feeling rather Boar-ish. Watch out, Salem -- here comes CUB.

Posted by Oregon CUB at 04:59 PM | Comments (2)

November 15, 2006

Clean Energy Makes Everybody a Winner!

After all the ballots were counted up in Washington State (and it took until this week to do it), voters passed Initiative 937, the Clean Energy Initiative. Because of Washington State's electoral practice of counting absentee ballots postmarked on Election Day, there was a delay in claiming victory until it was clear the pro-clean energy forces had carried the day.

In the words of the Yes on 937 campaign: "Passing I-937 in Washington State continues the momentum of clean energy across the nation. Global warming and energy independence are critical issues that need practical solutions like I-937. Using energy more efficiently and developing clean, homegrown resources like wind and solar will position us well economically and environmentally for the future."

That is why CUB was watching this campaign so closely. Its victory does indeed continue a strong momentum on clean energy issues, and we're going to carry that momentum into the Oregon legislature come January. The Washington initiative demonstrates grassroots support in the Northwest for ambitious but achievable clean energy policies. Here in Oregon, we have a Governor who is strongly in favor of promoting clean energy proposals and many legislators, both Democrat and Republican, who campaigned in favor of clean energy and energy independence.

We plan to make sure that the campaign poetry gets translated into governing prose. Earlier this year, CUB began working on the Oregon Clean Energy Agenda to enact progressive energy policies. Some items on the Clean Energy Agenda:

* We support the Governor's proposal for a Renewable Energy Standard calling for 25 percent of Oregon's energy needs to be met by renewable resources by 2025.

* We want to extend public purpose funding dedicated to energy efficiency and renewable resource development past the current sunset of 2012.

* We plan to accelerate clean energy development by exploring an increase in the funding that we currently invest in energy efficiency and renewable energy resources.

* We think that by revising clean energy tax credits we can encourage broader use of clean energy technology by consumers and businesses.

* We hope to increase energy efficiency standards for certain appliances to reflect other energy-savings standards being adopted around the country.

You can help promote the Oregon Clean Energy Agenda. Please take a few minutes and contact Governor Ted Kulongoski, as well as your state representative and state senator, and ask them to make clean energy issues a priority in the 2007 session. Governor Kulongoski can be reached by calling 503-378-4582 or via e-mail on the web. If you are not sure who your state representative or state senator is, contact CUB Organizing Director Jeff Bissonnette at jeff@oregoncub.org and he'll point you in the right direction.

Clean energy is going to be a major issue in the 2007 session. Help CUB bring a victory home to Oregon in the coming year, by letting our elected leaders know you care about clean energy.

Posted by Oregon CUB at 01:59 PM | Comments (0)

November 03, 2006

Get Out the Vote for Clean Energy

A couple of weeks ago, CUB Online talked about I-937, the Clean Energy Initiative in Washington State. We highlighted one of the key aspects of the measure: a Renewable Portfolio Standard (RPS) requiring that 15% of the state's energy be produced from clean, renewable resources by the year 2020. In addition to that goal, the measure also calls for increasing Washington's energy efficiency work to ensure that all cost-effective efficiency is captured to lower energy bills overall for both businesses and households.

When people think of clean energy, they think of windmills and solar arrays but, as we talk about a lot here at CUB, "the cheapest energy is the energy you don't have to produce in the first place." In fact, there's a lot of room for more energy efficiency and conservation. "Despite great examples of conservation leadership, some utilities are underperforming," said Stan Price, executive director of the Northwest Energy Efficiency Council, a trade association representing energy efficiency businesses. "Passing I-937 will make sure that Washington maximizes its conservation potential."

Because I-937 addresses both efficient use of energy plus the clean production of energy, that makes it even more attractive to support. And, as we mentioned last time, a win in Washington will help similar efforts to increase energy efficiency and renewable energy generation here in Oregon.

We have several CUB members and supporters going across the river to help talk to voters by phone in Clark County this weekend on Saturday, November 4th. If you want to join the crew, contact CUB Organizing Director Jeff Bissonnette by phone (503-516-1636) or e-mail (jeff@oregoncub.org).

And even if you can't come this weekend, if you have family or friends who are Washington State voters, you can still help out. Either forward this entire e-mail to folks you know in Washington and encourage them to vote Yes on I-937, or cut and paste the message below into a separate e-mail and send it out.

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VOTE YES on I-937! I-937 will ensure that 15% of Washington's energy comes from clean, renewable sources like wind and solar by 2020. I-937 also ensures that utilities help their customers save money and energy through energy conservation.

This is our chance to take control of our energy future for our kids and grandkids. I hope you'll Vote Yes on I-937, and forward this email on to your friends! For more information, visit Yes on 937! Watch the tv ad!

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Even sending this to a few people and encouraging them to pass it on would be a big help. And, as we said a couple of weeks ago, even though CUB does not endorse candidates, we do encourage voters to pay attention to what candidates say about global warming, utility taxes, and other issues that are important to utility consumers. Then, cast your vote accordingly by November 7th.

Posted by Oregon CUB at 01:35 PM | Comments (0)

October 18, 2006

Over the river and to the voters/ Of Washington State we'll go...

A few weeks ago CUB Staff Attorney Jason Eisdorfer was quoted in a Northwest energy news publication, Clearing Up, saying, "If we're going to rely on utilities to save the world, we're in trouble." He was speaking of global warming and the need to switch to cleaner energy sources. Then last week we wrote about our first Energy Symposium, at which PGE executive Pamela Lesh said in response, "If we're going to exclude utilities from being part of the solution, we're in even bigger trouble." Of course, they're both right.

CUB doesn't want to exclude anyone from being part of the solution, least of all the utilities which have so much direct and significant control over power production and its environmental side effects. But it becomes sometimes apparent that when utilities move too slowly they need to be hurried along a bit. That is the case with the movement transitioning to clean, renewable energy sources. It IS happening; we are developing alternative energy sources. But in order to adequately address a reduction in greenhouse gases such as carbon dioxide, things need to be sped up. And though utilities can and must participate, it seems clear that utilities will not lead the charge on this particular issue. So who will? As an old axiom states, "When the people lead, the leaders will have to follow."

The people of Washington State have a chance to lead on the issue of renewable energy, and CUB members have a chance to help Washington voters see what is at stake.

Washington will be voting on November 7th to decide whether to pass Measure I-937, the Renewable Portfolio Standard (RPS) requiring that 15% of the state's energy be produced from clean, renewable sources by the year 2020. That is an admirable goal, and when Washington voters hear the specific goals of the measure, they are overwhelmingly supportive.

Unfortunately, the ballot title does not always come across so clearly. Voters need to understand this measure to fully support it, and this makes voter contact extraordinarily important. That is why CUB is organizing groups to cross the river to Vancouver this Saturday, October 21st, and on November 4th, the Saturday before the election, to talk to voters, urging them to vote yes on I-937. We want you to come with us.

This measure is supported by a broad-based coalition that includes some of CUB's strongest allies, such as Renewable Northwest Project, Northwest Energy Coalition, Northwest Energy Efficiency Coalition, and WashPIRG. Individual supporters include both U.S. Senators from Washington State, four of the State's Congressional Representatives, Mayor Don Nickels of Seattle, King County Executive Ron Sims, and Denis Hayes, the founder of Earth Day.

CUB staff are making the passage of I-937 a priority because Oregon will also benefit from fewer emissions produced to serve the 6 million people that live upriver from us; after all, the air doesn't recognize a state boundary. Furthermore, if Measure I-937 passes in Washington, chances are very good that Oregon will also pass an RPS in the near future, hurrying us along toward cleaner energy production and away from climate disruption.

So put it on your calendar and call or email our Organizing Director, Jeff Bissonnette: jeff@oregoncub.org or 503-516-1636. It will take about a four-hour commitment with the main activity being door-to-door walking as part of a team, talking to voters about the measure. There are also opportunities to make phone calls to likely voters, reminding them to vote and urging them to vote yes on I-937. Let us know that you would like to join us as we take a short trip across the river to help make possible a much more important journey: the road to cleaner energy, cleaner air, and a more stable planet.

Oh, and by the way, we all get a chance to vote on November 7th. CUB is a non-partisan organization which doesn't endorse any candidates. However, we do encourage voters to pay attention to what candidates say about global warming, utility taxes, and other issues that are important to utility consumers.

Posted by Oregon CUB at 04:13 PM | Comments (0)

June 30, 2006

Wyden Cries "Hold!" on Internet Discrimination

Fearing that additional charges on Internet access would greatly harm free growth and access to the Internet, Oregon Senator Ron Wyden announced on Wednesday his intention to place a "hold" on legislation (passed this week out of the Senate Commerce Committee) that could allow such charges.

Wyden explained his strong opposition to the telecommunications legislation, which contains a provision corroding equal access to the Internet, this way: "Without a clear policy preserving the neutrality of the Internet and without tough sanctions against those who would discriminate, the Internet will be forever changed for the worse. This one provision threatens to divide the Internet into technology 'haves' and 'have nots.' This one provision concentrates even more power in the hands of the special interests that own the pipelines to the Internet. This one provision codifies discrimination on the Internet by a handful of large telecommunications and cable providers. This one provision will allow large, special interests to saddle consumers and small businesses alike with new and discriminatory fees over and above what they already pay for Internet access. This one small provision is akin to hurling a giant wrecking ball at the Internet."

Called by some an "Internet Tax," the ability to charge for different levels of speed and service would be a boon to certain telecommunications companies such as Verizon and Qwest, while causing distress among Internet-based companies such as Ebay and Amazon, and a wide assortment of organizations (such as CUB) who use the Internet as a vital communication tool. (According to the Oregonian's David Sarasohn, groups like the Christian Coalition are with Wyden on this issue, because they rely on the Internet to communicate with their many members.)

According to the San Francisco Chronicle (06/29/06): "The debate over net neutrality has become a civil war of sorts in the technology industry. Web content companies, high-tech firms and grassroots groups had hoped to persuade lawmakers to order the Federal Communications Commission to write regulations that would prevent phone and cable companies from levying additional charges on content providers to assure speedier delivery of Internet traffic."

CUB supports the strong stand that Sen. Wyden has taken on protecting net neutrality. As he stated in his floor speech Wednesday: "The Internet has thrived precisely because it is neutral. It has thrived because consumers, and not some giant cable or phone company, get to choose what they want to see and how quickly they get to see it. I am not going to allow a bill to go forward that is going to end surfing the web free of discrimination."

Telecommunications services are fast becoming one of the cornerstones of American civic and financial life, and the Internet is the superhighway of our current telecommunications system. We can't afford to stand by as equal and free access to the Internet is eroded. Good work, Sen. Wyden!

Finally, our legislators need to hear from you on issues that you consider important. You can find both Oregon Senators on the web: Sen. Ron Wyden and Sen. Gordon Smith. The Capitol Switchboard at (800) 459-1887 is also effective. Even a few calls on an issue raises the profile, but a few dozen calls really pulls the issue into the forefront.

Posted by Oregon CUB at 02:10 PM | Comments (0)

June 06, 2006

Cable Television Local Control at Risk

Most of us at Citizens' Utility Board wear multiple hats. CUB Organizing Director Jeff Bissonnette, among his many volunteer activities, sits on the Board of Portland Community Media. He therefore is doubly interested in the consumer privacy and local control issues being posed by legislation now in Congress. We have written about this danger to telecommunications customers and Oregon communities in our blog, A Telecomm Bill to Beat.

His Commentary Article appeared in the Insight section of the Portland Tribune today (06/06/06). Here is what he had to say:

Keep local access, control

By JEFF BISSONNETTE
Issue date: Tue, Jun 6, 2006
For the Tribune
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Portland Community Media celebrates its 25th anniversary this year, but it may have a hard time making it another 2 1/2 years if proposed federal legislation becomes law.

PCM has provided equipment and training for thousands of residents in Portland to use the cable system as a means of local community communications. Cable subscribers have had opportunities to watch high school football and city parades, local basketball games and state and city government public hearings on the community channels.

PCM also supported local and state democracy by providing thousands of hours of election coverage -- more time, in fact, than all of the commercial broadcast network affiliates combined.

All of this could end if Congress approves the pending legislation.

The U.S. House of Representatives is expected to vote on the Communications Opportunity, Promotion and Enhancement (or COPE) Act -- a bill that's supposed to encourage more competition to cable companies. The bill would permit multibillion-dollar companies like Verizon, AT&T and Qwest, the bill's major beneficiaries, to cherry-pick the lucrative neighborhoods in a community, leaving the rest behind. And, as soon as one subscriber is signed up by the phone company, the existing cable operator can adopt the national franchise and abandon local public service commitments.

While the bill would not create the competitive marketplace that its sponsors promise, it would do the following:

1. Rely on a one-size-fits-all solution for the whole country. Cities will be forced to spend your tax dollars on expensive Capitol Hill attorneys to defend their legitimate rights-of-way regulations. Local consumers will be left to call a backlogged Federal Communications Commission with complaints. (Try reaching someone at the FCC on the phone.)

2. Allow phone companies to pick the area of a city they choose to serve, abandoning the historic commitment to universal service for all residents. This may result in short-term lower rates for areas with competition, but areas without competition will get no rate relief.

3. Cut funding for public access in cities and towns that currently have more support than what is provided for in the bill. COPE would cut Portland Community Media funding by $360,000. PCM would no longer be able to afford to provide the training, equipment and other support that enables community producers to create the kind of local programming our viewers have come to expect.

4. Replace video franchises, locally negotiated to best serve community needs, with a licensing procedure that would allow virtually anyone -- qualified or not -- to come into a city and begin digging up the streets.

5. Weaken consumer and privacy protections by limiting local governments' ability to adopt and enforce strong standards and rules to protect their citizens.

6. Create a loophole that can be used to sidestep the regulations by redefining services. While it may walk and talk like a duck, the phone companies can call it a goose and walk away from this law.

If you believe in local control, in being able to watch your local government or share local views, and in keeping control of your local rights-of-way, contact the members of Oregon's congressional delegation immediately.

Tell Congress: Don't be fooled again! Stand up for our local communities and for consumers. Say “Nope” to COPE!

Jeff Bissonnette is president of the board of directors of Portland Community Media.

Posted by Oregon CUB at 11:47 AM | Comments (0)

May 17, 2006

Politics Has No Place at the PUC

Almost six years ago to the day, CUB helped to write, and then-Governor John Kitzhaber signed, an Executive Order (No. EO-00-06) that explicitly forbids the Oregon Governor or his/her Staff from interfering with or exerting influence over the PUC decision-making process. Greatly abbreviated, the Order basically states: "WHEREAS, Oregon citizens are best served when the PUC decisions are based on sound policy rather than political favor... THERFORE, IT IS HEREBY ORDERED AND DIRECTED: That the Governor, the governor's staff and executive branch personnel will respect and encourage the commission and professional staff to independently fulfill their statutory and administrative duties..."

That makes sense, doesn't it? However, the temptation always exists, and arises anew every few years, for people to assume that the governor should be doing something more, with regard to some regulatory issue at the PUC (utility taxes comes to mind currently). CUB believes that this kind of gubernatorial influence is a slippery slope and should be avoided, and we would like to share with you why that is.

First, a little history. The late 1970s and early 1980s were a difficult time for utility ratepayers. Back then, the Public Utility Commission in Oregon had only one Commissioner, and that Commissioner was of course appointed by the Governor. A series of decisions were handed down that stirred people's interest and their ire, regarding the Commissioner's ideal role as an independent arbiter of ratemaking, and his actual role which was not living up to the ideal. It was felt that customers' voices were not being heard, and ratemaking was reflecting that.

And so in the mid-80s a few things changed. In 1984, Ballot Measure 3 passed, which created the Citizens' Utility Board of Oregon to be that much-needed voice for residential customers. Then, in 1986, through Ballot Measure 4, the Commission structure was changed so that three Commissioners (rather than only one) were now appointed by the Governor, and jointly handed down the decisions that regulate our utilities. The new PUC had a new emphasis, as well, on public process that discouraged backroom deal-making.

It was important in the early days of the new 3-Commissioner system to send a signal that a new day had dawned. This happened when then-Governor Neil Goldschmidt attempted to intercede with then-Commissioner Ron Eachus on a regulatory matter, off the record. At the very next public PUC meeting, Commissioner Eachus recounted the contact with the Governor's Office, putting it firmly on the record, where all such contacts should remain. It is this spirit of openness that CUB has tried to foster in the regulatory process, since that is how we feel the best decisions are made.

In political processes, the utilities often have more resources to wield undue influence over the outcome. In the PUC process, each party offers arguments that stand or fall based on their own merit, and everyone knows all the arguments being made (for example, here is a copy of CUB's Opening Comments regarding utility taxes). This process is therefore more like an open debate, and less like a slam dunk for those with power and huge economic resources. CUB does not win every argument, or every case, but we do feel that the PUC process as it currently exists is a successful process, because it is transparent.

Some have criticized the current Governor for staying out of the PUC process on utility tax issues. Having seen the dangers of a politicized PUC, we have a different viewpoint. We certainly understand people's desire to see the Governor work for a fairer system, but the truth is that in our experience, when a Governor weighs in, that weight is used far more frequently and vigorously to favor utility interests. Maintaining an open and independent process at the PUC is more important than any one case decision. We appreciate Governor Kulongoski's willingness to recognize and respect the importance of the Executive Order signed by his predecessor protecting that independence, and his willingness to not dive into the debates hotly swirling around the PUC public meeting rooms. We expect that same respect for the principles of Order No. EO-00-06 from whoever holds the Governor's office in the future.

We need openness, not influence; independence, not politics. That is how we achieve "fair, just, and reasonable" utility regulation.

Posted by Oregon CUB at 03:00 PM | Comments (0)

May 12, 2006

Act Now to Stop "Internet Tax"

Many of our traditional means of research and entertainment are being replaced by content provided on the World Wide Web. Though only a few decades old, the web has become deeply enmeshed in many aspects of our lives. And we have become accustomed to a level of equal access to the web. For example, when we consume content from the web, we expect that the material we're viewing or hearing will be provided to us at the same speed, no matter what the website, with the only limitation being the speed of our connection. Likewise, when we post information on the web, we expect that information to be equally available to anyone with an Internet connection, limited only by our ability to attract web surfers to our site.

However, legislation is quickly moving through Congress that would undermine the principle of equal access to online information. Recent committee votes have dealt a serious blow to the basic principle that for the last ten years has fueled the explosive growth of the Internet and powered economic and social innovation. That basic principle is known as Network Neutrality, a concept that guarantees that consumers of Internet services can select any Internet service provider (ISP), access any lawful content, and transmit any lawful information they choose by posting it to a website.

Today's Internet has flourished because government policy has prohibited telephone companies, who controlled the flow of information over their Internet dial-up connections, from interfering with services consumers were trying to reach. Now, telephone and cable companies want to bury this policy in a time capsule and abandon it for their high-speed networks. These powerful interests want to charge creators of websites and Internet services for the right to use the broadband network to deliver content, such as video and telephone service. Think of it as an "Internet Tax." Those who agree to pay up will pass the charges on to consumers in the form of higher prices. Those who can't pay the "tax" will see their websites or services downloaded more slowly and, therefore, get less browser traffic.

In this "pay for access" environment, it is unlikely that the next Google, Amazon.com or ebay would ever be able to get off the ground. Even more frightening, websites run by public interest organizations like CUB or a local social service agency will be at a disadvantage because they will be unable to afford to pay the "Internet Tax" to provide basic information at an acceptable delivery speed (or offer new services, such as video programming, that are still in their early stages). In short, consumers will have fewer choices.

But potential innovators and consumers of their services don't only have higher access fees to be concerned about. Because of Congress's failure to protect the Internet, the cable and telephone companies have every incentive to give preferential treatment to their own high-end services and slow down or block access to others.

The phone and cable companies already charge consumers who choose different Internet service speeds different prices; but once the consumer pays for the connection, s/he should be able to access any content without interference by the operator of the system over which the content travels. Network operators, the telephone and cable companies, should not be able to interfere based on your ability to pay a premium. Consumers -- not network operators -- should determine which Internet services will succeed.

There is a solution to this problem. Congress must restore rules that will ensure Network Neutrality so that we preserve the openness and vitality of the Internet that has transformed our economy and culture over the past few decades. The big telecommunications companies are pushing hard and the legislation is moving quickly. (We only wish consumer protection legislation moved so rapidly through the process!)

The time has come to push back. Don't let the telephone and cable companies destroy Net Neutrality, the quality that makes the Internet such a great resource. Contact your Congressperson and U.S. Senators and tell them to preserve "Net Neutrality." The Internet should remain a great resource for everyone.

Posted by Oregon CUB at 11:25 AM | Comments (0)

March 30, 2006

CUB Prowls the Halls of Congress

It's not unusual to find CUB in Salem protecting ratepayers' rights, but it's not every day that we can be found in Washington, D.C., raising utility consumer interest concerns to members of Congress.

Last week, CUB Organizing Director Jeff Bissonnette was in the nation's capitol attending the Consumer Federation of America's annual Consumer Assembly. The event brings together consumer advocates from all over the country to discuss a broad range of consumer protection issues, ranging from banking and insurance to housing and, yes, to energy and telecommunications. It's a chance to hear about what's happening in other states and share what Oregon is doing in terms of progressive utility policy.

It's also an opportunity to make "Hill visits," meetings with Congressional staff people who deal with energy, telecommunications and other utility issues that are being considered by both the U.S. House and Senate. These meetings are important in building relationships with the Oregon congressional delegations, raising concerns about current issues and, where appropriate, thanking a Congressional member for past support on crucial issues.

Jeff was able to meet with six of the seven offices of the Oregon delegation (one congressional energy and utilities staff person was actually spending the week back in Oregon). During these meetings, Jeff discussed a variety of topics that affect Oregon utility ratepayers. Our highlights included concerns about the Bush Administration's proposal to increase the rates of the Bonneville Power Administration; the need for increased federal funding for the Low-Income Energy Assistance Program; the dangers to consumers and communities from pending national legislation being pushed by the telecommunications industry; and going over potential items of a Clean Energy Agenda being crafted by CUB and others in preparation for the next session of the Oregon legislature. This last item is very important because, as one staffer pointed out, "We need to know what's happening on the home front so we can support policies in Congress that help Oregon continue to be a national leader on clean energy issues."

In addition to the issues Jeff raises with the Congressional offices, staff members also ask questions about CUB's positions and viewpoints on other issues, including the sale of PacifiCorp to MidAmerican Energy Holdings Company, future carbon regulation in energy production, and the need for increased consumer representation at the proceedings of federal regulatory agencies.

A key reason CUB gets so much attention and respect, both in Salem and in Washington, D.C., is our members. Jeff can tell each legislator how many members CUB has in their district. Furthermore, most legislators and their staff know how willing CUB members are to raise important issues through letters, emails, phone calls and local town hall meetings. Therefore, CUB has a powerful combination of solid policy development and the grassroots clout to back it up.

If you're interested in helping keep CUB's influence felt both in Washington, D.C. and closer to home, join the new CUB Action Network (members CAN). To find out more, contact Jeff at jeff@oregoncub.org.

Posted by Oregon CUB at 10:04 AM | Comments (0)

February 15, 2006

First Question First: Why do Oregon utilities dislike Portland's voter-owned elections?

The Campaign Contributions and Expenditures Reports for the upcoming May elections came out this month. On the ballot could be a measure that attempts to rescind the voter-owned elections law enacted by Portland's City Council last year. The First Things First Committee, running the campaign to end public financing of elections in Portland, is attracting some heavy-hitting financial support. Many of these supporters have ties to utility companies, either directly or indirectly.

For example, NW Natural gave $5,000, Qwest gave $7,500, Portland General Electric gave $7,500, and Stoel Rives (a law firm which often represents utilities) gave $3,500. Executives of utilities such as Dick Reiten and Kevin Lynch, and consultants for utilities such as Tom Imeson, are also contributors. And then there is the Portland Business Alliance. The PBA has many ties to Oregon utility companies: Judy Peppler, President of Qwest in Oregon is the Chair-Elect; as such, she would exercise a great deal of influence over the political agenda of the organization. In addition, the Chair Emeritus and several members at large on the Board hail from utilities such as PGE, PacifiCorp, and NW Natural. Size of the PBA check against voter-owned elections: $32,000.

Well, it's a free country, and people (and corporations) can give money to whomever they want, right? Yes, that's right. That's also the point of Portland's new public financing mechanism, which allows a candidate for Portland office to gather a large number (1000) of donations for a small amount of money ($5) in order to qualify for a limited amount of money from the City to run a competitive campaign. And if that candidate should happen to win, the people he/she is used to talking with, the people he/she will be talking with more in the future, are not limited to those who can write a 4- or 5-figure check. Another advantage is all the time that candidate frees up from fundraising, to focus on public policy. That is good news for the candidate, yes, but even better news for all of us who, as citizens, rely on good public policy to make things work.

But why, specifically, do utilities dislike voter-owned elections? Utilities dislike it because it wrests ownership away from them, and puts them in a more vulnerable spot when decisions about utility services are made. Cities have the ability to compete with utility companies by offering a variety of services (such as electric, cable, broadband, etc.), often at lower prices than private utilities offer, and sometimes the city even acts as the community's sole provider of that service. Much less commonly, there is discussion of municipal options such as condemnation or rate-setting, balls that have been tossed around in the past year's discussions regarding the City of Portland and PGE. The utilities therefore want as much influence, and as many allies in City Hall, as they can buy. The way they usually do this is by contributing money to campaigns.

As a matter of fact, of the approximately $3 million that was spent overall in Portland elections in 2004, over half a million, or about 18%, came in the form of large checks from the same small group of people (individuals, families, and corporations) that spent large amounts of money as part of the First Things First Campaign, trying to repeal voter-owned elections. So these folks are spending money to win back the right to spend more money - on the campaigns that decide who will govern Oregon's largest city.

Taking away utilities' ability to pay into the electoral system would undoubtedly reduce their input and influence at City Hall. That would not be a popular outcome at the PBA, but CUB believes that rebalancing the political influence between corporations and individuals is a good idea. In fact, we feel it's a way of moving closer to the "one person, one voice, one vote" philosophy that underlies a true democracy.

It is quite possible that the repeal campaign's paid signature-gathering effort will have failed to collect enough valid signatures to make the May ballot; we will know later this week. Should this issue make the ballot, the Vote No Power Grab campaign to defend voter-owned elections in Portland (like the original CUB Campaign in 1984) is destined to be an underdog, outspent by a large margin. We don't mind those kinds of odds. We'll put our money on voter-owned elections and hope the majority of Portland voters do the same.

(Full Disclosure: Janice Thompson of the Money in Politics Research Action Group is a member of the CUB Board of Governors, and involved in the Vote No Power Grab campaign.)

Posted by Oregon CUB at 11:23 AM | Comments (0)

December 12, 2005

A Telecomm Bill to Beat

You hear a lot from CUB about energy but not as much about telecommunications. But CUB works on these important issues, too, even though the telecommunications industry is to a great extent deregulated (largely due to the Telecommunications Act of 1996).

One important telecomm issue is the BITS 2 bill, federal legislation currently before Congress. Senate Bill 1349/House Bill 3146 would allow telecommunications companies to deliver cable and television to people's homes, but without those pesky right-of-way agreements with local governments, or those annoying franchise fees usually charged by city governments to pay for things like community media, public safety information networks, educational programming, etc.

We believe it is extremely important to retain local government control of video franchising. We also believe the programs funded by the franchise fees in question are worth fighting for. If you agree, please take a moment to contact your Congressional Representatives:
Sen. Ron Wyden at (202) 224-5244, Sen. Gordon Smith at (202) 224-3753, Rep. Earl Blumenauer (202) 225-4811, Rep. David Wu (202) 225-0855, Rep. Peter Defazio (202) 225-6416, Rep. Darlene Hooley (202) 225-5711, Rep. Greg Walden (202) 225-6730.

Tell your Senators and Representative that Senate Bill 1349/House Bill 3146 is bad for local governments and even worse for local communities. Tell them to vote NO on Senate Bill 1349/House Bill 3146.

More information about the bill is available on the website of Portland Community Media.

Posted by Oregon CUB at 10:52 AM | Comments (0)

August 19, 2005

Commission Announces New Law Protecting Domestic Violence Survivors

Here is the Oregon Public Utility Commission Press Release announcing the law passed by the Oregon Legislature (and advocated for by CUB and other advocacy groups) during the 2005 Session, a law that will help protect those leaving abusive situations by ensuring them access to telephone service. CUB congratulates our Organizing Director, Jeff Bissonnette, for his hard work over the course of two sessions in working on the passage of this bill.

Commission Adopts Temporary Rules for Victims of Domestic Violence

August 16, 2005

Salem, OR - Effective September 1, 2005 those at risk of domestic violence will not have to worry about having their basic phone service disconnected for unpaid bills.

Today the Oregon Public Utility Commission adopted temporary rules to allow those at risk of domestic violence to go on a payment plan instead of having their service cut off.

Senate Bill 983, which was passed in the recently concluded legislative session, directs the Oregon Public Utility Commission to establish a program that bars local phone companies from disconnecting service if it would significantly endanger a person who is at risk of domestic violence or unwanted contact. It also applies to disabled or elderly individuals at risk of abuse or a victim of stalking.

Clark Jackso