Governor’s Address Hits the Right Energy Solutions

Governor Kulongoski talked big and he talked tough on energy during his State of the State address 10 days ago. And we here at CUB think the governor is on the right track. As Bush said in his State of the Union address, and Kulongoski quoted in his State of the State speech, we are “addicted to oil.” The question is, what to do about it?

Two issues emerged from the Governor’s discussion: 1) global warming must be addressed; and 2) the economy must be kept on track. The Governor’s twofold response is appropriate to the challenge: 1) conservation must continue to be a priority; and 2) renewable energy offers much room for expansion.

You have heard us talk about global warming before, and you will again. The dangers are becoming more and more apparent. The solutions are also becoming more apparent. First let’s talk conservation. When the Governor says that conservation is not a personal virtue, he is attempting to broaden the discussion to include both our daily behaviors around energy usage, and the investment in our infrastructure that reduces our need for energy.

Conservation is often invoked when its equally important cousin, energy efficiency, is meant. Conservation is turning off the light when you leave the room. Energy efficiency is burning a compact fluorescent lightbulb. Conservation is turning down your furnace; energy efficiency is installing double-paned windows and a high-efficiency furnace. Conservation is cutting the hours of your manufacturing plant to use less fuel; energy efficiency is retrofitting the plant with a technology that uses less fuel even while it keeps working. You get the idea.

Both sides of energy savings are important, but one is, as the Governor says, a matter of “personal virtue” - that would be conservation. The other is pragmatic and structural - that part is the energy efficiency. If you invest in a cost-effective system for saving energy, you don’t have to deprive yourself of heat, light, or power. You save energy and go about your business, at the same time.

CUB helped develop the infrastructure of the Energy Trust of Oregon, one of whose purposes is instituting energy efficiency changes. Funded by the 3% public purpose fund set up by the Oregon Energy Restructuring Act of 1999, the ETO works every day to help businesses and individuals set up the systems that will allow them to use less energy, without denying themselves or abstaining from power usage. ETO programs are in huge demand, and have been wildly successful, saving 36 Average Megawatts in 2005, the amount of electricity required to power 26,000 homes.

Those projects will save energy this year, and every year the structure or technology is operational. The snowball effect over time of implementing energy efficient technologies could be considerable and greatly benefit the economy (which sees less demand and lower energy costs), the environment (which absorbs less pollutants), and the customer (who sees lower prices for energy when less energy is demanded from the system).

ETO also helps pay the extra costs involved in developing renewable energies. The Bush Administration Budget has set aside huge subsidies for the fossil fuel industries. We believe that our public money is better off spent here, developing wind, solar, geothermal and other renewable, non-polluting energy. Because renewables do not contribute to greenhouse gas emissions, they address the global warming problem; because they can be developed right in Oregon (unlike most fossil fuel production), they contribute to the development of Oregon’s economy. And because renewables make the electricity system less reliant on fossil fuel and electricity markets, our rates become less volatile. Now, that is an elegant solution.

The Governor’s plan to use 25% renewable power by 2025 is ambitious but achievable. We will support the effort and continue to educate the public about options for producing clean energy and turning the tide for Oregon’s environment and economy.

“Conservation is the most cost-effective way to cut greenhouse gases, cut our dependence on foreign oil, and cut the cost of doing business. It is not a personal virtue.  It is a national necessity…

In Oregon, we’re going to move ahead with reducing our reliance on fossil fuels, increasing energy efficiency and cutting greenhouse gasses. Global warming is not junk science.  Junk science is the denial of global warming. We have already taken major steps to combat global warming and develop renewable energy sources. I call this - intelligent redesign…

The Legislature must join me in making Oregon a world leader in alternative fuels. That includes passage of a renewable portfolio standard that will result in 25-percent of our energy coming from renewable sources by 2025…

If we cannot convince the federal administration of the value of an alternative and renewable energy portfolio standard as part of a national policy of energy independence for America, Oregonians will do what we always have done: Roll up our sleeves, do it ourselves, and be a beacon for the rest of the country.”

    —Governor Ted Kulongoski, Feb. 24, 2006, full speech here

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