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After nearly 18 months of meetings and compromises, Governor Jim Doyle’s Task Force on Global Warming released its final report on addressing global warming in Wisconsin. The 29-member Task Force, comprised of environmental, agricultural, industry, citizen, tribal and utility leaders has now forwarded the report on to Governor Doyle for consideration.

“By working together the Task Force has developed an aggressive multi-sector strategy to address global warming that will put Wisconsin on track to being a leader in meeting one of the most significant challenges of our time,” said Roy Thilly, Global Warming Task Force Co-Chair and WPPI President/CEO. “The recommendations contained in this report help keep Wisconsin competitive and create new jobs, while preserving our environment for future generations.”

The Governor’s Task Force on Global Warming agreed on a group of interim targets to reduce greenhouse gas (GHG) emissions to 2005 levels by no later than 2014 and to 1990 levels by 2022. The long-term targets include a goal to reach 75 percent reduction from 2005 levels by 2050.

The Report makes over 50 policy recommendations in the utility, transportation, agriculture, forestry and industry sectors, as well as a number of recommendations in other areas, including support for a proposed federal or regional greenhouse gas cap and trade program.

The utility sector was responsible for 34% of Wisconsin’s GHG emissions in 2003. The Task Force recommends 13 policies to aggressively promote much greater energy conservation and efficiency. These policies provide the most effective and least costly early action strategies available for reducing GHG emissions. They call for:

• enhancing Wisconsin’s existing Focus on Energy program through adoption of challenging goals to reduce natural gas and electricity consumption, with substantially increased funding;
• promoting conservation and efficiency through innovative utility rate designs and demand response programs and removal of economic disincentives for utilities to aggressively promote and invest in conservation and efficiency measures;
• adopting and maintaining state-of-the-art residential and commercial building codes and studying whether mandatory efficiency upgrades should be required for existing buildings at time of sale;
• having state government take a leadership role by reducing its own GHG emissions substantially;
• creating energy efficiency standards for certain appliances and for lighting in rental properties;
• promoting and incentivizing energy efficiency projects for schools and low income residences;
• adding a new program similar to Focus on Energy to promote conservation and efficiency to customers who use propane, coal, or oil for heating; and,
• promoting water conservation programs to reduce electricity use by water utilities.

Published copies of the report will be available this Fall. The final report is available online at: http://dnr.wi.gov/environmentprotect/gtfgw.

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APPA Washington Report
Making Friends
by Robert Varela, Editor, APPA’s Public Power Weekly

Energy, including the cost of utilities and gasoline, is the number one economic issue for voters, according to a recent Wall Street Journal/NBC news poll.

Members of Congress are well aware of voters’ concerns about high energy prices (particularly gas prices). Quite a few pieces of energy-related legislation have been circulated or introduced. Several energy bills have gotten serious consideration, including measures dealing with extension of energy tax credits, such as the renewable energy production tax credit and Clean Renewable Energy Bonds; speculation in energy futures markets; funding for the Low-Income Home Energy Assistance Program; increased domestic of oil; and climate change.

However, all this activity has not resulted in passage of any legislation, even though some of the measures (such as LIHEAP and extending energy tax credits) enjoy broad bipartisan support—when standing alone. But philosophical differences and partisan politics, coupled with the need for 60 votes in the Senate to overcome filibusters, have produced an impasse.

That could change with the next election. Polls give Democrats an edge over Republicans on energy, by substantial margins (although that may be slipping). That’s in keeping with expectations for this election. Democrats have high hopes of taking firm control over both houses of Congress, as well as the White House.

Should that happen, the floodgates could open (at least a little). The pressure on lawmakers isn’t going away and may well increase. A recent article in The Wall Street Journal said homeowners heating bills could increase by 30%-50% for natural gas and by 50%-100% for home heating oil. Those same high prices and the current economic downturn could constrain the next president and the next Congress. Elected officials don’t want to be held responsible for adding to consumers’ high utility bills (such as by enacting an expensive cap-and-trade bill). The plunging economy has taken government revenues down with it. This year’s record $482 billion deficit won’t leave much money for new initiatives.

Still, voters will expect Congress to do something to alleviate high energy prices and both houses will continue to work on climate change legislation, even if passage is delayed by the economy.

Lawmakers will be hearing that renewables and energy efficiency are the answer. When a former vice president and Nobel Prize winner, a fellow politician who has focused on the issue for years, says that moving to 100% renewable electricity within 10 years is "affordable, achievable and transformative," that can be a pretty enticing siren song, especially if you’re feeling trapped between voters’ expectations and budget deficits.

Public power utilities need to lay the groundwork now to be able to influence the debates in the next Congress over climate change and other energy legislation. Asking for a favor, even it’s just a request for serious consideration of your position on a bill, is not the time to introduce yourself to a legislator for the first time.

With elections coming up, members of Congress will be home a lot in the coming months. Take the time to seek them out and educate them (as needed) about public power and how it differs from the other sectors of the utility industry. Contacting both candidates in a race would be a good idea, particularly if it’s a competitive election. Make friends when they need you, not when you need them. Given what’s ahead, public power and members of Congress both could use plenty of friends.

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Friends of Public Power and Water Makes Impact During Election Cycle

In this era of big money campaigns and $1,000 per plate fundraisers it’s difficult to imagine how the public power community can impact this year’s campaigns. Even at the state level, it’s not unusual for $250,000 to be poured into a state legislative race. But we do have a way to “play with the big boys,” -- through the Friends of Public Power and Water political conduit. Friends of Public Power and Water (FPPW) helps candidates for state office who value and support municipally owned electric and water utilities in Wisconsin.

A political conduit is simply a bank account through which individuals can contribute to candidates for state office. The typical FPPW contribution is $50, and the typical FPPW disbursement is between $100 and $200, but sometimes higher.

The conduit process harnesses the collective support of an organization and thus, makes a larger impact than if individual contributions are made alone. Those who have contributed into the FPPW account are asked if and how much they would like to contribute to a selected candidate. Each and every transfer of funds that FPPW makes requires an individual contributor’s specific authorization. A detailed letter from FPPW, along with a check is either hand delivered to the candidate (at a campaign event), or sent to the candidate’s campaign. The letter lists each individual contributor and the amount of their contribution.

The vast majority of the time FPPW contributions are sent to incumbent office holders who have a proven track record of support for MEUW, WRWA and our issues. Friends of Public Power and Water is our way to support some of those candidates for office who go the “extra mile” for public power and water utilities.

If you would like to know more about Friends of Public Power and Water, or would like to make a contribution to the Friends of Public Power and Water political conduit for this year’s election cycle, please contact Scott Meske, MEUW Associate Director, (608) 837-2263 or by e-mail at smeske@meuw.org.

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September 16 & 17 in Wisconsin Dells
Space Still Available for PSC Utility Roundtable and
MEUW Accounting & Customer Service Seminar

What is the ‘PSC Utility Roundtable?’ Twice per year PSC staff meet with representatives from the investor-owned utilities who work in the customer relations and collections areas. Scott Meske has been representing MEUW Members for several years at these meetings. The purpose of the roundtable is to share ideas on collections, arrears, new techniques and tactics and to get PSC staff input on any new forms or ideas that can help utilities in the collection and customer areas.

The Fall 2008 PSC Roundtable will be held on the day before the MEUW Accounting & Customer Service Seminar, at the same site. This is the first time the PSC has held the roundtable outside of Madison – for the express purpose of getting municipal utility participation! This is a great opportunity to get first hand input into how PSC staff deals with customers, deferred payment agreements, deposits, etc. Working together, municipal and private utilities might be able to reduce the numbers of non-payers, territory jumpers and others who choose not to pay their utility bills.

The theme for this year’s MEUW Accounting & Customer Service Seminar is Responding to Economic Challenges. Sessions will include a brief update on new Commitment to Community reporting requirements; dealing with foreclosures; records management; a potpourri of accounting topics (to include energy conservation dollars, new USOA and internal controls); banking fraud prevention and new banking products; and PSC customer issues and complaint procedures. The day will end with the traditional open forum.

The fee for this year’s Seminar is $75. There is no charge to attend the PSC Utility Roundtable, but we will need a head count for lunch, so please pre-register. Registration materials were sent in August and are also available online at www.meuw.org/events.

We hope to see a representative or two from your utility at the 2008 MEUW Accounting & Customer Service Seminar and the PSC Utility Roundtable!

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September 16 & 17 in Oconomowoc
MEUW and WPPI Co-Sponsoring Substation Workshop

MEUW and WPPI are teaming up to offer a Substation Workshop on September 16-17, 2008 at Oconomowoc Utilities. The instructors will be Dave Krause (Krause Power Engineering), Paul Schlies (Energis High Voltage Resources) and Ray Jacques (AC Engineering). There will be hands-on instruction, so every attendee must bring a hard hat, safety glasses and FR clothing.

The fee is $125/person, and WPPI will pay this fee for any employees of WPPI Member utilities, since this is one of the areas of service that WPPI offers to its Members. Attendance is limited to 60, so please call MEUW (608/837-2263) to check availability.

Registration materials were sent to MEUW Members in August. They are also available online at www.meuw.org/events.htm.

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