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PA Chamber members welcome dialogue on state energy policy
Stress that traditional and alternative sources must be part of energy mix
PA Chamber members commend state lawmakers for focusing on
the direction of energy policy in the state, starting with addressing the cost
impact of government imposed energy mandates on residential and business
customers.
On Monday, Aug. 22, the House Majority Policy Committee held
the first in a series of public hearings on the impact of state mandated energy
programs, in particular, the Tier I and Tier II mandates contained in the 2004
Alternative Energy Portfolio Standards Act.
AEPS Tier I mandates require that businesses draw 8 percent
of their power supplies from solar, wind, geothermal, biomass, and methane
resources by 2020, with a specific carve out of 1.5 percent for solar. Businesses
are also directed to have Tier II sources - coal refuse, wood pulp and
municipal solid waste - comprise another 10 percent of their operations in that
same year.
PA Chamber members support all forms of energy generation
and consumption – both traditional and alternative sources – as the
Commonwealth’s energy needs continue to grow, but oppose government energy
mandates because they create an unfair system of winners and losers in the
marketplace. To that end, the PA Chamber worked to defeat a legislative
proposal last session that would have extended certain AEPS mandates, and is
urging lawmakers to rethink the mandate approach to energy policy moving
forward.
In a memo
sent to committee members, the PA Chamber stressed that government imposed
energy mandates reserve a portion of the market for certain politically-favored
technologies, regardless of price, creating a very powerful disincentive for
investment in any other resource that does not qualify.
At a time when economic recovery from the recession is still
ongoing, government should be looking for ways to decrease costs on consumers,
not adding on to their cost of doing business.
Since the strength of Pennsylvania’s economy relies in part
on the strength of all energy sectors, PA Chamber members encourage lawmakers
to enact policies that allow the marketplace to select the most appropriate
energy technologies and avoid government actions that select, force or
subsidize particular technologies.
It’s an exciting time for energy production in the
Commonwealth. The energy sources that defined Pennsylvania’s past, combined
with alternative sources, complement new economic opportunities through the
Marcellus Shale and emerging technologies in order to position Pennsylvania as
an energy leader. As discussions continue on the direction of the energy industry,
PA Chamber members will continue to promote a productive dialogue among industry
leaders and government officials to shape policy that is dedicated to supporting
energy efficiency, reducing costs, growing jobs and bringing real economic
benefits to job creators and consumers.
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Founded in 1916, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association, with its membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of Business.
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