Passage of a bipartisan energy package proposed by Gov. Jennifer M. Granholm, D-Mich., includes a renewable portfolio standard (RPS) that mandates that 10% of the state's energy come from renewable sources by 2015, regulatory reform that protects Michigan ratepayers and allows utility companies to build new electricity generation in Michigan, and a requirement that utilities meet an additional 5.5% of the state's annual electricity demands through energy efficiency by 2015.
Granholm said she will sign the package into law as soon as it reaches her desk.
‘This legislation will spark the investment in alternative energy that we need to create jobs and diversify our economy,’ says Granholm. ‘It will also ensure that the energy we need to heat our homes and power our businesses will be clean and affordable for generations to come.’
Granholm noted the energy package will protect Michigan ratepayers' money by ensuring that the use of renewable energy and energy efficiency technologies will save more money than they cost. This energy efficiency requirement is projected to save consumers and businesses $1.04 billion a year by 2025.
The package includes an income tax credit to offset a portion of ratepayers' investments in renewable energy for Michigan and a net metering law that will allow customers to sell the renewable electricity they produce at their homes or businesses to their utility companies.
Granholm has argued that an RPS is essential for Michigan's economic future, because it drives investment in this emerging industry. Venture capital firms and green energy manufacturers are investing billions of dollars in expanding capacity but generally only invest in states that have an RPS.
SOURCE: Office of Gov. Jennifer M. Granholm