Granholm signs renewable energy bill

Gov. Jennifer Granholm signed an energy bill on Monday that will require 10 percent of Michigan's energy to come from renewable sources by 2015.

In a press release, the governor's office stated the requirement is projected to save consumers and businesses $1.04 billion per year by 2025. The release also states jobs will be created with the portfolio.

"This comprehensive package will create tens of thousands of new energy jobs by making Michigan even more attractive to job-creating companies that are looking for a place to expand as they meet the growing demand for energy from renewable sources like wind and solar power," Granholm said.

Presque Isle Electric and Gas Co-Op President and CEO Brian Burns said the co-op is already in pretty good shape with the requirement because it buys wind power from Wolverine Power.

Burns said much of the rest of the requirement likely will come from additional wind energy.

"In Michigan, it's probably the best approach to meeting the standard," he said.

Alpena Power Company Executive Vice President Steve Mitchell said the company currently uses a minimal amount of renewable energy, but said the company will comply by 2015.

"We haven't determined how we will meet that standard but we will comply," Mitchell said.

Sierra Club Legislative Director Gayle Miller said the bill was a good thing, but it didn't go far enough.

"This is a very minor step, it's a step in the right direction, but it's very timid," Miller said.

She said Granholm initially wanted to requirement to be 20-25 percent, but legislators cut that number down. The state currently uses about 5 percent renewable energy, so the new portfolio only requires about a 5 percent increase, she said.

Many states have a renewable portfolio goal of 20 percent, some as high as 25 percent.

Burns said the 10 percent "strikes a good balance" and PIE&G isn't against the renewable initiative.

"We're supportive of efforts to introduce renewable energy to our portfolio, we just think it didn't require legislation to do it," he said.

Miller said the integrated resource planning feature of the bill is the most important, more so than the renewable portfolio. The IRP requires all costs of new energy options be disclosed. She hopes this will show renewable energy options are actually much cheaper than traditional options.

"The idea that renewable energy is expensive ... is very misleading," she said.

Sean Harkins can be reached via e-mail at sharkins@thealpenanews.com or by phone at 358-5688.