Testimony will be taken Tuesday, Feb. 23th starting at 3pm at the House Special Committee on Energy hearing on HB 31.
Last week's hearing was canceled and significant language changes made to the bill. The Amended version is attached. There are still concerns that this legislation could reduce the ability of net metering proponents to work with the RCA on future improvements to the regulations passed on January 15, 2010. The best place to deal with net metering is the RCA, not the Legislature.
If you plan to attend, please let the LIO know.
Homer Legislative Information Office
345 W Sterling Hwy, Ste 102A
Homer, AK 99603
Phone: 235-7878 Fax: 235-4008
Kenai LIO
145 Main St Lp, Ste 217
Kenai, AK 99611
(907)283-2030/phone (907)283-3075/fax
email: Kenai_Lio(email@)legis.state.ak.us
Tuesday, February 23, 2010
Tuesday, February 16, 2010
Recent News
Hello Net Metering, Goodbye SNAP
Given the recent passage by the RCA of net metering regulations for Alaska, HEA Directors voted at Tuesday's Board meeting to phase out the SNAP program and prepare to accommodate members wanting to enjoy the greater benefits of net metering.
Bad News
HEA's base rate will increase six percent (6%) in April. This could go up another two percent (2%) by early summer. Yes, present low electric rates ARE too good to be true.
Kenai Hydro Slows to a Trickle
HEA is now on it's own with respect to the controversial small hydroelectric projects proposed for the Cooper Landing/Moose Pass area. Partners Cook Inlet Region, Inc. and EnXco have formally withdrawn from the effort. At present, only the Grant Lake component of the project seems to have survived and most study activity for that is on hold while HEA looks for new grant money.
RCA Spooked
On January 28 the RCA dismissed a petition by Cook Inlet Natural Gas Storage, LLC. The company wanted authorization to move ahead with plans for a project to store natural gas on the Kenai Peninsula to supplement high demand during winter cold spells. Commissioners decided they lacked statutory authority to regulate such, and directed proponents of the plan to the Legislature and Supreme Court instead. The storage facility is seen by utilities as vital to maintaining necessary gas and electric supplies to Kenai Peninsula consumers and business (that's us).
High Wattage Independent Light
HEA General Manager Brad Janorschki is quoted in a Feb. 7 Peninsula Clarion story as saying, "...turbines typically cost $1,400 to $1,800 a kilowatt, but that doesn't necessarily take into account the cost of installation." Those figures translate into $1.4 to $1.8 million per megawatt (MW). If we do the whole project it will add another 110 to 112 MW in generating capacity. That will cost us between $154 and $201 million for all the turbines. As Brad says, installation could cost extra. Either way, the price certainly doesn't include ongoing salaries and benefits for those 20 new high-end jobs.
Given the recent passage by the RCA of net metering regulations for Alaska, HEA Directors voted at Tuesday's Board meeting to phase out the SNAP program and prepare to accommodate members wanting to enjoy the greater benefits of net metering.
Bad News
HEA's base rate will increase six percent (6%) in April. This could go up another two percent (2%) by early summer. Yes, present low electric rates ARE too good to be true.
Kenai Hydro Slows to a Trickle
HEA is now on it's own with respect to the controversial small hydroelectric projects proposed for the Cooper Landing/Moose Pass area. Partners Cook Inlet Region, Inc. and EnXco have formally withdrawn from the effort. At present, only the Grant Lake component of the project seems to have survived and most study activity for that is on hold while HEA looks for new grant money.
RCA Spooked
On January 28 the RCA dismissed a petition by Cook Inlet Natural Gas Storage, LLC. The company wanted authorization to move ahead with plans for a project to store natural gas on the Kenai Peninsula to supplement high demand during winter cold spells. Commissioners decided they lacked statutory authority to regulate such, and directed proponents of the plan to the Legislature and Supreme Court instead. The storage facility is seen by utilities as vital to maintaining necessary gas and electric supplies to Kenai Peninsula consumers and business (that's us).
High Wattage Independent Light
HEA General Manager Brad Janorschki is quoted in a Feb. 7 Peninsula Clarion story as saying, "...turbines typically cost $1,400 to $1,800 a kilowatt, but that doesn't necessarily take into account the cost of installation." Those figures translate into $1.4 to $1.8 million per megawatt (MW). If we do the whole project it will add another 110 to 112 MW in generating capacity. That will cost us between $154 and $201 million for all the turbines. As Brad says, installation could cost extra. Either way, the price certainly doesn't include ongoing salaries and benefits for those 20 new high-end jobs.
Monday, February 15, 2010
HB31 THREATENS NET ENERGY METERING
Testimony will be taken Tuesday, Feb. 16th starting at 3pm at the House Special Committee on Energy hearing on HB 31 .
Louie from Representative Seaton's office thinks they plan to try and put the new RCA regulation language into HB 31. That would make net metering entirely voluntary for the utilities. Under HB 31, cooperatives organized under AS 10.25 are exempt but may waive exemption if the majority of its membership votes in favor of the waiver. Louie thinks this is a backhanded attempt by the utilities to undo net metering regulations passed by the RCA January 15.
Net metering fans will want to testify against this.
The utilities previously testified on the record that Net Metering should be investigated by the RCA and not the legislature. This could be brought up if there are a bunch of utilities testifying on the issue.
If you can attend, please let the LIO know.
Homer Legislative Information Office
345 W Sterling Hwy, Ste 102A
Homer, AK 99603
Phone: 235-7878 Fax: 235-4008
Kenai LIO
145 Main St Lp, Ste 217
Kenai, AK 99611
(907)283-2030/phone (907)283-3075/fax
email: Kenai_Lio(email@)legis.state.ak.us
Louie from Representative Seaton's office thinks they plan to try and put the new RCA regulation language into HB 31. That would make net metering entirely voluntary for the utilities. Under HB 31, cooperatives organized under AS 10.25 are exempt but may waive exemption if the majority of its membership votes in favor of the waiver. Louie thinks this is a backhanded attempt by the utilities to undo net metering regulations passed by the RCA January 15.
Net metering fans will want to testify against this.
The utilities previously testified on the record that Net Metering should be investigated by the RCA and not the legislature. This could be brought up if there are a bunch of utilities testifying on the issue.
If you can attend, please let the LIO know.
Homer Legislative Information Office
345 W Sterling Hwy, Ste 102A
Homer, AK 99603
Phone: 235-7878 Fax: 235-4008
Kenai LIO
145 Main St Lp, Ste 217
Kenai, AK 99611
(907)283-2030/phone (907)283-3075/fax
email: Kenai_Lio(email@)legis.state.ak.us
District 3 HEA Directors Meet & Greet
Thanks to all of you who turned out last night to meet and talk with Bill Fry and Mike Wiley, our two new representatives on the HEA Board. While it was very informal, people felt free to voice some of their interests and concerns about the future of our cooperative. It gave Mike and Bill a preliminary look at the kinds of issues you are interested in and provided an opportunity to give us some sense of their own thinking. It will be important for you all to keep the HEA Board apprised of your feelings as they move forward with the many changes ahead for HEA. Everything they do will affect each one of us -- for better or worse.
As I mentioned at last night's meeting, HEA has made many changes to the website to make it more user friendly and useful to members. There is a new video tour of Nikiski natural gas plant -- one of the topics discussed last night. Try to take some time to check out that and the rest of the website. If you find things that need improvement or have suggestions for other things to add, you can send them to Director of Member and Administrative Services, Chris Kastella (ckastella (email @) HomerElectric.com or 235.3302). Chris has been very good about seeing that member suggestions get plugged in.
As I mentioned at last night's meeting, HEA has made many changes to the website to make it more user friendly and useful to members. There is a new video tour of Nikiski natural gas plant -- one of the topics discussed last night. Try to take some time to check out that and the rest of the website. If you find things that need improvement or have suggestions for other things to add, you can send them to Director of Member and Administrative Services, Chris Kastella (ckastella (email @) HomerElectric.com or 235.3302). Chris has been very good about seeing that member suggestions get plugged in.
Monday, February 8, 2010
Invitation - Pizza, Refreshments, Meet & Greet
HEA Members Forum will host an informal gathering to welcome new HEA District 3 Board Directors Bill Fry and Mike Wiley. This is a chance for you to get to know your HEA representatives and discuss your feelings about the direction our coop should take.
Please join us.
5:00 PM
Friday, February 12
Homer Chamber of Commerce Visitor Center
201 Sterling Highway
Homer, AK 99603
Please join us.
5:00 PM
Friday, February 12
Homer Chamber of Commerce Visitor Center
201 Sterling Highway
Homer, AK 99603
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