Wednesday, April 14, 2021

Oregon 100% Clean Electricity Bill Advances with Utility, Activist Support (Portland Business Journal, OR)


Oregon would jump back to the fore in tackling climate emissions under a 100% clean electricity bill that emerged from a House committee on Monday.

The bill has the support of the investor-owned utilities it primarily affects, Portland General Electric and PacifiCorp, along with environmental, climate and social justice groups who were in on negotiations with the utilities over the past several weeks.

Facing a Tuesday deadline to move the bill, the Energy and Environment Committee sent an amended version of House Bill 2021 to the Revenue Committee on a 4-3 party-line vote — backed by Democrats and opposed by Republicans.

The Oregon Legislature last made a big climate move in 2016, when it passed a law requiring the utilities to source 50% of their electricity from renewable sources by 2040 and end use of coal.

HB 2021 mandates an 80% reduction in greenhouse gas emissions for the utilities from a 2010-12 baseline by 2030, 90% by 2035 and 100% by 2040. It moves ahead of similar policies in neighboring Washington and California that target 2045.

The emissions-based approach would largely be implemented through Public Utility Commission planning. Other key provisions of the bill:

Give the utilities new pathways to work with local governments that want to move faster than the bill outlines (a contrast with California where local entities have been empowered to break away from their utility);

·         Ban siting of new fossil-fuel plants;

·         Set labor standards for project development;

·         Require the utilities to consider the environmental justice ramifications of their clean energy plans by working with a committee of diverse stakeholders;

·         Put a cap on the incremental cost of meeting the goals;

·         Allow PUC to grant temporary exemptions to ensure system reliability.

Some solar developers and others had argued for a different approach — requiring the utilities to increase the percentage of electricity they sell that comes from renewable sources, building on the state's current renewable portfolio standard, paired with a hefty in-state requirement for new projects.

The utilities argued in-state requirements would hinder efforts to take advantage of regional grid efficiencies.

As amended, HB 2021 does call for a study of small-scale renewables and appropriates $50 million for a grant fund for community renewable energy products.