Bill Text - SB191 (2013)

(New Title) establishing a state energy strategy.


Revision: March 14, 2013, midnight

SB 191-FN-A – AS INTRODUCED

2013 SESSION

13-0538

06/09

SENATE BILL 191-FN-A

AN ACT establishing a state energy strategy plan.

SPONSORS: Sen. Odell, Dist 8; Sen. Stiles, Dist 24; Sen. Forrester, Dist 2; Sen. Fuller Clark, Dist 21; Sen. Woodburn, Dist 1; Rep. Borden, Rock 24; Rep. Suzanne Smith, Graf 8; Rep. Rappaport, Coos 1; Rep. Kaen, Straf 5

COMMITTEE: Energy and Natural Resources

ANALYSIS

This bill establishes a state energy strategy council to develop a strategy plan.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

13-0538

06/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Thirteen

AN ACT establishing a state energy strategy plan.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Purpose. The goal of the energy planning process is to map New Hampshire’s energy future by showing how the state can ensure adequate supplies of power, reduce demand through new technologies and energy efficiency, protect the environment, reduce carbon emissions, reduce dependence on imported gas and oil, support clean and local renewable energy sources, stimulate economic growth, and preserve the individual welfare of New Hampshire citizens and energy users.

2 Findings. The general court finds that:

I. A comprehensive and integrated energy strategy plan will provide needed information about the reliable supply of, and demand for, natural gas and electricity, the adequacy of the state’s transmission and distribution infrastructure, siting requirements, fuel diversity, and energy efficiency and conservation.

II. New Hampshire government, businesses, and citizens will benefit from the establishment of a long term energy strategy plan, as well as from the opportunity to revisit the plan every 2 years in order to make necessary adjustments to respond to the market.

III. Use of the system benefits charge to fund the energy strategy plan within the limitations legislatively established for those charges is in the public interest.

3 New Chapter; State Energy Strategy Plan. Amend RSA by inserting after chapter 4-D the following new chapter:

CHAPTER 4-E

STATE ENERGY STRATEGY PLAN

4-E:1 State Energy Strategy Plan. The New Hampshire state energy council (council), with input from industry and nonprofit organizations, shall prepare a 10-year state energy strategy plan. Every 2 years the council shall adopt a new state energy strategy plan that addresses each item identified in RSA 4-E:3; provided, however, that the council may adopt such a plan more frequently for good cause shown.

4-E:2 New Hampshire State Energy Council.

I. There is established a New Hampshire state energy council. Members of the council shall be the following or their designees:

(a) The director of the office of energy and planning.

(b) A commissioner of the public utilities commission.

(c) A member of the energy efficiency and sustainable energy board.

(d) The commissioner of the department of resources and economic development.

(e) The commissioner of the department of environmental services.

(f) The commissioner of the department of transportation.

(g) The state treasurer.

(h) The chairperson of the house science, technology and energy committee.

(i) The chairperson of the senate energy and natural resources committee.

II. The director of the office of energy and planning, or designee, shall be the chairperson of the council. The council shall be responsible for the preparation, adoption, and revision of the state energy strategy plan.

4-E:3 Contents. State Energy Strategy Plan. The state energy strategy plan shall include:

I. Forecasts for a minimum period of 10 years, and for such other periods as the council may determine, of:

(a) Demand for electricity, natural gas, coal, and petroleum products, including heating and transportation fuels, and alternate fuels, including ethanol and other biofuels, to the extent possible. The council shall take into account energy conservation, load management, and other demand-reducing measures which can be achieved in a cost-effective manner, the basis for such projection, an examination of possible alternate levels of demand, and discussion of the forecasting methodologies, and input variables used in making the forecasts.

(b) Energy supply requirements needed to satisfy demand for electricity and thermal needs, including natural gas, coal, and petroleum products, including heating and transportation fuels, biomass, and renewable and alternate energy sources and fuels.

(c) An assessment of the reliability of existing energy supply sources and existing transmission or fuel transportation systems to satisfy demand, together with those sources or systems reasonably certain to be available, indicating planned additions, retirements, and any other expected changes in levels of generating and production capacity.

(d) Additional electric capacity and/or transmission or fuel transportation systems needed to meet energy supply requirements that will not be met by existing sources of supply and those reasonably certain to be available. Such analysis shall identify system constraints and possible alternatives available, including both supply-side and demand-side alternatives, and including, but not limited to, distributed generation, energy efficiency, and conservation measures to redress such constraints.

(e) Projected greenhouse emissions.

(f) How regional generation, transmission, distribution resources, and policy affect New Hampshire.

II. Identification and assessment of the costs, risks, benefits, opportunities and market potential of energy supply source alternatives, including demand-reducing measures, renewable energy resources, distributed generation technologies, cogeneration technologies, biofuels, and other methods and technologies reasonably available for satisfying energy supply requirements which are not reasonably certain to be met by the energy supply sources identified in paragraph I, provided such analysis shall include the factors identified in paragraph IV.

III. Identification and analysis of emerging trends related to energy supply price and demand, including trends related to the transportation sector.

IV. An assessment of the risks to the state’s generation and transmission infrastructure from the effects of projected climate change, including damage from extreme weather events, coastal flooding, and inundation from sea level rise, and the effects of projected higher temperature on electrical demand.

V. An assessment of current energy policies and programs, and their contributions to achieving long-range energy planning objectives including, but not limited to, the least cost integration of energy supply sources, energy transportation and distribution systems, and demand-reducing measures for satisfying energy supply requirements, giving due regard to such factors as required capital investments, cost, ratepayer impacts, security and diversity of fuel supplies and generating modes, protection of public health and safety, adverse and beneficial environmental impacts, conservation of energy and energy resources, the ability of the state to compete economically, and any other policy objectives deemed appropriate by the council.

VI. An analysis of siting requirements for electric generation resources and natural gas and electric transmission and distribution resources.

VII. Recommendations, based on the analyses completed under paragraphs I-V, for state implementation actions to achieve the legislative policies set forth in RSA 125-D, RSA 162-H, RSA 362-a, RSA 378:37, and RSA 374, or to achieve other energy policies that the council determines should be pursued. The council is further encouraged to refer to other state reports and studies, including but not limited to the New Hampshire Climate Action Plan, the independent study of energy policy issues, and the North Country Transmission Commission Final Report to the General Court dated December 1, 2010.

4-E:4 Hearings. In developing the initial 10-year energy strategy plan, the council shall seek public comment on the plan by holding at least 4 public hearings in different geographic locations around the state before November 1, 2013.

4-E:5 Cost. The council is authorized to expend up to $250,000 to complete the state energy strategy plan and conduct public hearings. Such funds shall be provided by the public utilities commission from funds under its jurisdiction, including the renewable energy fund, system benefits charge, or as otherwise directed by the public utilities commission.

4-E:6 Report. The council shall complete the state energy strategy plan by July 1, 2014. Upon completion, the strategy shall be distributed to the governor, the senate president, the speaker of the house of representatives, the chairman of the house science, technology and energy committee, and the state library.

4 Effective Date. This act shall take effect upon its passage.

LBAO

13-0538

02/04/13

SB 191-FN-A – FISCAL NOTE

AN ACT establishing a state energy strategy plan.

FISCAL IMPACT:

      The Public Utilities Commission states this bill, as introduced, may increase restricted state expenditures by $250,000 in FY 2014. There would be no impact on state, county, and local revenues, or county and local expenditures.

METHODOLOGY:

    The Public Utilities Commission (PUC) states this bill would create a state energy council tasked with developing a 10-year energy strategy plan every two years. The bill calls for four public hearings to be completed on or before November 1, 2013 and requires a state energy strategy plan be issued by July 1, 2014. This bill also directs the PUC to fund the council up to $250,000 to complete the state energy plan from funds under its control, including either the renewable energy fund or systems benefits charge revenue. The PUC states taking revenues from the renewable energy fund or from systems benefits revenues would decrease money available for those designated purposes.