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In The News

February 10, 2009
Dorothy Barnett: Why is Colorado getting all the wind jobs?

WHAT’S UP WITH COLORADO?

Kansas has the third best wind resource in the nation, yet we are far behind in developing our wind resources and manufacturing.

At the same time, our neighbors to the west have seen exponential growth in wind energy development, with 1,067 MW of installed wind capacity at the end of 2007. Colorado’s wind resource is ranked only 11th in wind energy potential –yet Colorado has vaulted into sixth place nationally in wind capacity, trailing only Texas, California, Iowa, Washington and Minnesota.

Plus, Colorado is getting wind manufacturing jobs.

· Wind-turbine maker Vestas Wind Systems is developing plants in Windsor and Brighton with plans to employ a total of more than 2,000 people.

· AVA Solar Inc., a spinoff from Colorado State University, plans to build a solar panel manufacturing plant that would employ 500 people.

· Renewable Energy Systems Americas Inc. said it was moving its U.S. headquarters from Austin, Texas, to Broomfield, which offered economic incentives to lure the wind-energy farm developer. The headquarters is expected to employ 140 people.

· Siemens Energy said it would establish a wind turbine research and development center that would employ 50 people in Boulder.

How did Colorado do it? Its governor and legislature worked together on clean energy policies that made Colorado a prime location for renewable energy manufacturers. Some of the initiatives that Colorado passed:

Renewable Energy Standard (RES)

· Requires investor-owned utilities to reach 20% by 2020, electric co-ops and municipal utilities serving more than 40,000 customers must reach 10% by 2020.

· In-state incentives for community wind and solar installations.

· Utilities must provide optional green pricing programs for customers

Net Metering and Interconnection Standards

· Co-ops and utilities must implement FERC interconnection standards and provides for 1:1 credit of net excess energy generated. At the end of calendar year IOU’s pay customer for net excess generation credits at the rate of the average hourly incremental cost for that year.

Local Option Property Tax and Sales Tax Exemptions on Renewable Installments

· Allows local governments to support renewable installations through property and sales tax exemptions.

Hmmm….What would it take for Kansas to compete in the new energy economy?

Well – many reading this blog will say – hey, once the 2008 numbers are in and all of the turbines are up and running, we’ll be in the 1000 MW club too. Very true – however, we have the THIRD best wind resource in the nation – shouldn’t we be way ahead of 11th ranked Colorado?

The 1000 MW club can be a tough nut to crack – however, even without a top-notch wind resource Colorado has managed it. A recent study, “Defining, Estimating, and Forecasting the Renewable Energy and Energy Efficiency Industries in the U.S. and in Colorado found that the renewable-energy and efficiency sector accounted for more than 4 percent of the gross state product in 2007 - making it one of the biggest contributors to Colorado's economy.

Colorado has been busy working with industry stakeholders to capitalize on their resources. Created just one year ago, the Green Jobs Working Group, has been a leader in promoting green energy jobs in Colorado through a number of initiatives.

First, the GJWG commissioned and closely managed a green jobs study. Second, it took a comprehensive inventory of green energy education and training opportunities in Colorado to assess the state’s capacity to educate and train a green energy workforce. Third, partnering with the Environmental Defense Fund, the GJWG is currently producing a Colorado Green Jobs Guidebook that details the occupational profiles of jobs in renewable energy and energy efficiency sectors.

Governor Sebelius’ energy plan is a step in the right direction. Her creation of the GreenWorks Advisory Council led by Len Rodman, CEO of Black and Veatch will work to bring new green jobs to Kansas - assuming they can get the necessary support from the Kansas Legislature to capitalize on Kansas’ wind and solar resources.


Author Name: Dorothy Barnett, CEP Director of In-State Relations
Author Email: barnett@climateandenergy.org
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