Energy to be provided has also been limited to sources such as wind, solar and geothermal that could come from out-of-state.
”The poorly drafted, overly complex bills passed by the Legislature are protectionist schemes that will kill the solar industry in California and drive prices up like the failed energy deregulation of the late 1990s,” Schwarzenegger’s communications director, Matt David, said.
The governor’s office gave no explanation on how will the goals be implemented through the executive order.
The Independent Energy Producers, which represents companies that provide 80% of California’s renewable energy, opposed the legislation, despite having sought a higher standard.
Independent Energy Producers Associations Executive Director Jan Smutny-Jones said that some of the language in the bills will have limited the placement of solar plants in some areas of the state, threatening projects that are already underway and others that are expecting to get funding through the federal stimulus package.
”The bill basically is sort of a dog’s breakfast of bad ideas in terms of how it moves us forward,” Jones said.
Consumer advocates and environmental groups sought the limits on out-of-state power because they wanted the major part of California’s renewable energy to be generated within the state as it will help to promote job growth.
Environment California asked the Governor to reconsider.
”Creating a hard mandate with the force of law behind it for this 33 percent-by-2020 goal is critical to meeting California’s global warming goals, much championed by Gov. Schwarzenegger, as well as bringing upward of 200,000 green jobs to the state,” Environment California’s Legislative Director Dan Jacobson said.
The legislation will have allowed utilities to buy renewable energy generated outside California as long as the power came from a plant that connected to California’s electricity grid.
Utilities may buy a limited number of credits from out-of-state producers of alternative energy as a way to promote the development of clean power, even though that power would not reach California markets.
Republicans said that the restrictions may increase energy costs for Californians by as much as $10 billion a year; Senator Joe Simitian, D-Palo Alto, said that concerns over cost increases were being exaggerated.
The state’s investor-owned utilities are also required to generate at least 20% of their power from renewable sources by 2010.
The California Public Utilities Commission has also said that the state’s utilities will need to build additional transmission lines and other infrastructure to move more renewable energy. The project is estimated to cost $115 billion over 10 years.
The Governor sent legislators a detailed letter in May 2009 outlining his requirements for a renewable energy standard, including protection for utility ratepayers, removing barriers to building more transmission lines and creating a healthy energy market.
