State's Green-Energy Future Down to One Choice: Renewable or Clean

December 22, 2008

By CHRISTINE STAPLETON, Palm Beach Post Staff Writer
The future of green energy in Florida and the fate of your electric
bill rest in the state's choice between two words: renewable or clean.
Five months of public hearings ended this month, and Florida's
utility regulators now must decide whether the state should
have "renewable" energy rules or "clean" energy rules. The seemingly
insignificant choice of an adjective is actually a billion-dollar
decision that will put nuclear power in its place in Florida's energy
future.

Because nuclear energy produces no greenhouse gases, Florida Power
& Light - the state's largest utility and operator of nuclear plants
in St. Lucie County and Turkey Point near Florida City - says nuclear
is green. The governor agrees. FPL has proposed changing the name and
eligible fuel sources allowed in the state's green energy rules
from "renewable" to "clean."
To be clear, we have advocated the inclusion of new nuclear power
as part of a Clean Energy Portfolio Standard, and have not argued
that nuclear power is a renewable source of energy," FPL spokesman
Mayco Villafana wrote in an e-mail response to questions from The
Palm Beach Post.
The controversial rules, called a Renewable Portfolio Standard,
will require power companies to meet deadlines for generating a set
amount of energy from renewable or clean energy sources. Proposals
range from 20 percent of retail sales from renewable by 2020, to 2030
or 2041.
Changing from renewable to clean would allow FPL to count energy
from its new nuclear power plants toward its obligation to generate
green energy. Today, 19 percent of the power FPL generates in Florida
comes from nuclear power. None comes from green sources, such as
solar, wind, biofuels or geothermal.
However, a commission created to advise the legislature and a
consultant for the regulators say Florida needs a Renewable Portfolio
Standard and that nuclear power is not renewable.
"We did not think, as a body, that nuclear was a true renewable in
a traditional sense, something that continually replenishes itself,"
said Tommy Boroughs, a lawyer and chair of the Florida Energy
Commission. In its 2007 report to the legislature, the commission
specifically excluded nuclear in its definition of renewable sources
of energy.
Why does it matter? Because if lawmakers decide that nuclear power
is not clean or renewable, FPL will have to purchase or build
facilities to generate green energy to comply with the looming edict.
That would mean higher electric bills.
"Excluding new nuclear power will require the addition of other
clean energy projects, such as wind and solar facilities, which will
result in higher bills for customers," Villafana wrote.
The Public Service Commission has until Feb. 1 to send its
recommendations to the legislature.
That will not end the debate. All players - environmentalists,
renewable power developers and utilities - vow to lobby lawmakers on
the nuclear issue.
"The fight really begins in the legislature," said Michael Dobson,
president and CEO of the Florida Renewable Energy Producers
Association. "FPL has relationships and our members have
relationships there. The legislature is going to be a donnybrook."
Incoming Senate President Jeff Atwater, a member of the Governor's
Action Team on Energy and Climate Change, declined to take a position
last week. Gov. Charlie Crist toured a nuclear power plant in France
last summer with FPL President Armando Olivera.
Crist turned down a hefty campaign contribution from FPL in 2006
because of the company's support for his opponent in the GOP primary.
But the governor relied heavily on FPL's financial support to pass
a property tax cut amendment this year.
Last week, he said he supports including nuclear in either a clean
or renewable energy plan.
"We have to defer to the scientists on that point," Crist
said. "But there are great indications about renewability."
At his first climate change conference in 2007, Crist ordered
utility regulators to set a standard for utilities to achieve 20
percent of electricity sales from renewable fuels by 2020.
Twenty-six other states have created similar renewable energy
regulations.
Only Ohio allows some nuclear power to be counted toward renewable
energy goals.
For now, everyone is waiting until Dec. 29, when the PSC delivers
its final report to the commission.
"At the end of the day we all know, frankly, that the legislature
doesn't have to accept any of the recommendations," Dobson
said. "It's going to be very political."
 
Renewable energy regulations
What is a Renewable Portfolio Standard?
These are regulations that require Florida's power companies to
generate a set amount of retail energy from renewable energy sources
by a specific date.
 
What is renewable energy?
According to Florida law, it is a fuel from biomass, geothermal,
solar or wind energy and power from ocean tides and currents,
hydroelectric and agricultural products.
 
Why is Florida creating a Renewable Portfolio Standard now?
In 2007, Gov. Charlie Crist signed an executive order directing the
Public Service Commission to develop a Renewable Portfolio Standard
by 2009. The standard will set a deadline for utilities to produce at
least 20 percent of their electricity from renewable resources, with
strong emphasis on solar and wind.