June 2009 Commentary
Stand together for fair and affordable power
by Bruce Graham
CEO of Indiana Statewide Association
of Rural Electric Cooperatives, Inc.
For the past year, you have been reading in these pages about the challenges we are facing in the energy industry. We have provided feature stories on rising demand and our dwindling energy supply.
We have a responsibility to inform and educate our members about these issues. This month, I’d like to address our response to current climate change proposals and the potential impact on electric rates.
As you have seen in these pages, we are not debating the science of climate change. Our goal has been to work with the public, Congress and other policymakers to craft an environmentally effective and cost effective solution that ensures safe and reliable power for everyone.
Since the beginning of 2008, we have been advocating the “Our Energy, Our Future (www.ourenergy.coop)” public education campaign. In response, thousands of you have initiated e-mail contacts to our Indiana delegation asking them to work with cooperatives to assure that electricity does not become a luxury.
The good news is — most members of Indiana’s congressional delegation are aware of the public concern. Some are opposed to any climate change legislation. Others are looking for a reasonable solution that will balance climate change concerns with economic concerns.
Unfortunately, Congress is now considering a cap and trade proposal that could drastically increase electricity rates in states such as Indiana that rely heavily on coal for electric generation. On top of that, if the cap and trade legislation includes an auction of emission allowances, Wall Street would control the price of those permits. If you think the speculators handled the economy well last fall, just wait till they get a hold of your electric bills.
These proposals could easily raise the average Indiana REMC/REC residential customer’s bill by $50 a month.
We believe that a majority of our members would be opposed to such an increase in electric rates. In fact, our national association just completed an independent survey of registered voters representing all areas of the country. The results of that survey showed that 80 percent would not support an increase of more than 10 percent to pay for climate change and new environmental regulations.
As I said earlier, we have been communicating these issues with our members through Electric Consumer and the “Our Energy, Our Future” campaign. Both have effectively reached members who read our publications and attend member annual meetings. However, there is a portion of our cooperative demographic, and the public in general, who are not aware of the negative impact of an ill-conceived climate change bill.
A partnership is formed
As a result, The Indiana Partnership for Fair and Affordable Energy has organized an expanded communication campaign that includes mass media and public outreach efforts.
Initially, our partnership consists of Indiana’s electric cooperatives — Indiana Statewide Association of RECs and power supply cooperatives Hoosier Energy and Wabash Valley Power Association — and the Indiana Municipal Power Agency.
This matter now requires more than one group standing up for fair and affordable energy. Indiana’s electric utilities, manufacturing, construction, transportation, schools, health care and more will be affected by the heavy penalties of poorly-crafted cap-and-trade legislation. The economic threat extends beyond electric bills. Now is the time for all of us to stand together to alert Hoosiers about this very real threat to our economy.
Visit www.FairPowerNow.org to voice your concerns, tell a friend and learn more about Indiana’s Partnership for Fair and Affordable Energy.
Written By: eceditor
Date Posted: 5/28/2009
Number of Views: 327
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