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Governor shuts down bill

Utility companies say they were not opposed to 33% renewable energy requirement.

October 13, 2009|By Melanie Hicken

GLENDALE — Utility officials expressed relief Monday after the governor vetoed legislation that would have mandated that utilities use in-state resources to cut emissions 33% by 2020.

In September, state legislators passed a pair of bills that would require renewable energy — such as solar, wind and geothermal energy — to make up a third of a city’s power portfolio by 2020. The bills did not count new out-of-state contracts toward meeting that requirement, frustrating utilities like those in Glendale and Burbank that have tied their renewable energy procurements to outside projects.

“It’s too bad that we couldn’t get the legislation that would have allowed us to be much more flexible in bringing in renewable energy from out of state . . .” said Glendale Water & Power General Manager Glenn Steiger. “These bills, for the most part, were way too restrictive.”

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On Sunday, Gov. Schwarzenegger vetoed the bills, which he said would restrict natural competition and drive increased consumer costs.

“California needs a regional approach that provides streamlined regulatory processes and compliance flexibility that facilitate the timely construction of in-state resources,” Schwarzenegger said in his veto message. “This legislative package does the opposite — adds new regulatory hurdles to permitting renewable resources in the state, at the same time limiting the importation of cost-effective renewable energy from other states in the West.”

Assemblyman Paul Krekorian, who sponsored one of the bills, attacked the veto Monday as blocking progress.

“The governor has set us back immeasurably in our progress toward liberating California from its dangerous dependence on fossil fuels,” he said in a statement.

The veto had been expected since last month when the governor announced his intentions and issued an executive order directing the state’s Air Resources Board to draft regulations to implement the 33% benchmark without the in-state requirement.

But Krekorian countered that without comprehensive legislation, the mandate would remain hollow. “The governor’s recent executive orders are wholly inadequate to achieve these goals without legislative solutions,” he said in the statement.

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