Mid Session Legislative Update

Updated - March 28, 2006


ENERGY and ENERGY EFFICIENCY EFFORTS:

In a short six years, Vermont’s power contracts with both Hydro-Quebec and Vermont Yankee will run out, effectively cutting off two-thirds of the state’s energy supply. So with the year 2012 looming on the horizon, the House Natural Resources and Energy committees has been diligently working on a number of bills that will attempt to mitigate the impact of losing existing power supplies while planning for the future.

Appliance Efficiency Standards
One important bill, the Appliance Efficiency Standards bill, has already passed the House and now only awaits the approval of the Senate. This bill sets new efficiency standards for seven common appliances, ranging from lap top power chargers to light fixtures. Those appliances that do not meet these new standards will no longer be available for sale in our state. When implemented, the bill will not only save Vermonters over $130 million dollars, but will also cut the state’s greenhouse gas emissions by an amount equivalent to removing 16,000 vehicles from our roads.

Energy Security and Reliability Legislation
More recently, the Committee has been working on a comprehensive bill that addresses several of Vermont’s most pressing energy concerns. If passed, the legislation could improve the outlook for Vermont’s energy portfolio by reducing the size of future power purchases, curbing greenhouse gas emissions, and providing further opportunities for Vermonters to participate in efficiency and conservation programs beyond those that presently exist.
Increased participation included the expansion of the current “net metering” program that allows Vermonters to generate and use their own power, while allowing unused generation to be sold back to the utilities. In an attempt to boost the popularity of this program, the bill proposes to increase the size of such self-generating systems, thus allowing for the creation of “group net-metering” systems, in which groups of consumers could serve as a single power generator.

The bill also expands on Vermont’s energy efficiency programs by creating tax credits for “super efficient” commercial buildings, setting new commercial building codes that include a minimum level of efficiency, and creating funding for Efficiency Vermont to study all efficiency issues including those areas it does not currently address, such as heating and weatherization. In order to achieve a heightened degree of awareness by Vermonters about energy usage, the bill calls for utilities to integrate Block Rate Designs into their rate structures. Under such a system, all Vermonters will be placed into a “block,” or category, according to how much power they have historically used. If one household then uses more power than they previously have in a delegated amount of time, they will automatically be placed in the next block and have to pay an inflated price for the remainder of the year.

Regional Greenhouse Gas Initiative
After a marked lack of national action on climate change, the State of Vermont, has taken the initiative to reduce our greenhouse gas emissions with the Governor’s signing of the Regional Greenhouse Gas Initiative (RGGI). RGGI is an understanding with six surrounding states that all of those involved will reduce their CO2 emissions by 10 percent by 2018. The RGGI bill endorses the Governor’s initiative to work with seven other states on a carbon cap and trade system.

Global Climate Change
Lastly, the Senate Natural Resources and Energy Committee has also been working on a bill to reduce Vermont’s greenhouse gas emissions. The draft bill proposes to establish goals to reduce Vermont’s global warming pollution so that by 2010, the state generates no more than 1990 levels, and that by 2050 the state generates no more than 80 percent below 1990 levels. The bill also requires state agencies to consider climate change issues during decision-making procedures when considering everything from the purchase and use of vehicles to the construction and maintenance of buildings.


WATER PROTECTION:

Basin Planning and Water Quality
The House Fish, Wildlife, and Water Resources Committee has been diligently working on water quality issues. First the committee crafted a water quality bill that authorizes the Vermont Water Resources Panel to protect waters of the state by designating sub-classifications of waters by rule based on recommendations that result from the Basin Planning Process that provide greater protection for our high quality waters. Basin planning is required through the federal Clean Water Act and is designed to protect and manage each of Vermont’s 17 watersheds. This provision of the bill clarifies the authority to create sub-classifications of waters and clearly requires that such sub-classification be implemented through formal rulemaking.
The water quality bill also requires the Vermont Water Resources Panel to adopt anti-degradation implementation rules that would help maintain high quality waters of the state. The panel’s rule must be initiated by a proposal from the Vermont Agency of Natural Resources (ANR). However, the Panel is not required to follow ANR’s proposal. Prior to this bill, the Vermont Agency of Natural Resources intended to adopt an anti-degradation implementation procedure, not an official rule.


Protecting Groundwater - Vermont's Primary Drinking Water Supply
The Vermont House took an important first step toward protecting the state’s irreplaceable drinking water resources by voting overwhelmingly in support of H.294, a bill that has been a major focus of VNRC’s efforts in the State House this year. The Senate Natural Resources Committee is now taking testimony and reviewing the bill. Read more about this important bill here.


HEALTHY COMMUNITIES INITIATIVES:

Growth and Conservation
One of VNRC’s top legislative priorities, the Growth Center Bill, took a giant step forward on March 24 when the Vermont Senate voted 27-1 to support S. 142, legislation which will incentivize growth in downtowns, village centers, and new town centers. The bill provides incentives to development in and adjacent to downtowns while simultaneously conserving valuable rural resources. The House Natural Resources Committee is now taking testimony on the bill. Read the testimony VNRC provided the House Natural Resources Committee on this important bill here. Read more about the growth center legislation here.


Community Impact Studies for Large-Scale Retail Operations
On March 17 the Senate voted by a 20 to 5 to support legislation which would require developers to pay for independent community and economic impact studies when they propose to build new retail stores over 75,000 square feet. This legislation builds on existing planning tools towns already in use and will better inform and prepare communities when making big decisions about how and where development occurs. The legislation now moves to the House, where the House Natural Resources Committee is expected to take testimony on it in the coming weeks. Read more about this legislation here.