New York’s goal must be to increase efficiency by Garry A. Brown and Paul D. Tonko
Posted by SARTRE at 4:27 PMT heManhattan Institute’s March 28 opinion article critical of the state’s energy policies failed to take into account future realities. Simply building more power plants, as the institute suggests, is not the answer. In a future of limited and costly energy resources, the only sensible approach is to take steps to improve energy efficiency, increase use of renewable energy and increase the types of available energy.
While we might not be able to control energy prices, because they are set in world markets, we can reduce our energy bills by reducing our use and diversifying our energy sources.
Fossil fuels — oil, natural gas, coal — provide roughly 50 percent of New York’s energy. As fossil fuel prices increase, so will the price of electricity. We could sit back and do nothing. We could allow our electricity use to continue increasing. We could continue to increase our dependency on foreign energy. However, in the end, history would show us to have been reckless. We would find ourselves — 10, 20 or 30 years from now — in a world of high oil prices, significantly higher coal and natural gas prices, with fewer and fewer energy resources actually available.
Without the funding provided by the State’s System Benefits Charge, annual spending on energy would be almost $600 million higher than it is today. We already have eliminated the need for nearly five new power plants with this investment while saving taxpayers money.
This important program, which stimulates strategic energy investments, has helped substantially reduce emissions while also creating and retaining 4,700 jobs in New York. The state continues to develop a renewable energy and energy efficiency work force to accommodate the many new clean energy technologies and energy efficiency services that are being developed and established in the marketplace.
In addition, the renewable energy facilities we are working with through the Renewable Portfolio Standard Program will not only add to New York’s electric capacity, but will help us to become more energy secure by reducing our dependence on foreign sources of oil.
Equally as important are the health benefits we receive by reducing emissions. The health impact from dirty power plants should not be minimized. In the absence of effective federal regulations to control mercury, New York enacted stringent requirements that greatly exceed current federal standards and will result in reductions of mercury emissions from coal-fired utilities by 90 percent by 2015.
The benefits from the $1.5 billion invested in these energy efficiency and renewable energy programs have been significant, helping the state reduce energy use, lower energy bills, spur economic development, strengthen energy security and improve the environment.
Garry A. Brown is chairman of the New York State Public Service Commission. Paul D. Tonko is president and CEO of the New York State Energy Research and Development Authority.