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The Path to a More Sustainable Life

No, this isn't the Karate Kid ... it's Solar Oregon staffer, Imogen Taylor, in her new digs.

Lately, the sustainability non-profit, Solar Oregon, has experienced a whole lot of good fortune.  First, we got news that the state’s Renewable Energy Tax Credit (RETC) program not only survived the legislature’s wrath, but it was extended.*  Then we got word that Solar Oregon is the proud recipient of an AmeriCorps member. The Confluence Environmental Center notified us that they received funding for their part of the AmeriCorps member funding (2011-12) which means we’ll have a dedicated volunteer coordinator starting this September. 

Great news for the staff and the entire organization!

However, the real news today is …   After sitting atop a tattoo parlor on SE Grand Ave for some ten years, the office for Solar Oregon has moved.  Not that the occasional whiff of marijuana smoke bothered us all that much, but it was time for a change.  Frankly, the hardworking staff and volunteers for this organization deserve much better and I’m happy for the lot. 

Thanks to Solar Oregon Board President, Linda Barnes, of MERRYMAN BARNES ARCHITECTS INC.  She is subleasing a portion of her firm’s office space and it fits us perfectly [for now]. http://www.rmbarch.com/partners.html

1231 NW Hoyt St., Ste 402  > Portland, OR   97209

Being smack-dab in the middle of the Pearl District in downtown Portland, surrounded by some of the best restaurants and coffee shops in the entire country, will surely make our meetings more enjoyable if not more productive.  Let’s just say that.  

* RETC: Check out a comprehensive summary from Jeff Bissonnette of the Citizen’s Utility Board.

As summer begins some people are still fighting the good fight for renewables in numerous state houses … here’s an update to my earlier posts on what is happening on the solar front here in Oregon. Things are gett’n finished up at the Oregon state capital as the 66th Oregon Legislative Assembly regular session ends June 30th, 2011. *

 

*****

 

 

Via Glenn Montgomery, OSEIA, Exec Director – June 20 

Glenn Monty speaking at the Oregon state capital

“Some good news on the horizon!  HB 2563 just passed the Senate floor with the property tax exemption sunset extended until 2018 for “alternative energy devices.”  We were also able to clarify the statutory language to include ALL properties, regardless of the financing model. 

The Department of Revenue shifted its interpretation of current statute and disallowed the property tax exemption for third-party financed systems, thus systems installed on public buildings, non-profits, churches and schools that often use a third-party investor would NOT enjoy the property tax exemption.  Now they will!

The bill has to return to the House for a concurrent vote, since we had to include our amendments after the House voted on the bill, however we expect its passage to be imminent.”

 *****

Via Claire Carlson, Solar Oregon Exec Director – June 13 

 

Claire Carlson speaks at the state capital

“Just a quick update on the RETC situation … From what I gather the Renewable Energy Tax Credit (RETC) situation is looking much better as of this moment. It seems that the RETC will be relatively unscathed as compared to the BETC. We are currently looking at none of the deadlines we were discussing for the last couple of weeks to be enforced and the sunset extended to 2018.  

Changes to the RETC (related to solar) currently being discussed include a cap on 3rd party leasing and bulk projects with possible precertification requirements, although as I mentioned in correspondence with Rep. Bailey today, since the RETC is applied for and received by the homeowners there is no way of currently enforcing this without requiring homeowners to stipulating this on their RETC application. I urged the Rep to instead consider giving ODOE authority to adjust the RETC price per watt and not include complicated and hard to enforce caps on any one particular means of purchasing solar. Currently ODOE has no authority of means of changing the $3 per watt language.  Thank you for everyone’s work so far. It’s not over until it’s over, and these details could change again, but I feel more hopeful than I have recently.”

 

 
* Mac’s note:  The legislature met every two years until 2010 when Oregon voters passed Ballot Measure 71 which changed the legislative calendar so that they are now required to meet annually with time limits on each session. Constitutional provisions approved under measure 71 limited the length of the regular session to 160 days and legislative leaders agreed to 150-day session for 2011.  However, the legislature can still hold as many “special sessions” as they like, each for a long as they like, just as they have done for years.

John Patterson (Mr. Sun) is concerned about Oregon's renewable energy future

I’ve been drafting letters explaining why I support renewable energy tax credits in a time of great unpopularity.  These letters are intended for the Oregon State Legislature and Governor Kitzhaber’s Office. The Tax Fairness Oregon bunch may think I’m crazy, but I believe our state reps shouldn’t simply be looking to cut programs, budgets, and shut off tax credits; they should also be thinking of and supporting industries and programs that create jobs. 

The “people” want jobs – jobs – jobs, don’t they get that? 

Rep. Jules Bailey gives the solar advocates the bad news

 The renewable energy industry in Oregon has been thriving in part because of the state renewable energy tax credits (BETC & RETC) and Energy Trust of Oregon programs and rebates. It is documented that the renewable energy industry in Oregon has provided jobs, especially in the solar sector, and this action will put many of these jobs in peril.  This isn’t the path we should be taking! This battle is going on in many statehouses in America and is boiling-up in the U.S. Congress and I don’t see the Obama administration providing the leadership required to move our energy policies forward – certainly much less than “greenies” expected.

I had opportunity to express myself to the state representatives

That really disappoints me, because ever since I was a teenager I liked the idea of creating power from the Sun.  Okay, maybe I’m some kind of geek, but I’ve wondered why modern technology couldn’t come up with a way to harness the Sun’s energy so that everyone could use it as they desired. And get it all for FREE!  Ahhh … what a dreamer, huh?!

If you’d like a closer look at this story, check out an article written by Eric Siemers of the Oregon Business Journal entitled, “BETC facing massive cutbacks” … http://www.sustainablebusinessoregon.com/articles/2011/05/betc-facing-massive-cutbacks.html?comments=1#readercomments.

This is the letter I sent …

“My name is Ron McDowell and I am a resident of Portland Oregon. I’ve lived and worked in Oregon about half my life and I raised my family here.  I feel at peace in a place that is so green and beautiful and I’d like to keep it that way for generations to come. I feel we all have that responsibility. It is one of the main reasons I am a supporter of renewal energy. 

Sure, I understand that putting solar on my home is a hedge against raising energy prices, but that’s not why I installed it on my residence.  I did it because I’d made a promise to myself that when I was able to own my own home, I’d make it as energy efficient as possible and create my own power from the Sun. To me it is a no brainer to reduce fossil fuel consumption by utilizing a different technology to energize my home.  Solar makes that possible.

Fact is I couldn’t have afforded it without the tax credit incentives. With costs still high for most pocketbooks, it would’ve taken years before I could afford to purchase, and that’s not a responsible course of action for those who believe in curtailing our dependency on fossil fuels (for the myriad of reasons). We are a middle income family paying our fair share of taxes, and this is one way I’d prefer to see our tax dollars spent. We all have our priorities.

One reason why so many homeowners in Portland have “solarized” over the past two years is the RETC helped make it possible. The demand is there if we can hold on to the incentives we have now … at least until a more sustainable and perhaps more equitable, energy policy gets implemented by the state or federal government. I’m all for schools, parks, police, and elderly care, but if we don’t change our energy policies we’ll soon poison our planet, and then we won’t need those things anymore.”

Dear Readers:  I received this email from Glenn Monty of the Oregon Solar Energy Industries Association (OSEIA) today.  I’d like to share it with you in case you’d like to support the actions he recommends.  I’m going to do all five! (see below)

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Glenn Montgomery - OSEIA's Exec Director has a message

I am typically not an alarmist, but we have a crisis on our hands for both renewable energy and conservation projects in Oregon.  Though still work in progress, the co-chairs’ state budget for the 2011-13 biennium includes $10 million for ALL tax credit programs, and word has it that it breaks down as follows:

  • Biomass collector credit- $4MM
  • Film & Video – $3MM
  • Business Energy Tax Credit (renewables & conservation, not manufacturing) – $2MM
  • Residential Energy Tax Credit (renewables & conservation) – $1MM

To put this into perspective:

BETC for renewables alone (2009-11 biennium) = $300 million
BETC for renewables and conservation (2011-13 biennium) = $2 million

RETC expenditures (’09 and ’10) = $34 million  (solar accounted for $7 million last year alone)
RETC budget (2011-13 biennium) = $1 million

Given the current budget proposal, the RETC will be gone by July of this year, and we’ll have nothing for the next 23 months.  The BETC faces the same fate – one project could account for the proposed allocation.  How will ODOE even begin to pick winners and losers?

The potential impact on both businesses and residents is staggering.  It’s unconscionable, in my mind, to effectively shut down public support for renewable energy production and conservation across the state at a time when our economy is in recovery and extremely fragile.  Adding insult to injury, the Film & Video program budget, though small in relative terms, has been doubled in the current budget.  Does our leadership care more about attracting non-local companies to the state for 60 days to make a few movies than it does the residents and businesses that work, pay taxes, and support their local economies year-round?

The time to act is NOW!  Make your voice heard.

 There are several things that come to mind:

1) Join us for the solar rally scheduled Wednesday June 1, 2011 at 11:30 on the Capitol steps (we’ll also be in the Galleria all day);
2) Contact your state legislators by writing a letter and following up with a phone call;
3) Contact the Governor’s office, share your story, and express your dismay that leadership is turning its back on Oregon’s green economy;
4) Keep current by following OSEIA on Twitter and “Liking” our Facebook page;
5) Join OSEIA!  Your financial support and personal engagement creates a stronger voice for the solar industry in Oregon.

I will have a sample letter available on OSEIA’s website in the next day, so feel free to use it as a guide in telling your story.  In addition, I’ll provide further details on the rally that is a little more than one week away.  You can become a “Friend” on the Go Solar Oregon Facebook page by clicking here.

Please forward this note to your network of colleagues and friends.

Thank you for your support!

My best,

Glenn Montgomery, OSEIA Executive Director

http://www.oseia.org/

Affordable Solar energy is now in jeopardy - thanks to recent ODOE ruling on Oregon's Residential Energy Tax Credit!

On Friday, July 16th, The Oregonian announced a ruling by the Oregon Department of Energy (ODOE) that cuts the Residential Energy Tax Credit (RETC) for residential solar in the state.  See … http://www.oregonlive.com/business/index.ssf/2010/07/oregon_trims_tax_credits_for_r.html

Citing “emergency” and “temporary” ruling based upon the state’s financial budget crisis, this ODOE action has caused quite the stir in the solar community, especially in places where Solarize projects are operating or just getting underway.  Rather than taking up space explaining about what all this means, thought I’d post my reply to ODOE instead.  This should give readers an idea what this ruling means and how we’d like to mitigate by extending this action for the impacted residential projects.  There is activity in Salem today that may modify, or at least extend, this ruling … so I’ll be sure to keep you informed.  Stay tuned!

————————————————————————————

To:       Bob Repine, ODOE

Date:   July 21, 2010

Re:       Hardship condition as a result of ODOE emergency ruling on RETC

My name is Ron McDowell and I am a resident of Portland Oregon.  I’m an active volunteer in my community and I currently serve on the Southwest Portland (SWNI) Land Use Committee and I’m a Solar Ambassador for Solar Oregon.  For the past six months I’ve volunteered my time to support the Solarize Southwest Portland program and because of volunteers like me these programs have far exceeded expectations.  In Portland we’re still crunching the numbers, but if current trending holds, we’ll be adding about 1 Megawatt of clean and renewable energy to our neighborhoods by the end of this year.  This amount of residential solar electric installation has never before been seen in the Pac Northwest for existing homes.  This clearly shows the level of interest and demand for solar energy in Oregon and I’m proud to have played some small part in this effort. 

I’m writing you today because all of the good work we’ve done to support clean energy in our neighborhoods is now in jeopardy due to the recent action taken by your office.  I’m sure you have your reasons, but perhaps you didn’t consider the impact and negative consequences of this action on my neighbors who are in the midst of purchasing and installing solar electric on their residences.  Changing the RETC rules in the middle of this program, without notice, explanation, or recourse, has caused a great deal of consternation and I’m being told that many of my neighbors will cancel their install as they simply cannot afford the out of pocket cost as a result of this ODOE action.  I assume this result was unintended, but it is a reality nonetheless.

If enough people make this decision it will have a major trickle-down negative effect on the resources we’ve put in place to support our plan to install hundreds of solar panels on neighborhood rooftops this summer and fall.  The emergency ruling is a direct threat to the JOB CREATION that has resulted from these Solarize projects.  It will also have a negative impact on the local economy because cancellations will hurt downstream local producers of equipment such as solar modules, inverters, etc… who have been hiring in Hillsboro and Bend Oregon in order to support this increased demand.  The last thing we need in Oregon right now is to add to the current unemployment condition due to this “emergency ruling” from ODOE.

Not only does ODOE’s ruling impact our communities and local jobs, it also puts a dent in our efforts to meet state and local Renewable Portfolio Standards (RPS).  Residential solarize projects in Portland, Pendleton, Beaverton, Salem and other communities are a critical component to meeting these standards without need for large scale, cost laden, projects backed by municipal bonds and government loans.  In a way, I feel as if we’re being penalized for being so successful in our effort to bring clean and renewable energy to our neighborhoods.

So on behalf of my neighbors, I request that you modify your ruling to allow enough time for the people already signed up with these programs to proceed under the expected RETC which had been promised to us until 2015.  I urge you to consider extending the hardship condition of your emergency ruling to communities participating in volume purchase programs through December 31st 2010.   I believe this extension will ensure contractors with signed contracts an adequate time period to have systems permitted, properly installed and inspected.

Thank you for careful consideration and I look forward to your decision on this matter.

Regards,

Ron “Mac” McDowell