Source: CALPIRG http://www.calpirg.org/Pressrelease/renewables.html

Contact: Tommy McDonald, Alice doValle 415-255-1946

Link to the report

SACRAMENTO - California can protect itself from out-of-state energy generators and secure reliable sources of electricity at stable prices by investing in cheaper, more reliable and sustainable renewable energy sources, according a new report released today by the California Public Interest Research Group (CALPIRG) Charitable Trust.

The report, Affordable, Reliable Renewables: California's Pathway to a Sustainable Energy Future, finds that California could generate a quarter of its electricity from renewable sources - wind, solar and geothermal - in the next decade, without relying on uncertain imports from other states.

As public policies that will determine California's energy future are finalized, renewable energy must play a major role in order to prevent more market disruptions similar to California's current energy woes, the report contends. An enforceable minimum clean energy standard of 20% by 2010 would establish markets and technologies so that renewable energy industries could grow much larger thereafter, according to the report.

"More dirty fossil fuel power will only bring more price gouging and more pollution," said Brad Heavner, CALPIRG Charitable Trust Policy Analyst and author of the report. "By developing California's reliable and affordable renewable resources, we can create a sustainable energy future."

Investing in a long-term strategy that involves renewable energy is a smart fiscal move, according to CALPIRG. The report finds that wind power offers the most potential at the lowest cost. By 2010, turbines with a combined average output of 2,600 megawatts could be operational at less cost than other energy resources. At an added cost of 0.1 to 2 cents per kilowatt-hour, an additional 1,600 megawatts of average capacity could be developed. Geothermal power plants can produce power at one-third the generating costs of natural gas plants. Renewable energy costs less in the long-term because the fuel that powers renewable energy sources is free, the report found.

"A lot of renewable energy projects are already a great bargain, and all of it will become tremendously cheaper if we launch a massive drive to develop the industry," said Dan Jacobson, CALPIRG Legislative Advocate. "California should have a 'Renewable Energy Valley' leading the world in renewable energy technology, similar to Silicon Valley's leadership in computer technology."

The report shows that renewable sources of energy can be online faster than most fossil fuel power plants. For example, it takes half the time to construct a 300-megawatt wind farm as it does to build a natural gas power plant that would produce the same amount of power, the report says.

A greater reliance on renewable energy would also create a more sustainable energy future, the report says. Domestic supplies of natural gas are limited and nuclear waste storage creates dangerous environmental problems with no good solution. Renewable energy relies on unlimited, free fuel sources that create no waste, a far more sustainable approach than our current over-reliance on fossil fuel and nuclear energy.

In addition to establishing a clean energy standard, the report recommends:

· California should enter into long-term contracts with renewable energy producers. The biggest obstacle to developing renewable energy resources is that nearly all the cost is up front. To ease this burden, the state can secure long-term contracts with renewable energy producers.

· Interconnection procedures should be standardized. People wanting to install solar panels or small wind systems currently have to negotiate complicated procedures to connect to the grid. The state should standardize these procedures and order the utilities to streamline the process

· California should subsidize the development of renewable energy. New energy technologies need financial assistance in order to compete with older, more established technologies. This assistance also will ensure that the state does not miss out on opportunities which need a development boost but will be beneficial in the long run.

"California needs to once again be the leader in developing renewable energy technologies. This report provides valuable information and thought-provoking policy recommendations that should be widely read and discussed as both the Governor and the State Legislature move forward on what must be a forward-looking state energy policy," said Peter Navarro, a professor of Economics and Public Policy at University of California, Irvine and a widely recognized energy expert. "Surely, renewable energy must be a cornerstone of this policy."

CALPIRG, the California Public Interest Research Group, is the state's leading public interest advocacy organization. The CALPIRG Charitable Trust is the organization's research and policy arm. Visit www.CALPIRG.org for more information and to read the full report.