Washington's new requirement that utilities generate more renewable energy is supposed to spell doom for the state's economy. But someone forgot to tell a business group in Seattle.
About 60 venture capitalists, private investors and financial-industry types could barely conceal their enthusiasm during a forum last week on investment opportunities in the biofuel industry. The idea is that voter approval of I-937, which requires utilities to generate 15 percent of their energy from non-hydro renewable energy by 2020, is a potential jobs goldmine for the state.
"This could make Washington a leader," said John Plaza, president of Imperium Renewables, which recently started building a plant in Aberdeen. Each dollar of investment in biofuel technology stimulates about $2.50 in add-on benefit, he said.
Those predictions are in stark contrast to the doom prophesized by opponents of the renewable-energy law. The Association of Washington Business said the measure would raise power bills by up to $370 million a year and cost up to 7,100 jobs.
Presenters at the forum at law firm Preston, Gates claimed opportunities include technology to reduce energy consumption, improve the efficiency of the region's electrical grid and generate energy from plants such as wheat, soy and algae. One representative of a major regional utility said his company plans substantial investment in the new technology.
Risks of the new mandata include instability of the tax system, falling oil prices and difficulty siting new plants, participants said. But the law should create incentives to solve some of those problems. For example, Seattle City Light adopted a zero-emissions policy in 2004 and helped create a carbon market in the state, said K.C. Goldon, policy director of Climate Solutions, the nonprofit that sponsored the forum. The utility's move directly led to development of the first biodiesel plant here, he said.
You might try a less biased sample than a group of companies and investors basking in a legal mandate for the purchase of their products.
Posted by: Brian | November 21, 2006 at 21:50
Admittedly that's a skewed sample. I'd like to see evidence of either investment or doom. Let me know if you come across any.
Posted by: meacham | November 22, 2006 at 07:45