The 2009 Senate Comprehensive Energy Plan, now in Senate Substitute for HB 2014, was developed with bi-partisan support. It is based on previous legislation that was supported by more than 80% of the Senate.

This is a complex issue. That is why we have a comprehensive energy bill that addresses our need for base load energy and transmission lines and encourages the expansion of renewable energies and energy efficiency while ensuring affordable electricity for all Kansans and restoring regulatory fairness in our state. All solutions are needed to address our growing need for affordable energy now and in the future.

Good for the Environment: State policy should encourage the development and usage of renewable energy sources so they may begin to play a larger role in the overall solution to our energy requirement.

Good for Businesses: Establish consistent and predictable regulatory policy for Kansas to create a more business friendly climate that attracts and keeps new, well-paying jobs. Lenders have made it clear that it is simply impossible to provide potential businesses with financing if they are unable to trust that the state’s policy and oversight will not be subject to regulatory uncertainty.

Good for Ratepayers: With the rising price of natural gas, and petroleum in general, it is important to find responsible and cost-effective solutions for future energy requirements.

Key components of the measure include:

• Establish Renewable Portfolio Standard (RPS)
  • Require each public utility to include renewable energy sources in its generation portfolio to total at least: 10% by 2013; 15% by 2017; and 20% by 2021 of the public utility’s peak load. This provision excludes municipalities.
  • Allows utility companies to seek an extension of 2021 requirements if transmission facilities or other factors would adversely affect Kansas ratepayers.
• Net Metering
  • Proposed policy would make Kansas a national leader in net metering.
  • Allows Kansans who produce their own electricity through renewable sources such as solar, wind, biomass, hydropower and geothermal to sell excess power their produce back to their utility company at a fair price.
  • Requires monthly netting between consumer and utility (as opposed to annual zeroing).
• State Energy Efficiency Standards (EES):
  • Requires Secretary of Administration to adopt rules and regulations prescribing Energy Efficiency Standards.
  • Applies to all new construction and to the extent possible, renovated state-owned buildings.
  • Requires design and construction achieve energy consumption levels that are meet national and international professional standards if they are life-cycle cost effective.
  • Requires state-owned vehicles purchased during 2011 to be at least 10% higher than the fuel efficiency of state-owned vehicles in 2008 if cost-effective.
• Energy Conservation
  • Requires the Joint Committee on Energy and Environmental Policy to review all available federal funding including dollars attached to the Federal Stimulus Plan that are designated for energy efficiency and weatherization programs.
  • Encourages schools and local governments to improve their energy conservation through the state’s Facilities Conservation Improvements Program (FCIP)
  • Directs the Department of Administration to collect data on energy consumption and cost for all state-owned and leased real property and report to the legislature areas of excessive use.
• Excess Energy Storage
  • Addresses how to handled excess energy produce during low-usage periods that can be used during peak times by establishing regulations to the injection of compressed air into storage wells and the maintenance of underground storage of compressed air created.
• Regulatory Fairness and Predictability
  • Directs the KDHE to establish emissions standards that are no more stringent, restrictive or expansive than those required under the Federal Clean Air Act.
    • This does not apply to parts of the State Implementation Plan developed to bring a non-attainment area into compliance.
    • Position Kansas to be in line with future national standards.
    • Missouri, Colorado and Oklahoma have legislation that is no more stringent.
    • Provides fairness when employers want to build or expand in Kansas.
    • Allows Kansas to be “Open for Business”.
  • Clarifies the KDHE Secretary use of emergency powers
    • KDHE Secretary may issue a temporary order upon receipt of evidence that emissions from air pollution pose an imminent and substantial endangerment to public health or welfare or to the environment.
    • The secretary must seek judicial review within 72 hours to receive a permanent or temporary restraining order.
    • Gives aggrieved party immediate access to judicial review without exhausting administrative remedies.
    • Removes politics from of the process – making it clear the Secretary is responding to an emergency situation as was intended.
  • Directs KDHE to reconsider previous air quality permit applications.
• Access to new base load
  • Allows Kansas Electric Transmission Authority (KETA) to assist in the building of transmission lines that would serve small and local communities.
  • Places into law an agreement between Sunflower and its partners to make available up to 200 megawatts of electricity to Kansas municipalities and coops.
  • There is a critical need for base load energy production. Most agree that Kansas will need 600-700 megawatts of base load energy in the next 10-20 years.
  • Couple that with an aging base load generating fleet (averaging 20-40 years) that is inefficient and in need of replacement.
• Future Energy Policy
  • Establishes the Kansas Energy Resources Commission
    • Review strategies to maximize and increase energy production through existing resources;
    • Identify emerging technologies and research
    • Investigate scientific literature on emissions impact on public health
    • Make recommendations to the Legislature and Governor