Lawmakers in Rhode Island Set Sights on Energy

Jan. 25-- - Providence Journal

Some key Rhode Island legislators signaled yesterday that they plan to introduce sweeping energy legislation that may establish a new heating-assistance program, promote energy conservation and help develop sources of renewable energy.

The Senate Policy Office released a report that outlined recommendations that legislators will use in formulating bills to address the surge in energy costs and its impact on Rhode Islanders.

The report summarized several recommendations presented at an "energy summit" at the State House in late November.

That session, called by a panel of representatives and senators, brought together the top executives from the state's major energy companies, as well as state officials, regulators and community activists.

At the hearing, Senate President Joseph A. Montalbano put into simple terms what the legislators face: "The era of low and fairly stable energy prices appears to have ended."

Sen. William A. Walaska, chairman of the Committee on Financial Services, Technology and Regulatory Issues, said the lawmakers' mission was twofold: "To help people get through the winter of 2006 and to secure a more stable environment for the future."

The Senate report provides a glimpse of how the lawmakers plan to accomplish those goals. It lists the recommendations of several witnesses who suggested actions the state could take. There are also suggestions about how Rhode Island might work with other states to solve issues that affect the region.

Some of the ideas and solutions presented in the report include:

--Expanding energy-efficiency programs -- possibly creating one that would provide rebates and other incentives to natural-gas customers, similar to a program that exists for electricity customers.

--Requiring commonly used appliances sold in the state to adhere to minimum efficiency standards.

--Building schools with energy-efficient technologies.

--Supporting renewable-energy projects to diversify the state's supply of electricity, including the development of hydro operations and increased use of biodiesel -- fuel made from used cooking oil.

--Assigning a buying agent for the state to purchase energy and negotiate longer-term contracts.

--Establishing a new heating-assistance program that would limit what certain low-income households pay for energy usage, based on their income.

--Assessing heating-oil companies a surcharge to help pay for heating assistance.

--Using the $4 million in new tax revenue the state will receive because of recently increased utility rates to help pay for heating assistance.

The energy legislation is likely to be introduced shortly after another hearing is held on Feb. 1, according to Greg Pare, director of communications for the Rhode Island Senate.

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