Jan 18 - McClatchy-Tribune Regional News - Dennis Lien Pioneer Press, St. Paul, Minn.

Hundreds of Minnesota homeowners, farmers and businesses could get low-interest loans to install clean-energy technologies under a proposal announced Thursday by Gov. Tim Pawlenty.

The loans, which would be financed through revenue bonds approved by the Legislature, were among several energy initiatives Pawlenty outlined at a state Capitol news conference.

Besides the proposal to make it easier for people and businesses to install small solar, wind and geothermal systems on their properties, Pawlenty unveiled three other measures aimed at moving the state to a cleaner energy foundation:

- He signed an order creating a 15-member group that will guide how the state meets its clean-energy goals. They include a requirement that the state get 25 percent of its energy from renewable sources by 2025.

-He also created an Office of Energy Security within the Department of Commerce and appointed Deputy Commerce Commissioner Edward Garvey to head it. Garvey will coordinate energy and climate issues throughout the administration.

- He asked the Legislature to set up a planning operation within the office of energy security to study how the state would participate in eventual markets that trade carbon-pollution credits.

In his low-interest-loan proposal, Pawlenty suggested the Legislature consider an initial revenue-bond commitment of $10 million to $20 million. That money, which would be funneled through cities and counties, would be repaid by the people or

businesses that get the loans.

Sen. Ellen Anderson, DFLSt. Paul, chairwoman of the Senate Environment, Energy and Natural Resources Budget Division, said those steps move the state in the right direction but added that more is needed.

"It's just a drop in the bucket of what we need to get done, but it's a good drop," Anderson said.