Apr 16 - McClatchy-Tribune Regional News - Alyson E. Raletz St. Joseph News-Press, Mo.


Senators gave a green thumbs-up to legislation aimed at promoting private and public investment in energy efficiency Wednesday.

SB 376 would allow electric companies to recoup costs from energy conservation programs by permitting them to change their rates accordingly -- but only if the Public Service Commission deems that the new rates are equal to or less than what the electric companies would've charged if they'd opted to build a new power plant.

Bill author Sen. Brad Lager said the bill is designed to deter the creation of coal and nuclear plants and instead incent homeowners and companies to partner with utilities to find ways to reduce energy.

"Energy generation continues to get more and more expensive," the Savannah Republican said. "Conserving energy can have an impact immediately."

He said the legislation would keep any rate increases at levels much more moderate than the cost of building a new power plant.

Some industrial companies have opposed the plan because they don't want to pay higher rates for green programs they've already participated in, so Mr. Lager built an opt-out provision into the legislation.

Senators gave first-round approval to the bill Wednesday despite the inclusion of a controversial amendment from Sen. Jeff Smith, D-St. Louis.

Mr. Smith added language that requires the state to buy appliances that meet energy efficiency specifications under the Energy Star program, part of a U.S. Environmental Protection Agency effort.

Mr. Lager voted against the effort, arguing that it would cost the state too much money. Mr. Smith included a provision that would exempt appliances if the cost exceeded the savings. The bill needs a third reading in the Senate and approval from the House before it can go to the governor's desk.

Alyson E. Raletz can be reached

at alysonraletz@npgco.com.

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