Wisconsin'srenewable portfolio standard has fallen short of the clean energy and green jobrevolution promised by proponents, and in fact the requirements havesignificantly increased electricity prices, hurting the local economy in theprocess, according to a new report by the MacIver Institute.
Drawingon research from University of Wyoming economist Timothy Considine
TheMadison, Wis.-based MacIver Institute bills itself as a "think tank that promotesfree markets, individual freedom, personal responsibility and limitedgovernment." It is an affiliate of the State Policy Network, a group ofconservative think tanks.
Wisconsin's current renewable portfolio standard calls forthe state to get 10% of its power from renewables. Investor-owned utilities,municipal utilities and electric cooperatives are all obligated to comply withthe RPS. About 98% of the new power capacity to meet the standard comes fromwind, the report said.
In 2014, Democrats in the state legislature boosting the standardto 30% by 2030, but the bill never passed. The MacIver Institute said that thenew research about the costs for Wisconsin should put to rest claims made byrenewables proponents "that Wisconsin was missing out on economicopportunity by not passing the draconian measure."
But more exhaustive research has found the truth of theeffects of renewable portfolio standards is "just about the opposite"from the claims of the MacIver Institute, according to Keith Reopelle, seniorpolicy director for Clean Wisconsin, an environmental group.
Reopelle also pointed to the fact that state utilities arecontinuing to seek renewable energy on their own volition, despite havingalready met the standard. For example, WPPIEnergy
Sierra Club John Muir ChapterConservation Programs Coordinator Elizabeth Ward said Wisconsin has "fallenbehind" neighbors like Minnesota in terms of the strength of renewable energystandards.
In response to arguments thatrenewable energy mandates have increased prices, Ward said the contentionconfuses correlation with causation.
According to Reopelle, the priceincreases can also be explained by utilities having moved investments to morerecent years. In the 1990s, when electricity rates in the state were lower, theutilities anticipated deregulation and deferred investments as a result, hesaid.