Energy Exchange

I went to a hearing last night at the Capitol and would like to commend members from both sides of the aisle – republicans and democrats – for their clear and strong interest in increasing Texas’ renewable energy profile. Sen. Fraser said at a conference earlier this year some really good things about Texas doing such a good job on climate and energy. One of his best suggestions I think was for Texas to continue what we’re doing, and to me that means continuing with our Renewable Portfolio Standard (RPS).

I learned a long time ago, “if it ain’t broke, don’t fix it.” The Texas RPS is that rare government program that has come in under budget, ahead of schedule, and far exceeded expectations. So it seems to me that when Texas wants to do something for renewables, where other states have tried and failed, we have a clear model for success that we should be a proud champion of throughout the nation.

The Public Utility Commission has shown that our RPS has saved Texas consumers money, and I believe that SB 541 is a good example of a policy that will continue that trend by allowing market forces to find us the best and cheapest renewable energy, while capping prices to make sure consumers don’t pay too much.  Some may argue that “Texas got lucky with wind,” but I strongly disagree, because when you use free-market principles to drive innovation and performance, Texas consumers will always benefit. 

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It’s great to see NRG and other utilities investing in “solar thermal” electricity, or Concentrating Solar Power (CSP).  I have to admit though that it’s disappointing Texas isn’t mentioned anywhere in these news articles – even though there wouldn’t be much to say about Texas and CSP.

Why? Although Texas is one of only five states in the entire U.S. with the kind of direct sunlight to make a large amount of CSP viable, it is the only one of those states that doesn’t have a single CSP project in the works.  These CSP plant vendors have set up shop in California, Nevada, Arizona and New Mexico, and there have even been some test projects in Colorado and Utah, but Texas has been left in the shade when it comes to solar thermal electricity. You don’t have to talk to very many people in the CSP industry to find out why: While other states in the Southwest have established renewable portfolio standards (RPS) and tax exemptions attracting industry attention, the Lone Star state has fallen behind the renewable energy crowd.  

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