03/22/2010 GAAS:186:10 FOR IMMEDIATE RELEASE
Gov. Schwarzenegger Announces Actions to Help Preserve State Lands and Habitats, Build Renewable Energy Projects
New Program to Help Projects Capture Federal Stimulus Funds and Create Jobs, Clean Power and Green Investment in California
At the world’s largest operating solar plant, the NextEra Harper Lake Solar Electric Generating System (SEGS) facility in Hinkley, Governor Arnold Schwarzenegger joined by U.S. Department of the Interior Secretary Ken Salazar announced a new joint program to make it easier to conserve land for endangered species and for developers to build renewable energy projects in California. The program, created by SB X8 34 authored by Senator Alex Padilla (D-Pacoima) and signed by the Governor, will help further streamline and speed up the permitting and siting process for large-scale renewable energy projects that will provide jobs and greater energy independence and attract investment.
“Our bold and innovative vision for California has made us a pioneer in renewable energy, green jobs and environmental protection and, as a result, we are seeing an energy revolution in California,” said Governor Schwarzenegger. “California now has more than 240 proposed renewable projects looking to build and create jobs. Today’s action will help speed up the process for some of these large projects to break ground this year and qualify for federal stimulus funding. By working together, we can increase renewable energy development, create thousands of jobs and preserve our state’s cherished natural resources.”
SBX8 34 will ensure state regulatory agencies have the resources necessary to focus on the state’s stringent environmental review process and permit renewable energy facilities. The bill creates further efficiencies in the permitting and siting process for large-scale renewable energy projects that could qualify for federal stimulus funds by:
· Establishing the Renewable Energy Development Fee Trust, a revolving fund that renewable energy developers can pay into through project-assessed fees determined by the California Energy Commission (CEC) and the Department of Fish and Game (DFG). The fees will be used for the state and its federal partners to implement project mitigation measures including purchasing private lands related to habitat restoration, and monitoring and transaction costs connected to offset impacts to biological resources from construction.
· Ensuring the needed environmental reviews occur in a timely manner by authorizing the CEC and DFG to assess application fees on projects at an amount that would fully fund dedicated staff to work exclusively on applications.
· Speeding up CEC review by allowing for the free flow of information in a more timely manner by removing communication barriers between outside state agencies and CEC commissioners.
The Governor also urged the legislature to continue working to help streamline the permitting and construction of renewable energy projects throughout the state in a signing message attached to SBX8 34.
In addition to touring the NextEra Harper Lake facility today in Hinkley, the Governor and Secretary Salazar toured a 250 megawatt (MW) proposed solar facility, the Abengoa Mojave Solar project. The proposed Abengoa site is seeking funding through the American Recovery and Reinvestment Act (Recovery Act) and will create over $1 billion of capital investment and more than 1,200 jobs in the local region. The Governor’s action today will help the Abengoa project and other renewable energy projects seeking Recovery Act funding to reach eligibility and obtain up to 30 percent of their entire project cost in federal stimulus dollars. To qualify for Recovery Act funding, projects must break ground and spend at least five percent of the total project cost in 2010.
“I cannot think of a more appropriate place to underscore that renewable energy is not ‘pie in the sky’ than here at the edge of the Mojave Desert where the largest solar plant in the world is generating clean, cost-efficient renewable energy for California communities,” Secretary Salazar said during a tour of the facility.
“This is the future we are working to achieve - visionary investment in cutting-edge technology; good, solid jobs for American workers; clean energy for American homes, businesses and industry; and renewable resources used efficiently and effectively for the betterment of communities, California and the nation,” Salazar continued.
There are more than 240 proposed renewable energy projects in California that could produce nearly 70,000 MW of clean energy annually. These proposed projects throughout the state include solar, wind, geothermal, biomass and small hydro facilities. Nearly 50 of these proposed projects have indicated they will apply for Recovery Act funds. For those proposed projects looking for federal stimulus support, 21 could generate power at utility-sized levels of larger than 200 MW, totaling more than 9,000 MW. Currently, California facilities produce just over 8,000 MW of renewable energy annually.
Many of the proposed projects are currently moving through a state, federal or local permitting process. A list of all the projects, separated by those seeking Recovery Act funding, currently in review or that have been approved is available here www.energy.ca.gov/33by2020/documents/index.html. The project list is subject to change since some may lack financing, fail to meet strict environmental standards, or adequately address land use issues as part of the project approval process.
To help expedite the permitting process for renewable energy projects in California, Governor Schwarzenegger last year signed a Memorandum of Understanding with Secretary Salazar and appointed a special advisor to oversee the fast-tracking of the permitting process for renewable energy facilities. California was the first state to participate in this kind of historic agreement with the U.S. Department of the Interior to cooperatively develop long-term renewable energy plans and to usher eligible projects through state and federal permitting processes that can receive federal tax credits under the Recovery Act. SB X8 34 will further build upon this process.
To better coordinate the state’s efforts to increase renewable energy and create jobs, the Governor’s Administration will hold The Governor’s Renewable Energy Policy Conference at the University of California, Riverside on Wednesday, March 24. The goal of the conference is to help bridge the gap between Sacramento and the local communities where wind, solar power and geothermal projects will be located. It will bring together state and federal administration officials, local government, business and environmental leaders, academia and the public to further facilitate a dialogue towards improving the siting, permitting and mitigation process of large-scale renewable projects in the California desert and beyond. Participants will focus on how the state can gain the most power from sun wind and geothermal resources, while also strengthening our communities and preserving our natural resources and beauty for generations to come.
The Governor has long worked to streamline California’s renewable energy permitting process and increase the state’s renewable energy goals. In 2008 the Governor signed Executive Order S-14-08 (EO) directing the CEC and DFG to form the Renewable Energy Action Team (REAT) a cooperative relationship with the U.S. Bureau of Land Management (BLM) and the U.S. Fish and Wildlife Service. This was a first-of-its-kind agreement to move California’s renewable energy development forward. The REAT agencies are working closely with the California Public Utilities Commission and the California Independent System Operator to further coordinate and streamline renewable energy development and permitting. The REAT is reviewing the proposed facilities that have submitted their applications to help meet the Recovery Act deadline. The CEC has also prioritized renewable projects that are not on federal lands and is moving quickly to review their applications.
In addition to the permitting work of the REAT, the agencies are working together on a long-term conservation strategy for the Colorado and Mojave Deserts. At the direction of the EO, the Desert Renewable Energy Conservation Plan was also formed to create a science-based, stakeholder driven process to identify geographic areas designated for renewable energy development, and conservation and declining species management. DRECP, in coordination with the BLM’s multi-state Solar Development Programmatic Environmental Impact Statement process, is using independent scientific review, stakeholder input, the best available biological data and an integrated planning process for the Mojave and Colorado Desert regions and parts of six Southern California counties. This plan is currently scheduled to be completed in 2012 and is meant to provide a long-term road map to development and conservation in the California desert.
Governor Schwarzenegger has a strong and proven commitment to not just solar energy but to all clean energy that will create jobs, influence national policies and create a cleaner environment for future generations. Some of the Governor’s most ambitious actions include:
- Renewable Portfolio Standard (RPS): Governor Schwarzenegger signed an Executive Order directing the California Air Resources Board to adopt regulations increasing California's Renewable Portfolio Standard to 33 percent by 2020. This will ensure California will have the flexibility needed to use renewable energy sources for 33 percent of our energy consumption by 2020 and places the highest priority on renewable resources that will provide the greatest environmental benefits that can be developed quickly and support reliable, efficient and cost-effective electricity system operations including resources and facilities located throughout the Western Interconnection.
- Million Solar Roofs Initiative: The Governor’s $2.9 billion incentive plan for home and building owners who install solar electric systems, now known as the California Solar Initiative, will lead to one million solar roofs in California by the year 2018, provide 3,000 megawatts of clean energy and reduce greenhouse gas emissions by 3 million tons.
- Global Warming Solutions Act of 2006 (AB 32): AB 32 established a first-in-the-world comprehensive program of regulatory and market mechanisms to achieve real, quantifiable, cost-effective reductions of greenhouse gas emissions. The law will reduce carbon emissions in California to 1990 levels by 2020. Mandatory caps will begin in 2012 for significant sources and ratchet down to meet the 2020 goals. The Governor has also called for the state to reduce carbon emissions to 80 percent below 1990 levels by the year 2050.
Governor Schwarzenegger has also enacted legislation promoting clean energy investment in California. Earlier this year, the Governor signed AB 510 by Assemblymember Nancy Skinner (D-Berkeley) to raise the requirement on net metering in California; ensuring home and business owners continue to invest in solar power. In 2008, Governor Schwarzenegger signed AB 1451, AB 2466 and AB 2267 to build on California’s commitment to increase renewable energy use. AB 1451 builds on the state’s solar power usage by continuing a property tax exclusion for projects that utilize solar panel energy and expanding the exclusion to builder-installed solar energy systems in new homes. AB 2267 builds on the state’s green economy by requiring the California Public Utilities Commission to grant incentives to eligible California-technology manufacturers. This bill also requires the CEC to give priority to California-based companies when granting awards and will not only create jobs for hardworking Californians but will attract more clean-tech and green-tech companies to the state. AB 2466 will increase energy efficiency and help protect the environment by authorizing local governments to receive a utility bill credit for surplus renewable electricity generated at one site against the electricity consumption at other sites.
