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Politics

Putnam's Energy Plan Given Spark of Life as Session Enters Final Phase

February 29, 2012 - 6:00pm

Agriculture Commissioner Adam Putnams light energy package retained a spark of life Thursday as a bill was advanced, after some last-minute tweaking, to the Senate floor despite the powerful Budget Committee chairman still having questions about the plan.

While it's considered a more realistic proposal than prior energy efforts that have failed to advance through the Legislature or have seen little implementation due to overambitious aims, Sen. J.D. Alexander, R-Lake Wales said he wanted to give the complicated bill, SB 2094, more time to be worked on.

Putnams spokesman Sterling Ivey said the commissioner will continue to champion the bill as it works its way through the House and Senate.

Commissioner Putnam will continue to be engaged in the process as the state considers a moderate, reliable energy plan for Floridas future, Ivey stated in a release.

Putnam may have to become more of a presence with only one week remaining in the regular session and budget talks and redistricting maps expected to draw plenty of attention in the next seven days.

Its clearly a tough issue, but when a Cabinet officer is pushing something --and Commissioner Putnam is a very artful person who also is well-acquainted with legislative work -- and when he is struggling to get it figured out -- it is truly a tough issue, and it is, Alexander said.

Sen. Andy Gardiner, R-Orlando, who worked with Putnams offices on the changes, called the plan energy light compared to other recent efforts that have failed to advance through the Legislature. Gardiner noted that the bill will expand renewable-energy production tax credits and allows local governments to use discretionary sales tax revenue to assist homeowners who make energy-efficiency improvements.

To satisfy Alexanders concerns that residents understand how the money is to be used, voters would now have to approve the use of the sales tax money in a referendum, Gardiner said.

Other changes included:

  • A requirement that the state inventory government buildings to ensure they maintain the same energy savings standards demanded of other property owners.
  • An appropriation of $250,000 from Florida Regulatory Trust Fund to determine what past energy policies have done and what future policies would mean.
  • A shift of responsibility for electric-vehicle charging stations from the Florida Building Commission to Putnams Department of Agriculture and Consumer Services.

Putnam introduced the plan seeking to diversify the states portfolio away from its dependency on natural gas by advancing renewable-energy production, encouraging home-grown technologies and promoting greater energy efficiency.

Highlights of Putnams plan include:

  • Removing regulatory barriers that prevent the expansion of renewable-energy opportunities in the state.
  • Requiring the Public Service Commission to consider fuel diversity when making decisions about new power sources. Investor-owned utilities would be required to set aside 1 percent of their overall generation capacity to renewable investments.
  • Allowing utilities to enter into approved financing projects with renewable-energy companies, which they can do now with publicly owned solid waste facilities.
  • Reviving $16 million in tax breaks for investments into renewable energy technology and production.
  • Allowing a municipality to collect special assessments to pay the additional costs to purchase renewable energy.
  • Reviving business credits and incentives that expired last year in Florida,.

Alexander said he still had concerns about how Putnam has proposed reducing the states dependence on natural gas.

I think the commissioners point on fuel diversity is a big deal, Alexander said. I like the idea within reasonable financial bounds, not to double or triple the cost of gas generation ... but thats easy to say and harder to do.

The House effort, HB 7117, has been considered to provide more pro-business protections and incentives.

If both chambers are able to mediate the parts of the plan they support, it would be the first comprehensive energy plan to be approved by the Legislature since former Gov. Charlie Crist introduced a plan that called for sweeping reforms.

Many of Crists proposals have since remained dormant or required repeal.

Last year, legislators broke up the Energy and Climate Commission, created under Crist's direction, and shifted the responsibilities to Putnam's department.

Reach Jim Turner at jturner@sunshinestatenews.com or at (772) 215-9889.

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