Editorial: In pursuit of energy freedom

Wednesday, May 30, 2001 | 8:37 a.m.

Within the past year there has been a dramatic increase in the scrutiny paid to the energy needs of the West, including here in Nevada. Higher costs for electricity and natural gas not only have hit consumers hard, but they also have created a drag on the region's booming economy. An energy shortage in California has led to rolling blackouts, a situation that might get worse this summer. Similar blackouts aren't expected in Nevada, but utility officials still are promoting conservation in order to fend off this possibility here. In light of these troubling facts, earlier this year Nevada halted its electric deregulation plan.

In many other ways, Nevada is taking a reasonable approach to addressing the state's long-term energy needs. One easy solution would have been to just relax environmental standards, making it easier to build more fossil-fuel power plants -- but the obvious downside is that these are pollution-emitting plants. In Nevada, there is legislation pending that would allow local and state agencies to act at the same time on permits necessary for either power plants or transmission lines. The net effect would be to shorten the time period in which a permit could be obtained, but it sensibly would not weaken the environmental reviews required by this state. While more energy is welcome, the state should still adhere to strict standards so that the air that we breathe doesn't become even more polluted.

It also is promising that Nevada is aggressively seeking to create energy independence. Earlier this year the Nevada Legislature banned the electric companies in this state from selling their power plants. This could help Nevada avoid the situation faced by California, where they have to rely on their energy from out-of-state companies that have been gouging consumers.

It's also remarkable that the Legislature last week finally settled on a bill that will require utilities in this state to increase their use of renewable energy. Currently the renewable energy used by Nevada's power companies is a paltry 1 percent. But under the bill, by 2003 the share of renewable energy of the overall energy portfolio would have to be 5 percent, increasing incrementally thereafter so that by 2015 the renewable share would be 15 percent. Clean power sources such as solar, wind and geothermal are in abundance here in Nevada. So not only would Nevada be increasing its green energy, but it also would be decreasing its reliance on energy from outside Nevada. Some naysayers have suggested these are unrealistic goals, but these targets are reasonable since we have a plentiful -- yet so far untapped -- supply of these resources. Despite oppos ition from the electric companies, Gov. Kenny Guinn should sign this legislation into law.

There have been some disappointments on other energy-related issues. For instance, the Legislature appears likely to allow some big users to shop for better electricity prices while denying residential customers the same option. It's also a shame that the Senate has voted down a bill that would provide financial assistance for low-income households, legislation that has received the backing of state Consumer Advocate Tim Hay. This aid is critical in order that these families have the ability to pay skyrocketing utility bills. It is hoped that this is just a temporary setback and that the Senate and Assembly can reconcile their differences so they can provide this badly needed help.

There is less than a week left in the Legislature. It's critical that the governor sign the renewable energy bill into law and that the Legislature create a fund to help low-income residents pay for part of their energy bills. If both of those loose ends can be tied, then the Legislature will have made significant progress in creating a thoughtful energy policy for Nevada.