Opinions
Osceola Electric Cooperative believes that responses to climate change must encompass a balanced, common-sense approach that ensures adequate, reliable and affordable electric service. Unfortunately, there is no single solution to the challenges being faced. Existing technology is not sufficient and more research is needed. Any plan to address carbon emissions must include responsible investments in all resources, including energy efficiency, renewable energy and other generation technologies. We support reasonable solutions that include an economy-wide plan to address greenhouse gases, so that no single industry sector is economically disadvantaged and Iowa's economic growth and prosperity is enhanced.
In order to maintain reliability for our consumers, increased base-load generation is needed. L & O Power Cooperative is a power supplier for Osceola Electric Cooperative. L & O owns transmission lines and substations but it purchases power from two sources. 28% of its power comes from the Western Area Power Administration (WAPA) and 72% from Basin Electric Power Cooperative. WAPA's power supply resources are hydroelectric facilities, a renewable resource, while Basin's are primarily coal, with increasing gas, wind and waste heat components. Basin for the first time in more than 20 years is in a position whereby it must add new
generation in order to keep up with the growing demand for electricity. It broke ground on the Dry Fork Station, a 385 megawatt coal based power plant in October of 2007. It is scheduled to be completed in 2011. In Iowa, Alliant Energy along with a group of electric cooperatives and municipal systems have proposed building a much needed new coal based power plant in Marshalltown in order to meet the growing demand of the Iowa economy.
Other electric utilities across the nation are making efforts to add more generation as well. It takes time to build a power plant and delays because of opposition have proven extremely costly to consumers.
Our commitment to energy efficiency remains a common thread in our business culture and practice. Statewide figures for electric cooperatives show that in 2006 we invested 11.7 million dollars and saved consumers 18 million dollars while tripling our energy efficiency in the last 4 years. Making members aware of energy efficiency opportunities is one of our top priorities so that we may continue to provide safe, reliable, affordable and environmentally responsible energy. Osceola Electric Cooperative added an energy efficiency column written by Doug Rye, a national energy consultant, to our monthly newsletter last summer. Mr. Rye also has a one hour long radio program titled "Home Remedies" and it is now being sponsored by our cooperative and others on KIWA 1550 AM every Saturday at 8:00 a.m. and recently the program was added to KUQQ Q102.1 FM Saturday mornings at 9:00 a.m. Doug Rye promotes the construction of more efficient, better insulated homes, utilizing more efficient heating and cooling equipment and appliances.
Other steps taken by Osceola Electric Cooperative to promote energy efficiency include the following: The elimination of a rebate for standard electric water heaters. Instead, rebates are only available for energy efficient models. Rebates are available for heating and cooling equipment, including energy efficient air source and ground source heat pumps. Our Board of Directors recently decided to offer rebates for new ENERGY STAR qualified appliances. Additionally, the cooperative will be giving away CFL's to our members at our Annual Meeting, which will take place on March 29th and again on Earth Day, April 22nd. This will be a 100% rebate to the member as there will be no charge for the CFL.
Electric cooperatives have also been committed to increasing renewable energy production and purchases. Basin Electric Power Cooperative, a major source of power for Osceola Electric Cooperative, currently has 136 megawatts of wind energy. It also has a 115.5 megawatt wind farm underway which is scheduled to be operational in 2010. Another 100 megawatt wind farm is scheduled to follow shortly thereafter. Statewide electric cooperatives have provided financial and technical support for 44 wind turbines in local areas, with a capacity to generate at least 38 megawatts of power. Iowa's electric cooperatives are currently partnered in 12 wind farms throughout Iowa and surrounding states. These wind farms have the ability to produce over 296 megawatts of electricity, enough to power roughly 52,000 homes. It should be noted that while wind energy will play an important part of our energy future, it has its limitations. Wind energy is more expensive but subsidies do help. Wind energy must also be backed up with other sources since it is reliable 40% of the time, even in North West Iowa.
The proposals currently before the Iowa Legislature place unnecessary and costly mandates on electric consumers, including members of electric cooperatives. These bills are not necessary and have the potential to have unintended, adverse affects on Iowa consumers and the economy. The Legislature should instead consider offering incentives, tax credits and rebates. Improved building codes that result in more efficient buildings need to be a part of the solution as well. Our Legislators need our support and they need encouragement to use caution in moving forward with legislation that sounds good, but doesn't fully consider the financial impact on consumers and limits to existing technology.
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