07/09/2007 Council Packet - Laserfiche WebLink

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continually update Minnesota's sustainable building designs guidelines and performance benchmarks that were established in 2001. Implementation of this legislation could result in a 24% reduction in carbon dioxide levels in 2025 from projected levels. When combined with the Renewable Energy Standard, these two bills could result in a 42% carbon dioxide emissions reduction. This legislation will help save customers money on their energy bills by reducing the cost of electricity. According to a study done by the American Council for an Energy Efficient Economy (ACEEE), a 1% reduction in energy use throughout the Midwest could result in a 13% reduction in energy prices. Additionally, a one dollar investment in energy efficiency has been shown to return three dollars of direct economic benefit and six dollars in indirect economic benefit. Global Warming The Legislature passed the Global Warming Mitigation. Act which set a goal of an 80% reduction in greenhouse gas emissions from 2005 levels by the year 2050. The bill also asked the Department of Commerce and other agencies to develop a plan with a broad - based stakeholder group in order to determine how to best reduce greenhouse gas emissions across all sectors in Minnesota, and to attempt to work with other Midwest states in order to develop a regional approach to reduce emissions. This stakeholder group is already underway and is being led by the Center for Climate Strategies. The group is required to report its plan to the Legislature by February 1, 2008. This legislation also stated that if a plan to reduce greenhouse gas emissions is not enacted by the end of the 2009 Legislative Session, no new power plant will be allowed to be built unless the utility has a way to sequester or offset the new greenhouse gas emissions in a way that is "permanent, quantifiable, verifiable, enforceable, and would not have otherwise occurred." This requirement would not apply to peaking or ethanol plants, transmission lines, a plant that the Public Utilities Commission and Legislature determines is essential for the long -term reliability of Minnesota's power system or energy costs, and several proposed power and industrial facilities which are currently being reviewed by the PUC. Cellulosic Ethanol Minnesota's ethanol industry was built on a process which turns kernels of corn into fuel. As the industry grows, there is increased concern about whether the state's corn- growing capacity can keep up with demand. Legislation has been passed to encourage the development of Minnesota's ethanol industry, as well as study the economic and technical viability of the future of ethanol in the state. $1.4 million has been appropriated to conduct several feasibility studies across Minnesota. Also included in this year's legislation is the Next Generation Board. The Next Generation Board will examine the future of fuels, develop equity grant programs to assist locally -owned facilities, study the proper role of the state in creating financing and investing and providing incentives, evaluate how state and federal programs, including the Farm Bill, can best work together and leverage resources, and work with other entities and committees to develop a clean energy program. Our addiction to foreign oil will not end overnight, but with planned and studied investments Minnesota will move forward and continue to be a leader in ethanol production. State Senator Sandy Rummel 323 State Capitol, St. Paul, MN 55155 - (651) 296 -1253 - sen.sandy.rummel @senate.mn