We’re All in This Together
A new approach to local control of energy generation in Maine
By David Kunhardt
Were you opposed to the Pine Tree Power Initiative because it looked expensive? Were you in favor of the concept of having more local public control of our energy sources, but nervous about the prospect of years of litigation over eminent domain to control energy assets?
Fortunately, there is another option that achieves local control without the cost of acquiring infrastructure. It is legally permissible in Maine already (with one adjustment). It is called Community Choice Energy Aggregation, and it is being used and tested in nine states from California to New Hampshire.
States That Have Authorized Community Choice Energy
- California
- Illinois
- Maryland
- Massachusetts
- New Hampshire
- New Jersey
- New York
- Ohio
- Rhode Island
There are variations of approach, but in over 1,200 communities customers are saving money and sharing in the benefits. In California, where the CCA approach began in 2010, the savings and the advance to greenhouse gas-free energy have been dramatic. In red, blue, and purple states, energy customers benefit from greater flexibility and participation in clean energy decisions.
Maine could be particularly prepared to undertake a community choice energy approach, because most of the twelve utilities that serve Maine customers can already be deemed community choice aggregators of independent energy generation.
CCA Approach
Though some local utilities already own the distribution infrastructure, under the CCA approach, that is not necessary. Nothing will be removed from them, and energy generation is already deregulated for all Maine utilities. Thus, cities or counties within the districts of Versant, CMP, and others could take on the role of contracting for energy generation, while allowing it to be delivered through the utility’s poles and wires. The utilities would continue to issue invoices, but the generation portion of bills would be passed through to the community energy provider instead of to the PUC’s standard offer.
If we were to refocus just on contracting for the generation, no purchase of transmission and distribution infrastructure would be necessary. This way, no large—and disputed—eminent domain purchase is needed. The community power entities could focus on finding and delivering ever cleaner energy sources, while the utilities focus on improving reliability.
Maine would need to adopt legislation permitting communities to choose community power generation on an “opt-out” basis. This is key to success: when state law permits, communities that vote (via town meeting or town council) to join a community power entity, all meters within that jurisdiction would be automatically enrolled for energy generation, unless the customer specifically opts out to stay with the utility or with an independent energy generation contract. Such a law should be non-controversial because the utilities already pass through the generation.
Are you interested in seeing the Community Choice approach in Maine? If so, email your thoughts to: MaineGridWorks@gmail.com.
David Kunhardt volunteers with Citizens’ Climate Lobby – Portland.
