Two Sides to Energy Legislation in Maryland

Two Sides to Energy Legislation in Maryland

As I write this, another legislative session in Annapolis is drawing to a close. Two bills that emerged in this session illustrate the right way and the wrong way to handle energy related legislation. The fact that both bills were supported by Governor O'Malley is perhaps a curious case of an Administration with multiple personalities, or maybe just a case of politics trumping reason. In either event, I'm thrilled to see both the Global Warming Solutions Act (GWSA) become law and the electricity Re-Regulation bill defeated.

The GWSA, championed by House Majority Leader Kumar Barve (D - Rockville), is a progressive piece of legislation that puts Maryland at the forefront of efforts to address the very real danger of unchecked greenhouse gas emissions. The bill puts Maryland on course to dramatically reduce our carbon footprint as a state. It was crafted over the course of two years. The Department of Environment, under the leadership of Secretary Shari Wilson, led a process that brought in any interested stakeholders to come to consensus on the bill. Opponents of the bill, including labor unions and Maryland's remaining industrial manufacturers, had a fair chance to provide input on the legislation. In the end, Ms. Wilson was able to craft a compromise that change opponents into proponents while preserving the integrity of the bill. The end result is a bill that pleases the environmental community, labor unions, manufacturers and many others. Clean Currents was proud to be a supporter of this historic bill.

Contrast that with the botched attempt to end customer choice for electricity in Maryland. The so-called Re-Regulation bill (a misnomer because electricity is already regulated in our state) was hoisted upon the General Assembly in what appeared to be a hastily crafted attempt to score some political points on the anger many people feel over rising energy costs. The bill was introduced without any consultation with the solar energy industry or the major wind developers in Maryland. No environmental groups were brought on board. Instead, a bizaro world coalition of groups were brought together to support the bill. MaryPIRG, a consumer rights group, supported the bill because they said they thought it would prevent a new nuclear plant from being built, yet the chief sponsor of the bill talked about the bill being a main vehicle to build new power plants. AARP and the seemingly directionless Progressive Maryland supported the bill because they said it would lower electricity prices, yet the Chairman of the Public Service Commission said it would do no such thing. The Governor supported the bill, claiming it would be good for renewable energy. Yet the renewable energy industry came out against the bill, forcing the Governor to exempt wind power from the legislation.

Interested parties were not brought into the process until the very last moment, after the bill was already introduced. Confusion ran rampant among legislators, causing some to vote for this ill-conceived bill without really understanding it. Progressive legislators like Sen. Mike Lennet (D- Silver Spring), for example, voted for the bill despite opposition from his own constituents, clean energy companies (including Clean Currents), concern from environmental advocates, and no evidence whatsover that the bill would do anything positive for ratepayers. Others, like Sen. Rob Garagiola (D- Potomac) opposed the bill because they understood its promises did not match its reality. One of the original sponsors of the bill, Delegate Herman Taylor (D- Olney), a man on the Economic Matters Committee that would decide the fate of the bill was brushed aside by the Governor in favor of Delegate Jeff Waldstreicher (D- Bethesda), a well meaning freshman Delegate who has no real experience in electricity legislation.

All this confusion, total lack of consensus, and poor handling of the issue, doomed the Re-Regulation bill. The Governor seemed to be genuinely surprised by the opposition to his bill from the clean energy sector and the serious concerns expressed by environmental activists. That's unfortunate. Because while one part of his administration showed amazing leadership and vision in bringing all stakeholders together for the Global Warming Solutions Act, another part of his administration did just the opposite with the Re-Regulation bill. The Governor should use the interim to follow the path set by Ms. Wilson and Majority Leader Barve. Bring together interested parties, discuss the goals the Governor is trying to achieve, and forge a consensus. We all want a secure energy future in Maryland, so it shouldn't be impossible to find a means to get there.