The Opportunity
To compete in the 21st Century, Michigan must look forward and power up a new economy.
The demand for technologies and products that reduce our dependence on foreign oil and our global warming pollution is growing exponentially. With our manufacturing infrastructure, skilled workforce and outstanding research universities, Michigan is poised to prosper by meeting that demand.
According to the Renewable Energy Policy Project, Michigan ranks 7th in the nation in its potential to manufacture components used in renewable power systems (wind, solar, etc.). If our state and nation invest in renewable energy, Michigan could attract 35,000 new jobs and $5.53 billion in capital in that sector alone.
Forward-looking public policies on energy efficiency and renewable power can turn Michigan's green economic potential into gold.
The Challenge
Some of the most powerful players in Lansing and Washington, DC are defending our dirty, outdated energy system with all the political muscle they can muster.
The utilities, fossil fuel producers, and to some degree our automakers, are among the biggest obstacles to progress. Poll after poll show overwhelming majorities -- across political divides -- support major change on energy policy. To reienforce this support, MEC is rallying a broad coalition of environmental, business, consumer, faith and public health leaders. Michigan-based companies that produce energy efficient products, such as Guardian Industries (glass), Dow (insulation), and Whirlpool (appliances), are among MEC's partners in calling for reforms.
While much remains to be done, MEC's effective advocacy is helping to tip the balance of power and inspire state leaders to lift Michigan onto the crest of the clean energy wave.
Solutions Achieved in 2007
- Renewable Energy & Efficiency Promotion
Working with its allies, MEC worked hard behind the scenes in 2006 to steer a new state energy policy toward clean, renewable power and efficiencies. The hard work paid off in early 2007, when the governor received recommendations from the Public Service Commissions that included a 10 percent renewable energy requirement for electric utilities by 2015 and at least $68 million to promote energy efficiencies annually. MEC also advocated continually for the passage of a strong package of energy legislation (see below for specific bill summaries).
- Automobile Industry
Through continuing work with National Environmental Trust and other allies, MEC successfully advocated for the passage of the National Energy Independence and Security Act of 2007. This historic bill included an increase in the Corporate Average Fuel Economy (CAFÉ) standards for American cars, requiring them to achieve 35 MPG by 2020. This bill was supported by Michigan legislators Senator Levin and Congressman Dingell, who were vital in achieving a compromise which works with Michigan automakers to revitalize the industry while ensuring cleaner air and lower emissions for America and the world.
- Impact at the Capitols
MEC continued meeting with key policymakers, including Congressman John Dingell, Senator Carl Levin, Gov. Granholm’s key aides, and Michigan Department of Environmental Quality Director Steve Chester, to keep energy concerns on the forefront of their minds.
- Michigan’s Budget Crisis
Unfortunately, although public sentiment overwhelmingly supports increasing our supply of alternative energy, which would provide critical support to the Michigan manufacturing sector and decrease our out-of-state spending on energy costs, the Michigan Legislature was unable to pass vital legislation on this topic in 2007, primarily because of the extended budget negotiations which occurred twice last year. Thus, although MEC and its coalition members advocated for a strong energy package and continually educated legislators on the need and demand for clean energy and a long range energy plan for Michigan, the passage of the bills has been delayed until 2008.
Goals for 2008
- Urge policymakers to increase the proposed “10 percent by 2015” renewable energy standard to “20 percent by 2020.”
Ensure the definitions of renewable energy guarantee the maximum amount of “green” power possible.
- Urge policymakers to pass a long-term energy plan which ensures that Michigan ratepayers are protected from unnecessary costs of new power plants, where clean energy alternatives may be available at a lower price. Decision must take into account all costs associated with supplying energy, including carbon costs, health costs, environmental costs, and employment costs, as well as direct out-of-pocket ones. An “integrated resource plan” ensures that Michigan invests in alternative energy technologies which can provide Michigan manufacturers with clean energy jobs as well as new sources of power for our markets.
- Update commercial and residential building codes and energy efficiency standards for appliances used every day in homes and businesses.
- Advocate with Michigan’s federal delegation for a strong federal cap and trade system for greenhouse gases which ensures significant emission-reduction impacts. This must be paired with an aggressive timeframe which fulfills the recommendations of the International Panel on Climate Change to cut global emissions 80% by 2050.
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