Iowa Citizen Action Network

Renewable Energy For Iowa

Renewable Energy Press Release

Arpil 3, 2003
For immediate release
For more information, contact
Amber Hard, Iowa PIRG (515) 282-4193
Rich Dana, I-RENEW (319) 530-6051
Michelle Kenyon, Iowa SEED Coalition (319) 354-8116

Mid-American Energy Company’s bill passes legislature
- more can be done to ensure renewable energy development

Des Moines-Late yesterday afternoon, the Iowa House and Senate passed a MidAmerican Energy sponsored bill to change renewable energy production in Iowa. Senate Majority leader (Stewart Iverson) and Minority leader (Michael Gronstal) got together to rush legislation through the statehouse which changes Iowa's current law and makes it easier for the states investor-owned utilities to build, own and operate wind farms in Iowa.

This legislation followed quickly on the heels of MidAmerican Energy's plan to build the world's largest land-based wind farm here in Iowa. According to the plan, it will be a 310-megawatt facility which could power as many as 85,000 homes with clean energy produced right here in Iowa. "As long-time supporters of renewable energy in Iowa, we welcomed MidAmerican's announcement," said Michelle Kenyon, coordinator of the Iowa SEED coalition. "However, we have major concerns about the legislation MidAmerican claimed to need in order to build it."

"The result of this bill could be little to no net gain in renewable energy or economic development in Iowa," said Amber Hard, Advocate for Iowa Public Interest Research Group, Iowa PIRG. "The Legislature has just given MidAmerican the green light to not renew their existing wind energy purchases once they build their wind farm. That means that their net wind energy production would increase only slightly, while locally owned and operated wind farms are left high and dry. Profits from wind energy development would be sapped from local communities and go into MidAmerican's pocket."

The political power and influence of MidAmerican is undeniable, as is the need for more clean, renewable energy. Rep. Mary Lundby (R, Marion) offered an amendment to this bill that would have required a portion of wind energy production to come from locally owned facilities. It was narrowly defeated, due to strong lobbying efforts by MidAmerican.

"Mid American Energy has a long record of fighting any attempt to require them to assist in the growth of Iowa's wind energy business," added Rich Dana, Director of IRENEW. "They have fought (and lost) against Iowa's 1983 law requiring them to purchase locally produced renewable energy, and they fought (and lost) against Iowa's net metering law requiring them to buy power from customers with renewable energy systems that they wished to connect to the grid."

Despite their efforts, Iowa's renewable energy standard helped create a market and other developers jumped in and did the heavy lifting, building the industry that is now proving that wind energy can be competitive with fossil fuels. "Now that the hard work is done," said Dana, "MidAmerican wants to run in and corner the market, and their friends in the statehouse have given them that power."

“The Iowa Legislature still has the opportunity to spearhead a market for renewable energy by passing SF 117,” added Michelle Kenyon, Iowa SEED coalition coordinator. "Senate File 117 would increase the state’s renewable energy standard, the amount of energy utilities purchase or generate, to 10% by 2010. Plus it would require that 20% of the standard come from locally owned, small scale renewable energy projects.”

Mid-American has opposed Senate File 117, which according to their proposal they would easily comply with through 2008 with no increase in rates.

“Now that MidAmerican has gotten what they wanted out of the legislature to capture the market on wind in Iowa, there should be no reason they would fail to support a renewable energy standard of 10% by 2010. Iowans want the assurance that the state will benefit from the development of wind power in Iowa, assurance that is based on more than MidAmerican’s motives for profit,” said Elizabeth Horton Plasket, Executive Director of the Iowa Environmental Council.

Renewable energy is a hot topic this year at the statehouse, and the MidAmerican plan could be an exciting opportunity for our state. "Before our legislators walk away from this session patting themselves on the back for passing MidAmerican's bill, they should finish the job they started and pass an increased standard that will insure that the economic benefits of renewable energy development will go to Iowa's communities, workers and farmers, not solely to MidAmerican Energy," concluded Iowa PIRG's Hard.

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