Renewable Energy Or Economic Non-Renewal
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From The Mackinac Center For Public Policy:
Renewable Energy Standard Driving Prices Higher in States, Europe'Green energy' groups push for 25 percent mandate in Michigan
By JACK SPENCER | May 3, 2012
Those backing the Michigan Energy, Michigan Jobs Initiative say states that have mandated of 25 percent renewable energy by 2025 are doing just fine.
Opponents of higher green energy mandates point to studies showing that claim to be disingenuous.
Assuming its backers turn in enough valid petition signatures, the MEMJI, better known as the 25/25 proposal, will be on the statewide ballot in November. If passed, it would require that 25 percent of Michigan's energy be produced by renewable sources by 2025.
Those who tout the 25/25 proposal say that the higher requirement, called a Renewable Portfolio Standard, would create jobs and result in only minimal rate increases.
European nations aggressively pursued higher renewable mandates nearly a decade earlier than most U.S. states. Most did not suffer economically in the first few years after the mandates were put in place.
However, as the amount of mandated renewable sources (particularly wind and solar) increased, the European quotas began running headlong into economic realities.
Recent headlines have referred to these mandates as "destroying” the economy and "turning into a real horror story.”
Closer to home, less than five years since passing its own 25/25 mandate, Minnesota, is seeing negative effects. According to the Minnesota Rural Electric Association, the forced use of renewable energy cost rural electric ratepayers more than $70 million last year. [complete article]Meanwhile in Europe where this "Green" program is in full display...via Benny Peiser:
€175 Billion Bombshell: Germany’s Green Energy Policy To Hit Households HardThursday, 03 May 2012 09:11 Jurgen Flauger, Handelsblatt
The switch to renewable energy could require more financial sacrifices than previously thought. According to a new study, the green energy transition could cost German consumers up to 60 percent more by 2020 compared to 2011. Overall, the renewables costs may total 175 billion Euros by 2020.
A new study suggests that the green energy transition will make electricity significantly more expensive. By 2020, electricity consumers will have to forfeit 21.5 billion Euros in costs caused by the transition to renewable energies. This has been calculated by the energy experts at McKinsey in a recent study. That is 60 percent more than the 13.5 billion Euros consumers had to pay for renewables last year.
McKinsey has also calculated what effect the transition to renewable energy sources will have on the electricity prices. The costs include the difference between the high prices, which are paid for electricity generated by wind and solar power plants based on the Renewable Energy Sources Act (EEG), and the price of electricity at the power exchange. Factored in too are the higher network charges which will finance the additional power lines required. Overall, the renewables cost totals 175 billion Euros between 2011 and 2020, according to the study.
"The financial burden due to the energy revolution is enormous," says McKinsey expert Thomas Vahlenkamp, "the main burden will be borne by households." For them, the electricity price per kilowatt-hour is forecast to climb from 25.9 cents in 2011 to 29.0 cent in 2020. [...]
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