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Environment & Energy Issues 2005-2006

Environment & Energy Issues 2005-2006. Presentation by: Vince Griffin, REHS, MPA Vice President, Energy and Environmental Policy Indiana Chamber of Commerce. August 22, 1787 – Delaware River John Fitch and the Constitutional Convention Forty-five foot steamboat. Legislation.

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Environment & Energy Issues 2005-2006

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  1. Environment & Energy Issues 2005-2006 Presentation by: Vince Griffin, REHS, MPA Vice President, Energy and Environmental Policy Indiana Chamber of Commerce

  2. August 22, 1787 – Delaware River • John Fitch and the Constitutional Convention • Forty-five foot steamboat

  3. Legislation 2005 Session Key Points • UST $ • Brownfields

  4. Legislation 2005 Session continued… • Wetlands • Clean Water Indiana • CSO/NPDES variances

  5. Legislation 2005 Session continued… • VX bill • Biodiesel • Ethanol • Coal gasification

  6. Legislation 2006 Session Key Points • No More Stringent Than • Waste Tire Fee • Wetlands • Mercury switches in cars/recycling • Outdoor Wood Burning Furnaces (OWF) “NMST”

  7. Regulatory How’s IDEM doing? • Carrot vs. Stick • Performance Track Vs.

  8. Regulatory Water Issues • Annex 2001/ Great Lakes Water Use Plan

  9. Past Actions Taken and Challenges Facing the Great Lakes Basin • 1985 – Great Lakes Charter Uneven implementation by State • 1986 – U.S. federal statute (WRDA) Diversions only, no standard • 1998 – Nova Group proposal

  10. Past Actions Taken and Challenges Facing the Great Lakes Basin • 1999 – Recurring lower lake levels • 2000 – WRDA amendment • 2000 – IJC report • 1992-2002 – Canadian federal and provincial bans on diversions

  11. The Historic Measure • October 1999: Great Lakes Governors’ and Premiers’ commitment • June 18, 2001: Governors and Premiers came together in Niagara Falls • All 10 signed the Great Lakes Charter Annex 2001 • To update the way Great Lakes Basin water will be managed • To protect, conserve, restore and improve the Great Lakes Basin for future generations

  12. Draft Annex Implementation Documents • Released on July 19, 2004 • Public review period • 30+ public meetings in the region • 10,000+ comments received • Substantial revisions have been made based on comments

  13. Regulatory Water Issues continued… • Drought Plan • Indiana’s future water resources • Clean Water Indiana

  14. Regulatory Air Issues • Ozone-attainment/nonattainment • PM 2.5

  15. Energy: Crisis or Comfort???

  16. U.S. Energy Mix U.S. Average Price 6.8¢

  17. Indiana Energy Mix Indiana Price 5.5¢

  18. Ohio Energy Mix Ohio Price 6.4¢

  19. Kentucky Energy Mix Kentucky Price 4.2¢

  20. Pennsylvania Energy Mix Pennsylvania Price 7.7¢

  21. Michigan Energy Mix Michigan Price 7.2¢

  22. Indiana Energy Facts • Adequate, reliable, cost-effective supply of electricity – - Historically, an Indiana business draw - Need state policy promoting - Incentives • Electricity is: - Hard to store - Produced as needed - Travels at 186,000 miles/second

  23. Indiana Energy Facts • Customers want it instantly without restrictions – no busy signals allowed • Indiana needs 17,000 MW of power at peak demand; can generate 20,000 MW • Today’s reserve margin = 10% to 12% and dropping; was 30% in 1985

  24. Indiana Energy Facts • Last Indiana base load power plant in early 1980’s; California was 1985 • Indiana annual load growth is 1-3%; California is 10% • By 2016 will need an ADDITIONAL 7000MW; That is more than 1/3 of our current generating capacity in 15 years!

  25. Indiana Energy Facts • It takes about 5 to 15 years to build a base load power plant • U.S. Coal reserves = 300 years; Indiana Coal reserves = 500 years; Oil and Gas reserves worldwide = 50 to 90 years • The use of coal to produce electricity has increased three fold since 1970 while the pollutants coming from that coal burning has decreased35%.

  26. Indiana Energy Facts • Over Next 20 Years: • U.S./Oil Consumption 33% • N.G. Consumption 50% • Elec. Consumption 45% = 1500 New Plants

  27. Indiana Energy Facts • U.S. oil production 40% less than1970 • Since 1973 U.S. economy 126% • Since 1973 U.S. energy use 30%

  28. Indiana Energy Facts • Indiana is the #2 consumer of coal in the nation (Texas is #1) • Indiana mines 35 million tons/year • Indiana uses 50 million tons/year

  29. Elements of Indiana’s Energy Supply • Adequate • Reliable • Cost Effective

  30. Supply and Demand

  31. SUFG’s 1999 Competitive Model Exogenous imports and exports assumed for MAPP, SPP, TVA, VP and PJM

  32. Indiana Chamber of Commerce Energy Leadership Elements • A diversified fuel mix including clean coal technologies, natural gas, nuclear and renewable energy sources • Investment in new energy technologies • such as the fuel cell • Assessment of our electric power infrastructure, including transmission and distribution capabilities

  33. Indiana Chamber of Commerce Energy Leadership Elements • Sensible regulatory controls that promote • the responsible building of new electric • power stations • Energy efficiency and conservation

  34. Waste Tires – Not Just a Burning Issue in Indiana!

  35. Indiana produces 6,000,000 waste tires per year If stacked end-to-end, that would surround the earth in less than 10 years!!

  36. 10 Million in known dump sites in Indiana • It costs Indiana $1.42/tire in a dump clean up – and that is rising • Atwood facility cost the state over $3 million to clean up • 300 Million in US dump sites • US EPA goal is to clean up 55% by 2008

  37. Why a problem? • Pests – mosquito breeding ground • West Nile virus (one death in Indiana this year) • Dengue fever • Encephalitis • Fires • Difficult to extinguish • Toxic air emissions • Polycyclic aromatic hydrocarbons, dioxin, benzene, PCDFs, styrene, butadiene and phenols • Runoff from Site • Contaminated area difficult to clean up

  38. How CAN waste tires be used? • Tire derived from fuel (TDF) (US>40%) • More BTU’s than coal • Cleaner than most coal • Can be burned whole or chipped • Civil Engineering (14%) • Septic systems • Drainage systems • Road construction • Landfills • Replace clay, soil, aggregate

  39. How CAN waste tires be used? • Ground Rubber (12%) • Playgrounds • Athletic fields • Horse arenas • Mats • Tiles • Bricks • Agricultural and horticultural applications • Guard rails • Dock bumpers

  40. What is happening in Indiana?Virtually nothing in a beneficial way!!

  41. What can be done in Indiana? • Create an incentive program. • Increase the current 25 cents/tire fee to at least $1 • Legislation to establish the program • Work with IDEM and the Department of Commerce • Recycling and Energy Development Board

  42. What IS being done? • Lehigh Cement in Mitchell • 4 million kiln modification • Accept whole tires • Save natural resources • Supplemental fuel • Cleaner emissions • Help an Indiana industry

  43. What can you do?Plenty! • Identify the “tire problem” in your community • Communicate with your legislators – NOW!! • Tell them that there is a public and environmental health problem that is hurting their constituents and community • Tell them that THEY can do something about it • Tell them what to do – • Increase the waste tire fee to $1 • Pass legislation creating an incentive program

  44. Contacting Your State Legislator Your Voice is Critical

  45. There’s NO Replacing Your Own Personal Involvement • Each legislative session, hundreds of proposals are introduced that can potentially impact how you operate your business. • As an Indiana Chamber member, you have access to all our resources. • By understanding the legislative process and holding your legislators accountable for their actions, you can affect the outcome.

  46. Identify and Contact Your Legislators • If you aren’t sure who your state representative and state senator are, visit the “grassroots” section of www.indianachamber.com • Phone numbers: • House (317) 232-9600 or (800) 382-9842 • Senate (317) 232-9400 or (800) 382-9467

  47. Other Ways to Contact Your Legislators Mail Legislators Name Indiana House of Representatives or Indiana Senate Statehouse 200 W. Washington St. Indianapolis, IN 46204 * When writing to your state legislators, the proper salutations are “Dear Senator_______” and “Dear Representative_______” respectively.

  48. Other Ways to Contact Your Legislators E-Mail • Visit the “grassroots” section of www.indianachamber.com for legislators’ addresses. • While e-mail can be a quick form of communication, be aware that the high volume of such messages and legislator preferences for other forms of communication may hinder effectiveness.

  49. Other Ways to Contact Your Legislators In Person • Most legislators participate in community forums, often hosted by local chambers, to talk about pending and future legislation. • Or, contact your legislator’s office to set up a personal visit. * Ask about our legislative directories the Indiana Chamber updates and sells annually!

  50. Procedures to Follow • If possible, refer to the bill number of the legislation in which you are interested. • Be clear and concise in explaining how the proposed legislation affects your business and why you support or oppose. • Request your legislator take a specific action by telling him or her what outcome you seek. • Discuss only one issue per call/e-mail/letter and ask the legislator to specify his or her position on the issue.

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