Clean Energy for Austin was formed solely to endorse the Austin Energy generation plan and Generation Task Force recommendations - a forward-thinking energy plan that is the result of two years of input, discussion, and compromise from members of the public, businesses, and other key stakeholders in the city. On our website you will find this generation plan has the support of Austinites, local businesses, and a range of local non-profits. Their support is for any number of reasons, from the need to keep our rates low to their pride in Austin's continuing technology leadership or their desire for cleaner, healthier air. As you look through our website we encourage you to let City Council know they have your support by signing on to endorse the plan, whether you represent a business, organization or yourself.

In February of 2007 the Austin City Council passed a resolution on the Austin Climate Protection Plan directing the City to take action in a variety of areas, including a plan for the utility to help meet the city's goals. On September 23, 2008 then Mayor Will Wynn and Austin Energy general manager Roger Duncan announced the beginning of a thorough public input process to help the utility develop its 10 year generation plan. This process included input from a number of important Austin stakeholders such as:

• Greater Hispanic Chamber of Commerce
• Austin Black Contractor's Association
• Key and Large Accounts Customers (large customers who negotiate directly with the utility for rates)
• Austin Area Research Organization
• Environmental stakeholders
• Building owners and managers
• Facilities Managers
• Capital City African American Chamber of Commerce
• Home Builders Association board

After listening to Austin citizens, businesses and advocates for eight months, Austin Energy developed a plan that reflected this input and submitted it to the City's Generation Resource Planning Task Force on August 18th, 2009. The Task Force, which had begun deliberating and providing Austin Energy with input in July of 2009, debated the merits of the generation plan for three months. They voted the plan out on November 10th, 2009 and included unanimously approved additional recommendations to ensure consumer protection and develop even more aggressive efficiency and renewable energy goals for the utility.

The following week, both the Resource Management Commission and the Electric Utility Commission voted to approve this generation plan as a solid middle ground between more aggressive and more conservative proposals. Out of a total of 14 members across the two commissions, only a single member voted not to approve the recommendation.

Austin Energy's Generation Plan reflects the deliberative process taken by the city and the utility over the last year and a half. While each capital investment made by Austin Energy over the next 10 years will be subject to approval by City Council, the Generation Plan sets a path for our city and will draw national attention to Austin as a clean technology center. The generation plan takes a strong stand on meeting the city's goals of reliability, affordability and environmental stewardship. The plan includes a goal to increase investment in wind energy and energy efficiency, both of which have saved Austin Energy customers money already. It also includes investment in biomass energy as well as natural gas power plants.

Perhaps the only controversial component of the plan is Austin Energy's plan to grow its commitment to solar power over time, a key component of future business models for many silicon chip manufacturers and hi-tech companies in Austin. It is important to note that some hi-tech companies, recognizing this critical relationship with their future business model, are supporting the generation plan.

In addition to City Council's approval being required for each investment, in its recommendations approved by the EUC and RMC, the Generation Task Force requires the utility to reassess the plan every two years for affordability and environmental stewardship. While each step of the plan over the next 10 years will be subject to numerous public review processes, Austin Energy has laid out a proposed level of investment in each of the key areas mentioned above:

• 800 MW of energy efficiency,
• 300 MW of natural gas, about
• 500 MW of wind
• 50 MW of biomass and approximately
• 170 MW of new solar
• Reducing Austin's reliance on our lone coal plant, Fayette Power Plant, by about 25%

The City of Austin's Generation Resource Planning Task Force recommendations, created by the Task Force in a unanimous vote and approved by the Electric Utility Commission and Resource Management Commission strengthen Austin Energy's Generation Plan in five key ways:

• Setting the highest priority on low rates
• Ensuring the plan has a strong focus on local economic development
• Creating a bi-annual review process
• Increasing the goal for energy efficiency
• Creating a self sustaining 300 MW market for distributed generation in Austin

This last recommendation reflects the goals of the Pecan Street Project, a joint effort by Austin Energy, UT Austin, Environmental Defense Fund, and several local hi-tech firms who see their best hope for future profitability in solar and smart grid technologies. Below is a partial synopsis of the recommendations.

Maintain maximum transparency and public participation in energy resource decisions

• Austin Energy would present major energy resource decisions to appropriate city boards and commissions and to council twice.
• Austin Energy would also provide to the public more information on what makes up different portions of their electric bill.

Re-assess the energy plan every two years to adapt to changing cost, environment, and risk factors

• As the needs of Austin and the costs of energy generation technologies change, Austin Energy must reevaluate its energy plan frequently to respond to those changes. The recommendations require a public reassessment every two years as well as at least two City Council votes for any major new investments in generation technology.

Create a self-sustaining market for local renewable power

• A 300 MW goal for distributed renewable generation, like commercial and residential on-site solar, by 2020 is achievable with the proper mix of utility leadership, rebates, low-interest loans and performance incentives for larger systems and will lower electricity use, saving money.
• Distributed generation will take advantage of economic multipliers and other social benefits by creating businesses that manufacture, operate or manage the assets.

Maintain reliability and quality of the distribution grid

• Routine reporting of information related to grid system reliability
• Austin Energy will continue to ensure that all customers receive the highest level of power quality possible at all times.
• Public workshop on ERCOT market reliability issues shall be held by Austin Energy so that concerned businesses, citizens and policy makers can hear from ERCOT and industry experts to better understand these complex issues in the context of the generation plan.

Consider natural gas and other alternatives if long-term stability in prices emerges

• While natural gas is a carbon-emitting resource, it emits less carbon than coal. If the long-term risk of price fluctuations goes down, and environmental factors are sufficiently minimized, Austin Energy could consider adding more natural gas if it substantially reduces costs.

Increase Austin Energy's energy efficiency goal

• Because projected increases in energy prices will burden the poorest in our community the most, a special effort should be made to extend the free weatherization programs for those Austinites at 200 percent or less than the federal poverty rate, as well as special programs for Austinites between 200 and 400 percent of the federal poverty rate.
• Special attention should be paid to programs for renters who do not have the ability to make certain efficiency upgrades.

NB. Texas's state weatherization program saves Texas families an average of $431 every year from energy savings. Demand reduction through energy efficiency and conservation is one of the best and most affordable ways to meet the growing energy needs of Austin

Assume leadership role in clean energy initiatives

• The Climate Protection Plan requires Austin to be a leader in fighting global warming and Austin Energy to establish its own CO2 cap. The generation plan would reflect this commitment.

NB. As a result of historical leadership Austin Energy and the affiliated programs have recently received $21 million in federal funding for a range of low-income weatherization, green jobs training and clean technology initiatives.

The plan and recommendations would achieve emissions reductions greater than the proposed Waxman-Markey climate bill being debated in Congress.

Special Amendment to the Resource & Climate Protection Plan

• Five members of the Task Force also voted to review the feasibility of reducing dependence on coal by 2020 within two years.

NB. Austin's use of coal-fired power as new ozone, sulfur dioxide, mercury and global warming regulations will increase the cost and risk to customers over the next 10 years.

The Task Force, EUC and RMC recommended that Austin Energy set a target to end reliance on coal by 2020 and produce a report and assessment within two years of how it could achieve this target.

For the full Task Force report, click here.