A message from Dick DeVos

Received this in my email;

Dear Friends: I recently gave a presentation, “Powering Michigan Forward”, at Ferris State University to the Michigan Energy Conference. Given the debate in Lansing on utilities and renewable energy, I thought you might enjoy some thoughts from the speech. Michigan can’t afford to waste time or energy chasing the latest trendy idea. We need to stay grounded on scientific fact and economic reality with a dose of Midwestern common sense. For example, we have been hearing lately that revving up the renewable energy industry is the key to turning Michigan’s economy around What I would argue is just the opposite - turning Michigan’s business environment around is the key to revving up the renewable energy industry. Turning Michigan’s business environment around means making the tough decisions to reduce spending and taxes, lowering the barrier to investment and job creation. Turning Michigan’s business environment around means clear and timely regulations that reduce uncertainty, so companies can make decisions knowing the goalposts won’t be moved in the middle of the game. Turning Michigan’s business environment around means building on the strengths of industries like automaking and furniture building that already call Michigan home, while we also seek out new business opportunities. Turning Michigan’s business environment around means looking for ways to reduce electric bills for families and job providers instead of raising them. Turning Michigan’s business environment around means fixing our roads so that people can make it to work and our Michigan manufactured products can make it to market. The challenge we face is being good stewards of both our economy and our ecology. Both are critical to meeting basic human needs. Energy policy is one key way in which these dual stewardship roles are linked. For example, some folks in Washington seem willing to sacrifice the health of our Michigan-based automakers for the sake of improving fuel economy. Certainly, we need to reduce our dependence on oil in general and foreign oil specifically. But in so doing, we must not put the U.S.-based auto industry and the thousands of jobs they provide at a competitive disadvantage. My message to you this evening is that a sound energy policy for Michigan is critical to answering these questions and powering our economy forward. That’s why it is so important that we take a step back at the State Capitol and not rush into a risky, untested approach that stifles competition, reduces consumer protection and replaces market forces with monopoly power. The end result will clearly be higher costs than other state competitors and even higher unemployment. A sound energy approach must also be balanced. A sound energy approach must get regulations right for the long term. A sound energy policy will give investors the assurance that Michigan is a place where their investments will provide a stable, reasonable return over time. Here is a framework that provides the structure for a sound energy policy that also allows the flexibility needed to adjust as markets and technology change. · Create an environment conducive to investment. Investors aren’t afraid of risk, but they are afraid of uncertainty. Rules must be clear, simple and consistent. · Develop an independent, integrated assessment and planning process to estimate Michigan’s power needs for the next quarter century. · Make replacement of aging power generation facilities a priority. · Set a level playing field so all sources and suppliers of energy can compete without picking winners and losers. · Protect and continue to expand customer choice. · Include creative ideas such as renaissance energy zones like the Great Lakes Energy Research Park. These instruments should be available to all interested parties and not controlled by the incumbent utilities. · Offer tax credits to encourage development of clean and renewable energy plants. · Provide tax credits for investments in energy efficient equipment, construction of energy efficient buildings or retrofitting of old building to improve energy efficiency. · Provide incentives for utility companies to purchase electricity from clean sources. · Require a competitive bid process for new power plants without burdening ratepayers for unneeded capacity, poor management decisions, faulty planning and cost overruns. · Streamline the regulatory process, especially for renewable and clean power projects. · Target renewable energy companies for tax incentives and other inducements to locate their manufacturing in Michigan. · Implement a proactive transmission infrastructure policy to encourage renewable investment. · Set clear, realistic and attainable goals for renewable power, not mandates. · Push Washington to address waste storage issues and to encourage development of clean, reliable nuclear capacity. · Include net metering without restrictions on size so that individual homeowners, businesses and farmers have an incentive to invest in technologies to generate electricity they can sell back to the grid. · Do not rely on public funding. · And finally, continue to create a diversified portfolio that reduces dependence on expensive “peak load” power sources while allowing for competitively priced power to flow into the state as needed. These are just some of the thoughts from the speech. The entire speech and presentation are attached for you to view. Betsy and I wish you a Spring filled with warm weather and happy holidays. Sincerely, Dick DeVos http://www.devosforgovernor.com/media/pdf/DVEnergyPresentation.pdf http://www.devosforgovernor.com/media/pdf/DeVosPoweringMichiganForward.pdf