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Understanding the Issues

When people think of rural Indiana, they tend to think of rolling hillsides and sprawling cornfields – a place abundant in fresh air. Unfortunately, that isn’t an accurate picture. In fact, Indiana has some of the dirtiest air in all of America. And we have our fossil fuel dependency to thank for it.

We’ve long been a coal-dependent state. Even today, 96 percent of Indiana’s power plants are powered by coal. The upshot? Nationally, on a per capita basis, we’re ranked second in nitrogen oxide emissions, third in sulfur dioxide emissions, fifth in mercury emissions and seventh in carbon dioxide emissions.

You can’t see or even smell it in the air, but coal’s deleterious effects are impossible to miss when viewing national health statistics. Hoosiers now have the fifth highest risk of premature death from pollution.

The coal-fired plants that produce most of our electricity don’t even save Hoosiers money. To wit: the emerging Edwardsport advanced coal facility, which likely will not not have any controls for greenhouse gas emissions when it begins power production, will cost at least $2.3 billion to build – and we all help foot the bill.

With the proper investment in energy conservation, energy efficiency, distributed generation, combined heat and power technologies, and commercial-scale renewable energy resources, Indiana can meet future electricity demand at a lesser cost both to our pocketbooks and our health than our current approach.

Unfortunately, the entities that provide our electricity are largely sticking with coal as a source of energy.  Now they’re championing something called “clean coal technology.” While it does reduce various types of air emissions, it fails to address other harmful aspects of the coal cycle, such as mining, transportation and power plant waste. In the end, it’s still too high a price to pay when other options are available, practical and affordable.

Soon, the price for our coal-dependency will be even higher. Because of expected federal carbon legislation, Indiana coal-burning companies will have to pay even more due to their high level of emissions. And those costs will be passed on to all Hoosiers. It’s time for Indiana to invest in clean energy sources at a much faster pace than planned. It’s the smart choice – for both our bodies and our bank accounts.
Below are four state-level policies that, if adopted, would move Indiana in the right direction of rapid clean energy technology development:

Renewable Electricity Standard
Indiana Clean Energy Financing
The major obstacle for property owners to invest in energy efficiency improvements and renewable energy systems is the lack of upfront capital.  An Indiana Clean Energy Financing Bill addresses this problem by authorizing cities and counties to issue dedicated bonds that provide the upfront capital for property owners who willingly and voluntarily seek to make those clean energy purchases. As a result, property owners begin instantly saving money on their energy bills. Property owners pay back these assessments as line items on their property tax bills.   Learn more about Indiana Clean Energy Financing.

A renewable electricity standard would require utilities companies to generate a portion of their electricity from a combination of renewable energy resources and energy efficiency.  An RES would promote job growth through new investments by renewable electricity companies. Additional jobs would be created through the re-tooling of existing Hoosier businesses to produce renewable energy components, as well as through maintaining, installing, and marketing these technologies.  Indiana is the only state in the Upper Midwest without an RES, and is losing out to significant national and international investment as a result.

Net metering
Net metering is a billing agreement with your electric utility; it enables businesses and homeowners to generate their own electricity and get credit on their monthly bills when they return any excess power to the electric grid.  This on-site customer generation is commonly known as distributed generation, since electricity production is located among the electricity consumers, instead of at a central power plant.  When the renewable energy system generates more electricity than the customer is using, the meter literally runs backwards, off-setting the electricity that is provided to the customer by its local utility, and lowering electric bills for customers who generate their own power.

Green Building Standard
A green building standard requires new or renovated public buildings in Indiana to be certified using one of several recognized environmental certification systems for buildings, such as the LEED (Leadership in Energy and Environmental Design) and Green Globes.  These rating systems encourage building design and construction that use high efficiency lighting, windows, heating and cooling systems, and that use sustainably-produced and non-toxic building materials.   Buildings are major energy consumers, using 72% of the electricity produced in the U.S.  Green building practices are proven to save energy, reduce operating costs, conserve natural resources, and make office environments healthier and more productive for the employees using them.

Energy Efficiency Building Code
Energy efficiency building codes establish energy efficiency standards for residential and commercial buildings, thereby setting a minimum level of energy efficiency and locking in the energy savings at the time of new construction or renovation. Codes typically specify requirements for “thermal resistance” in the building shell and windows, minimum air leakage, and minimum heating and cooling equipment efficiencies.  These certifications include ASHRAE (American Society of Heating, Refrigerating, and Air-Conditioning Engineers) and the international Energy Conservation Code (IECC).