Floridas Energy Plan

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• Floridas Energy Plan

Farm to Fuel September 1, 2006
Allan Guyet, Director Florida Energy
Office Department of Environmental Protection
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Why Florida Needs an Energy Plan

• Floridas economy and quality of life depend on a
  secure, adequate and reliable supply of energy.
  As the fourth most populous state, Florida ranks
  third nationally in total energy consumption.

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Florida Energy Plan

• On November 10, 2005, Governor Jeb Bush issued
  Executive Order 05-241.
• The Order directed the Department of
  Environmental Protection (DEP) to develop
  recommendations for a statewide energy plan by
  January 17, 2005.
• The DEP explored options for
• Diversifying Floridas electric generation
  capacity
• Increasing and diversifying transportation fuel
  supplies and
• Increasing the States conservation and
  efficiency initiatives.

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Florida Energy Forum

• On December 14, 2005, the DEP hosted the 2005
  Florida Energy Forum in Tallahassee.
• Led by Secretary Colleen M. Castille, the forum
  consisted of panel participants representing
• Florida Public Service Commission
• United States Department of Energy
• Utility Companies
• Fuel Companies
• Alternative and Renewable Energy Experts
• Businesses
• Florida Legislature
• Environmental Community

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2006 Florida Energy Plan

• On January 17, 2006, the DEP submitted
  recommendations to Governor Jeb Bush regarding
  Floridas energy future.
• On February 2, 2006, Governor Bush released
  substantive and budget recommendations regarding
  Floridas Energy Future.
• The recommendations surround two energy areas
• Electric Power Generation
• Transportation Fuels

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Electric Power Generation Recommendations

• Recommendations included
• Streamline and expedite the siting and permitting
  of generation resources by revising the
  provisions of the Florida Electrical Power Plant
  Siting Act.
• Streamline and expedite the siting and permitting
  of electric transmission and distribution
  resources by revising the provisions of the
  Florida Electrical Transmission Line Siting Act.
• Promote fuel diversity, fuel supply reliability
  and energy security.
• Facilitate additional fuel delivery mechanisms in
  Florida for power generation. Expedite all State
  permits required for the redundancies and
  increased capacity.

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Electric Power Generation (cont.)

• Adopt updated interconnection standards to
  include all distributed generation technologies.
• Establish an energy council to provide policy
  advice and counsel to the Governor, Speaker of
  the House and Senate President.
• Expedite State performance contracting with
  Energy Service Companies.
• Promote awareness of energy conservation and
  alternative energy technologies.
• Use discretionary enforcement authority to allow
  approved alternative energy projects that provide
  a greater public benefit in lieu of civil
  monetary penalties.
• Require all new State government building
  construction to meet the U.S. Green Building
  Councils Leadership in Environmental Design
  standards.

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Electric Power Generation (cont.)

• Provide grant funding for research and
  demonstration projects associated with the
  development and implementation of renewable
  energy systems. Expand solar, hydrogen, biomass,
  wind, ocean current and other emerging
  technologies.
• Identify alternative energy production and
  distribution industries as Qualified Target
  Industries.
• Provide consumer and commercial rebates to assist
  with initial cost of solar technology
  installations on residential and commercial
  buildings.
• Provide consumer rebates for purchases of ENERGY
  STAR appliances.
• Provide sales and corporate tax incentives for
  the manufacture, purchase and use of fuel cells
  for supplemental and backup power.

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Transportation Fuel Recommendations

• Recommendations included
• Facilitate additional and diverse petroleum
  supply and distribution mechanisms into and
  within Florida. Expedite State permits required
  for the redundancies and increased capacity.
• Encourage fueling stations to cooperatively adopt
  a system modeled after the Florida WARN System to
  facilitate the relocation and use of generators
  to reestablish service.
• Foster state-local partnerships to encourage
  well-designed transportation and transit systems
  between established communities and within new
  community development.
• Raise public awareness for alternative fuel
  vehicles through public programs. Encourage
  public entities, including school districts and
  local governments, to use biofuels in fleets.

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Transportation Fuels (cont.)

• Provide grants for applied research and
  demonstration projects associated with the
  development and implementation of alternative
  fuel vehicles and emerging technologies.
• Provide sales and corporate income tax credits
  for hydrogen vehicles and fueling infrastructure.
• Provide tax incentives to improve production,
  develop distribution infrastructure and increase
  availability of clean fuels, including biodiesel
  and ethanol.

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• Senate Bill 888

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Renewable Energy Technology Grant Program

• This is a grant program administered by DEP for
  the development of renewable energy technology to
  help bring next generation technologies closer to
  the market.
• This grant program contains 15 million, 5
  million of which is for grants jointly
  coordinated with DACS for projects related to
  bioenergy.

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Energy Efficient Products Sales Tax Holiday

• Creates a one week sales tax holiday from October
  5 through October 11, 2006 on energy efficient
  products.
• Products include dishwashers, clothes washers,
  air conditioners, ceiling fans, incandescent or
  fluorescent light bulbs, dehumidifiers,
  programmable thermostats or refrigerators

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Solar Energy Rebate Program

• It establishes a rebate of 4 a watt for solar
  photovoltaic systems, capped at 20,000 for a
  residence, and 100,000 for a place of business
  or a not-for-profit organization.
• Establishes a rebate program to provide a flat
  500 rebate to homeowners that install a solar
  domestic water heater on their home. Businesses
  that install a commercial-size thermal system
  will be paid 15 per 1000 Btus produced as
  verified through an approved metering device.
  The maximum allowable thermal rebate will be
  5,000.
• Establishes is a solar thermal pool heater
  incentive of 100 per installation.

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Renewable Energy Corporate Tax Program

• Provides for sales tax exemptions and corporate
  income tax credits to increase the availability
  of clean fuels including biodiesel and ethanol
  limited to 1 million in sales tax and 6.5
  million in corporate income tax incentives per
  fiscal year for four years.
• Provides for sales tax exemptions and corporate
  income tax credits for hydrogen vehicles and
  fueling infrastructure limited to 2 million in
  sales tax and 3 in corporate income tax
  incentives per fiscal year for four years.
• Provides for sales tax exemptions and corporate
  income tax credits for the manufacture, purchase
  and use of hydrogen fuel cells for supplemental
  and backup power limited to 1 million in sales
  tax and 1.5 in corporate income tax incentives
  per fiscal year for four years.

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Renewable Energy Production Tax Credit

• Provides for a corporate income tax incentive of
  0.01 per kwh with a 5 million per year cap to
  encourage the development and expansion of
  facilities that produce and sell renewable energy
  in Florida.

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Power Plant Siting Act

• The Power Plant Siting Act coordinates the
  licensing and permitting process for all state,
  regional and local agencies involved in
  determining a power plant location by eliminating
  unnecessary procedures.

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Nuclear Siting Provisions

• Provides for an exemption for nuclear fueled
  plants from the PSC rule requiring utilities to
  seek competitive bids for power prior to
  determining the need for the power.
• Allows for nuclear plants to begin recovering
  their construction and development costs prior to
  the plant beginning operations.

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Transmission Line Siting Act

• The revisions to the Transmission Line Siting Act
  make the process more efficient, more open to the
  public, and enhance the focus on energy
  reliability in the state. In optimal situations,
  it reduces the processing time by around 5 months.

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Public Service Commission

• Allows the PSC to consider the effects on fuel
  diversity when reviewing electric generation.
  The PSC is tasked with studying the grid system
  reliability in the state, particularly as it
  relates to emergency conditions. Also the PSC
  may establish goals for renewable energy
  production.

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Legislative Energy Commission

• Creates a nine member commission appointed by the
  President of the Senate and the Speaker of the
  House under the Office of Legislative Services.
• The Commission will advise the Legislature on the
  establishment of a state energy policy based on
  the guiding principles of reliability,
  efficiency, affordability, and diversity.
• The commission must submit a report to the
  Legislature identifying incentives for research,
  development or deployment projects set forth
  policy recommendations for conservation of all
  forms of energy and set forth a plan of action,
  together with a timetable, for addressing
  additional issues.
• The report will also include a consensus-based
  public-involvement process that evaluates
  greenhouse gas emissions in this state and makes
  recommendations regarding related economic,
  energy and environmental benefits.

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State Leadership by Example

• Requires the Department of Environmental
  Protection to do a report of the state's
  leadership by example in energy conservation and
  energy efficiency to the Governor, the President
  of the Senate, and the Speaker of the House of
  Representatives

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Contact

• Allan Guyet, Director
• Florida Energy Office
• Department of Environmental Protection
• Phone [phone]
• Email Allan.Guyet_at_dep.state.fl.us