Key Activities and Accomplishments of 2006

December 28, 2006

The Interwest Energy Alliance is a 501(c)(6) trade association that brings together the nation’s leading renewable energy companies and the region’s leading non-governmental advocacy groups, facilitating a consensus-based approach to new project development and transmission siting for clean, abundant energy throughout the West.

Through aggressive policy advocacy, outreach and representational activities on behalf of the industry, Interwest is working to create a vibrant and stable market for wind, solar and other renewable energy resources—and to enable the necessary transmission infrastructure to get this power to market. Interwest is a regional partner organization of the American Wind Energy Association.

We encourage companies interested in pursuing business opportunities in the West to join the Interwest Energy Alliance. Joining Interwest gives members a voice in shaping the future of renewable energy development in this rapidly growing part of the country.

Selected 2006 Activities and Accomplishments

Sponsorship of Senator Salazar’s Renewable Energy Summit

Interwest was a sponsor of United States Senator Ken Salazar’s (D-Colo.) Renewable Energy Summit. Nearly 550 persons attended this summit in Denver on 11 January 2006, including prominent elected officials, leaders of the state’s and nation’s renewable energy industries, utilities, research institutions, agricultural, rural and nonprofit organizations and other corporate leaders.

At the summit, Senator Salazar said that “we cannot postpone the development of renewable energy resources any longer...by bringing together business, non-profit and government stakeholders, I am hopeful the conversations that took place today have built bridges of cooperation towards our common goal: America’s energy independence.”

Transmission cost recovery: Colorado Legislation and PUC Intervention

The Interwest Energy Alliance wants to facilitate the construction of new transmission through cost recovery mechanisms in Colorado similar to what Texas and Minnesota passed into law in 2005. To this end, Interwest worked closely with many stakeholders, including legislators, utilities and non-governmental organizations to fashion legislative language based on the Texas and Minnesota laws. This legislation is expected to be introduced in the Colorado General Assembly early in 2007.

In addition, Interwest intervened in the 2006 Public Service Company of Colorado (Xcel Energy) rate case at the Colorado Public Utilities Commission. Our objective was to document the benefits of transmission investments so that wind and other renewable energy technologies can be delivered to market more quickly and cost-effectively.

Intervention in APS rate case

The Interwest Energy Alliance is intervening in the 2006 Arizona Public Service (APS) rate case at the Arizona Corporation Commission. Interwest’s case is focusing on the addition of an independent expert in future renewable energy RFPs, implementation of a solicitation schedule for near-term purchase of renewable energy and development of a performance-based incentive structure for clean energy resource acquisition.

Presentation to Public Utilities Commission of Nevada RPS Workshop

The Interwest Energy Alliance gave a presentation on wind energy and economic development at the Public Utilities Commission of Nevada in May 2006 and also submitted written comments to the Commission outlining recommendations on transmission, integration and rate structures in Nevada.

Cosponsorship of NWCC/WGA Western Transmission Forum

Interwest was a cosponsor and planning organization of the “Leadership Forum: Implementing Transmission Recommendations in the West,” sponsored by the National Wind Coordinating Committee (NWCC) and the Western Governors’ Association (WGA). Held in Broomfield, Colorado in July 2006, this event attracted over 150 leaders representing Governors, legislators, wind developers, environmentalists, utilities, independent transmission operators, and others.

Workshop participants examined a number of action plans and strategies on how best to implement recommendations of the WGA’s clean-energy task force on transmission and wind energy development. Interwest and its colleague organizations will continue working with the NWCC and the WGA on implementing these action plans and strategies throughout the West. This conference is perhaps the first time that recommendations from a WGA task force have been followed up with aggressive implementation plans from a broad range of stakeholder parties.

“Backcasting” study of Wind Energy’s Consumer Benefits

In August, Interwest released a trailblazing study reporting that Xcel Energy’s Colorado consumers will save more than $251 million because of Xcel’s current fleet of wind plants over the coming two decades. The study further concludes that consumers could have saved another $186 million had Xcel invested in more wind during three recent bidding cycles for new electric generators. The study notes that transmission has been one of the primary hindrances to putting more wind energy online in Colorado, which only serves to strengthen our determination to advance new transmission development and innovative transmission policymaking in the state.

Membership and Participation in Colorado Transmission Task Force

Interwest and several of its members and colleagues were participants in the Colorado Task Force on Reliable Electricity and Transmission, empanelled under a state law that Interwest supported early in 2006. This task force’s recommendations highlighted ways in which Colorado’s transmission infrastructure and policy structure can be improved in a manner that will bring more cost-effective wind and renewable energy resources to consumers quickly.

Planning and Staging of Intermountain Harvesting Energy Summit

The Interwest Energy Alliance is a “network partner” and was on the steering committee for the first annual Intermountain Harvesting Energy Summit, chaired by former Colorado House Speaker Lola Spradley and U.S. Representative Mark Udall. This organization brings together agricultural energy leaders from a seven-state region and offers opportunities to advance shared goals for economic development opportunities region-wide.

Planning of Windpower and Wildlife Conference

Interwest worked with the Colorado Division of Wildlife and various other organizations to sponsor a two-day symposium and one-day workshop on “Wind Power and Wildlife in Colorado.” Craig Cox spoke at an opening plenary session of this event, which drew nearly 200 people, including wildlife biologists, policymakers, industry and other non-governmental organizations to Fort Collins.

Involvement in Forming Arizona’s new RPS

Interwest has been involved in regulatory activities to update Arizona’s renewable portfolio standard since the Arizona Corporation Commission began a review of this policy mechanism in 2004. These efforts culminated with a draft “Renewable Energy Standard and Tariff” in October 2006, calling for utilities to provide 2.5% of retail electric load from renewables by 2010, 5% by 2015 and 15% after 2024, with a distributed generation requirement of 30% of these percentages. The distributed resources requirement replaces the solar-only requirement from the previous Environmental Portfolio Standard.

Innovative New Website Launched

In 2006, Interwest launched a new website at www.interwest.org, featuring an innovative new western renewable energy project locator map, integrated with Google Maps, showing wind, solar, geothermal and biomass energy projects in Arizona, Colorado, Nevada, New Mexico, Utah and Wyoming. Interwest’s new site contains other information of interest to renewable energy companies and advocates in the region, and will provide updates on 2007 state legislation from legislatures in key states of interest.

Meetings with Key Decision Makers

Interwest’s principals arrange meetings for members with key decision makers, ranging from governors and other elected officials to regulators appointed officials at all levels of government. Our principals meet regularly with a wide range of key stakeholders on behalf of our members and represent our members at venues across the West.

Colorado House Select Committee on Strategic Renewable Energy

In 2006, the Interwest Energy Alliance worked closely with Colorado’s House leadership and its “Select Committee on Strategic Renewable Energy.” This special committee met several times to examine issues related to renewable energy deployment in Colorado and heard a presentation from Craig Cox and Ron Lehr on wind energy and transmission in Colorado. Recommendations from this select committee are expected to form the basis for various pieces of legislation in the 2007 Colorado General Assembly.

Utah Legislative Briefing

In February 2006, Interwest’s Craig Cox delivered a briefing to Utah State Representatives and Senators on wind energy in Utah and the West. Utah offers some important opportunities for project development and Interwest intends to pursue activities in this state.

Staging of Southwest Renewable Energy Conference

Interwest’s Southwestern Representative, Amanda Ormond, organized the successful Southwest Renewable Energy Conference in Flagstaff in August 2006. This annual event attracted about 150 people for a number of high-level sessions dealing with various aspects of renewable energy issues in the Southwest, including integration, markets, tribal energy and financing.

Membership in New Mexico Energy Task Force

The Interwest Energy Alliance was a part of the “New Energy New Mexico” task force in 2006. Established as a result of a New Mexico House memorial, this task force’s mission was to “gather input and develop programs and strategies that will create new jobs and economic development opportunities in our communities through public/private partnerships focused on renewable energy technologies and the production of renewable energy.” Its primary focus was to find opportunities and draft legislative recommendations for advancing public-private partnerships focused on renewable energy technologies and the production of renewable energy in rural electric cooperative territories in New Mexico.

Joint Comments to Federal Commissions and Agencies

On matters of national interest, Interwest often cosigns letters, comments and filings with the American Wind Energy Association and other regional trade associations to federal agencies and departments such as the Federal Energy Regulatory Commission, the U.S. Department of Energy and other governmental bodies.

Work With West Wind Wires

Interwest works closely on an ongoing basis with its colleague organization, West Wind Wires, which was launched in 2003 to advocate for wind transmission in utility, resource and transmission planning, and regulatory venues across the West.

Documents, presentations and other materials mentioned in this document
are available at www.interwest.org or upon request to Craig Cox.