Invest in Alaska’s future with HB 152

Instant gratification or long-term investment? This is the question facing the state House of Representatives as it considers two vastly different bills concerning energy: House Bill 396 and HB 152.

HB 396 is a money give away. The Legislature simply gives each Alaska resident $500. The catch? None. You can spend it on whatever you like; computers, clothes, airfare — the sky’s the limit. Officially, the sponsors of this bill want you to use the $500 to pay for your energy costs. But, they admit some folks just might not use the money on energy.

Oh well, the sponsors lament that we have all this extra money, so we might as well spend it. Co-sponsor Rep. Kevin Meyer said he does not “necessarily care” if the money isn’t used for energy costs.

Excuse me? When did the people’s money become a legislative piñata? When did cash handouts become the solution to today’s — and tomorrow’s — challenges?

HB 396 would cost $300 million. That’s $300 million thrown into the streets, because it may help some people pay for today’s energy costs.

But that’s today. What about tomorrow? Will we continue to dole out more and more cash handouts each year? What about the people who use their “energy rebate” on things other than energy? Do we then give them more money the next year?

Perhaps the sponsors of HB 396 have forgotten the lessons of Home Economics 101. Lesson 1: save. Lesson 2: invest.

If the Legislature is intent on spending $300 million to alleviate energy costs, why not spend it on projects that will alleviate energy costs for generations to come? Why not invest the $300 million into renewable energy? Spend the money on projects that will create low-cost, reliable energy for generations.

The bush villages are feeling the full brunt of high energy costs. Fuel costs are $7 to $9 a gallon in certain bush towns. Rep. Kevin Meyer even states he got the idea for HB 396 after talking to a friend in Metlakata who did not have enough money to pay for heating fuel.

While I applaud Meyer’s empathy, I cannot support his answer. Investment, not instant gratification , is the solution.

The bush villages that have already invested in renewable energy are saving money. Last November, the Bering Straights Native Corp. placed 93 solar panels at its headquarters in Nome. At current rates, the solar panes will pay back within 12 years and have a shelf life of 25 years.

In Kotzebue, windmills save residents thousands of dollars on their electric bills. The Alaska Village Electric Cooperative has four wind power systems that provide energy to six rural villages. Meera Kohler says, “Wind has been able to displace 25 to 30 percent of diesel that would have been used in these communities.”

The great thing about renewable energy, besides being clean, is the flat rates. The bad part of using renewables is the high capital costs. Once a renewable project is in place, costs plummet. The Bradley Lake Hydro project, for example, cost $328 million; however, the cost per kilowatt-hour is now a mere 4 cents. The lesson from all of this? Investment is worthwhile.

That is why I urge all Alaskans to support HB 152. HB 152 creates a renewable energy fund for Alaska. The millions placed into the fund (Governor Palin has asked that the Legislature place $250 million in the fund) would be rendered as grants or loans on renewable energy projects. HB 152 would also provide financing for renewable energy projects. This helps businesses pay for the capital costs of a renewable energy project.

Since many village renewable energy projects are close to homes, HB 152 would aid in energy security. HB 152 would also help provide industry and jobs in areas of Alaska where such is lacking.

I urge all Alaska residents to call and write their legislators. Ask them to support HB 152. Ask them to take HB 396’s $300 million and place it in the renewable energy fund. Tell our legislators to say no to immediate gratification and yes to investment — and yes to tomorrow.

Darin Markwardt is a Palmer resident.