News Release
For Immediate Release
Contact: Richard L Mabbott
Chief Operating Officer
Piedmont EMC
Ph.: 919.732.2123
www.pemc.org
Piedmont EMC Outlines Future Energy Challenges
HILLSBOROUGH--“Let’s make sure our children and grandchildren can afford electricity!” Chief Executive Officer R. G. Brecheisen told members attending the annual meeting of Piedmont Electric Membership Corporation.
“Today we are dealing with new challenges—challenges that are being created in Washington, D.C., by our new administration and Congress regarding climate change and energy policy,” he said.
Brecheisen outlined the renewable energy requirements set forth in North Carolina’s Senate Bill 3, which mandates that three percent (3%) of Piedmont Electric’s energy come from renewable energy sources and/or energy efficiency programs by 2012, with the percentages increasing to 6% by 2015, and 10% by 2018.
The CEO noted that the renewable sources, which include solar, wind, hydro, or swine and poultry waste for generation, is balanced by the implementation of energy efficiency programs, which allow us “a great deal of flexibility in how we meet our standards.”
Brecheisen said a 47-cent charge will be added to residential members’ bills beginning in May to recover the costs of energy efficiency programs and renewable energy resources the Cooperative must buy to meet the cost of the state mandate. This charge will be adjusted annually to reflect the anticipated costs, according to the CEO.
On the national level, “proposals currently being considered could raise our renewable requirements to 25% between now and 2025, and could have the effect of raising our retail rates by as much as 20%,” Brecheisen said.
In addition to the renewable requirements, Congress is also considering legislation that would reduce the amount of carbon dioxide emissions by adopting a cap and trade system where caps would be set on how much carbon dioxide and other greenhouse gases industries can emit, according to the CEO.
If this legislation is passed, Piedmont Electric members would have to pay for carbon credits to offset the emissions from coal-fired generation plants—at the prevailing market rates.
These costs would be passed on to consumers through higher electric rates, according to Brecheisen.
Because 55% of the power generated in North Carolina comes from coal, the national plan will cause substantial rate increases.
“The combination of increased renewable energy and efficiency mandates, as well as costs associated with decreasing greenhouse gases to battle our global climate change could raise electricity rates by 40%, and this may be a low figure if carbon costs rise more, depending on decisions made by the Administration and Congress in the coming months,” Brecheisen said.
“Piedmont Electric supports a balanced solution towards solving our future energy needs—solutions that are sustainable over time and get us to the goal of energy independence and protecting our environment while keeping electric rates affordable,” he said.
Brecheisen encouraged everyone to complete a card to congressional representatives asking them to consider the impact of proposed legislation.
During the business session, three members were elected to Piedmont Electric’s Board of Directors.
They include: Doug Simmons, District 3, Elon; Bill R. Barber, District 7, Rougemont, and Richard Roberts, District 8, Hillsborough.
Mike Cross entertained the audience throughout the evening with his down-home humor in song.
Many members came away from the meeting with cash prizes, including the grand prize of $500 cash.
More than 800 attended the meeting, including 414 registered members.
Currie Aldridge of Caswell County, who will be 100 years old July 16 and has only missed one of the Cooperative’s annual meetings, was also in attendance.
Piedmont EMC, a Touchstone Energy Cooperative, is a not-for-profit electric utility serving approximately 31,000 member-consumers in Alamance, Caswell, Durham, Granville, Orange and Person counties.
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