ATR sent the follow letter to Kansas legislators today in support of House Bill 2241, legislation introduced by Rep. Dennis Hedke (R-99) that would reverse some of the economic harm done by the state’s renewable energy mandate:
27 February 2013
House of Representatives
Kansas State Capitol
300 SW 10th St.
Topeka, Kansas 66612
Dear Members of the Kansas House of Representatives,
I write today in support of HB 2241, legislation which would amend the state’s costly renewable energy mandate so as to mitigate its negative impact on the economy. This bill is a good start toward reversing some of the damaging effects of the Renewable Energy Standards Act of 2009, which mandates that utilities in Kansas generate 20% of their electricity from more costly and less reliable sources of energy by 2020. HB 2241 would fully repeal the 20% mandate, delay the implementation of the 15% mandate, and give the Kansas Corporation Commission greater flexibility in managing the program.
Experience has shown us that renewable energy mandates, (like the one on the books in Kansas), hurt consumers. This command and control policy forces companies to procure energy from more costly and less reliable sources; with the increased costs passed on to consumers in the form of higher utility bills.
On average, states with a renewable energy mandate have electricity costs of over 40% higher than states that do not. In fact, a study by the Kansas Policy Institute found that the mandates would raise the cost of electricity for consumers by $644 million through 2020, which is an astonishing 45% increase. By unnecessarily driving up utility bills, renewable energy standards act as a hidden tax on individuals, families and businesses across Kansas. This destructive economic policy will result in less take-home pay and fewer job opportunities for your constituents (19,000 less jobs, according to the KPI study).
ATR urges you to support HB 2241, which you may be called to vote on this week. This legislation would soften the economic blow caused by the state’s costly energy mandate. Ultimately, it is imperative that lawmakers repeal the mandate all together. Legislators in Topeka should continue to focus on policies that allow the private sector to grow and create jobs. A good place to start is with full repeal of the state’s expensive energy mandate. If you have any questions or if American’s for Tax Reform can be of assistance in any way, please contact Patrick Gleason, ATR’s director of state affairs, at 202-785-0266 or [email protected].
Grover G. Norquist
President, Americans for Tax Reform