The daily Astorian. (Astoria, Or.) 1961-current, February 11, 2019, Page A3, Image 3

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    A3
THE DAILY ASTORIAN • MONDAY, FEBRUARY 11, 2019
NW Natural says customers Tiny Micro-Chip Now
face big rate increases under In The Ear: Available!
new state climate policy
Lawmakers are
hearing the impact
of the bill
By TED SICKINGER
The Oregonian
ing elsewhere.
But the natural gas util-
ities, along with transpor-
tation fuel providers, were
mostly left out of the free-
bies. The bill would pro-
vide free allowances to the
natural gas utilities to offset
rate impacts on their low-in-
come customers. But they
would be required to pur-
chase allowances in state
auctions or on the secondary
market to cover their other
emissions.
tion include Avista Corp. in
southern Oregon and Cas-
cade Natural Gas in central
and Eastern Oregon.
Sandra
McDonough,
chief executive of the state’s
largest business group, Ore-
gon Business & Industry,
says California’s carbon pol-
icy treated natural gas com-
panies consistently with
electric utilities, and Ore-
gon’s should too.
“The
potential
rate
impacts are really huge and
we’re concerned about that,”
she said. “It’s worth think-
ing about where consumers
are going to feel this, both
in home heating and at the
gas pump. These increases
are going to be real…You’re
going to pay.”
Natural gas utilities and
some of their customers are
pushing back on the state’s
new climate plan, saying
the proposed cap and spend
bill would lead to immedi-
ate and major rate increases,
and only get worse as time
‘Bombshell’
goes on.
The gas companies’ con-
NW Natural released a
cerns come amid broader two-page summary of the
business backlash against impacts it foresees, an analy-
the policy, which never- sis one lobbyist described as
theless has notably more “a cap and trade bombshell.”
momentum behind it this
The company estimates
year than in previous ses- that in the fi rst year the bill
Different prospects
sions. Some business groups would take effect, 2021, it
Electric and gas utilities
have called on legislators to would increase prices for
hold a statewide roadshow to residential customers by 11 do have fundamentally dif-
explain the policy to Orego- percent ($74 annually), for ferent prospects to reduce
nians, a move some backers small commercial customers their greenhouse emissions.
see as a delay tactic. Busi- by 13 percent ($338 annu- The electrics are investing
ness lobbies also are sending ally) and industrial custom- in wind and solar, which
out polling results they say ers by 28 percent (it didn’t are already price competi-
refute the supposedly wide- provide dollar fi gures for tive with fossil fuel gener-
spread voter support for it, industrial rate increases). By ation. They can use hydro-
particularly when costs are 2040, with the number of power and energy storage to
considered. And they’ll be allowances being auctioned meet customer demand and
jockeying to see how the far lower, the rate impact integrate intermittent renew-
legislation can be reshaped would grow to 53 percent able power. In the end, they
in their favor.
($567 annually) for resi- say they’re likely to be able
The policy would require dential customers, 60 per- to accomplish their propor-
utilities, industrial compa- cent for small commercial tional share of the state’s
nies and trans-
target: reduc-
portation fuel
ing
green-
‘WE’RE NOT AGAINST A CAP
providers who
house emis-
annually emit
sions by 45
AND TRADE BILL, BUT WE
more
than
percent below
25,000 metric
1990 levels by
THINK THERE’S A DIFFERENT
tons of green-
2035 and 80
WAY TO TREAT THE GAS
house gases to
percent below
acquire emis-
1990 levels by
SECTOR THAN IS CURRENTLY
sions allow-
2050.
ances to off-
Natural gas
BEING CONTEMPLATED.’
set each ton,
companies
Kathryn Williams, director of government
either from a
have a more
affairs for NW Natural
state auction
limited set of
or from a sec-
options. They
ondary mar-
can
replace
ket from other entities. As ($2,965) and 117 percent for some of their conven-
the number of allowances industrial customers, North- tional supply with so-called
declines in future years, they west Natural projects.
“renewable natural gas,”
would get more expensive,
Kathryn Williams, direc- which is methane gathered
forcing companies to fi nd tor of government affairs for at landfi lls, wastewater treat-
ways to reduce their emis- NW Natural, said there’s no ment facilities or large farms
sions or absorb the cost. A logical reason to treat emis- that would otherwise be
10-year projection of overall sions from coal, oil or nat- released to the atmosphere,
revenues from the program ural gas differently. Under fl ared or used in an electric-
by the state Department the current version of the ity co-generation facility.
of Environmental Qual- bill, customers who heat They can reduce methane
ity estimates that the state their homes with electricity leaks upstream and in the
allowance auction would (some of which comes from pipeline network. They can
raise about $550 million in burning natural gas) would double down on energy effi -
2021 and fl uctuate close to be insulated from price ciency, though that doesn’t
that level through 2030, as increases, while a home- generate any profi t. And lon-
allowance prices rise from owner who heats directly ger term, they can start sup-
$16.77 to $26 per ton but with natural gas (which plying more compressed
overall emissions decline.
is potentially less emis- natural gas and hydrogen,
That’s slightly less reve- sions-intensive) would pay which can fuel vehicles with
nue than was estimated for signifi cantly more than they lower emissions than gaso-
previous versions of the bill. do now, she said.
line and diesel.
More than 60 percent of the
Another diffi culty: Wil-
NW Natural says it plans
money would come from liams said the company has to do all the above, but that
suppliers of diesel and gaso- no way of tracking which could still leave it short of
line for cars and trucks, and of its customers are low-in- the state’s goals. The com-
the use of those revenues come, though the company pany’s own goal is to reduce
would be restricted to projects estimates that some 60 per- its carbon footprint by 30
funded out of the state high- cent of its residential cus- percent by 2035.
way trust fund. The balance tomers would qualify.
As it stands, Williams
of the money would come
The potentially disparate said NW Natural can’t really
from other sources, and its use impacts extend to commer- use “renewable natural gas”
would be more fl exible.
cial and industrial customers as it is more expensive than
The reason for the decline as well. While only about conventional gas and state
in projected revenues is that 100 entities in the state are regulators currently require
this year’s rewrite of the above the 25,000-ton thresh- it to meet customer needs at
proposed program offers old to be directly regulated, the lowest cost possible.
free emissions allowances smaller businesses that use
Dembrow says he rec-
to specifi c industries to lots of gas, from restaurants ognizes NW Natural’s dif-
reduce its immediate cost to small food processors, fi cult position, and he has
and improve its political pal- would feel the price impacts, agreed to introduce a bill in
atability. The state’s two big while larger regulated enti- the Senate Environment and
electric utilities, for exam- ties are initially being pro- Natural Resources Commit-
ple, would get free allow- vided with 100 percent free tee that he chairs that would
ances until 2030 in recog- allowances.
create a statewide renewable
nition of the early actions
“We’re not against a cap natural gas program. Senate
they’re taking to eliminate and trade bill, but we think Bill 98 would establish tar-
coal-fi red power and boost there’s a different way to gets for the use of renewable
green energy use under leg- treat the gas sector than is natural gas — 5 percent in
islation passed in 2016. currently being contem- 2020 increasing to 30 per-
Most big industrial outfi ts plated,” Williams said.
cent by 2045 — and allow
would initially receive free
Other gas companies natural gas companies to
allowances to prevent them whose customers would recover their investments in
pulling up stakes and mov- be affected by the legisla- that supply.
Warrenton woman pleads guilty to animal abuse
The Daily Astorian
A Warrenton woman who
killed her dog last March
pleaded guilty on Friday to
aggravated animal abuse.
Noel Moor, 29, was sen-
tenced to 30 days in jail and
three years of probation.
She was given credit for
time served in jail after her
arrest and for her stay at the
Oregon State Hospital for a
mental health evaluation.
She is prohibited from
owning
or
possessing
domestic animals for 15
years, but can care for the
pets of family members.
Moor put her beloved
7-year-old Chihuahua, Bolt,
in the oven after she thought
her ex-boyfriend was inside
the dog.
James Bernstein, an Ore-
gon City attorney who rep-
resented Moor, told Judge
Cindee Matyas that Moor is
“very remorseful.”
Matyas praised Moor for
following through with treat-
ment after she was released
from the state hospital.
If Moor successfully
completes the terms of her
probation, she can peti-
tion the court to reduce
the felony conviction to a
misdemeanor.
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