About 29 states have approved a renewable portfolio standard (RPS) to go green and attract federally-subsidized wind and solar investments in the early 2000s. The state policies have been critical to the success of the industry. Environmental Defense Fund’s vice president for U.S. climate and energy, Jim Martson, supports keeping these energy standards in place as they decreased prices and increased quality.

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Renewable Energy
Standards: Are They
Necessary?
About 29 states have approved a renewable
portfolio standard (RPS) to go green and attract
federally-subsidized wind and solar investments
in the early 2000s. The state policies have been
critical to the success of the industry.
Environmental Defense Fund’s vice president
for U.S. climate and energy, Jim Martson,
supports keeping these energy standards in place
as they decreased prices and increased quality.
During the first federal appellate court decision,
the Circuit Court of Appeals rejected an
industry-group challenge to the renewable
energy law of Colorado. This signals the
importance of renewable energy standards and
its possibility to survive constitutional
challenges. The present Colorado law requires
the state’s electricity suppliers to make sure that
20% of energy sold to consumers comes from
renewable sources, including the sun and the
wind.
On the other hand, the Energy and Environment
Legal Institute (EELI) argued that such law
violates the constitution of America. According
to EELI, the renewable energy law illegally
interferes with interstate commerce.
It emphasizes that out-of-state coal producers
will lose business from the services that supply
energy to Colorado. It also believes that those
suppliers will be forced to rely on renewable
energy to comply with the Colorado law.
EELI challenged the law as it invalidates the
state laws that impose price controls on out-of-
state products. However, the court determined
that Colorado’s mandate did not have anything
to do with price controls. Moreover, the state did
not link prices paid for energy in the state with
prices in other states.
Do we need a separate standard to overlay the
requirements of the federal government? That is
not necessary. Different rules and standards can
be overly burdensome. An integrated resource
plan process should decide whatever makes
more sense. The renewable energy potential of
smaller states is also pretty small. What matters
most is retaining these mandates in top energy-
producing and consuming states like Texas and
California.