Visionary Rauner (R-IL) Leadership: Slash State's Energy Efficiency Programs, Zero Out LIHEAP [View all]

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The administration’s draft budget released in February calls for shifting $175 million worth of energy programs from the Illinois Department of Commerce and Economic Opportunity into the state’s general revenue fund. (See chapter 4-12 of the draft budget). That money is collected from ratepayers on their utility bills, and by law it is supposed to be used exclusively for specific energy projects, namely the Energy Efficiency Portfolio Standard (EEPS) fund and the Renewable Energy Resources Trust Fund.

The efficiency fund is used for energy efficiency projects on government buildings and for low-income residents, including in public housing. The renewable energy trust fund provides rebates to residents for wind and solar installations. The pot also includes money collected for supplemental low-income energy assistance and coal technology development assistance. The draft budget indicates that after money already in these funds is swept, those programs will be eliminated – with a zero budget – in FY2016.

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Experts say it isn’t fair or even legal to sweep money collected from ratepayers specifically for energy efficiency and treat it is a tax for general state spending. And they say it violates the spirit of promoting energy efficiency and renewable energy, and could mean that important projects are not done, depriving the government and low-income people of energy savings.

“The governor is doing something that is improper and illegal…it’s just inexcusable,” said Robert Kelter, energy efficiency program manager for the Environmental Law & Policy Center. “This is money collected from utility ratepayers, not tax money. The law is very clear that these funds are supposed to go to these energy efficiency programs. These costs are collected through people’s utility bills then the money is turned over to the DCEO to pay for these programs.”

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http://www.midwestenergynews.com/2015/03/02/illinois-gov-rauner-seeks-to-slash-efficiency-energy-programs/