A seven-member working group has been formed by Vermont Governor Peter Shumlin, the House Speaker and Senate President Pro Tem to determine whether the state should try to buy 13 dams TransCanada has put on the market.
The Vermont Hydropower Working Group will determine whether a partial or full acquisition of the hydro assets that TransCanada has put up for sale along the Connecticut and Deerfield Rivers is a good option for Vermont.
Online investigative newspaper Vermont Digger recorded the governor’s announcement: “We’re asking this working group to vet preliminarily whether full or partial acquisition if the hydro assets currently for sale is cost effective and to evaluate the benefits to Vermonters, to Vermont’s economy, our utility ratepayers and our clean energy portfolio.”
Both the Senate President ProTem and the House Speaker said the state has a unique opportunity to consider purchasing the dams. ProTem John Campbell noted that years ago the state passed up an opportunity to acquire the dams. “With the energy future that we’re seeing and how the state wants to go forward it’s in our best interest to examine this and to determine whether or not it is something we would like to have as a state, have an asset there and also to deal with the renewable energy issues that are facing us.”
House Speaker Shap Smith added that a publicly owned power source could be an economic driver. “We know that it needs to make economic sense for Vermonters. This group is meant to determine whether that’s possible. I believe that publicly owned power can be a driver for a successful future for Vermont’s economy.”
The seven-member working group will determine the cost effectiveness of buying the dams, examine public-private partnerships and examine licensing issues and maintenance.
Vermont Natural Resources Council Executive Director Brian Schupe says securing the existing dams for Vermont’s use would help establish the long-term stability of the state’s power needs – if it’s affordable. “Obviously they need to address the financial feasibility, the impact on taxpayers or ratepayers. We would also like them to look into long term management of the dams in a way that would maximize the impact on water resources and water quality and aquatic biota and fisheries in the Connecticut River. One of the opportunities is to have an ownership structure that not only looks out for the energy needs of Vermont but also minimizes the environmental impacts of operating the dams.”
Vermont Public Interest Research Group Executive Director Paul Burns notes that many Vermonters feel the state missed an opportunity the last time the dams were on the market. “It would be stabilizing in many respects because it would be a source of power that comes from the Connecticut River. This is a renewable resource. It’s stabily priced because the water as a fuel for this power is free. So it’s sensible for the state to look into this because it’s a fit with where we want to go as a state in terms of getting our power from renewable resources and for the economic reasons that it’s a stabily priced resource and that could be attractive to businesses and to regular ratepayers.”
Governor Shumlin has requested that a report be submitted before the end of the legislative session.
Lt. Governor Phil Scott and House Minority Leader Don Turner issued a joint statement cautioning that the review must transparent and not unduly influenced by the governor’s view that the state missed an opportunity when the dams were last up for sale about 12 years ago.
A joint hearing on the possible state purchase of the hydroelectric dams was held by the House Fish Wildlife and Water Resources and the Natural Resources and Energy Committees Thursday morning.
