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FOR IMMEDIATE RELEASE
December 13, 2004
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Senator Erickson's "Alternative Energy Act" Signed into Law 

Harrisburg – Legislation sponsored by Sen. Ted Erickson (R-26) to dramatically increase the amount of electricity in Pennsylvania generated from alternative energy sources has been signed into law.

The Alternative Energy Act was signed into law earlier this month and requires that 18 percent of energy sold by electricity suppliers in Pennsylvania come from alternative energy by 2020. Such sources include wind and solar power, hydropower or geothermal energy.

"Seventeen states, including New York, New Jersey and Maryland, have already established alternative energy standards. It's critical that Pennsylvania not fall behind," said Erickson, vice chair of the Senate Environmental Resources and Energy Committee. "These standards will reduce air and water pollution, spur job creation and stabilize energy prices by diversifying the sources. We shouldn't have to rely on a limited, outdated sources for our energy. Especially when other states are moving ahead."

It's estimated that diversifying Pennsylvania's energy supplies could create 85,000 new jobs over 20 years, and generate $2.8 billion in economic activity, the senator noted.

In addition to a gradual time frame for integrating the new energy sources, the Alternative Energy Act establishes an Alternative Tradable Energy Credits program through which the Public Utility Commission will qualify alternative energy systems.

"This is a bold step to move Pennsylvania to cleaner and – this is important – affordable energy," said Erickson. "It will spur innovation and establish an energy system for the 21st century." 

NOTE: Below is a list of alternative energy sources and timelines for implementation.

CONTACT: Tom Golden (717) 787-1350 

Alternative energy sources are classified as either "Tier 1" or "Tier II". The requirement would be phased in as follows:

Tier I

• 1.5% within 2 years

• 2% within 2 years

• Shall increase at least 0.5% each year annually thereafter

• 8% within 15 years

 Tier II

• Years 1 through 4 – 4.2%

• Years 5 through 9 – 6.2%

• Years 10 through 14 – 8.2%

• Years 15 and thereafter – 10% 

"Tier I Alternative Energy Source" –Energy derived from:

(1) solar photovoltaic energy

(2) wind power 

(3) low-impact hydropower

(4) geothermal energy

(5) biologically derived methane gas

(6) fuel cells

(7) biomass energy

(8) coal mine methane 

"Tier II Alternative Energy Source" – Energy derived from:

(1) waste coal

(2) distributed generation systems

(3) demand side management

(4) large scale hydropower

(5) municipal solid waste

(6) generation of electricity utilizing by-products of the pulping process and wood manufacturing process including bark, wood chips, sawdust, and lignin in spent pulping liquors

(7) integrated combined coal gasification technology


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