A Carson City working group met last week to continue work on a document that the city will use to solicit and attract renewable energy producers and equipment manufacturers to the area.
The Alternative Energy Work Group, a panel of 22 people involved in city government, economic development and the renewable energy industry, held its second meeting last week to review the Request for Qualifications it is developing to evaluate energy companies.
The group arose from Carson City's Economic Vitality Strategic Plan, a comprehensive study published last July that recommends, for one, that the city foster an alternative energy industry in northern Nevada.
The goal of such efforts is to stabilize long-term energy costs, attract manufacturers to locate in the region, and create local jobs.
It would also go a long way to meeting the state's mandate that by 2013 15 percent of Nevada's energy will be derived from renewable energy sources.
"The thinking is that by using and becoming a proponent of alternative energy we could attract companies with facilities and manufacturers of devices," said Andy Burnham, the capitol's interim city manager and a member of the working group.
That, in turn, would create jobs locally for workers in the industry.
To help ensure that happens, the city is requiring interested companies to promise to hire local talent.
"We will make the purchase [of energy] conditional on creation of jobs," said Charles Long, owner of Charles A.
Long Associates, an economic development consultant in Reno and a member of the working group.
The city is working to pool its energy needs in order to optimize its buying power and, hopefully, its ability to lure alternative energy companies.
Among possible users of renewable energy are the city's water and sewer utilities, public agencies, Carson Tahoe Hospital and the city's schools, as well as users in Churchill and Washoe Counties.
Among possible sources for energy are solar, wind, water, and sewer gas from the landfill and wastewater treatment facility.
Even the Carson City municipal pool could operate its own turbine off heat from the pool, said Burnham.
Similar efforts have succeeded elsewhere.
"The model for us is the city of Seattle which issued an RFP," or request for proposal, in July 2000, said Long.
"They got 60 proposals and bought 175 megawatts of wind." The lesson learned in Seattle, said Long, is that long-term contracts can make or break the deal.
"They found that if they wanted to sign a five-year contract it might not work, but if they wanted a 20-year contract the project would work," said Long.
The Carson City work group includes energy industry professionals such as Tim Berg, vice president of business development at Golden State Energy, a fuel cell maker in Carson City.
Part of Berg's role will be to advise on how to entice companies to come to the area by explaining what appealed to Golden State.
"A favorable tax system, for one, and affordable real estate," said Berg.
"Especially when compared to locating a business over the hill." But more could be done.
Normally government plays a role with tax credits and other economic incentives to woo companies, Berg said.
Currently, Nevada has no such credits for alternative energy companies but he said this year's legislature will consider several bills to do just that.
The federal government's role in promoting alternative energy is also up in the air, said Long.
Congress did not renew the wind energy tax credit that expired at the end of last year, he said, which led directly to the pull-out of a European wind turbine manufacturer from a planned expansion into Portland, Ore.
The U.S.
Congress is now working on an energy bill.
"Will they do something to stimulate renewables?" asked Long.
"That remains to be seen.We've all been observers of this industry for 25 years so we're skeptical about this being a sure thing.
But this industry is at the precipice of being able to take off." Certainly, Nevada is the right place for it.
According to the Union of Concerned Scientists,Nevada has more than enough renewable energy to meet its needs.
All of it could be met by solar energy while wind could supply up to 84 percent of the state's needs and geothermal could meet 82 percent of the energy demand.
