Governor Donald L. Carcieri today sent a letter to Public Utilities Commission encouraging the PUC to facilitate a long-term contract between National Grid and Deepwater Wind for the development of an off-shore renewable energy wind project to be located off the coast of Block Island.

In the letter, the Governor cites the long term contracting legislation signed into law in 2009. “This landmark legislation was the culmination of more than two years of intense negotiations between the Executive and Legislative branches of government, as well as various other stakeholders and interested parties. In fact, it is this legislation that authorizes this very proceeding, and thus prompted me to write to you today.”

“In passing the Long-Term Contracting Standard for Renewable Energy, the State made a public policy decision to foster renewable energy development with the goals of “stabilizing long-term energy prices, enhancing environmental quality, creating jobs in the Rhode Island renewable energy sector, and facilitating the financing of renewable energy generation” that provides direct economic benefits to the State.”

The letter continues, “The issue before the Commission is not whether the State should mandate National Grid to enter into long-term contracts for renewable energy development, but how to best structure the contract in a way that protects ratepayers, while meeting the other enumerated goals – economic and environmental.”

“Make no mistake: I too believe that the energy price presently contained in the proposal before the Commission is excessive. I have always stated that I support cost-effective renewable energy, not renewable energy at any cost. ”

The letter concludes, “As I stated when this law was enacted, this important effort will accelerate our efforts to be the first state in the nation to take our energy needs into our own hands, through the development of clean, sustainable renewable energy off our shores. This legislation places Rhode Island at the epicenter for renewable energy on the East Coast, where we have estimated planned projects (beginning with this Block Island project) to produce well over $1.5 billion in private investment in Rhode Island and the creation of a minimum of 800 jobs with an estimated annual wages of $60 million. The Block Island project is the first step toward energy security as well as achieving our environmental and economic goals. Our focus must be to ensure that the long term contract between National Grid and the developer is completed expeditiously.”

Related links

• Click here to read the Governor's letter to the PUC