Virginia Department of Mines, Minerals and Energy - Meeting Minutes

Meeting Minutes - August 22, 2006

House Room 1, Patrick Henry Building - 10 a.m.

The meeting was opened by Stephen Walz from the Department of Mines, Minerals and Energy (DMME), who has been asked to lead the development of the Virginia Energy Plan.

Introductions
Advisory Group members introduced themselves; and Mr. Walz introduced selected persons from DMME, the Virginia Department of Environmental Quality (DEQ), and the Virginia State Corporation Commission (SCC) seated in the audience.

The Advisory Group was asked if members had concerns with sharing their contact information within the group and placing name and organization represented on website. All agreed this was okay.

Virginia Energy Plan Overview
See Handout 1

Background on the development of Senate Bill 262 through the joint subcommittee on manufacturing, chaired by Senator Frank Wagner, was discussed. The major components of SB 262 were presented, followed by a listing of the major energy policy statements included in the legislation. This was followed by information on the requirements for the Virginia Energy Plan.

Review of Virginia Energy Plan Advisory Group process overview
See Handout 2

The Advisory Group was selected to represent the broad areas affecting energy in Virginia. DMME was selective in asking people to participate that will represent not only their clients or organization, but that can represent the broader interest area they work in. Members will be asked to address critical issues to be included in the Plan, provide background information on the issue, participate in discussion of the issues, and make their recommendations as to what should be included in the Plan.

The group will be asked to meet an additional four times in topical sessions that will address major parts of the Plan.

Meeting format:

1) Review of policy/plan

2) Consultant briefing/primer on meeting topic

3) Members will be given the opportunity to present information on the topic to the group

4) Facilitated discussion followed by public comment

Sessions scheduled as follows:

Date	Location	Topic
September 11, 2006	Grand Hall at SWVHEC in Abingdon, SW Community College	Energy Infrastructure
September 25, 2006	Ernst Center Theater at NVCC in Annandale	Energy/Environment
October 18, 2006	VMI in Lexington	Energy Resources
November 2, 2006	Tidewater Room at CWM in Williamsburg	Energy Efficiency & Conservation

DMME is hiring a consultant to assist with plan development. The consultant may be contacting members. DMME will let members know who has been hired as the consultant once the selection is made.

The Department of Environmental Quality’s role in development of the plan will be to coordinate input from state agencies and institutions on energy and environmental issues. DMME will contact other energy-related state agencies for other input on the Plan. The State Corporation Commission’s role will be to provide input on utility regulatory issues. The Virginia Center for Coal and Energy Research will be used for technical assistance and review of the Plan.

The Center for Innovative Technology, under the Virginia Research and Technology Advisory Commission, will complete the Energy R&D portion of the Plan, receiving input from state institutions and private companies involved in energy R&D.

Review of Virginia Energy Plan outline
See Handout 3 and Handout 4

The Virginia Energy Plan outline was reviewed. Members made a number of recommendations to revise outline.

Utility restructure/renewable portfolio standard: The Plan should recognize utility restructure but not duplicate/challenge CEUR work.
The outline bullet on impact of utility restructuring should include looking at the impact of utility regulation, not just restructuring.
An Advisory Group member commented that the Virginia Economic Development Partnership should be a resource. It was confirmed that they would be.
There was discussion of the role of state agencies, with input on energy and the environment coming through the DEQ, and other input through DMME.
A member made a recommendation to split resources/consumption. DMME described the process of how the outline was developed and that topics were all related.
A member recommended that the Plan provide information on how Virginia compares to other states with regard to Section II. This will be added.
A member asked about establishing objectives with numerical goals. Response was that we would be looking to the group for input as to what objectives and measures should be included in the Plan.
A comment was made on cognizance of the General Assembly’s role in energy policy. Responded that DMME will be coordinating with various legislative commissions.
One member recommended that Section IV include ‘cost’ as well as ‘adequacy’. This will be added to the outline.
A question was raised on clarifying outcome of meetings. Response was primary objective is to speak to issues and get member/public input.
A member raised a question on equal billing for all outline topics (efficiency and conservation seems limited). It was discussed that meetings can expand on topics and are not limited to outline bullets and that the topics are interrelated, so that they may be covered in multiple areas. However, it was noted that the topics have been chosen to allow a focus at each Advisory Group meeting since the energy issue is so broad. Without a focus, the group could engage in lots of discussion and not reach any conclusions.
A member requested we provide copies of other state plans. We will send links to a couple of other state plans. Kentucky and North Carolina were mentioned.
There was a discussion about what the Plan will be used for. While we don’t know all the possible uses, we would use the Plan as direction for state government and a tool for decision making.
A question was raised about developing/including consensus recommendations. There was agreement to the value of this. Comments were made on how consensus recommendations could drive legislative/ local/private actions.
A member asked where greenhouse gas was in Plan. This topic is covered in ‘emissions’.
A member asked a question on externalities. These can be included but not as a stand-alone topic. Externalities exist throughout the Plan topics and would need to be included as part of the larger context of the energy issues.
A member asked a question on future workforce. This topic will be added.
A question was asked if the Energy Plan website is seen as a future/ongoing resource. The web site is envisioned to be permanent and updated.
A question was asked about the wind/solar siting requirement in the legislation. Described separate work/contract with James Madison University, building on tools already developed.
There was a question on group making recommendations apart from Plan. If group has consensus recommendations, they would likely be included in Plan and would receive emphasis. However, it was acknowledged that the Plan would be issued by DMME and it would go through a state review process.
A member asked how input would be flagged. This will be done through meeting notes/minutes.
A member made a recommendation on polling Virginians. Acknowledged could be valuable if carefully done, but budget constraints are an issue. DMME will look into this more.
There was a question whether 3 ½ hours would be enough meeting time to cover the Advisory Group topics. There was discussion that we need to be able to manage the time; that we will need to be focused and target the discussion on the issues. Comment was made on ability/opportunity to exchange information outside of meetings by phone/e-mail.
A member asked a question about Plan development. All input will be received; then a draft will be developed. Each chapter will not be developed after each advisory group meeting.

The meeting ended at noon.

Handouts

Attachments

Meeting adjourned.

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