REFIT Arkansas bill fails in roll call vote

After considerable debate this morning, the House Insurance & Commerce Committee reconvened upon adjournment of floor votes this afternoon to continue debate on Rep. Kathy Webb's HB 1851, known as REFIT Arkansas (Renewable Energy Feed in Tariff). This bill calls for utility companies to purchase up to two percent of their electricity from renewable energy sources in Arkansas. Essentially, under this bill, individuals and small businesses would be rewarded for installing renewable energy sources. It had the support of the governor and PSC, and it was opposed by the Chamber, utilities and others.

The state Chamber's notice stated that "renewable energy resources are more expensive than conventional power plants and have been projected to cost from 20-50cents per kilowatt hour -- the current average price of electricity in Arkansas is just over seven cents per kilowatt hour." They estimated the impact on Arkansas ratepayers to be approximately $75 million. The advocates of the bill stated it would not affect ratepayers and would have led to an estimated conumer savings of up to $700 million while creating jobs across the state. It failed on a roll call vote with 6 voting for and 8 against.