State budget woes jeopardize environmental funding

Environmental groups say Connecticut’s landmark climate change programs — greenhouse gas reduction initiatives and the Green Bank — are being sacrificed to close the state budget deficit.

“While the federal government chooses to ignore the real impacts of climate change, it’s up to the states to pick up the slack,” said Louis Burch, program director for the Citizens Campaign for the Environment.

“These debilitating cuts will set Connecticut back even further on fighting climate change,” Burch said.

Burch was joined this week by representatives of 10 other environmental groups in denouncing tens of millions of dollars in proposed cuts to green energy programs in dueling budgets from the General Assembly’s Democratic and Republican caucuses.

The Republican plan — passed by the House and Senate with the help of eight Democrats — drew the most criticism, because it contains the largest cutbacks. Gov. Dannel P. Malloy vetoed the GOP budget this week, sending lawmakers back to square one.

Burch said as legislators search for a budget compromise, the temptation will grow to cut green programs intended to lessen the impact of climate change.

“This is a non-partisan message we are trying to put out that there are folks on both sides that supported these cuts,” Burch said.

Chris Phelps, state director for Environment Connecticut, said the proposed green cuts would cost jobs and harm the environment.

More Information Targeted The GOP budget plan vetoed by the governor this week would slash $26 million over two years from the state’s Green Bank and remove $20 million over two years from the Regional Greenhouse Gas Initiative signed with nine other states.

“If insanity is doing the same thing over and over again but expecting different results, then raiding ratepayer clean energy funds that strengthen Connecticut’s economy and cut pollution is budgetary insanity,” Phelps said.

Deep reductions

The GOP budget plan would slash $26 million over two years from the state’s Green Bank, which represents half of its direct funding, and remove $20 million over two years from the Regional Greenhouse Gas Initiative signed with nine other states.

The Green Bank loans money to homeowners and businesses for alternative energy conversion projects, such as solar arrays and other clean energy options. The Green Bank is credited with creating more than 12,000 direct and over 30,000 indirect jobs, many of which are highly skilled, technical jobs.

The RGGI is the first market-based program in the U.S in which energy producers bid against each other for the right to emit carbon. The proceeds from those auctions, along with state funds, are used to help pay for renewable energy projects that reduce carbon emissions.

The General Assembly’s majority Democrats — with Malloy’s support — proposed cutting $31.6 million over two years from the state’s Clean Energy Fund. That decrease was somewhat offset by increasing a surcharge on electric bills to bring in $21.6 million over two years.

The Clean Energy Fund is used to help homeowners improve energy efficiency and lower monthly utility bills.

Chris Collibee, a spokesman for Malloy, said the governor faced many difficult decisions.

“In order to present, and ultimately arrive at a balanced budget, many difficult decisions are going to have to be made when it comes to both expenditures and revenue,” Collibee said. “However, (Malloy) will not lose sight of his core values, including protecting our environment.”

Senate Majority Leader Bob Duff, D-Norwalk, said the Republican cuts to the Green Bank would damage the state’s growing green industry.

“Now is not the time to cut investments in a growing industry,” Duff said. “The Green Bank has created thousands of jobs in Connecticut, including right here in Norwalk.”

State Sen. Scott Frantz, R-Greenwich and one of a handful of GOP members who helped write the Republican budget, said cutting green funding came down to a choice between fully funding the climate change programs or diverting money to social services that help disabled residents and those in serious need.

“We can come back to this,” Frantz said, referring to green funding. “And some Democrats felt the same way too.”

Energy and jobs

David Sutherland, director of government relations for The Nature Conservancy’s Connecticut chapter, said the Green Bank must be protected.

“Connecticut’s Green Bank is a rarity these days, a highly successful, financially innovative program that was established with broad bi-partisan support, that reduces greenhouse gas emissions and saves residents and businesses money on their energy bills,” Sutherland said.

Claire Coleman, a climate and energy attorney with the Connecticut Fund for the Environment, said raiding the Green Bank and the RGGI is the wrong approach.

“Slashing the Green Bank and raiding funds from the RGGI would harm both Connecticut’s economy and health for years to come,” Coleman said. “These programs not only save Connecticut families money, they also save lives and cut health care costs by reducing unhealthy pollution.”

John Harrity, president of the Connecticut State Council of Machinists and member of the Connecticut Roundtable on Climate and Jobs, said thousands of jobs depend on the state’s green energy programs

“This diversion will do little to address the state’s overall deficit, but will have a profound impact on programs that help cut energy costs while reducing fossil fuel use,” Harrity said.