Dive Brief:
- An independent audit of state-funded renewable energy projects in Oregon discovered "suspicious activity" in roughly 79 projects, and could lead to criminal charges after a review by the state's Department of Justice, the Bend Bulletin reports.
- The Department of Energy funded about $1 billion in projects between 2006 and 2014 through Business Energy Tax Credits, and the report casts doubt on almost $350 million in funding. Some projects were never brought online, others were not feasible, and for some there is missing documentation.
- The Bulletin reports the audit could lead to broad changes at the state's DOE, possibly becoming the go-to agency for pursuit of Oregon's climate goals.
Dive Insight:
Oregon's renewables goals are among the most ambitious in the nation, with Gov. Kate Brown (D) signing off on a bill earlier this year to source 50% of the electricity from renewables by 2040, and phase out coal-fired generation. Despite such advances, the state's Department of Energy is now under scrutiny for past renewable energy projects, suggesting the agency was unprepared for managing an onslaught of programs.
The newspaper obtained documents that show Gov. Brown is considering ending three tax credits the DOE is charged with overseeing, possibly followed by the development of a new program aimed at reducing greenhouse gas emissions.
The audit recommends hiring a risk and compliance officer at DOE, evaluating workflow and staffing, establishing a federal crime compliance program and instituting quarterly reviews. The document also recommends literally eliminating "rubber stamping," along with banning the use of whiteout and other forms of document manipulation. A copy of the report can be found here.
While the state's DOJ will take a look at the projects under scrutiny, Oregon is moving forward with an ambitious timeline for a slate of dockets examining community solar, electric vehicles, demand response, energy storage, renewable incentives and a review of avoided cost methodology.