Growers Need To Embrace The Energy Revolution
Energy has changed dramatically over the last two decades. The U.S. was once on an interminable upward trend in terms of oil consumption, but in the last eight years, the country’s consumption has fallen by nearly 10%. Energy independence seemed impossible, but new technologies have unleashed a century’s worth of clean, affordable, domestic fuel sources.
It is clear we are in the early stages of an energy revolution, with profound potential for our state and our nation. Florida must capitalize on the opportunities available, but we must take a thoughtful approach in doing so.
We must take an all-of-the-above approach to energy policy. We should help investors, businesses, and consumers capitalize on the opportunities available, but without the government picking winners and losers. We must rely on the free market to determine what works and what does not.
I plan to work with my partners in the Florida legislature to develop legislative measures that will help Florida capitalize on the opportunities available. More specifically, we’ll work to: reduce energy costs for businesses, including agriculture; reduce energy costs for consumers; identify energy infrastructure needs; and support energy innovation.
Three-Part Plan Of Action
First, to reduce energy costs for businesses, I propose we cut state taxes businesses pay on electricity in half. Currently, businesses pay a 7% tax on energy consumption. By cutting this tax in half over three years, we could save Florida businesses $250 million a year. That’s real money to Florida’s small businesses, money they could use to grow their businesses and create jobs.
We then should shift the revenues from the remaining 3.5% tax to support Florida’s education system. We know that Florida’s future prosperity is rooted in education. Strong education breeds innovators, researchers, and academics. By directing the remaining revenues from the state electricity tax on businesses, we could invest an estimated $250 million annually in Florida’s future.
Part two of the plan is to cut taxes that consumers pay. I propose a tax-free holiday weekend for consumers to purchase energy efficient appliances without paying a sales tax. Not only would consumers save money on the purchase of Energy Star and WaterSense appliances that cost less than $1,500, they would increase their home’s energy efficiency and save money on utility bills.
Give It Some Gas
The final piece of the package is a request for an analysis of Florida’s energy and dependence on natural gas. It is a cornerstone of how many of our farms are powered. Natural gas makes up for about 60% of Florida’s power generation, making this state second in the country for natural gas dependence. We can only expect that to grow. The proposed analysis and long-range forecast of Florida’s natural gas usage will evaluate the impact of our growing reliance on one fuel source and assess long-term infrastructure and transportation needs. I believe the findings would help Florida businesses and policymakers make more informed decisions moving forward.
In addition to these three legislative proposals, we also are going to support energy innovation with the launch of the state’s first Clean Energy Research and Development Match Fund. We’re going to invest up to $4 million to match funds from the federal government or private organizations that support Florida research and development. This program will not require legislative action or additional funding. Instead, we’re redirecting funds from Renewable Energy and Energy-Efficient Technologies Grant projects that were not completed or did not achieve their goals. We are going to make sure these taxpayer dollars go to good use and invest in Florida’s energy future.