By David A. Hill, Executive Editor

His critics will never acknowledge it, but executive leadership like the kind provided by Governor Ritter can make a critical difference in a state’s economic well-being, even in the depths of a severe recession.

The Governor became the point main for Colorado’s strategy to attract renewable energy business not long after his swearing in ceremony back in 2006. Now, four years later, we have a greater appreciation for his efforts and foresight, as today our state is home to an impressive and growing number of clean energy companies. In interviews with Colorado Energy News and other media outlets, their executives acknowledge they are here, in large part, because of a receptive public policy environment, our top flight educational and R&D facilities, and highly skilled workforce — all cornerstones of Ritter’s New Energy Economy.

Think we’re overstating the case?

Just take what recently took place in Arizona, a state never known for consistent legislative policy-making. In our sunny neighbor to the south, a bill had been making its way through the state legislature, sponsored by Republican Debbie Lesko, that renewable energy advocates said would have crippled the solar industry. To their relief, and that of many local ecomomic leaders, she withdrew HB 2701 this week, after a firestorm of protest.  

Still, renewable energy businesses are concerned the bill’s sponsorship has eroded confidence in Arizona as a politically stable and solar-friendly place at a time when the state should be welcoming all the new business it can attract, since it is not a diverse energy producing region, with little oil and natural gas development compared to, say, Colorado. Last year’s tax-incentive law played a part in solar giant Suntech’s decision to build a factory in Goodyear, but the company recently indicated it was thinking of canceling those plans as a result of the proposed legislation.

We’ll have to wait and see what Suntech, and other solar-related businesses who were on the verge of committing to Arizona, now do in the wake of the bill’s withdrawal.

HB 2701 bill would have been “an absolute killer to this state from a renewable energy standpoint if it gets any traction,” said Pete Wentis, chairman of an Economic Development Advisory Board in the Phoenix suburb of Chandler,

Lesko’s proposal would have allowed utilities to meet renewable-energy requirements by using nuclear or hydroelectric power at the expense of solar. It would also would impose a second form of regulation on solar. Lesko said she introduced the bill because the Arizona Corporation Commission, which set the standards years ago, overstepped its authority. Creating energy policy should rest with the Legislature, she argued.

“There’s no question that (the bill) would have a depressing effect on solar,” said Rob Melnick, executive dean at the Global Institute of Sustainability at Arizona State University. “No business wants to be double-regulated. Most businesses have enough trouble figuring out one level of regulation.” No doubt, other states would take advantage of this change in Arizona, including Colorado.

“Competitors will exploit this weakness,” Melnick said. He also said various forms of renewable energy should not be forced to compete with one another.

“This shouldn’t be made into an either/or situation,” he said. “Why pit one technology against another? . . . The right balance . . . doesn’t make it a zero-sum game.” He added, “It would be pretty dumb for Arizona to not aggressively pursue solar for its energy needs, economic needs and lifestyle needs.”

Prior to withdrawal of the proposed legislation, the Corporation Commission voted unanimously to oppose the bill. “It’s a disaster for renewable energy in the state of Arizona,” said commission chairwoman Kris Mayes. The new bill is “a job killer in the middle of a terrible recession,” she said. “I simply cannot fathom why any legislator would support a bill that would devastate Arizona’s burgeoning solar economy.”

Makes you appreciate our outgoing Governor, doesn’t it.