REPORT: RENEWABLE ENERGY MANDATES – A POOR INVESTMENT FOR RI

The RI Center for Freedom & Prosperity’s report Renewable Energy in Rhode Island: Big Cost, Little Difference finds that the Ocean State’s renewable energy policies are economically harmful and environmentally inefficient. The study estimates that to meet the state’s renewable portfolio standard (RPS) of 14.5%, Rhode Island ratepayers will bear significant long-term costs, including sustained increases in electricity prices of up to 18% and a net loss of thousands of jobs. Despite its proximity to the ocean, Rhode Island suffers from low wind and solar capacity factors, making renewable energy both more expensive and less reliable.

The report argues that Rhode Island’s heavy reliance on natural gas already ensures a relatively low carbon footprint, making further renewable mandates an inefficient strategy for reducing emissions. The cost per ton of carbon dioxide avoided through RPS compliance far exceeds federal benchmarks, and the economic tradeoff includes over $800 million per year in lost economic output and up to 6,000 fewer jobs annually. The Center concludes that RPS mandates impose unjustifiable costs with minimal environmental benefit and recommends that policymakers reverse course before further economic harm is done.