"Vermont GOP unveils new heating plan"
By Neal Goswami, Bennington Banner Staff Writer, June 18, 2008
BENNINGTON — House Republicans unveiled a new plan Tuesday aimed at alleviating the rising cost of heating fuel that stands to squeeze poor and middle class Vermonters this winter.
Hope to ease burden
Theplan, dubbed the "Harvest to Heat Initiative," will ease the financial burden that high fuel costs present if paired with Republican Gov. James Douglas' "Vermont Fuel and Food Partnership," which was introduced last week, according to its proponents.
"We believe that our three-point approach will help mitigate the high cost of fuel for many Vermonters this winter — putting more money in their pockets, while diversifying our state's energy sources by encouraging more local, renewable heating options," saidAssistant Minority Leader Rep. Patti Komline, R-Dorset.
The first priority of the plan is to address the concerns of the most needy Vermonters, calling for the state's Weatherization Program to install wood stoves and wood pellet stoves for homes that receive weatherization services in conjunction with the Low Income Heating Fuel Assistance Program. Wood pellets and cordwood are roughly half the price of fuel oil this year, according to House Minority Leader Rep. Steven Adams, R-Hartland.
"The increased funding the Weatherization Program would receive in this proposal can be used for the purchase and installation of these stoves," Adams said. "LIHEAP funds can then be used for wood or pellets, effectively doubling the program's purchasing power."
The plan also aims to address the needs of the middle class, who do not qualify for heating fuel assistance, but will struggle to afford anticipated fuel bills.
The plan calls for Douglas to expedite the roll-out of his proposed low-interest loans for heating equipment. Vermont wood stove and wood pellet stove retailers can then participate in the Harvest to Heat Initiative to simplify the purchase/loan arrangement to encourage more Vermonters to make these purchases, which will also support local businesses.
"When we return in January we will sponsor legislation to retroactively repeal the sales tax on wood pellet and wood stoves, effective July 1, 2008. Purchasers would then be able to file for a sales tax rebate and could then use this money to purchase additional wood or pellets," Adams said.
The third part of the plan calls on the Department of Economic Development to "put together a package of incentives that will encourage and nurture start-up wood pellet manufacturing businesses in Vermont."
"This is a renewable, sustainable, green industry which should be established in our Green Mountain State," Komline said. "We know that wood stoves and wood pellet stoves are a viable alternative and addition to diversify our heating systems.
Komline said fuel for those types of stoves is renewable and costs 50 percent less than heating fuels such as oil.
She said 120 gallons of oil equals just one ton of wood pellets, and with oil prices at $4.40 per gallon and pellets at $240 per ton, a household that uses 1,000 gallons of heating fuel can expect to save over $2,500.
Adams and Komline said they would like to see the Legislature's Joint Fiscal Committee take up both the Douglas' proposal and the "Harvest to Heat Initiative" at its next meeting on June 26.
"We have no time to waste," Komline said.
Douglas spokesman Jason Gibbs said Douglas intends to consider the proposal and work with the Legislature to address the problem.
"The governor's view is that all innovative ideas need to be on the table as Vermont works together to address the rising cost of fuel and food for families in our state," Gibbs said. "He looks forward to working with the Republican caucus as well as with other legislators to confront this challenge head on and successfully."
By Neal Goswami, Bennington Banner Staff Writer, June 18, 2008
BENNINGTON — House Republicans unveiled a new plan Tuesday aimed at alleviating the rising cost of heating fuel that stands to squeeze poor and middle class Vermonters this winter.
Hope to ease burden
Theplan, dubbed the "Harvest to Heat Initiative," will ease the financial burden that high fuel costs present if paired with Republican Gov. James Douglas' "Vermont Fuel and Food Partnership," which was introduced last week, according to its proponents.
"We believe that our three-point approach will help mitigate the high cost of fuel for many Vermonters this winter — putting more money in their pockets, while diversifying our state's energy sources by encouraging more local, renewable heating options," saidAssistant Minority Leader Rep. Patti Komline, R-Dorset.
The first priority of the plan is to address the concerns of the most needy Vermonters, calling for the state's Weatherization Program to install wood stoves and wood pellet stoves for homes that receive weatherization services in conjunction with the Low Income Heating Fuel Assistance Program. Wood pellets and cordwood are roughly half the price of fuel oil this year, according to House Minority Leader Rep. Steven Adams, R-Hartland.
"The increased funding the Weatherization Program would receive in this proposal can be used for the purchase and installation of these stoves," Adams said. "LIHEAP funds can then be used for wood or pellets, effectively doubling the program's purchasing power."
The plan also aims to address the needs of the middle class, who do not qualify for heating fuel assistance, but will struggle to afford anticipated fuel bills.
The plan calls for Douglas to expedite the roll-out of his proposed low-interest loans for heating equipment. Vermont wood stove and wood pellet stove retailers can then participate in the Harvest to Heat Initiative to simplify the purchase/loan arrangement to encourage more Vermonters to make these purchases, which will also support local businesses.
"When we return in January we will sponsor legislation to retroactively repeal the sales tax on wood pellet and wood stoves, effective July 1, 2008. Purchasers would then be able to file for a sales tax rebate and could then use this money to purchase additional wood or pellets," Adams said.
The third part of the plan calls on the Department of Economic Development to "put together a package of incentives that will encourage and nurture start-up wood pellet manufacturing businesses in Vermont."
"This is a renewable, sustainable, green industry which should be established in our Green Mountain State," Komline said. "We know that wood stoves and wood pellet stoves are a viable alternative and addition to diversify our heating systems.
Komline said fuel for those types of stoves is renewable and costs 50 percent less than heating fuels such as oil.
She said 120 gallons of oil equals just one ton of wood pellets, and with oil prices at $4.40 per gallon and pellets at $240 per ton, a household that uses 1,000 gallons of heating fuel can expect to save over $2,500.
Adams and Komline said they would like to see the Legislature's Joint Fiscal Committee take up both the Douglas' proposal and the "Harvest to Heat Initiative" at its next meeting on June 26.
"We have no time to waste," Komline said.
Douglas spokesman Jason Gibbs said Douglas intends to consider the proposal and work with the Legislature to address the problem.
"The governor's view is that all innovative ideas need to be on the table as Vermont works together to address the rising cost of fuel and food for families in our state," Gibbs said. "He looks forward to working with the Republican caucus as well as with other legislators to confront this challenge head on and successfully."