O’Malley looks to green energy for successful session

Published January 25, 2012 5:00am ET



The success of Maryland Gov. Martin O’Malley’s 2012 agenda largely will hinge on his ability to push a series of environmental initiatives through a legislature wary of the financial implications of his green energy blueprint. O’Malley is already facing resistance over his plan to double the state’s “flush” tax, which would cost Marylanders an average of $60 a year to aid Chesapeake Bay cleanup efforts.

And he is expected in the coming days to announce a proposed increase in the state’s 23.5-cents-per-gallon gas tax, a charge that has remained the same for decades.

“Personally, I’d like to see us get away from a commodity tax, especially when it’s a commodity that we hope that green cars and hybrids and plug-ins will reduce the consumption of,” O’Malley previously said.

The governor has long argued that, if the state is to remain economically competitive, it must kick-start green energy projects in the nascent stages of production overseas — which have yet to take off domestically over concerns about expenses — and curb dependence on traditional energy sources.

The gas tax helps pay for bridge and road repair, but in recent years, O’Malley has moved most of the state’s gas tax revenue into the general fund to help close budget shortfalls. The transportation fund is suffering from an estimated $800 million shortfall in the coming fiscal year, according to a state-appointed commission charged with finding ways to replenish the money.

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  • And the governor recently restarted his bid to develop an offshore wind farm on the Atlantic Coast, modifying a proposal last year that was the source of his biggest legislative defeat.

    The General Assembly last year balked at passing the cost of wind power onto electricity ratepayers. This time around, O’Malley has recommended capping the wind subsidies at $2 more per month than normal electricity costs.

    It remains to be seen whether that shift will entice offshore production or sway skeptical lawmakers, but O’Malley is eager to deliver on one of the bedrocks of his national pitch to the Democratic base.

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