Manufacturing 2012 Manufacturing Report | Page 5

“Manufacturing is key to the economic viability of the state of Washington. The jobs provided by and the global presence of the industry will maintain Washington state’s leadership in manufacturing.” — Bill Lampson, President, Lampson International, Kennewick 70.1 percent of its energy from hydropower (Source: 2011 AWB Greenbook). This competitive advantage of renewable and inexpensive power is attractive to businesses looking at locating in the state and existing businesses that have reached the point of expansion. Initiative 937, passed by the voters in 2006, requires utilities to buy 15 percent of their electricity from renewable sources by 2020 — and it limits the purchase area to western Montana, northern Idaho, Oregon or Washington. Furthermore, the initiative excludes hydropower, even though hydropower produces 70 percent of our state’s electricity. Changes to I-937 are necessary to keep Washington state businesses competitive and prevent big increases in power rates. Washington state manufacturers attending AWB’s regional manufacturing meetings identified the following key issues concerning power rates in our state: • There is currently a credit on some of the power generated in the state of Washington. • This credit will expire, but is permanent in other states, threatening the viability of industry in the state. • The definition of renewable energy must be modified. No. 5 washington’s rank in per capita emissions from electric power generation 70.1% from hydropower