BOONE—N.C. leaders from business, industry, government and higher education convened at Appalachian State University recently to discuss ways to improve the state’s economy through energy and environmental policies.

The summit was cohosted by Appalachian and the Institute for Emerging Issues (IEI) based at NC State University.

Participants were asked to consider the tradeoffs facing the state’s energy future during the next 30 years. These tradeoffs will become more painful given projected increases in energy demand and the corresponding impact on the environment, said Todd Cherry, a fellow at IEI and a professor of economics in Appalachian’s Walker College of Business who helped organize the energy summit.

“IEI is a leading public policy institute for North Carolina, and it is embarking on a new program to facilitate high-level debates over the state’s energy future,” said Cherry. “The intent is to improve North Carolina’s economy by adopting reliable and diverse energy supplies at reasonable prices with minimal impact to the environment.”

He said the state’s environment, economy and energy use are closely linked, and policies related to one area affect the others.

“The environment and economy are directly linked, and policy aimed to influence one is inherently policy that will affect the other,” Cherry said. “Energy policies clearly illustrate this connection.”

He said organizers were pleased that the summit achieved significant progress in how state leaders think about the issue. “There was a general consensus that North Carolina should better position itself in the changing and uncertain energy market,” Cherry said. “The environment is a vital component to our quality of life and our well-being, but so are many other things that demand energy production and consumption. We must find a way to balance our interests, while ensuring our future.”

Those steps include using risk management strategies to better withstand fluctuations in energy markets.

“We should consider greater diversification,” Cherry said.  “Our energy should be produced using many different sources so we are more insulated if problems arise with one or two sources.  Also, our resources should come from many different places—preferably friendly ones—so we are more insulated if problems arise with one or two providers.”

The state is debating a renewable portfolio standard, Cherry said, along with other measures. “There will be winners and losers with any policy change, but the state can be better positioned for these changes if it is proactive.”

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