Author Archives: EDF Blogs

Lighting the Way to Energy Savings and Job Growth in North Carolina

By: Greg Andeck, EDF senior clean energy manager, and Ivan Urlaub, executive director of the NC Sustainable Energy Association

incandescent-72139_1280Rapid declines in the price of light emitting diodes (LED) technology suggest that the next generation of energy efficient lighting – LED bulbs – is on the verge of widespread adoption. LED bulbs will eventually make traditional, energy-hogging incandescent bulbs a thing of the past.

Price goes down, energy savings go up

In North Carolina, for example, one of the world’s largest LED bulb manufacturers, Cree, recently announced a new bulb that is up to 82 percent more efficient than an incandescent bulb. The bulb sells for about $8 at Home Depot, a price that means the bulb will pay for itself in energy savings in about a year.

That's a smart energy choice in the home – and a bargain. In 2013, the same wattage LED bulb was about $13, illustrating the dramatic cost reductions that are occurring throughout the industry.

Companies adopt efficient lighting

Some of the largest companies in the world are beginning to make LEDs the default lighting choice in their buildings. Food Lion and Walmart, for example, have introduced LED lights into their in-store refrigerators in North Carolina. LEDs emit very little heat, reducing electric bills in the refrigerated section. Read More »

Posted in Clean Energy, Energy Efficiency, North Carolina| Tagged | Leave a comment

Untapped Incentives for Energy Efficiency Projects

By: Abraham Weiner, 2013 EDF Climate Corps Alumnus

money presentAs an EDF Climate Corps fellow back in 2013, one task that was of particular interest to me was figuring out how to help my host organization fund, in whole or in part, its efficiency upgrades. In my research, the most unique funding source I found was the energy efficiency forward capacity market.

This program allows those who invested in energy efficiency over the last several years to go back and obtain additional incentive dollars on top of traditional utility rebates. This is essentially free money for organizations who have invested in efficiency measures. In fact, when I was a fellow, I identified over $50,000 in incentives that my EDF Climate Corps host organization was eligible for from projects completed before I even arrived.

In order to explain how this program works, I need to explain who PJM is and what they do. PJM Interconnection is a regional transmission organization. They coordinate the activity of suppliers, generators, and utilities to maintain an adequate flow of electricity on the grid. Their territory touches 13 states and the District of Columbia, and they are the largest electricity market in the world. They are also unique because they allow energy efficiency to participate in their forward capacity markets. Fortunately, my EDF Climate Corps host organization was in their territory. Read More »

Posted in Clean Energy, Energy Efficiency| Tagged | Leave a comment

Smart Meters Need Effective Electricity Pricing to Deliver Their Full Benefits

By: Beia Spiller, Economist, and Kristina Mohlin, Economist

walletSmart meters, which provide detailed electricity use data throughout the day, are a critical piece of a smarter, more resilient 21st century energy system. But they are not a cure-all for modernizing our antiquated power grid.

In Matthew Wald’s recent New York Times article, entitled “Power Savings of Smart Meters Prove Slow to Materialize,” he argues that smart meters have failed to produce measurable savings. And we agree – but not because smart meters themselves have failed. Rather, most customers with smart meters don’t have access to people-powered, or time-variant, electricity pricing, which creates opportunities to save money. This is a missed opportunity for customers, utilities, and the environment.

Time-variant pricing better reflects electricity costs

Throughout most of the country, the price paid for residential electricity is the same regardless of the time of day when it’s consumed. This arrangement is a byproduct of an earlier era, one in which electricity information was difficult to convey and the actions of individual customers was impossible to gauge in real time. In practice, electricity is actually dirtier and more expensive to produce and transmit at certain times of the day, particularly when everybody wants it – for example, at 6pm during a heat wave when customers are cooling their homes. Also, during this high-demand time, energy prices spike and electric utilities flip on expensive and dirty fossil fuel “peaker” power plants to meet energy demand. From an economic point of view, it would be more efficient for electricity used at these peak demand times to have a higher price. Read More »

Posted in Clean Energy, Electricity Pricing, Smart Grid| 6 Responses

Utility 2.0: New York Draws Lessons on Utility Regulation from Across the Pond

By: Gavin Purchas, Acting Director, Idea Bank, and Elizabeth B. Stein, Attorney

parliament-544751_1280When the New York Public Service Commission (Commission) opened its historic “Reforming the Energy Vision” (REV) proceeding earlier this year, it recognized that the way utility companies have been regulated is out of sync with innovations in technology, business realities, and evolving customer needs,  including the need to reduce harmful pollution. In order for utility companies to become part of the solution, the Commission has made it clear that everything is up for grabs – even the basic regulatory paradigm governing how utility companies do business in New York.

Luckily, the Commission won’t have to completely reinvent the wheel since a new regulatory paradigm from the United Kingdom could serve as a potential model. This regulatory approach is known as RIIO and is based on the following formulation: Revenues = Incentives + Innovation + Outputs. RIIO was developed by the UK regulatory body, Office of Gas and Electricity Markets, after the country recognized that its previous framework – while extremely effective at achieving cost reductions – stymied innovation. RIIO includes several elements that may be useful in the New York setting, including: Read More »

Posted in Clean Energy, Demand Response, New York, Utility Business Models| 3 Responses

Can Birds and Wind Energy Co-exist?

By: Stacy Small-Lorenz, Conservation Scientist, and Jim Marston, Vice President, US Climate and Energy

farm-62260_1280Climate change will have major impacts on birds and their habitats, according to a recent report from the National Audubon Society. Scientists project climate change will drastically alter and shrink habitats in the U.S. for many bird species. These findings add to mounting evidence that natural systems are at serious risk for climate change impacts, which we must act swiftly to mitigate.

One solution is to adopt more clean, renewable energy. Utilities have been investing in large-scale wind energy farms at an impressive rate, resulting in 127 million tons of avoided carbon dioxide a year in the U.S. – the equivalent of taking 20 million cars off the road.

But a tricky challenge persists in the effort to make our energy system more sustainable overall: large, utility-scale wind energy developments have been known to kill bats and birds and risk fragmenting sensitive habitats. And while wind turbines kill far fewer songbirds than building collisions or cats, raptors and bats are still at risk for turbine collisions. Read More »

Posted in Clean Energy, Climate, Energy Efficiency, Renewable Energy| Tagged , | Comments closed

Demand Soars for Green Bonds

By: Namrita Kapur, Managing Director of the Corporate Partnership Program  

OLYMPUS DIGITAL CAMERAAs noted in my last post on green bonds, there has been a recent dramatic growth in green bond issuance. Supply is responding to burgeoning demand. Quite simply, investors are snapping up these debt instruments that are linked to an environmental benefit. Three recent transactions highlight this seemingly insatiable appetite:

  • Massachusetts’ sale of $350 million in green bonds in September attracted more than $1 billion in demand from retail investors and institutions. This — the state’s second green bond issuance — will fund clean water, energy efficiency, open space protection, and river preservation projects.
  • The order book for the Nordic Investment Bank’s $500 million green bond issue quickly climbed to $800 million, with more than a third of investors being new to NIB. This bond will funnel proceeds to climate-friendly projects in Nordic countries, such as renewables, energy efficiency, green transportation, and wastewater treatment.
  • In September, the World Bank tripled the size of its planned structured green bond to $30 million in response to investor demand, raising more than expected for climate projects, such as energy and forestry initiatives. Since its first green issuance in 2008, the World Bank reports raising more than $7 billion from 77 bonds in 17 currencies.

Read More »

Posted in Clean Energy, Energy Financing| Tagged | Comments closed
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    From time to time, the Energy Exchange blog includes posts from infrequent contributors, such as other EDF scientists and staff. Since these authors vary, we use this standard author bio profile for guest posts. For more information about this author, please see his/her link at the beginning of the post.

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