On the heels of a recent Forbes blog post where I call out Texas' Comptroller for playing favorites in her biased scrutiny of Texas' wind industry, comes another Forbes piece by James Taylor from the Heartland Institute. Confusing correlation with causation, Taylor claims wind energy causes higher energy prices. However, an increase in electricity prices cannot automatically be accounted for by pointing the finger at wind energy. That’s simply playing fast and loose with the facts.
This is the same tired slant we have heard from Heartland Institute time and time again. Not surprising – when pundits want to cherry pick data to make their argument strong, it doesn’t always work.
First there are many, many factors that determine energy rates, not just one type of resource. In an analysis of utility rates, economists Ernst Berndt, Roy Epstein, and Michael Doane identified 13 reasons why an electric utility’s rates may be higher or lower than the average. They include things like the average use per customer, age of the electricity distribution system, generation resource mix, local taxes, and rate of increases prior to any implemented renewable portfolio standard (RPS). So faulting renewables for high energy prices is a bogus claim. Furthermore, there is no data showing a nationwide pattern of renewable energy standards leading to rate increases for consumers. The report states: “American consumers in the top wind energy-producing states have seen their electricity prices actually decrease by 0.37 percent over the last 5 years, while all other states have seen their electricity prices increase by 7.79 percent over that time period." Further, 15 studies from various grid operators, state governments, and academic experts have examined the impact of wind energy on wholesale electricity prices and confirmed that wind energy reduces electricity prices. Read More
Since 2004, the year of the first major revision of Germany’s Renewable Energy Act (EEG), the country has added at least 35 gigawatts (GW) of solar and 35 GW of wind to its electric grid – enough to offset upwards of 35 coal plants. What’s more impressive is during the first half of 2014, close to 29 percent of Germany’s electricity came from renewable sources. For perspective, America’s renewables percentage, at about 14 percent, was half of Germany’s during this timeframe.
Meanwhile, the country has improved its status as a grid reliability leader, causing the Heinrich Böll Foundation’s Energy Transition blog to conclude, “Clearly, installing the equivalent of 100 percent of peak demand as wind and solar capacity does not bring down the grid.” Renewables International further asserts, “Renewables have not yet reached a penetration level that has detrimentally impacted grid reliability.”
This success runs contrary to the predictions of Energiewende’s critics, who have sounded the alarms about investing in “too much” renewable energy. Some of these concerns are more valid than others, but the truth is, most of these claims are blown out of proportion, fixable with solutions that are not overly complex, and/or based on no empirical data. Read More
Since EPA released its proposed Clean Power Plan (CPP) in June of this year, the plan has been a hot topic in every state. In Texas alone, the state has held a joint regulatory agency hearing and two days of legislative hearings. Unfortunately, in both cases, the general tone of testimony was that of Chicken Little. But I prefer to view the CPP as a fantastic opportunity and certainly don’t think the sky will fall because of it. In fact, our skies should be considerably brighter without all that carbon pollution clouding them up.
I’ve written before about the opportunity for Texas to amplify current trends and increase our energy efficiency and renewable energy to meet these goals. And there’s an added benefit to transitioning away from coal-fired power plants and toward cleaner energy choices, one that will be critical in a state like Texas that’s in the middle of a multi-year drought: water savings and relief for our parched state.
What if I told you that with the CPP, the Electric Reliability Council of Texas (ERCOT), which controls the power grid for roughly 80 percent of the state, could save more than 60,000 acre-feet (or nearly 21 billion gallons) of water per year by 2030? Read More
Fall is in the air, the State Fair of Texas is in full swing, and the annual meeting of the University of Texas (UT) and the University of Oklahoma (OU) will occur at Dallas' Cotton Bowl this weekend. One of the greatest football rivalries in the Big 12, UT and OU have been battling it out since 1900. Even the governors of both states frequently place bets on the game, like the losing governor having to present a side of beef to the winning governor.
And, while Sooners and Longhorns may not easily take advice from each other, Texas utilities should take a few lessons from Oklahoma Gas & Electric (OG&E). OG&E is Oklahoma's regulated utility serving over 800,000 customers in Oklahoma and western Arkansas.
Here in Texas, we are proud of many things from our "don't fence me in" ethos and wide-open landscapes to our self-reliance and abundant natural resources. Not too many states have the type of pride that Texas possesses (kitschy or otherwise). That pride extends to our innovative energy utilities as well, like Green Mountain Energy, Austin Energy, and CPS Energy in San Antonio, all of which are helping lead the state into the new energy sphere. Read More
A majority of Americans endorse setting limits on carbon emissions from the nation's power plants, which account for the single largest source of carbon pollution in the U.S. The United States is on the verge of doing just that with EPA's proposed Clean Power Plan.
Nationally, the plan will reduce carbon emissions from power plants 30 percent below 2005 levels by 2030. However, these carbon-reduction mandates vary from state-to-state, which will cumulatively lead to a nation-wide reduction of 30 percent.
In North Carolina, where I live, the plan requires the state to reduce absolute carbon emissions about 21 percent by 2030 from a 2012 baseline, according to an analysis by Bloomberg New Energy Finance. Read More
Source: Frank M. Rafik
Economics is the focus of many debates surrounding Germany’s aggressive “energy transition” (or Energiewende), which plans to move the country to nearly 100 percent renewable energy by 2050. Critics say Energiewende’s costs are unjustifiable, arguing they hurt the country’s international competitiveness and systemic inefficiencies exacerbate these costs.
At first glance, it’s hard to argue with them. The scale of investment in Energiewende can seem intimidating: So far, Bloomberg New Energy Finance estimates the total cost of Germany’s clean energy expansion at €106 billion. Furthermore, the Wall Street Journal quotes government sources when predicting total costs through 2040 to be about €1 trillion.
By contrast, however, Germany’s annual investment in fossil fuels has been €90 billion; and, investments in Energiewende go into electric grid upgrades that would need to happen in Germany anyway, whereas fossil fuel investments leave the country.
When viewed in context, there are many reasons to believe investments in Energiewende will reap economy-wide rewards, giving Germany a competitive global advantage over other countries that lagged behind investing in the future.
Recently, the Texas Comptroller, Susan Combs, decided to come out swinging against renewable energy, specifically wind, in a report entitled Texas Power Challenge: Getting the Most From Your Energy Dollars. It would be easier to take this report seriously if it applied the same pressure and scrutiny to the oil, gas, and coal industries, which have received subsidies and incentives hand over fist. But, no, the attacks seem to focus only on renewables.
What’s worse is the Comptroller’s report is not based in fact. One of the main points of contention is the CREZ transmission lines that were built to ease the bottle-necked energy congestion in West Texas. Yes, this congestion was partly due to more wind energy on the power grid needing to make its way to cities in the East, but natural gas very much benefited from the added transmission lines as well. Even Railroad Commissioner Barry Smitherman, a Republican ally of Combs', took her to task for this in a statement to the Texas Energy Report: Read More
Also posted in Clean Energy, Texas
By: Supraja Sudharsan, student at Georgia Institute of Technology
What does it take for a manufacturing firm with 24/7 operations to incorporate sustainability goals into its daily activities? I learned the answer to the question this summer at Owens Corning.
Owens Corning is an innovator in fiberglas™ technology operating in 27 countries around the world, with its products’ end-uses ranging from insulation and roofing shingles to wind turbines. The company has been a member of the Dow Jones Sustainability World Index for the last five years, and has rallied around climate change issues to achieve key milestones in its energy intensity and greenhouse gas reduction goals since 2002. Having picked the so-called “low hanging fruits” in energy efficiency, Owens Corning now aspires to purchase 100 percent of its primary energy from renewables. In this, the company’s most recent milestone has been the installation of the largest onsite solar PV system in New York State funded by the New York Sun program in 2013.
One reason this has been possible is due to a shift in the cost of renewable technology, with solar and wind approaching grid parity in some regions of the United States. This has provided an opportunity to enter the renewables space that did not exist a few years back. Technologies like net metering, which allows businesses to sell excess clean energy back to the grid and profit from their renewable deployment, and availability of third party energy suppliers in some states, as well as a means to track and retire the renewable certificates and the reporting standards that have emerged around these, have all been crucial for enabling this shift towards greater renewables. Read More
Also posted in Clean Energy
By: Qiao Feng, Clean Energy Research Intern, and Peter Sopher, Clean Energy Policy Analyst
Last week, amidst the U.N. Climate Summit and historic climate march, governments, investors, and financial institutions took the opportunity to make big announcements about their investment in clean energy. Bank of America announced a $10 billion initiative to speed up investment in clean energy, U.N. climate leaders announced a public-private partnership to mobilize more than $200 billion in clean energy financing globally, and New York proposed a $5 billion clean energy fund that could replace the city’s soon-to-expire renewable-energy and efficiency mandates.
So clean energy finance must be skyrocketing upward, right? It’s hard to know now what the 2014 numbers will bear, and we probably won’t see that kind of analysis till 2015, but looking at global investment in renewable power and fuels (excluding large hydro-electric projects) for 2013, these numbers were 14 percent lower than investments in 2012, and 23 percent below the 2011 record, suggesting a downward trend.
However, as conveyed in the Bloomberg New Energy Finance (BNEF) report, Global Trends in Renewable Energy Investment 2014, if the drop in renewable investment were a cloud, it would have several silver linings: Read More
Last night, EDF, CleanTX, Pecan Street Inc., and Google hosted one of the clean energy events of the season.
We brought everyone in the Austin clean energy community – from legislators to cleantech entrepreneurs to EDF members – together to celebrate the tremendous progress our great city has made as a clean energy leader over the years, serving as an incubator and hub for some of the most exciting and innovative companies in the clean tech sector. After all, it is the collective hard work and dedication of everyone that put Austin on the map as a global leader in the clean energy economy.
We also kicked off the evening with a screening of our new video that highlights what the smart grid is doing for American energy. Set in Austin’s Mueller neighborhood, one of the world’s largest green-built communities and Pecan Street Inc.’s testbed for energy innovation, this short film tells the dynamic story of a clean energy future from within the American home. It gives people who live in a connected community a chance to express what clean energy means to them personally, from independence and innovation to health and reliability. The heroes of the film are ordinary people from the community who are part of this quiet revolution.