The Electric Reliability Council of Texas (ERCOT), which manages 90 percent of Texas’ electric grid, has been busy. In the last two months of 2014, the agency released two very lengthy reports examining the future of a lower-polluting power grid in light of upcoming EPA clean air protections, in particular the Clean Power Plan. As the media described it, the reports did not provide the rosiest of outlooks for costs to Texans or electric reliability. But I think they are looking at the reports the wrong way.
The electric grid is changing. Innovative technologies – many of which are created right here in Texas – are lowering electricity bills and increasing energy independence. They are disrupting the way we produce and use electricity and they are changing the way ERCOT looks at grid reliability – albeit not in these two reports.
Cleantech entrepreneurs are at the helm of deciding Texas’ (and, let’s face it, America’s) energy future. And there are quite a few market opportunities outlined in the reports, if you look closely. Here are a few hidden in the report, plus other trends to keep an eye on: Read More
Source: Armin Kübelbeck, Wikimedia Commons
Well, it didn’t take long before the Electric Reliability Council of Texas (ERCOT) released, at the request of Texas’ very political Public Utilities Commission, another report about the impacts of the Environmental Protection Agency’s (EPA’s) rules designed to protect public health.
This time ERCOT, which manages 90 percent of Texas’ electric grid, looked at the impact of seven EPA clean air safeguards on the electric grid, including the Cross State Air Pollution Rule (CSAPR), the Mercury Air Toxics Standard (MATS), the Regional Haze program (all of which go back before the Obama administration), the proposed Clean Power Plan, which would set the first-ever national limits on carbon pollution from existing power plants, and others. What was surprising to learn, though, is that after power companies in the state start complying with EPA’s other clean air protections, the proposed Clean Power Plan poses a minimal incremental impact to the power grid. We would only have to cut 200 megawatts of coal-fired generation, which equates to less than one coal-fired power plant. Read More
Source: Dpysh w
We knew this was coming. Everyone knew. The power sector is the single largest source of carbon pollution in the U.S. and one of the largest in the world, yet there are no limits on how much carbon power plants can emit into our air. The U.S. Environmental Protection Agency’s Clean Power Plan (CPP) for new and existing power plants is urgently needed, is well within Texas’ reach, and can ensure that Texas (more so than other states) forges a strong and prosperous clean energy economy.
But the Electric Reliability Council of Texas (ERCOT), which manages roughly 90 percent of Texas’ power grid, issued a report this week that overestimates the challenges posed by the CPP to the state’s electric grid reliability. Furthermore, it failed to appropriately recognize key tools available to ERCOT and the state to meet the proposed CPP.
Here’s a breakdown of what the report missed: Read More
Wind technicians working atop a turbine in Sweetwater, Tex.
Source: NY Times
Earlier this month, Texas Public Utility Commission (PUC) chairwoman Donna Nelson called for the federal government to end its renewable energy tax credit for Texas wind and for the end of state policies that have resulted in Texas’ clean energy economy boon. The chairman’s appeal is so devoid of a factual basis it is hard to conclude that this is anything other than part of an orchestrated campaign by fossil fuel interests to stop the growth of renewable energy. Like the other attacks on clean energy, this is more politics than substance.
The federal and state policies that Chairman Nelson wants to eliminate have been great for Texas. Texas ranks first in the nation for wind-related jobs, employing over 8,000—and many of those jobs are keeping agriculture-heavy West Texas and Panhandle communities afloat amid the devastating multi-year drought. Plus, 60% of all wind projects under construction across the country in the first quarter of 2014 were in Texas. And studies (including one produced by the Texas PUC) have shown that electricity prices are lower when more wind energy is installed on the power grid. Read More
We have a lot to celebrate this Global Wind Day (June 15). Across the nation, wind energy accounted for almost one-third of new power capacity over the past five years and the American Wind Energy Association (AWEA) estimates that wind energy has the potential to double over the next few years.
Nowhere is the growth in wind energy more evident than in Texas, the nation’s top wind producing state. Texas' wind energy generation grew by 13% in 2013 and more than 60% of all wind projects under construction in the first part of the year were in Texas.
This success has been aided by the Renewable Energy Production Tax Credit (PTC), a modest tax credit for new facilities good for ten years after the wind farm’s start date. Like those received by the oil, gas, and nuclear industries, tax incentives help ignite growth in the market. EDF has strongly advocated for this incentive over the past few years.
Unfortunately, the breaks that oil and gas have received over the last 100 years are often (conveniently) ignored by those wanting to maintain the status quo, making the PTC a point of debate among politicians. Read More
On Tuesday, I had the pleasure of participating on a panel hosted by the Texas Tribune that centered on the future of Texas’ power grid and electric reliability. Joining me was John Fainter, president and CEO of Association of Electric Companies of Texas, Inc; Trip Doggett, president and CEO of the Electric Reliability Council of Texas; and Doyle Beneby, president and CEO of CPS Energy, San Antonio's municipal utility. The panel, entitled Keeping the Lights on in Texas, took place at and was broadcasted from St. Mary’s University in San Antonio. It's a worthwhile watch and I'm encouraged that Texas Tribune is dedicated to investigating Texas' energy issues.
For about an hour, we discussed a variety of aspects in the current and future energy landscape of the Lone Star State. In particular, I focused on the exciting shift to give people power over their electricity use, save money, and help the environment with every flip of the switch.