Energy Exchange

New York’s REV Proceeding Envisions a New Clean Energy Marketplace – but How Clean is it?

nyc downtownDespite its enormous relevance to the struggle to build a cleaner, greener electric system, New York’s ‘Reforming the Energy Vision’ (REV) proceeding is not fundamentally an environmental one. It is concerned with building a new electric marketplace for a broad range of energy resources, some zero-carbon and some not, which are expected to reduce total costs paid by tomorrow’s customers over the long term compared to what would be expected under a ’business as usual’ scenario.

My last blog post described the new electric industry market structure envisioned by New York regulators in the recent Track 1 order of the REV proceeding. As promised, this week I’m providing a closer look at the environmental implications of the new order.

While reducing carbon emissions is one of the six stated goals of the proceeding, it is not the sole thrust. Interestingly, the order begins a deep dive on what decarbonization means for the electric system and discusses various environmental issues at length, potentially raising their profile in the proceeding. Highlighting the importance of environmental issues is a welcome change, but, to accomplish the goal of emissions reductions, the devil is in the details. Read More »

Also posted in Clean Energy, Electricity Pricing, Grid Modernization, New York, Renewable Energy, Utility Business Models / Read 2 Responses

A Roundup of Energy, Water, and Climate Bills in the 84th Texas Legislative Session

Source: flickr/Paul Woolrich

We’ve almost made it to the midway point of the 84th Session of the Texas Legislature. As many already know, the Texas Legislature only meets from January to May every other year, so a lot has to get done in these few months.

This midway point is critical because it marks the deadline for Representatives and Senators to file bills, and it signals the rush to the finish line. Once we pass this point, the speed picks up substantially, as do the working hours and pressure.

Most bills that are filed will not make it to the Governor’s desk – for any number of reasons. But it is a good time to check in to see which climate, clean energy, and energy-water nexus bills have been filed this Session. Here’s a look at a few that are likely to rise to the top, and ones we hope will cross the finish line by June 1st. Read More »

Also posted in Clean Energy, Clean Power Plan, Energy-Water Nexus, Texas / Comments are closed

Ohio Pressed Pause on Economic Growth When It Froze Its Clean Energy Standards

BldgWindSite_SP1141512_PArnold_RFOhio shot itself in the foot last year and we’re only now learning just how bad the damage is.

In May of 2014, the Ohio Legislature froze the state’s energy efficiency and renewable energy standards as a result of political pressure from Ohio’s largest power company, FirstEnergy, and other groups. This freeze came after efficiency measures led to more than $1 billion in savings for Ohioans, clean energy companies invested more than $660 million in 2012 alone, Ohio boasted the nation’s largest number of wind-component manufacturing facilities, and the state created 43,000 in-state jobs within the clean energy sector.

Needless to say, from 2008, when Ohio enacted its clean energy standards, to 2014, when it froze them, the Buckeye State was a clean energy powerhouse. But, as the Center for American Progress reports, when Ohio put a freeze on its clean energy economy, it hit the pause button on its entire economy.

According to the report, the freeze cost Ohio millions of dollars in energy investment. That equates to job losses, cancelled projects that would have brought sustained tax revenue to Ohio, and shifting operations to other, business-friendly states. Read More »

Also posted in Clean Energy, Ohio, Renewable Energy / Read 2 Responses

Illinois Steps Up and Gives Energy Efficiency the Respect It Deserves

Source: flickr/justinwkern

Source: flickr/justinwkern

Energy efficiency may be the Rodney Dangerfield of electricity policy. Compared to bulky power plants, it gets little respect.

Part of the problem is efficiency is hard to visualize. A new refrigerator, even if it uses 50 percent less power, still looks like a refrigerator. And, insulation is buried within walls, whereas it’s hard to miss a nuclear reactor or even a wind turbine.

Another issue is power companies see efficiency as competition and want to limit its development. FirstEnergy, for instance, lobbied to freeze Ohio’s energy efficiency standards, abandoned its own conservation programs, and led efforts to do away with demand response, an innovative energy management program that rewards people and businesses for conservation.

So, the Illinois Power Agency’s (IPA’s) recent decision to put efficiency and generation on the same level provides some much needed respect. Read More »

Also posted in Illinois / Comments are closed

Here Comes the Sun: How California is Bringing More Renewables to the Grid

Have a sunny dayAsk most people what the Beatles and California have in common and they might very well be at a loss. However, the answer is pretty simple: they are both unabashed trendsetters in the face of resistance – the former in their musical style and the latter in its clean energy policies.

Not content with setting a Renewable Portfolio Standard that ends at 2020, Governor Jerry Brown and state legislators are pushing for the Golden State to get 50 percent of its energy from renewable resources by 2030.

To meet this ambitious target, California must build a system that is largely based on renewable electricity, like wind and solar. This is not an easy task. The primary reason? Sunshine and wind are only available at certain times of the day and can be variable during those times.

Traditionally, managers of the electricity grid have relied upon dirty “peaker” power plants – usually fossil fuel-fired and only needed a couple of days a year – to balance the grid during periods of variability or when electricity demand exceeds supply. But, in a world where 50 percent of our energy comes from renewable sources as a means to achieving a clean energy economy, we can’t rely on these dirty peaker plants to balance the variability of wind and solar.

Luckily, technology is available today that can help fill the gap of these peaker plants – and the California Public Utilities Commission (CPUC) is starting to embrace it. Read More »

Also posted in Air Quality, California, Cap and Trade, Clean Energy, Climate, Demand Response, Electric Vehicles, Electricity Pricing, Energy-Water Nexus, Grid Modernization, Renewable Energy / Tagged | Read 1 Response

Efficiency is what Texas Can (and Should) Do Best

SPEERI have been involved in Texas’ energy sector for a long time, particularly from an environmental perspective.

I was there when the state’s metropolitan centers and their robust industrial sectors were challenged to reduce ozone-forming pollution. I was there when Texas deregulated its energy market to increase competition, improve choices for residents and businesses, and lower electricity prices. And now, I’m here to witness the state’s transition to a clean energy economy – one that harnesses more West Texas wind energy, rooftop solar, and natural gas (with the right controls in place) than any other time in history.

The one thing that ties all of these events together is efficiency – something Texas has led in the past.

Energy efficiency is Texas’ most cost-effective way to reduce energy use and carbon pollution from power plants. It also creates other benefits to the power grid, like improving reliability and lowering costs for infrastructure maintenance. Plus, saving energy saves water, which is critical in a state like Texas under the pressure of a multi-year drought. Read More »

Also posted in Clean Energy, Texas / Comments are closed