Energy Exchange

Emerging Technologies Can Pave the Way for Time-Variant Electricity Pricing

Nest_front_official; http://en.wikipedia.org/wiki/File:Nest_front_official.pngThe amount of energy we use at any given time is constantly changing. Lights are switched on and off by time of day – other appliances, such as air conditioners, might operate based on the season. In order to meet our dynamic energy demands, our system has to have the infrastructure and resources in place to respond when needed.

What may not be clear to many of us is that the costs associated with supplying this electricity also change with time, and during certain hours of the day and year these costs can be much higher. This isn’t readily apparent because the electricity rates we pay throughout the year are essentially flat.

Many, including Environmental Defense Fund (EDF), have made the case for electricity pricing that helps signal these fluctuating costs to customers. There are a variety of ways to design pricing that varies with time, while communicating to individuals and businesses the value of cutting back on electricity, or shifting use to other times. These options can take the form of paying a different amount for energy at different times, or perhaps being compensated for reducing use at times when the electric system is most constrained. Read More »

Also posted in Electricity Pricing, Grid Modernization / Read 1 Response

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 Electricity Pricing, Energy Efficiency, 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 Power Plan, Energy Efficiency, 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 Energy Efficiency, Ohio, Renewable Energy / Read 2 Responses

Plugging Away – San Diego’s Plan to “Charge” Toward a Cleaner Grid

Source: Flickr/Kazuhisa OTSUBOWe love electric vehicles (EVs) in California and we want that love to spread. Why? It isn’t because of the cool factor – though, believe me, EVs like the Tesla are undoubtedly cool. Instead, it’s because these cars can offer significant benefits to the environment, electric grid, and economy.

California policymakers feel the love: in March 2012, Governor Brown signed an Executive Order that put an ambitious – and important – goal in place to provide the infrastructure for up to 1 million zero-emission vehicles (ZEVs), which includes fuel cell powered vehicles along with plug-in hybrid and battery EVs, by 2020 and put 1.5 million ZEVs on the road by 2025.

Here are some of the potential benefits of electric vehicles:

  • Reduce harmful pollution. Because EVs don’t produce any emissions from the tailpipe when they are drawing on energy from their battery – unlike traditional gasoline-powered vehicles – they can greatly reduce the amount of harmful pollution from which California suffers. Targeting tailpipe emissions, the largest contributor to dangerous emissions, will help the state meet its greenhouse gas reduction targets and reduce harmful pollutants that are causing elevated levels of smog.
  • Integrate more renewable energy. By charging at times when renewable energy is abundant (i.e., during the day to take advantage of solar and late at night to soak up wind power), EVs can enable the grid to handle more clean energy resources while still maintaining reliability.
  • Avoid increasing use of fossil fuel resources. Because solar power becomes unavailable when the sun goes down, the grid sees a steep increase in the use of fossil fuel-powered energy before sunrise and after sunset. If EVs charge during the day and then draw upon that stored energy when renewable energy is unavailable it will reduce the need for fossil-fueled generators to provide energy during these times of the day.
  • Avoid costs to utilities and residents. Capitalizing on the ability of EVs to integrate more renewables onto the grid can offset the need for additional, expensive transmission and distribution infrastructure as energy needs increase over time. In addition, EVs present an attractive financial proposition – by reducing or eliminating the amount that drivers spend at the gas pump, those who purchase an EV can recover the upfront cost of the car in a matter of years.

Read More »

Also posted in California, Electric Vehicles / Tagged | Read 5 Responses

March Madness in Austin, Texas: Come for SXSW, stay for ETS!

ETS15Today, I stand at the precipice of SXSW, the annual music, film, and interactive festival that descends upon Austin, Texas every March. In a few weeks, we locals will be on the other side of SXSW, recovering from the three-week burst of good-timin’ madness and getting ready for the next event that’s always right around the corner.

Lucky for me, what comes next is the Energy Thought Summit! From March 24-26th, thought leaders and innovators from around the world will once again come to town, this time to discuss one of humanity’s most complex issues: energy.

Hosted by Zpryme, the Energy Thought Summit (ETS) seeks to be a different kind of conference: less stuffy, more collaborative. ETS “stands for more than thought leadership through energy — it’s about combining industry expertise, radical ideas, and the insatiably creative from all walks of the energy ecosystem and exploring how we connect.” Read More »

Posted in Clean Energy / Comments are closed