Energy Exchange

Illinois Considers Greenhouse Gas Metric for Evaluating Utility Performance

By Dick Munson / Published: September 12, 2014

Source: pgegreenenergy

A new utility business model – “Utility 2.0” or “reform” – is the hot topic in statehouses and regulatory commissions across the country. This is due to many factors: technological innovations in the energy sector, changing consumer expectations, increasing electricity prices, tighter regulations, and the need to decarbonize our energy sector as we grapple with climate change.

Some argue utility earnings should be based on performance rather than volumetric electricity sales. They suggest utilities’ monopoly interests should be aligned with enabling clean energy services – such as on-site renewable energy and home energy management – instead of simply delivering more electricity.

Key to this new approach is the ability to define – and then measure – performance. This will require a set of metrics by which utility investments can be judged and rewarded. Illinois was the early adaptor of performance-based metrics for its historic smart meters roll-out and is finalizing a set of metrics this week that are critical to designing a utility business model for the future. Read More »

Also posted in Demand Response, Electricity Pricing, Energy Efficiency, Grid Modernization, Utility Business Models / Read 1 Response

Good News: EPA Standards Could Lower Electricity Bills

By Mandy Warner / Published: September 11, 2014

Millions of Americans are watching their bills more closely as middle-class incomes continue to stagnate in the nation’s uneven economic recovery.

So it’s frustrating to hear opponents of climate action once again use the threat of higher electricity rates as a scare tactic to try to stop the U.S. Environmental Protection Agency’s Clean Power Plan. We know it has many people concerned.

The good news is we have more evidence than ever before to prove our opponents wrong.

We pay the same rates for power now as in 1994

Electric rates in the United States have remained steady over the last 20 years, even as consumption of renewable energy increased 40 percent, statistics from the U.S. Energy Information Administration show. Over the same time, we reduced coal plant emissions of sulfur dioxide and nitrogen oxides by more than 75 percent.

Also posted in California, Clean Power Plan, Climate, Energy Efficiency, General, Renewable Energy / Read 2 Responses

What a Difference a Day Makes! The Value of Real-Time Electricity Data

By Gavin Purchas / Published: September 11, 2014

Source: gato-gato-gato

Imagine you’re trying to lose weight. If you step on the scale once a month, how can you possibly know how each of your daily decisions affects the number? Weighing yourself every day would be a step up, giving you a much clearer picture of the effects of each day’s choices. Now imagine the potential results if you could access real-time data – if you were able to see just how many calories were in each food you picked up, as well how much energy you were exerting at any given moment.

Thanks to a meta-analysis on behalf of the American Council for an Energy Efficiency Economy (ACEEE), we can now see that access to this kind of granular, real-time data on electricity use leads to significant household electricity savings.

Survey highlights importance of timeliness and granularity

The ACEEE survey aggregates multiple studies designed to evaluate the effectiveness of different types of electricity customer feedback from the past 20 years, including 61 trials from around the world: 33 from the U.S., 13 from Europe, 9 from Canada, and 3 others. Such a diverse pool allows us to draw important conclusions about consumer energy use habits while controlling for variations in culture, climate, and energy use patterns. The results are displayed in the graph below. Read More »

Also posted in Clean Power Plan, Climate, Electricity Pricing, Energy Efficiency, General, Grid Modernization, Utility Business Models / Comments are closed

McKibben and EDF Agree: Plugging Methane Leaks “A Huge Priority”

By Mark Brownstein / Published: September 10, 2014

Methane is flared from a natural gas well site.

Bill McKibben is at it again—using his formidable analytical and rhetorical skills to challenge comfortable climate assumptions. In this case, the author and activist puts the heat on politicians, including Barack Obama and Hillary Clinton, who argue that natural gas can be a “bridge fuel” to a low-carbon energy future.

Since natural gas emits half the carbon of coal when it’s burned, supporting it gives politicians a way to position themselves as both pro-energy and pro-climate. But writing in Mother Jones, Bill questions whether switching from coal- to natural gas-fired electric generation brings any climate benefit at all.

Because natural gas is mostly methane, a potent greenhouse gas, he points out that if enough uncombusted methane is leaking from the natural gas supply chain, natural gas may be even worse for the climate than coal.

We couldn’t agree more. Read More »

Also posted in Methane, Natural Gas, Renewable Energy / Read 1 Response

Utility 2.0: New York Electricity Market Should Allow Third Parties to Compete

By John Finnigan / Published: September 8, 2014

Source: Tendril

The New York Public Service Commission (Commission) has embarked on the landmark Reforming Energy Vision (REV) proceeding to design a new business model for electric utilities. Today’s business model allows utilities to earn revenues based on how much money they spend to supply and deliver electricity. Under the new model, utilities will earn revenues based on the value of services they deliver to customers and the environment.

Currently, utilities dominate the electricity service market, limiting customer access to the full range of products and services otherwise available in a truly open market. One focus of the proceeding is to remove the barriers preventing third parties, such as retail electric suppliers, solar energy companies, or smart meter providers, from fully participating in the energy market. Allowing full participation by third parties would lead to increased innovation and fuel the development of new products and services. Read More »

Also posted in Demand Response, Electricity Pricing, Energy Efficiency, Grid Modernization, New York, Utility Business Models / Read 1 Response

California Clean Energy Bill Could Open Door for Homeowners and Small Businesses

By Rachel Neil / Published: September 8, 2014

Source: Flickr/constellationenergy

Governor Brown has the opportunity to make energy-saving upgrades possible for families and small business owners by signing Assembly Bill 1883 (Nancy Skinner- Berkeley). This bill would significantly lower the cost of Property Assessed Clean Energy (PACE), a tool which enables property owners to take advantage of energy efficiency and rooftop solar PV for their homes or buildings with no money down, allowing them to pay off the investment over time through their property tax bill.

AB 1883 would streamline the PACE process and drive down the fixed transactional costs associated with commercial projects. Lowering these transaction costs is especially important for small businesses because high transaction costs can reduce the economic viability of the smaller energy upgrades that small business typically need. AB 1883 also incorporates new options for financing rooftop solar PV through PACE, which will enable a greater number of homeowners and small businesses to qualify for cost-saving solar PV contracts. Read More »

Also posted in California, Climate, Energy Efficiency, Energy Financing, Grid Modernization, Renewable Energy / Comments are closed