Energy Exchange

Ohio Regulators Deliver “Undoubtedly Unconventional” Decision in FirstEnergy Bailout Case

By Dick Munson / Published: October 13, 2016

power-lines-unsplash2 In a long-awaited decision, the Public Utilities Commission of Ohio (PUCO) yesterday approved a $600-million electricity rate plan for FirstEnergy.

One read of the decision is, regulators killed the Ohio-based utility giant’s massive bailout and ordered the utility to modernize its grid. If accurate, this would be an incredible victory: Dirty power plants would not be subsidized, FirstEnergy would not be rewarded for its poor business decisions, and the company would invest in measures that increase efficiency and welcome clean-energy resources.

Ah, if the PUCO order were only so clear. On the one hand, it does seem the regulators are giving FirstEnergy $600 million upfront and requiring it to spend those funds on grid-modernization programs the PUCO will approve in the future. Yet, the more realistic read is, Ohio regulators are simply handing FirstEnergy $600 million in hopes the subsidy will allow the utility to improve its balance sheet. Then, FirstEnergy will (hopefully) propose grid-modernization efforts that the PUCO will consider and fund down the line. In other words, the PUCO is providing FirstEnergy a no-strings-attached subsidy.

The decision is unusual and a bit difficult to interpret – even the PUCO chairman admits the approach is “undoubtedly unconventional.” The only certainty is that this issue will not die. Environmental Defense Fund and its allies will continue to press the PUCO and the Ohio Supreme Court to ensure the $600 million goes toward building a cleaner, more modern electric grid. Read More »

Posted in FirstEnergy, Utility Business Models / Comments are closed

Latest EPA Greenhouse Emission Numbers Demonstrate Success Of Methane Standards

By David Lyon / Published: October 7, 2016

Click image to expand

This week sees the release of new figures from the U.S. Greenhouse Gas Emissions Reporting Program (GHGRP), which includes self-reported, large facility-level emissions data for 2015.

The good news is that methane pollution from the oil and gas industry is down slightly, thanks to a combination of stronger safeguards starting to take effect, along with a decline in new drilling projects due to an overall market cooling.

Operators report that methane pollution from onshore oil and gas production is down about 3.8% in 2015 from 2014. However, overall greenhouse gas emissions from all reporting segments in the oil and gas sector are only down 1.6%.

Sensible methane standards are starting to work

Some in industry will undoubtedly point to the new numbers as evidence that new emission rules are unnecessary. In fact, the figures show that sensible safeguards are responsible for much of the progress. Read More »

Posted in Aliso Canyon, Methane, Natural Gas / Comments are closed

Finding Industry Fingerprints on Atmospheric Methane

By Steven Hamburg / Published: October 7, 2016

We’ve all seen TV detectives dust a scene for fingerprints. In a study in the journal Nature, a team of scientists did something similar, using carbon isotopes to identify the “fingerprints” of methane– one of the world’s most powerful climate pollutants in the atmosphere.

The study examined the isotopic signature from two types of methane emissions: biogenic (sources like wetlands, landfills and agriculture) and thermogenic (encompassing geologic seepage, activities associated with the oil and gas supply chain or coal mines).

The evidence suggests that not only are we significantly underestimating the share global methane emissions from thermogenic sources, we’re also underestimating how much comes from the production, delivery and use of oil and gas and the production of coal. Read More »

Posted in Climate, Methane, Natural Gas / Tagged global methane, science | Comments are closed

Time to Tell the EPA What Works in Methane Mitigation

By Aileen Nowlan / Published: October 6, 2016

methane_technician The Environmental Protection Agency (EPA) has committed to regulate existing sources of methane from the oil and gas industry, and it is asking for information from the methane mitigation industry to make sure the rule’s approach and requirements account for recent innovation. The EPA’s announcement comprises the U.S. portion of the North American commitment to cut methane by up to 45% from the continent’s oil and gas industry by 2025. Existing sources in the oil and gas industry make up over 90% of the sector’s emissions, which contribute over 9 million tons of methane pollution annually.

The opportunity is open now to tell the EPA what works in methane mitigation.

Emission standards for existing sources of methane will not only reduce greenhouse gases but could also create new markets and customers for the growing mitigation industry. The regulation will likely start with one or more approved work practices to find and fix methane leaks, describing a technology or group of technologies that must be used in a certain manner. For example, EPA’s New Source Performance Standards for new and modified sources of methane required the use of optical gas imaging cameras or “Method 21” instruments. With far more existing sources of methane than new or modified sources, being part of an approved work practice for existing sources would open up a significant market opportunity. Read More »

Posted in General, Methane, Natural Gas / Comments are closed

New York and the Standby Tariff: A Breakthrough for Clean, Distributed Energy

By Marc Rauch / Published: October 5, 2016

ny-clean-fall For New Yorkers wanting more clean, distributed energy, the recent Con Edison rate case offers some good news.

Presented to New York’s Public Service Commission (NYPSC), which regulates utilities in the state, a rate case is a process utilities use to adjust policies and set rates charged to customers. A rate case occurs once every few years and provides an opportunity for state and local governments, along with consumer and environmental advocacy groups, to seek cleaner, cheaper, and more customer-friendly electricity.

The Con Edison rate case is considered a bellwether for similar proceedings involving electric utilities throughout New York State – which is part of why a recent filing with the NYPSC is so important. Along with more than 20 other parties (including Con Edison, the Real Estate Board of New York, the New York Energy Consumers Council, and several environmental advocacy groups), Environmental Defense Fund (EDF) on September 20th filed a joint proposal with NYPSC that (among other recommendations) calls for changes to the current standby tariff that are likely to be approved by the Commission. Read More »

Posted in Electricity Pricing, New York, New York REV, Utility Business Models / Comments are closed

Is Mainstream Corporate America Jumping on the Clean Energy Bandwagon?

By EDF Blogs / Published: September 29, 2016

By Ellen Shenette, EDF Climate Corps Analyst

It’s no secret that renewable energy is becoming cheaper, and while we’ve seen companies like Google and Microsoft investing in utility-scale renewables, what about mainstream corporate America? Are large corporations jumping on the clean energy bandwagon or are they dragging their feet? As a data analyst at EDF Climate Corps, I turned to the numbers for answers. Fortunately, I didn’t have to look far. An analysis from our recently release report: Scaling Success: Recent Trends in Organizational Energy Management, says it all.

For almost a decade, EDF Climate Corps has been partnering with business to save money and reduce greenhouse gas emissions by improving energy efficiency through our graduate fellowship program.

As I followed the numbers, a new clean energy trend stood out: over the last 5 years, clean and renewable energy projects have grown five-fold, with 1/3 of our partner organizations working on at least one clean energy project in 2015. Companies have been using their EDF Climate Corps fellows to decipher the complex landscape of technologies, policies, procurement strategies, and financing options for renewable energy. As we tally the results for our 2016 fellowship program, we expect the focus on clean energy to continue to grow, and don’t plan on it stopping anytime soon.

Posted in Clean Energy, EDF Climate Corps, Energy Efficiency, Energy Financing, General, Solar Energy, Wind Energy / Comments are closed