Energy Exchange

Why this Utility Giant’s $4-billion Coal Bailout is an Ill-Fated Energy Strategy

By Dick Munson / Published: January 29, 2016

Clean energy investments are soaring worldwide, and the United States is no exception with $56 billion going toward renewable generation in 2015, an 8-percent increase over the year before.

So why are some utilities going against this trend – and risking a contest against more progressive competitors that are gaining market share at their expense?

To understand why, it helps to have a closer look at Ohio-based FirstEnergy, a large investor-owned energy company with operations in six states that has become the poster child for resistant utilities.

The FirstEnergy case also illustrates why companies that refuse change won’t be able to stop the rising clean energy tide, no matter how hard they try. Read More »

Posted in Clean Energy, FirstEnergy, Ohio, Utility Business Models / Comments are closed

Preventing Future Aliso Canyon-Sized Gas Leaks – the Importance of Well Integrity

By Scott Anderson / Published: January 28, 2016

AlisoCanyon4 Southern California is now in month three of one of the country’s worst environmental disasters. In October 2015, a natural gas storage well operated by SoCal Gas sprung a massive leak hundreds of feet underground, releasing nearly 1,400 tons of gas into the air each day at its peak. Thousands of local residents impacted by noxious fumes and oily mist have been evacuated from the communities around the Aliso Canyon storage field. Because the leak is so large and technically complex, SoCal Gas has been working for months to fix it – so far without success.

In January, California Governor Jerry Brown declared a State of Emergency because of the ongoing leak. In addition to addressing the immediate disaster at Aliso Canyon, Gov. Brown ordered emergency regulations for the state’s natural gas storage industry and has directed several state agencies and commissions to prepare and submit reports and propose how to prevent similar leaks at similar sites across the state. Read More »

Posted in Air Quality, Aliso Canyon, California, Methane, Natural Gas / Tagged well integrity | Comments are closed

Fatal Flaws In EPA’s Latest Voluntary Methane Program Highlight Need For Concrete Rules

By Mark Brownstein / Published: January 28, 2016

The Natural Gas STAR Methane Challenge Program unveiled last week by the U.S. Environmental Protection Agency is a perfect example of what can go wrong when the agency tries too hard to entice an unwilling industry to engage.

For years, EPA has offered voluntary “pollution prevention” programs to encourage companies to achieve environmental goals faster or cheaper than they might under regulations alone. Done right, voluntary programs stimulate innovation and reward true leaders. But weak efforts accomplish nothing, handing out laurels for token efforts that amount to business as usual – or less.

Posted in Methane, Natural Gas / Read 2 Responses

3 Ways to Improve California’s Time-Of-Use Electricity Pilots

By Jamie Fine / Published: January 27, 2016

Jay Godwin photo - 07/31/2015 Location: The Mueller community in Austin, Texas. Caption: Mueller resident Dennis Nick is a Pecan Street program participant. He has solar collectors on his roof and an electric car in his garage. Information about his energy use can be accessed through mobile apps and on the web. California’s big three utilities – San Diego Gas & Electric (SDG&E), Pacific Gas & Electric (PG&E), and Southern California Edison (SCE) – serve approximately 80 percent of the state’s residential customers, which is why their recent move to update the state’s antiquated electricity pricing could be a game-changer for helping the state achieve its climate and clean energy goals.

In late December, while most people were on holiday, the utilities submitted plans to the California Public Utilities Commission (CPUC) to assess electricity prices that vary with the season and time of day. These plans detail the next two years of piloting time-of-use (TOU) pricing for most residential customers, and will help California reduce pollution and increase renewable energy production. Read More »

Posted in California, Clean Energy, Electricity Pricing, Energy Financing, Grid Modernization / Comments are closed

2016 Starts With Growing Momentum To Cut Oil And Gas Methane Pollution

By Felice Stadler / Published: January 27, 2016

Logo_PDD_2016.svg (1) We’re less than a month into 2016, and there are already signs that this could be the year the United States finally gets serious about addressing methane pollution from the oil and gas industry.

Some strong first steps in 2015 got the ball rolling, and now attention-grabbing events like the massive methane leak in Southern California and the announcement that 2015 was the warmest year on record are opening people’s eyes to the urgency of tackling this potent climate-forcing pollution.

Great Strides Made in 2015

Many important first steps to curb oil and gas methane pollution were taken in 2015, most notably, the Obama administration setting a goal of reducing this pollution 40 to 45 percent by 2025. To help achieve this goal, the U.S. Environmental Protection Agency (EPA) in August proposed a national methane emissions standard for newly built oil and gas sources. Read More »

Posted in Military, Natural Gas / Comments are closed

The Supreme Court Decides in Favor of a Critical Clean Energy Resource: Demand Response

By Michael Panfil / Published: January 26, 2016

Yesterday, the Supreme Court issued an important decision in support of a vital clean energy resource: demand response. The case, FERC v. EPSA, revolves around demand response, a resource that helps keep prices low and the lights on, all while being environmentally friendly.

It’s a significant victory for anyone in favor of a cleaner, cheaper, accessible, and more reliable grid. That describes a diverse group — consumer advocates, environmentalists, economists, states, grid operators, and leading legal scholars all filed in support of a critically important and well-designed policy creating access for demand response in wholesale energy markets. Read More »

Posted in Clean Energy, Demand Response, Electricity Pricing, Grid Modernization / Comments are closed