Energy Exchange

FERC Seeks Rehearing of Order 745, What it Means for Demand Response

By Michael Panfil / Published: July 2, 2014

Source: CEB Blogs, executiveboard.com

Last month, the Federal Energy Regulatory Commission (“FERC”) announced it would seek rehearing of a recent US Court of Appeals decision, which changes how demand response providers are compensated in wholesale energy markets. The court’s decision was a setback for demand response, a clean energy resource used by utilities and electric grid operators that pays people to conserve energy during periods of peak or high demand.

Demand response balances stress on the electric grid by reducing demand for electricity, rather than increasing supply. This makes our grid more efficient, reduces harmful air emissions from fossil fuel plants, and keeps electricity prices lower. The court decision is significant because it invalidates FERC Order 745. This Order required that demand response be fairly valued in the wholesale energy market, allowing it to compete on a level playing field with more traditional electricity resources, like coal and natural gas. Read More »

This Smart Energy Experiment in Texas will Benefit You, Too

By Marita Mirzatuny / Published: July 1, 2014

Workers install solar panels on a home in Austin’s Mueller neighborhood, a project of Pecan Street Inc.

As I stroll through the Mueller neighborhood in Austin, TX, I see parks, fountains, two-door garage homes – absolutely nothing out of the ordinary – just your average suburban neighborhood. But I know better.

Under the surface of this community lives the most “connected” network of energy customers in the country. Mueller is the launching site for Pecan Street Inc.’s living smart-grid research project and, according to a recent issue of Time Magazine, America’s Smartest City.

The Time article features homeowners who generate and make money on their solar panels, while enjoying access to minute-by-minute energy use data. It shows their sense of stewardship and empowerment.

The story does a good job summarizing the mission of Pecan Street, of which Environmental Defense Fund is a founding member and environmental partner. But the author misses one important point when he writes: “The rest of America may never realize Mueller’s vision for the future.”

The truth is, we have cause for a lot more optimism than that. We believe that the Mueller model is scalable and EDF is working hard to make sure the rest of the country can also enjoy the benefits of a smarter, cleaner home. Read More »

Posted in Clean Energy, Electric Vehicles, Energy Efficiency, Grid Modernization, Renewable Energy, Texas / Comments are closed

Clean Energy Conferences Roundup: July 2014

By EDF Blogs / Published: July 1, 2014

Source: National Retail Federation Flickr

Each month, the Energy Exchange rounds up a list of top clean energy conferences around the country. Our list includes conferences at which experts from the EDF Clean Energy Program will be speaking, plus additional events that we think our readers may benefit from marking on their calendars.

Top clean energy conferences featuring EDF experts in July:

July 1: Alliance to Save Energy Congressional Briefing, Washington, DC
Speaker: Elgie Holstein, Senior Director for Strategic Planning

This summer the Alliance to Save Energy will be bringing Energy 2030 to Capitol Hill, hosting a series of congressional briefings focused on the three pillars of Energy 2030 – invest, modernize, and educate. The briefings will invite elected officials and their staff to speak with Alliance Associates and Energy 2030 supporters about innovative financing mechanisms (June), high-performance buildings (July) and benchmarking, rating & disclosure (August). Read More »

Posted in Clean Energy, Conference Roundup / Comments are closed

Resiliency+: Demand Response Can Help Prevent Blackouts in the Northeast

By Michael Panfil / Published: June 30, 2014

Resiliency+ is a new blog series, which highlights the ways in which different clean energy resources and technologies can play an important part in increasing energy resiliency in New Jersey and around the country. Check back every two weeks, or sign up to receive Energy Exchange blog posts via email.

Source: http://aroundaworld.net/

The Federal Energy Regulatory Commission (FERC) describes demand response as “changes in electric usage by end-use customers from their normal consumption patterns in response to changes in the price of electricity over time, or to incentive payments designed to induce lower electricity use at times of high wholesale market prices or when system reliability is jeopardized.”

There is quite a bit to unpack in that definition, but put simply, demand response is little more than a way of financially motivating customers to reduce their energy use when electricity is particularly scarce and expensive or when the wires are overburdened (check out EDF’s other blog posts and resources that go into more detail). The end result is a more efficient electric grid which is less overbuilt and less dependent on inefficient fossil-fuel plants that are often uneconomic to operate and highly polluting, but may be called upon when all else fails. Read More »

Posted in Clean Energy, Demand Response, Energy Efficiency, Grid Modernization, Renewable Energy / Tagged Energy Storage, Resiliency + | Comments are closed

Key Legislators Weigh the Economic Impact of Natural Gas

By Elgie Holstein / Published: June 27, 2014

Courtesy RF, iStock

This week, during a special hearing by the Joint Economic Committee of Congress, legislators gathered a cross-section of industry, policy, and environmental leaders to testify about the economic impacts of increased natural gas development. I was one of the witnesses, on behalf of Environmental Defense Fund, arguing that natural gas can only be a net winner for the economy if government acts fast to limit the impacts of new hydrocarbon development on air, water, and the global climate.

There is no question that unconventional gas development is lowering energy costs, creating new jobs, and supporting more domestic manufacturing. But it also poses real and substantial risks to public health and the environment – as well as a growing threat to the industry’s social license to operate. Continued expansion of U.S. gas development must be balanced with a strong commitment to protect against these impacts.

The congressional committee of both senators and representatives exhibited sharply differing perspectives on expanding natural gas regulation. The core question before all levels of government is whether the appropriate steps are being taken to implement and enforce the regulations necessary to minimize the risks. The answer: not yet.

Posted in Air Quality, Climate, Natural Gas, Washington, DC / Read 1 Response

Growth in Green Bond Market Underscores Need for Market Standards

By Victor A. Rojas / Published: June 26, 2014

The significant growth that we have seen in the past year in green/climate bond issuances – $11.4 billion in 2013 and an estimated $40 billion in 2014 – strongly suggests a threshold market acknowledgement of the enormous potential in these instruments. Growth in the market and a rapid increase in the volume of climate/green bonds strongly suggest that we are approaching a broad yet fundamental market acceptance of this new asset class. If so, it is important that we begin to shift gears and move from proving the model to creating the market infrastructure that incorporates meaningful standards to support a wider and more liquid market for climate/green bonds.

Green bonds and climate bonds are issued to pay for environmental projects. These are often issued by large institutions, such as World Bank, Bank of America, and Toyota that invest in both environmental and non-environmental projects. However, the proceeds from these bonds are invested exclusively in environmental projects. Many, but not all green bonds are climate-focused. Climate bonds, however, are totally linked to assets that encourage a rapid transition to a low-carbon and climate resilient economy. Read More »

Posted in Clean Energy, Energy Financing / Tagged green bonds | Read 2 Responses