Energy Exchange

Maryland’s Governor O’Malley Leads The Way On Climate And Clean Energy Policy

By John Finnigan / Published: July 29, 2013

Maryland Governor Martin O’Malley continues to lead the way on climate and clean energy policy. On Thursday, he unveiled Maryland’s new Greenhouse Gas Emissions Reduction Act (GGRA) Plan. Gov. O’Malley’s plan raises the targets for renewable energy, energy efficiency and peak energy demand reduction, while re-affirming Maryland’s membership in the Northeast Regional Greenhouse Gas Initiative (RGGI). The plan adds new climate programs relating to transportation and forestry, and a new aspirational goal to make Maryland a zero-waste state.

Maryland is particularly vulnerable to climate change with 3,000 miles of shoreline along scenic Chesapeake Bay. The state ranks 42^nd in total area, but 10^th in coastline area. Gov. O’Malley has addressed climate change since his early days in office. In 2007, he established the Maryland Climate Change Commission to address the causes and effects of climate change in Maryland and develop an action plan. The Maryland Climate Action Plan (Plan) was issued in August 2008, and Gov. O’Malley has labored diligently to implement the plan since that time.

The new Plan calls for increasing the renewable energy portfolio standard from 20% to 25% by 2022, as well as the energy efficiency and peak demand reduction targets (with the new, higher targets to be announced at a later date). Like a true leader, Gov. O’Malley aims high and is unafraid to be different. His call to raise these clean energy standards comes at a time when some states have been unsuccessfully pressured by the fossil-fuel industry to consider lowering their clean energy standards.

Posted in Climate, Renewable Energy / Tagged Clean Energy, Climate, Energy Efficiency, Energy Policy | Comments are closed

Where Is All Of The Water Going? A Look At Which Energy Resources Are Gulping Down Our Water

By Kate Zerrenner / Published: July 25, 2013

If you’re like so many conscientious consumers, you’ve experienced the disappointment that comes when you realize the lean turkey breast you bought has 300% of your daily value of sodium, negating the benefits of its high-protein and low-fat content. Instantly, food choices feel more complex; you’ve learned the hard way that the pursuit of a low-fat diet is not the same as a healthy diet.

The Energy-Water Nexus shows us that our energy choices are much like our food choices: The environmental benefits of an energy diet low in carbon emissions might be diminished by increased water consumption (or waste), and the unforeseen tradeoffs between the two resources (i.e. more sodium in lieu of less fat, can hurt us in the long run).

Water Intensity

As we have mentioned before, roughly 90% of the energy we use today comes from nuclear or fossil fuel power plants, which require 190 billion gallons of water per day, or 39% of all U.S. freshwater withdrawals (water “withdrawal” indicates the water withdrawn from ground level water sources; not to be confused with “consumption,” which indicates the amount of water lost to evaporation.)

Posted in Energy Efficiency, Energy-Water Nexus, Natural Gas, Texas / Tagged energy, Energy Policy, Energy-Water Nexus, environment, Solar, texas, Water | Read 7 Responses

Plastic And Chemicals Can’t Take The LEED On Green Construction

By Jim Marston / Published: July 24, 2013

If it’s not power plants fighting carbon pollution reduction, it’s plastic companies fighting against voluntary standards to make buildings less wasteful. The Leadership in Energy & Environmental Design (LEED) building certification system, developed in 2000 by the U.S. Green Building Council (USGBC), provides third-party verification for buildings striving to reduce environmental impact. The system gives credits to builders who eliminate the use of certain plastics and chemicals in building construction, such as PVC and vinyl that are known to be hazardous to workers and occupants. However, these credits, which once seemed like apple pie, have now been met with opposition from plastic and chemical industries lobbyists.

Recently, these polluting industries have “slipped wording” into the 2014 Financial Services and General Government Appropriation bill, to undermine the federal government’s ability to use the popular and successful LEED standards when building or renovating its office buildings. The lobbyists claim that LEED standards are not open and transparent, and through a bit of sophistry they have used this appropriation amendment to cast doubt on the legitimacy of the LEED system.

Posted in General / Tagged building, leed | Read 2 Responses

Net Metering And Rooftop Solar For The Utility Of The Future

By John Finnigan / Published: July 24, 2013

Like the tide washing upon the shore, new technologies are gradually eroding electric utility revenues. These new products enable consumers to use cleaner energy and use it more efficiently. Electric utilities worry this trend will ravage their industry just as wireless technology convulsed the telecommunications industry. The utility industry urges its members to stem the tide by, among other things, increasing consumers’ net metering costs.

Net metering makes small-scale renewable energy, such as rooftop solar panels, more affordable by crediting the “distributed generation” owners for the excess energy they produce. The electric meter measures how much electricity flows back to the grid from the distributed generation unit. A corresponding credit is applied to the consumer’s monthly energy bill. The Energy Policy Act of 2005 requires public utilities to offer net metering to all consumers upon request.

Why the new focus on net metering? The cost for rooftop solar panels has fallen 80% since 2008, including 20% in 2012 alone. Installed rooftop solar energy has increased by 900% between 2000 and 2011. As consumers install more rooftop solar panels and net meter them, utility revenues will decrease. Read More »

Posted in Renewable Energy, Utility Business Models / Tagged Net metering, Solar, Utility Business Models | Comments are closed

Texas Electric Co-op At Forefront Of Customer Engagement

By Kate Zerrenner / Published: July 23, 2013

This commentary originally appeared on EDF’s Texas Clean Air Matters blog.

(Source: Bluebonnet Electric Co-op)

Everywhere you turn these days, you hear someone mention the emergence of big data and how our lives will be more and more reliant on numbers. Well the world of electric cooperatives (co-ops) is no exception. Originally emerging out of the establishment of the Rural Electrification Administration, co-ops enabled rural farmers and ranchers to create customer-owned electric utilities in areas that are not serviced by traditional utilities.

I recently visited the Bluebonnet Electric Cooperative (Bluebonnet), one of the Texas’ largest co-ops providing energy to 14 counties, spanning the outskirts of Austin to Houston and boasting an impressive 11,000 miles of electric lines, 83,000 electric meters and 63,000 members. Who would have thought so much big data is coming out of rural Texas?

What makes this co-op particularly unique is its smart grid, which is attracting some serious attention.

Unlike other traditional utilities, Bluebonnet does not generate any of its own electricity. Instead, it buys electricity from the Lower Colorado River Authority and CPS Energy, both pioneers for clean, renewable energy. Because of this, Bluebonnet is able to concentrate its energy (pun intended) on using new technologies to provide reliable power and enhance customer satisfaction. Read More »

Posted in Demand Response, Grid Modernization, Texas, Utility Business Models / Tagged Clean Energy, Demand Response, Smart Grid, texas | Comments are closed

Combining Solar And PACE In Connecticut: A Potential Game Changer For Commercial Properties

By Brad Copithorne / Published: July 19, 2013

In my last post about Connecticut’s clean energy finance efforts, I alluded to an important innovation in their Property Assessed Clean Energy (“PACE”) financing program for commercial properties. PACE programs have been in place for several years, and the basic concept is that property owners are able to pay back clean energy financing through their property tax bill over time. Rates tend to be low because property taxes are almost always paid back and the PACE assessment will survive foreclosures.

To date, PACE transactions have generally been structured as a set of fixed payments to finance retrofits managed by the property owner. Functionally, these transactions have been quite similar to loans. In the solar industry, however, the vast majority of financings have been structured as leases or power purchase agreements (PPAs) in order to fully capture the tax benefits associated with solar investments. This has generally resulted in fairly low use of PACE by solar installers and limited installations of solar on commercial properties. (Most commercial properties have large mortgages and are not good candidates for additional financing unless PACE or On-Bill Repayment (OBR) can be used to improve credit quality. The exceptions are buildings that are owned or occupied by very high quality credits, such as a large corporation or city.)

Connecticut is breaking new ground by allowing leases and PPAs to participate. The lease or PPA payments would simply become part of the property tax bill. If necessary, true-up mechanisms could be used to adjust payments and ensure that customers are not overbilled. Additionally, we understand that this flexibility will likely be available for innovative energy efficiency financing for commercial properties. EDF has long advocated for this type of flexibility (and we see this as a major benefit of OBR), but – to date – PACE programs have not incorporated this feature.

Hats off to Connecticut for once again showing us how to get things done!

Posted in On-bill repayment, Utility Business Models / Tagged Clean Energy, OBR, PACE, Solar | Read 1 Response