Energy Exchange

Coast to Coast and Across the Electric System, Microgrids Provide Benefits to All

By Dick Munson / Published: May 13, 2015

Source: via Wikimedia Commons

Microgrids are getting a lot of attention. Yet how they’re developed could dramatically alter today’s electricity system.

At the most obvious level, microgrids could disrupt today’s utilities and their regulated-monopoly business model, because they challenge the centralized paradigm. In a nutshell, microgrids are localized power grids that have the ability to disconnect from the main, centralized grid to operate independently when the main power grid experiences disturbances. This significantly boosts grid resilience. For almost a century, large centralized power plants have generated electricity and delivered that energy over high-voltage transmission lines to customers. But with microgrids, all that could change.

Less obviously, microgrids challenge the basic assumption that the power grid must be controlled by a monopoly electric utility. Multiple microgrids on the south side of Chicago, for example, could be owned by different entities (not just a utility or even a platform provider, which would provide an exchange between customers and distributed energy generators) with contract arrangements among them controlling the sharing of power. Put another way, microgrids open the distribution system to some level of competition and, thereby, engage entrepreneurs and advance innovation. Read More »

Posted in Grid Modernization, Illinois / Tagged microgrid | Read 3 Responses

4 Ways to Invest in the Low-Carbon Economy

By Peter Sopher / Published: April 13, 2015

Citigroup Inc. recently pledged $100 billion for lending, investing, and facilitating deals related to sustainability, renewable energy, and climate change mitigation. This is yet another sign that global capital markets are enormously interested in delivering capital into clean, renewable sources of energy. But you don’t have to be Citigroup to invest in the clean energy future.

The industry’s rapid growth presents an interesting diversity of long-term opportunities for individuals like you and me who might be looking to make investments in a low carbon economy.

Fueled by an increased demand for solar and wind energy, clean energy investment last year beat expectations, rising 16 percent to $310 billion worldwide, according to Bloomberg New Energy Finance (BNEF). Fortunately, this robust growth is representative of a general upward trend in clean energy investment over the past decade.

Although the vast majority of this money is coming from governments, corporations, and private equity and venture capital firms, people of all income levels can consider whether it is right for them to add clean energy to their investment portfolios. And, you don’t need millions in the bank to make these types of investments – any investor can consider whether to put their money to use through the four financial instruments described below. Read More »

Posted in Clean Energy, Energy Financing / Read 1 Response

Plugging Away – San Diego’s Plan to “Charge” Toward a Cleaner Grid

By Larissa Koehler / Published: March 17, 2015

We love electric vehicles (EVs) in California and we want that love to spread. Why? It isn’t because of the cool factor – though, believe me, EVs like the Tesla are undoubtedly cool. Instead, it’s because these cars can offer significant benefits to the environment, electric grid, and economy.

California policymakers feel the love: in March 2012, Governor Brown signed an Executive Order that put an ambitious – and important – goal in place to provide the infrastructure for up to 1 million zero-emission vehicles (ZEVs), which includes fuel cell powered vehicles along with plug-in hybrid and battery EVs, by 2020 and put 1.5 million ZEVs on the road by 2025.

Here are some of the potential benefits of electric vehicles:

Reduce harmful pollution. Because EVs don’t produce any emissions from the tailpipe when they are drawing on energy from their battery – unlike traditional gasoline-powered vehicles – they can greatly reduce the amount of harmful pollution from which California suffers. Targeting tailpipe emissions, the largest contributor to dangerous emissions, will help the state meet its greenhouse gas reduction targets and reduce harmful pollutants that are causing elevated levels of smog.
Integrate more renewable energy. By charging at times when renewable energy is abundant (i.e., during the day to take advantage of solar and late at night to soak up wind power), EVs can enable the grid to handle more clean energy resources while still maintaining reliability.
Avoid increasing use of fossil fuel resources. Because solar power becomes unavailable when the sun goes down, the grid sees a steep increase in the use of fossil fuel-powered energy before sunrise and after sunset. If EVs charge during the day and then draw upon that stored energy when renewable energy is unavailable it will reduce the need for fossil-fueled generators to provide energy during these times of the day.
Avoid costs to utilities and residents. Capitalizing on the ability of EVs to integrate more renewables onto the grid can offset the need for additional, expensive transmission and distribution infrastructure as energy needs increase over time. In addition, EVs present an attractive financial proposition – by reducing or eliminating the amount that drivers spend at the gas pump, those who purchase an EV can recover the upfront cost of the car in a matter of years.

Posted in California, Clean Energy, Electric Vehicles / Tagged SDG&E | Read 5 Responses

March Madness in Austin, Texas: Come for SXSW, stay for ETS!

By Marita Mirzatuny / Published: March 16, 2015

Today, I stand at the precipice of SXSW, the annual music, film, and interactive festival that descends upon Austin, Texas every March. In a few weeks, we locals will be on the other side of SXSW, recovering from the three-week burst of good-timin’ madness and getting ready for the next event that’s always right around the corner.

Lucky for me, what comes next is the Energy Thought Summit! From March 24-26th, thought leaders and innovators from around the world will once again come to town, this time to discuss one of humanity’s most complex issues: energy.

Hosted by Zpryme, the Energy Thought Summit (ETS) seeks to be a different kind of conference: less stuffy, more collaborative. ETS “stands for more than thought leadership through energy — it’s about combining industry expertise, radical ideas, and the insatiably creative from all walks of the energy ecosystem and exploring how we connect.” Read More »

Posted in Clean Energy / Comments are closed

Clean Energy is Just Smart Business for Leaders like Apple, Google

By Peter Sopher / Published: February 24, 2015

Apple and Google have changed our lives forever, both because of their technological innovations and sheer size as global corporations. Now, they’re aiming to reshape the energy landscape.

This month, Apple announced plans to spend nearly $2 billion on European data centers set to run entirely on renewable energy, and invested $848 million to secure power from 130MW of First Solar’s California Flats Solar Project under a 25-year power purchase agreement. Google also agreed to replace 370 wind turbines installed in the 1980s with 24 new, more efficient and bird-friendly turbines at the Altamont Pass in the San Francisco Bay Area. Moreover, there has been recent speculation Apple may be working on an electric vehicle to challenge Tesla’s dominance in that market.

These developments are impressive on their own, but they are also part of a new trend among major corporations – whose primary focus is not energy generation – proactively pursuing clean energy projects. So, why are they doing this?

For corporations whose businesses do not rely on fossil fuels, aligning themselves with clean power is proving a prudent move both financially and for public relations. Read More »

Posted in Clean Energy, Renewable Energy / Tagged Apple; Google | Read 6 Responses

2014: A Positive Sign of What’s to come for Clean Energy

By Cheryl Roberto / Published: January 8, 2015

The New Year is a time for reflection, beginning with a look back on the previous 12 months and all that they brought. A quick scan of the U.S. climate and energy news in 2014 will tell you it was a very big year.

The Environmental Protection Agency (EPA) proposed the first-ever limits on carbon pollution from power plants, the U.S. and China struck a historic climate deal, and Tesla broke ground in Nevada on the largest advanced automotive-battery factory in the world – a move that’s expected to slash the cost of lithium ion batteries by a third. At the same time that these important national and international advancements were grabbing headlines, Environmental Defense Fund (EDF) and our partners were working together to incrementally transform the U.S. electricity system by rewriting outdated regulations, spurring energy services markets, and modernizing our century-old electric grid.

The U.S. is on the verge of a revolution in the way we make, move, and use energy. And, having spent years working on governmental and regulatory matters related to our power system and lessening its impact on the environment, I can honestly say there has never been a more exciting time to be in this field. Here are a few of the moments that were near and dear to our hearts over the past year, developments I see as a sure signal 2015 will be another epic year for clean energy. Read More »

Posted in Clean Energy, Demand Response, Energy Efficiency, Energy Financing, Grid Modernization, Illinois, Investor Confidence Project, New Jersey, New York, Renewable Energy, Texas, Utility Business Models / Tagged Energy Storage | Read 3 Responses