Energy Exchange

Now is the time for California to go bold on electric trucks and buses

By Lauren Navarro / Published: July 26, 2022

There is no single fix to the climate, air quality, political and economic challenges facing California, but the state’s early action to electrify its fleet of medium- and heavy-duty vehicles is one example of smart policy that can move us in a positive direction. As California’s legislative session concludes in August, lawmakers and the California Air Resources Board should take the next steps to implement the electric transportation transition with tools that are right at their fingertips.

Nationally, the transportation sector is the largest source of climate emissions and a primary contributor to local air pollution and the negative health and economic impacts that go along with it. Medium- and heavy- duty vehicles – the trucks and buses that move our goods and people – make up a small portion of total wheels on the road, but they produce an outsized portion of all emissions. In California, MHD vehicles make up just 6% of vehicles on the road, but produce 72% of the state’s health-harming nitrogen oxide emissions and 21% of all transportation climate emissions. Transitioning these vehicles to zero-emission models would make a big difference for air quality and the manufacturing economy, a sector where California is becoming a leader.

Posted in Air Quality, California, Electric Vehicles / Comments are closed

The time has come for NYPSC to focus on charging infrastructure for trucks and buses

By Elizabeth B. Stein / Published: May 11, 2022

New York is at a crossroads. Our flagship climate law, the Climate Leadership and Community Protection Act, requires significant emissions reductions statewide. This puts every sector of our economy on the hook to deliver and position New York on a path to climate safety. To achieve the CLCPA’s goals, government agencies, communities and the private sector must work together to establish systems and solutions that reduce climate pollution, improve air quality and equity, and spark economic growth throughout the state.

The CLCPA’s vision cannot be achieved without tackling emissions from the transportation sector, the state’s second largest source of climate pollution and a significant contributor to local air pollution. New York policymakers have recognized this reality, but a transition to new types of vehicles can only be as successful as the infrastructure that powers them. And there, the New York Public Service Commission holds the key to success. That is why EDF, together with parties, has just filed a petition requesting that the Commission take steps to address the charging infrastructure needs of electric trucks and buses in the state.

Posted in Electric Vehicles, NESCAUM, New York / Comments are closed

New time-of-use program empowers Illinois consumers to lower bills, reduce carbon footprint

By Christie Hicks / Published: October 16, 2019

In early October, the Illinois Commerce Commission approved a new electricity rate that holds tremendous opportunity — a time-of-use rate option for customers of Commonwealth Edison Company, the largest utility in the state. This new pricing structure has the potential to lower bills for consumers, while reducing our reliance on dirty sources of power.

After five years of fighting for a TOU rate in Illinois, EDF and the Citizens Utility Board helped design the voluntary new option for customers, which includes three pricing periods for residential customers: Super Peak (2pm-7pm), Off Peak (10pm-6am) and Peak (all other times), with prices being highest during the Super Peak, and lowest during Off Peak. The pilot will serve residential customers and target electric vehicle owners, whose usage is typically higher but more flexible. The time-of-use option is similar to real-time pricing currently available (also on a voluntary basis) in Illinois, but with distinct, pre-determined pricing periods rather than fluctuating hour by hour as real-time prices do.

Posted in Clean Energy, Illinois, Time of Use / Comments are closed

California’s disadvantaged communities could benefit from time-of-use electricity prices, but it won’t happen automatically.

By EDF Blogs / Published: February 26, 2018

By Lauren Navarro, senior policy manager, and Jamie Fine, senior economist

It’s no secret that California is a clean energy leader. The state is on track to meet its renewable energy goals, with many utilities hitting targets ahead of schedule. In order to transition to a system that can handle increased levels of clean energy like solar and wind, we need innovative solutions to take advantage of these resources. One low-cost solution is to change how we pay for electricity – making it cheaper when it is powered by clean resources and more expensive when powered by fossil fuels with time-of-use pricing. Utilities are on their way to bringing this to Californians, piloting the new rates in advance of a full rollout in 2019 and building on the successful rollout of these rates to commercial customers a few years ago.

For many Californians, the shift to time-of-use pricing will be new, but not impact their bills very much and could even save them money, particularly for people who live along the coast. However, for some customers – communities with lower incomes in hotter areas of the state that are more vulnerable to possible summertime bill increases – shifting when they use electricity can be harder, and without help their costs could increase. Rightly, lawmakers and regulators have pushed for extra attention for these vulnerable customers as the state moves toward time-of-use rates. While utilities acknowledge this discrepancy as an issue, none are offering sufficient, robust solutions (you can learn more about this in our recent blog).

A new bill introduced last week by California Assemblymember Joaquin Arambula would add that utilities must consider how time-of-use rates could impact low-income customers in disadvantaged communities before putting them on the new rates. It is vital to protect the most economically and environmentally vulnerable Californians from financial hardships. And the answer is not easy. All Californians stand to benefit from rates that could lower pollution and integrate more renewables – yet, we don’t want to heedlessly roll-out the rates in a way that results in higher electricity bills for customers with low incomes. Read More »

Posted in California, Clean Energy, Demand Response, Electricity Pricing, Energy Efficiency, Energy Equity, General, Time of Use / Comments are closed

Utilities planning to move Californians to time-of-use pricing need solutions for low-income customers

By EDF Blogs / Published: January 30, 2018

By Andy Bilich, clean energy analyst, and Jamie Fine, senior economist

Last month, all three of California’s major investor-owned utilities submitted applications to the California Public Utilities Commission detailing their respective strategies for how to transition residential customers to time-of-use pricing. Time-of-use pricing, if done right, is a low-cost strategy to help meet California’s climate and clean energy goals. This innovative tool can help the state rely more on clean energy and less on fossil fuels, at the same time delaying the need for new infrastructure and reducing costs and harmful emissions. While a significant number of Californians will be able to adapt to this new pricing, the shift this summer and next will likely be more challenging for some ─ namely, low-income customers in hot areas of the state.

Environmental Defense Fund (EDF) supports time-of-use pricing for its benefits to the environment, the electric system, and customer’s pockets. However, the utility plans have some troubling gaps that may prevent the new system working for everyone. For California to pioneer a clean economy for all, the utilities and the commission must proactively overcome barriers facing vulnerable customers who need more help adjusting to time-of-use rates. Read More »

Posted in California, Electricity Pricing, Time of Use / Read 2 Responses

Like Clockwork: California Utilities Should Embrace Clean Energy Solutions when Testing Time-of-Use Electricity Rates

By Jamie Fine / Published: January 5, 2017

electricity-1330214_1920 California’s three major utilities – Pacific Gas & Electric (PG&E), Southern California Edison (SCE), and San Diego Gas & Electric (SDG&E) – have proposed plans to move Californians to electricity prices that vary with the time of day. Time-of-use pricing, or TOU, is critical to aligning our energy use with times when clean, cheap electricity powered by sunshine and wind is already available. TOU works because electricity is cheap when it can be powered by renewable resources and more expensive during times of peak (high) energy demand. As with any shopping, knowing prices empowers people to choose wisely to save money.

New research from Lawrence Berkeley National Lab estimates TOU rates could collectively save customers up to $700 million annually by 2025 by getting the most out of our solar and wind resources. They find that absent TOU rates, we will waste up to 12 percent of existing renewable generation capacity, and solutions like TOU can reduce this waste by six-fold. We at Environmental Defense Fund (EDF) estimate that if this clean electricity were instead provided by natural gas power plants, it would generate 8 million additional tons of greenhouse gas pollution each year. Burning gas when we could instead rely on clean energy would dramatically impede the 11 million tons per year of greenhouse gases we need to eliminate from our economy to reach California’s 2050 environmental goals.

Testing TOU

The three big utilities are half-way through “opt-in” pilot programs that test these new rates. They’ve just submitted plans to the California Public Utilities Commission to test automatically switching some people to TOU in 2018, leading up to a complete roll out in 2019. TOU rates will work for most customers right away, reducing their bills and providing new opportunities to save money. Further, people can always opt out of the program. Read More »

Posted in California, Clean Energy, Demand Response, Time of Use / Read 2 Responses