Clean Energy Initiative

Solar manufacturers, which expanded rapidly to meet double-digit demand growth in the past decade, are struggling mightily these days.  Not only is  U.S. Congress balking at tax subsidies, but governments in Europe are doing the same.  The plunging  natural-gas prices make renewable energy less competitive. First Solar recently laid off 30% of its staff, demonstrating the even the biggest solar panel makers aren't immune.  In the last year, 4 U.S. and 4 German solar companies filed for bankruptcy.  The largest producers in China say their profits will slump this year as shipments grow.

In fact, U.S. federal spending on clean energy will drop 75 percent by 2014 from a 2009 stimulus-related high which could lead to bankruptcies and market consolidation.  A recent report, 'Beyond Boom and Bust' by a group of analysts from the Brookings Institution, Breakthrough Institute and World Resources Institute outlined likely changes to clean tech  markets due in large part to declining federal subsidies.  This report also delineated targeted policy reform on sectors that will experience the most financial difficulty.

As expected, the House passed the combination transportation and keystone bill by a vote of  293-127 yesterday.  It goes to the Senate where the Republicans are optimistic about their ability to get this Keystone infused transportation bill through.  The Administration and Senate leadership have a completely different view and it remains to be seen the ultimate outcome.

Global temperatures last month were  the coolest since 1999, providing a contrast to the lower 48 U.S. states, where March was the hottest on record.  “The average global temperature for March 2012 made it the coolest March since 1999, yet the 16th warmest since record keeping began in 1880,” the National Oceanic and Atmospheric Administration said in its monthly analysis.  “Warmer-than-average conditions occurred across nearly all of Canada, the contiguous United States, Mexico, Europe, Argentina, Peru, and parts of northern and central Russia, India, China, and eastern Brazil. Cooler-than-average regions included Alaska, Australia, eastern and western Russia, and parts of New Zealand,” states the agency’s National Climatic Data Center.

The Department of Defense set a goal of uisng 3 GW of renewable energy by 2025.  Each of the armed services has committed to use 1 gigawatt (GW) of renewable energy by 2025, for a total of 3 GW.  According to the announcement, the renewable energy purchases will be made at no net cost to taxpayers, using contracting vehicles such as power purchasing agreements, utility energy savings contracts, and other financing mechanisms.  The new DOD initiative builds on the President’s announcement in the 2012 State of the Union address that the Navy would use 1 GW of clean energy by 2020.  

The President issued an Executive Order to establish a new "Interagency Working Group to Support Safe and Responsible Development of Unconventional Domestic Natural Gas Resources."  Led by the Domestic Policy Council, the new working group has an overal mission to mutually coordinate, share, plan and consult with other agencies and White House Offices participating in the working group.  Included are the Department of Defense (DOD); the Environmental Protection Agency (EPA); the Department of Interior; the Department of Agriculture; the Department of Commerce; the Department of Health and Human Services; the Department of Energy; the Department of Transportation; the Department of Homeland Security; the Council on Environmental Quality; the Office of Management and Budget; and the Office of Science and Technology Policy.  The Executive Order does not alter the regulatory authority or responsibilities of any of the participating agencies.  

In advance of Earth Day, Deputy Assistant to the President on Energy and Climate Change, Heather Zichal has an op-ed in Politico on the myriad of Administrative initiatives to support a clean economy for America.  She outlines proposals by this Administration to support small businesses, encourage broad-based economic growth and protect the health and welfare of its people and environment.  Zichal also points to the record number of anti environmental legislation initiated in Congress this session.

Like the energizer bunny, the House of Representatives has yet again put the Keystone XL pipeline back in the national spotlight, attaching language green-lighting the pipeline to a 90-day extension of transportation programs. The House Rules Committee meets Tuesday on the extension, which means it could be on the House floor as soon as Wednesday.

The Washington Post has a lead editorial today on the critical role of cheap natural gas to today's energy supply.  Using natural gas to run heavy fleet vehicles is a good thing, they say.  But the rules about to be finalized at the EPA, which would require natural gas producers to prevent leaks from wells, pipelines, storage tanks and other infrastructure could have a significantly higher impact on the environment.  These rules, would reduce the release of volatile organic compounds that form dangerous smog, but the EPA estimates that they would also result in the collection of 3.4 million tons of methane annually, a quarter of current methane emissions from the sector.

Deputy Assistant to the President on Energy and Climate Change, Heather Zichal has an op-ed in POLITICO in advance of Earth Day about the myriad of Administrative initiatives to support a clean economy for America.  She outlines a list of proposals by this Administration to supports small businesses, encourage broad-based economic growth and protect the health and welfare of its people and environment.  Zichal points to the record number of legislation initiated in Congress to that, in the opinion of the Administration, are anti-environment.

Like the energizer bunny, the relentless House of Representatives has yet again put the Keystone XL pipeline back in the national spotlight, attaching language green-lighting the pipeline to a 90-day extension of transportation programs. The House Rules Committee meets Tuesday on the extension, which means it could be on the House floor as soon as Wednesday.

The Washington Post has a lead editorial today on the critical role of cheap natural gas to today's energy supply.  Using natural gas to run heavy fleet vehicles is a good thing, they say.  But the rules about to be finalized at the EPA, which would require natural gas producers to prevent leaks from wells, pipelines, storage tanks and other infrastructure could have a significantly higher impact on the environment.  These rules, would reduce the release of volatile organic compounds that form dangerous smog, but the EPA estimates that they would also result in the collection of 3.4 million tons of methane annually, a quarter of current methane emissions from the sector. On top of environmental benefits, gas producers would have more product to sell. Reducing leaks might not be a money-making proposition at every well — and the industry naturally claims the government is off in its figures — but the EPA reckons that, overall, new standards will save the industry about $30 million a year committee.

The future of electric vehicles has had it's ups and downs, but it does seem to get more interesting as newer and more refined technologies emerge.  An example is the partnership between IBM and Honda, who are working on a new technology to enable communication between electric cars and power grids. Traditionally, electric car owners power their vehicles by simple plug and charging. However, "plug and charge" risks overloading power grids as more hybrid cars are produced. The technology under test may prevent this danger and enable electric cars to only charge when it’s necessary.  Using the Honda 2013 Fit electric car, they are testing the technology by creating a system through which electric cars and the power grids can communicate to determine the best charging times. 

Last Friday, April 6, our Clean Energy Initative hosted an panel discussion with Opower on the ever important role of the consumer in shaping energy policy.  This week, Washington State University announced it’s created a new research center. It will look for ways to bring the country’s aging electricity system in line with 21th century power needs. Besides experts in energy and computer science, the assembled team of researchers includes sociologists and psychologists.  The project is called the Energy Systems Innovation Center. Funders include Avista Utilities and the U.S. Department of Energy. The goal is to advance so-called “smart grid” technology to make the power system more efficient and responsive.  A key ingredient is a network of “smart meters” that allow consumers to see in real-time things like how much energy they’re using -- and how much it’s costing them.

Our panel last Friday, "The Critical Role of Consumers in Shaping The Future of Energy Use" was hugely successful.   This event, which we co-hosted with Opower, spotlighted the relationship of consumer's energy use to new technologies available to manage energy efficiency. 

Many energy advocates have focused on pushing new technologies to modernize the electricity grid and increase renewable energy production.  Although these policies are essential to forward looking energy policy, none of them can happen without customers paying for them.  This panel examined the role that customers can and should play in driving energy policy and proactively using home energy.

The panelists were well known leaders and innovators in this area.  John Ashford, CEO and President of The Hawthorn Group did a great job presenting the challenges that utilities, state and federal regulators, and policy makers face integrating new technologies into customer use.  Cliff Majersik, Executive Director of the Institute for Market Transformation, was equally brilliant in detailing the number of technological advances and opportunities which are currently available to the consumer to be proactive with their energy.  Michael Sachse, Vice President for Regulatory Affairs and General Counsel to Opower outlined new mechanisms by which the customer and utility can effectively communicate with each other to use energy more efficiently while saving money.  Opower is well known for the way they have reinvented the way utilities interact with customers from the quality of the information provided, to the way it is presented and delivered. 

A great group of folks showed up for this event in spite of the fact that Friday was not only Passover but Good Friday as well.  This is an important issue to our Clean Energy Initiative and we will continue to pay close attention to the relationship of the consumer to their energy use.

Good News for the President - the price of gasoline may have already hit a peak for 2012, according to a growing body of energy analysts.  High supplies of oil and gas, coupled with sluggish economic news coming from the U.S., Europe and China, suggest the price climb may be over, one analyst tells POLITICO. Another notes that the rate of the increase in prices (the second derivative, if you will) has been slowing for weeks.  And Richard Newell, former head of EIA under President Barack Obama and now a professor at Duke University, says current projections for wholesale gasoline show gas prices falling 40 cents a gallon by Election Day.

Former Michigan Governor Jennifer Granholm took on Speaker John Boehner in her latest Current newscast. Granholm chided Speaker Boehner for not supporting the 2% tax credit  legislation that helps large-scale wind-energy producers compete against heavily subsidized fossil fuel.  She pointed to the coalition of 369 organizations, representing thousands of American workerd who  recently sent the speaker a letter pleading with him to act. The National Governor’s Association sent Boehner another letter just in the past week, imploring him to move on this issue and even the US Chamber of Commerce has endorsed this legislation.   The bill provides 2.2 cents per kilowatt hour for utility-scale wind-power producers. Ironically, U.S. wind energy production is the sector where Boehner’s home state of Ohio has the distinction of being the fastest growing in the country.

The Department of Energy, in partnership with Pacific Gas& Electric, Itron, and Gridwise Alliance, kicked off its first-ever “Apps for Energy”  challenge on April 5, issuing an open invitation to innovative software developers to build new apps – for mobile phones, computers, tablets, software programs and more – that utilize data from major utility companies to help consumers and businesses use less energy and save money. Submissions must make use of Green Button electricity usage data, but can also include other data sets.

NDN/New Policy Institute' s Clean Energy Initiative along with Opower will be hosting an important panel on the pivotal role of consumers in the adoption of smart grid technologies to enable more efficient use of their energy.    

This lunchtime Panel discussion,  Consumers:  Their Critical Rule in Shaping The Future of Energy Use,  will be held at 12 NOON our NDN event space located at 729 15th Street NW in Washington, DC.

Leading this discussion will be a group of well known leaders and opinion makers: 

Michael Sachse:  Vice President of Regulatory Affiars and General Counsel, Opower

John Ashford: CEO, Hawthorn Group, LLC

Cliff Majersik: Executive Director, Institute for Market Transformation

This panel on the role of the customer in new grid technologies is the 7th in our “Clean Energy Solution Series" to showcase the leaders, companies, ideas and policies who are hastening our transition to a cleaner, safer and more distributed energy paradigm of the 21st Century.

Please join NDN/New Policy Institute on Friday, April 6, at noon on for a look at the increasingly important role of the consumer in the adoption of innovative technologies to monitor home electricity use:  Consumers:  Their Critical Rule in Shaping The Future of Energy Use In the US. The  event will be held at our NDN event space located at 729 15th Street NW in Washington, DC. 

This lunchtime discussion will explore the critical relationship of consumers to energy use go through changes energy efficiency. Leading this discussion will be a group of well known leaders and opinion makers in this arena: 

Michael Sachse:  Vice President of Regulatory Affairs and General Counsel, Opower

John Ashford: CEO, Hawthorn Group, LLC

Cliff Majersik: Executive Director, Institute for Market Transformation

This panel on the important role of the customer in new grid technologies is the 7th in our “Clean Energy Solution Series" to showcase the leaders, companies, ideas and policies who are hastening our transition to a cleaner, safer and more distributed energy paradigm of the 21st Century.

Please RSVP to me at cgiesen@ndn.org.  Lunch will be served at noon and the program will begin at 1215pm.  I look forward to seeing you there for another in our terrific series of events.

If you cannot make the event in person you can watch it here starting at 1215pm.