Energy Law 7 – Renewables

1. Energy Law 7 – Renewables Fall 2013 October 15, 2013 Alan Palmiter Brian Bowman Not for distribution- for study purposes only

2. Topic roadmap 1. Renewables in the energy mix • Compared to other energy sources • What is sustainable energy? • Renewables production / transmission • Wind, solar, geothermal • Transmission issues 3. Regulation of renewables • Permitting and siting • Development on federal land • Promotion (state, federal and international levels) • Future of renewables • Part of energy mix • Distributed generation • International perspective

3. 1. Renewables in the energy mix 7 Energy Flow, 2011 (Quadrillion Btu) EIA, Annual Energy Review (2011)

4. Energy Sources  Uses http://www.eia.gov/totalenergy/data/annual/pecss_diagram.cfm

5. Energy Sources http://www.eia.gov/totalenergy/data/annual/perspectives.cfm

7. (Click for video – 3.50 – 22.45 )

8. True or false? As a percentage, more renewable energy goes to producing electricity than to any other end use. Which is true – Power production from hydro power has increased every year since 2005. Power production from renewable sources, other than hydro, has increased every year since 2005. Power production from hydro power sources is at an all-time high. Power production from renewable sources, other than hydro, is at an all-time low. Which is false - In 2011, wind turbines in the United States generated about 3% of total electricity. In 2011, oil account for more power generation in the United States than renewables. Of all renewable sources of power, solar accounted for the largest percentage of electricity generation in 2011. The United States accounts for 5% of the world’s population and ~20% of the world’s CO2 emissions. 4. True or false? Renewable energy can only be used to produce electricity. Pop Quiz Renewables in energy mix Answers: 1-T / 2-b / 3-b / 4-F

9. 2. Renewable energy production / transmission EIA: Renewables production by state

10. (Click for video – 2:16)

11. Source: NREL- Link

12. (Click for video – 2:01)

13. Source: NREL- Link

14. (Click for video – 2:16)

15. Source: NREL- Link

16. (Click for video – 2:32)

17. Source: NREL- Link

18. Source: Wikimedia, Link

19. Source: ERCOT, Link

20. Source: ISO/RTO Council, Link

21. Renewables Pros: • Zero emissions into the atmosphere • Reduces reliance on fossil fuels - good for environment & energy security • Job stimulation • If it can be harnessed, potential is unlimited Cons: • Currently more expensive than traditional power generation • Variable power production • Requires regulatory incentives to remain competitive (given current technologies) • Location constrained

22. 3. Regulation of renewables • RE Production • Wind, solar, geothermal – permitting and citing at state and local levels • Hydro regulation unique – federal government grants licenses • Interconnection – PURPA (also subject to policies of utilities) • Green v. green -- federal env statutes • RE Transmission • Siting and permitting – state level • Regional operations (interconnections / RTOs and ISOs) • Markets and practices – FERC

23. Promotion of Renewable Energy • Renewable Portfolio Standard (RPS) • requires utilities to use/procure renewable energy/credits • Specified percentage of retail electricity sales or generating capacity • specified schedule • Feed-in-Tariff (FIT) • performance-based incentives • cash payments based onKWHs renewable energy • Tax Incentives • corporate tax incentives • personal tax incentives • property tax incentives

24. Renewables- timeline Energy Policy Act of 1992 Energy Policy Act of 2005 Public Utility Regulatory Policies Act (1978) Federal Power Act Amendments (1935) Federal Power Act (1920) Solar PV developed (1954) First utility scale wind turbine (1951) Piedmont Envtl. Councilv. FERC (2009) Clean Water Act (1972) Clean Air Act (1970) 1900 1930 1960 1990 2020

25. True or false? The federal government has the authority to site the construction of wind turbines on private land. Which is false – Utilities need not purchase electricity produced from renewable energy producers. Renewable energy generation is not typically location specific. The US electrical grid, a single system, stretches from coast to coast. FERC regulates interstate power transmission markets and practices. Which is true -- A feed-in-tariff is a demand side mechanism for promoting renewable generation. A renewable portfolio standard is a supply side mechanism for promoting renewables. A feed-in-tariff is a regulatory incentive for renewable power production. A renewable portfolio standard is a free market mechanism for promoting renewable power production. 4. True or false? The greatest potential for geothermal power generation is in the Western United States Pop Quiz Renewables – regulation Answers: 1-F / 2-A / 3-c / 4-T

26. 4. Future of renewables

27. (Source: Fresh Energy- Link)

28. Europe Electricity from renewables (2010) Source: European Commission, Eurostat, Link (2010)

29. Europe Electricity from renewables (2000-10) Source: European Commission, Eurostat, Link

30. Class Hypo Due to safety concerns stemming from the incident at the Fukushima nuclear reactor in Japan, Congress is considering a measure that would shut down all nuclear facilities and replacing their capacity with renewable energy by 2022. Please come up with a list comments to submit reflecting your position on this proposal: Group 1: United States Nuclear Energy Institute. Group 2: Congressional Representative from a district with a historically low income per capita measure. Group 3: United States Renewable Energy Association.

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