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Clean Energy Communities: How to Make a Municipal Clean Energy Purchase

Clean Energy Communities: How to Make a Municipal Clean Energy Purchase. Bob Wall – Director, Energy Market Initiatives, CT Clean Energy Fund Clean Energy Regional Workshops 2009. CT Clean Energy Communities . Program Steps:

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Clean Energy Communities: How to Make a Municipal Clean Energy Purchase

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  1. Clean Energy Communities:How to Make a Municipal Clean Energy Purchase Bob Wall – Director, Energy Market Initiatives, CT Clean Energy Fund Clean Energy Regional Workshops 2009

  2. CT Clean Energy Communities • Program Steps: • Town commits to the 20% by 2010 Campaign and makes a municipal town purchase (9% in 2009; 13% in 2010) • Town commits to EPA Community Energy Challenge • Reach point threshold for local signups to CTCleanEnergyOptions program and clean energy systems • Reward – earn clean energy systems (e.g., solar PV, solar thermal, wind)

  3. Preliminary Steps • Determine annual municipal electricity use: • Period: Calendar Year, Fiscal Year, Any 12-month period • Include: Town buildings, schools, streetlights • Gather monthly electric bills (DPW, Bd of Ed, Finance) or work with utility account rep • Provide total usage in kWh to CCEF – get free cost estimates • Recommend a line-item in municipal budget • Remember that electricity use varies over time – lowering usage also lowers your clean energy target (and vice versa)

  4. What Counts? • Sign up one or more town facilities with CTCleanEnergyOptions • Purchase Green-e certified Renewable Energy Certificates (RECs) • Install a Class I Renewable Energy System • Any combination of the above Cheshire Town Hall

  5. CTCleanEnergyOptions • Contact CCEO Suppliers for Presentation • Community Energy – mark.garrett@newwindenergy.com • Sterling Planet – • kwest@sterlingplanet.com • Pros: • Supports state program • Earns rebates for signups • Supports some local renewables • Carbon claim via RGGI set-aside • Cons: • More expensive than RECs

  6. Green-e Certified RECs • Check options on EPA Green Power Partnership site • http://www.epa.gov/grnpower/pubs/gplocator.htm • Pros: • Green-e certified products • Choose resource mix and location • Lower first cost • Rebates may be available from Sterling Planet and Community Energy • Cons: • Potentially less environmental value • Lacks connection with CCEO program

  7. Install Clean Energy Systems • Check technologies and incentives on CT Clean Energy Fund site • http://www.ctcleanenergy.com/ • Pros: • Return on investment • Truly local resources • Supports development of industry • Creates local jobs • Cons: • High initial capital cost • Limited technology options • Potential siting issues Essex Recycling Center

  8. Strategy #1: Competitive Supplier • Town switches to competitive supplier for generation service • Use savings to finance clean energy purchase • Example: • Town uses 2 million kWh/year • Town switches from CL&P (gen. svc. chg. – 11.9¢/kWh) to Acme Electric (10.4¢/kWh) • Savings = 1.5¢/kWh or $30,000 • Use portion of savings to purchase 9% clean energy (180 RECs at $5-$13 = total cost of $900 to $2,340)

  9. Strategy #2: Energy Efficiency • Town joins EPA Community Energy Challenge and pledges to reduce energy use by 10% • Use savings to finance clean energy purchase • Example: • Town uses 2 million kWh/year • Through conservation & efficiency measures, town reduces use to 1.8 million kWh (i.e., 10% less) • At 16¢/kWh, town saves $32,000 • Use portion of savings to purchase 9% clean energy (now only 162 RECs at $5-$13 = total cost of $810 to $2,106)

  10. Strategy #3: CCEO Rebates • Town partners with CCEO Suppliers and gets rebates for local customers it helps to enroll • Use rebates to finance clean energy purchase • Example: • Town uses 2 million kWh/year • Town seeks 9% clean energy purchase (180 RECs at $5-$13 = total cost of $900 to $2,340) • Town gets $20-25 rebate per customer enrolled • Every 50 customers yields rebates of $1,000 - $1,250

  11. Strategy #4: Solar PV Savings • Town would qualify as Clean Energy Community but for its failure to make a town purchase • Use savings from solar PV system to help finance clean energy purchase • Example: • Town would earn a 4 kW solar PV system if it made a 9% CE purchase • PV system would generate ~ 4,800 kWh/year • At 16¢/kWh, town would save $768/year – nearly enough to cover the cost of Green-e certified RECs (i.e., $900 @ $5/REC) • Output also counts towards town’s CE target, thus lowering cost

  12. Building a Bigger System • 4kW requires 400 points, which are earned by CCEO signups (1 point all signups) or local clean energy installations (3 points) (note – new solar thermal and geothermal systems will count) • But you can earn bonuses: • Each 5% household participation earns a bonus 1 kW (does not apply to towns with fewer than 1,000 households) • Designation as an EPA Green Power Community earns 1 kW • And you can combine with other grants: • Use town money to purchase extra kW at lower cost (note – CCEF will not allow EECBG contribution because of add’l costs) • CCEF has funding to support purchase extra kW (50% of cost, up to $8,000)

  13. Strategy #5: Climate Change Action Plan • Town pursues comprehensive Greenhouse Gas Emission reduction strategies • Opportunities include: • Increased conservation, efficiency & renewables • Reduced VMTs in town fleet • Reduced water usage • Increased recycling • High performance buildings for new construction/renovations • Use savings from action steps to help finance clean energy purchase

  14. Additional Resources • Resource Page • Community Forums • Program changes • Town commitment • Signups • EPA Challenge • CIGP • Sustainability • Regional Workshop Page • Web Videos (coming soon) • Custom Collateral ctcleanenergy.com/communities

  15. CCEF Fuel Cell Programs • On-Site Renewable DG Program • $14M (all commercial, industrial & institutional – CI&I) • Open only to CL&P and United Illuminating customers • Federal: ARRA State Energy Program (SEP) • $8M (all CI&I) • Open to all Connecticut applicants • Program Rules and Incentives same in both cases: • Up to $2,500/kW • Capped at $4,000,000 Middletown High School 200 kW Fuel Cell

  16. CCEF Solar Thermal Program Solar Hot Water Collectors 16 kw Solar Photovoltaic Panels

  17. Solar Thermal • Use sunlight to heat domestic hot water • Typical System Components: • Solar collectors (flat plate or evacuated tube) • Water tank • Rack, plumbing, valves, pumps, etc. • System Considerations: • Demand for DHW (showers, cafeteria) • Building usage (daily, seasonal) • Size to meet 50-80% of DHW needs

  18. CCEF Solar Thermal Program • Federal: ARRA State Energy Program (SEP) • $4M for commercial or residential projects • Incentives: • Not-for-profit and governmental projects -- $900 per MMBtu of predicted system output for October through March • Maximum incentive awarded per installation - $82,500 • Project Eligibility: • Open to all Connecticut applicants • Domestic hot water only (no space heating or pools) • Roof must have 15+ years of life left

  19. CCEF Geothermal Program • Federal: ARRA State Energy Program (SEP) • $5M for commercial or residential projects • Program pending CCEF Board approval in late 2009 • Incentives: • CI&I not-for-profit -- $2,000 per ton of air-conditioning capacity • Maximum incentive for CI&I – 100 tons • Project Eligibility: • Open to all Connecticut applicants

  20. The Application ProcessSolar Thermal and Geothermal • Non-competitive, first come, first served • Residential – system owner must be the applicant • Commercial – system owner must be the applicant • Installer’s contract with customer must be for full cost • Incentive Payments made to system owner: • 100% when installed as proposed, commissioned and inspected satisfactorily • Installation variances from application will be subject to incentive adjustment

  21. High Performance Schools Program • Circuit Rider - education & outreach on benefits of and incentives for high performance schools • Contact Bill Leahy/ISE at (860) 465-0252 or leahyw@easternct.edu • Technical Assistance - grants for feasibility studies for renewable or sustainable features • Solar PV Grants - funding for PV systems (~25-100 kW), helps earn LEED points for renewable energy and innovation Barnard Magnet School – New Haven

  22. Bob.Wall@ctcleanenergy.com 860.257.2354 www.ctcleanenergy.com

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