Posts Tagged ‘energy policy’

posted by | on , , , , , , , , | Comments Off on Glimpsing into the Emerging Market of Home Energy Storage

By Sarah Peters

At last December’s UN Climate Change Conference (COP 21), the USA set ambitious goals to cut carbon emissions and to invest in clean energy. One of the ways that we will reach those goals is through renewable energy technology. And already, we can see industry and policy pushing forward.

Meeting the current challenge

When I say “renewable energy” you probably imagine this:

renewables

Renewable energy sources such as solar and wind are inconsistent; on sunny or windy days, they produce more energy than the grid demands. The primary challenge is how to store that extra energy efficiently for use during windless nights and sunless days.

Currently, the most common and cheapest way to store energy is pumped hydro. Here is how it works:

Water is pumped from a low elevation reservoir to a high elevation reservoir during peak energy production. When renewable sources are not meeting the energy demand, water falls from the higher reservoir, spinning a turbine to generate electricity.

PumpedHydro

Although pumped hydro stands at 99% of global bulk energy storage, it is clearly impractical for residential use.

Innovating a better battery

When I think of renewable energy, I think about this: TeslaPowerWall

Rechargeable lithium-ion batteries are one option for storing energy in the home. In the past, this option was impractical due to high cost.

However, in recent years lithium-ion batteries have become more attractive as prices fall, which has driven further private sector innovation. A Deutsche Bank report estimates that lithium-ion battery prices could fall by 20-30% a year, becoming cost-competitive with traditional batteries by 2022.

This has heated up international competition to build the best home energy storage options.

Using the infrastructure that we already have

Electric water heaters are essentially pre-installed thermal batteries that are sitting idle in homes across the U.S. – the Brattle Group

waterheaterAnother potential form of energy storage harnesses the storage potential of a common household appliance – the water heater. Using water heater tanks as thermal energy batteries can reduce communities’ environmental footprints and electricity costs by storing excess energy for use during higher-priced peak periods.

An energy cooperative began testing this concept in February, launched in Minnesota by Great River Energy, the Natural Resources Defense Council, the National Rural Electric Cooperative Association (NRECA), and the Peak Load Management Alliance (PLMA).

“When the wind is blowing or the sun is shining, large capacity water heaters can make immediate use of that energy to heat water to high temperatures. The water heaters can be shut down when renewables are scarce and wholesale costs are high,” explains Gary Connett of Great River Energy.

By controlling the water heaters of 65,000 participants, Great River Energy has managed to store a gigawatt-hour of energy every night.

With political will, there is a way

Adopting home energy storage will only happen where it makes economic sense. Chances are, the leaders will be in regions with supportive policies.

One such policy is called net metering, which is a billing policy where utility companies pay residential and commercial customers for the excess renewable energy generated at home. Early adopters include Germany, Australia, as well as a few U.S. States: California, Oregon and New York.

Daily_net_metering

As renewable grid-connected resources mature, it is likely that more governments, regulators and utilities will enact their own incentives for energy storage. The momentum is growing.

Moving forward in this emerging market, a combination of economic and political forces will determine where and how residential energy storage flourishes.

Sarah Peters graduated from Gettysburg College in 2010 with a B.A. in Environmental Studies. She has written articles and blog posts for the Wilderness Society, Maryland Sierra Club, and DC EcoWomen. She volunteers for the Wilderness Society while seeking her next career opportunity.

posted by | on , , , , , , , | Comments Off on How the U.S. Can Meet Its Climate Pledge

By Manjyot Bhan

I let out a cheer when Leonardo DiCaprio mentioned climate change during his Oscars acceptance speech. But concern about climate extends far beyond the red carpet.

Religious leaders, military officials, mayors, governors, business executives, and leaders of the world’s nations are all speaking about the need to address the greenhouse gas emissions that threaten our environment and economies.

Last December, world leaders reached a landmark climate agreement at the UN Climate Change Conference (COP 21) that commits all countries to contribute their best efforts and establishes a system to hold them accountable. COP 21’s Paris Agreement also sent a signal to the world to ramp up investment in a clean energy and clean transportation future.

U.S. goals and the Clean Power Plan

The U.S. committed to reduce its greenhouse gas emissions 26-28 percent below 2005 level by 2025. The U.S. Environmental Protection Agency (EPA)’s Clean Power Plan was touted as a key policy tool to help reach that goal. However, with the recent surprise stay of the rule by U.S. Supreme Court, can the U.S. still meet its climate pledge? Simply put, yes.

Clean coal plantUnder the Clean Power Plan, the EPA sets unique emissions goals for each state and encouraged states to craft their own solutions. It is projected that the rule will reduce power sector carbon emissions at least 32 percent from 2005 levels by the year 2030.

Last month’s stay does not challenge “whether” EPA can regulate—the court has already ruled that it can—but rather “how” it can regulate. And the stay is not stopping many states and power companies from continuing to plan for a low-carbon future.

Some of the key ingredients that led to success at COP 21—national leadership and a strong showing by “sub-national actors,” including states, cities and businesses—will also be fundamental to U.S. success in meeting its climate goals.

Other federal policy for emissions reduction

A recent event in Washington—held by the Center for Climate and Energy Solutions and New America—outlined the gap between existing policy trajectories and the U.S. goal. A secondary outcome of the meeting also explored how federal, state, and local policies and actions can leverage technology to close the gap.

Solar and windAn analysis by the Rhodium Group found that even without the Clean Power Plan, the recently extended federal tax credits for solar and wind energy will help significantly. Existing federal policies on fuel economy standards for vehicles and energy efficiency also support the U.S. goals, as well policies in the works to regulate hydrofluorocarbons and methane emissions from oil and gas operations.

States and cities drive climate innovation

States and cities made a strong showing of support for the Paris Agreement, and they have emerged as leaders in promoting energy efficiency and clean energy.

Additionally, many states are continuing to work toward implementing aspects of the Clean Power Plan. And even those not doing public planning are discussing ways states and the power sector can collaborate to cut carbon emissions cost-effectively. Last month, a bipartisan group of 17 governors announced they will jointly pursue energy efficiency, renewable energy, and electric and alternatively fueled vehicles. The Clean Power Plan stay can be looked at as giving states more time to innovate.

Private sector commitments to climate

Business Climate PledgeMore than 150 companies have signed the American Business Act on Climate Pledge committing to steps such as cutting emissions, reducing water usage and using more renewable energy across their supply chains. One hundred companies have signed the Business Backs Low-Carbon USA, which calls the entire business community to transition to a low-carbon future.

Following the court’s stay, many power companies came out in support of the rule or reaffirmed plans to work toward clean energy and energy-efficiency.

A 2015 UNEP report suggests that beyond each countries’ individual commitments, actions by sub-national actors across the globe can result in net additional contributions of 0.75 to 2 gigatons of carbon dioxide emissions in 2020. While it is hard to accurately quantify the specific contributions of U.S. states, cities, and businesses in reducing emissions, they have the potential to accelerate the pace at which the U.S. meets its climate goals.

Manjyot Bhan is a Policy Fellow at the Center for Climate and Energy Solutions (C2ES). She holds a Ph.D. in public administration and environmental policy from American University’s School of Public Affairs and earned her Master’s in Corporate Sustainability from Arizona State University. When she isn’t being a policy wonk, Manjyot enjoys wine-tasting, hanging out with friends, and working out at a barre studio. Manjyot lives with her husband in Washington, D.C. and works across the river in Arlington, VA. 

Follow Manjyot on Twitter @ManjAhluwalia and LinkedIn page.