Looming Water Shortages Cut in Favor of Renewable Energy
WSJ has an interesting article today about the influence that dwindling water resources is having on the trend towards developing more renewable energy sources. Water is commonly overshadowed by greenhouse gas emissions in the discussion about dirty power versus renewable power. However, consumption of water by traditional power plants is a gigantic environmental issue. In fact, as the WSJ notes, “the electric-power industry accounts for nearly half of all water withdrawals in the U.S., with agricultural irrigation coming in a distant second at about 35%.”
Although most of this water is eventually recycled back into nearby lakes or streams, 2-3% is lost by evaporation, and the heat from the water released back into the natural environment can be detrimental to surrounding life. READ MORE
Saudi Oil Minister Reaffirms Importance of Fossil Fuels, but Forecasts Eventual Shift
On Monday, the Saudi Arabian Oil Minister reiterated the importance that fossil fuels will continue to play for many years into the future:
“Given their massive scale, non-renewables will remain the world’s energy workhorse for many decades to come… While the days of easy oil may be over, the days of oil as a primary fuel source for the people of the world are far form over.”
Yet, the Minister also recognized that Saudi Arabia is preparing for the eventual shift towards clean energy, noting, “The world’s largest oil exporter also hopes to be the world’s leading solar power provider someday… All energy sources will have a role to play in meeting future demand.”
Proposed Legislation Would Speed Up Permitting Process for Transmission Lines
Targeting a major hurdle in the wide scale development of renewable energy, Senate Majority Leader Harry Reid introduced a bill last week that would give the federal government the authority to fast-track permits for new transmission lines.
The proposal is contained in the Clean Renewable Energy and Economic Development Act, which would provide the regulatory framework to develop a national grid that is capable of transmitting renewable energy from remote locations such as the Desert Southwest and Great Plains to the country’s population centers, often thousands of miles away. Streamlining the permitting process for new transmission lines will be key if we are to achieve President Obama’s plan to produce 25% of the nation’s electricity from renewable sources by 2025.
Senate Committee Conducts Hearing on Smart Grid Technology
A hearing on smart grid technology in the Senate Energy and Natural Resources Committee took place on Tuesday. The hearing focused on how government funding is being used and what type of interoperability standards are being implemented in the roll-out of a national smart grid.
Some of the specific issues included how to address cyber security concerns that smart grid communications create and how to promote common software communications throughout the industry. Additionally, it was noted that a key to effective smart grid technology is the ability to offset inconsistent electricity generation from renewable sources such as wind and solar. An effective smart grid needs to efficiently communicate dips in power from one energy source and replace it with power from other sources.
Senate to Examine Smart Grid Technology
Even though Congress recently approved $11 billion for it in the stimulus bill, many are still unclear as to what smart grid technology really entails. As a result, the Senate Energy and Natural Resources Committee will take up this issue in a hearing on Tuesday.
“Clearly, everyone agrees we should do more,” Chairman Jeff Bingaman (D-NM) said, “but we know we have to get down to the details of what does that mean.”
Witnesses at the hearing will range from the Department of Energy to Google. As we noted recently, Google has jumped head-on into the smart grid debate by strongly advocating the use of open standards and protocols for all smart grid technologies that are funded by the government.
The Tides Are Turning: Obama to Increase Taxes on Offshore Drilling
Offshore drilling would become more expensive under President Obama’s proposed budget. The proposal would levy “a new excise tax on offshore oil and gas production in the Gulf of Mexico to close loopholes that have given oil companies excessive royalty relief.”
Additionally, new revenues, along with funds from the stimulus bill, would be directed towards clean energy research and development. The proposed budget calls for “significant increases” in spending for renewable energy, carbon sequestration, and power transmission projects. The stated goal of these measures is to position “the United States as the world leader in climate change technology.”
Sen. Reid Proposes to Rapidly Grow Transmission Lines
Senate Majority Leader Harry Reid (D-Nev.) announced on Monday that he will introduce legislation this week to redevelop the nation’s electric transmission lines. Reid made the announcement while attending the National Clean Energy Project with other green giants like Al Gore, T. Boone Pickens, and Bill Clinton.
The intent of the bill is to make it easier to carry renewable energy from the remote areas where renewable energy is often generated to the urban population centers.
“My legislation will require the President to designate renewable energy zones with significant clean energy generating potential. Then, a massive planning effort will begin in all the interconnection areas of the country to maximize the use of that renewable potential by building new transmission capacity. If that process falters, then the federal government would be given clear authority to keep it going and get that new transmission built on schedule,” Reid said.
Stimulating Renewable Energy…
The massive $787 billion stimulus bill was signed into law on Tuesday and people are beginning to digest what was inside it. According to Recovery.gov, in general, the bill is allocated in the following manner:
- Tax Relief $288 billion
- State and Local Fiscal Relief $144 billion
- Infrastructure and Science $111 billion
- Protecting the Vulnerable $81 billion
- Health Care $59 billion
- Education and Training $53 billion
- Energy $43 billion
- Other $8 billion
Of course what is of interest to us is the $43 billion allocated for energy. With $22 billion in tax relief also going towards energy, the total investment in energy is actually $65 billion. This stimulus money allocated for energy is broken-down as follows: READ MORE
Southern California to Get Major Boost in Solar Energy
Southern California Edison (SCE) and BrightSource Energy announced an agreement on Wednesday that would bring seven new solar thermal projects online, producing a total of 1,300 MW of renewable energy– enough to power nearly 845,000 homes.
BrightSource, which has Google as an investor, uses a proprietary “power tower” technology that focuses thousands of small mirrors towards a boiler sitting atop a tower in order to produce high temperature steam. The super heated steam is used to spin a conventional turbine which generates electricity. The steam is then cooled back into water and reused by the system. READ MORE
Bush’s Last Minute Oil and Gas Leases in Utah to be Canceled
Interior Department Secretary Ken Salazar, in canceling oil and gas leases in Utah this week, took a big step towards reversing some of the Bush administration’s more controversial eleventh hour environmental decisions. The leases at issue, which were rushed through towards the end of Bush’s term, were criticized for being too close to sensitive national parks and not nearly valuable enough to justify the damage to these areas.
The 77 parcels represent 130,225 acres near Arches and Canyonlands national parks, Dinosaur National Monument and Nine Mile Canyon. The canceled bids are worth around $6 million and those bidders will have their money returned.
Although these leases could be re-granted after a more thorough review, this seems unlikely. Salazar also emphasized that there needs to be a smarter balance between the environment and commercial use. READ MORE
List of Top Wind Power States
According to the American Wind Energy Association, as of today, the top five states for wind energy generation are:
1. Texas, 7,116 MW
2. Iowa, 2,790 MW
3. California, 2,517 MW
4. Minnesota, 1,752 MW
5. Washington, 1,375 MW
Report: 2008 Was a Big Year for Wind Energy Growth
The American Wind Energy Association, an industry trade group, released a report this week indicating a record growth in wind energy in 2008, with more than 8,000 MW of new generating capacity having been installed. This increase grew the nation’s total wind power capacity by 50% and actually accounted for about 42% of all new power capacity added to the national grid last year. However, despite this good news, the report also warned that 2009 is set to see a halt in that growth due to the poor economy and credit crisis.
Gore Testifies on Climate Change Before Senate Committee
Al Gore testified before the Senate Foreign Relations Committee on Wednesday about climate change. (Link to full video list.) Gore noted that we are in a dire situation and fundamental change needs to occur as soon as possible. Gore repeated his warning that “clean” coal may not be a feasible solution in the near-term, noting “We must avoid becoming vulnerable to the illusion that this is near at hand. It is not.”
Gore said that the most promising sources of clean energy are wind and solar, and that while he is not against nuclear power, the costs are just too unpredictably high.
“Our home – Earth – is in grave danger,” Gore noted. “What is at risk of being destroyed is not the planet itself, of course, but the conditions that have made it hospitable for human beings.” READ MORE
Recovery Plan’s Renewable Energy Tax Credits and Incentives Debated in Senate Committee
The Senate Finance Committee began debating on Tuesday the alternative energy portion of the recovery plan. The House version of the package cleared the Ways and Means Committee last week. This portion of the plan is expected to have around $30 billion in tax credits and incentives to increase energy efficiency and renewable energy production.
Both versions of the bill would extend wind energy credits through 2012, and extend similar credits for biomass, geothermal, small irrigation, hydropower, landfill gas and tidal energy power would be extended through 2013. READ MORE
Obama: America will not be held hostage to dwindling resources, hostile regimes and a warming planet
President Obama delivered his expected remarks on energy and climate change today at the White House. As expected, he announced that his administration will grant California a waiver to more strictly regulate vehicle emissions, will have federal agencies increase energy efficiency in federal buildings, and will increase federal fuel efficiency rules. But most importantly, Obama articulated the reasons why we must address these issues and why his strategy will work.
Reviewing the transcript of the speech, here are some of the highlights: READ MORE
