Operating in a World of Carbon Constraints: What Utilities Should Know

A brown-bag seminar from the Association of Energy Service Providers, 1:00 p.m. (Eastern), November 6:

The goal of this Brown Bag presentation is to address key U.S. greenhouse gas policy and market issues that are of increasing concern to electric utilities. The World Resources Institute* will address existing and anticipated U.S. Federal and state carbon constraint policies. Point Carbon will discuss the current and projected state of the carbon markets in the U.S. and address the issues that utilities need to be aware of in order to successfully operate in a carbon constrained environment. Participants will have a chance to obtain answers from carbon policy and market experts.

*The World Resources Institute is an environmental think tank that goes beyond research to find practical ways to protect the earth and improve people’s lives.

*Point Carbon is a world-leading provider of independent news, analysis and consulting services for global power, gas and carbon markets.

Speakers:
Lisa Zelljadt, Carbon Analyst, Point Carbon
Olga Chistyakova, Carbon Analyst, Point Carbon
Nicholas Bianco, Associate, World Resources Institute
John Larsen, Associate, World Resources Institute

Register for the online seminar here.

RENEW Wisconsin's summer/fall newsletter online

RENEW Wisconsin's summer/fall edition of Wisconsin Renewable Quarterly is now online, including the following articles:

Peak Oil Spices Meeting with Cong. Baldwin
Countdown to Solar Tour
Solar H2O on Madison Fire Stations
Global Warming Task Force Report
Wisconsin’s Newest Wind Projects
PHEV+Wind=Clean Air
Small Wind Conference Wrap-up

UWSP to host first climate-change forum

From an article by Patrick Thornton in the Wausau Daily Herald:

STEVENS POINT -- Some of the smartest minds in Wisconsin will be at the University of Wisconsin-Stevens Point in December to craft a response to the threat of global climate change.

Lt. Gov. Barbara Lawton organized the forum as part of the state's Green Economy Agenda and said it's the first of its kind in the country. Elected officials, researchers, business professionals, environmentalists, educators and others are invited to share what currently is being done to combat climate change and to formulate a long-term strategy for Wisconsin, Lawton said.

She envisions different regions in the state forming their own action plans.

"The challenges (of global climate change) vary throughout the state," she said. "It's a different ballgame in Superior than in Kenosha."

Education on climate change will be the first component of the conference. Terry Tamminen, an author and former adviser on environmental issues to the governor of California, and Doug Scott, the director of the Illinois Environmental Protection Agency, will provide keynote addresses. In addition, the group will tour green buildings and businesses that use sustainable energy in the Stevens Point area.

Task force issues final global warming recommendations

From a media release announcing release of the final report of the Governor's Global Warming Task Force:

MADISON – Today, Governor Jim Doyle’s Task Force on Global Warming announced it has finalized its report on addressing global warming in Wisconsin. The 29-member Task Force, comprised of environmental, agricultural, industry, citizen, tribal and utility leaders will now forward the report on to Governor Doyle for consideration.

“By working together the Task Force has developed an aggressive multi-sector strategy to address global warming that will put Wisconsin on track to being a leader in meeting one of the most significant challenges of our time,” said Roy Thilly, Global Warming Task Force Co-Chair. “The recommendations contained in this report help keep Wisconsin competitive and create new jobs, while preserving our environment for future generations.”

“I am very pleased with the breadth and depth of the strategy this Task Force has put forth,” said Tia Nelson, Global Warming Task Force Co-Chair. “The stringent emission reduction targets combined with substantial new investments in energy conservation and efficiency and increased reliance on home grown renewable power will establish Wisconsin as a national leader on climate change while helping the state achieve greater energy independence in the years to come.

The Governor’s Task Force on Global Warming agreed on a group of interim targets to reduce greenhouse gas emissions to 2005 levels by 2014 and 1990 levels by 2022. The long-term targets include a goal to reach 75 percent reduction from 2005 levels by 2050.

The Report makes over 50 viable and actionable policy recommendations in the utility, transportation, agriculture, forestry and industry sectors, as well as a number of recommendations in other areas, including support for a proposed federal or regional greenhouse gas cap and trade program. In accordance with Governor Doyle’s Executive Order 191, which created the Task Force, many of the Task Force’s recommendations identify ways to grow the state’s economy and create new jobs arising from the opportunities created by addressing climate change. Careful attention also has been paid to mitigating the potential costs of the recommended policies on consumers and Wisconsin’s industrial base. . . .

Focus on Energy program hailed as cutting edge

From a media release issued by Focus on Energy:

MADISON, Wis. (July 10, 2008) - In its recent report titled, "Global Warming Solutions That Work," Environment America's Research & Policy Center cited Focus on Energy, Wisconsin's energy efficiency and renewable energy initiative, as an example of a cutting-edge program. Focus was lauded for it efforts to keep jobs in the state and help reduce greenhouse gas emissions while saving money on energy costs.

The report specifically recognized the work Focus has done with industrial facilities. Because these facilities typically use a lot of energy for operational purposes, the opportunities for energy efficiency and related energy costs savings abound. Yet, industrial facilities are not the only business sector Focus works with. The program also provides energy saving options for schools and local governments and commercial and agricultural facilities. To date businesses that have worked with Focus have saved nearly 700 million kilowatt-hours, 50 million therms and more than $100 million in energy costs.

"We know the Focus on Energy Program is providing the state with innumerable environmental and economic benefits, and we are proud to be recognized as an example for others to emulate," said Public Service Commission of Wisconsin (PSC) Chairperson Eric Callisto. "We all win when steps are taken to combat global warming and fortunately many residents in the state realize this and have taken advantage of the Focus on Energy Programs available to them."

Environment America is the latest in a series of organizations to recognize Focus on Energy for its contributions to the environment and the citizens of Wisconsin. In the past several months, the program was also recognized by the American Council for an Energy-Efficient Economy and the U.S. Environmental Protection Agency.

Alliant to retire aging coal plant, build more wind, double biomass commitment, and increase energy efficiency, to reduce carbon 'footprint'

From a media release issued by Wisconsin Power and Light, a subsidiary of Alliant:

MADISON, Wis., June 12 /PRNewswire-FirstCall/ -- Wisconsin Power and Light Company (WPL), a subsidiary of Alliant Energy Corporation (NYSE: LNT - News), proposed today to reduce its generation fleet's greenhouse gas emissions by retiring a coal-fired generating unit, dramatically increasing its wind power portfolio, doubling its commitment to utilizing biomass, and aggressively building upon its energy efficiency measures, when its proposed expansion at the Nelson Dewey Generating Station becomes operable in 2013. . . .

As part of its greenhouse gas emissions reduction proposal, WPL would retire Edgewater Generating Station's coal-fired unit 3. The facility is the oldest coal plant in WPL's generation fleet. The company would also increase its commitment to develop new wind power resources. Previously the company had announced plans for approximately 300 megawatts of new wind by the end of 2010. Upon approval of the Nelson Dewey expansion, the company would add 200 megawatts to that total by the time the new facility begins commercial operation. While the sites for the future wind farms have not yet been determined, it is possible that one of the sites could be located in southwestern Wisconsin.

WPL would also double the amount of renewable resource fuels to be used at the new third unit of Nelson Dewey, to twenty percent. As a result of utilizing fuels such as switch grass, waste wood, or corn stalks, not only are CO2 emissions reduced by offsetting the use of coal at the facility, but Wisconsin farmers and foresters will have access to new economic markets, an ecologically friendly crop and better land and forest management practices. Analysis by researchers from the University of Wisconsin has shown that the 20 percent biomass at Nelson Dewey unit 3 could create economic development revenues for the State of Wisconsin to exceed an estimated $50 million annually.

This proposal, along with a fifty percent increase in WPL energy efficiency savings, is projected to more than offset the carbon emissions from the new Nelson Dewey unit. The potential increased capital costs associated with these changes in WPL's generation fleet are expected to be $500-$550 million, and are contingent upon the company receiving all applicable regulatory approvals related to the expansion of the Nelson Dewey Generating Station.

Governors: Include coal in energy debate

From an Associated Press story by Andrew Welsh-Huggins:

WASHINGTON (AP) — Governors pushing alternative energy development are not shying from coal, a major culprit in global warming but also a homegrown energy source and an economic lifeline for many states.

Leaders of coal-rich states say clean-coal technology is a must. Governors from states without coal want more evidence the technology works.

"There's no doubt there's a tension and there's no doubt there is very rapidly growing public opposition to coal," said Gov. Jim Doyle, D-Wis. His state relies heavily on coal for power although Wisconsin is not a coal producer.

Energy tops the agenda at the governors' annual winter meeting. The group's new clean energy initiative seeks to promote renewable fuels such as ethanol and biodiesel and reducing greenhouse gas emissions.

"Next-generation coal is going to need to continue to be part of our energy future for this country," said GOP Gov. Tim Pawlenty of Minnesota, chairman of the National Governors Association.

"It is abundant, it is available, it is Americanized in the sense that we control the supply," he said Saturday. "We would be incomplete and doing a disservice to the debate and the ultimate policy direction that we're going to take if we don't envision coal being part of that."

Next-generation coal typically refers to capturing and somehow sequestering or storing the carbon that coal produces. It also envisions reducing or eliminating emissions as coal is burned.

Pawlenty has embraced renewable fuels such as corn-based ethanol and conservation, but he also promotes clean-coal technology.

Such technology is a rallying cry for many coal-producing states. They say it is possible to continue relying on the fossil fuel while minimizing its impact on the environment.

Global warming task force issues interim report

From a story by Thomas Content and Lee Bergquist in the Milwaukee Journal Sentinel:

To tackle global warming, Wisconsin should:

• Consider erecting wind turbines on the Great Lakes.

• Reward utilities for cutting energy use instead of building power plants.

• Study the possibility of pumping carbon dioxide from power plants into the ground or sending it by pipeline to other states.

Those are among the recommendations in an interim report that the Governor's Task Force on Global Warming will vote on Tuesday in Sun Prairie.

The task force also will endorse a significant cut in energy use by Wisconsin homes and businesses as a critical first step in addressing global warming. . . .

. . . the panel sought to concentrate on how the state can move the quickest. Its top pick: energy conservation.

If it cuts its appetite, Wisconsin would reverse course and, by 2015, cut electric demand by 2% per year, and natural gas use by 1% annually, the report says.

Other strategies call for adoption of building codes that promote energy efficiency, incentives for green buildings and a directive to owners of rental units to install high-efficiency lighting in public spaces.

To bolster the state's portfolio of renewable power, the report calls for a study by year's end that would evaluate the potential for Great Lakes wind power.

Alliant subsidiary will reduce green house gas emmissons

From a press release issued by Alliant Energy:

CEDAR RAPIDS, Iowa – February 8, 2008 – Interstate Power and Light Company (IPL), a subsidiary of Alliant Energy Corporation (NYSE: LNT), proposed today to permanently reduce its generating fleet’s greenhouse gas emissions by retiring coal-fired generating units and switching the fuel source of other coal-fired units to natural gas when its proposed Sutherland Generating Station Unit 4 becomes operable in 2013. . . .

IPL expects that the generating station retirements and fuel switch at the Dubuque power facility will have no impact upon current employees.

“We, alone, have an obligation to serve our customers and this plan fulfills that obligation by providing our customers with safe, reliable and environmentally responsible energy,” states Tom Aller, president of IPL. “Our proposal improves Iowa’s air quality and environment while providing a reliable energy supply to support the growth of Iowa’s economy. We are preparing Iowa for a bright energy future by confronting the challenges of greenhouse gas emissions and ensuring a reliable energy supply today.”

As part of its greenhouse gas emissions reduction proposal, IPL will retire Lansing Generating Station’s coal-fired units 2 and 3. In addition, the company will permanently switch the fuel source of its Dubuque Generating Station Units from coal to natural gas. This will reduce these units’ maximum potential to emit CO2 by more than 800,000 tons per year. These potential changes in IPL’s generating fleet are contingent upon the company receiving all applicable regulatory approvals related to Sutherland Generating Station Unit 4’s site certification and ratemaking principles applications.

IPL estimates that its energy efficiency programs, which include the new five-year plan the company expects to file with the IUB later this year, will reduce customers’ electric usage by nearly 2 million megawatt-hours by 2013. As a result, IPL’s system-wide CO2 emissions are expected to be reduced by approximately 2.57 million tons per year compared to what those emission levels would be absent the company’s energy efficiency programs.

IPL recently received approval to build 200 MW of wind generation in Iowa by 2013 that will also serve to reduce the Company's system-wide CO2 emission levels by approximately 934,000 tons per year in 2013 from what those emissions levels would be absent this investment.

Going green? Easy doesn't do it.

A commentary by Michael Maniates in the Washington Post seems to ring true for many people concerned about energy issues. Here's a excerpt from his column:

The hard facts are these: If we sum up the easy, cost-effective, eco-efficiency measures we should all embrace, the best we get is a slowing of the growth of environmental damage. That's hardly enough: Avoiding the worst risks of climate change, for instance, may require reducing U.S. carbon emissions by 80 percent in the next 30 years while invoking the moral authority such reductions would confer to persuade China, India and other booming nations to embrace similar restraint. Obsessing over recycling and installing a few special light bulbs won't cut it. We need to be looking at fundamental change in our energy, transportation and agricultural systems rather than technological tweaking on the margins, and this means changes and costs that our current and would-be leaders seem afraid to discuss. Which is a pity, since Americans are at their best when they're struggling together, and sometimes with one another, toward difficult goals.