Issue #89 (July 19) Subject: #89, TRENDS in RENEWABLE ENERGIES A 'heads up' overview of developments in renewable energy. Forward TRENDS to colleagues; subscription is free. Archives are posted at http://www.renewables.ca./locate/ContentsDirectlist-archive/nals.html-idhtm If contact information is not provided, it is not available. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - IN THIS ISSUE: VERIFICATION TO INCREASE RENEWABLES IN BRITAIN MONSTER WIND TURBINE TO BE UNVEILED U.S. SENATE URGED TO BACK PRO-RENEWABLES BILL RENEWABLE POWER HAS HIGHEST MARKET VALUE SURVEYS ON RENEWABLES SHOW STRONG PROMISE UK FALLING BEHIND ON COMMITMENT TO RENEWABLES DENMARK POSTS ANOTHER RECORD YEAR FOR WIND MORE STATES BUY INTO GEOTHERMAL HEAT PUMPS U.S. DOE CONFIDENT ABOUT CONCENTRATING SOLAR IPPs TAKE LARGER ROLE IN TEXAS POWER INDUSTRY DEVELOPMENT URGED FOR NEW ZEALAND'S WIND HYDRO FIRM MOVES SOLIDLY INTO WIND ENERGY BPA FOUNDATION PROMOTES RENEWABLE ENERGY LONG ISLAND SEEKS ENERGY, BUT NOT RENEWABLES NASA LOOKING AT SOLAR POWER FROM SPACE AGAIN PV TECHNOLOGY TO RECEIVE R&D AWARD ENVIRONMENTALISTS TO CHALLENGE RECYCLING GREEN SUPPLIER USES INTERNET MERCHANT PV COMPANY UNVEILS AUTOMATED PROCESS JAPAN TESTS EXPERIMENTAL AEROTRAIN YORK RESEARCH ANNOUNCES NEW WEB SITE GREEN ENERGY SUPPLIER UNDER INVESTIGATION U.S. ANALYSES OF OTHER COUNTRIES COMMENTS ON U.S. PLAN TO INCREASE WIND ENERGY CLOUDS OVER WIND POWER ENERGY TIDBITS - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 01 VERIFICATION TO INCREASE RENEWABLES IN BRITAIN The British government hopes to stimulate the renewable energy industry by supporting a program that will verify green energy. 'Future Energy' was launched by the Energy Saving Trust to support and stimulate production of energy from renewable sources, by checking environmental claims of suppliers on their claims of green energy. A number of green energy tariffs are already offered to consumers, and the first group of accredited firms includes PowerGen, ScottishPower, Northern Ireland Electricity and London Electricity. The British government has set a target of 10% of its electricity to be generated from renewable sources by 2010; it currently is 2%. Research indicates that more than 70% of residential customers are interested in buying electricity from renewable sources, and that almost half would be willing to pay a premium. Future Energy will accredit two types of green energy offerings; where a customer pays into a fund to stimulate investments in renewable energy, or where a supplier proves that it purchases as much renewable energy as it sells over a 12-month period. The Energy Saving Trust was launched after the 1992 Earth Summit in Rio de Janeiro. -- 02 MONSTER WIND TURBINE TO BE UNVEILED A Danish manufacturer will unveil a new wind turbine this fall that will be rated at 2,500 kilowatts. Nordex GmbH produces turbines from 150 kW to 1,300 kW, but will unveil its N80 model at the Husum Exhibition in Germany this September. The unit is designed for offshore windfarm installations, which many countries in Europe plan to build. The turbine will include new features, which Nordex refuses to reveal until the official presentation, but the company builds three-bladed, horizontal-axis, stall-regulated units. In April, Nordex unveiled its 800 kW model at the Hannover Fair, which is made for the export market and can be shipped in a 40-foot container. In February, the company was selected as top turbine company in Denmark for a second year, beating out NEG Micon, Vestas and nine others. http://www.nordex.dk/News/news_31.htmentsDirectlist-archive/nals.html-idhtm -- 03 U.S. SENATE URGED TO BACK PRO-RENEWABLES BILL National energy groups are urging members of the U.S. Senate to support a bill that would encourage renewable energy. "No other electric utility reform legislation provides such strong and practical measures to put America on track to a sustainable energy future," say 24 organizations of the Clean Energy Act of 1999, to be introduced by Republican Senators James Jeffords and Democrat Joseph Lieberman. The bill would foster renewables through a portfolio standard, allow net metering, and establish a national fund to promote renewable R+D. It would cap GHG emissions and oblige utilities to disclose the source of generating fuel. Developing renewables will create jobs and boost U.S. competitiveness in the international race to develop renewable technologies, says the coalition. Research by DoE and the Union of Concerned Scientists shows that the U.S. could significantly increase the amount of energy it produces from renewable sources while reducing electricity prices. -- 04 RENEWABLE POWER HAS HIGHEST MARKET VALUE Electricity generated from hydro and geothermal plants has the highest market value, according to a study by a private research group. Hydroelectric assets have an average market value of almost $570 a kW, according to the analysis by Energy Insight, compared to $385/kW for gas-fired electricity, which was in fifth place for market value. An analysis of 57,500 MW of generating capacity sold since 1997, shows hydro and geothermal assets produced the highest average market value, in large part due to their perception as 'green' energy alternatives. Nuclear had the lowest valuation, while oil and coal took third and fourth place. Most U.S. capacity sold in the past two years has been in the northeast, including all 2,000 MW of hydro assets. Coal remains the cheapest generation fuel in the U.S., with assets selling for $413/kW based on the sale of 21,300 MW capacity and total purchase price of $10.8 billion. More than 10,000 MW of gas-fired assets were sold for $3.8 billion. http://www.einsight.comws/news_31.htmentsDirectlist-archive/nals.html-idhtm -- 05 SURVEYS ON RENEWABLES SHOW STRONG PROMISE Public interest in renewable energy and conservation may be higher than ever, according to an extensive analysis of consumer surveys. "A large number of consumers support utility investments in conservation and renewable resources," says the Bonneville Power Administration in 'Renewable Resources and Conservation: What Consumers Want.' The report is based on an examination of 18 surveys and focus groups conducted between 1990 and 1998, dealing with the issue of green energy. Consumer attitudes in the northwest are consistent with those across the U.S. Although national support is "slightly stronger for utility investments in renewable resources than in conservation," both options were favored over thermal resources by significant majorities. Almost all studies indicated that consumers are willing to pay more for renewables and conservation, but early acceptance in utility programs has been low. Most support rate-basing conservation, and support for green energy is correlated with the amount of information that consumers receive on the topic. Younger people and women are more likely to support renewables, as are higher income and higher education. http://www.bpa.gov/Energy/N/renewables/main_page.htmarchive/nals.html-idhtm -- 06 UK FALLING BEHIND ON COMMITMENT TO RENEWABLES Britain and other members of the European Union will miss their targets for energy from renewable sources unless they make major policy changes. Europe has a target of 12% of primary energy from renewable energy sources by 2010, but this target requires "a determined and sustained drive," says a Parliamentary report. "The right words are said, but we found too little sign of these delivering the necessary action," said panel chair Lord Geddes. "Only a step change in the expansion of the renewables, supported by new policies but requiring only modest finance, will meet the targets." Energy from wind, solar or waste is less polluting than traditional sources, he said, and an important part of plans to cut GHG emissions. The report warns that Britain's target of 5% of electricity from renewables by 2003 and 10% by 2010 would not be achieved with present policies. The planning and consent process for green energy projects needs "urgent improvement" because it has been a major stumbling block for adoption of renewable energy technologies. A surcharge of $5 on residential electricity bills to fund a renewable energy program and a new agency to co-ordinate fragmented responsibilities for key energy matters were recommended by the committee. A government official said Britain is on target to achieve the 5% target by 2003. -- 07 DENMARK POSTS ANOTHER RECORD YEAR FOR WIND The sale of wind turbines in Denmark grew by 26% in 1998, topping out at 1,216 MW of capacity. The country's turbine manufacturing has increased six-fold over the past five years, according to the Danish Wind Turbine Manufacturers Association. A total of 1,742 turbines were sold last year, with Germany the largest market at 32% of sales, compared with 26% sold in Denmark. Spain accounted for 16% and Italy purchased 7%. The average turbine size was 700 kW. Sales figures do not include local manufacturing of Danish turbines in other countries, such as Spain, India and the U.S. DWTMA expects growth in 1999 to reach 30%, with employment reaching 15,000, making wind turbine manufacturers a bigger employer than the country's electricity sector. The turbine industry reached 7 billion DKK in sales in 1998, including more than 5 billion of exports. Exports of rotor blades and other components to foreign manufacturers added another 1 billion DKK. Turnover in the Danish industry is twice as large as the North Sea production of natural gas. Export turnover should grow by 3 billion DKK in 1999, while domestic sales will decline by 1 billion. The 10,000 MW of international wind capacity is equal to the total nuclear capacity in 1968. More than half of world wind power is of Danish origin. Installed wind power in Denmark is 1,500 MW, and wind energy will provide 10% of the country's electricity this year. DWTMA calculates commissioned projects only, while other studies include all wind turbine shipments. A report from BTM will show larger figures for 1998, due to large projects being installed in Canada, the U.S. and Spain but which are not yet operational. http://www.windpower.dk/core.htmwables/main_page.htmarchive/nals.html-idhtm -- 08 MORE STATES BUY INTO GEOTHERMAL HEAT PUMPS A growing number of states are providing financial incentives for the use of earth energy heat pumps, which the U.S. government considers to be one the most efficient heating and cooling technologies currently available. The Environmental Protection Agency says state programs include property tax exemptions for installed units, income tax credits, and grant programs for public-private geothermal energy projects. Idaho allows an income tax deduction to taxpayers who install a solar, wind, or geothermal device used for heating or generating electricity. EPA says geothermal heat pumps are among the most efficient and comfortable heating and cooling technologies currently available for buildings, and have been installed in more than 450 schools in 30 states. Units are labeled under EPA's Energy Star program, and save 40% off heating and cooling bills. North Dakota has signed a memorandum of understanding with the Geothermal Heat Pump Consortium in Washington, to install in state facilities where systems are feasible and cost-effective. http://www.epa.gov/appdstar/hvac/geothermal.html.htmarchive/nals.html-idhtm -- 09 U.S. DOE CONFIDENT ABOUT CONCENTRATING SOLAR Concentrating solar power technology currently offers the lowest-cost solar electricity for large-scale generation, with a cost of $2 to $3 per watt and solar power in the range of 9¢ to 12¢ per kWh. CSP systems are predicted to generate 20,000 MW by 2020, according to DoE's CSP Program. Innovative hybrid systems that combine large CSP plants with conventional combined cycle gas or coal plants can cut current costs in half and drive the cost of solar power to less than 8¢ per kWh for power plants of 10 MW or more. Technology advancements and the use of low-cost thermal storage will allow CSP plants to operate for more hours during the day and to shift solar generation to evening hours, which will drop the generation cost below 5¢ per kWh in the next few decades. CSP plants use mirrors to obtain high-temperature heat, and systems can be sized from 10 kW to 100 MW for grid applications. If combined with gas, a hybrid provides high-value, dispatchable power and is an attractive renewable energy option in the southwest U.S. and in sunbelt regions. DoE says all U.S. electricity demand could be met by installing a 100 mile CSP site with parabolic troughs in Nevada. There are three configurations of CSP systems. Trough systems concentrate the sun's energy by curved reflectors, which heats fluid for use in a conventional steam generator. A dish/engine system is a stand-alone unit, where solar heat is converted to mechanical power. Power towers use thousands of heliostat mirrors to reflect the sun's rays onto the top of a tower, where molten salt is heated and then used to generate electricity. The Solar Two power tower in California's Mojave Desert generates 10 MW of electricity by heating salt to 1,050 F. CSP projects are under development in India, Egypt, Morocco and Mexico. Independent power producers are planning projects in Crete and Spain. Specialized niche markets in the U.S. are expected to open soon, and the DoE estimates that global CSP capacity by 2005 will be as much as 500 MW. http://www.eren.doe.gov/csp/csp_tech.htmlal.html.htmarchive/nals.html-idhtm -- 10 IPPs TAKE LARGER ROLE IN TEXAS POWER INDUSTRY Companies that generate electricity from renewable energy sources are experiencing a major increase in their market share in Texas. Construction of power plants is booming in the state due to hot weather, a good economy and the recent electricity deregulation bill. From small windfarm operators to Exxon, independent power producers supply 12% of the Texas market, or 8,300 MW. IPPs have an additional 4,600 MW under construction, and officials expect to capture 20% of market share by 2001. Most new generation will be sold to utilities, rather than directly to consumers. The wholesale market has been open to IPPs since 1992, and the June bill affects the retail market, allowing customers to buy electricity directly by 2002. Advocates of solar, wind and geothermal projects, such as the York Research windfarm near Big Spring, say the growth in renewable energy has been too halting to meet their expectations. -- 11 DEVELOPMENT URGED FOR NEW ZEALAND'S WIND An international expert in wind energy says New Zealand has the best wind resource in the world but is refusing to develop it. Andrew Garrad says the resource is "phenomenal' in global terms, and sufficient to generate the country's entire electricity grid. A windfarm proposed for Wellington harbor was dropped because local residents were concerned that it would be as noisy as a helicopter and harm the natural scenery. Garrad said New Zealand should build windfarms to pump water for hydroelectric storage. New Zealand has generation capacity of 8,000 MW, 75% from hydro. -- 12 HYDRO FIRM MOVES SOLIDLY INTO WIND ENERGY A Calgary firm has closed the acquisition of the 19 MW Cowley Ridge Wind Plant in southern Alberta for $2.25 million. Canadian Hydro Developers will sell power from the 52-turbine site to TransAlta Utilities until 2014. Cowley Ridge started generation in 1994 and has averaged 55 million kWh of electricity a year. Canadian Hydro now owns 46 MW of green energy capacity, 60% run-of-river hydro and 40% wind. It is also constructing two projects for 12 MW. http://www.canhydro.com/csp/csp_tech.htmlal.html.htmarchive/nals.html-idhtm -- 13 BPA FOUNDATION PROMOTES RENEWABLE ENERGY The Bonneville Environmental Foundation has announced its first grants to promote renewable energy in the Pacific Northwest, after it was set up last year to promote renewable energy projects and watershed restoration. The City of Ashland (Oregon) has launched a program to deploy solar PV units, with a Foundation grant of $62,500 to Solar Ashland, which must solicit twice as much from other sources in order to qualify for the matching funds. Up to 25 kW of PV arrays will be installed on public facilities under the first phase of the program, and the power will be sold to the host institutions and to the public. The second phase will market power and PV panels to homes and commercial offices in the Ashland area. The Foundation receives funding from the sale of green energy by the Bonneville Power Administration. Startup funding came from private grants in 1998, and BPA has recorded green power sales to utility and industrial customers throughout the four states in the U.S. Northwest. -- 14 LONG ISLAND SEEKS ENERGY, BUT NOT RENEWABLES Long Island needs more electricity, and the region's utility has issued a request for 225 MW to be available from 2001 to 2007. The power will be additional to LIPA's energy efficiency programs that will spend $150 million over the next five years on conservation, DSM and R+D for solar, fuel cells and wind. -- 15 NASA LOOKING AT SOLAR POWER FROM SPACE AGAIN The U.S. space agency is investigating if solar collectors can be built in outer space to capture solar energy and beam it down to earth. After rejecting the idea 20 years ago as costly and impractical, NASA is spending $6 million to assess the feasibility of constructing 'sun towers' that could capture 1.2 billion watts of solar power. Using PV cells along a 22 mile collector, the sun towers would sit in stationary orbit 22,000 miles away, meeting the electricity needs of 1.2 million homes. Contractors from 23 organizations have nine months to see if the concept would be feasible by 2015. They will meet soon at the Marshall Space Flight Center in Alabama. Microwaves are the most practical technology to transmit energy, but the beams would burn anything in its path, including planes and birds. NASA opposes using lasers, which could be perceived as a potential weapon. Japanese researchers are evaluating laser transmission from space station to atmospheric airships, which would convert the energy into microwaves for beaming to earth. The receiving antennas would be up to 15 miles in diameter. Each 'sun tower' would mount a series of 200-meter solar collectors along the 22 mile structure, with concentric prisms to focus the sun's rays and robots to maintain the system. Cost estimates run from $1 to $2 billion. -- 16 PV TECHNOLOGY TO RECEIVE R&D AWARD R&D Magazine has chosen a solar module as one of this year's 'R&D 100 Award' technologies. The ST family of PV modules from Siemens Solar use Copper Indium Diselenide solar cells, a thin-film PV technology. The National Renewable Energy Laboratory helped to develop the technology under its Thin Film PV Partnership program. R&D Magazine has recognized technologically significant new products since 1963. Past winners have included the halogen lamp (1974), the fax machine (1975), the LCD (1980), and the digital compact cassette (1993). NREL tests show efficiency to be 50% higher than competitors. http://www.rdmag.com/rd100p/csp_tech.htmlal.html.htmarchive/nals.html-idhtm -- 17 ENVIRONMENTALISTS TO CHALLENGE RECYCLING A renewable energy project in Scotland will face a legal challenge from local environmentalists who say the power plant will cause pollution and serious traffic problems. The proposal to burn plastic industrial packaging would generate 15 MW of electricity and create 55 jobs. But Friends of the Earth Scotland says the project may send harmful dioxins into local air, and claim the scheme should never have been included in the Scottish Office renewables order. "To call this a renewable energy scheme when it involves incinerating plastic is a complete con and I would regard it as illegal under Scottish law," says Richard Dixon of FoE. Earlier this year, 53 contracts were awarded to energy projects, but government officials now say they were under the impression that the proposed waste-to-energy plant would burn wood from local forests. FoE will object to the proposal at the planning stage, and will ask the courts to rule on whether the scheme falls within the renewables order. -- 18 GREEN SUPPLIER USES INTERNET MERCHANT A California retailer of renewable energy products will use ShopForChange.com to help sell its merchandise. Real Goods Trading says it is the dominant retailer of renewable energy products, with a website that offers more 'green products' than any other. ShopForChange.com is an online shopping service, which gives 5% of revenue to nonprofit groups. Customers can purchase from Real Goods at normal retail, and 5% of the price will support non-profit groups. ShopForChange.com was launched in June by Working Assets, a long distance, credit card and Internet company. Real Goods Trading sells a broad range of renewable energy products through its catalogs and retail stores and on its Website. http://www.realgoods.com00p/csp_tech.htmlal.html.htmarchive/nals.html-idhtm -- 19 PV COMPANY UNVEILS AUTOMATED PROCESS One of the leading companies in the production of PV solar cells has unveiled an advanced production process. The integrated module testing and module transfer systems were developed by Spire under a $4 million contract from NREL's PV Manufacturing Technology program. The three-year contract was awarded in 1998, to allow Spire to develop a series of automated manufacturing and testing systems to improve PV manufacturing technology. Spire is a leading supplier of PV manufacturing equipment, and has shipped more than 400 pieces of equipment and a dozen turnkey production lines to customers in 40 countries. http://www.spire.com.com00p/csp_tech.htmlal.html.htmarchive/nals.html-idhtm -- 20 JAPAN TESTS EXPERIMENTAL AEROTRAIN Japanese researchers are testing an experimental train that runs on solar and wind energy. The 'aerotrain' has four horizontal wings, and an unmanned model will travel at 310 miles per hour. Emissions will be almost zero and is similar to magnetically levitated trains. A manned aerotrain will be ready in five years. Japan's shinkansen (bullet train) operates at 186 mph and has reached a speed of 275 mph in tests. -- 21 YORK RESEARCH ANNOUNCES NEW WEB SITE A developer of renewable energy projects has activated a new internet web site that contains information about the company and an eight-minute movie on the Big Spring windpower project in Texas. York Research's site highlights green energy marketing, and contains a section on frequently asked questions. York develops, constructs, and operates cogen and renewable energy projects. http://www.yorkresearch.com/csp_tech.htmlal.html.htmarchive/nals.html-idhtm -- 22 GREEN ENERGY SUPPLIER UNDER INVESTIGATION Commonwealth Energy is being investigated by the California Public Utilities Commission, into concerns relating to billing errors that occurred during the initial six months of deregulation in the state. A company news releases says the firm has been cooperating with the PUC for several months on issues concerning 159 customer complaints stemming from make-up bills sent to 19,000 customers affected by billing errors. Past billing problems were industry-wide, says Commonwealth, which processes 50,000 bills per month. It says the 159 complaints are from consumers who were confused about how to read their bills and deregulation in general. The PUC will hold a hearing on the case. -- 23 U.S. ANALYSES OF OTHER COUNTRIES The Department of Energy produces reports on the energy status of other countries. Some recent nations examined: - Only 55% of the population in Bolivia have access to electricity. One-third of capacity is hydroelectric, with high potential for exports to Brazil. Bolivia's hydro potential is almost 40,000 MW, most in the Amazon. About 80% of the rural population has no electricity, and 2,000 PV systems operate in the highlands. http://www.eia.doe.gov/emeu/cabs/bolivia.htmltml.htmarchive/nals.html-idhtm - Israel has 4 GW of installed electric generating capacity, 70% of which is coal-fired and 25% is oil-fired. Besides coal and oil, future sources of generating capacity will include natural gas from Egypt, as well as its own reserves of oil shale. Nuclear is not considered an option for at least 20 years. By 2005, at least 900 MW of power must be purchased from independent power producers, of which 150 MW will be solar and wind (the rest will be gas). Israel's goal is for 10% of all electricity be produced by IPPs. Israel and Jordan are discussing a joint 100 MW windfarm and a 150 MW solar thermal plant, and is discussing a joint wind power development with Syria in the Golan Heights. http://www.eia.doe.gov/emeu/cabs/israel.htmlltml.htmarchive/nals.html-idhtm - Venezuela has 20 GW of electric generating capacity, of which 51% is hydropower and the rest is thermal, and the country has a 91% electrification rate. http://www.eia.doe.gov/emeu/cabs/venez.htmllltml.htmarchive/nals.html-idhtm -- 24 COMMENTS ON U.S. PLAN TO INCREASE WIND ENERGY - Las Vegas Sun editorial: "Richardson's goal for wind energy use is ambitious, and it may be unreachable at the level he wishes to attain, but it is still sound policy to aggressively promote wind as a renewable resource." - San Antonio Express-News editorial: "America's energy needs mirror those of other industrialized nations. The first one to develop affordable wind and solar energy will reap the rewards. America should lead the race to develop sustainable energy and associated technology." -- 25 CLOUDS OVER WIND POWER (condensed from the Des Moines Register) Iowa is now the home of the largest wind-energy farm in the world. That sounds like the start of something great. Instead it could signal the end of a great idea. Those tall wind-generator towers with their huge three-bladed propellers, far from being monuments to progress, could be memorials to a lost cause. A 1983 Iowa law required that investor-owned utilities buy energy produced from wind power or some other 'alternate' source. The idea was to tap Iowa's bountiful energy potential by encouraging farmers and small businesses to provide their own electricity and sell the excess to the utilities. That hasn't happened, because the utilities are contesting how much they should pay the small producers for their electricity. But the law also set a minimum amount of alternate energy power that the utilities must buy. The answer from the state's two large utilities (MidAmerican Energy and Alliant) is the 257 windfarm installation at Alta, near Storm Lake, and another 55 catching the currents southwest of Clear Lake. Both began operation this spring. The utilities buy power from those fields, and meet the minimum requirements of the Iowa law, without buying electricity from farm-based generators. Unless the Federal Energy Regulatory Commission orders them to buy from farm generators at a price that makes it worth the producer's effort, the fledgling industry could be dead. "It's the end, absolutely, positively," said John Sayler, president of the Iowa Wind Energy Association. Ty McNeal of Windways Technology agrees. Small producers of electricity face other problems. While requiring the investor-owned utilities of Iowa to use some alternative energy, the Legislature specifically exempted the rural electric cooperatives, from which the bulk of Iowa farms get their electrical power. That's one reason the big windmills haven't sprouted on farms all over the state. Wind generators would enable farmers to produce much of their own electricity rather than buying all of it from the REC or a municipal or investor-owned utility. But when the wind doesn't blow, they need the standby power provided by a utility. When the wind does blow and they can generate more than they can use, they need to feed their excess power back into the transmission lines, running the electric meter backward. But the utilities won't accept that deal. They don't want to pay as much for the power as they charge, contending they'd lose money covering the overhead. Unless the federal regulators intervene, school's out. But the Iowa Department of Natural Resources isn't tossing in the towel. Iowa electricity is cheap compared to some states, meaning Iowa utilities could make money on an open market. Thus, the utilities want deregulation of their industry so badly they can taste it. The DNR could make cooperation with alternative energy programs a condition for getting it. Dave Osterberg, former Iowa legislator who helped manage the 1983 law, is now a consultant on alternate energy. DNR will push deregulation legislation next year requiring that the utilities buy up to 10% of their energy from alternative sources by 2015, and requiring that they pay producers such as farmers the same price for energy as they charge. The provision would automatically include Iowa's RECs and municipal power. To ensure that this provision doesn't handicap Iowa utilities, the bill would require that upon deregulation, all utilities attempting to compete for Iowa's business would have to provide similar alternate-energy incentives. Such 'renewable portfolio standards' are in place in four New England states and Nevada, and close to adoption in Texas. In Iowa, the standards could provide a rebirth to the wind-energy industry. Coal is now the major fuel for energy generation in America. It's the primary fuel used by MidAmerican and Alliant. Randall Swisher, formerly of Iowa and now executive director of the American Wind Energy Association in Washington, sees 'green' power competing in the future, supplied by wind when the wind blows, and by biomass as a standby supplier. Biomass energy from burning switchgrass is close to reality in southern Iowa already. Iowa is windy, rated 10th nationally in wind power potential. Burning coal pumps CO2 into the air, contributing to global warming. Wind power is totally non-polluting. We will someday run out of coal; we will never run out of wind. If we allow utility deregulation without new alternate energy stimulants, Iowa's huge wind-power potential will likely die with the installations at Alta and Clear Lake. If we demand such stimulants, Iowa could quit exporting billions of dollars to buy energy and buy it instead from home-grown businesses, with a bonus of cleaner air. The fate of deregulation in next year's Legislature will have a multibillion-dollar impact on Iowa's economy. -- 26 ENERGY TIDBITS - A church in Los Angeles held a 'Green Power Sunday' so its congregation members could sign up for the 'Green Power for a Green LA' program of Los Angeles power that was launched in May. Customers pay an additional 6% but receive free light bulbs and discounts on other products. - North Sydney, Australia, will install 250 solar panels and harbour-connected heat pumps to heat water in its swimming pool. Energy savings will pay for the pool redevelopment and save $80,000 each year after that. The technology will displace the emission of 500 tonnes of greenhouse gases. - Illinois has approved a $250 million fund to support clean energy, including renewable energy and efficiency programs. The trust will be funded by Commonwealth Edison, a utility in Chicago, as a condition in the sale of its coal-fired plants. - Malaysia's Bakun hydroelectric project will take at least six years to complete. The 500 MW site will provide power to east Malaysia, Brunei and Indonesia. The government paid almost $4 million to take over the project from Bakun Hydroelectric. - A $80,000 project to provide renewable energy in rural areas of India's Bihar state will include solar lanterns and cookers. - Alstom Canada has won a $7 million contract to modernize a 18 MW hydro generation station in India. - U.S. Energy Systems will buy two geothermal plants in Nevada. Trigen-Cinergy Solutions will acquire other geothermal companies, including development rights to the Reno Energy Geothermal District heating project. The deal includes the 40 MW Steamboat geothermal plants and rights to 600 acres of underlying resources. The adjacent Steamboat 1 power plant produces $12 million in annual sales. - Three nuclear reactors in Belgium must close by 2015 despite objections from the plant operators. A coalition of Liberals, Socialists and Greens in the new government have agreed to phase out nuclear stations by 2025. Nuclear generates 55% of Belgian electricity, and supporters say it is a cheaper alternative than wind and solar energy. - An independent firm will control power lines in Wisconsin, and utilities have agreed to surrender control of lines and towers in exchange for fewer restrictions on finances. Utilities will support energy conservation, energy assistance and renewable energy programs. By 2010, at least 2.2% of energy sales must come from renewables. - Siemens and Shell will develop an emission-free fuel-cell power plant. The unit will combines the solid oxide fuel cell developed by Siemens' Westinghouse subsidiary, with the carbon dioxide sequestration technology of Shell. An SOFC plant 200 W electrochemical fuel cells bundled together, in commercial size of 250 kW to 10 MW output. - Electricity in Canada generated revenue of $36.4 billion in 1997, up 1.8% from 1996. Excluding Ontario, net income for the industry was $2.0 billion, up 14.5%. Nation-wide, the industry loss was $4.1 billion due to corporate write-downs in Ontario. Net electricity generation rose 0.2% to 556.9 TWh. - Increased use of coal-burning power plants by electric utilities in the U.S. has substantially increased emission of GHG. Environmental groups says energy deregulation is prompting more consumption of cheap coal, and annual NOx emissions rose 755,000 tons between 1992 and 1998. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - TRENDS in RENEWABLE ENERGIES is circulated by the Canadian Association for Renewable Energies. Many sources are examined, and it is assumed that these sources are credible; however, CARE is not responsible for content. Back issues are posted at http://www.renewables.cameu/cabs/venez.htmllltml.htmarchive/nals.html-idhtm Canadian Association for Renewable Energies We CARE Bill Eggertson, Executive Director, Ottawa mailto:eggertson@renewables.ca Issue #90 (July 26) TRENDS in RENEWABLE ENERGIES A 'heads up' overview of developments in renewable energy. Forward TRENDS to colleagues; subscription is free. Archives are posted at http://www.renewables.ca.eu/cabs/venez.htmllltml.htmarchive/nals.html-idhtm If contact information is not provided, it is not available. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - IN THIS ISSUE: $25 BILLION EARMARKED FOR RENEWABLES IN BRAZIL U.S. RENEWABLES UNDER ATTACK IN CONGRESS WORLD'S LARGEST PROJECT PLANNED FOR NEVADA HYBRID SOLAR PLANT OPENS IN BAJA CALIFORNIA EGYPT PREPARES ITS FIRST SOLAR POWER PROJECT RENEWABLES BACKED BY STATE REGULATORS CALIFORNIA TO PROVIDE POWER FROM SMALL HYDRO KANSAS WIND TURBINES START GENERATING SECOND WIND TURBINE TO JOIN FIRST IN NEBRASKA SOUTH AFRICA BACKS RENEWABLES IN WHITE PAPER DOE WANTS TO ENHANCE POWER FROM GEOTHERMAL WIND POWER PROGRAM TO BE EXPANDED IN WYOMING COLORADO UTILITIES PROMOTE THEIR WIND POWER TANZANIA WELCOMES INVESTMENT IN RENEWABLES LARGEST U.S. UTILITY TO TRY RENEWABLE ENERGIES BIRKENSTOCK BUYS RENEWABLES LUZ SOLAR GETS GOOD CREDIT RATING FOR FPL FINLAND WANTS ENERGY TAX ACROSS EUROPE RICHARDSON UNVEILS PLAN TO HELP U.S. ENERGY UTILITY WANTS TO REDEFINE CONSUMER ACCESS U.S. COAL PLANTS UNDER INVESTIGATION BY EPA CANADA FINALIZES REPORT ON RENEWABLES SALES IN THE WIND ENERGY TIDBITS - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 01 $25 BILLION EARMARKED FOR RENEWABLES IN BRAZIL The government of Brazil will invest US$25 billion to provide renewable energy electricity to people who are not connected to the power grid. The national program for developing renewable energy services in rural areas was identified last year as a government priority for the country's development. PRODEEM will develop 20,000 MW of renewable energy capacity for the 20 million rural inhabitants without access to grid power. On August 11, it will unveil its its plan to accelerate renewable energy in an sustainable manner, at community schools, health centres, water pumping, irrigation and street lighting. PRODEEM will focus on market studies and field testing of desalinization, refrigeration, ice-making, and food drying applications. http://www.mme.gov.br/Prodeem/prodeem.htmmllltml.htmarchive/nals.html-idhtm -- 02 U.S. RENEWABLES UNDER ATTACK IN CONGRESS The U.S. Congress is considering cuts to the federal budget for renewable energy. A House subcommittee has approved a bill with $326.5 million for renewables programs, a decrease of $39.5 million from last fiscal year. Funding for DoE's Office of Science leaves the actual renewables level at $279.35, or $56.65 million below last year. Photovoltaics is the major technology to be funded, at $67 million, with biofuels at $42m, biomass at $29m and wind at $25m. Concentrating solar would receive $13m in federal funds, geothermal gets $18m and hydrogen would receive $21m. Hydroelectric would receive $2m, although $38m goes to electrical transmission, HTS and energy storage. Another $23m would fund support for the solar program, NREL and program direction. At the Office of Science, biomass and biofuels would receive $27m, solar photoconversion would receive $14m, PV and hydrogen get $3m each, and wind would be funded for $280,000. Before the vote, Republican Matt Salmon asked members to consider supporting increases for renewable energy based on the fact that the Clinton Administration has proposed increasing funds for renewables to $446m, an increase of 16%. His letter was signed by 54 Democrats and 20 Republicans. -- 03 WORLD'S LARGEST PROJECT PLANNED FOR NEVADA Two Nevada organizations will work together on what they claim will become "the largest renewable energy project in the world today." The Nevada Science + Technology Corridor has signed a memorandum of understanding with Composite Power Corp to generate, transmit and market renewable energy near Nevada's 'Death Valley.' The region is one of the best sites in the United States for angle and elevation for collection of solar energy, wind energy and geothermal resources. The State of Nevada wants to obtain 7.5% of its energy by 2005 from renewable energy sources. The companies say the Nye County project will establish a "world class showcase for successful renewable energy operations" and promote Nevada as the 'Green Energy State.' Earlier this month, Composite Power announced partnerships with Desert Research Institute (to develop programs for the generation and transmission of green energy into the deregulated energy market) and MinneSolar Manufacturing (to deploy a 100 MW PV site in the Amargosa Valley of south Nevada). CPC says it plans to become a major provider of solar, wind, hydro and coal energy, with dedicated transmission lines, within the next three years. http://www.compositepower.com/news.htmhtmmllltml.htmarchive/nals.html-idhtm -- 04 HYBRID SOLAR PLANT OPENS IN BAJA CALIFORNIA One of the largest hybrid electric facilities in North America has started to generate power in a remote fishing village in Mexico. San Juanico, in Baja California Sur, is 350 miles north of the southern tip of the Baja peninsula, and is renowned for its world-class surfing. The new plant has ten 10 kW wind turbines, 17 kW of solar PV panels, 80 kW diesel generator, 70 kW power processing unit, and a battery bank. Mexico's national utility and Arizona Public Service Company upgraded an existing diesel generator to reduce GHG emissions and to work toward Mexico's goal of rural electrification. Previously, high cost of diesel meant the village could generate electricity for only three hours a day, which impeded development of the local commercial fishing and tourism industries. Two-thirds of power now will be generated from renewable energy, reducing GHG emissions by 80% compared with the diesel generator alone. http://about.apsc.com/media/news/releases/19990608.aspchive/nals.html-idhtm -- 05 EGYPT PREPARES ITS FIRST SOLAR POWER PROJECT Egypt's first solar power station should start generating electricity by 2001, with more than $400,000 in assistance from Japan. Japan will undertake technical and economic feasibility studies over the next five months, and then provide funds to build the power station in southern Egypt using its PV technology. The station would pump water and provide power in the Toshka development. -- 06 RENEWABLES BACKED BY STATE REGULATORS The U.S. organization that represents state regulators for the utility sector, has strongly endorsed federal support for renewable energies. Any restructuring legislation should make a national commitment to the continued commercialization and supply of renewable energy, Susan Clark of the National Association of Regulatory Utility Commissioners testified before the Senate Energy Committee. If national standards for renewable energy are mandated, NARUC would support the use of tradable credits as one market-compatible mechanism, among others, to meet the national interest in renewable energy supply. The introduction of retail competition in 23 states may have an impact on public benefits that were provided in the past by public utilities, including renewable energy technologies. NARUC wants regulatory oversight left with the states. http://www.naruc.org/Congressional/Susan_Clark.htm.aspchive/nals.html-idhtm -- 07 CALIFORNIA TO PROVIDE POWER FROM SMALL HYDRO A municipal utility in California will be the first in the U.S. to offer 100% green energy from small hydro generation. The Turlock Irrigation District will offer 'Green Valley Energy' from a small hydro generator at La Grange that it has owned since 1924. A monthly premium of $3.50 is planned for residential customers, $8.50 for small commercial customers. The premium will be waived for the first six months, and bumper stickers and wind decals will be given to subscribers to identify them as users of renewable energy. TID owns 68% of the 203 MW Don Pedro hydro facility and part of a geothermal power plant in Lake County that can generate electricity for 15,000 homes. Many U.S. utilities offer green energy, but from geothermal, wind or solar. Small hydro is under 5 MW. http://www.tid.org/newpress.htmnal/Susan_Clark.htm.aspchive/nals.html-idhtm -- 08 KANSAS WIND TURBINES START GENERATING More than 600,000 electricity customers in Kansas can purchase power that is generated by two wind turbines. Western Resources has commissioned two 750 kW turbines that will sell renewable energy to its KPL and KGE utility customers under the 'Westar Wind' program. Wind power will be sold at a premium of 5¢/kWh, and participants must stay in the program for at least one year. The two turbines generate 3.6 million kWh of power, enough to supply 400 homes. The turbines are the first commercial wind units in Kansas. Green energy from the pilot project is limited initially, on a first-come basis. When all available 100-kW blocks are sold, remaining applicants will be put on a waiting list and notified when future blocks are available. The Zond turbines start generating when wind speed is 9 mph and shut down at 65 mph. Each tower has a 12-foot diameter base and is anchored to a concrete mounting pad that extends 30 feet into the ground. Kansas is ranked as the state with the 3rd best wind potential in the United States. North Dakota and Texas are ranked 1st and 2nd, respectively. http://www.wr.com./newpress.htmnal/Susan_Clark.htm.aspchive/nals.html-idhtm -- 09 SECOND WIND TURBINE TO JOIN FIRST IN NEBRASKA An electric utility in Nebraska will install a second wind turbine, right across the road from its first unit that started generating electricity last December. Lincoln Electric System will start construction soon on a 660 kW turbine that will supply power for more than 2,000 customers who have signed up for the utility's 'Renewable Energy Program.' It is due to start generating electricity by the end of November. The second turbine will be identical to the first unit, and will cost $1.2 million. Each turbine generates power for 175 homes, and LES customers buy units of wind power for a premium of 4.3¢/kWh. During the first six months of operation for the first turbine, output was within 1% of the estimate made by Vestas, which had predicted 831,775 kWh for the first half-year, but production exceeded that by 2,241 kWh. The unit had 100% availability in May. -- 10 SOUTH AFRICA BACKS RENEWABLES IN WHITE PAPER "South Africa has neglected the development and implementation of renewable energy applications, despite the fact that our renewable energy resource base is extensive and many appropriate applications exist," says the country's new policy on renewable energy. Development of renewable energy policy is guided by a rationale that South Africa has very attractive solar and wind resources, and that renewable applications are the least cost energy service in many cases, "more so when social and environmental costs are taken into account." A draft national policy was circulated in 1995 for comment, and the final 'white paper' was released last December. Hydropower provides less than 1% of electricity generation and other renewable sources make up a "small but rapidly increasing" share of energy. South Africa has installed 500,000 m2 of solar water heater panels, but this is less than 1% of the potential market. There are 5 MW of PV systems and 280,000 water-pumping windmills, with 60 MW of small-scale hydro. "Renewable resources generally operate from an unlimited resource base and, as such, can increasingly contribute towards a long-term sustainable energy future," and government policy on renewable energy will ensure that "an equitable level of national resources is invested in renewable technologies, given their potential and compared to investments in other energy supply options." The perception that renewables are suitable only for small-scale applications shows that "closed mind-sets are a barrier to the adoption of renewable energy technologies." Implementation of renewable energy policies will require substantial funding, with 1,700 rural schools and health clinics being electrified with PV, and a number of villages targeted for solar systems. http://www.polity.org.za/ss.htmnal/Susan_Clark.htm.aspchive/nals.html-idhtm /govdocs/white_papers/energy98/energywp98-03.html -- 11 DOE WANTS TO ENHANCE POWER FROM GEOTHERMAL The U.S. Department of Energy wants to develop a process that can increase production of electricity from geothermal fields, and is willing to share in a project that may be worth up to $100 million. Exploitable geothermal reserves are found in many parts of the world, and are second to hydroelectric facilities for the amount of renewable energy electricity generated in the U.S., notably at The Geysers in California. Some geothermal fields have sufficient heat for power generation, but lack sufficient permeability or fluid content to be extracted. A process to extract that heat could increase the power from a geothermal site by 5% to 10% above the existing field. DoE's share of any project would be limited to $60 million over a two-year period, and traditional cost-sharing arrangements indicate the total value of the project could exceed $100 million. DoE is seeking interest from utilities, IPPs and others who would be willing to participate. -- 12 WIND POWER PROGRAM TO BE EXPANDED IN WYOMING The Fort Collins Utilities in Colorado will expand its wind power program this fall. Two 600 kW wind turbines have been generating electricity since April 1998, producing energy for 500 homes and a dozen companies that subscribed to the utility's wind power pilot program. Subscribers pay a premium of 2.5c/kWh, and must commit to buying green energy for at least one year. Platte River Power Authority will erect five more wind turbines at its Medicine Bow, Wyoming, site this fall, and Fort Collins will purchase half the output. One of the turbines will generate power for the New Belgium Brewing, the specialty brewer of Fat Tire Amber Ale, that announced a ten- year commitment to purchase green energy under the Fort Collins program. Each turbine reduces GHG emissions by four million pounds a year. Fort Collins recently increased the premium for wind power from 2.0¢/kWh because it was not covering the full costs of the pilot program. The turbines are manufactured by Vestas - American Wind Technology, which has more than 7,000 turbines in service around the world. The Medicine Bow windfarm is among the best in the U.S. for wind speeds, and is not located near avian migratory routes. http://www.light-power.org/windpowr.htmn_Clark.htm.aspchive/nals.html-idhtm -- 13 COLORADO UTILITIES PROMOTE THEIR WIND POWER Utilities in Colorado have devised a unique way to tell their customers that they can buy wind generated electricity. The 18 electric utilities in the state are promoting the option of wind power through the 'Colorado Wind Power' internet site. Consumers to sign up for wind power from any of the utilities, most of which are small, rural electric companies. "Buying electricity from wind power (and eventually other renewable energy resources) becomes a value shift similar to the example of recycling, where the idea was encouraged at the community level and is now institutionalized in most parts of the country," says the website, which has received two national awards in the last three months. Colorado generates 95% of its electricity from fossil fuels, and an average family emits 14,400 pounds of CO2 a year. The effects on birds from wind turbines pose a concern in some areas, when turbine construction attracts burrowing animals which, in turn, attract preying raptors. Criticism of California's Altamont Pass for the death of raptors resulted in that influenced the design of new turbines and the siting of windfarms, and the LAW group says the death of 183 birds over two years are important, but it notes that 150 million birds are killed each year by cars, glass windows and other collisions. As of June, more than 15,000 customers had signed up for wind power, while commercial subscribers include the cities of Aspen, Boulder, Denver, the National Renewable Energy Laboratory, Colorado Governor's Mansion, and companies such as Coors Brewing, IBM, Lockheed Martin, Vail Resorts, Rocky Mountain Institute, American Solar Energy Society, Sierra Club, churches and schools. http://www.cogreenpower.org/index.htmtmn_Clark.htm.aspchive/nals.html-idhtm -- 14 TANZANIA WELCOMES INVESTMENT IN RENEWABLES The government in Tanzania has simplified procedures to invest in solar, wind and micro-hydro projects, and will provide incentives of 100% depreciation allowance in the first year of operation, exemption from excise duty, sales tax and customs on imported materials. The government may also provide subsidies or loans from its energy fund. There is a lack of reliable wind data, but windfarms could serve localized demand. Government legislation will compel independent power producers to generate at least 5% of power from renewable sources, in a bid to accelerate rural electrification. Tanzania has potential of 4,700 MW of hydropower, but only 380 MW is generated now. -- 15 LARGEST U.S. UTILITY TO TRY RENEWABLE ENERGIES The largest electricity generator in the U.S. will see if its customers are willing to pay for green energy. The Tennessee Valley Authority will market renewable energy among the eight million residents and, if popular, green energy could be available from its 159 distributors by 2003. TVA operates 29 hydroelectric dams, a pumped-storage plant, eleven coal-fired and three nuclear plants. It generates 155 billion kWh of power a year. It has been developing a green energy program since early 1998, and has committed $6 million toward the construction of renewable energy generators in the seven states in which it operates. It will finalize plans this fall for eight PV generating stations, at least two windfarms and one energy-from-waste project. The plants will be on-line by next summer, generating up to 6 MW of renewable energy, sufficient for 15,000 residents. TVA surveys found that 84% of residents support renewable energy, but similar programs have found that less people are willing to pay a premium for it. Eight TVA distributors will offer blocks of renewable energy for an estimated $2 to $10 premium on an average $65 monthly electricity bill. The 66-year-old TVA has promoted solar water heaters and passive solar construction in the past, but this will be the first time that the company has generated power from the sun. The Tennessee Valley Energy Reform Coalition says the pilot program will represent less than 1% of TVA's 28,000 MW capacity, but it is an "important first step" for renewables. -- 16 BIRKENSTOCK BUYS RENEWABLES The U.S. distributor for the well-known sandals, Birkenstock, has decided to buy renewable energy for its corporate operations. Birkenstock will be the first large commercial customer for Green Mountain Energy's 'Wind for the Future 2.0' option, which consists of 100% renewable energy, with 25% from new wind turbines as they become operational. "The new partnership between Birkenstock and Green Mountain Energy is just another example of how electricity competition encouraged a choice to those looking for an alternative clean and efficient energy source,' says U.S. Energy Secretary Bill Richardson. The federal government recently launched an initiative to increase the share of wind energy in the U.S. to 5% by 2020. Demand for wind power has prompted GME to start construction of three large-scale turbines in the San Gorgonio Pass in California. Other organizations that will buy green electricity from GME include 12 churches from the Episcopal Diocese of California, the Berkeley Students' Cooperative Association at the University of California, the Union of Concerned Scientists in Berkeley, and Real Goods Trading of Ukiah, California. http://www.greenmountain.comindex.htmtmn_Clark.htm.aspchive/nals.html-idhtm -- 17 LUZ SOLAR GETS GOOD CREDIT RATING FOR FPL FPL Energy has issued $150 million in bonds to refinance its interest in the 80 MW Luz solar generating stations in California's Mojave Desert. Standard & Poor rated the bonds to reflect the risks that the project depends on power purchase agreements with Southern California Edison, and payments of $187 to $207 per kW/year represent above-market costs. Energy production can be affected by climatic factors such as solar radiation, and the there is concern with the use of natural gas to supplement solar power during peak times. S+P said the project's strengths include the fact that California has strong regulatory and policy support for above-market contract obligations, and the solar generation technology is proven and in use by other plants. The Luz Solar projects have been in commercial operation since 1989. Availability was lower in 1998 due to major regular maintenance, but peak months availability has been consistently close to 100%. The projects derive 85% of their annual revenue during the June- September period. S+P's stable outlook is based on California's continued regulatory support of renewable power and the project's sound operations that should result in predictable income streams. -- 18 FINLAND WANTS ENERGY TAX ACROSS EUROPE Finland will push for greater investment in renewable energy and the introduction of minimum energy taxes across the 15 members of the European Union, under the EU term of environment minister Satu Hassi. She says a green tax is needed for environmental and employment reasons, and higher energy taxes must be a key element in the EU's strategy for cutting GHG emissions. Hassi wants continental tax rates on energy products to be close to Finland's levels. Supporting nuclear power "would be a backward step," she says. "We must use all means to stimulate renewable energy; that includes taking away subsidies for conventional energy." Under the Kyoto protocol, Europe must reduce its GHG emissions by 8% by 2012. -- 19 RICHARDSON UNVEILS PLAN TO HELP U.S. ENERGY Energy efficiency and advanced technologies to generate electricity are two solutions to the growing problem of energy shortages in the U.S. "Electricity is among the most essential commodities around," says Energy Secretary Bill Richardson. "Sometimes, it's a matter of life and death." Utilities recently asked residents to reduce use of air-conditioners during a heat wave, and Richardson says "we need to be concerned" that some systems are stretched to the limit. A six-point plan includes a pledge to seek full funding for programs that develop advanced generation technologies, and promote energy efficiency in the residential and commercial sectors. http://home.doe.gov/news/speeches99/julss/naruc.htmaspchive/nals.html-idhtm -- 20 UTILITY WANTS TO REDEFINE CONSUMER ACCESS The major electric utility in the U.S. northwest wants to define who is eligible to buy its low-cost hydroelectric power, and to tighten limits on how much eligible customers can buy. The Bonneville Power Administration says changes would ensure a fair allocation among all customers and residents in the region, as market prices for power and competition increase. BPA sells electricity from 29 federal dams on the Columbia and Snake Rivers. By law, it must meet the demand for power from public utilities and co-operative electric groups in the region, before it can sell surplus generation elsewhere. Tariffs are based on the cost of producing electricity from facilities, including debt on a nuclear reactor and the costs for environmental programs. Competition has boosted prices by 30% above current BPA rates and, when major contracts expire in two years, there may be high demand for limited low- cost hydropower. BPA is worried that legal loopholes may allow some groups to qualify as entitled customers, or that existing customers may sell their BPA electricity for a profit on the open market. Two proposals suggest changes to define who is qualified to purchase federal power on a preference and priority basis, and how customers can re-sell power and how much federal power a customer is entitled to purchase. http://www.bpa.gov//news/speeches99/julss/naruc.htmaspchive/nals.html-idhtm /Power/PL/Subscription/announcements.shtml -- 21 U.S. COAL PLANTS UNDER INVESTIGATION BY EPA The Environmental Protection Agency is investigating if coal-burning power plants are emitting more pollution than permitted under law. The 1990 Clean Air Act exempted 100 large coal plants from stringent pollution controls on the understanding that they would be phased out. The EPA will see if these plants have added capacity without installing emission controls. The 50 largest coal electric plants produce 4.5 million tons of NOx a year. Electricity generation accounts for 29 percent of NOx emissions in the U.S., the rest comes from transportation and to a lesser extent industrial sources. -- 22 CANADA FINALIZES REPORT ON RENEWABLES A number of Canadian industry associations are preparing a report on the potential impact of renewable energies in meeting the challenge of the Kyoto Protocol on climate change. The groups include the Canadian Wind Energy Association, the Solar Energy Society of Canada, the Canadian Solar Industries Association, and the Earth Energy Society of Canada. The document is expected to be released this summer. -- 23 SALES IN THE WIND (from the BBC service, July 16) Just when you've switched gas and electricity suppliers to get a better deal, along comes another reason to make you consider changing again. Soon, energy suppliers will again be touting for your custom with letterbox leaflets, newspaper adverts and doorstep callers. This time, there's more at stake than your bill - there's the cost to the planet. Electricity suppliers will be offering so-called "green tariffs" - aimed at consumers who object to the way existing power generation pollutes the atmosphere. Householders will be able to choose from two schemes, the first buying electricity directly, from "renewable" sources such as solar, hydroelectric and wind power, or even crop- and waste-burning schemes. Under the second, users pay up to 15% on top of their usual bill. Their energy is not necessarily from a renewable source but the voluntary extra goes into research and development. Germany's WRE energy company is one of those planning to offer eco-friendly electricity. Their research shows one in five of us is willing to pay extra for the sake of the environment. So does 'green' electricity have a future in the UK? And will it be worth the extra cost? At present, the world's electricity is generated by burning fossil fuels - gas, coal or oil - or from uranium in nuclear power stations. The world's supplies of gas, coal and oil will not last for ever. But as long as they do last, and we burn them, they give off emissions which contribute to global warming and cause acid rain. Following the Earth Summit in Rio, the UK is committed to reducing carbon dioxide emissions by 20% by 2010. And the government has pledged to increase the nation's clean power output more than fivefold by 2010 - to 10% of all electricity used. So ministers are encouraging households to take up 'green electricity.' Earlier this week, Energy Minister John Battle set the campaign rolling, naming the suppliers involved. But there are problems. Firstly, the UK's renewable energy sector is still small and could not cope with a sudden, large increase in demand. And action to help it expand is limited. This is the next problem: plans for wind farms around the country are being blocked by local people who object to the building of giant wind generators and noise they fear will be created. In the past five years, numerous planned wind farms have been halted at public inquiries. Other green energy-generating plants have also been turned down due to the force of protest. Hydroelectric developments, waste-burning schemes and biomass plants - involving burning straw or wood or using methane gas from vegetable material - have all faltered. Campaigners say for a small nation like the UK, where any new site will provoke objections, the solution lies in giant windmills in the sea - just like oil rigs, only using clean and renewable energy. Earlier this month, the Lords energy committee said major policy changes were needed if the UK was to meet its targets on production. Yet the UK has more potential than any other country in Europe for generating green power. The tiny islands experience 40% of Europe's wind, have the biggest offshore tidal potential - a steady source comes from the Gulf Stream - and large quantities of biomass material. But other countries seem to be doing more to harness the world's natural energy sources. Denmark last year announced plans for a large wind farm generating 750 megawatts of power and by 2030, the Danish government wants half of its electricity to come from wind. Germany is not far behind, planning to produce 1,200mw. Even America has set itself a target of 5% of the nation's energy to be produced by wind farms and has begun windmill building. But Friends of the Earth insist that green power in the UK must have a future. Cutting CO2 emissions was a Labour manifesto pledge, they point out. "The renewable sector must take off," says Mark Johnston, of FoE. "The issue is, how fast. About 2% of Eastern Electricity's customers have switched. "Opinion polls say people are favourable and if we continue to raise the issue the public will recognise the danger of climate change and realise individual action is important." Johnston says for businesses which wear their values on their sleeve, green power will be a vital marketing tool. "If someone like the Body Shop can say, We use green electricity, it's adding value to their products. We expect to be using it in our own offices soon." When it comes to choosing a clean energy supplier, Friends of the Earth advises people to read the small print, as they would when choosing any other power company. The best, they say, offer renewable energy now, as well as promising research investment. If enough people sign up, the price will eventually come down, the argument goes. So the power game has begun: you pays your money, you takes your choice. http://news.bbc.co.uk/hi/english/99/julss/naruc.htmaspchive/nals.html-idhtm /business/your_money/newsid_396000/396408.stm -- 24 ENERGY TIDBITS - The Turlock Irrigation District in California will allow customers to buy 100% renewable energy, starting in August. - The National Renewable Energy Laboratory in Colorado has ordered CIS (Copper-Indium-Selenide) solar cell technology from MVSystems. - Morocco will build a 180 MW thermo-solar energy plant, costing $200 million, to meet 6% of power needs. - A combination of government policies, physical attributes and economic development programs, has poised the U.S. Midwest to become "the national leader in renewable energy generation," says the Council of State Governments. Firms are rushing into the wind power market with such gusto that the region may become the "Saudi Arabia of wind energy." - A 24-year old inventor from Mauritia, Jerome Carcasse, has won a gold medal at an African ceremony for developing a machine that can generate power from sea waves and wind. - The high 'first-cost' of solar power is being addressed by CelSol of Mexico, by renting or financing equipment. - TECSTAR claims a record 27% efficiency for its multi- junction solar cell technology, which provides a one-third increase in power for satellites over single junction gallium arsenide solar cells. TECSTAR has produced more than 120,000 Cascade solar cells. - The licences for eleven hydroelectric plants and one storage reservoir in Montana have been sold to PP+L by Montana Power. PP+L wants to increase its U.S. generating capacity to 20,000 MW within the next five years. - The Los Angeles Department of Water + Power has extended until June 2000, a program to assist low-income customers to reduce utility costs through energy efficiency measures. The Neighbors Program began in January, and has helped 15,000 customers to obtain renewable energy, a home energy survey or compact fluorescent light bulbs. The goal is to deliver the services to 65,000 customers. - Canadian sales of natural gas in May totaled 4,390 million cubic metres, up 7.3% from last year. All sectors recorded gains, with sales to the industrial sectors rising 5.4% due to higher demand by electric utilities. - Construction costs for the installation of electricity distribution systems in Canada increased 4.1% in 1998 compared with 1997, mainly due to higher labour costs. Statistics Canada formerly tracked costs for distribution systems, transmission lines, transformer stations, hydroelectric stations and fossil-fuel plants, but has just changed its electric utility construction price indexes to include only distribution systems and transmission-line systems. - The Business Roundtable (chief executives of 200 large U.S. companies) wants a national summit to develop energy efficient devices and help the economy. The organization has previously argued that restrictions on CO2 emissions would hurt the economy. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - TRENDS in RENEWABLE ENERGIES is circulated by the Canadian Association for Renewable Energies. Many sources are examined, and it is assumed that these sources are credible; however, CARE is not responsible for content. Back issues are posted at http://www.renewables.ca/english/99/julss/naruc.htmaspchive/nals.html-idhtm Canadian Association for Renewable Energies We CARE Bill Eggertson, Executive Director, Ottawa mailto:eggertson@renewables.ca