Electric Utilities and Energy Efficiency
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MAIN TOPICS : -
Subject 1: Energy Efficiency in Industrial Technologies
Subject 2: Renewable Energy
Subject 3: Renewable Energy: Hydropower
Subject 4: Renewable Energy: Wind
Subject 5: Renewable Energy: Biomass and Biofuels
Subject 6: Hydrogen Energy
Subject 7: Renewable Energy: Photovoltaics
Subject 8: Renewable Energy: Solar Thermal
Subject 9: Renewable Energy: Geothermal Energy
Subject 10: aserti home page
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ELECTRIC UTILITIES AND ENERGY EFFICIENCY
More than one-third (37%) of the energy used in the United States is
used to produce electricity. Roughly 70% of that energy is lost in the
process of converting it to electricity and distributing the
electricity to customers. Any gains in the efficiency of this process
could result in significant energy savings for the country. Electric
utilities also have a unique ability to encourage energy efficiency
among their customers--an approach known as demand-side management.
Both of these approaches help the environment by avoiding power-plant
emissions.
Energy Efficiency in Production and Distribution of Electricity
Although most power plant efficiencies are limited to about 30% to
40%, some efficiency improvements can be gained through the use of
more efficient motors, generators, and other electrical equipment. The
electrical equipment in power plants consumes a significant fraction
of the generated electricity.
Advanced technologies for new fossil-fueled power plants may boost the
efficiencies in many cases to 50% (e.g., fuel gasification combined
with an advanced gas turbine), and in some cases to as high as 85%
(e.g., fuel cells combined with cogeneration).
The current transmission and distribution systems in the United States
are designed for safety and reliability, but they are not necessarily
energy efficient. The current designs allow power to travel through
longer paths than needed and even to circulate in loops through the
distribution system. This causes energy losses that could be avoided
with better technology.
New technologies (e.g., thyristor-controlled series capacitor [TCSC])
under development by industry and the U.S. Department of Energy (DOE)
allow an active control of the distribution system to route power more
efficiently through the distribution grid. This will save energy.
Demand-Side Management
Utility investments in energy efficiency can keep utility bills lower
because they are more cost effective than building new power plants.
For example, the Sacramento Municipal Utility District (SMUD) has
avoided rate increases for its customers for 5 years by carrying out
an aggressive energy efficiency program.
To meet the nation's projected growth in electricity needs during the
next 10 years, $100 to $200 billion in new capital investment will be
needed. However, new power plants are quite expensive, and there is
often strong local resistance to power plant construction. Because of
this, many utilities are doing whatever they can to reduce the demand
for electricity and to defer new power plant construction.
The current situation is leading utilities to work with customers to
reduce the customer's electrical demands or to shift the customer's
electricity use away from the periods of high electrical demand. This
approach is called demand-side management (DSM).
Because DSM reduces the customers' electricity bills, it saves the
customer money. Some rate structures allow utilities to capitalize the
money that they spend on DSM, spreading the costs over 30 years. The
customer pays this cost, but because it is less than the cost of the
electricity saved, the customer saves money. The utility can also
profit if it is allowed to collect a profit on the DSM investment.
This creates a win-win situation for utilities and their customers.
DSM is a relatively new and growing service for electric utilities. In
1991, U.S. utilities invested $2 billion in DSM technologies.
In 1990, there were more than 1300 utility DSM programs in the United
States with 13 million customers participating, saving 0.6% of the
nation's electricity. Experts predict that by 2000, the savings could
increase to 2.2%.
Economic Benefits
A 2% reduction in electricity use would cut the nation's electric
bills by $6.1 billion per year, freeing up this money for investment
or other spending.
DSM programs are very labor intensive, so they produce new jobs. In
1991 alone, utility DSM programs in Massachusetts created 2350 jobs.
References
1. 21st-Century Technologies for the "Era of Efficiency," Office of
Fossil Energy, DOE.
2. National Energy Strategy, DOE, February 1991.
3. Official Guide to Demand-Side Management Programs and Research,
UDI/McGraw-Hill, Washington, DC, 1994.
4. Getting Down to Business: A Strategy for Energy Efficiency in the
United States, United States Energy Association, 1992.
5. The Energy Efficiency Industry and the Massachusetts Economy,
Massachusetts Energy Efficiency Council, December 1992.
Subject 1: Energy Efficiency in Industrial Technologies
ENERGY EFFICIENCY IN INDUSTRIAL TECHNOLOGIES
Industry consumes about 37% of the total energy used in the United
States each year, at a cost of about $115 billion--nearly as much as
the 1993 annual sales of General Motors Incorporated, the largest U.S.
company. Helping our nation's industries become more productive by
using new technologies increases energy efficiency, minimizes or
reuses wastes, improves profits, and reduces pollution. Additionally,
energy efficiency improvements and pollution prevention measures often
complement each other.
Opportunities in Industrial Technologies
Cogeneration generates steam and electrical energy using 30% less fuel
than if each is produced separately. Industrial cogenerators sell
their excess power to local electric utilities, generating revenue for
their plant.
Industrial electric motor systems--motors, speed drives, fans,
compressors, and power distribution systems--account for more than 20%
of all electricity used in the United States. That's more electricity
than the entire South Atlantic region of the United States uses
annually.
By 2010, using more efficient electric motor systems in the industrial
sector could save 240 billion kilowatt hours of electricity annually
(8.5% of total annual electricity production), provide an industrial
energy cost savings of $13 billion (nearly equal to the 1993 annual
sales of the Coca-Cola Corporation), and reduce greenhouse gas
emissions by 48.5 million tons.
More than a third of the energy consumed by U.S. industry is used to
provide process heat, such as hot water and steam. This is about equal
to the entire amount of energy used in Texas.
Energy use in intensive process industries such as metals, glass,
paper, and chemicals, along with petroleum refining and food
processing, can account for as much as one-fourth of their production
costs. If the manufacturing processes used by these energy-intensive
industries could be made more efficient, then these firms could be
more competitive.
Direct steelmaking, which eliminates steps from the steel production
process, could reduce energy use by 20%, while reducing air-polluting
emissions.
Chemical feedstocks, the raw materials used to make other products
such as drugs, plastics, or fertilizer, can be made with forestry and
agricultural products instead of petroleum-based feedstocks. These
biomass-based chemical feedstocks help create significant new markets
for agricultural products.
Opportunities in Waste Reduction Technologies
U.S. industry produces more than 14 billion tons of waste that cost
more than $45 billion to treat and dispose of properly in 1990--that's
more than Chrysler Corporation's annual sales revenues for 1993.
A program operated by the U.S. Department of Energy (DOE) has shown
that an energy/waste assessment can save the average small- to
medium-sized plant more than $20,000 per year.
Solar energy can destroy hazardous wastes. Concentrated sunlight can
be used to decontaminate and detoxify water and air.
Landfill gas, an environmental and safety problem, can and is being
captured and converted to energy to produce electricity, heat, or
steam. With minimal cleaning, it can be used directly in boilers to
create steam for industrial uses. Using landfill gas does not require
a large capital investment for equipment such as generators.
Landfills for municipal solid waste are becoming scarce. Today we have
about 6000 landfills, down from 30,000 in 1976. About 45% of these
6000 landfills are close to capacity and may close in the near future.
Each year, Americans discard more than 200 million tons of solid
waste. At present, about 33% of these wastes are used to generate
energy or produce raw materials for recycling into new products. The
remainder, about 135 million tons, is sent to landfills and represents
a great potential for additional energy production or recycling.
Municipal solid waste can be converted to energy by (1) directly
burning it to produce steam or electricity, or (2) converting
municipal solid waste into fuel pellets and mixing it with coal. Both
methods improve the environment by reducing the amount of solid wastes
that must be landfilled.
References
1. The Motor Challenge, DOE, February 1994.
2. Conservation and Renewable Energy Technologies for Industry,
National Renewable Energy Laboratory, October 1991.
3. Waste Material Management: Energy and Materials for Industry, DOE,
November 1993.
Subject 2: Renewable Energy
RENEWABLE ENERGY
Renewable energy sources are either continuously resupplied by the sun
or tap inexhaustible resources--as in geothermal energy. In contrast,
fossil fuels form so slowly in comparison to our energy use that we
are essentially mining finite, nonrenewable resources and could
exhaust quality supplies within the foreseeable future. The use of
renewable energy does not produce greenhouse gases and either does not
pollute or emits far less pollution than burning fossil fuels.
Renewable energy sources also represent a secure and stable source of
energy for our country. These diverse technologies represent an
important source of new industries.
Resource
Solar thermal and photovoltaics use solar energy directly; wind,
biomass, and hydropower indirectly use the products of their energy.
For most of the United States, the electrical needs for a typical
family could theoretically be met by the solar energy shining on about
30 square feet of roof space.
If solar energy systems that were only 10% efficient (well within
reach of current solar cell and solar thermal technology) were placed
on 1% of the U.S. land area (such as two or three large counties in
Nevada), they could provide energy equivalent to that used by the
United States.
Wind energy in North Dakota alone could provide one-third of the U.S.
electrical demand.
Advantages
U.S. industry now spends about $12 billion annually to control air
emissions; most renewable energy uses do not pollute at all; others
emit far less pollution than burning fossil fuels; use of renewables
alleviates air quality and acid rain problems.
Federal renewable energy and energy efficiency programs will create
20,000 jobs in 1995.
Renewable energy equipment exports reached $245 million in 1992; a
massive worldwide market is anticipated for environmentally benign
technologies such as renewables.
Renewable energy uses do not release carbon dioxide or other
greenhouse gases that threaten to cause global warming, as fossil fuel
use does.
Renewable energy would all be generated domestically, creating jobs
and alleviating energy dependence and balance-of-payments problems.
Current Use
In the United States, renewables now supply about 8% of the total
energy demand (compared to 18% worldwide) and 11% of the electricity
generation.
Hydroelectric power in the United States accounts for about half of
the total renewable energy supply and most of the renewable
electricity generation.
Projected Use
The U.S. Department of Energy (DOE) projects that renewable energy
production will increase to 15% of U.S. energy needs by 2030; a
program of price premiums would increase it to 22%, a program of
intensive research and development would increase that projection to
28%.
DOE is seeking to double nonhydro renewable energy generating capacity
by 2000.
Within 15 years, renewable energy could be generating enough
electricity to power 40 million homes and to offset 70 days of oil
imports.
Renewables could be saving 65 million tons of carbon emissions--equal
to 10% of the emissions produced by the electricity sector.
President Clinton's Climate Change Action Plan estimates that more
than 3000 megawatts of electricity will be generated by commercial
forms of renewable solar thermal energy by the year 2000.
Opportunities
There will be large-scale retirement of electric generating plants
starting around 2000; nearly one-fourth of the electric utility
industry's 2010 capacity will be built between now and then; this is a
major opportunity to install renewable technologies.
The 1990 Clean Air Act Amendments place major new requirements on
transportation vehicles and future power generation; renewables are an
excellent way to meet these demands.
Several studies on energy subsidies, while they differ widely in their
total calculation, agree that renewables have thus far received only a
very small percentage of energy subsidies.
As much as $200 billion in new capital investment will be needed this
decade to meet the nation's growing electricity needs. These
investments will determine the sources of our electrical power for
years to come.
References
1. Zweibel, Ken, Harnessing Solar Power, 1990.
2. Tomorrow's Energy Today, National Renewable Energy Laboratory,
November 1993.
3. FY 1995 Budget Highlights, DOE, 1994.
4. Annual Energy Outlook 1994, with Projections to 2010, Energy
Information Agency, 1994.
5. The Potential of Renewable Energy: An Interlaboratory White Paper,
DOE, 1990.
6. The Climate Change Action Plan, DOE, October 1993.
7. Wind Energy Program Overview: Fiscal Year 1993, DOE, May 1994.
Subject 3: Renewable Energy: Hydropower
RENEWABLE ENERGY: HYDROPOWER
Hydropower converts the energy of flowing water into electricity. The
flowing water passes through a turbine that spins like a pinwheel, in
turn spinning a generator to produce electricity. Although most people
associate hydropower with large dams on rivers, hydropower also
includes small dams that can be located on a diversion from the main
river.
Current Use
Hydropower is the largest renewable energy source in the U.S. It
currently generates about 10% of the nation's electricity, and even
more during periods of high electrical demand.
Each year, hydropower generates enough power to supply 28 million U.S.
households and represents the energy equivalent of nearly 500 million
barrels of oil.
Hydropower is the most efficient and reliable of all renewable energy
sources. Hydropower plants typically operate at efficiencies of 85% to
95%.
Potential Use
The Federal Energy Regulatory Commission estimates that the nation's
existing hydropower capacity could theoretically be more than doubled.
Small-scale hydropower plants with small diversion structures would
provide much of this additional capacity.
New hydropower capacity does not necessarily require new dams: only
2400 of the nation's 80,000 existing dams are used to generate power.
Many of the others could be modified to generate power.
New technologies can allow existing hydropower plants to operate more
efficiently, producing more electricity. A 1% improvement in the
efficiency of the existing U.S. hydropower plants would produce enough
extra power to supply 283,000 households. This would save the energy
equivalent of more than 5 million barrels of oil each year.
Economic Benefits
The United States has invested more than $150 billion (in 1993
dollars) in hydropower facilities. This investment, largely made in
the 1940s, is now yielding a significant economic benefit for the
nation by providing an inexpensive, sustainable supply of electricity.
In 1987, hydropower produced 17% of the electricity in industrialized
countries and 31% of the electricity in developing countries. The
World Energy Conference has estimated that this number could increase
fivefold. This represents a large market for the export of U.S.
hydropower technologies.
Environmental Benefits and Challenges
Hydropower plants produce no carbon dioxide, sulfur oxides, or nitrous
oxides--no air emissions at all. Because they produce no greenhouse
gas emissions, hydropower plants help to minimize global climate
change.
Hydropower plants produce no solid or liquid wastes.
Hydropower projects can have an impact on water quality and fish and
wildlife habitats. To address these concerns, many hydropower projects
are being retrofitted with fish ladders to encourage the upstream
migration of fish to their spawning grounds in the rivers' headwaters.
Many projects are also maintaining minimum flows through the dams to
encourage downstream migration and maintain downstream wildlife
habitats.
References
1. Hydropower: America's Leading Renewable Energy Resource, U.S.
Department of Energy and the Electric Power Research Institute, April
1993.
2. Profiles in Renewable Energy: Case Studies of Successful
Utility-Sector Projects, National Renewable Energy Laboratory,
October 1993.
3. "Energy from the Sun," Scientific American, September 1990.
Subject 4: Renewable Energy: Wind
RENEWABLE ENERGY: WIND
Wind has become a viable source of electric energy for utilities.
Utility-scale wind power plants consist of 100 to 1000 wind turbines
that are located close to each other, have a single electrical
connection to the utility grid, and can be managed from a single
control room.
Resource
Excellent wind resources are widely dispersed throughout the world.
Almost every country has some areas with good wind resources.
Power in the wind is proportional to the cube of the wind speed.
Therefore, locations with higher average wind speeds have much higher
energy resources. The windier the location, the more kilowatt-hours
(kWh) can be produced by the same equipment, and the lower the overall
cost of energy.
The total U.S. wind resource is very large. Although every region in
the country has some windy areas, much of the U.S. wind resources are
concentrated in the Great Plains. For example, the state of North
Dakota alone has enough energy from good wind areas to supply 36% of
the 1990 electricity consumption in the lower 48 states.
Many windy locations are in remote areas, far from load centers, and
do not have transmission lines nearby.
Current Use and Cost
Wind power plant electricity generating costs have gone from $0.30/kWh
in 1981 to $0.05/kWh in 1990--an 84% decrease in cost.
In California, 1700 megawatts (MW) of rated capacity is installed (as
much as that of two large coal-fired power plants); in Europe, another
1000 MW is installed (as much as that of one nuclear power plant). The
wind power plants in California produce 3.1 billion kWh/year; this is
1.2% of the electricity used by California or 0.1% of the electricity
used by the United States--enough to supply a residential city the
size of San Francisco and Washington, D.C., combined.
Existing wind power plants produce electricity at a levelized cost of
$0.05 to $0.08/kWh at a site with an average annual wind speed through
the rotor of 15.4 miles per hour (mph). Those turbines have a first
cost as little as $1,000/kW and last as long as 20 years. New turbines
are coming on line that produce electricity at less than $0.05/kWh;
they cost as little as $750/kW and have expected lifetimes of 20 to 30
years. Turbine availability of power plants is 95% or more, better
than that of most conventional power plants. Operation and maintenance
costs are typically lower than those for conventional power plants.
Existing wind power plants exploit very windy locations with average
annual wind speeds of at least 16 mph. The United States could supply
20% of its electricity from these very windy locations with existing
technology--producing 560,000 million kWh per year. These areas cover
18,000 square miles--0.6% of the lower 48 states. Less than 5% of this
land would be used by the equipment and access roads; most of the
existing land use, such as ranching and farming, would continue as it
is now.
Projected Use and Cost
In the United States, 2000 to 5000 MW of new capacity are planned or
are under construction. A similar amount is planned or under
construction in 11 countries in the European Union. Worldwide, sizable
wind power plants are on the drawing boards in Argentina, Chile,
China, India, Mexico, and the Ukraine.
By 2000, wind-generated electricity will cost as little as $0.04/kWh.
At this price, it can compete with any type of conventional
generation.
Technology Development
Costs will be reduced through employing advanced wind technology;
further reducing operation and maintenance associated with new, larger
power plants; and manufacturers taking advantage of economies of scale
in unit size, purchasing, and production.
New wind technologies to improve reliability and reduce costs include
improved aerodynamic performance of blades; improved design of
mechanical components; variable-speed and/or low-speed generators; and
controls that increase system efficiency and lifetime.
References
1. America Takes Stock of a Vast Energy Resource, Utility Wind
Interest Group, February 1992.
2. Wind Energy Weekly, American Wind Energy Association, Vol. 13, No.
605, 1994.
3. Wind Energy Program Overview, Fiscal Year 1993, U.S. Department of
Energy, May 1994.
4. Integrating an Ever-Changing Resource, Utility Wind Interest Group,
July 1992.
5. Economic Lessons from a Decade of Experience, Utility Wind Interest
Group, August 1991.
Subject 5: Renewable Energy: Biomass and Biofuels
RENEWABLE ENERGY: BIOMASS AND BIOFUELS
The nation's transportation sector is 97% dependent on petroleum and
consumes 63% of all oil used in the United States. Foreign oil
contributes nearly half (49.3%) of all oil used--and the use of
imported oil is growing. Biomass is organic material that can be
converted into enough transportation fuels, called biofuels, to
displace significant amounts of the imported oil without encroaching
on food and forestry crops.
Resource
Nonfood agricultural energy crops and more than half of the nation's
household, industrial, agricultural, and forestry wastes could produce
enough ethanol to supply most of the nation's current gasoline
consumption.
Microscopic aquatic plants called microalgae could produce enough
biodiesel to satisfy the entire U.S. diesel market.
Electricity produced from biomass has grown from 200 megawatts (MW) in
the early 1980s to more than 8000 MW today, representing a 4000%
increase.
Advantages
Reduce imported oil consumption: By 2000, 500 million gallons of
ethanol made from biomass will displace 13 million barrels of oil; by
2020, 14 billion gallons of ethanol will displace 348 million barrels
of oil.
Create U.S. jobs: The biomass-to-ethanol industry will create more
than 2800 new jobs by 2000 and more than 100,000 jobs by 2020.
Reduce global climate change: Ethanol made from biomass generates 90%
less carbon dioxide (the leading cause of global warming) and 70% less
sulfur dioxide (the leading agent responsible for acid rain) than does
reformulated gasoline.
Ease of use: Mixing 20% biodiesel with 80% diesel will enable U.S.
diesel-fueled fleet operators to comply with stricter emissions
regulations with no major modifications to existing equipment.
Current Use and Cost
Ethanol currently supplies nearly 1% of the nation's transportation
fuel needs; production is based in the Midwest; about 400 million
bushels of corn is converted to more than 1 billion gallons of ethanol
annually.
Current conversion costs: Biomass can be converted to ethanol for less
than $1.00/gallon--down from $3.42/gallon in 1980; biomass can be
converted to methanol for $0.84/gallon; soybeans can be converted to
biodiesel for $2.50/gallon.
Projected Use and Cost
Department of Energy goals:
Conversion costs: Biomass to ethanol for $0.67/gallon by 2000; biomass
to methanol for $0.55/gallon; microalgae to biodiesel for $1.00/gallon
by 2015.
10% of cars on U.S. highways will use alternative fuels by 2000; 25%
by 2010.
Opportunities
Renewable fuels are a key to achieving sustainable development in the
United States; the U.S. Department of Energy's (DOE's) biofuels
programs will stimulate investment in the nation's agricultural, fuel
production, and automobile manufacturing industries.
More than 36 million acres enrolled in the Conservation Reserve
Program (CRP) since 1986 could produce energy crops while improving
the quality of the cropland, which is the purpose of the CRP.
Energy crops, such as switchgrass, poplars, and willows, will soon be
grown by many of America's farmers to provide fuel for high-efficiency
biomass power plants. These biomass plants will contribute to the
battle against global warming by reducing greenhouse gas emissions
significantly compared to conventional power production.
Challenges
Costs: Enable biofuels to be cost-competitive with gasoline when oil
is $25/barrel.
Developing a fuel industry infrastructure: Farmers want markets before
they plant energy crops; fuel producers want guarantees of stable
supplies before they build a new infrastructure.
New Technologies
Technologies that enable producers to extract and ferment sugar from
nonstarch materials are being developed now; this would allow use of
nonfood crops and other biomass resources.
Technologies that can convert oils found in microalgae to biodiesel
are being developed now.
Also under development are new gasifier designs and other
thermochemical advances that enable methanol and biocrude, a crude oil
replacement, to be made from biomass.
References
1. Hinman, Norman, "Biofuels: A Strategy for a Strong America,"
presentation by N. Hinman, figures based on Biofuels Deployment Plan,
National Renewable Energy Laboratory, 1994.
2. Ervin, Christine, Assistant Secretary, Office of Energy and
Renewable Efficiency, Renewable Energy: Vision for the 21st Century,
text for speech presented at 1994 Agricultural Summit of New Uses,
June 1994.
3. Energy Policy Act of 1992.
4. Useful Facts on the Impacts of Deploying Energy Efficiency and
Renewable Energy Technologies and Practices, Office of Technical and
Financial Assistance, DOE, January 1994.
Subject 6: Hydrogen Energy
HYDROGEN ENERGY
Hydrogen, as an energy carrier, is anticipated to join electricity to
become the foundation for a national sustainable energy system using
renewable energy. Hydrogen can be made safe, environmentally friendly,
and versatile, and it has many potential energy uses, including
powering nonpolluting vehicles, heating homes and offices, and fueling
aircraft.
Resource
Energy from renewable sources--sunlight, wind, hydropower, and
biomass--must be stored and transported so it is available when and
where it is needed. Hydrogen potentially could be produced using
renewable sources, then stored and used later in homes, factories,
businesses, vehicles, and airplanes.
Hydrogen can be produced from water using electricity, in a process
called electrolysis. Production is also possible from direct sunlight
acting on water or biological organisms and from organisms that create
hydrogen in the dark from carbon monoxide and water. These processes
are all subjects of current research and development programs.
Current Use
Most of the domestic hydrogen used today is produced from fossil
fuels--natural gas or petroleum derivatives. The major markets for
hydrogen are in the petrochemical and fertilizer industries.
The National Aeronautics and Space Administration uses hydrogen to
propel its space shuttles into orbit and to provide all of the
shuttles' electric power from on-board fuel cells. Fuel cells combine
hydrogen and oxygen to generate electricity; the fuel cells'
exhaust--pure water--is used for drinking water by the crew.
Advantages and Opportunities
The production of hydrogen from renewable electricity and from biomass
could reduce our dependence on imported petroleum. If the U.S.
Department of Energy (DOE) reaches its goal of hydrogen energy
providing 10% of the total U.S. energy consumption by 2025, our
dependence on oil imports could be cut in half.
Hydrogen can be combined with gasoline, ethanol, methanol, or natural
gas; just adding 5% hydrogen to the gasoline-air mixture in an
internal combustion engine (ICE) could reduce nitrogen oxide emissions
by 30% to 40%. An ICE converted to burn pure hydrogen produces only
water and minor amounts of nitrogen oxides as exhaust.
California's new "zero-emission" standard for passenger
cars--requiring that 2% of new cars sold in the state be nonpolluting
by 1998--could be met by electric vehicles powered by hydrogen fuel
cells, or hybrids powered by hydrogen-fueled ICEs and batteries or
flywheels. Manufacturing fuel cells to meet the potential demand could
add 70,000 new jobs to the state.
Hydrogen can be produced from a variety of renewable sources and has
many uses in our economy. Because of the versatility of production
methods and end use, wide-spread hydrogen energy use will create
significant benefits to the agricultural, manufacturing,
transportation, and service sectors of the U.S. economy.
DOE Projects and Initiatives
Large-scale use of renewable hydrogen energy requires advances in
production, storage, and utilization technologies. Improvements in
stationary and on-board hydrogen storage technologies are necessary to
meet mass market energy demands; transportation requires special tanks
or pipelines; and some advances are still required to make vehicles
powered by fuel cells practical. Research and development programs
encouraged by DOE are concentrating in all of these key areas.
References
1. Proposal for a Sustainable Energy Future Based on Renewable
Hydrogen, Senator Tom Harkin, June 3, 1993.
2. Hoffman, Peter, The Hydrogen Letter, Hyattsville, MD, July 1994.
3. Hydrogen Program Plan--FY 1993-FY 1997, DOE, June 1992.
4. Hoffman, Peter, The Hydrogen Letter, Hyattsville, MD, June 1994.
5. The Los Angeles Times, May 12, 1994.
6. FY 1994 Annual Operating Plan--Hydrogen Program, DOE and National
Renewable Energy Laboratory, February 1994.
Subject 7: Renewable Energy: Photovoltaics
RENEWABLE ENERGY: PHOTOVOLTAICS
Photovoltaics (PV), the direct conversion of sunlight to electricity,
has made remarkable strides since its invention in the 1950s. Most
locations in this country are good for photovoltaics. PV systems are
assembled by grouping cells into modules and, in turn, connecting
modules into arrays. As the cost of PV modules continues to decrease,
the size and value of PV systems that are cost effective increase
steadily. PV systems have no moving parts to wear out or break down,
make no noise, and cause no pollution while generating electricity.
Resource
Land use for PV is reasonable; PV modules covering 0.3% of the land of
this country, one-fourth of the area occupied by roadways, could
provide all of its electricity.
PV electrical output correlates well with the daily load pattern of
many utilities, which generally increases during daylight hours when
people are more active and decreases again at night. This means that
PV systems can help alleviate peak loads and reduce the need for new
power plants.
Current Use, Cost, and Market Growth
The combined efforts of industry and the U.S. Department of Energy
(DOE) have reduced PV system costs by more than 300% since 1982. The
PV market is estimated to be growing at 20% per year today. The number
of U.S. companies producing PV panels has doubled since the late 1970s
to about 20 today.
The most frequently seen application of PV is in consumer products,
using tiny amounts of direct current (dc) power, less than 1 watt (W).
More than 1 billion hand-held calculators, several million watches,
and a couple of million portable lights and battery chargers are all
powered by PV cells.
PV is rapidly becoming the power supply of choice for all remote and
small-power, dc applications of 100 W or less.
More than 200,000 homes worldwide depend on PV to supply all of their
electricity. Most of these systems are rated about 1 kW and often
supply alternating current (ac) power.
PV module production for terrestrial use has increased 500-fold in the
past 20 years. Worldwide PV module shipments in 1993 were 60 megawatts
(MW). The U.S. share of this market is now one-third. Worldwide
production of PV modules includes 48% single-crystal silicon, 30%
polycrystalline silicon, and 20% amorphous silicon, mostly used in
consumer products.
The cost of larger PV systems (greater than 1 kW) is measured in
"levelized" costs per kWh--the costs are spread out over the system
lifetime and divided by kWh output. The levelized cost is now about
$0.25 to $0.50/kWh. At this price, PV is cost effective for
residential customers located farther than a quarter of a mile from
the utility line. Reliability and lifetime are steadily improving; PV
manufacturers guarantee their products for up to 20 years.
The worldwide manufacturing capacity of PV modules will almost double
by 1996 from 60 MW to 100 MW. The increase will take place in all of
the major PV technologies. Most of this increase in capacity is taking
place in the United States; however, new manufacturing plants are also
under construction in Brazil, China, Germany, Hong Kong, India, Italy,
and the United Kingdom.
The worldwide PV industry has grown from sales of less than $2 million
in 1975 to greater than $750 million in 1993. The companies with the
largest increase in sales in the 1990s have been U.S. companies,
reflecting their strong, competitive position. The U.S. just regained
the lead over Japan in gross annual sales of PV.
Technology Development
All types of PV technologies are improving their performance. The
efficiency of existing commercial PV modules is 5% to 13%.
Manufacturers are using automation and taking advantage of economies
of scale in production and purchasing to further lower costs. These
costs are expected to be cut in half within a decade. The United
States is leading the world in developing and commercializing
high-performance and low-cost PV technology.
References
1. Photovoltaics News, Photovoltaic Energy Systems, Inc., February
1994.
2. Photovoltaics Program Overview: Fiscal Year 1993, DOE, February
1994.
3. The Potential of Renewable Energy: An Interlaboratory White Paper,
DOE, March 1990.
Subject 7: Renewable Energy: Solar Thermal
RENEWABLE ENERGY: SOLAR THERMAL
Solar thermal technology converts sunlight into usable forms of heat.
This heat can be used directly, for example, in passive solar building
design and roof-mounted water heating systems used for residential,
commercial, and industrial applications. Other solar thermal systems
use the captured heat to drive electric generators, producing
electricity on a utility scale; these are known as solar thermal
electric systems.
Resource
Solar thermal technology is diverse. Small systems can be installed on
the roofs of homes to heat water for domestic use. Moderate-size
systems can supply hot water, steam, and hot air to schools,
hospitals, businesses, and industries. Large solar thermal electric
installations can generate electricity in quantities comparable to
those generated in intermediate-size utility generating plants (that
is, 100 to 200 megawatts [MW] of electricity). The technology can also
be used to destroy environmental contaminants in air, water, and soil.
Among the first mechanical uses of solar thermal energy was a 20
square meter, parabolic concentrating reflector, steam-driven printing
press at the World's Fair in Paris in 1878.
Within 15 years, renewable energy, including solar thermal
technologies, could be generating enough electricity to power 40
million homes and to offset 70 days of oil imports. This technical
potential equates to 42% of the number of homes in the U.S. in 1994.
Solar collectors covering less than half of Nevada could supply all of
the United States' energy needs.
Current Use
Passive solar buildings are being built today that save as much as 50%
on heating bills for only 1% more in construction costs.
More than 350 MW of solar thermal electric systems have been installed
in the United States, enough to serve the residential needs of the
city of Seattle; this equals 90% of the world's installed solar
capacity.
Solar thermal electric systems operating in the United States today
meet the needs of 350,000 people (equal to the population of the city
of Miami) and displace the equivalent of 2.3 million barrels of oil
annually.
The U.S. has about 400 MW of privately financed solar
steam-to-electricity facilities that are interconnected to
utility-grade power plants.
More than one-half million solar hot water systems have been installed
in the United States, mostly on single-family homes. The majority of
these systems are used to heat swimming pools.
Typically, a homeowner relying on electricity to heat water could save
up to $500 in the first year of operation by installing a solar water
heating system. The savings over time increases due to increasing
electricity rates. The average solar heating system pays for itself in
4 to 7 years.
Roof-mounted solar hot water systems are often designed to look like
skylights, making them more pleasing in appearance to homeowners and
their neighbors.
Projected Use
Solar thermal electric capacity is predicted to increase 130%
worldwide by the year 2000.
The cost of building, operating, and maintaining solar thermal
electric systems has decreased dramatically--in some cases by a factor
of ten--during the last decade. Some designs will be economically
competitive with conventional electricity-generating technologies by
the year 2000.
By the middle of the next decade, some solar thermal electric
technologies could be producing electricity at $0.06 to $0.07 per
kilowatt hour (kWh). Average electricity prices were $0.08/kWh for
residential users and $0.05 for industrial users in 1993.
The cost of solar water heating systems declined by 30% between 1980
and 1990. Further cost reductions will not be as dramatic, but prices
will continue to decrease as demand increases and manufacturers take
advantage of economies of scale.
References
1. Solar Thermal Electric: Five Year Program Plan, FY 1993 through
1997, Solar Thermal and Biomass Power Division, Office of Solar
Energy Conversion, U.S. Department of Energy (DOE), 1993.
2. Economics of Solar Energy Technologies, American Solar Energy
Society, 1992.
3. Cool Energy: The Renewable Solution to Global Warming, Union of
Concerned Scientists, 1990.
4. The Climate Change Action Plan, DOE, October 1993.
5. Eber, Kevin, Renewable Energy: A Guide to a New World of Energy
Choices (draft), National Renewable Energy Laboratory, 1994.
Subject 8: Renewable Energy: Solar Thermal
RENEWABLE ENERGY: SOLAR THERMAL
Solar thermal technology converts sunlight into usable forms of heat.
This heat can be used directly, for example, in passive solar building
design and roof-mounted water heating systems used for residential,
commercial, and industrial applications. Other solar thermal systems
use the captured heat to drive electric generators, producing
electricity on a utility scale; these are known as solar thermal
electric systems.
Resource
Solar thermal technology is diverse. Small systems can be installed on
the roofs of homes to heat water for domestic use. Moderate-size
systems can supply hot water, steam, and hot air to schools,
hospitals, businesses, and industries. Large solar thermal electric
installations can generate electricity in quantities comparable to
those generated in intermediate-size utility generating plants (that
is, 100 to 200 megawatts [MW] of electricity). The technology can also
be used to destroy environmental contaminants in air, water, and soil.
Among the first mechanical uses of solar thermal energy was a 20
square meter, parabolic concentrating reflector, steam-driven printing
press at the World's Fair in Paris in 1878.
Within 15 years, renewable energy, including solar thermal
technologies, could be generating enough electricity to power 40
million homes and to offset 70 days of oil imports. This technical
potential equates to 42% of the number of homes in the U.S. in 1994.
Solar collectors covering less than half of Nevada could supply all of
the United States' energy needs.
Current Use
Passive solar buildings are being built today that save as much as 50%
on heating bills for only 1% more in construction costs.
More than 350 MW of solar thermal electric systems have been installed
in the United States, enough to serve the residential needs of the
city of Seattle; this equals 90% of the world's installed solar
capacity.
Solar thermal electric systems operating in the United States today
meet the needs of 350,000 people (equal to the population of the city
of Miami) and displace the equivalent of 2.3 million barrels of oil
annually.
The U.S. has about 400 MW of privately financed solar
steam-to-electricity facilities that are interconnected to
utility-grade power plants.
More than one-half million solar hot water systems have been installed
in the United States, mostly on single-family homes. The majority of
these systems are used to heat swimming pools.
Typically, a homeowner relying on electricity to heat water could save
up to $500 in the first year of operation by installing a solar water
heating system. The savings over time increases due to increasing
electricity rates. The average solar heating system pays for itself in
4 to 7 years.
Roof-mounted solar hot water systems are often designed to look like
skylights, making them more pleasing in appearance to homeowners and
their neighbors.
Projected Use
Solar thermal electric capacity is predicted to increase 130%
worldwide by the year 2000.
The cost of building, operating, and maintaining solar thermal
electric systems has decreased dramatically--in some cases by a factor
of ten--during the last decade. Some designs will be economically
competitive with conventional electricity-generating technologies by
the year 2000.
By the middle of the next decade, some solar thermal electric
technologies could be producing electricity at $0.06 to $0.07 per
kilowatt hour (kWh). Average electricity prices were $0.08/kWh for
residential users and $0.05 for industrial users in 1993.
The cost of solar water heating systems declined by 30% between 1980
and 1990. Further cost reductions will not be as dramatic, but prices
will continue to decrease as demand increases and manufacturers take
advantage of economies of scale.
References
1. Solar Thermal Electric: Five Year Program Plan, FY 1993 through
1997, Solar Thermal and Biomass Power Division, Office of Solar
Energy Conversion, U.S. Department of Energy (DOE), 1993.
2. Economics of Solar Energy Technologies, American Solar Energy
Society, 1992.
3. Cool Energy: The Renewable Solution to Global Warming, Union of
Concerned Scientists, 1990.
4. The Climate Change Action Plan, DOE, October 1993.
5. Eber, Kevin, Renewable Energy: A Guide to a New World of Energy
Choices (draft), National Renewable Energy Laboratory, 1994.
Subject 9: Renewable Energy: Geothermal Energy
RENEWABLE ENERGY: GEOTHERMAL ENERGY
Geothermal energy is renewable heat energy from the Earth. Geothermal
reservoirs of hot water or steam are tapped with wells, and their heat
is either used directly or converted to electricity. Geothermal
applications can range in scale from small, residential heat pumps to
large district heating systems.
Geothermal Electric Power: Current and Potential Use
The 45 geothermal power plants in the United States produce enough
electricity to power the homes of more than 3.5 million people--that's
about how many people live in the Dallas/Fort Worth area.
Geothermal power plants are very reliable and require minimal
maintenance. The average geothermal plant operates 95% of the time,
compared to 70% to 80% for nuclear and coal-fired plants.
The Geysers, a large steam reservoir north of San Francisco, is the
largest source of geothermal power in the world. California obtains
about 7% of its electricity from geothermal power plants.
The total amount of geothermal energy that could be exploited with
today's technology is estimated at 27 times more than energy used
throughout the entire country each year.
Economic Benefits of Geothermal Electric Power
Geothermal plants in the United States employ approximately 3700
people, with electricity sales of about $1 billion per year. A typical
large geothermal plant pays as much as $4.2 million annually in local
property taxes.
Today's geothermal plants produce power at a cost competitive with
conventional energy sources and ranging from $0.03 to $0.075 per
kilowatt-hour.
During the next 20 years, foreign countries are expected to spend $25
to $40 billion constructing geothermal power plants, creating a
significant opportunity for U.S. suppliers of geothermal goods and
services. U.S. firms recently announced contracts totaling
approximately $4.5 billion to build geothermal power plants in
Indonesia and the Philippines.
Royalties received by the U.S. government for geothermal leases are
more than $30 million annually.
Environmental Benefits of Geothermal Electric Power
Geothermal power plants have very low air emissions. Producing the
same amount of electricity, a typical geothermal power plant would
emit no nitrous oxides, only 1% of the sulfur dioxide, and only 5% of
the carbon dioxide of a coal-fired plant.
Some geothermal power plant designs emit no carbon dioxide, which is a
greenhouse gas. This makes geothermal power an ideal technology for
helping to minimize global climate change.
In 1991, California's Lake County, home to many of the power plants at
The Geysers, became the first and only county to fully meet
California's stringent air quality regulations. Lake County received
an award in 1992 and 1993 for the county with the cleanest air in
California.
Direct Use of Geothermal Energy: Current and Potential Use
Direct uses of geothermal heat include heating buildings and
greenhouses, pasteurizing milk, deicing roads, heating water in fish
farms, dehydrating foods, growing mushrooms, secondary oil recovering,
and heating leaching solutions at gold mines. Such applications
currently save the energy equivalent of 2 million barrels of oil each
year.
The known geothermal hot water resources could produce enough energy
to replace 1.2 trillion cubic feet of natural gas every year for 30
years. This is more than 60 times the amount of natural gas currently
used each year.
Geothermal Heat Pumps
Geothermal heat pumps (GHPs) use the Earth as a heat source and sink.
Their high efficiency can cut annual home heating costs by as much as
50% and cut cooling costs by 25%. GHPs can be used throughout the
country and are rapidly gaining popularity in the Midwest and
Northeast.
GHPs are a major component of President Clinton's Climate Change
Action Plan. recently announced contracts totGHP installations are
projected to exceed 400,000 annually by the year 2000, up from 40,000
units per year today. This would avoid the need to construct four
medium-size (300-MW) power plants each year.
References
1. Geothermal Progress Monitor, U.S. Department of Energy (DOE),
December 1993.
2. Accomplishments, DOE Geothermal Fact Sheet, April 1994.
3. Geothermal Electric Power Systems, DOE Geothermal Fact Sheet, April
1994.
4. The Potential of Renewable Energy: An Interlaboratory White Paper,
DOE, March 1990.
5. Economic Impacts of Geothermal Development, DOE Geothermal Fact
Sheet, April 1994.
6. Opportunities in Developing Countries, DOE Geothermal Fact Sheet,
April 1994.
7. Geothermal Energy: Heat from the Earth/Power for the Future,
Electric Power Research Institute, February 1992.
Subject 10: aserti home page
ASERTTI
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The association of State Energy Research and Technology Transfer Institutions (ASERTTI) was formed in recognition
of the increasing importance of State initiatives in energy research and technology transfer. ASERTTI works closely with industry,
utilities, trade associations, and other State and Federal organizations. The ASERTTI research agenda focuses on energy
efficient and renewable energy technologies and reflects priority energy areas where additional research is needed.
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