Domestic Fuel

Ocean Power Technologies (OPT), a New Jersey-based company focusing on harnessing energy from oceans, announced a major step towards the approval of a license issued by the Federal Energy Regulatory Commission (FERC) to build the first commercial wave park on the West Coast. OTC has signed a Settlement Agreement (SA) with 11 federal and state agencies along with three non-governmental stakeholders for its utility-scale wave power project to be located 2.5 miles offshore near Reedsport, Oregon.

The wave park will be comprised of 10 PB150 PowerBuoys with a maximum sustained generating capacity of 150 kiloWatts, an undersea substation to collect the power and a submarine cable to deliver the power to the Pacific Northwest Grid. Once complete, it is anticipated that 4,140 MegaWatt hours per year will be delivered to the grid – or enough electricity to power up to 375 homes. The company reports that the first PB150 PowerBuoy is already being constructed at the Oregon Iron Works.

As reported in a company press release, this first-ever wave energy SA was reached after extensive technical, policy, and legal discussions to place to discuss appropriate prevention, mitigation and enhancement measures.

Oregon’s Governor, Ted Kulongoski, said, “The Settlement Agreement is a groundbreaking document that demonstrates the State’s commitment to partnering with the private sector and coastal communities to explore how we can tap into the renewable resource of ocean waves to power our communities. The manufacture of the first buoy has already created dozens of green-energy jobs in Oregon and when the 10-buoy wave power project is built, a whole new industry will be created to benefit our coastal communities. This is an exciting time for our State and I look forward to continuing to foster this new industry in Oregon in a way that is sensitive to marine habitat and continues to value this important resource for Oregon’s fishermen.”

At a time when the alternative energy industry is calling for the Department of Energy (DOE) to follow through on loan guarantees, the U.S. House of Representatives is attempting to pass a Senate bill that would cut the program’s budget by $1.5 billion. According the the Solar Energy Industries Association (SEIA), this move is part of a $26.1 billion package that is reallocating funds to cover other struggling areas including Medicaid and teacher salaries.

This program came to the public’s attention last year when it was used to fund the $2 billion Cash for Clunkers Program – a program that ran out of funds within days of being launched.

According to an article in Solar Industry News, SEIA is furious over the proposed cuts even though the program is already significantly over budget. The association estimates that to date, there are 81 renewable energy project applications that total an estimated $31 billion, yet there is only $25 billion left in funding, not calculating any additional program cuts.

Al Gore has entered the fray publishing a quote on his website about his outrage. “These rescissions put into jeopardy the green jobs that the administration has touted as part of our clean-energy future and put us further behind the rest of the world.”

The alternative energy industry has been struggling for the past several years due to both dwindling private investment funds, lack of cohesive policy that would ensure long-term markets, and the lack of loans from the financial sector. The loan guarantee program is one of the last sources of monies for companies to tap in to as they struggle to develop and bring to market new technologies.

In a letter to Speaker Nancy Pelosi dated August 6th and endorsed by the American Wind Power Association, Biomass Power Association, Geothermal Energy Association, and the National Hydropower Association, the groups wrote that the cuts significantly undermine the DOE Loan Guarantee Program.

“Failure to act on the Treasury Grant Program and other tax incentives or to restore funding to the DOE Loan Guarantee Program will jeopardize the renewable energy industries’ efforts to develop clean electric generation and create tens of thousands of jobs. We urge you to work with the Administration and the Senate to reverse these cuts and restore funding for the renewable energy loan guarantee program,” the letter concluded.

Although wind power is growing globally, especially in places such as China, only a light wind is forecast for wind energy growth in the United States. As reported by the American Wind Energy Association (AWEA), only 700 megawats (MW) were added in the second quarter of this year, down 57 percent from 2008 and 71 percent from 2009 levels. In addition, manufacturing investment is also lagging behind 2008 and 2009 levels.

The drop in new wind energy installation may come as a surprise to many, especially since the country has been touting the need for renewable energy development and the creation of green jobs for several years. Yet the words have not been backed up with enough action, and AWEA says that without passing a Renewable Electricity Standard (RES) that would require the nation to meet electricity goals through alternative energy such as wind and solar, the industry will continue to falter.

“Strong federal policy supporting the U.S. wind energy industry has never been more important,” said AWEA CEO Denise Bode. “We have an historic opportunity to build a major new manufacturing industry. Without strong, supportive policy like an RES to spur demand, investment, and jobs, manufacturing facilities will go idle and lay off workers if Congress doesn’t act now – before time runs out this session.”

Although President Obama continues to push climate legislation, policy experts don’t predict that any meaningful climate legislation will pass this year.

The Des Moines Register recently reported that the House included a renewable power mandate in a climate bill that barely passed but then stalled in the Senate. Last week, Senate Democratic leaders said that they would be moving forward with a stripped-down energy bill but this new version lacks any power mandate, despite the fact that consumers are supportive of RES legislation, this according to a national poll conducted by Public Opinion Strategies and Bennett, Petts & Normington.

This is unfortunate, since AWEA ultimately says that a long-term market is needed to guarantee growth, and the only way to do this is through an RES mandate.

There is a highly controversial provision being added to California’s ballots this November called Prop 23. The proposition, which is backed by several oil companies, is asking for the state to suspend California’s 2006 Global Warming Solutions Act that calls for the reduction of greenhouse gas emissions (GHGs) to 1990 levels by 2020. Supporters of Prop 23 want the suspension to be in place until unemployment drops to 5.5 percent in four consecutive quarters. The state is currently looking at double-digit unemployment numbers of 13.2 percent, one of the worst in the nation.

The supporters of Prop 23, led by Texas refining giants Valero Energy Corp. and Tesoro, Inc., are claiming that this piece of legislation will cost businesses and consumers billions of dollars in higher energy costs over the next decade. Environmental organizations are fighting back arguing that this is an attempt to kill California’s green energy policy.

Yet those who oppose the bill are claiming that the passage of this proposition would jeopardize a half million clean tech jobs, 12,000 companies and billions of dollars of private investment in California. They also contend that the state’s global leadership in clean tech would succumb to nations such as Asia and Europe. To date, more than 250 businesses and organizations have vocally opposed Prop 23.

In a new report, “Going Backward,” released by the Clean Economy Network (CEN), Prop 23 would suspend efforts to increase electricity produced from renewable sources as well as stifle energy efficiency standards for homes and office buildings. The report says that this effort, if passed, would increase healthcare costs due to pollution as well as raise electricity bills by up to a third over the next 12 years.

“Prop 23 should be viewed for what it is: a mechanism for regulatory and investment uncertainty that only benefits its backers – big out-of-state oil companies Valero and Tesoro – while putting the economic health of the rest of California at risk,” said Jeff Anderson, Executive Director of CEN. “Sending jobs and investment overseas is a no-win proposition for all Americans and must be defeated.”

In an environment that has lost most private investors, those who oppose Prop 23 fear that what little money is left will dry up. There is also concern that if California backs off of its current climate change and alternative energy legislation, that it will signal other states to follow suit. The result, they say, would be detrimental to our country’s efforts at creating comprehensive energy and climate policy in the U.S.

This month several reports have been released on the global growth of renewable energy. According to two new reports released by the United Nations Environment Programme and the Renewable Energy Policy Network for the 21st Century (REN21), for two consecutive years, the United States and Europe added more power from renewable sources such as wind and solar than from conventional sources such as coal, gas and nuclear.

Horse Hollow Wind Farm, USA, credit: GWEC

As reported in the Renewables 2010 Global Status Report, renewables accounted by 60 percent of new installed capacity in Europe and accounted for 50 percent of new installed capacity in the U.S in 2009. Experts are predicting that within the next two years, the world as a whole will follow-suit and add more capacity to the electrical grid from renewable than non-renewable sources.

However, this week, the U.S. Energy Information Administration released its International Energy Outlook 2010 which anticipates energy growth from 2007 to 2035. The report anticipates that fossil fuels are expected to continue to supply much of the used worldwide and predicts that electricity generation will grow by an average of 3.0 percent per year and the renewable share of the world electricity generation will increase from 18 percent in 2007 to 23 percent in 2035. Generation from natural gas and nuclear power increase 2.1 and 2.0 percent per year, respectively while coal-fired power is expected to increase an average of 2.3 percent. This would make coal the second-fastest growing source for electricity generation worldwide.

The result of continued growth of fossil-fuel based energy, according to the International Energy Outlook 2010 is that world-energy related CO2 emissions are expected to rise from 29.7 billion metric tons in 2007 to 33.8 billion metric tons in 2020 hitting a high of 42.4 billion metric tons on 2035. This is an estimated CO2 emission projection increase of 43 percent over the next 28 years.
Read the rest of this post…

Earlier this month, the 25x’25 Alliance released a progress report on where the nation is in terms of the goal of meeting 25 percent of our energy needs with renewable resources by 2025, and they held a press conference with representatives of all the major renewable energy sectors to talk about the report and what still needs to be done.

In this edition of the Domestic Fuel Cast, we will hear from each of those representatives – Tom Buis with ethanol group Growth Energy; Bob Cleaves of the Biomass Power Association; Brad Collins with the American Solar Energy Society; Karl Gawell from the Geothermal Energy Association; and Rob Gramlich with the American Wind Energy Association – as well as 25x’25 steering committee co-chairman Reid Smith.

Listen to the Domestic Fuel Cast here. Domestic Fuel Cast

You can also subscribe to the DomesticFuel Cast here.

With the climate bill in flux in the Senate, there are new concerns surfacing that climate legislation is dead in the water, stalling political efforts to revive the economy though the development of clean tech jobs. In response, Senate Majority Leader Harry Reid (D-NV) responded last week by proposing a new piece of limited energy legislation that would limit offshore drilling, raise the liability caps for oil companies and support the growth of green jobs. The green jobs would come as a result of energy efficiency measures but the bill does not appear to support a Renewable Electricity Standard (RES).

Reid has been attempting to get some sort of jobs bill passed for months. Earlier this year, he presented an Unemployment Jobs Extension Bill that included a one-year extension of the biodiesel tax credit. Reid stripped the biodiesel tax credit from the bill and ultimately, the bill did not pass.

The apparent tie-in of the oil spill and energy bill is that many gulf oil workers are out of work. Reid believes that an energy bill will help put people around the country back to work. The Department of Energy estimates that if a 20 percent renewable electricity standard were put into place, 3,000-4,000 new jobs would be created in most states. Yet supporters of clean jobs are arguing that these clean jobs are not being created fast enough and an energy bill with an RES could be the ticket, although it doesn’t appear Reid’s bill be the ticket needed for admission.

But on the flip side, the oil and gas industry is fighting this bill tooth and nail saying that green jobs will not make up for the large number of displaced oil and gas workers. Offshore drilling needs to continue.
Read the rest of this post…

This week I read “Powering The Future,” by Daniel B. Botkin. I was motoring along learning about our current energy mix (fossil fuels, fossil fuels, fossil fuels) and then moved on to the section about alternative energy and his evaluation of the viability of wind and solar. Then I got to the biofuels section and this is where in most books I feel authors are either uneducated or intentionally dismiss the data. Botkin was no different in his assessment of biofuels. He only supports biofuels from algae and soil bacteria and he backs up much of his biofuels with bad data from the likes of David Pimentel.

But I’m getting ahead of myself.

The goal that Botkin set out in his book was to discuss each major source of energy including how much energy it provides today, how much it could provide in the future, how much it would cost, and its advantages and disadvantages. On this note, I do think that Botkin set out what he meant to do and offered analogies and numbers that most will understand.

Here are some interesting takeaways from his analysis. First, he is not a proponent of natural gas because his data shows that if it were used to fuel the 140 million+ cars on the road, we’d run out in less than 20 years. Second, he is not a proponent of nuclear because there is a limited amount of uranium and it costs more to decommission a nuclear plant than build one. While he has reservations about coal, he does anticipate that coal use will increase for electricity.

So what does he like?
Read the rest of this post…

The Alternative Fuel Vehicle Institute (AFVI) 2010 Conference is now in full swing in Las Vegas. The 16th annual event is offering its attendees a wide array of workshops and sessions concentrated on alternative fuels and advanced technology vehicles.

The AFVI show kicked off on Sunday featuring speakers on compressed natural gas (CNG), propane, biodiesel, electric and ethanol. Nearly 90 exhibitor booths opened on Monday at noon including companies such as General Motors, Toyota, Ford, the National Biodiesel Board, Dresser Wayne, and Honda among others.

In their booth, Dresser Wayne is displaying a CNG dispenser, E85 fleet dispenser and a diesel exhaust fluid dispenser (see right). “It’s always a good opportunity to participate in a show like this to learn about about emerging opportunities relating to alternative fuels,” noted Dresser Wayne’s Director, Alternative Energy Products, Scott Negley.

A “Ride-n-Drive” also took place today offering attendees a chance to experience how an alternative vehicle feels on the road. Vehicles included in the Ride-n-Drive included: Ford E-250 (Propane); THINK THINK City (Electric); Camry (Hybrid); Highlander (Hybrid); Prius (Hybrid); Prius (Plug-in Hybrid); Civic GX (CNG); FCX Clarity (Hydrogen Fuel Cell); Volkswagen Golf TDI (BioDiesel); Volkswagen Jetta (BioDiesel); Crane Carrier LET2 (CNG/Hydraulic Hybrid); Starcraft Allstar (CNG); XCaliber CNG66 Mower (CNG); Escape (Hybrid); Fusion (Hybrid); Global Electric Motorcars e4 (Electric); Ford F-Series (Biodiesel – B20); and Chevy Tahoe (Flex Fuel Vehicle)

The 2010 AFVI show concludes tomorrow.

As wind energy is developed on both public and private lands, there is a concern regarding the impact on wildlife and habitat. Today, the Wind Turbine Guidelines Advisory Committee, created in 2007 under the Federal Advisory Committee Act, sent final recommendations to Secretary of the Interior, Ken Salazar, designed to further the development of wind energy while reducing the environmental impacts of the projects. Less than a week ago, Salazar received final recommendations on the Cape Wind Project.

While the proposed guidelines are currently voluntary for developers, they will be considered by Interior Department officials as they finalize regulations for wind energy development of both private and public land. The committee recommends that developers receive incentives to adopt the guidelines.

In a news release from the U.S. Fish & Wildlife Service issued today, Director Rowan Gould stated, “The Interior Department strongly supports the development of renewable and sustainable energy, including wind generated electricity. On behalf of the advisory team, I am pleased to present Secretary Salazar these recommendations aimed at responsibly producing wind power on our public lands while protecting our nation’s wildlife resources.”

The report is broken down into two areas: policy issues and “science‐based technical advice on how best to assess and prevent adverse impacts to wildlife and their habitats while allowing for the development of the Nation’s wind energy resources.” The second component was devised as a five-tiered approach.

Highlights of the Committee’s recommendations include:

• A decision-making framework that guides all stages of wind energy development;
• Reliance on the best available science when assessing renewable energy projects and their potential environmental impact; and
• Use of landscape-scaled planning that recognizes the need to think long-term about protecting our nation’s economic and natural resources.

You can download a copy of the final recommendations here.

Sopogy, Inc. has partnered with Eckerd College in St. Petersburg, Florida to showcase its SopoNova solar panels. The project, developed by STG International, has been designed to be a model for cost-effective, stand alone solar power solutions for health clinics in Africa.

According to the company, the MicroCSP system generates solar energy by reflecting the sun’s energy from mirrors into a receiver tube, heating a transfer fluid to create steam. The steam then spins a turbine that drives a generator and produces electricity. The system also includes storage for use on cloudy and rainy days.

“A particularly important breakthrough has been Sopogy’s development of smaller scale parabolic trough collectors that can be built at a lower cost, using commonly available manufacturing facilities and conventional materials,” says Tal Ziv, VP of Operations at Sopogy. “Not only can our modules be produced locally, but our collectors can also be manufactured anywhere in the world.”

One of the features that makes the system unique is that it combines both solar energy to produce electricity and hot water. This system will provide three kilowatts of electricity, enough to power a health clinic that sees up to 100 patients a day as well as produce up to 300 litres of hot water for clinic use.

“This project exemplifies the efforts of organizations committed to environmental sustainability,” said Darren T. Kimura, CEO of Sopogy. “Sopogy is proud to focus on the triple bottom line using our technology to create local jobs, generating green energy, while staying focused on our business.”

According to a new report from the Geothermal Energy Association (GEA), geothermal energy showed 26 percent growth in new projects under development in 2009 in the US. According to the new report, “2010 US Geothermal Power Production and Development Update,” 188 projects are underway in 15 states which could eventually produce as much as 7,875 MW of new electric power per year. Nevada is leading the way with over 3,000 MW under development. Other fast growing states include Utah, New Mexico, Idaho, and Oregon with Louisiana, Mississippi and Texas all reporting their first geothermal projects.

“Geothermal power can be a critical part of the answer to global warming,” said GEA’s Executive Director, Karl Gawell. “For example, California could achieve its 2020 goal for global warming emissions reductions just by keeping energy demand level and replacing its coal-fired generation with geothermal.”

Once these projects are completed, they will add over 7,000 MW of baseload power capacity, which is enough to provide electricity for 7.6 million people, or 20 percent of California’s total power needs. This is also roughly the amount of total power used in California from coal-fired power plants.

“These geothermal power projects will create substantial sources of new employment across the country,” said Gawell. “Not only are we seeing more and more development and hiring in places with a long history of geothermal like Nevada and California, but for the first time these jobs are being created in the Gulf Coast, in states such as Louisiana and Mississippi. Along with a huge number of new construction jobs, geothermal power also creates many permanent positions that can never be outsourced.”

Together, the direct, indirect and induced employment created by these projects is estimated by GEA to be 29,750 permanent jobs and 112,000 person-years of construction and manufacturing employment. In addition, the projects under development will represent capital investment of more than $35 billion when completed. The full report is available by clicking here.

Less than two weeks ago, Iowa Governor Chet Culver and Rhode Island Governor Donald L. Carcieri released the “Great Expectations” wind energy report as commissioned by the Governors’ Wind Energy Coalition. The two governors met with Obama to share their findings, one of which is strong support for coastal, deep water and offshore wind energy technology, research and investment. The report states, “Congress must approve legislation that will allow for the efficient and timely review of wind projects on federal lands and in offshore coastal regions.” The first offshore wind project under federal consideration: Cape Wind, an offshore project that is set to be developed in Nantucket Sound and the winds are blowing furiously against approval for the project.

Photo Credit: lakewentworth via flickr

Interior Secretary Ken Salazer is set to make a historic decision on the project this month and to help make his decision, has reached out to the Advisory Council on Historic Preservation (ACHP) to provide comments and recommendations that will factor into his decision. The ACHP has recommended that he not approve the project.

ACHP states, “The historic properties affected by the Project are significant, extensive, and closely interrelated. The Project will adversely affect 34 historic properties including 16 historic districts and 12 individually 2 significant historic properties on Cape Cod, Martha’s Vineyard, and Nantucket Island, and six properties of religious and cultural significance to tribes, including Nantucket Sound itself. These districts and standing structures reflect the broad array of properties that represent the rich and unique architectural, social, and cultural history of Cape Cod and the Islands.”

They continue, “Adverse effects on historic properties will be direct and indirect, cannot be avoided, and cannot be satisfactorily mitigated.”

The ACHP findings are raising the debate about offshore wind energy to a fever pitch and putting the Obama administration between a rock and a hard place.
Read the rest of this post…

According to the Associated Press, the Ohio Turnpike Commission has announced plans to open up two “green” rest areas, powered by renewable energy such as wind or solar power and they will carry E85.

The new service plazas will be built on both sides of the turnpike in Ohio’s Williams County. Along with E85, the facilities will allow for recharging of electric cars and cable and Internet hookups for parked trucks. The stops will also feature gas pumps, restrooms, restaurants and gift shops. The new facilities should open next year.

Currently, Ohio has 64 E85 locations throughout the state. Although details have not yet been released, the Ohio Department of Development will be offering grants to assist with additional E85 retail infrastructure. These funds are allocated for the current state budget ending in July 2011.

Farmers and small business have found a crop to make them more money – clean energy. This according to a recent report from the Environmental Lay & Policy Center (ELPC) which just released “Farm Energy Success Stories” that demonstrate how a farm or small rural business adopted clean energy technologies and cut energy costs. Examples cited in the report include a Montana brewery that runs on solar power and an Illinois dairy that generates electricity from manure. Much of the monies that made these projects possible came from the Farm Bill’s Rural Energy for America Program (REAP).

“With the help of farmers, ranchers and rural small businesses, America can make great strides toward solving its energy problems.” said Andy Olsen, Policy Advocate for ELPC. “REAP is creating economic development, energy independence and a cleaner environment one farm at a time.”

Since 2003, REAP has funded over 3,000 clean energy projects, in 50 states that cover the clean energy spectrum – wind, solar, geothermal, biomass and energy efficiency. The United States Department of Agriculture (USDA), which oversees the program receives applications for more than three times the amount of funds available, and in February, President Obama raised the funding levels to the highest amount ever to $109 million.

ELPC has been a public supporter of the program since its inception and notes that the program,”leverages billions in private investment, reduces pollution, builds interest and awareness about the benefits of clean energy.” Many legislators support the program as well and Represenative Colin Peterson (D-MN) commented, “This is the kind of common sense program that will help transform rural America into an energy resource for the entire nation.”

You can download Farm Energy Success Stories here.