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Renewable Energy Predicted to Grow Despite Economy

A new report commissioned by Paris-based Renewable Energy Policy Network for the 21st Century (REN21) shows that the renewable energy sector continues to perform well despite the continuing economic recession, incentive cuts and low natural gas prices. In fact, “Renewables 2011 Global Status Report” calculates that renewable energy supplied around 16 percent of global final energy consumption and accounted for nearly 20 percent of global electricity production. The report was authored by Janet Sawin, a senior fellow with the Worldwatch Institute along with a global network of research partners.

When you include large and small hydropower, which is estimated to have added 30 gigawatts of power in 2010, renewable energy accounted for approximately 50 percent of total added power-generating capacity in 2010. Also increasing in capacity last year was the solar water and space heating industry which added approximately 25 gigawatts-thermal (GWth) or about 16 percent.

“The Global Status Report shows that despite the recession, renewables are growing at an enormous rate,” said Director of Climate & Energy Alexander Ochs who contributed to the report. “Still, there are 1.5 billion people who don’t have any access to energy, and 3 billion people relying on traditional biomass sources and coal. If we want to prevent climate change from spinning out of control, we need to scale up our efforts to accelerate renewable energy development and deployment at all levels. Worldwatch will continue to provide guidance as to how this can be done.”

The driver for growth continues to be renewable energy policies. By the beginning of 2011, there were at least 119 countries that had some policy target or renewable energy policy at the national level. In 2005, this number was only 55. The report details that more than half of these countries represent the developing world and at least 95 countries have policy specifically to grow renewable power generation. In the United States, for example, 30 states (plus Washington, D.C.) have Renewable Portfolio Standards (RPS).

While feed-in tariffs are somewhat taboo in the United States, they remain the most common mechanism worldwide to encourage adoption of renewable energy sources. Also somewhat lacking in the U.S. private investments in the industry on a global scale reached $211 billion last year, up from $160 billion invested in 2009. Money invested in renewable energy companies, utility-scale generation, and biofuel projects increased to $143 billion, with developing countries surpassing developed economies for the first time, according to the Global Status Report’s recently released companion report, “UNEP’s Global Trends in Renewable Energy Investment 2011.” Not surprisingly, China attracted $48.5 billion, or more than a third of the global total.

In addition to the report, REN21 also launched its Renewables Interactive Map, a tool for gathering and sharing the renewable energy developments.

New Report Details Global Hydropower Markets

Global opportunities for hydropower are reviewed and analyzed in a new report, “The Hydropower Market 2011-2012,” by Visiongain. According to the report, the global hydropower market, as defined by spending on new hydropower projects as well as spending on upgrades and expansions, to be worth $56.61 billion in 2011. Today, hydropower currently contributes nearly one-sixth of all worldwide electricity, but the authors of the report believe it will play in increasingly important role in the future as the world shifts away from fossil fuel-based energy to renewable energy.

The report examines the hydropower market over the next decade and provides detailed market forecasts for each of the regional markets as well as offers in-depth analysis of the opportunities and challenges facing the industry. The report provides information on recently awarded contracts in more than 50 national markets and profiles the top 50 companies within the hydropower market.

In addition, the report highlights the most important technological changes withing within the industry as assesses their importance in the long-term growth of the industry. Also evaluated are various drivers and restraints of the hydropower market as a means to provide the industry with specific insights into the future direction of the market.

Spain’s First Wave Power Plant Goes Online

Spain’s first wave power plant has gone into production in the Basque seaport of Mutriku, located between Bilbao and San Sebastian. The Mutriku wave power plant, consisting of 16 units, will generate an estimated 300 kilowatts in power, enough electricity to supply 250 homes. Utility Ente Vasco de la Energia (EVE) inaugurated the wave power plant today in a special event.

“The rising global demand for green energy proves to be a strong catalyst for the implementations of innovative forms of renewable energy,” said Dr. Roland Muench, Chief Executive Officer of Voith Hydro Holding who provided the equipment for the wave power plant. “The Mutriku project shows: Our wave power technology is commercially viable and ready for wide deployment on the global markets. To further this development, adequate feed-in-tariffs for wave power, as they already exist for a number of renewables, can now set the right legal framework.”

According to Voith Hydro, its wave power technology can be deployed in both new and existing breakwater as well as in purpose-built structures. The company says its oscillating water column (OWC) technology is the only one that has been successfully proven with regard to commercial utilization. The company has been operating the Limpet wave power plant on the Scottish island of Islay for more than a decade and the plant has been running for more than 65,000 grid-connected hours.

It is estimated that worldwide potential of ocean energies is 1.8 terawatts and today still remains largely untapped.

Renewable Energy Production Surpasses Nuclear

Renewable energy production has surpassed nuclear energy production in the U.S. according to the latest issue of Monthly Energy Review published by the Energy Information Administration. Production of alternative energy is also beginning to close in on domestic oil production.

During the first three months of 2011, energy produced from renewable energy sources (biomass/biofuels, geothermal, solar, hydro, wind) generated 2.245 quadrillion Btus of energy equating to 11.73 percent of U.S. energy production. During this same time period, renewable energy production surpassed nuclear energy power by 5.65 percent. In total, energy produced from renewables is 77.15 percent of that from domestic crude oil production.

When looking at all energy sectors, production of renewable energy has increased by a little over 15 percent when compared to first quarter of 2010, and by more than 25 percent when compared to the first quarter of 2009. Of this total, biomass/biofuels accounted for approximately 48 percent of this total followed by hydropower at 35.41 percent, wind at 12.87 percent, geothermal at 2.45 percent and lastly solar at 1.16 percent.

Despite a seemingly low number for solar power, when compared to first quarter last year, solar power has increased by 104.8 percent while wind power increased by 40.3 percent. Hydropower and geothermal energy also increased by 28.7 percent and 5.8 percent respectively. While nuclear energy has seen a slight increase in power generation, for the most part it has remained steady.

“Notwithstanding the recent nuclear accident in Japan, among many others, and the rapid growth in energy and electricity from renewable sources, congressional Republicans continue to press for more nuclear energy funding while seeking deep cuts in renewable energy investments,” said Ken Bossong, Executive Director of the SUN DAY Campaign. “One has to wonder ‘what are these people thinking?’”

IPPC Releases Renewable Energy Report

The Intergovernmental Panel on Climate Change (IPCC) has released a paper on the potential of renewable energy and its impacts on reducing greenhouse gas emissions that are believed to contribute to global climate change. The report found that close to 80 percent of the world’s energy supply could be met by renewables by mid-century if supported by the right policies.

More than 120 researchers worked with IPPC on the report, “Special Report on Renewable Energy Sources and Climate Change Mitigation (SRREN),” and the findings also indicate that the rising penetration of renewable energies could lead to cumulative GHG savings of 220 to 560 gigatonnnes of carbon dioxide between 2010 and 2050.

“With consistent climate and energy policy support, renewable energy sources can contribute substantially to human well-being by sustainably supplying energy and stabilizing the climate,” said Professor Ottmar Edenhofer, Co-Chair of Working Group III at the report launch. “However, the substantial increase of renewables is technically and politically very challenging.”

According to a news release, the upper end of the scenarios assessed, representing a cut of around a third in GHGs from business-as-usual projections, could assist in keeping concentrations of greenhouse gases at 450 parts per million. If this were the case, it could help to hold the increase in global average temperatures to 2 degrees Celsius, a goal laid out in the Cancun Agreements (COP-16).

Youba Sokona, Co-Chair of the Working Group III, said: “The potential role of renewable energy technologies in meeting the needs of the poor and in powering the sustainable growth of developing and developed economies can trigger sharply polarized views. This IPCC report has brought some much needed clarity to this debate in order to inform governments on the options and decisions that will needed if the world is to collectively realize a low carbon, far more resource efficient and equitable development path.”

The six renewable energy technologies reviewed were bioenergy, solar energy, geothermal energy, hydropower, ocean energy and wind energy. The report, which is a summary of a longer, 900 plus page research document, will feed into the broader work of the IPPC as they prepare its Fifth Assessment Report that is scheduled to be released in September 2014.

United Sport Unveils Solar & Hydro Projects

United Sports, a multi-sport facility located in the Northeast, has announced they are partnering with Mercury Solar Systems, Sage Energy and Exelon Corporation to install an expansive solar energy and hydro power project. On hand for the project unveiling was Congress Jim Gerlach (PA 6th District) along with executives and employees from United Sports. The 207kW solar energy system consists of 1,035 panels that span the roof of the complex. The hydro power will be generated by tapping into the Conowingo Hydroelectric Generating Station in Darlington, MD. Combined, the two projects will provide two-thirds of the complex’s energy needs.

“United Sports is excited about the positive energy decisions we are making with Sage Energy, Mercury Solar Systems and Exelon,” said Ted van Beuren, President/CEO, United Sports. To think that two-thirds of our energy needs will be supplied through renewable solar and hydro power at a substantial savings is a win-win for all!”

The company came up with some creative environmental equivalents to give consumers an idea of how much more “environmentally friendly” the complex will be with the solar and hydro projects. Over the lifetime of the projects, the amount of greenhouse gas emissions reductions would be equal to driving an average sized car 50,000,000 miles, flying 44 trips to the moon and back or planting over 175,000 trees.

“United Sports went the distance to incorporate cutting edge green technologies into the design of the complex,” said Andrew Kleeman, Senior Vice President, New Markets at Mercury Solar Systems. “The solar system alone will generate enough energy to power 17 average sized homes but more importantly significant clean energy for the kids that actively play at the complex each and every year.”

Peter Corbett, managing partner with Sage Energy added, “We at Sage Energy Investments are proud to be bringing solar and hydroelectric power to United Sports, the premier sports and recreation complex on the East Coast. Given the recent catastrophes of the Gulf oil spill and the nuclear meltdown in Japan, timing could not be better to showcase the viability of alternative energy strategies. With over 1,000,000 annual visitors, many impressionable youth, United Sports is the ideal location to get this message out and show that clean, renewable energy makes sense for the future of this country.”

Energy Use Down, But Biofuels, Wind, Solar & Hydro Up

A new report from the feds says, due to the recession, overall energy consumption in the U.S. dropped in 2009. However, renewable energy … biodiesel, ethanol, wind, solar and hydro power … use during that same period actually increased.

This report from the U.S. Energy Information Administration
shows that overall energy consumption in 2009 dropped by 4.8 percent, the second year in a row that consumption dropped and just the third time since 1949 that energy consumption has declined for two or more consecutive years. But clean energy sources fared much better during that same time:

Consumption of all major fuels declined between 2008 and 2009, except for renewables. Coal dropped the most, falling 12 percent, while petroleum consumption fell nearly 5 percent, and natural gas consumption fell 2 percent. Even nuclear fuel consumption fell by nearly 1 percent…

Against this backdrop, it is noteworthy that renewable energy consumption increased by 5.4 percent in 2009 to 7.8 quadrillion Btus (Figure 1.2). This follows a 9.6-percent increase between 2007 and 2008. These two increases, coupled with the consecutive year decreases in total energy consumption, boosted renewable energy’s share of total consumption from 6.6 percent in 2007 to 8.2 percent in 2009. This is renewable energy’s greatest share of the U.S. energy pie since 1984 when there were near record levels of hydropower.

Wind energy grew 32 percent and has more than doubled since 2007, standing at 0.7 quadrillion Btus in 2009. While the gain in 2009 was strong, capacity additions and output might have been greater still except for the collapse of natural gas prices, which made lower capital cost natural gas-fired capacity more attractive than wind. Solar energy followed a pattern similar to that of wind energy for similar reasons. Consumption in 2009 jumped by 10 percent from 2008, about 60 percent of the rate of increase for the prior year. Biomass also grew just 1 percent between 2008 and 2009, when there was a 14 percent gain in biofuels (ethanol and biodiesel) consumption and an 8 percent decrease n wood and derived fuels consumption.

Hydropower consumption grew 6.3 percent in 2009…

The report goes on to say that wind went from a “relatively minor renewable energy source” to making up nearly 10 percent of total renewable energy consumption. In addition, biodiesel and ethanol got good boosts from various financial incentives and mandates.

EPA Names DC Leading Green Power City

The Environmental Protection Agency (EPA) has named Washington D.C. as the leading EPA Green Power Community. Combined, government, businesses, institutions, and residents in the nation’s capital are collectively purchasing nearly 756 million kilowatt-hours (kWh) of green power each year. This is enough to meet 8 percent of the city’s total electricity use. All voluntary, this feat catapulted the city into the number one spot in the country on EPA’s rankings.

District leaders kicked off a District Green Power Challenge today during the District’s EPA Green Power Recognition Ceremony that was held at Phelps Career High School in northeast DC to encourage more residents and businesses to switch to green power. The first goal of the challenge is to increase citywide green power purchases by 33 percent by August 31 of this year in hopes of keeping their #1 ranking. This increase would also mean that the city’s electricity users are purchasing 10 percent from green power or 1 Billion kWh each year.

“This is a huge honor for Washington, D.C. and we are proud to be recognized by the U.S. Environmental Protection Agency,” said Mayor Vincent Gray. “The purchase of green power by our citizens and businesses is cleaning our air and supporting growth of the clean energy economy. When we clean the air, we improve the health of our residents, and particularly our children. We are sending a message to other communities across the country that supporting clean power is a sound business decision and the right thing to do. I’m proud that the District of Columbia government is leading the way, purchasing 50 percent of our electricity through the Washington Gas Energy Services, Inc. wind power program.”

There are currently 36 Green Power Communities across the country. To be given the designation, a city, town or village must have government, business and residents that commit to purchasing green power in amounts that meet or exceed EPA’s Green Power Community purchase requirements. Qualifying energy sources include wind, solar, geothermal, biogas, biomass, and low-impact hydro-electric power.

“The District of Columbia is setting an excellent example for the nation by harnessing clean energy,” said Elizabeth Craig, Acting Director of EPA’s Office of Atmospheric Programs. “We hope the city will continue to increase its use of green power and that other communities will follow suit.”

2 Energy Companies Team Up to Form Alterra Power

Canada is now the home to a giant renewable energy company. Vancouver-based Magma Energy, a geothermal company, has purchased wind, solar and hydro energy company Plutonic Power, also based in Vancouver, to form Alterra Power Corp. The deal is worth around $190 million but when the two companies are combined, their net worth is estimated to be worth $575 million.

In a financial analyst call this week, Ross Beaty, Magma’s Chairman and CEO said that “size matters” and “the power business is all about the cost of capital.”

In a press statement Beaty commented, “This merger will strengthen both companies and will create a larger, more diversified renewable energy company with assets across a broader spectrum of the clean energy industry. It has the potential to lower the cost of capital to develop each company’s existing growth assets, to enable those assets to be developed more quickly, and to better attract new opportunities for future development. Geothermal will remain a core focus of the new company, but hydro, wind and solar assets will be solid business platforms for future growth. In the renewable energy business, bigger is better and this combination will achieve that while enhancing returns to each company’s shareholders.”

The new company, Alterra Power Corp, intends to develop new energy sources either within Canada or globally, whatever projects will provide the best return on investment for shareholders. Magma already operates projects in the U.S., Iceland, and Latin America while Plutonic has wind projects in Canada and is looking to acquire some solar projects in the U.S.

Donald McInnes, Plutonic’s Vice-Chairman and CEO said, “2010 was a breakout year for Plutonic having completed the transition into an operating company. To continue to build on the success of our history as a project developer, a merger with Magma will provide our shareholders with the best path to further value creation achieved through a larger market size, greater liquidity, better access to capital, and diversity of geography and technology with a healthy development pipeline that provides significant growth opportunities.”

In conjunction with General Electric (CE), Plutonic Power operates Canada’s largest wind farm, the Dokie Wind project. Under a 25 year Electricity Purchase Agreement with BC Hydro, the now fully operational wind farm will is expected to generate 320,000-340,000 MWh per year – enough energy to power about 34,000 homes. It is comprised of 43 wind turbines and located in the foothills of the Canadian Rocky Mountains. As part of the project, Plutonic Power also built seven kilometres of transmission lines and an electric substation.