An Ignoble Experiment

2. Job market driving SA renewable energy investment

Products and services such as solar PV, utility-scale renewables and hybrid electric vehicles have all experienced double-digit compound annual growth rates over the past decade, accounting for significant adoption of clean energy technologies across broad demographic groups. New nationwide research commissioned by SolarCity and Clean Edge explains what is behind this expansion.

Performed by polling firm Zogby Analytics, the research focused on U.S. homeowners and their choices surrounding a range of clean energy topics -- including renewables, energy efficiency, clean transportation, and energy storage. In addition, the survey revealed some interesting things about what homeowners know and think about electric utilities, third-party energy service providers, and consumer choice.

The research revealed that a majority of homeowners -- 88 percent -- support renewable energy, and conclude that it is important to America's future, realizing the environmental impact of their energy purchases. In fact, 70 percent of all the homeowners surveyed evaluate the environmental impact/sustainability of big-ticket items when making purchasing decisions. More than half of homeowners said they were more likely to think about that today than just three years ago.

A majority of homeowners -- 69 percent -- have a favorable view of their utility but want more energy and electricity choices when it comes to supply. But 73 percent would like an inexpensive and reliable form of energy -- provided by someone other than their current utility. Three of four respondents say utilities should allow customers to install distributed generation systems, reflecting their desire for choice. Further, recent weather-related power outages are driving consumer sentiment toward backup power.

Even though homeowners say they care about the environment, money matters, and price barriers, real or imagined, have kept some homeowners from adopting clean energy products. Economics definitely drive most purchasing decisions, with respondents citing zero upfront costs and ongoing cost savings as the top two reasons for even considering backup energy storage systems and solar power installations.

When it comes to clean energy purchases, consumers are starting small, placing energy efficiency at the top of their priority list. In the next year, 31 percent of respondents said they would purchase light emitting diode (LED) light bulbs. The next clean energy purchases on their list are smart thermostats (11 percent), double- or triple-pane windows (10 percent), hybrid cars (9 percent), and Energy Star-rated hot water heaters (9 percent).

For more:
- see this report

Read more about: Clean Edge, SolarCity
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This week's sponsor is A. Cullen & Associates, Inc.

76 charts illustrating nearly 30 Smart Grid hiring topics – a must-have HR benchmarking tool!

By Barbara Vergetis Lundin

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3. $4B available to commercialize clean energy technology

South Africa is targeting its rapidly changing renewable energy sector -- which is expected to account for more than 20 percent of the country's total power generation capacity by 2030, in comparison to the less than 5 percent it currently contributes -- as a source of employment opportunities, according to Frost & Sullivan research. A strong procurement process in a relatively stable political environment, as well as with long-term targets and proactive legislation from the government, are expected to drive expansion of renewable energy.

Global pressure, especially from developed countries where coal is increasingly less of a major part of the energy mix, will contribute to the rise of clean energy in South Africa, as well as increasing climate change awareness and the enforcement of policies, such as the proposed carbon tax.

"The South African government has identified the development of a green economy as one of the job drivers in the country, in turn, encouraging investments in renewable energy," said Johan Muller, energy and environment consulting manager for Frost & Sullivan. "Over and above the necessity of direct jobs for building power plants, other jobs such as those for operation and maintenance, resource economists and experts on monitoring and evaluation will open up."

Following the feed-in tariff initiative and the subsequent independent power producer tender process, South Africa has a host of renewable power initiatives in the pipeline. As market participants look to tap into this gap in the market, they face the slow implementation of the feed-in tariff, the unavailability of data, and the cost of the procurement process stalling the market's forward momentum. Coal-fired electricity is still more feasible than renewable energy, especially from a baseload perspective, even with the recent 25 percent price increase.

"From a private investment point of view, the main challenges included both the lack of local technical know-how and skills; however, with more than 60 projects in different stages of completion this challenge is quickly being eroded," said Muller. "Employing overseas transfer programs can bridge the divide and integrating skills over time will ensure better control and competitiveness in the nascent market."

For more:
- see this report

Read more about: Frost & Sullivan, Johan Muller
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By Barbara Vergetis Lundin

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4. Biomass has multiple benefits in California

The U.S. Department of Energy (DOE) is looking for innovative renewable energy and energy efficiency projects located in the U.S. that avoid, reduce, or sequester greenhouse gases. At its culmination, the DOE initiative could make as much as $4 billion in loan guarantees available to help commercialize technologies that may otherwise be unable to obtain full commercial financing.

Loan guarantees are an important tool to commercialize innovative renewable energy and energy efficiency technologies because these projects may be unable to obtain full commercial financing due to the perceived risks associated with technology that has never been deployed at commercial scale.

"Through our existing renewable energy loan guarantees, the Department's Loan Programs Office helped launch the U.S. utility-scale solar industry and other clean energy technologies that are now contributing to our clean energy portfolio," said Secretary Ernest Moniz in a statement. "We want to replicate that success by focusing on technologies that are on the edge of commercial-scale deployment today."

The DOE is focusing on five technology areas: advanced grid integration and storage; drop-in biofuels; waste-to-energy; enhancement of existing facilities; and efficiency improvements.

Once this solicitation is finalized, the Department's Loan Programs Office (LPO) will be accepting applications in three additional areas, including the $8 billion Advanced Fossil Energy Projects Solicitation and the $16 billion Advanced Technology Vehicle Manufacturing (ATVM) loan program.

So far -- as part of its $30 billion loan, loan guarantees and commitments -- the LPO has supported a diverse range of projects, including one of the world's largest wind farms; several of the world's largest solar generation and thermal energy storage systems; and one of the first new nuclear reactors being constructed in the U.S. in more than three decades.

For more:
- see the solicitation

By Barbara Vergetis Lundin

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5. PA DCNR monitoring reveals shale gas trends

A new biomass gasification plant is being erected near Lake Tahoe, California, that will utilize forest biomass from Placer County's fire threat reduction activities to make electricity, heat and biochar. The 2 MW Phoenix Energy plant will be the first to use forest-based fuel in California. The Lake Tahoe project is Phoenix Energy's third biomass gasification plant in state and, when fully operational, it will be the company's largest plant.

Phoenix Energy has developed two commercial biomass gasification facilities in California's Centra Valley: a 0.5 MW facility in Merced County and a 1 MW plant in Stainslaus County.

Distributed bioenergy generation will produce more than just baseload power, including thermal energy, eliminated line losses, and co-products like biochar that sequester carbon and provide soil amendment and filtration, according to Phoenix Energy.

In an effort to reduce forest fire risk and improve air quality, Placer County has been seeking to develop an alternative to open burning of large biomass piles. The recent massive Rim Fire in California's high sierras gave renewed emphasis to finding a better solution to managing that risk.

"Piling and burning forest biomass in the open is a complete waste of a resource and bad for air quality -- but it is often the only economic option for local communities," said Phoenix Energy CEO Gregory Stangl. "This plant will serve as a path towards a more sustainable outcome while providing local jobs and local energy."

For more:
- see this report

By Barbara Vergetis Lundin

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