company planning and ghg strategy - epri · 2009 waxman-markey climate bill passes house 2010...

12
Company Planning and GHG Strategy Greg Ryan Manager, Environmental Sustainability & Climate Change May 17, 2019

Upload: others

Post on 20-May-2020

1 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Company Planning and GHG Strategy

Greg Ryan

Manager, Environmental Sustainability & Climate Change

May 17, 2019

Page 2: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

2LEARN MORE AT DTEIMPACT.COM

Page 3: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

3

Page 4: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Pragmatic, Proactive, Purposeful and Policy-Driven Approach to Planning that is led from the Top

4

Page 5: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Timeline of Drivers that Have Influenced Our Approach

5

MI Energy Legislation: 10% RPS &

EE Standards2008

Waxman-Markey climate bill passes House2009

Senate Kerry-Lieberman climate bill falls apart2010

1st Climate Shareholder Resolution on GHG Targets2012

City of Detroit Files for Bankruptcy2013

EPA Proposes Clean Power Plan 2014

EPA Finalizes Clean Power Plan2015

Supreme Court Stays Clean Power PlanFeb. 2016

Paris Agreement signedApril 2016

Page 6: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Timeline of Drivers that Have Influenced Our Approach

6

Trump Elected PresidentNov. 2016

Michigan Energy Legislation establishes 15% RPS and 35% Clean Energy (RE & EE) by 2025Dec. 2016

Shareholder Resolution on a 2-Degree Scenario Report defeated (45% vote yes)

DTE >80% by 2050 Carbon Goal announcedMay 2017

Two Shareholder Resolutions withdrawn:

•1. Report on 2-Degree Strategy;

•2. Report on methane emission reduction targets

March 2018

Certificate of Necessity (CON) for BWEC Natural Gas Plant approvedApril 2018

DTE/CMS Agreement to 50% Clean Energy by 2030 to avoid ballot initiativeMay 2018

IRP Filing – DTE Accelerates Carbon Goal to 80% by 2040 March 2019

Page 7: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

DTE’s Journey to 80 (www.journeyto80.com)

A roadmap of scenarios born out of a virtuous confluence of events:

• Falling prices for renewables

• Competitive natural gas generation

• Aging coal plants

• Energy efficiency and demand response opportunities

• Partnering with major customers on sustainability goal solutions

7

Page 8: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

8

Page 9: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Next steps in our Journey to 80

9

• Responding to intervenor questions on the IRP

• Accounting for the carbon intensity of electricity delivered to our customers

• Adjust…

• File our next IRP

Page 10: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Additional Information

10

• Methods for accounting for GHG emissions delivered to our customers as presented in DTE’s March 2019 IRP

Page 11: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

Direct emissions, Fleet accounting shown, not impact of purchases and sales for Proposed Courses of Action (PCAs)

11

% R

edu

ctio

n f

rom

20

05

CO

2 em

issi

on

s

PCA Pathway A• 1390 MW Voluntary RE• 50 MW CVR/VVO

Fleet CO2

PCA Pathway B• 1390 MW Voluntary RE• 2030 CCGT

PCA Pathway D• 465 MW Voluntary RE• 2030 CCGT

21

33

51

75

2018 20302023 2040

33

49

75

2030 20402023

PCA Pathway C• 465 MW Voluntary RE• Demand Response• 50 MW CVR/VVO• 2% EWR

33

50

75

2023 20402030

33

49

75

2023 2030 2040

Page 12: Company Planning and GHG Strategy - EPRI · 2009 Waxman-Markey climate bill passes House 2010 Senate Kerry-Lieberman climate bill falls apart 2012 1st Climate Shareholder Resolution

All PCA pathways modeled meet DTE’s CO2 reduction goals. Annual Net Short Method of accounting shown

12

% R

edu

ctio

n f

rom

20

05

CO

2 em

issi

on

s

mid 2020’s goal 32%

2030 Goal 50%

2040 Goal 80%

PCA Pathway A• 1390 MW VGP• 50 MW CVR/VVO

Fleet CO2

Annual Net Short Method

PCA Pathway B• 1390 MW VGP• 2030 CCGT

PCA Pathway D• 465 MW VGP• 2030 CCGT

37

53

82

20402023 2030

37

53

82

2023 20402030

PCA Pathway C• 465 MW VGP• 100 MW Demand

Response• 50 MW CVR/VVO• 2% EWR

36

51

81

2023 2030 2040

36

51

80

2023 2030 2040