in this issue - eei · in this issue top story: study quantifies key benefits of utilityscale solar...
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JULY 2015
In This IssueTop Story: Study Quantifies Key Benefits of UtilityScale Solar
Company Spotlight: EEI Honors Supplier Diversity Award Winners
Industry in Action: EEI Joins Cybersecurity Leadership Council
Evolving Distribution Grid: CCIF Releases New Principles
Last Chance to Register: Clean Power Plan Webinar
Innovation: Ralph Izzo on Unleashing the Power of the Modern Electric Grid
White Paper: NonRoad Electrotechnology Programs
What We’re Reading: The Path to a 21stCentury Energy System in Minnesota
What We’re Watching: Keeping You Connected 24/7
On Twitter: National Lab Day
Top Story: Study Quantifies Key Benefits of UtilityScale SolarA new study finds that utilityscale solar photovoltaic (PV) systems in the U.S.are significantly more costeffective than residentialscale (rooftop) PVsystems as a vehicle for achieving the economic and policy benefits of PVsolar. The study, by economists at global consulting firm The Brattle Group, is thefirst to compare equal amounts of residential and utilityscale PV solardeployed on an actual utility system. “Comparative Generation Costs of UtilityScale and ResidentialScale PV inXcel Energy Colorado’s Service Area” outlines the following key findings:
The generation cost of energy from 300 megawatts (MW) of utilityscale PV solar is roughly onehalf the cost perkilowatthour (kWh) of the output from an equivalent 300 MW of 5kW residentialscale systems when deployed onthe Xcel Energy Colorado system, and utilityscale solar remains more costeffective in all scenarios considered inthe study.In that same setting, 300 MW of PV solar deployed in a utilityscale configuration also avoids approximately 50percent more carbon emissions than an equivalent amount of residentialscale PV solar.
“Over the last decade, solar energy costs for both rooftop and bulkpower applications have come down dramatically,”said Dr. Peter FoxPenner, Brattle principal and coauthor of the study. “But utilityscale solar will remain substantially less
expensive per kWh generated than rooftop PV. In addition, utilityscale PV allows everyone access to solar power. Fromthe standpoint of cost, equity, and environmental benefits, largescale solar is a crucial resource.” The report was prepared for First Solar, with support from EEI. The full report can be downloaded at brattle.com.
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Company Spotlight: EEI Honors Supplier Diversity Award WinnersEEI announced the winners of its 2015 Supplier Diversity Awards on July 1.Presented annually, the awards recognize companies for their outstandingefforts in advancing purchasing opportunities for minority and womenownedbusinesses within the electric power industry.
CenterPoint Energy earned the industry’s overall Excellence Award for itstargeted efforts to incorporate supplier diversity into all facets of its operations.CenterPoint Energy leveraged the expertise of its corporate communicationsdepartment to develop and implement a communications plan that outlinedthe importance of supplier diversity and reinforced that it is not just aprocurementdriven program.
“CenterPoint Energy’s terrific work to emphasize the importance of supplierdiversity beyond just procurement operations demonstrates the industry’s
commitment and efforts to help diverse businesses take part in the growth of the electric utility industry,” said EEI PresidentTom Kuhn. Arizona Public Service Company and We Energies were named the first and second place winners, respectively, of theindustry’s Innovation Award for their creative efforts to promote a diverse supplier base. JR2 Energy was named theDiverse Supplier of the Year.
For more than 30 years, EEI has recognized electric utilities that demonstrate leadership in advancing purchasingopportunities for minority and womenowned businesses. Contracts with utilities during this time have expanded fromtraditional services, such as providing office supplies and temporary personnel, to critical industry areas, such asunderground and overhead line construction, meter reading, nuclear engineering services, construction management,and pension fund management.
Read more about the Supplier Diversity program.
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Industry in Action: EEI Joins Cybersecurity Leadership CouncilEEI has joined a group of businesses and associations to promotecybersecurity policy that advances the adoption of best practices and marketbased solutions.
The U.S. Chamber of Commerce’s Cybersecurity Leadership Council will helpfoster greater collaboration between government and the private sector inorder to improve our nation’s cybersecurity policy. By creating a forum for businesses to have an open dialogue about what iseffective, missing, or needed in regard to cybersecurity policy or practices, theCouncil will serve as a key voice of industry for dialogue with policymakers.
Leadership Council members also include Duke Energy and SouthernCompany.
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Evolving Distribution Grid: CCIF Releases New Principles As the electric distribution system evolves to meet changing needs, theCritical Consumer Issues Forum (CCIF) has released a new report to informand better equip regulators, consumer advocates, utilities, thirdpartyproviders, consumers, and other stakeholders on policy and regulatoryissues.
The report features 20 consensus principles developed through a series ofdiscussions among approximately 65 state commissioners, consumeradvocates, and electric utility leaders. Topics include new and evolvingproducts, services, and technologies in the electricity sector, issues related todistribution system planning and operations, as well as an increased need forconsumer and lawmaker education in response to the changing grid. CCIF is a collaborative that includes members of the National Association ofRegulatory Utility Commissioners (NARUC), the National Association of StateUtility Consumer Advocates (NASUCA), and EEI. While offering guidance andassistance, the CCIF principles are not intended to represent or override anyindividual or collective policies or positions of NARUC, NASUCA, EEI, or otherparticipating organizations.
“The discussions facilitated by CCIF are critical to the transformation of the electric power industry and the grid,” said EEIExecutive Vice President of Business Operations and Regulatory Affairs David Owens. “Consumers, utilities, andregulators all must have a voice in shaping the future of the grid as innovative new technologies continue to be deployedand integrated.” Visit the CCIF website for more information and a copy of the new principles.
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Last Chance to Register: Clean Power Plan WebinarLast June, EPA released proposed guidelines for states to regulategreenhouse gas emissions from existing electric generation units. The EPA’sfinal rules—known as the Clean Power Plan—are expected as early as nextweek. These rules will lead to dramatic changes in how electricity isproduced, transmitted, and consumed. States will be required to submitcompliance plans for EPA approval that demonstrate how they will achievetheir statespecific emissions goals. What will the final rules say when they are released? What key goals anddeadlines will be included? Register now for an EEIhosted webinar that will take place at 2:00 p.m. EDTtwo business days after the final rules are released. Experts from EPA, states,and other groups will summarize the final guidelines, highlight what has
changed since the rules were proposed, and outline what they mean for electric utilities, state policymakers, regulators,and other key industry stakeholders. Participant information will be sent to registrants the day the final rules are released.
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Innovation: Ralph Izzo on Unleashing the Power of the Modern Electric GridUtilities and central power will be at the center of the modern grid, accordingto Public Service Enterprise Group (PSEG) Chairman, President, and CEORalph Izzo. “The utility of today and tomorrow can play a critical role in ensuring universalaccess to new technologies, from thermostats that promote energy efficiencyto solar panels, batteries, and other devices. Utilities have scale and access tocustomer information that will allow for optimal deployment of these newtechnologies in a way that maximizes benefits at the lowest cost. “Our New Jersey utility, Public Service Electric and Gas Company (PSE&G), isa great example. We are investing heavily in grid modernization to make itmore resilient and reliable, improve the efficiency and seamlessness of the
transmission system, expand energy efficiency programs, and make our electric generation environmentally friendly.” Read more from Izzo on what PSE&G is doing to unleash the power of the modern grid.
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White Paper: NonRoad Electrotechnology ProgramsThis ICF International white paper examines an approach to evaluating the feasibility and economics of nonroadelectrotechnology programs. This approach promotes the displacement of fossilfueled customer equipment withelectricpowered equipment and provides indicative economics for several programs. Key topics include:electrotechnology, potential revenue growth, and case studies on realworld applications. Email: [email protected] or click here. (Back to top)
What We’re Reading: The Path to a 21stCentury Energy System in MinnesotaThe cost of distributed generation technologies is declining, customer interestin expanded energy options is growing, and supportive public policies haveprompted a surge in the adoption of distributed resources and heighteneddemand for new products and services. This evolution presents an unprecedented opportunity to reshape the energysystem of the 21st century. The new e21 Initiative by Xcel Energy bringstogether a diverse group of stakeholders in Minnesota to discuss how theregulatory model needs to evolve to embrace technological innovation,support customer choice, and transition to a lower carbon future. Minnesota’s e21 Initiative puts a strong, reliable, and resilient grid at thecenter of this energy future. Far from becoming obsolete, the grid will serve asthe backbone and platform for new technologies, products, and services and
be accessible to customers. It will grow in value as more devices are connected to it. Evolving the grid and keeping it safe, resilient, and secure will require ongoing investment and commitment. “Our ability tomake these investments and manage the cost of this transition will depend on having a constructive regulatory framework,particularly in the face of uncertain public policy, little if any sales growth, and increased competition,” according to MarvinMcDaniel, Xcel Energy executive vice president; group president—utilities and chief administrative officer. The key question at the heart of the e21 Initiative is how to adapt regulation to align with the changing role of utilities,accelerating technology, and increasing customer expectations, while also stabilizing rates, minimizing costs, andensuring equity among customers. The e21 Initiative is one of more than 20 projects and partnerships outlined in a new book by the Edison Foundation'sInstitute for Electric Innovation. Thought Leaders Speak Out: The Evolving Electric Power Industry features essays byelectric utility and technology company leaders, policymakers, and other stakeholders on three distinct and interrelatedareas driving this evolution—the evolving grid, the evolving customer, and evolving regulation. Download the book here. (Back to top)
What We’re Watching: Keeping You Connected 24/7
On Twitter: National Lab Day
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