Renewable Energy and the U.S. Power Grid

Utah's 10-Year Energy Plan

Will renewable energy take over the electrical grid? Some seem to think so, and not just those who are in the business of selling the benefits of going green. A report by Edison Electric Institute (EEI), and executives at NRG Energy and Pacific Gas & Electric explains why this could be the case as renewable energy has been getting closer and closer to being competitive with conventional fossil fuels. New technology is being developed, new ways of storing intermittent sources (such as wind and sun) are being found, and greater use of renewable energy is being promoted by the U.S. Government through grants.

In Utah, Governor Herbert's 10-Year Energy Plan has identified goals to help move the state forward with innovative energy development.

Through the Recovery Act Energy Efficiency and Conservation Block Grant (EECBG), the Utah State Energy Office is managing funds to improve energy efficiency and reduce total energy use and fossil fuel emissions in communities while directing all of its State Energy Program funding to local city and county governments that did not receive direct EECBG grants from the Department of Energy.

To name a few, the Utah State Energy Program has used grant funds to support the “Solar for Schools” program, a statewide energy education initiative that will install 73 solar panels at schools throughout the state, with at least one display in each of the state’s districts. The program has also built a demonstration house that is being used in training workers to find ways to make homes of low-income residents more energy efficient. And along with the grant and UAMPS, a nonprofit agency based in Salt Lake City, 14 rural communities across the state have replaced streetlights with efficient LEDs.

To read more about the 10-year Energy Program, see here.

To read more about the “Economics of Renewable Energy”, see the report from the National Bureau of Economic Research.

BLM land order clears way for additional solar energy development on public lands

In early July, the Bureau of Land Management (BLM) announced the withdrawal of lands identified for solar energy development in the West from new mining claims that could impede development of solar energy sites. Public Land Order No. 7818 (PLO 7818) withdraws 303,900 acres of land within 17 Solar Energy Zones in Arizona, California, Colorado, Nevada, New Mexico, and Utah.

Under the Federal Land Policy and Management Act of 1976, BLM is charged with managing the public lands for multiple uses. BLM manages more than 245 million acres of public land, land known as the "National System of Public Lands." The National System of Public Lands are primarily located in 12 Western states, including Alaska. BLM also administers 700 million acres of sub-surface mineral estate throughout the nation. BLM recently confirmed that in Fiscal Year 2012 activities on public lands generated $4.6 billion in revenue, much of which was shared with the states where the activities occurred. In addition, it reported that public lands contributed more than $112 billion to the U.S. economy and helped support more than 500,000 jobs.


In October 2012, the Department of the Interior established the Solar Energy Zones as part of a western solar plan that provides a road map for utility-scale solar energy development on lands managed by the BLM in Arizona, California, Colorado, Nevada, New Mexico, and Utah. According to BLM, the "Solar Energy Zones encompass the lands most suitable for solar energy development because of their excellent solar resources, access to existing or planned transmission, and relatively low conflict with biological, cultural and historic resources." Since 2009, BLM has approved right-of-way applications for 25 solar energy development projects with planned total capacity of over 8,000 megawatts, or enough to power over 2.4 million homes. PLO 7818 withdraws the public lands encompassed by Solar Energy Zones for 20 years from potentially conflicting uses, including mining, subject to valid existing use rights, and opens the door to additional solar energy development projects in these states. Association of Corporate Counsel

Solar Day in Salt Lake City powers through clouds

Solar Day organizers, who said their event, which was powered entirely by solar energy, went off without a hitch, despite the fact that the event saw grey clouds for most of the day.

Utah ranks near the middle-bottom of the country in solar energy production. Its renewable energy sources trail those of neighboring states in the west. In order to move the state forward, event organizer Alan Naumann said, the citizens need to be know what’s missing, how it’s impacting the state and what they can do to help.

Less than 1 percent of the energy produced in Utah comes from solar power. Combined with wind, and geothermal power sources, it makes up about 3 percent of the state’s energy production, according to Utah’s 10-year strategic energy plan. Salt Lake Tribune

Solar modules 20% lower than last year

Two of the key metrics that will be watched closely in the global solar industry reporting season that has just commenced are the price of panels sold, and the cost of manufacture. The difference is what the industry calls the margin.

For the past few years, the surplus of capacity meant that margins were mostly negative, but the rebalancing of the market, as some manufacturers go out of business, and the Chinese, Japanese and US markets drive strong growth, mean most manufacturers are in positive territory.

One of the most misunderstood aspects of the solar industry is that once the market is re-balanced, then prices of solar modules will rebound, and the recent lows will never be seen again.

That assumes that the price fall was driven only by over-capacity, but what is clear from most manufacturers is that the cost of manufacture of solar modules will also continue to fall, and in some cases quite dramatically. Renew Economy

Green energy and job creation

A new report by the Department of Energy touts the job-creation record of green energy loans. Using DOE's own data, the Institute for Energy Research has calculated that the DOE spent $11.25 million for each job created.

The DOE website separates jobs created into "permanent" and "construction," the latter being temporary jobs created to build out the projects. DOE says that the $30.5 billion given so far in loan guarantees has produced roughly 60,000 jobs. Deseret News

Greenbriar Agrees to Purchase 80-Megawatt Wind Project in Utah

Greenbriar, based in Vancouver, didn’t name the seller or provide terms in a statement.

The company is led by Chief Executive Officer Jeff Ciachurski, who resigned March 1 as CEO of Western Wind Energy Corp. (WND) and has said he’s modeling Greenbriar’s business on his former employer. Bloomberg Businessweek

UPS plans on more natural gas‐powered trucks, stations

United Parcel Service Inc. said Tuesday it plans to buy about 700 natural gas-powered tractor trailers and build four refueling stations by the end of next year.

The logistics company is investing more aggressively in natural-gas vehicles and natural-gas infrastructure given that natural-gas prices are 30% to 40% lower than imported diesel and the U.S. natural-gas production is gearing up, UPS said.

The company has more than 1,000 natural-gas powered vehicles on the road worldwide, part of a fleet of around 2,600 alternative-fuel vehicles, which also include electric hybrids and all-electric vehicles.

The company already has 112 tractor trailers out of stations in Nevada, Arizona, and Utah, and has its own LNG fueling station in Ontario, Calif., it said. Market Watch

Legislature studies 'local option' gas tax

Fuel-efficient vehicles, including hybrids and natural gas vehicles, help reduce pollution and can save drivers money at the pump — but they are also causing a nationwide concern as state governments attempt to make up for lost gas tax revenue.

Several studies, including one from Cambridge Energy Research Associates, shows America’s appetite for oil waning. Since a peak demand in 2007, demand of oil in America has been steadily and dramatically declining, with an expected continual drop of at least 7 percent over the next quarter century. While various factors can be attributed to this phenomena — including an aging population that is driving less —the main factor is that vehicles are becoming more fuel efficient.

According to J.P. Powers and Associates, fuel efficiency is the number one factor people take into consideration when purchasing a vehicle.

The problem comes from the fact that revenue from the 24.5-cent state gasoline tax used for repairing and maintaining roads — called the B and C fund — has been dropping, along with gas purchases. That means less money for the roads. These funds are not used on new projects, but to maintain current roads.

B and C road funds are collected by the state and distributed to counties and municipalities based on miles of road and population. In 2012, Utah spent $124 million for B and C road funds, of which approximately $1.5 million went to Iron County, $1.3 million went to Washington County and $1.5 million went to Garfield County.

With budgets shrinking, the state legislature is mulling ideas to raise more money for roads, including the possibility of a local option gas tax.

Iron County Commissioner Alma Adams said at Monday’s county commission meeting that such a program would see counties and cities opting into a tax to the tune of 5 to 10 cents per gallon. If they opt in, they would get an additional 10 percent in funding while they would lose 20 percent of funding if they opt out.



County Commissioner Dale Brinkerhoff suggested that increasing the tax on natural gas vehicles could be a better alternative. Currently natural gas is taxed at 8.5 cents per gallon as opposed to gasoline’s 24.5 cents per gallon.

Cedar City resident Ryan Gunn believes an increase in price at the pump for natural gas vehicles wouldn’t make it worthwhile to own one, citing increased costs when it comes to initial purchase price, conversion prices and maintenance.

While the final solution may not be popular, Kevin Kitchen, public information officer for the Utah Department of Transportation said something will need to happen to reverse the trend.

“We will do what the legislators tell us,” Kitchen said. “This is a problem every (department of transportation) across the country is facing.” The Spectrum

Utah No. 3 in the country for geothermal power

Geothermal power production grew in the United States by 5 percent last year, with Utah ranked No. 3 in the country for its generation of power by tapping super-heated water thousands of feet underground.

Highlights of geothermal power's growth, the number of projects in development and challenges in developing the renewable energy were detailed in an industry briefing Tuesday in Washington.

The United States is the No. 1 producer of geothermal power in the world, with 3,386 megawatts of installed capacity, according to numbers released by the Geothermal Energy Association. Seven new projects came online last year, including the first hybrid solar-geothermal plant.

Across the country, 175 geothermal projects are in development, and as many as 14 more plants could be operational this year if they meet construction schedules.

California remains the top producer of geothermal energy, with 2,732.2 megawatts of installed capacity, and 33 projects in the wings. Nevada is next at 517 megawatts of installed capacity, followed by Utah at 48 megawatts. The majority of that comes from Rocky Mountain Power's Blundell plant, with power that stays in Utah.

"We actually really like geothermal energy," said Samantha Mary Julian, director of the Utah Office of Energy Development. "It is truly a clean, renewable energy and it has a unique quality that the others do not. It is a base power that goes all the time, not just when the wind is blowing or the sun is shining. It's just a clean product."

The report notes that Utah has 19 projects on the table with the potential to develop between 260 and 280 megawatts of power — and a handful of more prospects in the very early stages. Deseret News

Utility offering expanded solar incentives for Utah homes, businesses

Rocky Mountain Power customers can apply to receive cash incentives to help them offset the cost of installing solar energy systems on their homes and business this coming year.

The utility’s expanded Solar Incentive Program, which was authorized late last year by the Public Service Commission, is designed to provide $50 million to Utah residents over the next five years.

Potential participants, however, only have a limited time to apply. They must submit applications by Jan. 28, said Jeff Hymas, spokesman for Rocky Mountain Power.

Hymas explained the incentives amounts are for:

• Residential systems —$1.25 per watt up to a maximum of 4 kilowatts, or 4,000 watts
• Small businesses, churches, etc. — $1 per watt up to a maximum of 25 kilowatts, or 25,000 watts
• Large businesses — 80 cents per watt up to a maximum of 1,000 kilowatts, or 1 million watts

Based upon those numbers, a Utahn who wants to put a 4 kilowatt system on a home could get as much as $5,000 to help offset the cost of the project.


Joe Raycraft of Utah Solar & Alternative Energy Inc. in Park City estimated that a 4-kilowatt system would cost around $12,000 to $13,500 to install. "So, Rocky Mountain Power’s incentive could help offset quite a bit of the cost," he said.

He said the interest in solar power systems has been growing in recent years. More recently it has been given a boost by both the rising cost of electricity produced from the more traditional sources and the declining cost of solar power equipment.

In 2013, Rocky Mountain Power is hoping to provide funding to help Utah homeowners build solar power systems capable of producing a total of 500 kilowatts of electricity. It has funding to encourage small-business owners to build systems capable of producing 3,000 kilowatts of power and 3,000 kilowatts at large businesses.

"In addition to reducing the cost to install solar equipment, these incentives can help participating customers save money year after year through lower electricity bills," said Karen Gilmore, Rocky Mountain Power’s vice president of customer services.

Just as important, the incentive program also provides benefits to utility customers who don’t participate by reducing overall electricity use and demand on the utility’s system.

"Our analysis shows a net benefit of $1.63 for every dollar we put into the [solar incentive] program," Gilmore said.

To apply for the program, go to www.rockymountainpower.net/solar. Rocky Mountain Power will notify all applicants of the results of the lottery on Feb. 8. Salt Lake Tribune

2013: A Cloudy Forecast for Renewable Energy, With a Silver Lining

On the surface, it looks like the renewable energy industry has never been healthier. This year, wind-turbine installation in the U.S. actually outpaced the installation of new natural gas capacity—despite the shale gas boom, which has pushed down the price of natural gas. In 2012 new wind capacity reached 6,519 MW as of Nov. 30, just edging out gas capacity and more than doubling new coal installations. Meanwhile new solar capacity in the U.S. reached nearly 2,000 MW, beating out 2011′s numbers. Globally the stock of installed wind and solar power hit 307 GW in 2011, up from 50 GW in 2004, while total investment in the sector hit $280 billion last year. Those are some bright numbers.

Yet there are clouds on the horizon for renewables. (Sorry—weather metaphors are hard to avoid with wind and solar.) The wind industry faces the loss of the valuable production tax credit next year if Congress won’t renew it—and indeed, some of the growth the industry experienced this year may be due to companies rushing to get their projects in while the credit is still in place. (And those capacity figures comparing wind to gas or coal are a bit misleading—the intermittency of renewables means that a MW of wind doesn’t deliver the same amount of actual juice as a MW of gas.) The solar industry faces serious global oversupply, which has driven a number of manufacturers in the U.S. and elsewhere into bankruptcy, and while helped depress the recent IPO of the major panel installer Solarcity. According to the Financial Times, total investment in wind and solar in 2012 may well fall compared to 2011—the first time that’s happened in nearly a decade.

Read more: TIME

Index Launch Reveals Significant Differences in Countries' Energy Systems

• New Global Energy Architecture Performance Index Report ranks energy systems of 105 countries from an economic, environmental and energy security perspective.
• Norway, Sweden and France top the ranking; OPEC countries and the USA languish outside the top 50.
• Purpose of the index is to help countries position themselves for the widespread transition that is expected in the global energy system.
• Explore the interactive report map (above) and executive summary; see the rankings and the full report.

Geneva, Switzerland, 11 December 2012 – High-income countries are leading the transition to a new energy architecture but still have work to do on environmental sustainability, according to the Global Energy Architecture Performance Index Report 2013, released today by the World Economic Forum.

For the full release and supporting information, please visit: World Economic Forum

Cutting Utah air pollution key for business, health

Improving air quality is good for the economy and for health, one of the world’s leading pollution scientists told a legislative task force Thursday.

C. Arden Pope, a Brigham Young University economist, said that for every dollar spent on cutting air pollution there are around $10 in savings — because health care costs go down, premature deaths decrease and other measurable savings are realized. Pope noted that he could not quantify the costs and benefits of clear air in Utah.

The lawmakers and industry representatives who are part of the Legislature’s Economic Development Task Force had lots of questions for Pope, whose studies on the links between pollution and health form part of the foundation of the nation’s air-pollution regulations.

The panel wrapped up its second day of presentations Thursday on how pollution hurts the state’s quality of life and drives away prospective businesses. Salt Lake Tribune

Occupations Related to Electric Vehicles

Did you know that electric vehicles actually outsold gas-powered vehicles in the early 1900s? Now they’re making a comeback! Electric vehicles are better for the environment, and – given the rising cost of gas prices – might also be more affordable over the long run. This industry employs a variety of workers in Research, Engineering, Manufacturing, and Maintenance. For example, there are research scientists who are focused on improving battery technology, including a group at Utah State University who just received a $3 million grant improve electric vehicle battery performance. Chemical, electrical, industrial and mechanical engineers all play a role in the design, development, and testing of electric vehicles and the various systems involved in making those vehicles run efficiently. The largest concentration of U. S. workers in electric vehicle manufacturing occupations (assemblers, CNC tool operators, and machinists) is in the Great Lakes region, but workers that maintain electric vehicles are needed all across the country. No matter what the occupation, people who work on electric vehicles require specialized training. 

You can learn more about these occupations, and find schools that offer related programs via UtahFutures. You might also be interested in this article in the Occupational Outlook Quarterly: Electric Vehicle Careers: On the Road to Change. And – just for fun – learn about an electric vehicle company on “our side” of the country: Tesla Motors. Tesla’s Chief Technical Officer got his start in the industry at age 14 when he discovered a discarded golf cart and re-built it!UTAHCTE

Link between clean air and healthy Utah business environment explored

Economic development officials can’t help but dread recruiting tours on those winter days when northern Utah’s air is choked with pollution.

It happened last year, when foul air prompted representatives of a sophisticated foreign solar panels company to cut short a site visit, said Jeff Edwards, president and CEO of the Economic Development Corporation of Utah.

In the end, the task force’s aim is to provide solutions, she added. "The question is, how can the Legislature help improve air quality." Salt Lake Tribune

Big-D Construction Selected As 2012 Contractor Of The Year By ENR Mountain States

Big-D Construction (www.big-d.com) has been selected by ENR Mountain States as the 2012 Contractor of the Year. Up from a #6 ranking in 2011, Big-D was also ranked #1 in the following sectors:

• Utah Building
• Green Building
• Commercial
• Distribution & Warehouse
• Government Service Buildings
• Religious and Cultural Facilities
• General Building

In addition, Big-D was listed in the Top 3 in the Idaho Building and Educational sectors.

This achievement for Big-D comes on the heels of also being selected as the 2012 "Best of State" award winner for Commercial Construction. This is Big-D's third year being named Best of State, which is an awards program created in the state of Utah to recognize outstanding individuals, organizations and businesses. Herald Online

Utah grants awarded to boost renewable energy

The U.S. Department of Agriculture has awarded grants to two Utah firms to conduct feasibility studies designed to reduce energy consumption and costs.

Salt Gulch Electric, LLC out of Boulder has received $15,000 to investigate a small hydro power project. The project, located in Garfield County, will include replacing an irrigation ditch with pipe and using its pressure to generate electricity.

The second study will be conducted by Time Energy Associates, LLC, which received a $50,000 grant to explore the benefits of constructing a wind farm in rural Utah.

The USDA, through its Rural Development agency, administers and manages housing, business and community infrastructure and facility programs through a national network of state and local offices. Rural Development has an active portfolio of more than $165 billion in affordable loans and loan guarantees. Salt Lake Tribune

Utah anti-pollution group joins worldwide network

The health-advocacy group Breathe Utah has a new funding source as a nonprofit partner of 1% for the Planet.

Breathe Utah is now eligible to receive donations from 1% member companies, roughly 1,380 of them in 43 countries.

Businesses aligned with the network made contributions that totaled more than $70 million, including $22 million in 2010

"Air pollution is a complex and complicated issue, affecting health, quality of life and the economy," said Karen Hevel-Mingo, executive director of Breathe Utah, noting that people often lack a clear understanding of how they are contributing to pollution and what they can do to make a difference. "Breathe Utah helps individuals, businesses and communities become part of the solution." Salt Lake Tribune

Utah an active player in geothermal market

Utah continues to be a strong player in the geothermal industry, outpacing most of its neighboring states in electrical generation and on tap to increase capacity with 11 projects under development.

A new report by the Geothermal Energy Association released Tuesday identifies eight additional geothermal prospects for power development  in Utah.

The annual U.S. Geothermal Power Production and Development Report tracked industry activity throughout 2011 and for the first quarter of 2012, indicating the geothermal industry experienced sustained and steady growth, adding 91 megawatts of newly-installed capacity. A megawatt is enough to power 500 homes. Deseret News

Program helps Utah residents and businesses assess wind potential

Salt Lake Community College has taken over the state's Anemometer Loan Program, which provides equipment to measure wind speeds to determine potential wind energy development. ALP collects data to help assess the economic feasibility of installing a wind turbine for residential, commercial power supplementation or determine the potential for a site to be developed into a wind farm. Deseret News


Applications for ALP will be evaluated on criteria such as wind speed predictions from existing wind resource maps, favorable topography, accessibility, and proximity to transmission lines. The most promising sites will be loaned either a 20 or 50 meter meteorological tower equipped to measure wind speed and direction at one or more elevations, typically for one year. Applications for 2012 are now being accepted through June 1, 2012.
For more information about the program or to apply, visit http://tinyurl.com/slcc-wind or contact Brandon Malman, Anemometer Loan Program manager at 801-957-5405.