The Vermont legislature has voted to create the state's first renewable energy standards for electric utilities. The bill, H.40, changes the way Vermont encourages the generation and use of renewably derived electricity.
Like most states, Vermont law has encouraged renewable energy development for over a decade. In 2005 the state legislature created the Sustainably Priced Energy Enterprise Development, or SPEED, program to promote
renewable energy development. Under SPEED, the state encouraged its 18 utilities to enter into
long-term contracts for power from renewable energy sources, with a goal that utilities source 20% of their supply from qualifying SPEED resources
by 2017. The SPEED program's goal has been to promote the development of in-state
energy sources which use renewable fuels to ensure
that to the greatest extent possible the economic benefits of these new
energy sources flow to the Vermont economy in general and to the rate
paying citizens of the state in particular.
But between recent controversy over possible "double counting" of renewable energy attributes produced and sold by Vermont utilities, and perennial interest in refining state energy policy, this year the Vermont legislature pursued H.40 as an attempt to fix Vermont's renewable energy programs. H.40 will replace the SPEED goals with a Renewable Energy Standard and Energy
Transformation, or RESET, program. The RESET program includes a renewable portfolio standard requiring that 55 percent
of a utility’s electricity come from renewables, including large-scale
hydro power, by 2017, increasing 4 percentage points every three years until reaching 75% by 2032.
The bill also gives utilities an entrance into financing thermal
efficiency for heating and cooling. It will require utilities to offer incentives and on-bill financing for
projects like weatherization and heat pumps. To monitor and protect against impacts to customer rates, H.40 requires annual reports starting in 2018 on the RESET program's impact on electric rates, including 10-year forward projections.
It also allows utilities to seek waivers if they can show that compliance would
increase electric rates.
Previous efforts to institute a mandatory renewable energy standard in Vermont were not successful, but this year versions of H.40 have now been approved by both chambers of the state legislature. The Vermont House of Representatives passed H.40 on March 10, and the Senate approved an amended version on May 15.
Energy powers society; society's choices shape energy policy. A blog about our energy resources and the choices they present for society.
Showing posts with label goal. Show all posts
Showing posts with label goal. Show all posts
Questions about EPA regulation of power plant carbon emissions
Friday, October 31, 2014
This week the U.S. Environmental Protection Agency issued a public notice relating to its Clean Power Plan, the agency's proposed rule to reduce carbon emissions from the nation's existing power plants. The notice reiterates questions raised by commenters about issues including the redispatch from coal- to natural gas-fired generation and near-term carbon reductions through 2029.
The Clean Power Plan imposes a federal carbon emissions rate (stated in pounds of carbon emitted per megawatt-hour of electric energy generated) for each state. The rule is designed to offer states flexibility in developing plans to achieve that level of carbon intensity, and features four proposed "building block" elements that states may choose to include in their program design: increased coal plant efficiency, increased utilization of natural gas plants, increased renewable energy, and increased energy efficiency. Collectively, EPA projects that by 2030 the Clean Power Plan's implementation will reduce power plant carbon emissions 30 percent below 2005 levels.
Since EPA published its proposal on June 18, 2014, the agency has held at least eight days of public hearings in four cities, attended by over 2,700 people, of whom nearly half spoke or otherwise weighed in. The draft Clean Power Plan was originally scheduled for public comment through October 16, but EPA extended the comment period by 45 days (until December 1, 2014) in response to both the volume of comments and numerous requests for additional time.
On October 28, EPA issued a notice of data availability related to the proposed Clean Power Plan. EPA routinely issues such a notice, or NODA, to provide the public with a targeted opportunity to consider and comment on emerging technical issues and data related to an ongoing rulemaking. EPA's Notice of Data Availability Related to the Proposed Clean Power Plan (PDF) provides additional information on several topics raised by stakeholders and solicits comment on the information presented. The three topics covered in the notice are the emission reduction compliance trajectories created by the interim goal for 2020 to 2029, certain aspects of the building block methodology, and the way state-specific carbon dioxide goals are calculated.
EPA's interim goals govern emission reductions over the 2020-2029 period, as states transition to energy resources with lower carbon intensity. Some stakeholders have expressed concern that, as proposed, the interim goals do not provide enough flexibility for some states which may be forced to rely heavily on re-dispatch from fossil steam generation (e.g., coal- , oil-, or gas-fired boilers) to natural gas combined cycle units to achieve the required reductions, and that this effect of the interim goals severely limits the opportunity to fully take advantage of the remaining asset value of existing coal-fired generation -- particularly challenging with the threat of a "polar vortex" or other disruptive weather event. EPA requests comment on these interim goals and whether they afford suitable flexibility.
Stakeholders have also raised questions about the building blocks available to states as they design compliance programs. In particular, building block 2 focuses on shifting utilization from coal- and other fossil-fired steam power plants to more carbon-efficient natural gas combined cycle plants. Building block 3 focuses on renewable energy and nuclear power. In response, EPA requests comment on ways that building block 2 could be expanded to include new natural gas combined cycle units and natural gas co-firing in existing coal-fired boilers and ways that state-level renewable energy targets could be set based on regional potential for renewable energy.
Stakeholders have also noted concerns with the way the state-specific carbon dioxide goals are calculated. These include concerns that the numeric formula for calculating each state's goal is not consistent in its application of the best system of emission reduction (BSER) for each building block, and concerns with the use of data for the single year 2012.
EPA's Clean Power Plan is now open for public comment through December 1, 2014.
The Clean Power Plan imposes a federal carbon emissions rate (stated in pounds of carbon emitted per megawatt-hour of electric energy generated) for each state. The rule is designed to offer states flexibility in developing plans to achieve that level of carbon intensity, and features four proposed "building block" elements that states may choose to include in their program design: increased coal plant efficiency, increased utilization of natural gas plants, increased renewable energy, and increased energy efficiency. Collectively, EPA projects that by 2030 the Clean Power Plan's implementation will reduce power plant carbon emissions 30 percent below 2005 levels.
Since EPA published its proposal on June 18, 2014, the agency has held at least eight days of public hearings in four cities, attended by over 2,700 people, of whom nearly half spoke or otherwise weighed in. The draft Clean Power Plan was originally scheduled for public comment through October 16, but EPA extended the comment period by 45 days (until December 1, 2014) in response to both the volume of comments and numerous requests for additional time.
On October 28, EPA issued a notice of data availability related to the proposed Clean Power Plan. EPA routinely issues such a notice, or NODA, to provide the public with a targeted opportunity to consider and comment on emerging technical issues and data related to an ongoing rulemaking. EPA's Notice of Data Availability Related to the Proposed Clean Power Plan (PDF) provides additional information on several topics raised by stakeholders and solicits comment on the information presented. The three topics covered in the notice are the emission reduction compliance trajectories created by the interim goal for 2020 to 2029, certain aspects of the building block methodology, and the way state-specific carbon dioxide goals are calculated.
EPA's interim goals govern emission reductions over the 2020-2029 period, as states transition to energy resources with lower carbon intensity. Some stakeholders have expressed concern that, as proposed, the interim goals do not provide enough flexibility for some states which may be forced to rely heavily on re-dispatch from fossil steam generation (e.g., coal- , oil-, or gas-fired boilers) to natural gas combined cycle units to achieve the required reductions, and that this effect of the interim goals severely limits the opportunity to fully take advantage of the remaining asset value of existing coal-fired generation -- particularly challenging with the threat of a "polar vortex" or other disruptive weather event. EPA requests comment on these interim goals and whether they afford suitable flexibility.
Stakeholders have also raised questions about the building blocks available to states as they design compliance programs. In particular, building block 2 focuses on shifting utilization from coal- and other fossil-fired steam power plants to more carbon-efficient natural gas combined cycle plants. Building block 3 focuses on renewable energy and nuclear power. In response, EPA requests comment on ways that building block 2 could be expanded to include new natural gas combined cycle units and natural gas co-firing in existing coal-fired boilers and ways that state-level renewable energy targets could be set based on regional potential for renewable energy.
Stakeholders have also noted concerns with the way the state-specific carbon dioxide goals are calculated. These include concerns that the numeric formula for calculating each state's goal is not consistent in its application of the best system of emission reduction (BSER) for each building block, and concerns with the use of data for the single year 2012.
EPA's Clean Power Plan is now open for public comment through December 1, 2014.
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