Archive for July 16, 2013

TVA’s Solar Balance Limits Have Riled Some Providers

Some solar providers are chafing at limits TVA has set as it attempts to balance large solar farm installations with more smaller home rooftop solar installations. (Lance Murphey)

Solar providers in Tennessee are chafing at the limits TVA has set as it attempts to balance large solar farm installations with more smaller home rooftop solar installations. Memphis Light, Gas and Water Division is the authority’s largest customer and solar installations in the Memphis area are dominated by the large solar installation at Agricenter International and the solar farm in rural West Tennessee along Interstate 40. “We’ve actually got a balance that we are looking for,” said Chris Stanley, spokesman for TVA. “TVA overall is looking to balance our portfolio and move into cleaner energy sources. We are looking at natural gas. We’ve had a lot of hydro this year thanks to some rains earlier in the year. … We’re looking to just change the balance so we are running cleaner by 2020.”

That solar power is also more expensive for TVA, which buys it at market rate plus a premium rate of 8 cents. The premium above market rate goes directly from TVA to the providers that sell it to a local utility.
For the 2013 slate of projects, TVA has decided to reopen applications for 2.5 megawatts in the Green Power program.
The Tennessee chapter of the Solar Energy Industry Association is urging TVA directors to drop the system of caps based on the calendar year in both programs.

Steve Johnson, the president of LightWave Solar, the provider that has an office in Memphis, estimated the 2.5 megawatts is enough capacity to last about a day. The association had been hoping for 5 megawatts to be back on the market as what it termed “a stopgap measure to prevent workforce erosion and business impacts in the short term.”
“Consumer demand for solar energy has grown faster than TVA’s ability to adjust, therefore leaving the market underserved, restricting the investment of private capital and creating unnecessary uncertainty for businesses,” said Gil Hough, president of the Tennessee chapter in calling for a “fair and market driven” approach to solar energy development.

But there are market pressures TVA is taking into account that are also factors for those in the solar energy industry. TVA spokesman Duncan Mansfield said that, just because TVA has filled its capacity in Green Power Providers does not mean TVA is turning down any further solar generation.

“It just means we don’t have any more money for incentives this year. We still have plenty of capacity to buy solar power at market rates,” he said.

Mansfield noted that TVA recently signed agreements with Pickwick Electric Cooperative to develop the two largest solar energy installations in the state in Selmer. The two 20-megawatt solar farm projects will sell electricity to TVA at a market rate of 8 to 9 cents per kilowatt-hour instead of the 19 cents per kilowatt-hour that TVA pays through Green Power Providers.

Do we want to control our energy future, or continue to rent it from other countries?

We will choose, either actively or subjectively

Do we want to control our energy future, or continue to rent it from other countries? This is the overarching question that we, the citizens of these United States, have to answer. It is decision making time. If we do not express our individual feelings about how our country moves forward to meet the energy challenges of today and of tomorrow, then we have only ourselves to blame. This question was raised by Hal Harvey, the chief executive of Energy Innovation, in an article by NY Times Thomas L. Friedman Op-Ed Columnist in a July 2, 2013. As Mr. Friedman so acutely points out. “We also have to ensure that cheap natural gas displaces coal but doesn’t also displace energy efficiency and renewables, like solar or wind, so that natural gas becomes a bridge to a clean energy future, not a ditch. It would be ideal to do this through legislation and not E.P.A. fiat, but Republicans have blocked that route, which is pathetic because the best way to do it is with a Republican idea from the last Bush administration: a national clean energy standard for electricity generation — an idea the G.O.P. only began to oppose when Obama said he favored it.”

Such a standard would say to every utility: “Your power plants can use any fuel and technology you want to generate electricity as long as the total amount of air pollutants and greenhouse gases they emit (in both fuel handling and its electricity conversion) meet steadily increasing standards for cleaner air and fewer greenhouse gases. If you want to meet that standard with natural gas, sequestered coal, biomass, hydro, solar, wind or nuclear, be our guest. Let the most cost-effective clean technology win.”

Is this consistent with the position that Senator Alexander has publicly stated, let the most cost-effective technology win? The one word omitted from the Senator’s message was the word “clean” which I am sure he would agree with having fought these many years for our natural resources such as preserving the environment of our own Smokies. Why not resurrect the Republican idea for a national clean energy standard for electricity generation? You must decide: “Is this in the best interests of our nation?”

Times article

US Utility Business Model Woes

Jennifer Runyon is managing editor of RenewableEnergyWorld.com

Jennifer Runyon, managing editor of RenewableEnergyWorld.com, had a three minute conversation with Dr. Stephen Chu, former Energy Secretary that emphasized the need for electric generators and distributors to change their business model to reflect the addition of renewables, particularly solar PV, as a significant addition to the energy mix. Chu feels that utilities ought to own solar panels and energy storage systems that they put on their customers’ roofs and in their garages. He said if utilities could outfit homeowners with solar panels and a 5-kW battery system, they could continue selling that customer power just as they do now. The utility would own the system, maintain the system and the customer would have no out-of-pocket expenses for it other than continuing to buy power at the same rate or at perhaps an even lower rate. This would nicely fit into the TVA distributors future business model for distributed solar installations while preserving the distributor’s mission of providing their customer base with high quality, reliable electric power.

When it’s just a quarter or a half of one percent of a utility’s customers that have their own PV and are selling their solar power to the grid at the retail rate, the utility doesn’t care. But energy storage and PV panel costs are dropping, and once that percentage of utility customers’ that are zeroing out their bill goes to 5, 10 or 15 percent then “it’s a big deal” said Chu.

Chu said he told utilities that PV and energy storage is going to come and they should “form a new business model” NOW so that what today is a potential revenue loss, could become an area of growth for them in the future. Plus, he said this model would eventually lead to a more stable grid for us all.

TSEA’s suggested micro-investment model suggested for TVA would complement the distributor’s suggested model, supplying solar energy at the most affordable prices with ownership of large solar farms in the hands of the ratepayer investors. The TSEA model avoids having to loan money from banks; instead, it will earn interest on the monies deposited in investments increasing the income the ratepayer investors make. The question is whether TVA and its distributors will accept these business model changes.

Runyon’s article

FREE NABCEP 40 HOUR TRAINING WITH THE NABCEP ENTRY LEVEL EXAM


Steve,
I wanted to inform you of some free solar classes I will be putting on. The 40 hour NABCEP course and exam will be given in all three regions of Tennessee. The first one will be in Middle Tennessee ( Spring Hill ) the week of July 22. The second class will be in East Tn , probably the last week of August and probably in Johnson City. The third will probably be in Jackson the week of September 9. The reason I don’t have specifics is that I am still working on venues for east and west Tennessee. If you could please spread the word so we can fill the classes. This is through Tennessee Department of Environment & Conservation; Office of Energy Programs.

Sincerely,
Earl

Earl Pomeroy
UT/CIS, TMEP
6615 Allen Road
Springfield, TN 37172
Office: 615-384-0629
Cell: 615-347-4381
Fax: 615-532-4937
Email: earl.pomeroy@tennessee.edu

Energy Department Announces Over $16 Million for Innovative Small Businesses Focused on Energy Technologies

To highlight President Obama’s focus on small businesses as leaders in an economy built to last, Acting Secretary of Energy Daniel Poneman today announced that the Energy Department will award 88 grants to small businesses in 28 states to develop clean energy technologies with a strong potential for commercialization and job creation.
original article