March 4, 2010

Blog

Will public support for efficiency continue?

By Elisa Wood 

March 4, 2010 
 

What’s the shelf life of today’s support for energy efficiency technologies? The industry has seen an unprecedented boom over the last several years. But all booms eventually bust.  

A recent souring of public opinion about global warming science has some industry insiders bracing for impact. Will American enthusiasm for clean energy come to a halt? Only if it was global warming that spurred the enthusiasm in the first place – and I suspect it was not. 

Americans tend to make energy decisions first based on economics, second on environment. While climate change has been the mantra within the energy and the environmental community, it is dollars – coupled with energy independence concerns – that have largely driven public support. 

Consider the trajectory of today’s clean energy boom. It took off in a big way following the rapid price spikes in natural gas and oil after Hurricane Katrina in 2005. 

True, the boom sustained itself even when prices dropped again. Why? While some industry analysts credit climate change concerns, others point to turmoil in the Middle East and our desire to reduce dependence on foreign oil.  

I tend to favor the theory that we continued to see the post–hurricane price spikes in the rear-view mirror. For once our memories served us when it comes to energy policy. 

But it’s not just hindsight that will prod us to incorporate more efficiency and free-fuel renewables into the power portfolio. The road ahead indicates price increases to come for electric power, and consumers are not likely to take kindly to them. So says the 2010 annual utility industry outlook by Moody’s Investor Services:  

“The desire to refurbish, enhance and rebuild a relatively antiquated electric infrastructure is driving the need for steadily increasing rates…In our July 2009 Industry Outlook Update report, we estimated that consumers might stop tolerating rate increases at a 50%-or-so rise above the current average U.S. rate of $0.10 per kwh. At the time we wrote that, this “inflection point” would not be reached until about 2018 or 2019. Whether or not this inflection point remains the base case is unclear, but recessionary pressures on residential household budgets, and a lack of clear evidence of wage inflation, lead us to wonder whether the inflection point might arrive sooner.”

How likely are these rate increases? Moody’s cites several reasons electric rates may rise, in addition to the need for new energy infrastructure.  Roughly $65 million in utility credit facilities is set to expire in 2011 and again in 2012. At the same time, utility pension plans are underfunded by $29 billion – leaving them 78% funded at the end of 2009.

In addition, as the economic slowdown continues to deplete local government coffers, new tax revenue will be sought. Adding more taxes on utility bills is not unlikely. In some states such taxes are already the norm. New York public service commissioner Maureen Harris pointed out during a recent public meeting that of a $421 million rate hike being sought by Consolidated Edison, $140 million is attributable to taxes.

Climate change concerns or no, with so much pressure on electricity rates, the American consumer is likely to continue to support energy efficiency as a quick, low-cost way to reduce energy bills. 

To comment on the blog, go to

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http://energyefficiencymarkets.blogspot.com/ 

Podcast

Challenges of getting EE funding for startups part 1

Lisa Cohn of Energy Efficiency Markets interviews Dan Pauley, principal, American Renewable Energies, about why it's tough for small- to mid-sized businesses to get startup funding in EE.

To listen and subscribe to Energy Efficiency Markets Podcast, go to

http://www.realwriters.net/rew/rtlnk.htm

Coming Soon: Energy Efficiency Incentives for Businesses 2010

Volume 1: Eastern States

By Elisa Wood and Lisa Cohn

For information about pre-ordering the guide at reduced rates, please e-mail us at realenergywriters@comcast.net

News

Obama proposes 'homestar' rebates for energy efficiency retrofits

http://www.sustainablebusiness.com/index.cfm/go/news.display/id/19867

Light inspires energy efficient building design

http://www.nrel.gov/features/20100301_windows.html

US utilities spent $5.3 billion on energy efficiency in 2009, but costs are underestimated

http://www.energyboom.com/emerging/us-utilities-spent-53-billion-energy-efficiency-2009-costs-are-underestimated

Ford's energy efficiency efforts earn fifth ENERGY STAR award

http://www.prnewswire.com/news-releases/fords-energy-efficiency-efforts-earn-fifth-energy-star-award-85832407.html

EPA again names CEMEX USA the 2010 ENERGY STAR partner of the year

http://www.marketwatch.com/story/epa-again-names-cemex-usa-2010-energy-starr-partner-of-the-year-2010-03-02?reflink=MW_news_stmp

How to institute energy efficiency in buildings with zero upfront cost

http://www.greentechmedia.com/articles/read/making-energy-efficiency-easy-to-finance/

Business opportunities & requests for proposals

The New York State Energy Research and Development Authority

NYSERDA seeks projects that provide the installation of energy conservation measures including: energy efficiency, renewable energy, and clean fleet projects. Eligible Proposers include municipal governments, public K-12 schools, public universities or colleges, public and private hospitals, and not-for-profits.

Proposals are due by April 7.

Program Questions should be directed to Ben Fox, 866-697-3732, ext. 3444, bf2@nyserda.org. Contractual questions should be directed to Venice Forbes, 866-697-3732, ext. 3507, vwf@nyserda.org. 

For more information go to http://www.nyserda.org/funding/1613rfp.asp 

Department of Energy

ARPA-E seeks to develop energy efficient cooling technologies and air conditioners for buildings to save energy and reduce GHG emissions from primary energy consumption due to space cooling and refrigerants used in vapor compression systems.

Intent to submit proposals are due April 2.

Questions should be directed to ARPA-E-CO@hq.doe.gov 

For more information go to

https://arpa-e-foa.energy.gov/FoaDetailsView.aspx?foaId=b5eb4b5b-34e9-49f8-8640-4d62fd90e9fe

Public Service Enterprise Group

PSEG seeks proposals for emerging energy-saving technologies that have the potential to come to market quickly. Nearly $8 million is available in this solicitation for grants that could pay the total cost of establishing a demonstration project. The state's leading energy technology organizations, including universities and small businesses, are encouraged to submit proposals.

Letters of intent are due April 16.

Questions should be directed to energy_grants@njssi.org or directed to the Technology Demonstration Program office, (732) 932-5475 ext. 868.

For more information go to http://policy.rutgers.edu/njssi/energy.asp. 

Miami Job Corps

The U.S. Department of Labor seeks small businesses to design and install two solar hot water systems at the Miami Job Corps Center in Miami Gardens, Florida.  The work must comply with requirements of Leadership in Energy and Environmental Design (LEED) or similar sustainability goals. The estimated budget is $100,000 to $500,000. 

Proposal is due by March 18.

Questions should be directed to Frank Lalumiere, (202) 401-8275

For more information go to

https://www.fbo.gov/index?s=opportunity&mode=form&id=31cb8085abdfdf89cc3bcaf9a0a2914c&tab=core&_cview=0

The Pennsylvania Public Utility Commission

The PUC seeks the services of an alternative energy credits administrator to assist the commission in implementing the Alternative Energy Portfolio Standards Act. The winner will verify utility and generation suppliers, calculate requirements on a quarterly basis, review applications for alternative energy system status, and respond to inquiries about credits.

Proposals are due by March 29.

Questions should be directed to the issuing officer, Wayne Williams at (717) 787-2139, waywilliam@state.pa.us.

For more information go to http://www.puc.state.pa.us/general/press_releases/press_releases.aspx?ShowPR=2457

The Vermont Clean Energy Fund

The fund seeks projects that promote cost-effective and environmentally sustainable power, thermal or geothermal resources, including combined heat and power.

Proposals are due by March 12.

Questions should be directed to Andrew Perchlik, (802) 828-4017, andrew.perchlik@state.vt.us

For more information go to http://publicservice.vermont.gov/energy/ee_files/cedf/Febuary2010CleanEnergyDevelopmentFundRFP_final.pdf

The Environmental Security Technology Certification Program

The program seeks demonstration projects that can validate environmental technologies for the Department of Defense.   At this stage, it welcomes pre-proposals for innovative environmental and energy technology projects, including energy efficiency initiatives, which may be candidates for DOD funding.   Awards will take the form of contracts.

Pre-proposals are due by March 4.

Questions should be directed to Danielle Billings, (703) 428-6123.

For more information go to

http://www.estcp.org/opportunities/index.cfm 

The U.S. Environmental Protection Agency 

The EPA requests proposals for advanced vehicle R&D to improve fuel efficiency and reduce emissions. Through this RFP, the EPA seeks research that investigates the effect of the piston bowl design on fuel-air mixing and combustion in direct injection engines. The EPA seeks details on the influence of in-cylinder fuel spray injection pressure, spray patterns, liquid and vapor fuel penetration, injection timing and duration, nozzle geometry, ignition timing for best performance, as well as the effect of exhaust gas re-circulation on combustion process and emissions.

Proposals are due by March 5. 

Questions should be directed to Fakhri Hamady, (734) 214 4330, hamady.fakhri@epa.gov.

For more information go to

http://www.epa.gov/air/grants/OTAQ_1_10.pdf

California Energy Commission

The CEC requests proposals for the Energy Innovations Small Grant Transportation Program that will support research on vehicle energy efficiency and alternative fuels. The research will provide tools and methods to produce data and understanding that will help decision-makers.

Proposals are due March 30.

Questions should be directed to (619) 594-1049, eisg@projects.sdsu.edu.

For more information go to 

http://www.energy.ca.gov/contracts/smallgrant/10-01T_electricity/Application_Manual_10-01T_electricity.pdf

National Grid expects to generate jobs for ESCOs

National Grid expects to rely heavily on energy efficiency service companies to provide work under a new program proposed in Massachusetts that expands the utility efficiency offerings three-fold between 2010 and 2012.  The utility says it plans to use competitive bidding to identify qualified energy efficiency service companies that will provide much of the work. The proposal is under review before the Massachusetts Department of Public Utilities. The utility wants to expand spending on electric efficiency from $85 million in 2009, to $570 million between 2010 and 2012, and natural gas efficiency from $20 million in 2009 to nearly $200 million. Details are available at: https://www.nationalgridus.com/masselectric/a3-1_news2.asp?document=4594

The Department of Energy

The DOE is offering $210 million in 2010 weatherization funds to state governments and Native American tribes.  States and tribes use the funds to weatherize low-income households.  The DOE will make 58 awards, each no higher than $15 million and no lower than $79,000. 

Proposals are due August 1.

Questions should be directed to Amanda Lopez, (304) 285-4220, amanda.lopez@netl.doe.gov.

For more information go to

http://www07.grants.gov/search/search.do?&mode=VIEW&flag2006=false&oppId=50891. 

Puget Sound Energy

PSE seeks to enhance its programs for helping customers use less energy. PSE estimates that energy efficiency could lower the utility's power-capacity need by about 500 MW by 2016.

Applications are due by March 2.

Questions or comments should be directed to rich.hazzard@pse.com. 

For more information go to http://www.pse.com/energyEnvironment/energysupply/Pages/pse2010RFP.aspx. 

The New York State Energy Research and Development Authority 

NYSERDA seeks partners to deliver energy efficiency training programs in New York. The goal is to train workers for jobs being created as a result of the state’s energy efficiency portfolio standard.

Open enrollment, applications accepted through August 1

For Technical questions please contact: Kelli Herndon, kmh@nyserda.org.



For more information please visit http://www.nyserda.org/funding/1816pon.asp

The New York State Energy Research and Development Authority

The FlexTech Program from NYSERDA seeks customers interested in study of efficiency, process improvement, peak-load reduction, energy procurement, and peak-load curtailment plans for their facilities. The program also offers analysis of possible combined heat & power and renewable generation installations.

Applications are accepted on a first-come, first-serve basis through December 15, 2011.

For technical questions please contact Clararose Voigt or Joanna Moore, cfv@nyserda.org.

For more information go to http://www.nyserda.org/funding/1746pon.asp  

The New Jersey Economic Development Authority

Money is available for companies to site Class I renewable energy or energy efficiency product manufacturing facilities in New Jersey. New Jersey clean technology manufacturers can receive funding for project assessment and design, or project construction and operation.

Applications are now being accepted in an open, rolling process and will be reviewed on a first-come, first-serve basis.

Questions should be directed to EdisonCEMF@njeda.com, (866) 534-7789

For more information go to http://www.njeda.com/web/Aspx_pg/Templates/Npic_Text.aspx?Doc_Id=1085&menuid=1287&topid=718&levelid=6&midid=1175

The New York State Energy Research and Development Authority 

NYSERDA invites proposals for projects that develop, demonstrate or commercialize innovative ultraviolet light or electron beam technologies. The projects must provide energy benefits for an industrial process in New York’s manufacturing sector. 

Proposals are due March 10.

Technical questions should be directed to one of the project managers at (518) 862-1090, Scott Larsen, ext. 3208, lsl@nyserda.org, Bill Reinhardt, ext. 3257, wwr@nyserda.org. Contractual questions should be directed to Nancy Marucci, ext. 3335, nsm@nyserda.org. 

For more information go to http://www.nyserda.org/funding/1641pon.asp.  

Upcoming Events         

ACI New Jersey Home Performance Conference 2010: March 4 - 5, Atlantic City, NJ.

http://www.affordablecomfort.org/event/aci_new_jersey_home_performance_conference_2010

2010 IEEE PES Transmission and Distribution Conference and Exposition: April 19 - 22, New Orleans.

http://www.ieeet-d.org/

GreenNet 2010: April 29, San Francisco.

http://events.earth2tech.com/greennet/10/

The Networked Grid 2010: May 18 - 19, Palm Springs, California.

http://www.greentechmedia.com/events/live/the-networked-grid-2010/

Job Listing

Email us at realenergywriters@comcast.net to list your EE job.

Recommended Reading

US Solar Spins 360

http://www.renewableenergyworld.com/rea/news/article/2009/12/us-solar-spins-a-360

Where Are the Green Collar Jobs You Promised, Mr. President

http://pepei.pennnet.com/display_article/370851/17/ARTCL/none/none/1/Where-are-the-green-collar-jobs-you-promised,-Mr-President?/

Monitoring Geothermal Heat Pump Performance  

http://www.onsetcomp.com/resources/white_papers

Full House at Solar Power International 2009

http://www.realwriters.net/rew/spi1.pdf.pdf

Lisa Cohn’s new Energy Blog

Read and comment on Lisa Cohn's new energy blog, Cohn's Corner, for SNL Energy:

http://www.snl.com/Interactivex/article.aspx?CdId=A-10734374-11318

Check out stories we are writing on twitter.com

Podcast Suggestions?

We are open to suggestions for our popular podcast, which attracts up to 240 new subscribers a day. We are now seeking interviews with efficiency experts who can walk us through hypothetical projects and discuss efficiency changes they would recommend to clients. Contact us at realenergywriter@comcast.net.  

Editor: Reid Smith

realenergywriter@comcast.net

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