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Archive for the ‘Electricity Distribution’ Category

MendoCoastCurrent, June 25, 2010

The Federal Energy Regulatory Commission (FERC) today proposed to build on its Order No. 890 open access transmission reforms by establishing a closer link between regional electric transmission planning and cost allocation to help ensure that needed transmission facilities actually are built.

The Notice of Proposed Rulemaking (NOPR) is based on an extensive record: three years of monitoring implementation of Order No. 890, three regional technical conferences and examination of more than 150 sets of comments filed in response to an October 2009 request for comment on transmission planning and cost allocation. It proposes and seeks comment on requiring:

  • Transmission providers to establish a closer link between cost allocation and regional transmission planning by identifying and establishing cost allocation methods for beneficiaries of new transmission facilities;
  • Transmission planning to take into account needs driven by public policy requirements established by state or federal laws or regulations;
  • Neighboring transmission planning regions to improve their coordination with respect to facilities that are proposed to be constructed in two adjacent regions and could address transmission needs more efficiently than separate intraregional facilities; and
  • The removal from Commission-approved tariffs or agreements provisions that provide an undue advantage to an incumbent developer so that sponsors of transmission projects have the right, consistent with state or local laws or regulations, to build and own facilities selected for inclusion in regional transmission plans.

“Our nation needs a transmission grid that can accommodate rising consumer demand for a more diverse mix of power generators and the sophisticated technology of the smart grid,” FERC Chairman Jon Wellinghoff said. “To do that, we must make sure FERC transmission policies are open and fair to all.”

A significant aspect of the proposal is the requirement that transmission planning take into account public policy requirements, such as state-mandated renewable portfolio standards. Doing so during the transmission planning process will help ensure these legal requirements are met in a way that is fair and efficient to transmission customers.

The proposal also ties cost allocation to the regional transmission planning processes to facilitate the transition from planning to implementation. This ensures that only those consumers benefiting from transmission facilities are charged for associated costs, and gives each region the first opportunity to develop cost allocation mechanisms and identify how the benefits of transmission facilities will be determined. Comments are due 60 days after publication in the Federal Register.

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MendoCoastCurrent, June 24, 2010

Public institutions and private sector organizations from across the country should form a coalition to help states, localities and regions develop and deploy successful and cost-effective electric demand response programs, a new Federal Energy Regulatory Commission (FERC) staff report says.

The coalition effort is the centerpiece of the National Action Plan on Demand Response Report , issued today, that identifies strategies and activities to achieve the objectives of the Energy Independence and Security Act of 2007.

“There is strength in numbers. Coalitions harness the combined energy of individual organizations, producing results that can go far beyond what can be accomplished on an individual basis,” FERC Chairman Jon Wellinghoff said. “The success of this National Action Plan depends on all interested public and private supporters working to implement it.”

The public-private coalition outlined in the National Action Plan would coordinate and combine the efforts of state and local officials, utilities and demand response providers, regional wholesale power market operators, electricity consumers, the federal government and other interest groups. Demand response refers to the ability of customers to adjust their electricity use by responding to price signals, reliability concerns or signals from the grid operator. Demand response is a valuable resource for meeting the nation’s energy needs.

The 2007 law required FERC to identify the requirements for technical assistance to states so they can maximize the amount of demand response that can be developed and deployed; design and identify requirements for a national communications program that includes broad-based customer education and support; and develop or identify analytical tools, information, model regulations and contracts and other materials for use by customers, states, utilities and demand response providers.

The National Action Plan applies to the entire country, yet recognizes Congress’ intent that state and local governments play an important role in developing demand response. It is the result of more than two years of open, transparent consultation with all interested groups to help states, localities and regions develop demand response resources.

The National Action Plan on Demand Response is available at here.

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ALLAN CHEN & RYAN WISER, Lawrence Berkeley Nat’l Lab, December 2, 2009

Home sales prices are very sensitive to the overall quality of the scenic vista from a property, but a view of a wind energy facility does not demonstrably impact sales prices.

Over 30,000 megawatts of wind energy capacity are installed across the United States and an increasing number of communities are considering new wind power facilities. Given these developments, there is an urgent need to empirically investigate typical community concerns about wind energy and thereby provide stakeholders involved in the wind project siting process a common base of knowledge. A major new report released today by the U.S. Department of Energy’s (DOE) Lawrence Berkeley National Laboratory evaluates one of those concerns, and finds that proximity to wind energy facilities does not have a pervasive or widespread adverse effect on the property values of nearby homes.

The new report, funded by the DOE, is based on site visits, data collection, and analysis of almost 7,500 single-family home sales, making it the most comprehensive and data-rich analysis to date on the potential impact of U.S. wind projects on residential property values.

“Neither the view of wind energy facilities nor the distance of the home to those facilities was found to have any consistent, measurable, and significant effect on the selling prices of nearby homes,” says report author Ben Hoen, a consultant to Berkeley Lab.  “No matter how we looked at the data, the same result kept coming back – no evidence of widespread impacts.”

The team of researchers for the project collected data on homes situated within 10 miles of 24 existing wind facilities in nine different U.S. states; the closest home was 800 feet from a wind facility.  Each home in the sample was visited to collect important on-site information such as whether wind turbines were visible from the home.  The home sales used in the study occurred between 1996 and 2007, spanning the period prior to the announcement of each wind energy facility to well after its construction and full-scale operation.

The conclusions of the study are drawn from eight different hedonic pricing models, as well as repeat sales and sales volume models.  A hedonic model is a statistical analysis method used to estimate the impact of house characteristics on sales prices.  None of the models uncovered conclusive statistical evidence of the existence of any widespread property value effects that might be present in communities surrounding wind energy facilities.

“It took three years to collect all of the data and analyze more than 50 different statistical model specifications,” says co-author and project manager Ryan Wiser of Berkeley Lab, “but without that amount of effort, we would not have been confident we were giving stakeholders the best information possible.”

“Though the analysis cannot dismiss the possibility that individual homes or small numbers of homes have been negatively impacted, it finds that if these impacts do exist, their frequency is too small to result in any widespread, statistically observable impact,” he added.

The analysis revealed that home sales prices are very sensitive to the overall quality of the scenic vista from a property, but that a view of a wind energy facility did not demonstrably impact sales prices.  The Berkeley Lab researchers also did not find statistically observable differences in prices for homes located closer to wind facilities than those located further away, or for homes that sold after the announcement or construction of a wind energy facility when compared to those selling prior to announcement.  Even for those homes located within a one-mile distance of a wind project, the researchers found no persuasive evidence of a property value impact.

“Although studies that have investigated residential sales prices near conventional power plants, high voltage transmission lines, and roads have found some property value impacts,” says co-author and San Diego State University Economics Department Chair Mark Thayer, “the same cannot be said for wind energy facilities, at least given our sample of transactions.“

Berkeley Lab is a DOE national laboratory located in Berkeley, California.  It conducts unclassified scientific research for DOE’s Office of Science and is managed by the University of California. Visit our Website at www.lbl.gov/

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Globe.Net, October 27, 2009

President Barack Obama has announced the largest single energy grid modernization investment in U.S. history, funding a broad range of technologies that will create tens of thousands of jobs, save energy and allow consumers to cut their electric bills.

Speaking at Florida Power and Light’s (FPL) DeSoto Next Generation Solar Energy Center, President Barack Obama today announced the largest single energy grid modernization investment in U.S. history, funding a broad range of technologies that will spur the nation’s transition to a smarter, stronger, more efficient and reliable electric system.

The $3.4 billion in grant awards – part of the American Reinvestment and Recovery Act – will be matched by industry funding for a total public-private investment worth over $8 billion. Full listings of the grant awards by category and state are available here and a map of the awards is available here.

An analysis by the Electric Power Research Institute (EPRI) estimates that the implementation of smart grid technologies could reduce electricity use by more than 4% by 2030.  That would mean a savings of $20.4 billion for businesses and consumers around the country. One-hundred private companies, utilities, manufacturers, cities and other partners received Smart Grid Investment Grant awards today, including FPL, which will use its $200 million in funding to install over 2.5 million smart meters and other technologies that will cut energy costs for its customers.

The awards announced represent the largest group of Recovery Act awards ever made in a single day and the largest batch of Recovery Act clean energy grant awards to-date. The announcements include:

  • Empowering Consumers to Save Energy and Cut Utility Bills — $1 billion. These investments will create the infrastructure and expand access to smart meters and customer systems so that consumers will be able to access dynamic pricing information and have the ability to save money by programming smart appliances and equipment to run when rates are lowest.
  • Making Electricity Distribution and Transmission More Efficient — $400 million. The Administration is funding several grid modernization projects across the country that will significantly reduce the amount of power that is wasted from the time it is produced at a power plant to the time it gets to your house.  By deploying digital monitoring devices and increasing grid automation, these awards will increase the efficiency, reliability and security of the system, and will help link up renewable energy resources with the electric grid.
  • Integrating and Crosscutting Across Different “Smart” Components of a Smart Grid — $2 billion. Much like electronic banking, the Smart Grid is not the sum total of its components but how those components work together.  The range of projects funded will incorporate various components into one system – including smart meters, smart thermostats and appliances, syncrophasors, automated substations, plug in hybrid electric vehicles, renewable energy sources, etc.
  • Building a Smart Grid Manufacturing Industry — $25 million. These investments will help expand our manufacturing base of companies that can produce the smart meters, smart appliances, synchrophasors, smart transformers, and other components for smart grid systems in the United States and around the world – representing a significant and growing export opportunity for our country and new jobs for American workers.

More details on the proposed projects are available here. Click here for the full test of remarks by President Obama on Recovery Act Funding for Smart Grid Technology.

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