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Posts Tagged ‘FERC’

DAVID R. BAKER, San Francisco Chronicle, December 12, 2009

The waves off of Vandenberg Air Force Base on the central California coast could one day generate electricity, if Pacific Gas and Electric Co. has its way.

The utility reported Friday that it has signed an agreement with the U.S. Air Force to study the area’s potential for a wave power project. If approved by the Federal Energy Regulatory Commission, the project could one day generate as much as 100 megawatts of electricity. A megawatt is a snapshot figure, roughly equal to the amount of electricity used by 750 average homes at any given instant.

Wave power technologies have the potential to provide large amounts of electricity. But they have been slow to leave the lab.

The typical wave power system consists of buoys that generate electricity as they bob up and down on the ocean’s surface. But the ocean has proven tougher than some of the systems.

PG&E two years ago agreed to buy electricity from a proposed “wave park” near Eureka to be built by Canadian company Finavera. But Finavera’s prototype buoy sank during a test, and California energy regulators killed the deal.

Under its $6 million WaveConnect program, PG&E is still studying potential wave park sites off Humboldt County. The utility, based in San Francisco, also examined the Mendocino County coast before ruling it out.

Vandenberg makes an attractive test site. It occupies a bend in the coast of Santa Barbara County where some of the beaches face west, some face southwest and others face south. PG&E in particular wants to study the area between Point Arguello and Point Conception.

“Generally, that piece of the coast is very active for waves,” said PG&E spokesman Kory Raftery. “It picks up swells from different directions.”

If the company wins federal approval, it will study the area for three years before making a decision on whether to test wave power devices there. The company wants to test several different devices but has not yet picked which ones, Raftery said.

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JACKIE NOBLETT, Mass High Tech, August 18, 2009

wave-ocean-blue-sea-water-white-foam-photoMaine and the Federal Energy Regulatory Commission will cooperate on the application, review and permitting process for tidal energy projects after signing a memorandum of understanding Wednesday.

The MOU calls for the entities to notify each other when a tidal developer applies for a preliminary permit, pilot project license or license. They will coordinate their permitting schedules and take into account each entity’s specific needs and master plans.

FERC has signed similar agreements with Washington and Oregon, but it is the first agreement with a state on the East Coast.

The agreement came after a meeting between Maine Gov. John Baldacci and FERC Chairman Jon Wellinghoff in Washington, D.C., today.

Some 17 tidal projects had applied for FERC permits as of January 1, 1009, according to the Maine Department of Environmental Protection.

A collaboration between the University of Maine, Maine Maritime Academy and Portland-based Ocean Renewable Power Co., announced in April, has landed nearly $1 million in grant money from the federal government to research and develop tidal power in Maine.

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TODD WOODY, The New York Times, August 12, 2009

wave-ocean-blue-sea-water-white-foam-photoPacific Gas & Electric has quietly dropped one of two planned 40-megawatt wave-farm projects.
Stroll through San Francisco and you can’t miss California utility Pacific Gas & Electric’s latest ad campaign. Posters plastered around town read: “Wave Power: Bad for sandcastles. Good for you.”

But PG&E recently dropped one of its two 40-megawatt wave-farm projects planned for the Northern California coast, according to documents filed with the Federal Regulatory Energy Commission.

“During the past year, PG&E undertook agency consultation and public outreach and commenced an examination of the technical and environmental feasibility of the proposed project,” wrote utility attorney Annette Faraglia in a June 9 letter to the commission. “Based on the results of this examination, PG&E has concluded that the harbor at Fort Bragg, Noyo Harbor, is not suitable for certain aspects of the project.”

In 2007, the utility had applied for federal permits to explore the feasibility of placing wave energy generators in the Pacific Ocean off the coast of Humboldt and Mendocino counties.

The scuttling of the project is just the latest setback for wave energy. Last year, California regulators also declined to approve a PG&E contract to buy a small amount of electricity from a Northern California wave farm to be built by Finavera Renewables, on the grounds the project was not viable.

Despite the difficulties, PG&E is pushing forward with a similar wave project in Humboldt county. The utility has cut that project’s size from 136 square miles to 18 square miles as it zeroes in on the most productive areas of the ocean. Ms. Morris said that the utility expects to file a license application for the pilot project in the spring of 2010.

However, the National Marine Fisheries Service has identified a plethora of protected species that may be affected by the Humboldt project, ranging from endangered coho salmon to the northern elephant seal and long-beaked common dolphin.

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MendoCoastCurrent, July 19, 2009

SmartGrid-graphicThe Federal Energy Regulatory Commission (FERC) moved to accelerate the development of a smart electric transmission system that could improve the efficiency and operation of the grid. The Smart Grid Policy Statement sets priorities for work on development of standards for the developement of a reliable and smart grid.

Smart grid advancements are digital, enabling two-way communications and real-time coordination of information from both generating plants and demand-side resources. Thus improving the efficiency of the bulk-power system with the goal of achieving long-term savings for consumers. Also providing tools for consumers to control their electricity costs.

The policy issued today tracks the proposed policy issued March 19, 2009 and sets priorities for development of smart grid standards to achieve interoperability and functionality of smart grid systems and devices. It also sets FERC policy for recovery of costs by utilities that act early to adopt smart grid technologies.

“Changes in how we produce, deliver and consume electricity will require ‘smarter’ bulk power systems with secure, reliable communications capabilities to deliver long-term savings for consumers,” FERC Chairman Jon Wellinghoff said. “Our new smart grid policy looks at the big picture by establishing priorities for development of smart grid standards, while giving utilities that take the crucial early steps to invest in smart grid technologies needed assurance about cost recovery.”

“The new policy adopts as a Commission priority the early development by industry of smart grid standards to:

  • Ensure the cybersecurity of the grid;
  • Provide two-way communications among regional market operators, utilities, service providers and consumers;
  • Ensure that power system operators have equipment that allows them to operate reliably by monitoring their own systems as well as neighboring systems that affect them;
  • Coordinate the integration into the power system of emerging technologies such as renewable resources, demand response resources, electricity storage facilities and electric transportation systems.

So early adopters of smart grid technologies will recover smart grid costs if they demonstrate that those costs serve to protect cybersecurity and reliability of the electric system, and have the ability to be upgraded, among other requirements.

And explains that by adopting these standards for smart grid technologies, FERC will not interfere with any state’s ability to adopt whatever advanced metering or demand response program it chooses.

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UCILIA WANG, GreenTechMeida, July 1, 2009

The draft plan covers how the state would plan and oversee all sorts of projects located within the state waters, including wind, tidal and wave farms.

wave-ocean-blue-sea-water-white-foam-photoMassachusetts released a draft of a plan Wednesday that would govern the permitting and management of projects such as tidal and wave energy farms.

Touted by the state as the first comprehensive ocean management plan in the country, it aims to support renewable energy and other industrial operations in the state waters while taking care to protect marine resources, the state said.

But creating a management plan would help to ensure a more careful planning and permitting process. Other states might follow Massachusetts’ step as more renewable energy project developers express an interest in building wind and ocean power farms up and down the Atlantic and Pacific coasts.

The federal government also has taken steps to set up the regulatory framework, especially because the current administration is keen on promoting renewable energy production and job creation.

Earlier this year, the Department of Interior and the Federal Energy Regulatory Commission settled a dispute over their authorities to permit and oversee energy projects on the outer continental shelf.

Last week, the Interior Department issued the first ever leases for wind energy exploration on the outer continental shelf.

Generating energy from ocean currents holds a lot of promise, but it also faces many technical and financing challenges. Companies that are developing ocean power technologies are largely in the pre-commercial stage.

Creating the management plan would yield maps and studies showing sensitive habitats that would require protection, as well as sites that are suitable for energy projects.

The state is now collecting public comments on the plan, and hopes to finalize it by the end of the year.

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MendoCoastCurrent, June 17, 2009

300_127728The West has been at the forefront of the country’s development and implementation of renewable energy technologies, leading the way in passing effective Renewable Portfolio Standards and harnessing the region’s significant renewable energy resources. The initiatives announced at the recent annual western governors’ meeting offered a collaboration of federal and state efforts to help western states continue to lead in energy and climate issues, while driving U.S. economic recovery and protecting the environment.

Secretaries Chu, Salazar and Vilsack and Chairs Sutley and Wellinghoff offered the western state governors next steps to tap renewable energy potential and create green jobs, focusing on energy strategies and initiatives to support their states and constituents.

Included in these initiatives are the development of a smarter electric grid and more reliable transmission system, protection of critical wildlife corridors and habitats, promoting the development of renewable energy sources and laying the groundwork for integrating these energy sources onto the national electricity grid.

“These steps send an unmistakable message: the Obama Administration will be a strong partner with the West on clean energy” Energy Secretary Steven Chu said. “We will create jobs, promote our energy independence and cut our carbon emissions by unlocking the enormous potential for renewable energy in the Western United States”

“Our collective presence here demonstrates the Obama Administration’s commitment to working with the Western governors as we begin to meet the challenge of connecting the sun of the deserts and the wind of the plains with the places where people live” said Ken Salazar, Secretary of the Interior.

“President Obama has been very clear about his intent to address our country’s long-term energy challenges and this multi-department approach will help increase production of energy from renewable sources and generate new, green jobs in the process” said Agriculture Secretary Tom Vilsack. “When we produce more energy from clean sources, we help protect our farmland and our forests for future generations”

“With their focus on clean energy, electricity transmission and Western water supply, the Governors have shown a commitment to addressing the critical issue of climate change and the challenges it presents to state and local governments” said Nancy Sutley, Chair of the White House Council on Environmental Quality. “The areas covered during this meeting, from water supplies and renewable energy, to fostering international cooperation on energy and the environment, are issues we are also focused on at the White House under the leadership of President Obama. We look forward to working together to meet these challenges”

“FERC looks forward to coordinating with DOE and working with the states and local planning entities and other interested parties in the course of facilitating the resource assessments and transmission plans” FERC Chairman Jon Wellinghoff said.

The actions announced include:

$80 Million for Regional and Interconnection Transmission Analysis and Planning:

The Department of Energy announced $80 million in new funding under the American Reinvestment and Recovery Act to support long-term, coordinated interconnection transmission planning across the country. Under the program, state and local governments, utilities and other stakeholders will collaborate on the development and implementation of the next generation of high-voltage transmission networks.

The continental United States is currently served by three separate networks or “interconnections” – the Western, Eastern and Texas interconnections. Within each network, output and consumption by the generation and transmission facilities must be carefully coordinated. As additional energy sources are joined to the country’s electrical grid, increased planning and analysis will be essential to maintain electricity reliability.

Secretary Chu announced the release of a $60 million solicitation seeking proposals to develop long-term interconnection plans in each of the regions, which will include dialogue and collaboration among states within an interconnection on how best to meet the area’s long-term electricity supply needs. The remaining $20 million in funding will pay for supporting additional transmission and demand analysis to be performed by DOE’s national laboratories and the North American Electric Reliability Corporation (NERC).

$50 Million for Assistance to State Electricity Regulators:

Secretary Chu announced $50 million in funding from the American Recovery and Reinvestment Act to support state public utility commissions and their key role in regulating and overseeing new electricity projects, which can include smart grid developments, renewable energy and energy efficiency programs, carbon capture and storage projects, etc. The funds will be used by states and public utility commissions to hire new staff and retrain existing employees to accelerate reviews of the large number of electric utility requests expected under the Recovery Act. Public utility commissions in each state and the District of Columbia are eligible for grants.

Nearly $40 Million to Support Energy Assurance Capabilities for States:

The Department of Energy also announced that $39.5 million in Recovery Act funding will be available for state governments to improve emergency preparedness plans and ensure the resiliency of the country’s electrical grid. Funds will be used by the cities and states to hire or retrain staff to prepare them for issues such as integrating smart grid technology into the transmission network, critical infrastructure interdependencies and cybersecurity. Throughout this process, the emphasis will be on building regional capacity to ensure energy reliability, where states can help and learn from one another. Funds will be available to all states to increase management, monitoring and assessment capacity of their electrical systems.

$57 Million for Wood-to-Energy Grants and Biomass Utilization Projects:

The Department of Agriculture announced $57 million in funding for 30 biomass projects. The projects – $49 million for wood-to-energy grants and $8 million for biomass utilization – are located in 14 states, including Arizona, California, Colorado, Idaho, North Dakota, New Mexico, Nevada, Oregon and Washington.

In keeping with the Obama Administration’s interest in innovative sources for energy, these Recovery Act funds may help to create markets for small diameter wood and low value trees removed during forest restoration activities. This work will result in increased value of biomass generated during forest restoration projects, the removal of economic barriers to using small diameter trees and woody biomass and generation of renewable energy from woody biomass. These funds may also help communities and entrepreneurs turn residues from forest restoration activities into marketable energy products. Projects were nominated by Forest Service regional offices and selected nationally through objective criteria on a competitive basis.

Biomass utilization also provides additional opportunities for removal of hazardous fuels on federal forests and grasslands and on lands owned by state, local governments, private organizations and individual landowners.

Memorandum of Understanding to Improve State Wildlife Data Systems, Protect Wildlife Corridors and Key Habitats across the West:

During today’s Annual Meeting in Park City, Utah, Secretaries Salazar, Vilsack and Chu agreed to partner with the Western Governors’ Association to enhance state wildlife data systems that will help minimize the impact to wildlife corridors and key habitats. Improved mapping and data on wildlife migration corridors and habitats will significantly improve the decision-making process across state and federal government as new renewable and fossil energy resources and transmission systems are planned. Because the development of this data often involves crossing state lines and includes information from both private and public lands, increased cooperation and coordination, like this Memorandum of Understanding (MOU), are important to developing a comprehensive view on the impact of specific energy development options.

Western Renewable Energy Zones Report Identifies Target Areas for Renewable Energy Development:

The Department of Energy and the Western Governors’ Association released a joint report by the Western Renewable Energy Zones initiative that takes first steps toward identifying areas in the Western transmission network that have the potential for large-scale development of renewable resources with low environmental impacts. Participants in the project included renewable energy developers, tribal interests, utility planners, environmental groups and government policymakers. Together, they developed new modeling tools and data to facilitate interstate collaboration in permitting new multistate transmission lines.

In May 2008, the Western Governors’ Association and DOE launched the Western Renewable Energy Zones initiative to identify those areas in the West with vast renewable resources to expedite the development and delivery of renewable energy to where it is needed. Under the Initiative, renewable energy resources are being analyzed within 11 states, two Canadian provinces and areas in Mexico that are part of the Western Interconnection.

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Electric Light & Power, June 11, 2009

menu01onAs the Obama administration shapes its policy on transmission planning, siting and cost allocation, the Large Public Power Council (LPPC) has sent a joint letter voicing its transmission policy views and concerns to Energy Secretary Chu, Interior Secretary Salazar, Agriculture Secretary Vilsack, FERC Chairman Wellinghoff, White House Council on Environmental Quality Chair Sutley and Presidential Energy Advisor Carol Browner.

The letter was sent to the Obama policy makers by Bob Johnston, Chair of the 23 member not-for-profit utility organization. Members of the LPPC own and operate nearly 90% of the transmission investment owned by non-federal public power entities in the United States.

The LPPC told the Obama Administration that it is “most supportive of a framework for interconnection-wide planning that addresses the growing need to interconnect renewable resources to the grid.”

“Many of our members are leaders in renewable deployment and energy efficiency. We are committed to these policy goals and closely tied to the values of our local communities,” the LPPC emphasized. “But we also believe that creating a new planning bureaucracy could be costly and counterproductive in achieving needed infrastructure development.”

The LPPC voiced strong support for the region-wide planning process recently mandated by FERC Order 890 that directed implementation of new region-wide planning processes that the LPPC claims “require an unprecedented level of regional coordination, transparency and federal oversight.”

“It seems quite clear that federal climate legislation and a national renewable portfolio standard will further focus these planning processes, the LPPC asserted. “LPPC fully expects that the regional processes to which parties have recently committed will take on new urgency and purpose. Adding a planning bureaucracy to that mix will be time consuming and will likely delay rather than expedite transmission development.”

The LPPC also told the Obama policy makers that, “it would be unnecessary, inequitable and counterproductive to allocate the cost of a new transmission superhighway to all load serving entities without regard to their ability to use the facilities or their ability to rely on more economical alternatives to meet environmental goals.”

The LPPC contended, “that certain proposals it has reviewed to allocate the cost of new transmission on an interconnection-wide basis would provide an enormous and unnecessary subsidy to large scale renewable generation located far from load centers, at the expense of other, potentially more economical alternatives. Utilities, state regulators, and regional transmission organizations should determine how to meet the environmental goals established by Congress most effectively by making economic choices among the array of available options, without subsidy of one technology or market segment over others.”

The LPPC letter further claimed that the cost of a massive transmission build-out will be substantial and that cost estimates they had reviewed “appear to be meaningfully understated.” The LPPC estimates that nationwide costs for such a build-out “may range between $135 billion and $325 billion, equating to a monthly per customer cost between $14 and $35.  This is a critical matter for LPPC members, as advocates for the consumers we serve.”

The Large Public Power Council letter concluded by offering its support for additional federal siting authority for multi-state transmission facilities “in order to overcome the limited ability of individual states to address multi-state transmission projects to meet regional needs. LPPC is confident that such new authority can be undertaken in consultation with existing state siting authorities in a manner that capitalizes on existing expertise and ensures that state and local concerns are addressed in the siting process.”

The LPPC’s membership includes 23 of the nation’s largest publicly owned, not-for-profit energy systems. Members are located in 10 states and provide reliable, electricity to some of the largest cities in the U.S. including Los Angeles, Seattle, Omaha, Phoenix, Sacramento, San Antonio, Jacksonville, Orlando and Austin.

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