Tag Archives: Renewable Energy

Los Angeles’s Low-Priced Solar Power Has Problems Coming Its Way

By Cassie McCorkle, Energy Industry Reports

It has been more than a month that Los Angeles has signed a contract for record-cheap solar power and the officials are trying to deny it. The labor union is concerned over Mayor Eric Garcetti’s decision to put an end to the three gas-fired power plants. It has been clearly mentioned in the 25-year contract signed with 8minute Solar Energy that the Los Angeles Department of Water and Power will pay 2 cents per kilowatt-hour or lower. This is the lowest price ever waged for solar power in the US and it is lower than the cost of electricity generated from the natural gas-fired power plant. The Eland project has 200 Megawatts of lithium-ion batteries planned other than the 400 Megawatts of solar power to store solar power for a complete day and to let it into the grid for 4 Hours each night.

The combined payment of L.A. payers for solar power could be 3.3 cents per kilowatt-hour. The concerns of the International Brotherhood of Electrical Workers Local 18 have forced the City Council to not approve the contract. IBEW Local 18 is concerned that Garcetti’s “Green New Deal” initiative has shutdown 3 coastal gas plants and would result in unemployment of 400 LADWP workers. The workers consider Garcetti’s plans to create unemployment and increase electricity prices. Others may consider the current plan as a childlike proposal but as per the Mayor, the Eland project may not replace the large plants instead can help reduce the dependency on gas. The pricing of 8minute that relies on the federal investment tax credit for solar energy is expected to drop by 26% by this year end. By December, the company plans to start construction to be eligible for the 30% tax credit.

Similarly, a 500 MW project is on its way to construction, as per the Kern County Board of Supervisors. This new project is the one more addition to the long list of large projects taking place in California. This project is a part of the Eland 1 Solar Project: 8minutenergy. The project will be started only after the Eland 1 Solar is approved.

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LA & 8Minute Solar ink lowest cost solar-plus-storage deal in U.S. history

By Steve Hanley, CleanTechnica

The Los Angeles Department of Water and Power has signed a groundbreaking 25-year power purchase agreement with 8Minute Solar. The deal will make possible the largest municipal solar plus storage facility in the US. But the best part is the combined price for solar energy plus storage is just 3.3 cents per kilowatt-hour, the lowest ever in the US and cheaper than electricity from a natural gas powered generating plant.

The electricity will come from a massive solar power plant located on 2000 acres of undeveloped desert in Kern County, just 70 miles from the city. Known as the Eland Solar and Storage Center, it will be built in two stages of 200 MW each, with the first coming online in 2022 and the second phase scheduled to be switched on the following year.

Los Angeles DWP will take 375 MWac of solar power coupled with 385.5 MW/1,150 MWh of energy storage, according to PV Magazine. Neighboring Glendale Water and Power will take 25 MWac of solar plus 12.5 MW/50 MWh of energy. The electricity from Eland I and II is expected to meet between 6 and 7% of Los Angeles’ needs, according to PV Magazine.

The Eland Solar & Storage Center has been engineered by 8minute to provide fully dispatchable power under control of the LADWP to meet its customers’ demands with reliable and cost-effective power — a capability previously reserved for large fossil fuel power plants. Eland’s ability to provide fully dispatchable power for less than the traditional cost of fossil fuels effectively positions solar PV as an attractive candidate to be the primary source of California’s 100% clean energy future.

Read full article from CleanTechnica

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Renewables Threaten German Economy & Energy Supply, McKinsey Warns In New Report

By Michael Shellenberger (Contributor), Forbes

new report by consulting giant McKinsey finds that Germany’s Energiewende, or energy transition to renewables, poses a significant threat to the nation’s economy and energy supply.

One of Germany’s largest newspapers, Die Welt, summarized the findings of the McKinsey report in a single word: “disastrous.” “Problems are manifesting in all three dimensions of the energy industry triangle: climate protection, the security of supply and economic efficiency,” writes McKinsey.

In 2018, Germany produced 866 million metric tons of carbon dioxide, a far cry from its goal of 750 million tonnes by 2020. Thanks to a slightly warmer winter, emissions in Germany went down slightly in 2018, but not enough to change the overall trend. “If emissions reductions continue at the same pace as they did over the past decade, then CO2 targets for 2020 will only be reached eight years later, and 2030 targets will not be reached until 2046.”

Germany has failed to even come close to reducing its primary energy consumption to levels it hoped. McKinsey says Germany is just 39% toward its goal for primary energy reduction.

Read full article from Forbes

 

California agencies meet to begin charting course to 100% renewable energy

By Mark Anderson, The Sacramento Business Journal

The first-ever joint meeting of California agencies that will draw the path to a zero-carbon future met in Sacramento to start planning for the state’s 100% renewable goal by 2045.

The meeting included the California Energy Commission, California Public Utilities Commission and the California Air Resources Board, which are all tasked to meet the ambitious goals of 2018’s Senate Bill 100, which mandates that California use renewable resources to supply 100% of its electricity by the end of 2045.

The purpose of the meeting was to make sure that the different agencies are not working in silos, said Alice Reynolds, senior adviser on energy for Gov. Gavin Newsom. “We want to build an integrated plan,” she said. “To bring ambition to action.”

She said the state doesn’t have all the answers now for what will be an “incredibly difficult task,” adding that the state likely won’t have the answers when the agencies’ first report on progress is due next summer. “We’re not planning for the world as it is now. We are planning for the future,” Reynolds said. Temperatures may be higher then, requiring more air conditioning.

Still, commissioners expressed confidence that the effort won’t be damaging to California’s economy. “As we are seeing with coal, rolling back environmental standards doesn’t create jobs,” said Liane Randolph, a commissioner with the California Public Utilities Commission.

California’s previous mandates for renewable energy have created jobs, said Andrew McAllister, a commissioner with the California Energy Commission. He said the state has created 80,000 solar energy jobs and 100,000 jobs in energy efficiency.

Read full article in the Sacramento Business Journal

 

PG&E Free: Revolutionary Energy at Stone Edge Farm in Sonoma, California

By Jonah Raskin, CounterPunch

Pacific Gas & Electric has never had many loyal friends, not since 1905 when the San Francisco Gas and Electric Company and the California Gas and Electric Corporation merged to form the utility giant usually referred to as PG&E.

The company has been increasingly unpopular ever since gas leaks led to a big explosion and the death of consumers— eight people in San Bruno just south of San Francisco. Nor has the company made new friends ever since its power lines were found to have caused wild fires and huge property losses in California.

Earlier this year—to protect its profits and stockholders— the company filed for bankruptcy, though it still has citizens in a chokehold otherwise known as a monopoly. If consumers want electricity and gas in their homes and businesses they have little choice but to rely on PG&E, which owns and controls the power lines.

There are alternatives, including Sonoma Clean Power that sources clean energy from renewables: geothermal, water, wind, solar, and biomass. But Sonoma Clean Power doesn’t have its own power lines. PG&E has said it will cut off all power if and when there’s wild fire and high winds. That could save lives and protect property, but it also sounds like PG&E letting Californians know that it’s still the all-powerful boss.

With big bucks, access to the latest technology and technological wizards, citizens can by-pass PG&E. That’s what Mac and Leslie McQuown have done at Stone Edge Farm, a model of organic agriculture and a center for innovation in the field of energy. The farm is on Carriger Road, outside the town of Sonoma, where olives and grapes are grown. Not long ago, the visionary McQuowns had a big dream: reduce their carbon footprint. They’ve realized that dream and gone beyond it. Now, Stone Edge generates electrical power on a micro-grid that serves all its energy needs. 

Read full article from CounterPunch

Los Angeles has lined up record-cheap solar power. But there’s a problem

By Sammy Roth, Los Angeles Times

Los Angeles has been sitting on a contract for record-cheap solar power for more than a month — and city officials declined to approve it Tuesday because of concerns raised by the city-run utility’s labor union, which is still fuming over Mayor Eric Garcetti’s decision to shut down three gas-fired power plants.

Under the 25-year contract with developer 8minute Solar Energy, the Los Angeles Department of Water and Power would pay less than 2 cents per kilowatt-hour — a number city officials and independent experts say would be the lowest price ever paid for solar power in the United States, and cheaper than the cost of electricity from a typical natural gas-fired power plant.

In addition to 400 megawatts of solar power, the Eland project would include at least 200 megawatts of lithium-ion batteries, capable of storing solar power during the day and injecting it into the grid for four hours each night. The combined price to L.A. ratepayers of the solar and storage would be 3.3 cents per kilowatt-hour — also a record low for this type of contract.

But LADWP’s Board of Commissioners voted not to send the contract to the City Council for approval, after utility staff said concerns had been raised by the International Brotherhood of Electrical Workers Local 18, which represents utility employees. In recent months, IBEW Local 18 has run television and radio ads attacking Garcetti’s Green New Deal initiative, which includes the retirement of three coastal gas plants that employ more than 400 LADWP workers.

…The Eland project, which is planned for the Mojave Desert north of Los Angeles, wouldn’t replace those gas plants. But it could help L.A. reduce its reliance on gas, which has become California’s largest electricity source as utilities look for evening power sources to fill in for solar after the sun goes down.

Read full article in the Los Angeles Times

Amazon Joins Walmart in Blaming Tesla Solar Panels for Fires

By Dana Hull and Matt Day, Bloomberg

Walmart Inc. isn’t the only corporation that has seen its Tesla Inc. solar panels catch fire.

On Friday, Amazon.com Inc. said a June 2018 blaze on the roof of one of its warehouses in Redlands, California, involved a solar system that Tesla’s SolarCity division installed. The Seattle-based retail giant said by email that it has since taken steps to protect its facilities and has no plans to install more Tesla systems.

Tesla also said in a statement it worked with Amazon following the “isolated event” last year that occurred in an inverter at one of the sites. “Tesla worked collaboratively with Amazon to root cause the event and remediate,” it said. “We also performed inspections at the other sites, which confirmed the integrity of the systems,” adding that all 11 Amazon sites are generating energy and are monitored and maintained.

News of the Amazon fire comes days after Walmart sued Tesla, accusing it of shoddy panel installations that led to fires at more than a half-dozen stores. The claims threaten to further erode Tesla’s solar business as the company is fighting to gain back market share.

Read full article from Bloomberg

Related Article: Amazon Echoes Walmart’s Claims That Tesla Solar Panels Sparked Rooftop Fire (Gizmodo) – Aug. 24, 2019

Opinion: An uncertain path to a cleaner future – Zero carbon electricity legislation in New York and California

By Thomas R. Brill & Steven C. Russo (Greenberg Traurig), Utility Dive

Last month, New York passed the Climate Leadership and Community Protection Act, which calls for a carbon free electricity market by 2040. With passage of this law, New York became the sixth state to pass legislation calling for a carbon free electricity market. Just one year earlier, California passed similar legislation, SB100, adopting a state policy to achieve a zero-carbon electricity market by 2045.

These goals will have to be pursued notwithstanding the fact demand for electricity is projected to increase as other sectors pursue beneficial electrification to comply with ambitious emission reduction goals they face. Whether these goals can be achieved, and at what cost, will depend on technology advancements and how these laws are interpreted and implemented by regulators.

New York’s Climate Leadership and Community Protection Act requires 70% of electricity consumed in New York be generated by renewable resources by 2030 and the state must be carbon free by 2040. California’s SB100 requires 60% of electricity come from renewable resources by 2030 and adopts a state policy of a 100% zero carbon electricity by 2045.

The New York legislation explicitly conditions meeting these extraordinarily ambitious renewable energy mandates on maintaining reliability and affordability. This leads to obvious questions: Can a zero-carbon electricity market be achieved in a manner that maintains reliability and affordability, and if so, how? What flexibility exists under these laws to ensure these emission reduction goals can be achieved even if new technologies or significant price declines fail to materialize?

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As PG&E faces uncertainty, Sonoma Clean Power sees a bright future in green energy

By Bill Swindell, The Press Democrat

The troubling saga of PG&E has been well chronicled along its path that led to a bankruptcy filing in January. Massive liabilities from wildfires caused by transmission lines. A push to increase already high energy prices to ratepayers. Public outrage over bonuses paid by executives during a period of turmoil.

Yet during the same time, the fortunes of Santa Rosa-based Sonoma Clean Power could not be more different while much less heralded. Five years since first providing electric service to customers, the nonprofit public agency now has 87% of its eligible customers in both Sonoma and Mendocino counties, totaling 224,000 accounts. It claims to have saved approximately $80 million for its customers in reduced rates compared to the investor-owned PG&E, which still provides natural gas locally.

The local company — which has only about 25 employees — also has made tremendous strides in curbing carbon emissions. It sources green energy with a standard service that now provides 91% carbon-free power and has almost 2,000 customers enrolled in its premium EverGreen service, which offers 100% renewable energy sourced locally from solar panels and geothermal plants at The Geysers. Two years ago, it got into the production side by breaking ground on two solar-panel projects in rural areas located in Petaluma, and it is on a course to have a total of six such projects in the region. It also purchases power from a wind farm in the Altamont Pass.

Indeed, Sonoma Clean Power officials said they believe their agency is nicely positioned to play a leading role in curbing carbon emissions at the local level while also serving as a role model for other Golden State communities to accomplish that same goal.

Read full article in The Press Democrat

Opinion: How Lackluster Grid Maintenance Jeopardizes California’s Green Energy Future

By Ariel Cohen (Contributor), Forbes

In Part I of this story, I examined the factors that led to California’s now infamous ‘Camp Fire’ and the bankruptcy of the state’s largest utility, Pacific Gas and Electric Co. (PG&E). It turns out that while climate change, forest mismanagement, and overzealous lawmakers share some of the blame, PG&E is at the center of this multibillion-dollar catastrophe.

But in California, it is ratepayers, shareholders, and green energy that will pay the greatest price. PG&E has been a key partner in California’s green energy agenda, investing aggressively in solar, wind, and other renewable energy projects over the past decade. Last year renewables accounted for 33% of PG&E’s power mix — an impressive amount by industry standards. However, PG&E’s bankruptcy in the wake of the Camp Fire means that a lack of trust (and credit) in the utility could imperil the state’s green energy sector, and with it dreams of 100% carbon-free power by 2045.

Green power is now an uncertain space to do business in California, and we are already seeing the consequences: a major PG&E solar farm – Topaz – had their credit rating downgraded even before PG&E officially filed for bankruptcy, imperiling the clean electricity it provides to roughly 180,000 homes in California. The credit agency Fitch Ratings recently downgraded NextEra Energy’s 250-megawatt Genesis Solar project in the Sonoran Desert, citing its link to PG&E. Others are on the chopping block.

More critically, bankruptcy court might also jeopardize PG&E’s many long-term power purchase agreements (PPAs) with renewable energy providers. From a financial perspective, it makes sense for PG&E to tear up these contracts and start anew. The falling cost of wind and solar means that energy prices negotiated in 2012 and 2013 are three to four times higher per megawatt hour (MWh) than they are today. According to Bloomberg New Energy Finance (NEF), the estimated remaining obligation on these PPAs are more than $2 billion, though they would be worth only around $800 million at current market rates. Restructuring these contracts in court would increase cashflow, affording PG&E a much-needed liquidity boost to help deal with mounting liabilities.

Read full article at Forbes