Last update: Thursday, December 11, 2008  

2006 - 2008 Renewable Energy in the News

Stories

October 1, 2008

New $5 Million Grant to Fund Research Advances in Solar And Other Renewable Energy Technologies

AUSTIN, Texas — The Center for Electrochemistry (CEC) at The University of Texas at Austin has received a $5 million grant from the Houston-based Welch Foundation to start the Renewable Energy Initiative (REI), a multi-disciplinary, collaborative effort to promote advances in renewable energy technologies.

The initiative, says CEC Director Dr. Allen Bard, has three central research thrusts.

One project is devoted to developing new kinds of photovoltaic and photoelectrochemical materials that could eventually make solar power competitive with fossil fuels.

Another project will deal with the challenges of creating better batteries that can store energy over long periods of time. Such storage is needed to maximize the utility of renewable energy sources, such as wind farms and solar panels that intermittently generate electricity.

The last project will explore the fundamental chemistry of electrocatalysts, with an eye toward developing better catalysts for fuel cells and water electrolysis.

"These are three pivotal problems in electrochemical science and engineering," says Bard, the Norman Hackerman-Welch Regents Chair in Chemistry. "Advances in any one of these areas could produce significant benefit to society."

With funding from the three-year grant, says Bard, the CEC will be able to fund graduate and postdoctoral fellows, equip new facilities with the latest electrochemical instrumentation, bring world-renowned scholars to campus, organize conferences and award seed grants to faculty who are doing potentially paradigm-shifting research in electrochemical science.

"The Welch funding truly enables the collaborative, high risk and high-reward research that is needed to catalyze new discoveries for next-generation renewable energy technologies," he says.

The Welch Foundation grant is part of a larger, longer-term vision to establish an Institute for Green Chemistry and Sustainability at The University of Texas at Austin. The institute would help push the university to the forefront of electrochemical research into the development of technologies such as fuel cells, solar energy and electrical energy storage.

The CEC was established in 2006 to capitalize on a half century of excellence in the field of electrochemistry at The University of Texas at Austin. The center is committed to expanding fundamental knowledge in this area, investigating problems of vital interest to the global community and helping develop applications that will benefit society.

Key faculty members active in electrochemical research include chemistry professors Bard, Richard Crooks and Keith Stevenson, and engineering professors Arumugam Manthiram and Jeremy Meyers. Eleven other faculty members with expertise in materials, polymers, chemical synthesis and physical characterization techniques are also associated with the center.

For more information, contact: Lee Clippard, College of Natural Sciences, 512-232-0675; Dr. Brendan Coffey, CEC associate director, 512-475-9698.

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August 2, 2008

Stop Demonizing Biofuels

by Russel Smith, Executive Director, TREIA

AUSTIN — It’s incessant. It’s a drumbeat. It’s a witch hunt. 

Report after report starts out with statements like “biofuels were once thought of as the savior of our environment and the solution to dependence on foreign oil. But some scientists and researchers are saying no — it’s just the opposite.”

These reports consistently strike at a highly emotional issue, blaming ethanol for the rising cost of food around the globe, water shortages, environmental degradation and the exacerbation of global warming.

Assertion: Increased corn use for ethanol is taking food out of people’s mouths.

Fact: Only about 10 percent of total U.S. corn production is used for direct human consumption. Corn grown primarily for fuel and food for animals is known as field corn, which is inedible for human beings.  Of that field corn, only the starch of the kernel is used to produce ethanol. What remains are vitamins, minerals, proteins and fiber. These are added-value byproducts used for sweeteners, corn oil and high-value livestock feed.

Additionally, our country’s corn growers are not only providing enough corn for food, feed, fuel and fiber needs but are also maintaining a healthy surplus in the event of lower harvests.

For 2008, we have a 10 percent carryover from last year’s record harvest (National Corn Growers Association).  

Another fact that you won’t see reported is that for every dollar an American consumer spends on food, only 19 cents goes toward raw materials.

The balance — 81 cents — goes to labor, fuels, transportation, packaging and other non-farm costs.  Rising fuel and transportation costs due to that $130-plus barrel of oil are having a much more significant impact on food prices than corn.

Texas A&M’s Texas Agrilife Research and Extension Service recently concluded that “corn prices have had little to do with rising food costs.”

The U.S. departments of energy and of agriculture state that an additional 7.2 billion gallons of gasoline would be used in this country in 2008 if biofuels were not available.

They note further that the use of ethanol has moderated U.S. gasoline prices by an estimated 20 to 35 cents per gallon, and that only about 3 percent to 5 percent of the increase in retail grocery prices in the U.S. over the past year and a half can be attributed to the use of ethanol and biodiesel.

Use of U.S. corn ethanol reduced greenhouse gases by 19 percent compared to gasoline.

In addition to the concerns spread about food, some interests push that ethanol is less efficient to produce and then consume than gasoline.

There is ample evidence from a number of highly credible sources to counter the now boldly stated-as-fact claim in the media, aided and abetted by big oil, grocery manufacturers and confined animal feeders, that producing ethanol from corn takes more energy than it provides at the pump.

In reality the amount of energy used to produce corn ethanol has decreased significantly over the past two decades.

The public rhetoric about “demon biofuels” is simply incorrect. Worse, it could suspend the progress that has moved this country forward in the direction of energy self-sufficiency.

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April 11, 2008

Texas Study: Benefits of Wind Transmission Outweigh Costs

A long-awaited study identifying the transmission infrastructure needed to link wind-rich areas in western Texas with population centers in the central and eastern parts of the state concludes that such transmission could be built at modest cost to ratepayers.

The report by the Electric Reliability Council of Texas (ERCOT), the organization responsible for transmission planning in the state, explores scenarios that would make it possible for the state to integrate 5,100 megawatts (MW); 11,600 MW; and 18,000 MW of new wind energy. For comparison, at the end of 2007, the U.S. had a total installed wind energy capacity of 16,800 MW, with almost 4,400 MW of that capacity installed in Texas. The report concludes that the infrastructure needed for this new wind development could be built at a very low cost to Texas consumers, especially considering the economic, environmental, and energy security benefits provided by wind energy.

ERCOT's report determines that the money saved by decreasing fossil fuel use with new wind energy would drastically outweigh the cost of the new transmission. The smallest transmission investment plan would bring enough new wind energy online to save $1.2 billion per year in fuel costs-enough savings to cover the US $3.8 billion cost of the transmission infrastructure in a little over three years. The new wind brought online by the next largest transmission plan would save US $1.7 billion per year in fuel costs, repaying the US $4.9 billion cost of the investment in 2.9 years. Fuel savings were not estimated for the 18,000-MW scenario.

Bringing new wind energy online is critical to protecting Texas consumers from increases in the price of fossil fuels, wind energy advocates point out. Texas currently depends on natural gas to generate 49% of its electricity, and natural gas plants make up 71% of the state's generating capacity. From 1998 to 2006 natural gas prices in the state tripled, which caused the price of electricity for the average residential consumer to increase from US 7.6 cents per kWh to US 12.9 cents per kWh-an increase of US $64 monthly, or over US $750 per year, for the average household.

In contrast, the transmission investments identified in ERCOT's report would cost the average Texas household around US 30-40 cents per month, less than the cost of a postage stamp. The price of natural gas is likely to continue increasing in the future, as electric utilities continue to increase their reliance on natural gas. Investing in infrastructure that will allow Texas to reap zero-fuel cost wind energy for generations to come will build a more balanced energy portfolio for the state, wind energy advocates say.

"This investment will pay for itself in two years and will displace more expensive energy, offering a savings to Texas consumers of about $3 billion per year," said Wind Coalition Executive Director Paul Sadler. "There is no question this type of investment is exactly what the state should be doing, and when you look at the numbers it is clear ratepayers come out ahead. Every wind-generated megawatt added to the system is good for the economy, environment and electricity customers. Transmission costs will be more than offset by the savings realized from lower fuel costs as we bring additional wind capacity onto the grid."

Wind energy provides a number of environmental benefits and can create new jobs in the state. Emissions of carbon dioxide (CO2) from Texas's electricity generation sector fell by 2% from 2000 to 2006, during which time wind energy grew from producing 178 MW to 3,000 MW. In contrast, CO2 emissions from the electric sector increased by 25% from 1990-2000, before wind energy became a major part of Texas's generation mix. Based on the results of recent studies by ERCOT and GE, adding 11,600 MW of wind energy in Texas would reduce CO2 emissions by 22 million tons per year, sulfur dioxide emissions by 18,000 tons per year, and nitrogen oxide emissions by 8,000 tons per year. A study by the Union of Concerned Scientists estimates that adding 10,000 MW of new renewable generation in Texas would create 20,000 new jobs and US $628 million in tax revenue for Texas's schools.

Michael Goggin is an electricity industry analyst with AWEA.

This article first appeared in Wind Energy Weekly, and was republished with permission from the American Wind Energy Association.

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January 16, 2008

Exemption of Biodiesel/Diesel Blends from TCEQ Approval Expires

The Texas Commission on Environmental Quality has taken action on the issue of the sale of B20 in the areas of the state subject to the Texas Low Emission Diesel (TxLED) rules. B20 was sold in those areas over the last two years under a Commission approved Alternative Emission Reduction Plan. Morris Brown with the Air Quality Planning Section of TCEQ stated the Commissions current stance on such sales in the following paragraphs.

“The Texas low emission diesel (TxLED) alternative emission reduction plan for producers of biodiesel blends that allowed biodiesel to be blended with petroleum diesel without any prior approval from the Texas Commission on Environmental Quality (TCEQ) expired on December 31, 2007.  As of January 1, 2008, all biodiesel/diesel fuel blends sold or supplied for use in the 110 central and eastern Texas counties affected by the TxLED regulations must be approved as alternative diesel fuel formulations by the TCEQ. The sale and use of pure biodiesel (B100) is not regulated by the TCEQ's TxLED regulations.”

“Currently, there are only two TxLED alternative diesel fuel formulations for biodiesel blends approved by the TCEQ:

1. Biodiesel/diesel fuel blends of 20 percent or less by volume of ASTM D6751-compliant B100 biodiesel and 80 percent or more by volume of diesel fuel as defined under 30 TAC §114.6 that are treated with the ORYXE Energy International, Inc. OR-LED3 diesel fuel additive.
   
   
2. Biodiesel blends comprised of 5 percent or less by volume of ASTM D6751-compliant B100 biodiesel and 95 percent or more by volume of TxLED-compliant diesel fuel as defined under 30 TAC §114.6. “

“Additional TxLED alternative diesel fuel formulations for biodiesel blends are anticipated as companies are continuing to test new formulations.  The list of all currently approved alternative diesel formulations for TxLED is located on TCEQ's TxLED webpage at http://www.tceq.state.tx.us/implementation/air/sip/cleandiesel.html#Formulations.”

Morris R. Brown may be reached at: Texas Commission on Environmental Quality (TCEQ), Mail Code: 164, P.O. Box 13087, Austin  TX  78711-3087, Phone: (512) 239-1438, Fax: (512) 239-1500, Email: mbrown@tceq.state.tx.us.

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January 07, 2008

AEP, MidAmerican Texas Transmission Joint Venture Begins Operation

American Electric Power and MidAmerican Energy Holdings Co. (MidAmerican) have completed the transaction establishing Electric Transmission Texas, LLC (ETT) as a joint venture to build transmission projects within the Electric Reliability Council of Texas (ERCOT).

The joint venture also was approved today to operate as a transmission-only utility in ERCOT by the Public Utility Commission of Texas (PUCT). The PUCT order established rates for transmission service for ETT with a 9.96 percent return on equity. J. Calvin Crowder will head the entity as president, Electric Transmission Texas.

As part of forming the joint venture, AEP transferred approximately $70 million of assets from AEP Texas Central Company to ETT, including a 100-megawatt variable frequency transformer in Laredo that allows reliable power transfer between Mexico and ERCOT.

“We’ve determined that there is significant value in moving forward with capital transmission investments in ERCOT, given the regulatory mechanisms in place that support timely recovery of that investment,” said Michael G. Morris, AEP chairman, president and chief executive officer. “The ERCOT transmission grid has critical expansion needs to ensure reliability, meet growing electricity demand, reduce congestion and support renewable generation. ETT, backed by the expertise of AEP and MidAmerican, both leading utilities in the transmission realm, will help ensure that the much-needed additional transmission infrastructure in ERCOT is brought on line expeditiously.”

AEP has identified approximately $1 billion of additional transmission projects within its ERCOT footprint eligible for potential assignment to ETT. ETT will evaluate on a case-by-case basis potential future investment in these projects and anticipates identifying the first projects to pursue by the second quarter of 2008. Those projects not pursued by ETT may be built by AEP independent of the joint venture.

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January 07, 2008

Roger Duncan Named Austin Energy Interim GM

Austin City Manager Toby Futrell announced today that Roger Duncan, a Deputy General Manager at Austin Energy, will serve as interim General Manager for the utility.

Mr. Duncan will assume the GM responsibilities in early February with the departure of Juan Garza, who has been named the new General Manager of the Pedernales Electric Cooperative.

Mr. Duncan, who has more than two decades of experience in City government including two terms as an Austin City Council Member from 1981 to 1985, has served as Austin Energy Deputy General Manager since 2004. He is responsible for overseeing Austin Energy’s national recognized energy efficiency, Green building and renewable energy programs, distributed energy services, strategic planning, governmental relations and air quality. Mr. Duncan joined Austin Energy in 1998 as Vice President in charge of conservation, renewables and environmental policy.

Mr. Garza will begin his new position as General Manager of PEC the first in early February. A national search to permanently fill the Austin Energy General Manager position will begin later this year.

Austin Energy is the 10th largest public power utility in the country with 380,000 customers and serving a population of 900,000. The utility provides low-cost, reliable power and is nationally recognized for some of the most advanced and comprehensive energy efficiency and green power programs in the nation. Under a recently announced “Climate Protection Plan” by the City of Austin, Austin Energy by 2020, will offset the need for a 700 megawatt power plant through energy efficiency and load shifting initiatives and has set a goal that 30% of the power it sells by that date will come from renewable resources.

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January 03, 2008

ERCOT Report Analyzes $3 Billion in Proposed Transmission Improvements

The Electric Reliability Council of Texas’s annual transmission planning report includes $3 billion in proposed projects for the next five years, expected to add 2,538 miles of transmission lines and additional autotransformer capacity.

The 2007 Electric System Constraints and Needs report, filed in late December with the Public Utility Commission (PUC), identifies and analyzes existing and potential constraints in the transmission system that could pose reliability concerns or increase costs to the electric power market, and ultimately, to Texas consumers.

The major 345-kV transmission lines planned include:

• 88 circuit miles, Bell County East - Twin Oaks, operational 20012
• 198 circuit miles, Red Creek - Killeen line, operational 2012
• 38 circuit miles, Oklaunion 0 Bowman line, operational 2012
• 22 circuit miles, Nacogdoches - Lufkin line, operational 2012
• 103 circuit miles, Clear Spring - Salado, operational 2010 - 2011
• 110 circuit miles, San Miguel - Larado, operational 2010
• 7 circuit miles, West Levee - Norwood (Dallas/Fort Worth), operational 2009

The report also analyzes costs to resolve zonal congestion (between zones) and intrazonal congestion (local). After several years of decrease, transmission congestion costs appear to be level between 2006 and 2007, the report found, but noted that overall costs may trend higher until planned lines are added.

The continued rapid increase in the installation of new wind generation in West Texas is expected to result in transmission congestion until new bulk transmission lines are added between West Texas and the rest of the ERCOT system.

Two new 345-kV transmission lines and a switching station are included in the proposed projects for the West zone to accommodate approximately 6,500 megawatts (MW) of wind generation that is installed or has completed an interconnection agreement. However, the West zone upgrades may be superseded by the transmission lines ordered as a result of the Competitive Renewable Energy Zone (CREZ) process underway at the PUC. The PUC is expected to designate the final CREZ transmission projects around mid-2008.

Since 2005, ERCOT transmission service providers have completed over 2,500 circuit miles of transmission lines and approximately 28,000 MVA of autotransformer capacity, with an estimated capital cost of over $2.2 billion.

The 99-page report is posted on the ERCOT Web site under News/Reports and Presentations.

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December 27, 2007

HelioVolt Plans its First Thin Film Solar Factory in Austin, Texas

Flagship Manufacturing Facility Will Begin Production in 2008

HelioVolt Corporation, a producer of highly-efficient thin film solar energy products, today announced plans to locate its initial manufacturing facility in the Expo Business Park in Austin, Texas. This news closely follows the company’s recognition as one of the top private technology companies in the world as a recipient of the Red Herring 100 Global award. HelioVolt’s first factory will have an initial production capacity of 20 megawatts (MW) with the ability to expand as the company increases production in the U.S. and abroad. Currently headquartered in Austin, HelioVolt expects the new factory to create more than 150 additional jobs in the region.

Employing HelioVolt’s proprietary FASST™ manufacturing process at commercial scale, the factory will begin production of high quality copper indium gallium selenide (CIGS) thin film solar products in 2008. Construction of the facility will be financed by the company’s Series B funding round, which recently closed at $101 million making it the largest solar technology venture capital round to date. The company is continuing to work with local officials to make the factory a success.

“As the renewable energy industry continues to look with interest to CIGS and other thin film materials as a route to advanced solar products, we at HelioVolt have been diligently working to ensure that our production process is the most cost-effective and reliable in the market. Needless to say, we are delighted to be entering the next stage of growth with our first factory,” said HelioVolt CEO and founder Dr. B.J. Stanbery.

“A clear clean technology leader right here in our backyard, HelioVolt has already proven itself something of an Austin hero to this community that prides itself in its commitment to both clean energy and technological innovation,” said Austin Mayor Will Wynn. “With cities around the country vying to host the company’s first production facility, we are proud that HelioVolt has chosen its own hometown as a base for continued growth.”

As HelioVolt continues to grow, Red Herring has recognized the company for its innovation, management and global strategy. Chosen out of a pool of 1800 eligible promising companies as one of the top 100, HelioVolt was honored at the Red Herring Global event this month in Seattle, WA.

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September 27, 2007

Energy Efficiency and Onsite Renewables Can Help Address Electricity Concerns in Houston and Dallas/Fort Worth Areas

Energy efficiency and onsite renewable energy (EE/RE) can meet most of the projected electricity needs over the next 15 years in the Dallas/Fort Worth and Houston areas — Texas’ two largest metro areas that account for about half of the state’s population and electricity consumption. By investing in EE/RE rather than building new power plants, these regions and the state as a whole can stimulate the economy by creating net new jobs and avoid exacerbating existing air quality problems.

Carrollton, with 116,500 residents, is the largest city in the deregulated market to authorize purchase of RECs, while Eastland, with3,900 residents, is the smallest Texas city to do so. Addison has 13,800residents and Highland Park has 8,900 residents.

The two reports on the impacts of EE/RE on Texas — Role of Energy Efficiency and Onsite Renewables in Meeting Energy and Environmental Needs in the Dallas/Fort Worth and Houston/Galveston Metro Areas and The Economic Benefits of an Energy Efficiency and Onsite Renewable Energy Strategy to Meet Growing Electricity Needs in Texas — were released today by the American Council for an Energy-Efficiency Economy (ACEEE). These studies build upon an ACEEE report released last March that examined the statewide impacts of a suite of EE/RE policies that showed Texas could meet most of its projected needs for electricity while also addressing concerns about peak demand.

“The Dallas/Fort Worth (DFW) and Houston metro areas are the most rapidly growing regions in Texas, which is among the fastest growing states in the United States,” said ACEEE Research Analyst Maggie Eldridge who coauthored both reports. “Electricity use in DFW is growing 11% faster than the state, while the greater Houston area is growing 37% faster than the state.  Given this rapid growth, there is a great opportunity for the metro regions to expand their EE/RE policies to meet the rising energy demands. The policies recommended in this report would meet 24% of the forecasted electricity demands in DFW and 21% in Houston by 2023.”

"The Texas Legislature included a few of our recommended policies in their energy bill this year, but needs to do more in the next session," said Neal Elliott, ACEEE's Industrial Program Director and report co-author. "The state doesn't, however, have to wait until the 2009 legislative session to continue to realize the benefits of energy efficiency. Two-thirds of the potential savings in the Dallas/Fort Worth area and over half of the savings in the Houston area can be realized by local government action. In many cases, local authorities may be more effective than state policies from Austin.”

In particular, local leadership on combined heat and power, onsite renewables, and buildings represent significant opportunities. Frameworks already exist at the state level for these policy areas, so all that is required is a commitment at the local level. In particular, many of the large firms in the region may be important allies as they can provide both important energy efficiency opportunities and support for local policies that help ensure adequate electricity supplies, contain future electricity cost increases, and reduce environmental pressures.

Investments in energy efficiency and onsite renewable energy would not only meet future energy needs, but they also would create new jobs by encouraging investments at the local level and by recycling the energy savings in the local economy. Statewide, the recommended policies would create about 38,300 net new jobs in 2023. This is roughly equivalent to the employment that would be directly and indirectly supported by the construction and operation of 300 average manufacturing plants within Texas. This translates into over 11,000 new jobs in each of the metro areas.

“By becoming energy efficiency leaders, local governments can show fiduciary responsibility with taxpayers’ dollars, while at the same time setting an example for individual consumers and businesses to step up to the plate in adopting energy efficiency practices,” said Steve Nadel, ACEEE’s Executive Director. “These policies not only can meet most of the projected growth in electricity needs over the next 15 years, but also could result in net consumer electricity expenditure savings of $37 billion statewide over that period while sustaining the economic engines that are the Dallas/Fort Worth and Houston metro areas.”

Role of Energy Efficiency and Onsite Renewables in Meeting Energy and Environmental Needs in the Dallas/Fort Worth and Houston/Galveston Metro Areas(http://aceee.org/pubs/e078.htm or purchase for $20) and The Economic Benefits of an Energy Efficiency and Onsite Renewable Energy Strategy to Meet Growing Electricity Needs in Texas (http://aceee.org/pubs/e076.htm or $16), along with the earlier March report, Potential for Energy Efficiency, Demand Response, and Onsite Renewable Energy to Meet Texas's Growing Electricity Demands (http://aceee.org/pubs/e073.htm or $50) can be downloaded for free or purchased at the price mentioned above plus $5 postage and handling from ACEEE Publications, 1001 Connecticut Avenue, N.W., Suite 801, Washington, D.C. 20036-5525, phone: 202-429-0063, fax: 202-429-0193, e-mail: aceee_publications@aceee.org.

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August 28, 2007

Cities Aggregation Power Project Enables First Texas Towns' Purchase of Renewable Energy Credits

Cities Aggregation Power Project(CAPP) has announced that Addison, Carrollton, Eastland and Highland Park have become the first Texas cities with populations less than 120,000 to authorize the purchase of Renewable Energy Credits (RECs) using a program created by the statewide electricity aggregator for municipal governments.

Carrollton, with 116,500 residents, is the largest city in the deregulated market to authorize purchase of RECs, while Eastland, with3,900 residents, is the smallest Texas city to do so. Addison has 13,800residents and Highland Park has 8,900 residents.

"Asa small town, we have relied on CAPP's attorneys and energy experts for a wide range of electricity market issues," says Addison Mayor Joe Chow. "CAPP's Renewable Energy Credit program gives us the opportunity to support sustainability initiatives through a state-administered program in which we otherwise wouldn't be able to participate. I feel confident that our constituents will be proud of this action on their behalf.

Austin, Brownsville and El Paso -- which aren't in the deregulated market -- are the only other Texas cities that have purchased RECs since the state initiated its REC program in 2000, according to reviews of Electric Reliability Council of Texas (ERCOT) filings. The credits --stock-like certificates sold by brokers -- correspond to actual megawatts of electricity. They provide renewable energy generators with additional sources of revenue.

Texas also requires that competitive electricity providers purchase RECs annually as a way of ensuring demand for renewable energy and to fund construction of such projects. No similar requirement exists for cities:Addison, Carrollton, Eastland and Highland Park made their recent authorizations voluntarily.

CAPP initiated the REC purchase program in August at the request of its members, 101 Texas cities representing more than three million Texans.

"Even though most of the Cities Aggregation Power Project member cities are outside the state's major population centers, they understand everyone needs to help Texas encourage sustainable, pollution-free energy sources,especially in the deregulated areas of the state," said Jay Doegey,chairman of CAPP. "Through CAPP's expertise with Texas electricity markets and its new program enabling purchase of renewable energy credits, small and medium Texas cities now have a way of investing in the future of energy."

Doegey says he expects more member cities to purchase Renewable Energy Credits (RECs) through CAPP.

"We have listened and responded to our members' desire for programs that demonstrate energy stewardship," Doegey said. "Addison, Carrollton, Eastland and Highland Park are the first to take part in the program, and we expect many other Texas cities will follow their lead."

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July  27, 2007

Luminant and Shell Join Forces to Develop a Texas-Sized Wind Farm

Shell WindEnergy Inc. and Luminant, a subsidiary of TXU Corp., announced today a joint development agreement for a 3,000-megawatt wind project in the Texas Panhandle and to work together on other renewable energy developments in Texas.

Shell and Luminant will also explore the use of compressed air storage, in which excess power could be used to pump air underground for later use in generating electricity. This technology will further improve reliability and grid usage and becomes more economical with large-scale projects, such as proposed for Briscoe County.

Recent testimony by Shell before the Public Utility Commission of Texas demonstrated the Briscoe County project could deliver the lowest-cost wind energy for consumers. This low cost is driven by excellent wind resources and the comparatively lower cost to bring that energy to market from the Texas Panhandle region.

"Shell is constantly looking for solutions to deal with climate change and increasing our energy diversity. Wind is part of the answer. Our approach is a cost-effective solution for consumers," said John Hofmeister, president of Shell Oil Company..

“Luminant is committed to providing Texans with clean sources of energy, and this agreement with Shell is a real next step in delivering on that commitment” said Mike Childers, CEO of Luminant Development. “Luminant is already the state leader in wind-energy purchases, and co-developing this project would take us a long way toward our goal of doubling our portfolio.”.

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July 24, 2007

CPS Energy Unveils Solar Initiative Rebate Program for PV and Solar Water Heating

from The TREIA Newsletter, July 2007

To celebrate Independence Day most people launch bottle rockets and other fireworks. This year CPS Energy decided to launch its Solar Initiative Rebate Program to celebrate the 4th of July.  Building on the success of its small-scale interconnection program (25 kW or less) for distributive generation and its other rebates for energy efficiency measures, CPS Energy is proud to announce it will now be offering incentives to customers who use the sun’s natural energy for their homes and businesses.

CPS Energy’s Solar Initiatives Rebate program offers rebates for the installation of both photovoltaic (PV) systems and solar hot water heater systems. These incentives are available only to CPS Energy customers – both residential and commercial.

For PV systems, CPS Energy is providing incentives of $3.00 per AC watt installed. Residential customers who apply are eligible to receive incentives up to 50% of the installed costs of the system with a maximum rebate amount of $10,000. Commercial customers are also eligible for 50% of the costs, but have a maximum rebate amount of $50,000. CPS Energy customers seeking to heat their water using a solar hot water system are eligible to receive rebates ranging from $400 up to $800.

For either incentive, CPS Energy will require customers to use installers who have registered with CPS Energy and who have agreed to obtain certification from the North American Board of Certified Energy Practitioners (NABCEP) in the installation of either PV systems or Solar Water Heater Systems. Additional program requirements apply. For information about either program please visit the Rebates & Programs section at www.cpsenergy.com.

For additional program information or to register as an installer with CPS Energy, please contact Matt Haecker at 210-353-3780 or send him an email at mhaecker@cpsenergy.com.

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July 24, 2007

Austin Energy Steps Up With New Solar Water Heating Incentive Program

from The TREIA Newsletter, July 2007

Austin Energy is instituting a new upgraded incentive program for the installation of Solar Water Heating systems in their service territory. It constitutes a considerable improvement over their current program. Under the existing program rebates range from $450 to $650. No special loan program is available to further encourage investment.

The new program provides a flat $2,000 rebate for each system installed on an existing building, and $1,500 for a system installed in new construction. Also offered are 0% interest loans with possible terms of 3, 5, 7, or 10 years. The solar panels must be SRCC certified and the system must be sized for a family of four.

With this structure, and taking into account the current availability of federal income tax credits for solar water heating systems, the lower the cost of a system, the higher the percentage of the cost is covered by an incentive. The federal tax credit is currently 30% of the value of the system up to a credit value of $2,000, and the percentage basis is the difference between any state or local incentive and the system cost.

Here are two examples each for differently priced retrofit and new construction systems.

RETROFIT SYSTEM

New Construction System

Austin Energy plans to market the new incentive program in “Electric Water Heater” neighborhoods through a variety of means including door hanger distribution, direct mail, and upgraded website promotion with an educational component.

For more information contact Leslie Libby at 512-482-5390, leslie.libby@austinenergy.com.

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July 09, 2007

Houston Technology Center Strengthens Commitment to Renewable Energy

“To maintain our status as the global energy capital, Houston must leverage its leadership in conventional energy to promote renewable energy development, ensuring a steady energy supply while preserving a healthy environment”, said Walter Ulrich, HTC’s President and CEO. “Governor Perry’s new bio-energy initiative is of great significance, considering the rich agricultural community of Texas and the extensive research of renewable energy technology being done in our state”, he added.

Governor Perry’s initiative is consistent with HTC’s recent increased emphasis on fostering the growth of emerging companies developing technologies that support development of renewable energy, including bio-fuels, wind energy and hydro energy, as well as more efficient and environmentally conscious methods for exploration and production of conventional energy.

Energy is one of five key sectors for technology growth in Houston identified in HTC’s recently completed strategic plan. HTC works to identify emerging companies developing technologies that support the energy sector and provides business guidance, mentoring, networking and education to help them grow and commercialize their innovative technologies. HTC plans to further grow the sector and place an enhanced emphasis on renewable energy technologies adding more clients in this area.

The Houston Technology Center (HTC), a non-profit 501(c)(3) corporation, is Houston’s business accelerator and the largest technology business incubator in Texas. HTC accelerates the commercialization of emerging technology companies by providing in-depth business guidance, access to capital and service providers, and entrepreneurial education. Supported by more than 300 corporations and organizations, Houston’s leading academic institutions, the Greater Houston Partnership, the Texas Medical Center, NASA-Johnson Space Center, and the City of Houston, HTC has become the center of technology entrepreneurship by assisting more than 200 companies within several key sectors: Energy, Technology, Life Sciences, Nanotechnology, and NASA/Aerospace technologies. For more information, visit www.houstontech.org.  

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June 30, 2007

National  25x '25 Alliance Rolls Out State Renewables Study in Waco 

Report says in meeting the goal, Texas would lead

Texas would lead the nation in the production of new energy under a 25 x '25 renewable energy future, the Texas State 25 x '25 Alliance said today. Citing an analysis by the University of Tennessee's Department of Agricultural Economics, the state alliance said that Texas, by helping meet 25 percent of the nation's energy needs with renewable sources by 2025, would generate an additional 1.27 quads of energy from resources such as biofuels, wind energy and solar power. A quad is the equivalent to the electricity and fuel consumed over one year by 4.4 million American homes.

Under the 25 x '25 renewable energy scenario, by 2025, Texas would also generate an additional $22.8 billion in new economic activity each year, the fifth highest in the country.

In a press conference held today to release the University of Tennessee figures and outline renewable energy goals for Texas, state 25 x '25 Alliance members said that by 2025, the Lone Star State will have the potential to produce 3.76 billion gallons of biofuels and 144.5 kilowatt hours of renewable electricity--a 2,130-percent increase from 2003 levels.

"Texas has long been the leading energy state, thanks to oil and natural gas," said Travis Brown, renewable energy specialist with the state Office of Rural Community Affairs and co-chair of the State 25 x '25 Alliance. "This new study shows that Texas, blessed with plenty of wind and sun, can also be the leading renewable energy state."

"Texas will play a major role in reaching this national goal for renewable energy," said Russel Smith, executive director of the Texas Renewable Energy Industries Association and a member of the state Alliance. "We're already number one in wind power, and with just a bit of forward-thinking state leadership, our solar, biofuels and biomass industries will soon join wind power in helping meet the state's energy demands."

"Agriculture in Texas is waking up to the tremendous opportunities renewable energy offers," said Gary McGehee, state director for the Texas Farm Bureau and another alliance member. "Our farmers and ranchers can realize new revenue streams from renewable energy and also help make the nation less dependent on imported energy."

Texas Agriculture Commissioner Todd Staples said the report shows the state is ready to make a transition into a renewable energy future. "For decades we have depended on what is below the ground for our nation's energy and now with the 25 x '25 vision, we can rely on what is grown above the ground," the commissioner said. "It's really a matter of national security: we must lessen our dependence on imported oil and turn to those we can trust, and that is our nation's farmers."

In terms of energy production, Nebraska would rank second behind Texas with 1.16 quads of new energy under the 25 x '25 scenario. Other states that increase renewable by more than 0.5 quads include Kansas, Iowa, North Dakota, Minnesota, Illinois, Montana, South Dakota, Oklahoma, and Missouri. Illinois would lead the nation in new economic activity, generating $40.1 billion annually under the 25 x '25 scenario.

The University of Tennessee study is an extension of a November 2006 national report which concluded that the nation's farms, forests and ranches could provide 25 percent of U.S. total energy needs while continuing to produce safe, abundant and affordable food, feed and fiber. The national study showed the project annual impact on the nation from producing and converting feedstocks into energy would be in excess of $700 billion in 2025 alone.

Contributions from America's farms, forests and ranches could result in the production of 86 billion gallons of ethanol and 1.2 billion gallons of biodiesel, which has the potential to decrease gasoline consumption by 59 billion gallons in 2025. The production of 15.45 quads of energy from biomass could replace the growing demand for gasoline, natural gas, diesel, and/or coal generated electricity. In addition, nearly 7 quads of energy are generated from solar and wind resources.

A copy of this press release, an executive summary of the state-by-state analysis, a Texas renewable energy data sheet gleaned from the state-by-state analysis and a brochure detailing a 25 x '25 renewable energy future in Texas can all be downloaded by going to http://www.25x25.org.

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June 25, 2007

Texas Lands Major Wind Turbine Research Lab

Department of Energy chooses both Texas and Massachusetts sites

Jerry Patterson, Commissioner of the Texas General Land Office, today welcomed the announcement by U.S. Department of Energy Secretary Samuel W. Bodman that Texas will be home to one of two large-scale wind turbine research and testing facilities. This facility will develop the next generation of wind turbine technology, which will produce more kilowatts per turbine.

"This is the birth of a new industry here in Texas, "Patterson said. "Once we build these test facilities, the wind turbine and b lade manufacturers will come. I think there will be plenty of business for both Texas and Massachusetts to come out winners."

Patterson praised President Bush's renewable energy initiatives announced Monday.

"President Bush is a Texan who understands the energy business., Patterson said. "The president knows our nation needs oil, gas and coal. But we also need to diversify our portfolio to include renewable energy sources such as wind power."

The site for the Texas large-scale wind turbine and blade testing facility will be just north of Corpus Christi, at Ingleside-on-the-Bay. BP, which has a history of developing cutting edge technologies and is an acknowledged leader in the development of alternative energy, generously donated 22 acres of land for the effort. BP also donated $250,000 toward funding the facility.

"BP has a major stake in helping the U.S. deliver clean energy from a secure and sustainable resource," said Bob Lukefahr, president of BP Powers Americas. "We firmly believe that locating this facility in Texas will enable the wind industry to move at the pace this nation now demands. Texas has long been recognized as the leading state for the offshore energy industry. By locating the facility in Texas, we will benefit from the ability to leverage the skills and knowledge available from the offshore industry."

The Texas bid for the test facility was handled by the Lone Star Wind Alliance, a Texas-led coalition of universities, government agencies and corporate partners created to prepare the proposal for submission to the federal government.

The Lone Star Wind Alliance includes the University of Houston's Cullen College of Engineering, The University of Texas at Austin, Texas A&M University, Texas Tech University, West Texas A&M University, the Houston Advanced Research Center, Stanford University, Montana State University, New Mexico State University, Old Dominion University, the Texas General Land Office, the State Energy Conservation Office, The Texas Workforce Commission, Governor Rick Perry, Dow Chemical Company, Huntsman and Good Company Associates.

"We are very excited about this opportunity and it is an important step in the leadership of Texas in wind energy." said Ray Flumerfelt, Dean of the Cullen College of Engineering at the University of Houston. "It will result in Texas having unique would-leading research and test capabilities for large turbine blades and other wind energy system components."

The facility will be built through an innovative public-private partnership, organized through the National Renewable Energy Laboratory of the U.S. Department of Energy. Private wind turbine and blade manufacturers are expected to fully fund the operations of the facility within five years of its construction.

The Texas Legislature played a crucial role in securing the facility, pledging $5 million toward its construction. State Sen. Judith Zaffirini carried the $5 million request and Gov. Perry signed off on it in the final budget. Another $5 million is pending final approval through the state;s Energy Technology Fund.

Texas' representatives in Congress were also very supportive, with Sen. Kay Bailey Hutchinson championing the effort.

Patterson has likened the potential impact of the test facility to that of NASA in Houston during the space race in the 1960's.

In May of 2006, the Department of Energy announced it is seeking partners to build a new facility capable of testing blades up to a minimum of 70 meters long. In addition to Texas, the states of Iowa, Maine, Massachusetts, Ohio and Virginia submitted applications for the test facility.

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May 30, 2007

Chevron and Texas A&M Form Strategic Biofuels Research Alliance

Joint effort to focus on conversion of non-food crops into renewable transportation fuels

Chevron Corporation and the Texas A&M Agriculture and Engineering BioEnergy Alliance (Texas A&M BioEnergy Alliance) announced today that they have entered into a strategic research agreement to accelerate the production and conversion of crops for manufacturing ethanol and other biofuels from cellulose.

Chevron Technology Ventures, a division of Chevron USA, Inc., will support research initiatives over a four-year period through the Texas A&M BioEnergy Alliance, a formal partnership combining the collective strengths of The Texas A&M University System's two premier research agencies in agriculture and engineering – the Texas Agricultural Experiment Station (TAES) and the Texas Engineering Experiment Station (TEES).

The research initiatives will focus on several technology advancements to produce biofuels including, but not limited to:

• identifying, assessing, cultivating, and optimizing production of second-generation energy feedstocks for cellulose and bio-oils with a focus on non-food crops,

• characterizing and optimizing the design of dedicated bioenergy crops through advances in genomic sciences and plant breeding,

• developing integrated logistics systems associated with the harvest, transport, storage and conversion of bioenergy crops, and

• developing advanced biofuels processing technologies.

"Chevron believes that biofuels will fill an important role in diversifying the nation's energy sources by providing a source of low-carbon transportation fuel," said Don Paul, vice president and chief technology officer, Chevron Corporation. "Bringing biofuels to large-scale commercial production is an enormous challenge that requires the combined efforts of industry, universities and research institutions, and governments. It is through partnerships like this that biofuels will be a viable part of meeting the energy challenges of tomorrow."

"The Texas A&M BioEnergy Alliance has a broad, holistic vision focused on developing practical, near-term solutions to bioenergy related problems, in addition to performing the necessary long-term fundamental research," said Dr. G. Kemble Bennett, vice chancellor and dean of Texas A&M Engineering. "Forming an alliance with Chevron fits well with our research initiatives and allows us to leverage our strengths in biomass and biofuels to transfer new technologies from lab to the public, providing real solutions that are economical, sustainable and environmentally friendly."

For instance, Texas A&M BioEnergy Alliance partners in agriculture have developed exceptional high-yield cellulosic energy crops that can produce significantly more biomass per acre than most alternatives.

"The development of biofuels from agricultural feedstocks requires a regional approach and research into many alternatives for the long-term energy needs of our country," said Dr. Elsa Murano, vice chancellor and dean of Texas A&M Agriculture and Life Sciences. "We have been able to capitalize on decades of existing research into sorghum, sugarcane, forage and oil-based cropping systems, which should provide us with premier, dedicated feedstocks for biofuels and renewable energy that are sustainable within existing agricultural production systems."

"Cellulosic ethanol, as opposed to sugar- or starch-based ethanol, broadens the choice of feedstock without impacting food supplies," said Rick Zalesky, vice president of Biofuels and Hydrogen, Chevron Technology Ventures. "Making it commercially viable poses a number of scientific and technical challenges – challenges which we believe the faculty, staff and students at one of the world's premier universities in agricultural sciences and engineering are well-equipped to overcome."

Cellulose is an energy-rich carbohydrate that is the main structural component of green plants, found in the stems, stalks and leaves. One of the primary technical and scientific challenges of making biofuels from cellulose involves designing a low cost method for releasing sugar from cellulose that is bound in the plant cell wall for fermentation into ethanol or other biofuels.

Chevron formed a biofuels business unit in May 2006 to advance technology and pursue commercial opportunities related to the production and distribution of ethanol and biodiesel in the United States. Its research and development (R&D) activities in biofuels are currently structured around a research initiative with Weyerhaeuser Company, one of the world's largest integrated forest products companies; a major alliance with U.S. Department of Energy's National Renewable Energy Laboratory (NREL); and a portfolio of four significant, regionally focused university programs. In addition to the Texas A&M agreement announced today, Chevron's biofuels business unit has formed research arrangements with the Georgia Institute of Technology, the University of California – Davis and the Colorado Center for Biorefining and Biofuels, which is a consortium of NREL, three major Colorado universities and other private companies. Chevron maintains a substantial internal proprietary capability directed to applying R&D and commercializing external research success.

Chevron is investing across the energy spectrum to develop energy sources for future generations by expanding the capabilities of today's alternative and renewable energy technologies. Between 2002 and 2006, Chevron spent roughly $2 billion on renewables and alternative energy and energy efficiency initiatives. Between 2007 and 2009, Chevron expects to spend more than $2.5 billion.

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May 17, 2007

TXU Wholesale Adds to Wind Energy Portfolio with 209-MW Deal 

Second Airtricity Contract Increases Renewable Leader's Purchases to 914-MW

TXU Wholesale, a subsidiary of TXU Corp., announced today it has increased its portfolio of wind power contracts with a 209-megawatt (MW) agreement with Airtricity, a world-leading renewable energy company based in Dublin, Ireland.

Under terms of the five-year contract, Airtricity will provide the wind power generated by its Roscoe Wind Farm, currently under construction about 45 miles southwest of Abilene in West Texas. The project, Airtricity's third in Texas, will use 209 1-MW Mitsubishi 1000A turbines.

"We're proud of our position as the No. 1 purchaser of wind power in the state of Texas, and this contract only solidifies that," said Mike McCall, chairman and CEO of TXU Wholesale. "We are well on our way to more than doubling our wind power purchases to 1,500 MW and increasing our investments in alternative energy, as announced as part of our merger agreement with Texas Energy Future Holdings Limited Partnership."

The contract is TXU Wholesale's second with Airtricity and will boost TXU's renewable energy portfolio to 914 MW from 965 wind turbines. TXU Wholesale's other contract is for 125 MW from Airtricity's recently opened Forest Creek Wind Farm 25 miles southeast of Big Spring, Texas.

"Airtricity is playing a leading role in helping Texas and America meet its fast-growing energy needs," said Airtricity North America CEO Declan Flanagan. "As electricity demand and natural gas prices continue to rise, policymakers and businesses like TXU are seeing the benefit of tapping into Texas's vast wind energy resource."

The Roscoe Wind Farm will stretch into three West Texas counties and will cover nearly 30,000 acres when it is completed. The project, which is scheduled for completion by the end of the year, will produce enough power annually for 60,000 homes and save approximately 375,000 tons per year in greenhouse gas emissions.

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April 12, 2007

Annual U.S. Wind Power Rankings Track Industry's Rapid Growth

Wind continues to rank as one of the largest sources of new power generation and a mainstream option to meet growing electricity demand.

The American Wind Energy Association (AWEA) today released its annual rankings of wind energy development in the United States. The U.S. wind energy industry installed over 2,400 megawatts (MW) of new power generation in the country, an investment of about $4 billion, making wind one of the largest sources of new power generation in the country at a time of growing electricity demand.  Total installed U.S. wind power capacity is over 11,600 MW, or enough to serve the equivalent of 3 million average households.

The rankings include the states that generate the most electricity from wind, the nation’s largest wind farms, leading suppliers of wind turbines, largest owners of wind projects, utilities that use the most wind power for their customers, and other industry information.  Following a growing number of inquiries, this year’s rankings also feature a new category: Congressional districts with most wind power installed.

“These wind power rankings tell the story of a vibrant industry that is growing fast, competing hard, gaining market share, and all the while powering a cleaner, stronger America ,” said AWEA executive director Randall Swisher.  “Our new Congressional district rankings also serve as a reminder of the many benefits that wind power brings to local communities--new jobs, more local revenue, cleaner air, and an essential, home-grown contribution to meeting the challenge of global warming.” 

However, a long-term extension of the renewable energy production tax credit (PTC) is crucial to sustain this growth. Previous short-term extensions have led to a boom-and-bust cycle in the wind industry, increasing costs along the entire supply chain and preventing businesses from growing to their full potential.

AWEA’s annual industry rankings provide a standard reference for tracking the growth of wind power in the U.S.   You can view the full rankings on our Web site at http://www.awea.org/newsroom/releases/Annual_US_Wind_Power_Rankings_041107.html

Highlights of the rankings (as of December 31, 2006) include:

Texas is firmly established as the state that generates the most electricity from wind, with over 2,700 MW installed at the end of 2006 and some 1,000 MW currently under construction.  California ranks second with 2,361 MW installed; Iowa ranks third with 936 MW installed;  Minnesota ranks fourth with 895 MW installed. Washington moves into fifth place (ahead of Oklahoma ) with the addition of two large projects, Big Horn and Wild Horse, with 818 MW installed. 

Horse Hollow ( Texas ) is the largest wind farm operating in the United States, followed by Maple Ridge ( New York ).

GE Energy remains in the lead as the largest manufacturer of wind turbines with Siemens carving out the second-largest market share by megawatts installed.

FPL Energy continues to dominate the U.S. wind energy market with the construction of 777 MW of new wind power projects; about a third of all new installations in the United States in 2006.

Xcel Energy uses the most wind power on their system with 1323 MW followed by Southern California Edison with 1026 MW.

Texas’ 19th district (Rep. Randy Neugebauer) ranks as having the most wind power with 1419 MW; followed by California’s 10th  district (Rep. Ellen Tauscher) with 920 MW; and third by Texas 11th district (Rep. Mike Conaway) with 847 MW.

Please view the full rankings and additional industry information on our web site at
http://www.awea.org/newsroom/releases/Annual_US_Wind_Power_Rankings_041107

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March 13, 2007

Wolff Challenges Business to Follow Citynap's Green Lead

Bexar County Judge Nelson Wolff today lauded CityNAP as the first “green” data center in Texas and urged other businesses to follow suit in meeting part or all of their electric requirements with Windtricity®, renewable wind-generated electricity from CPS Energy.

As part of the CPS Energy Windtricity Business Partners Program, CityNAP has agreed to offset the total amount of energy the data center uses with the purchase of Windtricity.  The company located in downtown San Antonio will pay a premium to secure all of its power from renewable energy.

“CityNAP has taken a leadership role in this community to power its international fiber optic marketplace with wind power,” said Wolff, a Windtricity customer.  “I hope to see other area businesses and residents sign up for CPS Energy Windtricity and reduce reliance on electricity produced by fossil fuels.”

“By signing up for 100 percent CPS Energy Windtricity, we are now the first green data center in Texas,” said CityNAP President Frank R. Robles.  “A center like ours uses a lot of energy, so we’re doing everything we can to lessen our impact on the environment by using the most energy-efficient equipment and buying renewable energy.” 

CPS Energy Windtricity offers customers the opportunity to offset their electrical use with wind-generated energy.  Since 2001, when electricity started flowing from the Desert Sky Wind Farm in West Texas, Windtricity customers have offset 23,987,900 kilowatt-hours (KWH) of their energy from wind power.  In 2006, CPS Energy expanded its wind capacity by acquiring the output of the Cottonwood Creek Wind Farm near Sweetwater.  Currently CPS Energy has either in operation or under contract 500 megawatts (MW) of wind energy, in essence the equivalent of a sizeable “renewable energy power plant.”

In the past year several businesses decided to use renewable energy, and more businesses are expressing interest every day.  CPS Energy developed the Windtricity Business Partners Program to create new opportunities for businesses as well as residential customers who want to support green initiatives.  CPS Energy Windtricity information is available at 226-WIND. 

“Renewable energ capacity from wind, solar and landfill gas now comprises a substantial 11 percent of our peak electrical demand,” said CPS Energy CEO Milton B. Lee.  “Our goal as part of our Strategic Energy Plan is renewable capacity of 15 percent of peak demand by the year 2020.  We are well on our way toward meeting this ambitious goal, and we are one of only a handful of energy systems across the nation that has achieved double-digit renewable energy capacity.”

CityNAP,South Texas’ first tier 1 network access point, is an Internet hub and data center that acts as a point of convergence for multiple fiber-optic networks.  It offers a secure, state-of-the-art center that enables businesses such as AT&T and Time Warner to access multiple communication networks.  Robles, a Silicon Valley veteran, founded the company in September 2006.  For more information, go to www.citynap.com.

CPS Energy is the nation’s largest municipally owned energy company providing both natural gas and electric service.  Acquired by the City of San Antonio in1942, CPS Energy serves approximately 662,000 electric customers and more than 314,000 natural gas customers in and around the seventh largest city in the U.S.  Proceeds from CPS Energy remain in San Antonio and account for more than one-fifth of the City’s annual operating budget for police and fire protection, street improvements, parks and other services.  CPS Energy bills rank among the lowest of the nation’s largest cities, and the company has earned the highest financial ratings of any electric system in the nation.  More CPS Energy information can be found on the Web at www.cpsenergy.com.

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March 13, 2007

New Study Shows How Texas Can Meet Future Energy Needs with Energy Efficiency and Onsite Renewables

A new study released today shows that a combination of energy efficiency and onsite renewable energy resources, coupled with expanded demand response programs, can meet Texas’s growing electricity needs and save consumers money at the same time.

The study, "Potential for Energy Efficiency, Demand Response, and Onsite Renewable Energy to Meet Texas's Growing Electricity Needs," was commissioned by Environmental Defense and conducted by researchers at the American Council for an Energy-Efficient Economy (ACEEE) in Washington, D.C., based on ACEEE research with support from Texas experts.

“Energy efficiency is the most affordable energy resource in Texas,” said Dr. R. Neal Elliott, Industrial Program Director at ACEEE and lead author of the report. “While 18% efficiency savings may seem challenging, Texas is already finding energy efficiency resources at less than 4 cents per kilowatt-hour, compared to the expected cost of power from new plants of 5 to10 cents. Texas can procure more of these low-cost resources to meet future energy needs, addressing the question of where the state will get power to meet its growing demand.”

The study outlines nine policies to moderate electricity demand through energy efficiency and develop onsite renewable energy resources such as solar and biomass. The expanded efficiency policies would meet 17.5% of forecasted 2023 electricity demand, while the onsite renewable policies would displace future conventionally generated electricity by an additional 4.9% for a total reduction of 22.4%, meeting the projected increases in demand over the next 15 years.

“Our state continues to grow and that leads us to some pretty important decisions in determining what sources our energy is going to come from over the coming years,” said Ramon Alvarez, an air quality scientist with Environmental Defense. “Our state legislature has an opportunity to adopt policies for our state that can reduce the amount of energy we need while protecting the environment and consumers.”

Texas’s peak electricity demand-which occurs, for example, when consumers crank up air conditioners during extreme heat-is growing faster than the state’s population. State energy leaders are concerned about whether the state will have sufficient generation to meet peak demand by 2009.

“Cost-effective demand response programs could reduce Texas’s peak electricity demand by over 1,000 megawatts in 2009, and over 3,000 megawatts in 2013,” said Alison Silverstein, former Chief of Staff of the Federal Energy Regulatory Commission (FERC) and coauthor of the report. “Over the longer term, price-responsive demand could permanently change Texas’s peak electricity requirements.”

Combined with demand response and renewables, efficiency offers Texas a sustainable energy future that provides greater energy security, costs less, pollutes less, and supports economic growth better than the state’s current course.

“Texas has become a leader in renewable wind energy, but has been slow to implement onsite renewable energy resources,” said Mike Sloan of Virtus Energy Research, coauthor of the report. “An investment today in onsite solar and biomass will help create the future capability that will allow renewables to meet a growing share of the state’s energy needs.”

This report will be followed by a second study that will assess the economic impacts of these investments in energy efficiency and renewable energy resources. A previous analysis in Texas found that these types of investments typically produce twice the jobs and in-state economic growth that are produced from an equivalent investment in power plants.

“Energy efficiency is the first fuel in the race for affordable and clean energy, because it is the cheapest and fastest to deploy,” said Elliott. “The recommendations we have outlined in this report can be adopted now, implemented now, and can immediately reduce the demand for energy.”

The study recommends nine policies as building blocks for this new energy future:

1. Expand Texas’s existing Energy Efficiency Improvement Program (EEIP) from the current 10% of load growth to 50% of load growth
2. Tighten building energy codes
3. Increase demand response programs that can reduce electricity demand during peak load periods
4. Set a target for expanded installation of combined heat and power (CHP) capacity in Texas
5. Provide incentives for expanded installation of onsite renewable energy
6. Set new state-level appliance and equipment standards
7. Develop advanced energy-efficient building program
8. Implement energy-efficient state and municipal buildings program
9. Implement short-term public education and rate incentives

The report,"Potential for Energy Efficiency, Demand Response, and Onsite Renewable Energy to Meet Texas's Growing Electricity Demands," is available for free download at http://aceee.org/pubs/E073.htm or a hard copy can be purchased for $50 plus $5 postage and handling from ACEEE Publications, 1001 Connecticut Avenue, N.W., Suite 801, Washington, D.C. 20036-5525, phone: 202-429-0063, fax: 202-429-0193, e-mail: aceee_publications@aceee.org.

Contact: R. Neal Elliott, 202-487-0615, rnelliott@aceee.org
Bill Prindle, 202-429-8873, bprindle@aceee.org
Media Contact: Glee Murray, 202-429-0063, gmurray@aceee.org

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January 30, 2007

Cityof Dallas to Use Green Energy to Power Street Lights 

Nearly half of the street lights in the City of Dallas will soon be lit by renewable "green power," city officials announced today. The action is a first for Dallas, and part of the city's efforts to meet future environmental challenges.

"This is a reflection of Dallas' commitment to using clean, renewable energy wherever and whenever possible," said Interim Energy Manager Jesse Dillard. "Shifting to green power for our energy needs is better for the environment, and makes sense."

Under the pilot program approved by the Dallas City Council on Wednesday, the city will purchase 30 million kilowatt hours of renewable energy credits from the Texas General Land Office, which will provide power for 34,000 of the city's street lights, starting in mid-February. The renewable credits guarantee the power will originate from solar, wind, geothermal, biomass or low-impact hydropower sources in Texas.

Dillard said the renewable credits are intended to be retired on the city's U.S. Green Building Council's Leadership in Energy and Environmental Design (LEED) certified facilities. Dallas has made a commitment that all new city facilities over 10,000 square feet will be silver certified by the LEED rating system. The credits encourage the development and use of grid-source, renewable energy technologies on a net zero pollution basis.

According to the U.S. Environmental Protection Agency, conventional electricity generation is one of the largest industrial sources of air pollution. Green power is catching on as an environmentally friendly alternative to traditional electricity processes.

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January 30, 2007

Wind Power Capacity in U.S. Increased 27% in 2006 and is Expected to Grow an Additional 26% in 2007 

Annual industry outlook details growth spurred by strong demand, investment of private capital, as well as support of federal and state governments

Annual industry outlook details increased growth spurred by strong demand, investment of private capital, as well as support of federal and state governments additional 26 percent in 2007, proving wind is now a mainstream option for new power generation, according to a market forecast released today by the American Wind Energy Association (AWEA). Wind’s exponential growth reflects the nation’s increasing demand for clean, safe and domestic energy, and continues to attract both private and public sources of capital.

“iPods, flat screen televisions and other highly sought technologies are creating a demand for electricity that is beginning to eclipse our current supply. Wind is a proven, cost-effective source of energy that also alleviates global warming and enhances our nation’s energy security,” said AWEA Executive Director Randall Swisher.

The U.S. wind energy industry installed 2,454 megawatts (MW) of new generating capacity in 2006, an investment of approximately $4 billion, billing wind as one of the largest sources of new power generation in the country – second only to natural gas – for the second year in a row. New wind farms boosted cumulative U.S. installed wind energy capacity by 27 percent to 11,603 MW, well above the 10,000-MW milestone reached in August 2006. One megawatt of wind power produces enough electricity to serve 250 to 300 homes on average each day.

Wind energy facilities currently installed in the U.S. will produce an estimated 31 billion kilowatt-hours annually or enough electricity to serve 2.9 million American homes. This 100 percent clean source of electricity will displace approximately 23 million tons of carbon dioxide – the leading greenhouse gas – each year, which would otherwise be emitted by traditional energy sources such as coal, natural gas, oil and other sources.

Wind power has also attracted the support of state and federal government legislatures. The U.S. Congress recently extended the federal production tax credit (PTC) through December 2008 to further expand the number of wind farms throughout the U.S. Based on the success of the PTC to date, AWEA is calling for extending the provision an additional five years.

The industry has demonstrated a generous return on the investment of both private and public investment in wind,” said Swisher. “Extending the PTC five years will significantly increase the progress America is making in expanding its use of new forms of energy when they’ve never been needed more.”

The industry outlook also finds:

• Texas accounted for nearly a third of the new wind power installed in 2006, taking over the lead from California in cumulative installed capacity. Texas hosts the world’s single largest operating wind farm, the 735-MW Horse Hollow Wind Energy Center, located in Nolan and Taylor counties.

• Much of the new wind equipment in 2006 was produced in new manufacturing facilities in Iowa, Minnesota, and Pennsylvania. Additional announcements are expected in 2007. Investment in manufacturing capability signals confidence in the market and lays the groundwork for expanded growth capability.

• New utility-scale turbines were installed in a total of 20 states across the country, from Maine to New Mexico to Alaska.

• The top five states in new installations were Texas (774 MW), Washington (428 MW), California (212 MW), New York (185 MW) and Minnesota (150 MW).

AWEA gathers the data for its analysis each January by contacting wind farm developers and turbine manufacturers around the country.

For more information contact Christine Real de Azua, 202-383-2508, Christine@awea.org.

A state-by-state listing of existing and proposed wind energy projects is available on AWEA's Web site at http://www.awea.org/projects/index.html

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December 4, 2006

LCRA To Purchase Renewable Biogas For Its Natural Gas-Fueled Power Plants

Gas from cow manure and other organic matter will soon help fuel some of the Lower Colorado River Authority's (LCRA) power plants

LCRA has signed an agreement to purchase renewable natural gas from Microgy, Inc., a direct subsidiary of Environmental Power Corporation (EPC). LCRA has agreed to purchase all the pipeline-quality renewable natural gas from Microgy’s Huckabay Ridge facility, up to two million cubic feet per day.

The Huckabay Ridge facility, located near Stephenville, west of Fort Worth in Erath County, is expected to begin full commercial production by April 2007. It is to produce an aggregate of one billion cubic feet of biogas per year with an energy content of 650,000 million Btu (equivalent to approximately 12,700 gallons per day of heating oil). The gas will be treated and compressed to produce pipeline-grade natural gas, which LCRA will be able to use at any of its three gas-fired power plants in Bastrop and Llano counties.

“This purchase agreement with Microgy demonstrates our commitment to providing clean, renewable energy to the people of Texas,” said Dan Kuehn, executive manager of wholesale power services at LCRA. “In addition to developing new sources of sustainable energy, this arrangement will help to protect the natural resources we value so highly.”

“Texas is home to a growing agricultural community, and this agreement is an important step towards developing a truly renewable energy source from the state’s dairy farms,” said John O’Neill, chief financial officer of Environmental Power. “The environmental benefits of our energy generation match LCRA’s commitment to environmental stewardship, and we look forward to working together to provide the state with a reliable, renewable source of natural gas.”

Microgy’s renewable natural gas, or biogas, is produced by the anaerobic digestion of cow manure and other organic matter. Anaerobic digestion is a biochemical process in which microbes break down organic material in an oxygen-free environment. Within the digestion tank, wastes decompose over time into biogas, converting a waste product into a source of energy.

The facility is located adjacent to a composting site that receives manure from more than 20,000 cows. Biogas is rich in methane (natural gas) and carbon dioxide and is considered a renewable fuel source.

While the costs and emissions from burning renewable biogas are roughly the same as those of natural gas, using biogas to generate electricity prevents methane from the waste material escaping into the atmosphere. As a greenhouse gas, methane is 20 times more potent than carbon dioxide.

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November 19, 2006

WindRosePower Announces 100.5 MW Childress Wind Project

Dallas-based WindRosePower, LLC today announced its100.5 megawatt (MW) wind energy project in Childress County, Texas, in the Red River Valley, with planned commercial operation date in the spring of 2008.

Henriette A. Boom and Jennifer Defenbaugh, Principals and Partners of WindRosePower LLC, disclosed that the 100.5 MW project has already applied for interconnection with the Electric Reliability Council of Texas (ERCOT) and is ready to move on to the Full Interconnection Study phase.

West Texas leads the Western Hemisphere in wind energy production, passing California in June 2006, and features the world’s most innovative turbine technologies

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October 17, 2006

El Paso Army Post Shooting For Solar Power World Record

Fort Bliss plans to set a world record in solar power production. The U.S. Army base, located near El Paso, Texas, launched a project last week to build a 1.5-MW solar photovoltaic power plant using technology developed by Atira Technology and studied extensively by the Naval Postgraduate School (NPS).

While that project is impressive enough, Fort Bliss plans to start a second phase in the fall of 2007 that will generate 20 MW of solar power, a record size for the United States. But that's not all: phase three in 2008 will generate 40 MW, and phase four in 2009 will generate 1,000 MW of power.

If the Fort Bliss project goes that far, it will shatter all current records for power production from solar photovoltaic systems. Called "Power the Army!," the Fort Bliss project aims to cut solar power costs in half using new Atira technologies that have passed field tests conducted by both the Army and Navy. According to NPS, the Atira solar cells and power inverters both operate more efficiently than today's technologies.

For further details, see:

Article from Naval Postgraduate School:

http://www.nps.edu/News/ReadNews.aspx?id=2908&role=pao&area=media

“Power the Army” Web Page:

http://gina.nps.navy.mil/Projects/PowerTheArmy/tabid/61/Default.aspx

“Power the Army” Fact Sheet:

http://gina.nps.navy.mil/Portals/0/PtA/PtA_FactSheet_10170RT.pdf

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October 12, 2006

Energy Secretary Announces $13 Million to Expand Solar Energy Technologies

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October 9, 2006

E85 Stations Reach 1,000

There are now over 1,000 publicly and privately accessed E85 fueling locations throughout the United States! The Cenex on 320 3rd Street Northwest in Bemidji, Minnesota can proudly be named the one-thousandth facility.

The number of E85 stations has grown significantly in just a short period of time. Below is an approximation of how many E85 outlets were in operation over the past several years:

January 2003: 100

January 2004: 150

January 2005: 285

January 2006: 600

In October of 2005, the station count was 438; the number has more than doubled in 12 months!

“We are so pleased to achieve this milestone!” exclaimed Phil Lampert, Executive Director of the National Ethanol Vehicle Coalition (NEVC). “From a very humble beginning of a few stations in Minnesota, Illinois, and Iowa, achieving this level of stations is significant. While 1,000 stations is only a drop in the so called 'fueling station bucket' (approximately 170,000 sites offer gasoline in the U.S.), recent progress has been incredible. We can only relate this level of achievement to our members, partners, and supporters!”

Lampert added, “It’s appropriate that the E85 station number 1,000 is located in Minnesota, home of more E85 stations than any other state. The entire Minnesota E85 Team, led by the American Lung Association of Minnesota and the Minnesota Corn Growers Association, have again demonstrated their commitment to the expansion of the use of 85 percent ethanol as a form of alternative transportation fuel.” There are currently over 300 E85 outlets in the state of Minnesota.

The NEVC has been involved with the establishment of each of these 1,000 stations through the provision of technical, promotional and/or financial support. “The NEVC doesn’t open these stations, we merely provide the necessary support. This achievement would never have been accomplished without the help of all involved. We look forward to adding an abundant number of these facilities in years to come,” added Lampert.

Currently there are 946 publicly accessed and 56 private fleet accessed locations across the country, covering thirty-nine states. Arkansas and Massachusetts just recently added their first E85 facility to each of their states.

The National Ethanol Vehicle Coalition has the most complete and up-to-date listing of E85 refueling locations. You can find the listing at www.e85refueling.com. 

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