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Energy Security through Distributed Generation
THE UNITED STATES IS AT GRAVE RISK TO BOTH “MALIGNANT” AND “MALEVOLENT” DISRUPTIONS TO THE GRID AND THAT THREAT CAN BE ADDRESSED THROUGH DISTRIBUTED RENEWABLE GENERATION WHICH CAN SIMULTANEOUSLY REDUCE THE IMPORTANCE OF OIL TO THE IGNOMINIOUS FALL FROM GRACE OF SALT.  – R. JAMES WOOLSEY, FORMER CIA DIRECTOR
Over 50% increase in electricity prices during the last decade Source: Energy Information Administration
Rate Increases Expected to Continue Source: Bradenton Herald Source: South Florida Sun-Sentinel
Add the Concern for the Environment and National Security
 
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Distributed Generation ,[object Object],[object Object],[object Object],[object Object],[object Object]
Floridians Need a Sustainable Energy Policy ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
What attracts debt investments? ,[object Object],[object Object],[object Object],Source: Good Energies
What gets financed ,[object Object],[object Object],[object Object],[object Object]
"There's enormous potential for new jobs and reduced carbon pollution just by implementing existing technologies like energy efficiency and wind energy, but we also need to develop  transformative new solutions .  As a scientist, I remain optimistic that these breakthroughs are within our reach, and investments like these are an important part of achieving them."  Steven Chu  Ph. D.  Secretary Dept. of Energy
PRODUCTION BASED INCENTIVES ,[object Object]
What are PBIs ,[object Object],[object Object],[object Object],[object Object],[object Object]
From Centralized Production and Delivery by Utilities Utility Homes Schools Business Church
To Distributed Production Utility Homes Schools Business Church
25 MW Solar Farm
“ Solar on Every Rooftop and Widespread Renewables”
Why PBIs? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Benefits Community Job Creation Boom of local and foreign investment Creates local wealth Stabilize Energy Costs Investors Simplicity Guaranteed Revenue Stream Predictable Returns Renewables Enhance Property Values Environment/ Security Reduce dependence on foreign oil Improve national security Protect our health Global Warming
Everyone can participate. The average American can become an entrepreneur by selling the electricity that they produce.
Common Concerns A New Paradigm ,[object Object],[object Object],[object Object],[object Object],Cost ,[object Object],[object Object],[object Object],[object Object]
Source: BMU, 2008, NREL 2009 Germany & Spain use a FIT Model while UK & Italy use a REC Model
Source: BMU, 2008, NREL 2009 Germany & Spain use a FIT Model while UK & Italy use a REC Model
Who benefits from a PBI policy? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
WHY NO PBIs?
Germany & Spain use a FIT Model while UK & Italy use a REC Model
“ Solar on Every Rooftop and Widespread Renewables”

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DG - Energy Security

  • 1. Energy Security through Distributed Generation
  • 2. THE UNITED STATES IS AT GRAVE RISK TO BOTH “MALIGNANT” AND “MALEVOLENT” DISRUPTIONS TO THE GRID AND THAT THREAT CAN BE ADDRESSED THROUGH DISTRIBUTED RENEWABLE GENERATION WHICH CAN SIMULTANEOUSLY REDUCE THE IMPORTANCE OF OIL TO THE IGNOMINIOUS FALL FROM GRACE OF SALT. – R. JAMES WOOLSEY, FORMER CIA DIRECTOR
  • 3. Over 50% increase in electricity prices during the last decade Source: Energy Information Administration
  • 4. Rate Increases Expected to Continue Source: Bradenton Herald Source: South Florida Sun-Sentinel
  • 5. Add the Concern for the Environment and National Security
  • 6.  
  • 7.
  • 8.
  • 9.
  • 10.
  • 11. "There's enormous potential for new jobs and reduced carbon pollution just by implementing existing technologies like energy efficiency and wind energy, but we also need to develop transformative new solutions . As a scientist, I remain optimistic that these breakthroughs are within our reach, and investments like these are an important part of achieving them." Steven Chu Ph. D. Secretary Dept. of Energy
  • 12.
  • 13.
  • 14. From Centralized Production and Delivery by Utilities Utility Homes Schools Business Church
  • 15. To Distributed Production Utility Homes Schools Business Church
  • 16. 25 MW Solar Farm
  • 17. “ Solar on Every Rooftop and Widespread Renewables”
  • 18.
  • 19. Benefits Community Job Creation Boom of local and foreign investment Creates local wealth Stabilize Energy Costs Investors Simplicity Guaranteed Revenue Stream Predictable Returns Renewables Enhance Property Values Environment/ Security Reduce dependence on foreign oil Improve national security Protect our health Global Warming
  • 20. Everyone can participate. The average American can become an entrepreneur by selling the electricity that they produce.
  • 21.
  • 22. Source: BMU, 2008, NREL 2009 Germany & Spain use a FIT Model while UK & Italy use a REC Model
  • 23. Source: BMU, 2008, NREL 2009 Germany & Spain use a FIT Model while UK & Italy use a REC Model
  • 24.
  • 26. Germany & Spain use a FIT Model while UK & Italy use a REC Model
  • 27. “ Solar on Every Rooftop and Widespread Renewables”

Hinweis der Redaktion

  1. The United States is at grave risk to both “malignant” and “malevolent” disruptions to the grid and that threat can be addressed through distributed renewable generation which can simultaneously reduce the importance of oil to the ignominious fall from grace of salt. In other words by accident, like the power outage of Miami in 2007 that left 5 million residents without power, Or even worse on purpose – cyber terrorism Through distributed generation, we can reduce the dependence on oil to the demand for salt In the centuries prior to widespread electricity, salt was used to preserve meats and food, ironically when oil was discovered at large and used to power electricity, it eliminated the demand for salt, and now it is time to make the life cycle of fossil fuels complete by replacing them with clean and renewable energy technologies “ The environmental case for renewables is strong, the economic case is compelling, and the geopolitical case is glaring.”
  2. Relatively speaking, we still have cheap electricity, so even though your voters and constituents are up in arms, the utility companies still have a long way to go rate hikes
  3. With energy demand growing globally, dependency on resource-rich countries and regions is likely to increase even further. As most oil and gas supplies are imported via politically unstable areas, supply can increasingly become affected by political disputes. Security of supply is therefore of increasing political and economic importance for most countries.
  4. The question is, if this guy stole our solar secrets, and had government sponsored solar production sites sprouting up across his countryside, are we really losing sleep over it? Are we flying the Aries EP 3E spyplanes and gathering satelite imagry of his operations?
  5. DG facilities offer potential advantages for improving the transmission of power.  Because they produce power locally for users, they aid the entire grid by reducing demand during peak times and by minimizing congestion of power on the network, one of the causes of the 2003 blackout.  And by building large numbers of localized power generation facilities rather than a few large-scale power plants located distantly from load centers, DG can contribute to deferring transmission upgrades and expansions—at a time when investment in such facilities remains constrained Tens of thousands of small scale energy producers, from Tallahassee to Miami, from Tampa to Jacksonville, can produce their own electricity, creating a decentralized energy system, protecting us from terrorist threats, system failures, and demand overloads. Keeping us safe from both the malignent and the malevolent threats that Director Woolsey warns about. By spreading the ability to generate power among more, smaller sources, we guard against the potential for a single event — a terrorist strike or natural disaster for example — to completely disrupt our power supply.
  6. Also, RPS – quotas and targets only
  7. "There's enormous potential for new jobs and reduced carbon pollution just by implementing existing technologies like energy efficiency and wind energy, but we also need to develop transformative new solutions . As a scientist, I remain optimistic that these breakthroughs are within our reach, and investments like these are an important part of achieving them." For presenter to say: Secretary Chu puts it best, by implementing policies that favor alternative sources of energy we: Huge potential for new, American jobs Reduced carbon pollution Protect our national security Reduce the transfer of wealth to the middle east ------------------------------------------------
  8. At peak periods, our current electricity grid is overburdened and fragile and relies on a small number of gigantic (often highly polluting) power plants.,
  9. the grid can steadily evolve into something far more secure, resilient and sustainable than it is now.
  10. R enewable energy dividends don't discriminate in favor of large central power plants the way some other renewable incentive programs can, because they allow small-scale producers to gain automatic access to the grid by selling whatever power they produce to the local utility at cost plus a reasonable investment of return (usually less than the allowed profit by utilities) for a 20-year period
  11. Presenter should be able to cite examples for each of these claims, preferably using Gainesville as an example. Details pending.
  12. For presenter to explain: Investors (This can be anyone: business owners, schools, churches, municipalities, etc) Simplicity – Anyone producing energy passes it to the utility via the grid, and the utility cuts them a check. Anyone with a viable RE site and a willingness to invest in their future can become an energy entrepreneur. Stability and investment security - incentives are fixed for long time horizons, typically 20 years, which provides a guaranteed revenue stream that can be borrowed against easily. Incentives never change and never require any administration or additional cost. Institutional investors can accurately model the financial risk and returns associated with investing in RE. To invest capital into solar with a predictable return. With Renewable Energy Dividends, solar enhances the value of a property with minimum risk, and the extra income can be used to offset rising expenses. Community (The people of the state of Florida) Job Creation - Create 50,000 (FL) Employment opportunities for thousands of related industries, engineering, roofing, banking, electrical, sales, project management, marketing, laborers. Boom of local and foreign investment - A boom in alternative energy investment and deployment – foreign & domestic investment happens immediately. (are there numbers for Gainesville?) Local wealth – Lets send less money to Saudi Arabia Stabilize energy costs – Costs of renewable energy are more predictable and controllable than fossil fuels, creating economic stability. Environment/Security Reduce dependence on foreign oil Improve national security – due to instability at the Middle East Health – burning less oil, coal and natural gas = less suffering from asthma and other breathing disorders and reduced medical and health insurance costs Global Warming – Reduce CO2 emissions. Even if you don’t believe in global warming, reducing CO2 is beneficial.
  13. For Presenter to explain: A New Paradigm Concern: Centralized vs. Distributed Production - Instead of only centralized energy production to the consumer, this also allows consumers to produce energy. This scares some people Answer: Opens market – Like with telephone technology, when markets were deregulated a lot of innovation occurred, giving us the cell phone, smart phone, blackberries, unlimited long distance calling, and significant drops in prices. Similarly the opening on the energy market to renewable energies and away from the monopoly of traditional utilities would bring great innovation and better prices in the long run. NOTE TO PRESENTER – REDs is not deregulation but rather an opening of the energy market to renewable energy Concern: Individual producers get paid for the energy they contribute to the grid. In Gainesville, FL homeowners get paid $.32 per watt and businesses get $.26 a watt. Answer: Imagine solar on the top of every school, church and government building in Florida. Imagine farmers harvesting sunlight as well as oranges, and businesses turning their unused rooftops into revenue streams. REDs allows anyone to take control of their energy needs. Cost Concern: Increase cost to ratepayers Answer: As discussed earlier Floridians have seen significant increases in their energy bills. Projections estimate a 3% annual increase in power rates. Progress – 30% … The cost to ratepayers of a RED policy is estimated at 1% a year. Gainesville has seen XX% on the first year of their program. The program has a limit to the amount of renewable energy allowed every year maintain the cost at that level. Concern: Renewable more expensive than fossil. Answer: Not when you factor in the hidden costs of fossil fuels: significant Federal subsidies, the cost in health expenses, the cost of transporting and distributing to users vs. generated on-site, the cost of war to protect foreign sources of energy vs energy made in America.