# Presentation: 423441

## Renewable Power Update

- Chandra Shah
- NREL FEMP
- 303-384-7557, chandra_shah@nrel.gov

## 	Goal – 1384 GWh - Equivalent of 2.5% of Federal facility electricity use by 2005
equals about 500 MW of wind (at 31% Capacity Factor)

- equals about 500 MW of wind (at 31% Capacity Factor)

- June 2000	  	173 GWh
- _Current (3/31/04): __	__1067 GWh_
- To Go:  		317 GWh

- Federal Renewable Energy Goal

**Notes:**

based on a capacity factor of 31%. 

## Renewable Definition – solar, wind, geothermal and biomass (no hydro)

Must be a specific purchase
System mix renewables do not count 

No double counting (Green-e certification or equivalent)
Renewable used to meet Renewable Portfolio Standards do not count  
Cannot sell RECs and/or renewable power more than once
Power is “generic” (not renewable) after RECs are sold

- Must be a specific purchase
- System mix renewables do not count
- No double counting (Green-e certification or equivalent)
- Renewable used to meet Renewable Portfolio Standards do not count
- Cannot sell RECs and/or renewable power more than once
- Power is “generic” (not renewable) after RECs are sold

**Renewable Goal Guidance**

**Notes:**
Why we feel that stand alone REC purchases are not likely to be successful at most agencies, we should point out that RECs have been widely used to deliver the renewable portion of both utility green pricing programs and competitive electricity procurements.  Because the electricity and RECs are bundled together they can be viewed as a single product or utility service and do not present the apparent problems of RECs alone.

## * Fairchild AFB – 65.7 million kWh

**Where We Are:  Federal Renewable Technologies and Purchases (March 2004)**

**Technologies**

- Solar Thermal
- Biomass Power
- Biomass Thermal
- Wind
- Renewable Purchases*
- Photovoltaics (PV)
- Ground Source Heat Pump
- Biomass Fuels
- TOTAL

- 9.37
- 92.44
- 108.48
- 19.02
- 527.19
- 25.62
- 178.54
- 106.36
- 1067.02

- GWh
- GWh
- GWh
- GWh
- GWh
- GWh
- GWh
- GWh
- GWh

***** Fairchild AFB – 65.7 million kWh
- (Signed March 2004)

**Notes:**
Goal definition were broad and included renewable fuels

Biomass Fuels:  FY 2000, biodiesel and E-85 use only.  Does not include 10% ethanol blends.  Converted at rate of 3412 Btu/kWh.

Data as of 8/29/02 – K degroat

For ASES – The pie tells a lot of the story on the challenges for solar and the Federal renewable goal

## Who is Buying Renewables?  (GWh/Year)

**Who is Buying Renewables?**  *(GWh/Year)*

## Regulated Utility Green Pricing 

Competitive Electricity Market  

Renewable Energy Certificates (REC)

Procurement Agencies - DESC, GSA, Power Marketing Administrations, GSA Supply Schedule 

- Competitive Electricity Market
- Renewable Energy Certificates (REC)
- Procurement Agencies - DESC, GSA, Power Marketing Administrations, GSA Supply Schedule

**Renewable Purchasing Options**

**Notes:**
Why we feel that stand alone REC purchases are not likely to be successful at most agencies, we should point out that RECs have been widely used to deliver the renewable portion of both utility green pricing programs and competitive electricity procurements.  Because the electricity and RECs are bundled together they can be viewed as a single product or utility service and do not present the apparent problems of RECs alone.

## Slide 7

## Slide 8

## Renewable Energy Certificates (RECs)

- A renewable power purchase option developed around year 2000
- Also referred to as Tradable Renewable Certificates, Green Tags, Green Energy Certificates/Credits, etc
- A renewable energy facility produces two distinct products, that may be sold separately:
- Generic electricity (sold into the local grid)
- RECs (the environmental and other attributes)
- Utility provider and bill does not change

**Notes:**
First suppliers include BEF, PG&E Generating (3/9/00 EPA Bidder’s meeting presentation)

No complications involved in the physical delivery of power

## REC Diagram

**Renewable energy generation**

**Electricity**

**Environmental attributes**

**Avoided emissions (e.g., CO****2****, NO****x****, SO****2****)**

**“****Renewable Power”**

**“****Renewable Energy Certificates”**

## New York Options

- Utility/Renewable Marketer Partnerships - New Long Island Power Authority (LIPA)
- 'Green Choice' program starting ~June 2004
- Purchase RECs through renewable marketers
- Price .5¢/kWh to 2¢/kWh
- Charge included on LIPA bill
- Other Utility/Renewable Marketer Partnerships
- Niagara Mohawk (NIMO) and Community Energy, Green Mountain, Sterling Planet, Agway Energy Services
- NYSEG and Community Energy, Sterling Planet, Agway Energy Services

**Notes:**
LIPA Option
Long Island Power Authority (LIPA) 'Green Choice' program,  
Starting ~June 2004 – customers purchase green power in the form of RECs directly from green power marketers. 
Participating customers receive single bill from LIPA including green charge
Price- 0.5¢/kWh to 2¢/kWh. 

COMMUNITY ENERGY CUTS PRICES FOR GREEN POWER ON NIMO SYSTEMLower price for Year 2 of Niagara Mohawk's (NIMO, a National Grid company based in Syracuse) "GreenUp" Renewable Energy program. 
price reduction will apply to both new and existing residential and small commercial NIMO electric customers
100% NewWind Energy offering - 2.0 cents/kWh  
60% New Wind/40% Small-hydro- 1 cent/kWh  
Wind-powered energy has the potential to supply New York customers with over 20% of their current electrical demand.

NYSEG/Community partnership Customers Get Wind Option
"New Wind Energy" product is offered in 100-kWh blocks at a cost of $2.50 per block each month. Customers 
the 30-MW Fenner Wind project located about 40 miles SE of Syracuse.

Niagara Mohawk and NYSE/Agway Energy Services Sterling Green (Green-e certified) to NY residential customers  
40% new wind, 30% eligible hydro, and 30% LFG, available at 50% and 100% participation levels.  
Agway Energy Products, a Syracuse, NY-based company that provides  heating oil, natural gas, and other energy services 
pay 1.5¢ per kilowatt-hour (kWh) more than Agway's variable rate for electricity.

##       Green-e Certification 

- Voluntary certification and verification program run by non-profit, Center for Resource Solutions (CRS)
- Product requirements:
- At least 50% Renewable (100% for RECs)
- Balance must have lower air emissions than the system mix
- No specific purchases of nuclear power
- Requirements for % New (100% for RECs)
- Code of Conduct
- Annual audit
- http://www.green-e.org

## Western Area Power AdministrationFederal Renewable Power Program

- DOE Secretary Abraham directed Western to develop renewable program (June 2002)
- Economy Act provides limited legal authority for Western to purchase power on behalf of federal agencies
- Current activities
- EPA
- New Mexico
- DOD
- Contact:
- 	Mike Cowan, Western, COWAN@wapa.gov, 720-962-7245
- 	http://www.eere.energy.gov/femp/newsevents/cfm/detail.cfm?newsID=261

**Notes:**
Abraham made the following announcement at the 13th Annual Energy Efficiency Forum:

“I am directing the Western Area Power Administration to join Bonneville Power in instituting a Renewable Energy Credit or "Green Tags" program. Such a program allows customers who want to support green power to purchase it or its "environmental attributes." Such credits can help create new demand for renewable power, and thus help promote new renewable power projects in the region.”

## Resources

- “**Meeting the Federal Renewable Energy Goals” Workshop**
- 	April 29 in Seattle, June 15 in Philadelphia
**Renewables Course**
- 	May 18-19, 2004 in San Francisco
- 	July 7-8, 2004 in Annapolis, MD
- David McAndrew, FEMP Renewable Power Purchasing Team Lead
- 	202-586-7722, david.mcandrew@hq.doe.gov
- Chandra Shah, National Renewable Energy Laboratory (NREL)
- 	303-384-7557, chandra_shah@nrel.gov
- Bill Golove, Lawrence Berkeley National Laboratory (LBNL)
- 	510-486-5229, whgolove@lbl.gov
- FEMP web site - http://www.eere.energy.gov/femp/technologies/renewable_purchasepower.cfm
- EPA Green Power Partnership -  http://www.epa.gov/greenpower/
- Green Power Network - http://www.eere.energy.gov/greenpower/home.shtml