Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Energy Efficiency in California Climate Group Breakfast Preceding Gov. Schwarzenegger's Climate Summit Nov. 18, 2008 Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930 [email protected] http://www.energy.ca.gov/commissioners/rosenfeld.html or just Google “Art Rosenfeld

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Energy Efficiency in California Climate Group Breakfast Preceding Gov. Schwarzenegger's Climate Summit Nov. 18, 2008. Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930 [email protected] http://www.energy.ca.gov/commissioners/rosenfeld.html - PowerPoint PPT Presentation

Transcript of Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Page 1: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Energy Efficiency in California

Climate Group BreakfastPreceding Gov. Schwarzenegger's

Climate SummitNov. 18, 2008

Arthur H. Rosenfeld, CommissionerCalifornia Energy Commission

(916) [email protected]

http://www.energy.ca.gov/commissioners/rosenfeld.html

or just Google “Art Rosenfeld”

Page 2: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Does Anyone See A Problem With This Picture?

Page 3: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Sundarbans Region

Page 4: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

To find this story, Google "Sundarbans Refugee Camp"

Page 5: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Two Energy Agencies in California

• The California Public Utilities Commission (CPUC) was formed in 1890 to regulate natural monopolies, like railroads, and later electric and gas utilities.• The California Energy Commission (CEC) was formed in 1974 to regulate the environmental side of energy production and use. • Now the two agencies work very closely, particularly to delay climate change. • The Investor-Owned Utilities, under the guidance of the CPUC, spend “Public Goods Charge” money (rate-payer money) to do everything they can that is cost effective to beat existing standards. • The Publicly Owned utilities (20% of the power), under loose supervision by the CEC, do the same.

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Page 6: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Energy Intensity (E/GDP) in the United States (1949 - 2005) and France (1980 - 2003)

0.0

5.0

10.0

15.0

20.0

25.0

1949 1953 1957 1961 1965 1969 1973 1977 1981 1985 1989 1993 1997 2001 2005

tho

usa

nd

Btu

/$ (

in $

200

0)

If intensity dropped at pre-1973 rate of 0.4%/year

Actual (E/GDP drops 2.1%/year)

France

12% of GDP = $1.7 Trillion in 2005

7% of GDP =$1.0 TrillionIn 2005

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How Much of The Savings Come from Efficiency

• Some examples of estimated savings in 2006 based on 1974 efficiencies minus 2006 efficiencies

• Beginning in 2007 in California, reduction of “vampire” or stand-by losses– This will save $10 Billion when finally implemented, nation-

wide

• Out of a total $700 Billion, a crude summary is that 1/3 is structural, 1/3 is from transportation, and 1/3 from buildings and industry.

Billion $

Space Heating 40Air Conditioning 30Refrigerators 15

Fluorescent Tube Lamps 5Compact Fluorescent Lamps 5Total 95

Page 8: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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California’s Energy Action Plan

• California’s Energy Agencies first adopted an Energy Action Plan in 2003. Central to this is the State’s preferred “Loading Order” for resource expansion.

• 1. Energy efficiency and Demand Response• 2. Renewable Generation• 3. Increased development of affordable & reliable conventional

generation• 4. Transmission expansion to support all of California’s energy

goals.

• The Energy Action Plan has been updated since 2003 and provides overall policy direction to the various state agencies involved with the energy sectors

Page 9: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Per Capita Electricity Sales (not including self-generation)(kWh/person) (2006 to 2008 are forecast data)

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United States

California

Per Capita Income in Constant 2000 $1975 2005 % change

US GDP/capita 16,241 31,442 94%Cal GSP/capita 18,760 33,536 79%

2005 Differences = 5,300kWh/yr = $165/capita

Page 10: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Annual Energy Savings from Efficiency Programs and Standards

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GW

h/y

ear

Appliance Standards

Building Standards

Utility Efficiency Programs at a cost of

~1% of electric bill

~15% of Annual Electricity Use in California in 2003

Page 11: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930
Page 12: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

12Source: David Goldstein

New United States Refrigerator Use v. Time

and Retail Prices

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600

800

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1,200

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1,800

2,000

1947 1952 1957 1962 1967 1972 1977 1982 1987 1992 1997 2002

Ave

rag

e A

nn

ual

En

erg

y U

se(k

wh

) o

r P

rice

($)

0

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10

15

20

25

Ref

rig

erat

or

volu

me

(cu

bic

fee

t)

Energy Use per Refrigerator(kWh/Year)

Refrigerator Size (cubic ft)

Refrigerator Price in 1983 $

$ 1,270

$ 462

~ 1 Ton CO2/year~ 100 gallons Gasoline/year

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Annual Energy Saved vs. Several Sources of Supply

Energy Saved Refrigerator Stds

renewables

100 Million 1 KW PV systems

conventional hydro

nuclear energy

0

100

200

300

400

500

600

700

800

Bil

lio

n k

Wh

/yea

r

= 80 power plants of 500 MW each

In the United States

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Value of Energy to be Saved (at 8.5 cents/kWh, retail price) vs. Several Sources of Supply in 2005 (at 3 cents/kWh, wholesale price)

Energy Saved Refrigerator Stds

renewables

100 Million 1 KW PV systems

conventional hydro

nuclear energy

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25

Bill

ion

$ (

US

)/ye

ar

in 2

00

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Air Conditioning Energy Use in Single Family Homes in PG&E The effect of AC Standards (SEER) and Title 24 standards

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

1975 1980 1985 1990 1995 2000 2005 2010 2015

An

nu

al

kW

h p

er n

ew

ho

me

fo

r ce

ntr

al

AC

If only increases in house size -- no efficiency gains

Change due to SEER improvements

SEER plus Title 24

Page 16: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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3 Gorges三峡

Refrigerators冰箱

Air Conditioners 空调

TWh

2000 Stds

2000 Stds

2005 Stds

2005 Stds

If Energy Star

If Energy Star

TW

H/Y

ear

1.5

4.5

6.0

3.0

7.5

Val

ue

(bil

lio

n $

/yea

r)

Comparison of 3 Gorges to Refrigerator and AC Efficiency Improvements

Savings calculated 10 years after standard takes effect. Calculations provided by David Fridley, LBNL

Value of TWh

3 Gorges三峡

Refrigerators 冰箱

Air Conditioners

空调

Wholesale (3 Gorges) at 3.6 c/kWh

Retail (AC + Ref) at 7.2 c/kWh

三峡电量与电冰箱、空调能效对比

标准生效后, 10年节约电量

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Annual Energy Savings from Efficiency Programs and Standards

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40,000

45,0001

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GW

h/y

ear

Appliance Standards

Building Standards

Utility Efficiency Programs at a cost of

~1% of electric bill

~15% of Annual Electricity Use in California in 2003

Page 18: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Energy Efficiency, Innovation, and Job Creation in California

David Roland-Holst

October 2008

Center for Energy, Resource, and Economic Sustainability (CERES)

Accessible on the Next 10 Web Site: http://www.nextten.org/research/research_eeijc.html

Page 19: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Energy Efficiency Creates Jobs

• Using the BEAR econometric model

• Estimates of Job Creation since 1972:

• Energy Efficiency Measures have created 1.5 Million Jobs out of 18 million total Jobs in CA

Page 20: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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California IOU’s Investment in Energy Efficiency

$0

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$200

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$500

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$1,00019

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1996

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2000

2002

2004

2006

2008

2010

2012

Mill

ions

of

$200

2 pe

r Y

ear

Forecast

Profits decoupled from sales

Performance Incentives

Market Restructuring

Crisis

IRP2% of 2004

IOU Electric Revenues

Public Goods Charges

Page 21: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Source: NRDC; Chang and Wang, 9/26/2007

Page 22: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

• To be published in Climatic Change 2008.

• Global Cooling: Increasing World-wide Urban Albedos to Offset CO2

July 28, 2008

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Hashem Akbari and Surabi MenonLawrence Berkeley National

Laboratory, [email protected]: 510-486-4287

Arthur RosenfeldCalifornia Energy Commission,

[email protected]

Tel: 916-654 4930

• A First Step In Geo-Engineering Which Saves Money and Has Known Positive Environmental Impacts

Page 23: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

100m2(~1000 ft2) of a white roof, replacing a dark roof, offset the emission of

10 tonnes of CO2

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Page 24: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Solar Reflective Surfaces Also Cool the Globe

Source: IPCC

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Page 25: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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CO2 Equivalency of Cool RoofsWorld-wide (Tropics+Temperate)

• Cool Roofs alone offset 24 Gt CO2• Worth > €600 Billion• To Convert 24 Gt CO2 one time into a rate• Assume 20 Year Program, thus

1.2 Gt CO2/year• Average World Car Emits 4 tCO2/year,

equivalent to 300 Million Cars

off the Road for 20 years.

Page 26: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Reducing U.S. Greenhouse Gas Emissions:

How Much at What Cost?

Reducing U.S. Greenhouse Gas Emissions:

How Much at What Cost?

US Greenhouse Gas Abatement Mapping Initiative

December 12, 2007

Page 27: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

Abatement cost <$50/ton

U.S. mid-range abatement curve – 2030

Source:McKinsey analysis

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3.20

CostReal 2005 dollars per ton CO2e

1.0 1.2 1.4 1.8 2.00.2 2.2 2.4 2.6 2.8 3.01.60.4 0.6 0.8

-230

Residential electronics

Commercial electronics

Residential buildings – Lighting

Commercial buildings – LED lighting

Fuel economy packages – Cars

Commercial buildings – CFL lighting

Cellulosicbiofuels

Industry – Combined

heat and power

Existing power plant conversion efficiency improvements

Conservation tillage

Fuel economy packages – Light trucks

Commercial buildings – Combined heat and power

Coal mining – Methane mgmt

Commercial buildings – Control systems

Distributed solar PV

Residential buildings – Shell retrofits

Nuclear new-build

Natural gas and petroleum systems management

Active forest management

Afforestation of pastureland

Reforestation

Winter cover crops

Onshore wind – Medium penetration

Coal power plants – CCS new builds with EOR

Biomass power – Cofiring

Onshore wind –High penetration

Industry – CCS new builds on carbon-intensive processes

Coal power plants – CCS new builds

Coal power plants – CCS rebuilds

Coal-to-gas shift – dispatch of existing plants

Car hybridi-zation

Commercial buildings – HVAC equipment efficiency

Solar CSP

Residential buildings – HVAC equipment efficiency

Industrial process improve-ments

Residential water heaters

Manufacturing – HFCs mgmt

Residential buildings – New shell improvements

Coal power plants– CCS rebuilds with EOR

PotentialGigatons/year

Commercial buildings – New shell improvements

Afforestation of cropland

Onshore wind –Low penetration

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8% 17% 25% 33% 42% 50% 58%

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Page 29: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Source: Pat McAuliffe, [email protected]

Possible Strategies to Reduce Electricity Sector Carbon Emissions in California, ignoring ramp up times and other implementation issues -- The ELECTRICITY Perspective

240,000

260,000

280,000

300,000

320,000

340,000

360,000

1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020

GW

H

Triple EE Programs

Doubling Standards

20% Renewables

More Efficient Combustion

Less or Cleaner Coal

Page 30: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

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Source: Pat McAuliffe, [email protected]

75

85

95

105

115

125

135

1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020

Mil

lio

n M

etri

c T

on

s o

f C

O2

eq.

Triple EE Programs

Doubling Standards

20% Renewables

More Efficient Combustion

Less or Cleaner Coal

Possible Strategies to Reduce Electricity Sector Carbon Emissions in California, ignoring ramp up times and other implementation issues -- The CARBON Perspective

Page 31: Arthur H. Rosenfeld, Commissioner California Energy Commission (916) 654-4930

The End

For More Information:

http://www.energy.ca.gov/commissioners/rosenfeld_docs/index.html

or just Google “Art Rosenfeld”

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