Expanding Renewable Energy in...

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Expanding Renewable Energy in Minnesota J. Drake Hamilton Science Policy Director Fresh Energy November 15, 2018

Transcript of Expanding Renewable Energy in...

Page 1: Expanding Renewable Energy in Minnesotapersonal.cege.umn.edu/~guala/webpage_CE4011/notes/day14_sciencepolicy.pdf25% renewable energy standard by 2025 Reduce economy-wide greenhouse

Expanding Renewable Energy

in Minnesota

J. Drake Hamilton Science Policy Director

Fresh Energy

November 15, 2018

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About Fresh Energy

• Founded 26 years ago

• Speeding the transition to a clean

energy economy

• Focus on market-driven policies

• In-depth research and analysis

• Energy policy experts

Make everything

more energy efficient

Make the electricity

system cleaner

Electrify more of the

economy

Shape and drive the

energy conversation

www.fresh-energy.org

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Fresh Energy Programs

• Renewable Electricity

• Global Warming Solutions

• Energy Efficiency

• Energy Access and Equity

• Better Buildings

• Electric Cars and Buses

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Policy that can shape the market

Key points in Minnesota’s energy policy history:

▪ 2007 Next Generation Energy Act➢ 25% renewable energy standard by 2025➢ Reduce economy-wide greenhouse gases by

at least:30% below 2005 levels by 2025 80% below 2005 levels by 2050

▪ 2013 Solar Energy Jobs Act➢ 1.5% solar energy standard (for Investor-

Owned Utilities)➢ Xcel Energy Community Solar Gardens

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Energy Performance

• Conservation programs save customers nearly $300m/year

• They’re successful because they focus on cutting waste

Energy savings vs. renewable generation in Minnesota since 1993

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Average AnnualResidential Electric Bill, 2017

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The Economic Power of Clean Energy J. Drake Hamilton | Science Policy Director | Fresh Energy

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Heartland leadershipcutting carbon, growing jobs

• 59,000 clean energy jobs that exceed state average wage by 42%

• 40% of these in

Greater Minnesota

• Cutting carbon via smart, bipartisan policies and business leadership

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Plummeting Costs for Renewable Electricity

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Diversifying Minnesota’s electricity supply

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Renewable Electricity

Opportunities• Take advantage of federal tax

credits

• Reduce red tape and streamline the expansion of our transmission system

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Global Warming Solutions“The wind Xcel Energy is bringing online is lower in cost than our lowest cost coal plant”

Chris ClarkPresident, Xcel Energy

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The Saudi Arabia of Wind

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Lake Benton(100 MW)

Chippewa County(50 MW) Nobles 2

(250 MW)

Clean Energy 1 (100 MW)

Merricourt(150 MW)

Foxtail (150 MW)

Dakota Range(300 MW)

Crowned Ridge(600 MW)

Blazing Star I and II (400 MW)

Freeborn(200 MW)

Marshall Solar(62 MW)

Aurora Solar (150 MW)

North Star Solar (100 MW)

Camp Ripley Solar(10 MW)

Community Solar Gardens(300 MW)

Harmony Solar(200 MW)

Renewable Electricity

Renewable energy additions &

announcements in last two yearsEmmons-

Logan(300 MW)

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Renewable Electricity

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Our Grid:15 states and one province

• Midwest grid operator

• Monitors the transmission grid system

• Operates one of the world’s largest energy markets

www.fresh-energy.org

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Grid considerations

Wind and solar make up ¾ of the Midwest’s new added capacity added in last 5 years

LBNL: wind and solar could provide 40-50% of our needs by 2030

Continued growth of the wind energy industry depends on extension of the U.S electric transmission grid

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Transmission

▪ The U.S. electric grid is the largest interconnected machine on earth; named the ‘supreme engineering achievement of the 20th Century’ (National Academy of Engineers)

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Grid considerations

Update transmission lines, substations, transformers with digital technology to us computers, automation and software to make the grid more efficient

Batteries: store energy, and provide voltage support, frequency regulation, balance short-term power, and more to make grid:

more stablemore flexiblemore economical

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Record low prices

Colorado bids for wind + storage, solar + storage BEAT cost of natural gas plants as of 2023

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Transmission

Growth of renewable energy far from electric load Need for more long-distance direct-current line

▪ For lines > 300-500 miles long, DC outcompetes AC. Plans for at least 9 new long distance HVDC lines

▪ Utilities need to find a way to deliver remote electrons to industrial and urban centers

▪ One example: Clean Line Energy Partners (Houston)

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Solar PV Resource

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Solar Energy Jobs Act of 2013

✓ Solar costs dropped 30 percent in one year

✓ Minnesota added enough solar to power 53,000 homes

Just in 2017…

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Renewable Electricity

• The solar industry is rapidly growing• Customer driven (farmers, congregations, businesses, schools)• Improves soil and water quality, supports pollinator habitat• Production tax revenue, good paying jobs, lease payments

Rooftop Community Utility

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• Located near North Branch in Chisago County

• 100 MW (enough to power 20,000 homes)

• 440,000 solar panels covering 1,000 acres

• Largest solar farm in the Midwest

North Star Solar Project

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“Forecast for Ground-Mounted SolarNational Renewable Energy Laboratory..

2030: 3 million acres

2050: 6 million acres”

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Center for Pollinators in Energy

Mitigate “NIMBY” issues that kill solar projects and negatively influence markets. Activate habitat supporters like beekeepers, pheasant hunters,

bird and butterfly watchers, specialty crop producers, brewers, and restaurateurs.

Create new markets for solar, when solar/pollinator designs are used. Solar development is blocked in several markets unless projects demonstrate

how they co-exist with agriculture (e.g. beekeeping is farming)

Engage more of the public in supporting solar energy.

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• Powers 1,000 homes

• 15,000 solar panels over 35 acres

• Pollinator-friendly plantings between the rows of panels

Farmington Community Solar Garden

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Diversifying Minnesota’s electricity supply

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Global Warming Solutions

Key points in Minnesota’s climate policy history:

▪ 2007 Next Generation Energy Act

➢ 25 percent Renewable Energy Standard by 2025

➢ Statewide goal to cut greenhouse gases by at least:

30 percent below 2005 levels by 2025

80 percent below 2005 levels by 2050 across the entire economy

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Global Warming Solutions

• Steady trend of economic growth, flat electricity usage, and declining emissions rates

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2016 U.S. CO2 Emissions by Sector

Source: EPA Draft inventory of US GHG Emissions, 2/6/18

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Xcel’s Business Decision:

60% CO2 reduction by 2030

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Xcel’s Business Decision:

60% CO2 reduction by 2030

Announced fall 2017:

Will be achieved 8 years early!

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Xcel’s Business Decision:

60% CO2 reduction by 2030

Will be achieved 8 years early!

By 2030, 60% renewables

By 2030, 85% carbon-free

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Xcel Energy: By 2030 – 60% renewable

By 2030 – 85% carbon-free

Great River Energy:By 2030 – 50% renewable

Minnesota Power:By 2025 – 44% renewable

Otter Tail Power:By 2021 – 30% renewable

Equity

• Ensure all Minnesotans have access to clean energy

• As certain utilities move forward, we can’t let other families, businesses, and communities fall behind

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Diversifying Minnesota’s electricity supply

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Electric Cars and Buses

▪Utilities want to grow their business

▪We want to reduce emissions

▪Everyone wants to save money

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Electric Cars and Buses

Fewer moving parts, regenerative breaking, etc

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Electric Cars and Buses

Opportunities• Electrify transit and school buses

• Electrify state and government fleets

• Incentivize new and used electric

vehicles

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Electric Buses

Opportunities▪ Metro Transit cancelled RFP for 130-

200 diesel buses – developing fleet

electrification plan

▪ Electric buses on North Mpls BRT

line next year

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J. Drake Hamilton

[email protected]

@jdrakehamilton

facebook.com/j.drake.hamilton

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J. Drake [email protected]

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Thank you!

www.fresh-energy.org