South Pacific aims for energy independence

Recently at a conference organized by the UN, 20 small island nations from the South Pacific announced plans to reduce their dependence on fossil fuels. Samoa and Tuvalu are aiming to be energy independent by 2020, Timor Leste aims to have 50% of their energy from renewable sources by that same time.  The Cook Islands plan to convert to solar panels and wind turbines.

Tokelau, however, is the first to take the plunge. Officials say that by the end of 2012, a hybrid system of solar energy and coconut oil will ultimately supply enough power for every resident.

Read all about it in Phil Mercer's article "Pacific Islands Aiming for Energy Self- Sufficiency" in the Voice of America.

Coalition to protect domestic market

A coalition of more than 200 solar manufacturing companies is currently pushing for more government protection against Chinese solar companies. The coalition employs about 17,000 workers across America, and includes installers, integrators and distributors. They believe that Chinese companies are dumping solar products on the US market at artificially low prices in order to drive out US manufacturers. The US International Trade Commission recently issued a unanimous preliminary ruling that the Chinese trade practices are injuring the domestic manufacturing industry.

On May 17th, the US Department of Commerce will determine the extent at which these business practices have affected the US market, and at what percentage margins. The margins will then be used to determine duties on imports of Chinese solar products to offset the unfair business practices.  You can read more about the effort in this article from Market Watch. (disclaimer the article was released by the Coalition for American Solar Manufacturing)

Tennessee examines impact of government on solar market

The University of Tennessee's Baker Center for Public Policy analyzed the impacts of the solar industry in the U.S. According to their analysis, a domestic solar market could produce anywhere between 240,000 and 965,000 direct or indirect jobs by 2030. Including an export business in that model could add up to 67,700 more jobs to that estimate. Read the full paper online here.  

An interesting point brought up by the researchers at the Baker Center, is the similarities between the solar energy trajectory and that of more traditional energy sources, like oil, gas or coal. The much politicized incentives to encourage innovation and early adoption of clean energy are no different than the market control measures for oil, and pipeline development for natural gas distribution. In fact, even though oil, gas and coal, by no means in early stages and so are considered mature sources, are still receiving subsidies and government assistance. This is an important similarity that is often conveniently left out of the solar vs. traditional energy debate. 

Along this same theme, the Baker Center hosted former New Jersey Governor, and former Director of the Environmental Protection Agency, Christine Todd Whitman to discuss the impact of partisanship on climate policy. The event titled, The Need for Climate Change in Washington: How Hyper-Partisanship has paralyzed Policymaking" can be watched online here.

Small Business Owners Want Government Investment in Clean Energy

Small Business Majority released the results of an opinion poll last week that showed that small business owners are overwhelmingly in support of government investments in renewable energy and clean energy policies. The poll surveyed 600 small business owners in Colorado, Michigan, Nevada, Ohio, Pennsylvania, and Virginia.

Among other results, the poll showed that 71% saw government investments in clean energy as a job creator. And 76% of the owners agreed that the EPA should determine the limits on new power plants' emissions of greenhouse gases. To see more of the results of this survey check out this article by the CEO of Small Business Majority on Huffington Post.

Vermont Increases Tariffs on Solar and Wind

Vermont recently introduced an increase in its tariff scheme for solar photovoltaic and wind turbines. After much discussion, (some it still ongoing) Vermont's Public Service Board (PSB) raised the solar PV tariff nearly 18%, and raised the tariff on small wind turbines almost 13 percent.

This increased tariff is not welcomed by the folks investing in, and encouraging investment in, renewable energy in Vermont. In fact,  according to this article authored by the principle of AllEarth Renewable, the over all performance of the state's renewable energy program has been fairly limited. And this tariff increase is another hindrance. Although a number of solar projects are slated for 2012, by the end of 2011, only 4 projects and one hydro project had been built. The article points out how underwhelming these numbers are, as it compares the state of Vermont As the article points out-  compared to Gainesville, Florida- which has installed double the amount of solar PVs with a population of only a fraction of Vermont's.

Renewable Energy Vermont (REV), a group advocating for increased investment in renewables, has argued that Vermont is moving too slowly with it's renewable programs and that they aren't achieving the standards outlined in the original legislation. REV has also disagreed with the manner in which the PSB has modeled the solar project performance and costs, and thus has found decisions  like this tariff increase misguided.   Review the PSB's calculations for yourself, and read  more here about REV's argument and  this ongoing debate that will likely impact investments in renewable energy in Vermont. 

Friends and Foes of RPS

Some policy makers are blaming economic woes for their stance against renewable portfolio standards. Angela Beniwal reports on these struggles in the article Tough Economic Times Make States Reconsider their Renewable Energy Policies.  

Maine introduced new legislation in 2011 to significantly reduce its RPS. Washington state proposed a bill in 2011 that would temporarily suspend the state's 15% by 2020 standard, and other states have expanded their definitions of renewable resources that count towards RPS, to include plasma gasification, waste to energy, nuclear and hydropower.

George "Chip" Cannon, a partner at Patton Boggs, LLP was quoted in this article voicing a sentiment often heard by opponents of RPS: "As long as we have a sluggish economy and the focus is on jobs, then we'll continue to see pushes against (RPS) portfolio implementations."

Economic woes seem like a convenient scapegoat these days. And given the abundant research now available illustrating the economic benefits and job growth renewable energy and portfolio standards create, it's  hardly the time to give up on RPS. Click here  and here for a few of those studies. If  the focus of our policy makers truly is jobs- then RPS should be front and center.

It's not all doom and gloom. Twenty nine states and Washington D.C. have established Renewable Portfolio Standards, and 8 states have voluntary goals or targets.  Senator Jeff Bingaman of New Mexico (D) recently sponsored  the Clean Energy Standard Act of 2012- proposing a federal clean energy standard. The new bill would require that all large retail utilities (except in Alaska and Hawaii) obtain 24% of their electricity through clean energy sources. The bill further calls for an annual increase to the mandate by 3% through 2035. In addition, the bill isn't intended to replace or assert authority over current or future state mandates.

The new bill is most certainly ambitious, and although some don't consider it realistic in today's political climate it is widely considered a jumping off point for future discussions and bills regarding a federal mandate. As long as we have a sluggish economy and the focus is on jobs- we can't afford to be against RPS implementation!

GMU releases new study. Re-states: RPS has positive economic impact

George Mason University's  Center for Regional Analysis  just released a study today regarding Virginia's state of renewables. You can read more about it in the Washington Post.

The analysis was based on the 2010 Virginia Energy Plan, which projected a need for an additional 19,448 megawatts of demand over the next 25 years.  The study found that half of that demand could be met through biomass, solar and wind sources. The study also concluded that pursuing a portfolio of renewable power sources through 2035 would create tens of thousands more jobs than relying only on either coal or natural gas. 

It reminds me of a study done in Michigan a few years ago projecting the economic impact of RPS standards on the state of Michigan. The study, A study of Economic Impacts from the Implementation of a Renewable Portfolio Standard and an Energy Efficiency Program in Michigan,  was conducted by NextEnergy Center. 

This study concluded that a renewable portfolio standard of 15% by 2020 would lead to an increase in total gross state product in net present value of $533 million compared to projections with traditional  fuel generated power.  The same study projected  6,381 more jobs with the RPS than without and a reduction of CO2 emissions of over 27 millions of metric tons.

Click on the links to read more about these two studies or NREL's recent study about the economic impact of the 1603 Treasury grants for renewable energy.