Kentucky city conducting 'Kilowatt Crackdown'

By Associated Press


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More than 200 Louisville buildings are shedding kilowatts.

The businesses and government agencies are taking part in Louisville's first "Kilowatt Crackdown," an 18-month energy-efficiency challenge that began last year and wraps up in December with the goal of saving money and helping the environment through competition.

The efforts are being tracked using tools from the U.S. Environmental Protection Agency.

"If you can reduce energy consumption in your building, you are going to save in the operating expenses of your company," said Chris Cieminski, general manager of the 35-story Aegon Center and chairman of the Louisville Energy Alliance, the nonprofit group overseeing the Kilowatt Crackdown. "Long term, if we reduce our overall consumption, it means LG&E (Louisville Gas & Electric) doesn't have to build another power plant."

Louisville joins Portland, Ore., and Seattle — two cities noted for their environmental initiatives — in offering the challenge through the EPA's Energy Star program, EPA manager Leslie Cook told The Courier-Journal.

The idea germinated two years ago, Cieminski said, when Louisville Mayor Jerry Abramson approached business leaders about the initiative and put them in touch with the EPA. Participants in the Kilowatt Crackdown signed up last year and have agreed to track their energy usage and document their conservation measures this year.

Winners will be announced in 2010. Cieminski said the alliance intends to offer another challenge that year.

The Aegon Center — which already has been certified as an Energy Star building, meaning it meets certain federal standards for energy efficiency — has recently installed several new types of energy-efficient lighting, including some in its elevators, Cieminski said.

Multiple participants in the challenge say they are taking it seriously.

"We are absolutely going to give it our best," said David Noltemeyer, a facilities and real-estate manager for nearby Humana, which entered three of its Louisville buildings in this year's challenge.

As one of its initiatives, Humana upgraded the elevators in its Waterside Building so that the motors shut down when not in a high traffic period, Noltemeyer said.

Kroger entered 10 of its grocery stores in the competition, said Jason Conn, an engineer with Kroger and member of the alliance board.

Kroger initiatives include energy audits where crews check the stores at night to ensure cooler doors are closed, computer screens are off and other equipment is operating efficiently, he said.

Conn said Kroger also is trying out energy-sipping LED lighting in some refrigerated and frozen-food cases.

Jefferson County Public Schools entered dozens of buildings, the most of any organization, in an effort to save on the $18 million it spends annually on utility bills.

Several facilities are getting new heating and air conditioning, and all will be subject to improved energy management, said Mike Mulheirn, director of facilities for the district.

"If we could reduce our energy by 3 percent, that would save us half a million bucks," he said.

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Three New Solar Electricity Facilities in Alberta Contracted At Lower Cost than Natural Gas

Alberta Solar Energy Contracts secure low-cost photovoltaic PPAs for government operations, delivering renewable electricity at 4.8 cents/kWh, beating natural gas LCOE, enhancing summer grid efficiency across Hays, Tilley, and Jenner with Canadian Solar.

 

Key Points

Low-cost PV power agreements meeting 55% of Alberta government electricity demand via new Canadian Solar facilities.

✅ Price: 4.8 cents/kWh CAD, under gas-fired generation LCOE.

✅ Sites: Hays, Tilley, Jenner; 50% equity with Conklin Métis Local #193.

✅ Supplies 55% of provincial government electricity demand.

 

Three new solar electricity facilities to be built in south eastern Alberta (Canada) amid Alberta's solar growth have been selected through a competitive process to supply the Government of Alberta with 55 per cent of their annual electricity needs. The facilities will be built near Hays, Tilley, and Jenner, by Canadian Solar with Conklin Métis Local #193 as 50-percent equity owners.

The Government of Alberta's operations have been powered 100 per cent with wind power since 2007. Upon the expiration of some of these contracts, they have been renewed to switch from wind to solar energy. The average contract pricing will be $0.048 per kilowatt hour (3.6 cents/kWh USD), which is less than the average historical wholesale power pool price paid to natural gas-fired electricity in the province in years 2008 - 2018.

"The conversation about solar energy has long been fixated on its price competitiveness with fossil fuels," said John Gorman, CanSIA President & CEO. "Today's announcement demonstrates that low cost solar energy has arrived as a mainstream option in Alberta, even as demand for solar lags in Canada according to federal assessments. The conversation should next focus on how to optimize an all-of-the-above strategy for developing the province's renewable and non-renewable resources."

"This price discovery is monumental for the solar industry in Canada" said Patrick Bateman, CanSIA Director of Policy & Market Development. "At less than five cents per kilowatt hour, this solar electricity has a cost that is less than that of natural gas. Achieving Alberta's legislated 30 per cent by 2030 renewable electricity target just became a whole lot cheaper!".

 

Quick Facts:

  • The contract price of 4.8 cents/kWh CAD to be paid by Alberta Infrastructure for this solar electricity represents a lower Levelized Cost of Electricity (LCOE) than the average annual wholesale price paid by the power pool to combined-cycle and single-cycle natural gas-fired electricity generation which was 7.1 cents/kWh and 11.2 cents/kWh respectively from 2008 - 2018.
  • Alberta receives more hours of sunshine than Miami, Florida in the summer months. Alberta's electricity supply is most strained in summer, highlighting challenges for solar expansion when high temperatures increase the resistance of the distribution and transmission systems, and reduce the efficiency of cooling thermal power plants. For this reason, solar facilities sited near to electricity demand improves overall grid efficiency. Supply shortages are atypical in Alberta in winter when solar energy is least available. When they do occur, imports are increased and large loads are decreased.
  • In 2018, Alberta's solar electricity generation exceeded 50 MW. While representing much less than 1% of the province's electricity supply today, the Canadian Solar Industries Association (CanSIA) forecasts that solar energy could supply as much as 3 per cent of the province's electricity by 2030, supporting renewable energy job growth across Alberta. A recent supply chain study of the solar electricity sector in Alberta by Solas Energy Consulting Inc. found a potential of $4.1 billion in market value and a labour force rising to 10,000 in 2030.

 

To learn more about solar energy and the best way for consumers to go solar, please visit the Canadian Solar Industries Association at www.CanSIA.ca.

 

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Canadian Manufacturers and Exporters Congratulates the Ontario Government for Taking Steps to Reduce Electricity Prices

Ontario Global Adjustment Deferral offers COVID-19 electricity bill relief to industrial and commercial consumers not on the RPP, aligning GA to March levels for Class A and Class B manufacturers to improve cash flow.

 

Key Points

A temporary GA deferral easing electricity costs for Ontario industrial and commercial users not on the RPP.

✅ Sets Class B GA at $115/MWh; Class A gets equal percentage cut.

✅ Applies April-June 2020; automatic bill adjustments and credits.

✅ Deferred charges repaid over 12 months starting January 2021.

 

Manufacturers welcome the Government of Ontario's decision to defer a portion of Global Adjustment (GA) charges as part of support for industrial and commercial electricity consumers that do not participate in the Regulated Price Plan.

"Manufacturers are pleased the government listened to Canadian Manufacturers & Exporters (CME) member recommendations and is taking action to reduce Ontario electricity bills immediately," said Dennis Darby, President & CEO of CME.

"The majority of manufacturers have identified cash flow as their top concern during the crisis, "added Darby. "The GA system would have caused a nearly $2 billion cost surge to Ontario manufacturers this year. This new initiative by the government is on top of the billions in support already provided to help manufacturers weather this unprecedented storm, while other provinces accelerate British Columbia's clean energy shift to drive long-term competitiveness. All these measures are a great start in helping businesses of all sizes stay afloat during the crisis and, keeping Ontarians employed."

"We call on the Ontario government to continue to consider the impact of electricity costs on the manufacturing sector, even after the COVID-19 crisis is resolved," stated Darby. "High prices are putting Ontario manufacturers at a significant competitive disadvantage and, discourages investments." A recent report from London Economics International (LEI) found that when compared to jurisdictions with similar manufacturing industries, Ontario's electricity prices can be up to 75% more expensive, underscoring the importance of planning for Toronto's growing electricity needs to maintain affordability.

To provide companies with temporary immediate relief on their electricity bills, the Ontario government is deferring a portion of Global Adjustment (GA) charges for industrial and commercial electricity consumers that do not participate in the Regulated Price Plan (RPP), starting from April 2020, as some regions saw reduced electricity demand from widespread remote work during the pandemic. The GA rate for smaller industrial and commercial consumers (i.e., Class B) has been set at $115 per megawatt-hour, which is roughly in line with the March 2020 value. Large industrial and commercial consumers (i.e., Class A) will receive the same percentage reduction in GA charges as Class B consumers.

The Ontario government intends to keep this relief in place through the end of June 2020, alongside investments like smart grid technology in Sault Ste. Marie to support reliability, subject to necessary extensions and approvals to implement this initiative.

Industrial and commercial electricity consumers will automatically see this relief reflected on their bills. Consumers who have already received their April bill should see an adjustment on a future bill.

Related initiatives include developing cyber standards for electricity sector IoT devices to strengthen system security.

The government intends to bring forward subsequent amendments that would, if approved, recover the deferred GA charges (excluding interest) from industrial and commercial electricity consumers, as Toronto prepares for a surge in electricity demand amid continued growth, over a 12-month period beginning in January 2021.

 

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Environmentalist calls for reduction in biomass use to generate electricity

Nova Scotia Biomass Energy faces scrutiny as hydropower from Muskrat Falls via the Maritime Link increases, raising concerns over carbon emissions, biodiversity, ratepayer costs, and efficiency versus district heating in the province's renewable mix.

 

Key Points

Electricity from wood chips and waste wood in Nova Scotia, increasingly questioned as hydropower from the Maritime Link grows.

✅ Hydropower deliveries reduce need for biomass on the grid

✅ Biomass is inefficient, costly, and impacts biodiversity

✅ District heating offers better use of forestry residuals

 

The Ecology Action Centre's senior wilderness coordinator is calling on the Nova Scotia government to reduce the use of biomass to generate electricity now that more hydroelectric power is flowing into the province.

In 2020, the government of the day signed a directive for Nova Scotia Power to increase its use of biomass to generate electricity, including burning more wood chips, waste wood and other residuals from the forest industry. At the time, power from Muskrat Falls hydroelectric project in Labrador was not flowing into the province at high enough levels to reach provincial targets for electricity generated by renewable resources.

In recent months, however, the Maritime Link from Muskrat Falls has delivered Nova Scotia's full share of electricity, and, in some cases, even more, as the province also pursues Bay of Fundy tides projects to diversify supply.

Ray Plourde with the Ecology Action Centre said that should be enough to end the 2020 directive.

Ray Plourde is senior wilderness coordinator for the Ecology Action Centre. (CBC)
Biomass is "bad on a whole lot of levels," said Plourde, including its affects on biodiversity and the release of carbon into the atmosphere, he said. The province's reliance on waste wood as a source of fuel for electricity should be curbed, said Plourde.

"It's highly inefficient," he said. "It's the most expensive electricity on the power grid for ratepayers."

A spokesperson for the provincial Natural Resources and Renewables Department said that although the Maritime Link has "at times" delivered adequate electricity to Nova Scotia, "it hasn't done so consistently," a context that has led some to propose an independent planning body for long-term decisions.

"These delays and high fossil fuel prices mean that biomass remains a small but important component of our renewable energy mix," Patricia Jreiga said in an email, even as the province plans to increase wind and solar projects in the years ahead.

But to Plourde, that explanation doesn't wash.

The Nova Scotia Utility and Review Board recently ruled that Nova Scotia Power could begin recouping costs of the Maritime Link project from ratepayers. As for the rising cost of fossil fuels, Ploude noted that the inefficiency of biomass means there's no deal to be had using it as a fuel source.

"Honestly, that sounds like a lot of obfuscation," he said of the government's position.

No update on district heating plans
At the time of the directive, government officials said the increased use of forestry byproducts at biomass plants in Point Tupper and Brooklyn, N.S., including the nearby Port Hawkesbury Paper mill, would provide a market for businesses struggling to replace the loss of Northern Pulp as a customer. Brooklyn Power has been offline since a windstorm damaged that plant in February, however. Repairs are expected to be complete by the end of the year or early 2023.

Ploude said a better use for waste wood products would be small-scale district heating projects, while others advocate using more electricity for heat in cold regions.

Although the former Liberal government announced six public buildings to serve as pilot sites for district heating in 2020, and a list of 100 other possible buildings that could be converted to wood heat, there have been no updates.

"Currently, we're working with several other departments to complete technical assessments for additional sites and looking at opportunities for district heating, but no decisions have been made yet," provincial spokesperson Steven Stewart said in an email.

 

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By Land and Sea, Clean Electricity Needs to Lead the Way

Martha's Vineyard 100% Renewable Energy advances electrification across EVs, heat pumps, distributed solar, offshore wind, microgrids, and battery storage, cutting emissions, boosting efficiency, and strengthening grid resilience for storms and sea-level rise.

 

Key Points

It is an islandwide plan to electrify transport and buildings using wind, solar, storage, and a modern resilient grid.

✅ Electrify transport: EV adoption and SSA hybrid-electric ferries.

✅ Deploy heat pumps for efficient heating and cooling in buildings.

✅ Modernize the grid: distributed solar, batteries, microgrids, VPP.

 

Over the past year, it has become increasingly clear that climate change is accelerating. Here in coastal New England, annual temperatures and precipitation have risen more quickly than expected, tidal flooding is now commonplace, and storms have increased in frequency and intensity. The window for avoiding the worst consequences of a climate-changed planet is closing.

At their recent special town meeting, Oak Bluffs citizens voted to approve the 100 per cent renewable Martha’s Vineyard warrant article; now, all six towns have adopted the same goals for fossil fuel reduction and green electricity over the next two decades. Establishing these targets for the adoption of renewable energy, though, is only an initial step. Town and regional master plans for energy transformation are being developed, but this is a whole-community effort as well. Now is the time for action.

There is much to do to combat climate change, but our most important task is to transition our energy system from one heavily dependent on fossil fuels to one that is based on clean electricity. The good news is that this can be accomplished with currently available technology, and can be done in an economically efficient manner.

Electrification not only significantly lowers greenhouse gas emissions, but also is a powerful energy efficiency measure. So even though our detailed Island energy model indicates that eliminating all (or almost all) fossil fuel use will mean our electricity use will more than double, posing challenges for state power grids in some regions, our overall annual energy consumption will be significantly lower.

So what do we specifically need to do?

The primary targets for electrification are transportation (roughly 60 peer cent of current fossil fuel use on Martha’s Vineyard) and building heating and cooling (40 per cent).

Over the past two years, the increase in the number of electric vehicle models available across a wide range of price points has been remarkable — sedans, SUVs, crossovers, pickup trucks, even transit vans. When rebates and tax credits are considered, they are affordable. Range anxiety is being addressed both by increases in vehicle performance and the growing availability of charging locations (other than at home, which will be the predominant place for Islanders to refuel) and, over time, enable vehicle-to-grid support for our local system. An EV purchase should be something everyone should seriously consider when replacing a current fossil vehicle.

The elephant in the transportation sector room is the Steamship Authority. The SSA today uses roughly 10 per cent of the fossil fuel attributable to Martha’s Vineyard, largely but not totally in the ferries. The technology needed for fully electric short-haul vessels has been under development in Scandinavia for a number of years and fully electric ferries are in operation there. A conservative approach for the SSA would be to design new boats to be hybrid diesel-electric, retrofittable to plug-in hybrids to allow for shoreside charging infrastructure to be planned and deployed. Plug-in hybrid propulsion could result in a significant reduction in emissions — perhaps as much as 95 per cent, per the long-range plan for the Washington State ferries. While the SSA has contracted for an alternative fuel study for its next boat, given the long life of the vessels, an electrification master plan is needed soon.

For building heating and cooling, the answer for electrification is heat pumps, both for new construction and retrofits. These devices move heat from outside to inside (in the winter) or inside to outside (summer), and are increasingly integrated into connected home energy systems for smarter control. They are also remarkably efficient (at least three times more efficient than burning oil or propane), and today’s technology allows their operation even in sub-zero outside temperatures. Energy costs for electric heating via heat pumps on the Vineyard are significantly below either oil or propane, and up-front costs are comparable for new construction. For new construction and when replacing an existing system, heat pumps are the smart choice, and air conditioning for the increasingly hot summers comes with the package.

A frequent objection to electrification is that fossil-fueled generation emits greenhouse gases — thus a so-called green grid is required in order to meet our targets. The renewable energy fraction of our grid-supplied electricity is today about 30 per cent; by 2030, under current legislation that fraction will reach 54 per cent, and by 2040, 77 per cent. Proposed legislation will bring us even closer to our 2040 goals. The Vineyard Wind project will strongly contribute to the greening of our electricity supply, and our local solar generation (almost 10 per cent of our overall electricity use at this point) is non-negligible.

A final important facet of our energy system transformation is resilience. We are dependent today on our electricity supply, and this dependence will grow. As we navigate the challenges of climate change, with increasingly more frequent and more serious storms, 2021 electricity lessons underscore that resilience of electricity supply is of paramount importance. In many ways, today’s electricity distribution system is basically the same approach developed by Edison in the late 19th century. In partnership with our electric utility, we need to modernize the grid to achieve our resiliency goals.

While the full scope of this modernization effort is still being developed, the outline is clear. First, we need to increase the amount of energy generated on-Island — to perhaps 25 per cent of our total electricity use. This will be via distributed energy resources (in the form of distributed solar and battery installations as well as community solar projects) and the application of advanced grid control systems. For emergency critical needs, the concept of local microgrids that are detachable from the main grid when that grid suffers an outage are an approach that is technically sound and being deployed elsewhere. Grid coordination of distributed resources by the utility allows for handling of peak power demand; in the early 2030s this could result in what is known as a virtual power plant on the Island.

The adoption of the 100 renewable Martha’s Vineyard warrant articles is an important milestone for our community. While the global and national efforts in the climate crisis may sometimes seem fraught, we can take some considerable pride in what we have accomplished so far and will accomplish in coming years. As with many change efforts, the old catch-phrase applies: think globally, act locally.
 

 

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Hydro One reports $1.1B Q2 profit boosted by one-time gain due to court ruling

Hydro One Q2 Earnings surge on a one-time gain from a court ruling on a deferred tax asset, lifting profit, revenue, and adjusted EPS at Ontario's largest utility regulated by the Ontario Energy Board.

 

Key Points

Hydro One Q2 earnings jumped on an $867M court gain, with revenue at $1.67B and adjusted EPS improving to $0.39.

✅ One-time gain: $867M from tax appeal ruling.

✅ Revenue: $1.67B vs $1.41B last year.

✅ Adjusted EPS: $0.39 vs $0.26.

 

Hydro One Ltd., following the Peterborough Distribution sale transaction closing, reported a second-quarter profit of $1.1 billion, boosted by a one-time gain related to a court decision.

The power utility says it saw a one-time gain of $867 million in the quarter due to an Ontario court ruling on a deferred tax asset appeal that set aside an Ontario Energy Board decision earlier.

Hydro One says the profit amounted to $1.84 per share for the quarter ended June 30, amid investor concerns about uncertainties, up from $155 million or 26 cents per share a year earlier.

Shares also moved lower after the Ontario government announced leadership changes, as seen when Hydro One shares fell on the news in prior trading.

On an adjusted basis, it says it earned 39 cents per share for the quarter, despite earlier profit plunge headlines, up from an adjusted profit of 26 cents per share in the same quarter last year.

Revenue totalled $1.67 billion, up from $1.41 billion in the second quarter of 2019, while other Canadian utilities like Manitoba Hydro face heavy debt burdens.

Hydro One is Ontario’s largest electricity transmission and distribution provider, and its CEO compensation has drawn scrutiny in the province.

 

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TVA faces federal scrutiny over climate goals, electricity rates

TVA Rates and Renewable Energy Scrutiny spotlights electricity rates, distributed energy resources, solar and wind deployment, natural gas plans, grid access charges, energy efficiency cuts, and House oversight of lobbying, FERC inquiries, and least-cost planning.

 

Key Points

A congressional probe into TVA pricing and practices affecting renewables, energy efficiency, and climate goals.

✅ House panel probes TVA rates, DER and solar policies.

✅ Efficiency programs cut; least-cost planning questioned.

✅ Inquiry on lobbying, hidden fees; FERC scrutiny.

 

The Tennessee Valley Authority is facing federal scrutiny about its electricity rates and climate action, amid ongoing debates over network profits in other markets.

Members of the House Committee on Energy and Commerce are “requesting information” from TVA about its ratepayer bills and “out of concern” that TVA is interfering with the deployment of renewable and distributed energy resources, even as companies such as Tesla explore electricity retail to expand customer options.

“The Committee is concerned that TVA’s business practices are inconsistent with these statutory requirements to the disadvantage of TVA’s ratepayers and the environment,” the committee said in a letter to TVA CEO Jeffrey Lyash.

The four committee members — U.S. Reps. Frank Pallone, Jr. (D-NJ), Bobby L. Rush (D-IL), Diana DeGette (D-CO), and Paul Tonko (D-NY) — suggested that Tennessee Valley residents pay too much for electricity despite TVA’s relatively low rates, even as regulators have, in other cases, scrutinized mergers like the Hydro One-Avista deal to safeguard ratepayers, underscoring similar concerns. In 2020, Tennessee residents had electric bills higher than the national average, while low-income residents in Memphis have historically faced one of the highest energy burdens in the U.S.

In 2018, TVA reduced its wholesale rate while adding a grid access charge on local power companies—and interfered with the adoption of solar energy. Internal TVA documents obtained through a Freedom of Information Act request by the Energy and Policy Institute revealed that TVA permitted local power companies to impose new fees on distributed solar generation to “lessen the potential decrease in TVA load that may occur through the adoption of [behind the meter] generation.”

Additionally, the committee said TVA is not prioritizing energy conservation and efficiency or “least-cost planning” that includes renewables, as seen in oversight such as the OEB's Hydro One rates decision emphasizing cost allocation. TVA reduced its energy efficiency programs by nearly two-thirds between 2014 and 2018 and cut its energy efficiency customer incentive programs.

At this time, TVA has not aligned its long-term planning with the Biden administration’s goal to achieve a carbon-free electricity sector by 2035. TVA’s generation mix, which is roughly 60% carbon-free, comprises 39% nuclear, 19% coal, 26% natural gas, 11% hydro, 3% wind and solar, and 1% energy efficiency programs, according to TVA.

The committee is “greatly concerned that TVA has invested comparatively little to date in deploying solar and wind energy, while at the same time considering investments in new natural gas generation.”

TVA has announced plans to shutter the Kingston and Cumberland coal plants and is evaluating whether to replace this generation with natural gas, which is a fossil fuel, while debates over grid privatization raise questions about consumer benefits. TVA’s coal and natural gas plants represent most of the largest sources of greenhouses emissions in Tennessee.

TVA responded with a statement without directly addressing the committee’s concerns. TVA said its “developing and implementing emerging technologies to drive toward net-zero emissions by 2050.”

The final question that the House committee posed is whether TVA is funding any political activity. In 2019, the committee questioned TVA about its membership to the now-disbanded Utility Air Regulatory Group, a coalition that was involved in over 200 lawsuits that primarily fought Clear Air Act regulations.

TVA revealed that it had contributed $7.3 million to the industry lobbying group since 2001. Since TVA doesn’t have shareholders, customers paid for UARG membership fees, echoing findings that deferred utility costs burden customers in other jurisdictions. An Office of the Inspector General investigation couldn’t prove whether TVA’s contributions directly funded litigation because UARG didn’t have a line-by-line accounting of what they did with TVA’s dollars.

The congressional committee questioned whether TVA is still paying for lobbying or litigation that opposes “public health and welfare regulations.”

This last question follows a recent trend of questioning utilities about “hidden fees.” In December, the Federal Energy Regulatory Commission issued a Notice of Inquiry to examine how bills from investor-owned utilities might contain fees that fund political activity, and regulators have penalized firms like NT Power over customer notice practices, highlighting consumer protection. The Center for Biological Diversity filed a petition to protect electric and gas customers of investor-owned utilities from paying these fees, which may be used for lobbying, campaign-related donations and litigation.

 

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