Fuel storage, safety had vexed stricken plant

By Reuters


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When the massive tsunami smacked into Fukushima Daiichi, the nuclear power plant was stacked high with more uranium than it was originally designed to hold and had repeatedly missed mandatory safety checks over the past decade.

The Fukushima plant that has spun into partial meltdown and spewed out plumes of radiation had become a growing depot for spent fuel in a way the American engineers who designed the reactors 50 years earlier had never envisioned, according to company documents and outside experts.

At the time of the March 11 earthquake, the reactor buildings at Fukushima held the equivalent of almost six years of the highly radioactive uranium fuel rods produced by the plant, according to a presentation by Tokyo Electric Power Co to a conference organized by the International Atomic Energy Agency.

Along with questions about whether Tokyo Electric officials waited too long to pump sea water into the plants and abandon hope of saving them, the utility and regulators are certain to face scrutiny on the fateful decision to store most of the plant's spent fuel rods inside the reactor buildings rather than invest in other potentially safer storage options.

That debate has direct implications for nuclear policy in the United States about whether changes enacted after the September 11, 2001 attacks go far enough to protect potentially vulnerable fuel stored at the nearly two dozen U.S. power plants that have the same design as the Fukushima Daiichi plant, experts say.

In Japan, the crisis has also focused attention on Tokyo Electric's spotty record on safety issues that continued until days before the quake, its cost-cutting drive under current chief executive Masataka Shimizu, and a relationship with Japanese government regulators that critics say remains shot through with conflicts of interest.

The cascade of safety-related failures at the Fukushima plant is already strengthening the hand of reformers who argue that Japan's nuclear power industry will have to see sweeping changes from the top.

"I've long thought that the whole system is crap," said Taro Kono, a Liberal Democratic Party lawmaker and a longtime critic of nuclear power who sees the need for a government-directed reorganization of Tokyo Electric.

"We have to go through our whole nuclear strategy after this," Kono said. "Now no one is going to accept nuclear waste in their backyards. You can have an earthquake and have radioactive material under your house. We're going to have a real debate on this."

The latest incidents add to a record of safety sanctions and misses at Tokyo Electric — more commonly known as TEPCO — that date back a decade and continued into the weeks before the quake.

Less than two weeks before Fukushima Daiichi was sent into partial meltdown, the utility had told safety regulators it had failed to inspect 33 pieces of equipment at the plant, including a backup power generator, according to a filing.

Nuclear industry analysts say an even more pressing question concerns an area where Japan's safety regulations may have given TEPCO too much room to maneuver as it sought to contain costs: storage of used fuel rods.

When the quake hit, almost 4,000 uranium fuel assemblies were stored in deep pools of circulating water built into the highest floor of the Fukushima reactor buildings, according to company records. Each assembly stands about 3.5 meters high and even a decade after use emits enough radiation to kill a person standing nearby.

The spent radioactive fuel stored in the reactors represented more than three times the amount of radioactive material normally held in the active cores of the six reactors at the complex, according to Tokyo Electric briefings and its presentation to the IAEA.

The build-up of used fuel rods in the Fukushima reactor buildings has complicated the response to the continuing crisis at the complex and deepened its severity, officials and experts have said.

That has been especially the case at the No. 4 reactor, which was out of service at the time of the quake and had some 548, still-hot fuel assemblies cooling in a pool of water on its upper floor.

That reactor, which erupted into explosive flames twice, triggered a warning from U.S. officials about higher risks for radiation from the stricken plant than Japanese officials had disclosed.

David Lochbaum, a nuclear engineer with the U.S.-based Union of Concerned Scientists, said the spent fuel was vulnerable because it was protected only by the relatively "flimsy" outer shell of the reactors and reliant on a single, pump-driven cooling system.

"It's a recipe for disaster and that disaster is now unfolding in Japan," Lochbaum said.

The pile-up of used radioactive fuel stored at Fukushima underscores a dilemma that the nuclear power industry has faced in Japan and in the United States for decades: there is no easy answer to the question of where to store radioactive nuclear fuel after it has been used to produce power.

In the United States, industry planners had once assumed that spent fuel rods would be moved to the Yucca Mountain Repository in Nevada. But political opposition in that fast-growing state helped put the plan on hold, meaning spent fuel has largely piled up in on-site cooling ponds.

"We have no plan for the back end of the nuclear fuel cycle, and we need one," said Allison Macfarlane, a professor at George Mason University in Virginia, who serves on a U.S. government panel studying the problem.

The situation is similar in Japan. A medium-term storage facility for waste from Fukushima Daiichi being built in the small village of Mutsu in northern Japan is not scheduled to open until 2012. The plan had been for that facility to hold 20 years worth of spent fuel.

A longer-term and controversial plan to build a uranium enrichment and reprocessing plant at nearby Rokkasho has also faced repeated delays and technical difficulties in a project that dates back to the early 1990s.

More than 60 percent of the uranium stored at Fukushima Daiichi made it through the quake and tsunami without being destabilized because it was kept in a separate pool built in 1997 and in a number of metal casks that do not rely on outside power, Japanese nuclear safety officials said.

But the location of the remaining fuel storage pools — on the highest floor of the reactor buildings — exposed the fuel to additional risks because the pools would have swayed more in the quake and could have lost water through sloshing or leaks, experts say.

As workers at the plant scramble to restore power to the plant and test pumps and other safety equipment, the main focus of the safety response has been to keep water in the storage pools by shooting sprays of water from a hastily assembled battalion of high-powered fire trucks.

The water in the pools serves as both a coolant and a barrier to radiation. When the zirconium cladding on the fuel rods is exposed to air, it can erupt into flames.

Fukushima Daiichi had over time been pushing the limits of the plant's capacity to store uranium fuel on site, according to a Tokyo Electric presentation from November 2010 and now circulating among safety experts and environmental critics.

The Tokyo Electric researcher who prepared that presentation on the safety of spent fuel at the complex, Yumiko Kumano, could not be reached for comment. A spokesman for TEPCO declined to comment on its fuel storage decisions and whether they contributed to the crisis.

"Our focus now is on responding to the situation at Fukushima," he said.

The TEPCO presentation noted that the utility had taken steps to increase storage capacity for spent fuel at the plant complex beyond its original design. Those included "re-racking" the pools in the reactor buildings to increase their capacity and then building a separate large, pool outside and a separate hub of metal casks that do not need to rely on electricity.

But the only significant open space left for storage remained inside the reactor buildings, according to the document. TEPCO had the capacity to more than double the number of fuel assemblies stored in the reactors from 3,998 at the time of the quake to 8,310 assemblies.

"They were headed for dense pack and that would have made the situation even worse," said Frank von Hippel, a Princeton University physicist and former U.S. adviser on nuclear security risks in the Clinton administration.

An official with Japan's Nuclear and Industrial Safety Agency, who asked not to be named because he was not speaking on behalf of regulators in a formal capacity, said officials would have to review safety policies on storing fuel inside reactor buildings.

"This is something that we are going to have to look at after what's happened," he said.

When Toru Ishida, a powerful advocate for the Japanese nuclear power industry, decided to leave his government post in 2010 for private industry, he didn't have to change his commute much at all.

Ishida, who had been director general of the Ministry of Economy, Trade and Industry, the agency overseeing nuclear power, was hired four months after he left his regulatory post by TEPCO.

In a sign of the close ties between the utility and the government agency that serves as its biggest patron, the now-darkened TEPCO headquarters is just a few blocks from METI's drab complex in the Kasumigaski neighborhood that houses much of the government bureaucracy.

The practice of former bureaucrats dropping into high-paid private sector jobs after retirement remains both relatively common and controversial in Japan where it is known as "amakudari," or "descent from heaven."

But the Ishida case attracted so much notice when his hiring by TEPCO became public earlier this year, that then METI Minister Akihiro Ohata felt compelled to concede it could show the need for reform.

"Something should be done to reassure public concern about this," Ohata told reporters in January, while arguing that Ishida had been hired by TEPCO for his "capacity, experience and intelligence" and nothing more.

Critics, including the lawmaker Kono, said the hire illustrates the deep-seated problems in a system that has made METI both nuclear power's biggest backer and home to the safety agency in charge of its regulation.

METI has guided Tokyo Electric's investment in nuclear power and provided an implicit backstop and financing. At the same time, the utility has provided jobs for some senior METI officials like Ishida and a network of sympathetic politicians, Kono said.

"If this is a national policy, then the government has to be responsible entirely," he said. "If this is private enterprise, then we have to think about how to de-cartel this industry."

The Fukushima Daiichi plant is Tokyo Electric's oldest nuclear facility, and it has been the site of a series of high-profile safety lapses going back a decade.

In 2002, TEPCO admitted to safety regulators that it had falsified safety records at the No. 1 reactor at Fukushima Daiichi. In 2003, TEPCO shut down all of its 17 nuclear plants to take responsibility for the false safety scandal and a fuel leak at Fukushima.

In 2007, after a powerful quake hit the area near TEPCO's Kashiwazaki-Kariwa nuclear plant in Niigata, the utility was slow to report two radiation leaks and miscalculated the amount of radiation released in a third incident.

Japanese regulators have also come under fire. In 1999, a study commissioned by the U.S. Energy Department determined that workers at Japan's Tokaimura fuel plant had been given insufficient training before they accidentally touched off an uncontrolled nuclear chain reaction. Three workers were severely injured in the incident, which forced tens of thousands to evacuate.

Japan's Nuclear and Industrial Safety Agency was established in 2001 in part because of that criticism. But critics have questioned whether it has enough distance from the industry it regulates or the resources it needs. The agency's records show that it has about two field inspectors for each of Japan's 54 nuclear plants.

While the band of TEPCO workers risk dangerous doses of radiation as they struggle to prevent a catastrophic meltdown at the Fukushima Daiichi, the company's chief executive has all but vanished from the public eye.

Chief executive Masataka Shimizu has not made a public appearance in more than a week. He has yet to visit the crippled nuclear power plant north of Tokyo. And many Japanese, on a knife edge waiting to see if the nuclear power plant and its radiation leaks can be brought under control, are beginning to question how much he is in control of the crisis.

At his last news conference, the 66-year-old apologized for the situation, before all but vanishing from public view. The company issued a statement from him recently in which he expressed regret for "causing such trouble."

Shimizu is a consummate company man, joining the place where his father worked at the age of 23. At the country's biggest power supplier, he made a name for himself as a cost-cutter in the procurement side of the business, before becoming company president in June 2008.

Since the crisis, he has largely left it to TEPCO spokespeople in Tokyo to be the public face of the company and answer increasingly aggressive questions, and criticism, from reporters frustrated at the lack of information.

"He's making the low-ranking people do all the hard work," said Satomi Aihara, a 46-year-old Tokyo resident. "I wonder where he's hiding — it makes me mad."

Even Prime Minister Naoto Kan has been unable to hide his frustration. "What the hell is going on?" he was overheard telling TEPCO executives.

TEPCO officials say their boss is busy behind the scenes.

"He's been leading the troops at headquarters," company spokesman Kaoru Yoshida said.

Japanese company chiefs may not be as closely associated with the successes of their companies as they are in the United States or Europe, but they are to any failures.

They are expected to take responsibility for shortcomings, scandals or disasters that happen on their watch, apologizing profusely and often resigning.

Indeed, a former president and chairman of the company both stepped down after the 2002 safety scandal.

While TEPCO, its chief executive and regulators may face questions over the safe storage of spent fuel inside the Fukushima reactors, in the United States experts have urged spent fuel be stored away from reactors because of the risk of a terrorist attack.

A classified report by the U.S. National Academy of Science prepared in the wake of the September 11, 2001 attacks, challenged the position of the U.S. nuclear industry that storing spent fuel in pools was as safe as storing it outside the reactor buildings in heavy casks of lead and steel that can also be reinforced with a massive concrete bunker.

About 23 U.S. reactors share the same General Electric "Mark 1" design as the Fukushima Daiichi reactors, which date back to 1971.

"When the plants were originally designed, it was thought that the spent fuel would remain on the sites only two or three months after they came out of the reactor during a refueling outage and then the fuel would be shipped offsite for reprocessing or disposal," said Lochbaum of the Union of Concerned Scientists.

"When those plans changed, we just filled the pools up to capacity without ever rethinking whether we should provide better safety or barriers," he said.

The Japan nuclear crisis has raised concern for U.S. officials because of the areas where safety practices overlap. By contrast, Germany, for example, has relied more heavily on storage of spent fuel in casks that can be hardened against attack or accidents with concrete.

One of problems limiting the wider use of the dry storage units is their upfront costs: each cask costs about $1 million or more. Critics say the costs are roughly comparable with cooling pools over the long run but require initial capital spending that can be a tougher sell to management and shareholders.

Richard Meserve, who was chair of the U.S. Nuclear Regulatory Commission from 1999 to 2003 and oversaw its response to the September 11 attacks, said it is too soon to judge what has happened at Fukushima until more reviews take place. If anything, he said, he was surprised the reactors' spent fuel pools were not fuller, given the ages of the plants.

Meserve noted the steps the NRC took after the September 11 attacks such as requiring the hottest fuel to be spread among various cooling pools, and extra systems to spray water on the spent rods. "We have some safety systems in the U.S. reactors that may not be present at the Japanese reactors," he said.

Junichi Nunomura, a Tokyo-based executive with NAC, a U.S. firm that provides dry storage for nuclear fuel, said Japanese utilities had been slow to move away from storing spent fuel in pools at reactors despite the shift in international opinion away from that option in recent years.

"They've been very cautious, very slow to move," Nunomura said. "That could change."

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Tracking Progress on 100% Clean Energy Targets

100% Clean Energy Targets drive renewable electricity, decarbonization, and cost savings through state policies, CCAs, RECs, and mandates, with timelines and interim goals that boost jobs, resilience, and public health across cities, counties, and utilities.

 

Key Points

Policies for cities and states to reach 100% clean power by set dates, using mandates, RECs, and interim goals.

✅ Define eligible clean vs renewable resources

✅ Mandate vs goal framework with enforcement

✅ Timelines with interim targets and escape clauses

 

“An enormous amount of authority still rests with the states for determining your energy future. So we can build these policies that will become a postcard from the future for the rest of the country,” said David Hochschild, chair of the California Energy Commission, speaking last week at a UCLA summit on state and local progress toward 100 percent clean energy.

According to a new report from the UCLA Luskin Center for Innovation, 13 states, districts and territories, as well as more than 200 cities and counties, with standout clean energy purchases by Southeast cities helping drive momentum, have committed to a 100 percent clean electricity target — and dozens of cities have already hit it.

This means that one of every three Americans, or roughly 111 million U.S. residents representing 34 percent of the population, live in a community that has committed to or has already achieved 100 percent clean electricity, including communities like Frisco, Colorado that have set ambitious targets.

“We’re going to look back on this moment as the moment when local action and state commitments began to push the entire nation toward this goal,” said J.R. DeShazo, director of the UCLA Luskin Center for Innovation.

Not all 100 percent targets are alike, however. The report notes that these targets vary based on 1) what resources are eligible, 2) how binding the 100 percent target is, and 3) how and when the target will be achieved.

These distinctions will carry a lot of weight as the policy discussion shifts from setting goals to actually meeting targets. They also have implications for communities in terms of health benefits, cost savings and employment opportunities.

 

100% targets come in different forms

One key attribute is whether a target is based on "renewable" or "clean" energy resources. Some 100 percent targets, like Hawaii’s and Rhode Island’s 2030 plan, are focused exclusively on renewable energy, or sources that cannot be depleted, such as wind, solar and geothermal. But most jurisdictions use the broader term “clean energy,” which can also include resources like large hydroelectric generation and nuclear power.

States also vary in their treatment of renewable energy certificates, used to track and assign ownership to renewable energy generation and use. Unbundled RECs allow for the environmental attributes of the renewable energy resource to be purchased separately from the physical electricity delivery.

The binding nature of these targets is also noteworthy. Seven states, as well as Puerto Rico and the District of Columbia, have passed 100 percent clean energy transition laws. Of the jurisdictions that have passed 100 percent legislation, all but one specifies that the target is a “mandate,” according to the report. Nevada is the only state to call the target a “goal.”

Governors in four other states have signed executive orders with 100 percent clean energy goals.

Target timelines also vary. Washington, D.C. has set the most ambitious target date, with a mandate to achieve 100 percent renewable electricity by 2032. Other states and cities have set deadline years between 2040 and 2050. All "100 percent" state laws, and some city and county policies, also include interim targets to keep clean energy deployment on track.

In addition, some locations have included some form of escape clause. For instance, Salt Lake City, which last month passed a resolution establishing a goal of powering the county with 100 percent clean electricity by 2030, included “exit strategies” in its policy in order to encourage stakeholder buy-in, said Mayor Jackie Biskupski, speaking last week at the UCLA summit.

“We don’t think they’ll get used, but they’re there,” she said.

Other locales, meanwhile, have decided to go well beyond 100 percent clean electricity. The State of California and 44 cities have set even more challenging targets to also transition their entire transportation, heating and cooling sectors to 100 percent clean energy sources, and proposals like requiring solar panels on new buildings underscore how policy can accelerate progress across sectors.

Businesses are simultaneously electing to adopt more clean and renewable energy. Six utilities across the United States have set their own 100 percent clean or carbon-free electricity targets. UCLA researchers did not include populations served by these utilities in their analysis of locations with state and city 100 percent clean commitments.

 

“We cannot wait”

All state and local policies that require a certain share of electricity to come from renewable energy resources have contributed to more efficient project development and financing mechanisms, which have supported continued technology cost declines and contributed to a near doubling of renewable energy generation since 2008.

Many communities are switching to clean energy in order to save money, now that the cost calculation is increasingly in favor of renewables over fossil fuels, as more jurisdictions get on the road to 100% renewables worldwide. Additional benefits include local job creation, cleaner air and electricity system resilience due to greater reliance on local energy resources.

Another major motivator is climate change. The electricity sector is responsible for 28 percent of U.S. greenhouse gas emissions, second only to transportation. Decarbonizing the grid also helps to clean up the transportation sector as more vehicles move to electricity as their fuel source.

“The now-constant threat of wildfires, droughts, severe storms and habitat loss driven by climate change signals a crisis we can no longer ignore,” said Carla Peterman, senior vice president of regulatory affairs at investor-owned utility Southern California Edison. “We cannot wait and we should not wait when there are viable solutions to pursue now.”

Prior to joining SCE on October 1, Peterman served as a member of the California Public Utilities Commission, which implements and administers renewable portfolio standard (RPS) compliance rules for California’s retail sellers of electricity. California’s target requires 60 percent of the state’s electricity to come from renewable energy resources by 2030, and all the state's electricity to come from carbon-free resources by 2045.  

 

How CCAs are driving renewable energy deployment

One way California communities are working to meet the state’s ambitious targets is through community-choice aggregation, especially after California's near-100% renewable milestone underscored what's possible, via which cities and counties can take control of their energy procurement decisions to suit their preferences. Investor-owned utilities no longer purchase energy for these jurisdictions, but they continue to operate the transmission and distribution grid for all electricity users.                           

A second paper released by the Luskin Center for Innovation in recent days examines how community-choice aggregators are affecting levels of renewable energy deployment in California and contributing to the state’s 100 percent target.

The paper finds that 19 CCAs have launched in California since 2010, growing to include more than 160 towns, cities and counties. Of those communities, 64 have a 100 percent renewable or clean energy policy as their default energy program.

Because of these policies, the UCLA paper finds that “CCAs have had both direct and indirect effects that have led to increases in the clean energy sold in excess of the state’s RPS.”

From 2011 to 2018, CCAs directly procured 24 terawatt-hours of RPS-eligible electricity, 11 TWh of which have been voluntary or in excess of RPS compliance, according to the paper.

The formation of CCAs has also had an indirect effect on investor-owned utilities. As customers have left investor-owned utilities to join CCAs, the utilities have been left holding contracts for more renewable energy than they need to comply with California’s clean energy targets, amid rising solar and wind curtailments that complicate procurement decisions. UCLA researchers estimate that this indirect effect of CCA formation has left IOUs holding 13 terawatt-hours in excess of RPS requirements.

The paper concludes that CCAs have helped to accelerate California’s ability to meet state renewable energy targets over the past decade. However, the future contributions of CCAs to the RPS are more uncertain as communities make new power-purchasing decisions and utilities seek to reduce their excess renewable energy contracts.

“CCAs offer a way for communities to put their desire for clean energy into action. They're growing fast in California, one of only eight states where this kind of mechanism is allowed," said UCLA's Kelly Trumbull, an author of the report. "State and federal policies could be reformed to better enable communities to meet local demand for renewable energy.”

 

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UK must start construction of large-scale storage or fail to meet net zero targets.

UK Hydrogen Storage Caverns enable long-duration, low-carbon electricity balancing, storing surplus wind and solar power as green hydrogen in salt formations to enhance grid reliability, energy security, and net zero resilience by 2035 and 2050.

 

Key Points

They are salt caverns storing green hydrogen to balance wind and solar, stabilizing a low-carbon UK grid.

✅ Stores surplus wind and solar as green hydrogen in salt caverns

✅ Enables long-duration, low-carbon grid balancing and security

✅ Complements wind and solar; reduces dependence on flexible CCS

 

The U.K. government must kick-start the construction of large-scale hydrogen storage facilities if it is to meet its pledge that all electricity will come from low-carbon electricity sources by 2035 and reach legally binding net zero targets by 2050, according to a report by the Royal Society.

The report, "Large-scale electricity storage," published Sep. 8, examines a wide variety of ways to store surplus wind and solar generated electricity—including green hydrogen, advanced compressed air energy storage (ACAES), ammonia, and heat—which will be needed when Great Britain's electricity generation is dominated by volatile wind and solar power.

It concludes that large scale electricity storage is essential to mitigate variations in wind and sunshine, particularly long-term variations in the wind, and to keep the nation's lights on. Storing most of the surplus as hydrogen, in salt caverns, would be the cheapest way of doing this.

The report, based on 37 years of weather data, finds that in 2050 up to 100 Terawatt-hours (TWh) of storage will be needed, which would have to be capable of meeting around a quarter of the U.K.'s current annual electricity demand. This would be equivalent to more than 5,000 Dinorwig pumped hydroelectric dams. Storage on this scale, which would require up to 90 clusters of 10 caverns, is not possible with batteries or pumped hydro.

Storage requirements on this scale are not currently foreseen by the government, and the U.K.'s energy transition faces supply delays. Work on constructing these caverns should begin immediately if the government is to have any chance of meeting its net zero targets, the report states.

Sir Chris Llewellyn Smith FRS, lead author of the report, said, "The need for long-term storage has been seriously underestimated. Demand for electricity is expected to double by 2050 with the electrification of heat, transport, and industrial processing, as well as increases in the use of air conditioning, economic growth, and changes in population.

"It will mainly be met by wind and solar generation. They are the cheapest forms of low-carbon electricity generation, but are volatile—wind varies on a decadal timescale, so will have to be complemented by large scale supply from energy storage or other sources."

The only other large-scale low-carbon sources are nuclear power, gas with carbon capture and storage (CCS), and bioenergy without or with CCS (BECCS). While nuclear and gas with CCS are expected to play a role, they are expensive, especially if operated flexibly.

Sir Peter Bruce, vice president of the Royal Society, said, "Ensuring our future electricity supply remains reliable and resilient will be crucial for our future prosperity and well-being. An electricity system with significant wind and solar generation is likely to offer the lowest cost electricity but it is essential to have large-scale energy stores that can be accessed quickly to ensure Great Britain's energy security and sovereignty."

Combining hydrogen with ACAES, or other forms of storage that are more efficient than hydrogen, could lower the average cost of electricity overall, and would lower the required level of wind power and solar supply.

There are currently three hydrogen storage caverns in the U.K., which have been in use since 1972, and the British Geological Survey has identified the geology for ample storage capacity in Cheshire, Wessex and East Yorkshire. Appropriate, novel business models and market structures will be needed to encourage construction of the large number of additional caverns that will be needed, the report says.

Sir Chris observes that, although nuclear, hydro and other sources are likely to play a role, Britain could in principle be powered solely by wind power and solar, supported by hydrogen, and some small-scale storage provided, for example, by batteries, that can respond rapidly and to stabilize the grid. While the cost of electricity would be higher than in the last decade, we anticipate it would be much lower than in 2022, he adds.

 

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Electricity Shut-Offs in a Pandemic: How COVID-19 Leads to Energy Insecurity, Burdensome Bills

COVID-19 Energy Burden drives higher electricity bills as income falls, intensifying energy poverty, utility shut-offs, and affordability risks for low-income households; policy moratoriums, bill relief, and efficiency upgrades are vital responses.

 

Key Points

The COVID-19 energy burden is the rising share of income spent on energy as bills increase and earnings decline.

✅ Rising home demand and lost wages increase energy cost share.

✅ Mandated shut-off moratoriums and reconnections protect health.

✅ Fund assistance, efficiency, and solar for LMI households.

 

I have asthma. It’s a private piece of medical information that I don’t normally share with people, but it makes the potential risks associated with exposure to the coronavirus all the more dangerous for me. But I’m not alone. 107 million people in the U.S. have pre-existing medical conditions like asthma and heart disease; the same pre-existing conditions that elevate their risk of facing a life-threatening situation were we to contract COVID-19. There are, however, tens of millions more house-bound Americans with a condition that is likely to be exacerbated by COVID-19: The energy burden.

The energy burden is a different kind of pre-existing condition:
In the last four weeks, 22 million people filed for unemployment. Millions of people will not have steady income (or the healthcare tied to it) to pay rent and utility bills for the foreseeable future which means that thousands, possibly millions of home-bound Americans will struggle to pay for energy.

Your energy burden is the amount of your monthly income that goes to paying for energy, like your monthly electric bill. So, when household energy use increases or income decreases, your energy burden rises. The energy burden is not a symptom of the pandemic and the economic downturn; it is more like a pre-existing condition for many Americans.

Before the coronavirus outbreak, I shared a few maps that showed how expensive electricity is for some. The energy burden in most pronounced in places already struggling economically, like in Appalachia, where residents in some counties must put more than 30 percent of their income toward their electric bills, and in the Midwest where states such as Michigan have some families spending more than 1/5 of their income on energy bills. The tragic facts are that US families living below the poverty line are far more likely to also be suffering from their energy burden.

But like other pre-existing conditions, the impacts of the coronavirus pandemic are exacerbating the underlying problems afflicting communities across the country.

Critical responses to minimize the spread of COVID-19 are social distancing, washing hands frequently, covering our faces with masks and staying at home. More time at home for most will drive up energy bills, and not by a little. Estimates on how much electricity demand during COVID-19 will increase vary but I’ve seen estimates as high as a 20% increase on average. For some families that’s a bag of groceries or a refill on prescription medication.

What happens when the power gets turned off?
Under normal conditions, if you cannot pay your electric bill your electricity can get turned off. This can have devastating consequences. Most states have protections for health and medical reasons and some states have protections during extreme heat or cold weather. But enforcement of those protections can vary by utility service area and place unnecessary burdens on the customer.

UCS
Only Florida has no protections of any kind against utility shut-offs when health or medical reasons would merit protection against it. However, when it comes to protection against extreme heat, only a few states have mandatory protections based on temperature thresholds.

The NAACP has also pointed out that utilities have unceremoniously disconnected the power of millions of people, disproportionally African-American and Latinx households.

April tends to be a mild month for most of the country, but the South already had its first heat wave at the end of March. If this pandemic lasts into the summer, utility disconnects could become deadly, and efforts to prevent summer power outages will be even more critical to public health. In the summer, during extreme summer heat families can’t turn off the A/C and go to the movies if we are following public health measures and sheltering in place. Lots of families that don’t have or can’t afford to run A/C would otherwise gather at local community pools, beaches, or in cooling centers, but with parks, pools and community groups closed to prevent the virus’s spread, what will happen to these families in July or August?

But we won’t have to wait till the summer to see how families will be hard hit by falling behind on bills and losing power. Here are a few ways electricity disconnection policies cause people harm during the pandemic:

Loss of electricity during the COVID-19 pandemic means families will lose their ability to refrigerate essential food supplies.
Child abuse guidance discusses how unsanitary household conditions are a contributing factor to child protective services involvement. Unsanitary household conditions can include, for example, rotting food (which might happen if electricity is cut off).

HUD’s handbook on federally subsidized housing includes a chapter on termination, which says that lease agreements can be terminated for repeated minor infractions including failing to pay utilities.
Airway machines used to treat respiratory ailments—pre-existing conditions in this pandemic—will not work. Our elderly neighbors in particular might rely on medicine that requires refrigeration or medical equipment that requires electricity. They too have fallen victim to utility shut-offs even during the pandemic.

Empowering solutions are available today

Decisionmakers seeking solutions can look to implement utility shut off moratoriums as a good start. Good news is that many utilities have voluntarily taken action to that effect, and New Jersey and New York have suspended shut-offs, one of the best trackers on who is taking what action has been assembled by Energy Policy Institute.

But voluntary actions do not always provide comprehensive protection, and they certainly have not been universally adopted across the country. Some utilities are waiving fees as relief measures, and some moratoriums only apply to customers directly affected by COVID-19, which will place additional onerous red tape on households that are stricken and perhaps unable to access testing. Others might only be an extension of standard medical shut off protections. Moratoriums put in place by voluntary action can also be revoked or lifted by voluntary action, which does not provide any sense of certainty to people struggling to make ends meet.

This is why the US needs mandatory moratoriums on all utility disconnections. These normally would be rendered at the state level, either by a regulatory commission, legislative act, or even an emergency executive order. But the inconsistent leadership among states in response to the COVID-19 crisis suggests that Congressional action is needed to ensure that all vulnerable utility customers are protected. That’s exactly what a coalition of organizations, including UCS, is calling for in future federal aid legislation. UCS has called for a national moratorium on utility shut-offs.

And let’s be clear, preventing new shut-offs isn’t enough. Cutting power off at residence during a pandemic is not good public policy. People who are without electricity should have it restored so residents can safely shelter in place and help flatten the curve. So far, only Colorado and Wisconsin’s leadership has taken this option.

Addressing the root causes of energy poverty
Preventing shut-offs is a good first step, but the increased bill charges will nevertheless place greater economic pressure on an incalculable number of families. Addressing the root of the problem (energy affordability) must be prioritized when we begin to recover from the health and economic ramifications of the COVID-19 pandemic.

One way policymakers can do that is to forgive outstanding balances on utility bills, perhaps with an eligibility cap based on income. Additional funds could be made available to those who are still struggling to pay their bills via capping bills, waiving late payment fees, automating payment plans or other protective measures that rightfully place consumers (particularly vulnerable consumers) at the center of any energy-related COVID-19 response. Low-and-moderate-income energy efficiency and solar programs should be funded as much as practically possible.

New infrastructure, particularly new construction that is slated for public housing, subsidized housing, or housing specifically marketed for low- and moderate-income families, should include smart thermostats, better insulation, and energy-efficient appliances.

Implementing these solutions may seem daunting, let us not forget that one of the best ways to ease people’s energy burden is to keep a utility’s overall energy costs low. That means state utility commissions must be vigilant in utility rate cases and fuel recovery cost dockets to protect people facing unfathomable economic pressures. Unscrupulous utilities have been known to hide unnecessary costs in our energy bills. Commissions and their staff are overwhelmed at this time, but they should be applying extra scrutiny during proceedings when utilities are recovering costs associated with delivering energy.

What might a utility try to get past the commission?
Well, residential demand is up, so for many people, bills will increase. However, wholesale electricity rates are low right now, in some cases at all-time lows. Why? Because industrial and commercial demand reductions (from social distancing at home) have more than offset residential demand increases. Overall US electricity demand is flat or declining, and supply/demand economics predicts that when demand decreases, prices decrease.

At the same time, natural gas prices have set record lows each month of this year and that’s a trend that is expected to hold true for a while.

Low demand plus low gas prices mean wholesale market prices are incredibly low. Utilities should be taking advantage of low market prices to ensure that they deliver electricity to customers at as low a cost as possible. Utilities must also NOT over-run coal plants uneconomically or lean on aging capacity despite disruptions in coal and nuclear that can invite brownouts because that will not only needlessly cost customers more, but it will also increase air pollution which will exacerbate respiratory issues and susceptibility to COVID-19, according to a recent study published by Harvard.

 

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IEA: Electricity investment surpasses oil and gas for the first time

Electricity Investment Surpasses Oil and Gas 2016, driven by renewable energy, power grids, and energy efficiency, as IEA reports lower oil and gas spending, rising solar and wind capacity, and declining coal power plant approvals.

 

Key Points

A 2016 milestone where electricity topped global energy investment, led by renewables, grids, and efficiency, per the IEA.

✅ IEA: electricity investment hit $718b; oil and gas fell to $650b.

✅ Renewables led with $297b; solar and wind unit costs declined.

✅ Coal plant approvals plunged; networks and storage spending rose.

 

Investments in electricity surpassed those in oil and gas for the first time ever in 2016 on a spending splurge on renewable energy and power grids as the fall in crude prices led to deep cuts, the International Energy Agency (IEA) said.

Total energy investment fell for the second straight year by 12 per cent to US$1.7 trillion compared with 2015, the IEA said. Oil and gas investments plunged 26 per cent to US$650 billion, down by over a quarter in 2016, and electricity generation slipped 5 per cent.

"This decline (in energy investment) is attributed to two reasons," IEA chief economist Laszlo Varro told journalists.

"The reaction of the oil and gas industry to the prolonged period of low oil prices which was a period of harsh investment cuts; and technological progress which is reducing investment costs in both renewable power and in oil and gas," he said.

Oil and gas investment is expected to rebound modestly by 3 per cent in 2017, driven by a 53 per cent upswing in U.S. shale, and spending in Russia and the Middle East, the IEA said in a report.

"The rapid ramp up of U.S. shale activities has triggered an increase of U.S. shale costs of 16 per cent in 2017 after having almost halved from 2014-16," the report said.

The global electricity sector, however, was the largest recipient of energy investment in 2016 for the first time ever, overtaking oil, gas and coal combined, the report said.

"Robust investments in renewable energy and increased spending in electricity networks, which supports the outlook that low-emissions sources will cover most demand growth, made electricity the biggest area of capital investments," Varro said.

Electricity investment worldwide was US$718 billion, lifted by higher spending in power grids which offset the fall in power generation investments.

"Investment in new renewables-based power capacity, at US$297 billion, remained the largest area of electricity spending, despite falling back by 3 per cent as clean energy investment in developing nations slipped, the report said."

Although renewables investments was 3 per cent lower than five years ago, capacity additions were 50 per cent higher and expected output from this capacity about 35 per cent higher, thanks to the fall in unit costs and technology improvements in solar PV and wind generation, the IEA said.

 

COAL INVESTMENT IS COMING TO AN END

Investments in coal-fired electricity plants fell sharply. Sanctioning of new coal power plants fell to the lowest level in nearly 15 years, reflecting concerns about local air pollution, and emergence of overcapacity and competition from renewables, with renewables poised to eclipse coal in global power generation, notably in China. Coal investments, however, grew in India.

"Coal investment is coming to an end. At the very least, it is coming to a pause," Varro said.

The IEA report said energy efficiency investments continued to expand in 2016, reaching US$231 billion, with most of it going to the building sector globally.

Electric vehicles sales rose 38 per cent in 2016 to 750,000 vehicles at $6 billion, and represented 10 per cent of all transport efficiency spending. Some US$6 billion was spent globally on electronic vehicle charging stations, the IEA said.

Spending on electricity networks and storage continued the steady rise of the past five years, as surging electricity demand puts power systems under strain, reaching an all-time high of US$277 billion in 2016, with 30 per cent of the expansion driven by China’s spending in its distribution system, the report said.

China led the world in energy investments with 21 per cent of global total share, the report said, driven by low-carbon electricity supply and networks projects.

Although oil and gas investments fell in the United States in 2016, its total energy investments rose 16 per cent, even as Americans use less electricity in recent years, on the back of spending in renewables projects, the IEA report said.

 

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Over 30% of Global Electricity from Renewables

Global Renewable Electricity Milestone signals solar, wind, hydro, and geothermal surpass 30% of power generation, driven by falling costs, battery storage, smart grids, and ambitious policy targets that strengthen energy security and decarbonization.

 

Key Points

It marks renewables exceeding 30% of global power, enabled by cheaper tech, storage, and strong policy.

✅ Costs of solar and wind fall, boosting competitiveness

✅ Storage and smart grids improve reliability and flexibility

✅ Policies target decarbonization while ensuring just transition

 

A recent report by the energy think tank Ember marks a significant milestone in the global energy transition. For the first time ever, according to their analysis, renewable energy sources like solar, wind, hydro, and geothermal now account for more than 30% of the world's electricity generation, a milestone echoed by wind and solar growth globally. This achievement signifies a pivotal shift towards a cleaner and more sustainable energy future.

The report attributes this growth to several key factors. Firstly, the cost of renewable energy technologies like solar panels and wind turbines has plummeted in recent years, making them increasingly competitive with traditional fossil fuels. Secondly, advancements in battery storage technology are facilitating the integration of variable renewable sources like solar and wind into the grid, addressing concerns about reliability. Thirdly, a growing number of countries are implementing ambitious renewable energy targets and policies, driven by environmental concerns and the desire for energy security.

The rise of renewables is not uniform across the globe. Europe leads the pack, with the European Union generating a staggering 44% of its electricity from renewable sources in 2023. Countries like Denmark, Germany, and Spain are at the forefront of this clean energy revolution. Developing nations are also starting to embrace renewables, driven by factors like falling technology costs and the need for affordable electricity access.

However, challenges remain. Fossil fuels still dominate the global energy mix, accounting for roughly two-thirds of electricity generation. Integrating a higher proportion of variable renewables into the grid necessitates robust storage solutions and smart grid technologies. Additionally, the transition away from fossil fuels needs to be managed carefully to ensure a just and equitable outcome for workers in the coal, oil, and gas sectors.

Despite these challenges, the report by Ember paints an optimistic picture. The rapid growth of renewables demonstrates their increasing viability and underscores the global commitment to a cleaner energy future, and in the United States, for example, renewables are projected to reach one-fourth of U.S. electricity generation, reinforcing this trajectory. The report also highlights the economic benefits of renewables, with new jobs created in the clean energy sector and reduced reliance on volatile fossil fuel prices.

Looking ahead, continued technological advancements, supportive government policies, and increased investment in renewable energy infrastructure are all crucial for further growth, with scenarios such as BNEF's 2050 outlook suggesting wind and solar could provide half of electricity, underscoring the importance of sustained effort. Furthermore, international cooperation is essential to ensure a smooth and equitable global energy transition. Developed nations can play a vital role by sharing technology and expertise with developing countries.

The 30% milestone is a significant step forward, but it's just the beginning. As the world strives to combat climate change and ensure energy security for future generations, renewables are poised to play a central role in powering a sustainable future, with wind and solar surpassing coal in the U.S. offering a clear signal of the shift. The report by Ember serves as a powerful reminder that a clean energy future is not just a dream, but a rapidly unfolding reality.

 

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Britain Prepares for High Winter Heating and Electricity Costs

UK Energy Price Cap drives household electricity bills and gas prices, as Ofgem adjusts unit rates amid natural gas shortages, Russia-Ukraine disruptions, inflation, recession risks, and limited storage; government support offers only short-term relief.

 

Key Points

The UK Energy Price Cap limits per-unit gas and electricity charges set by suppliers and adjusted by Ofgem.

✅ Reflects wholesale natural gas costs; varies quarterly

✅ Protects consumers from sudden electricity and heating bill spikes

✅ Does not cap total annual spend; usage still determines bills

 

The government organization that controls the cost of energy in Great Britain recently increased what is known as a price cap on household energy bills. The price cap is the highest amount that gas suppliers can charge for a unit of energy.

The new, higher cost has people concerned that they may not be able to pay for their gas and electricity this winter. Some might pay as much as $4,188 for energy next year. Earlier this year, the price cap was at $2,320, and a 16% decrease in bills is anticipated in April.

Why such a change?

Oil and gas prices around the world have been increasing since 2021 as economies started up again after the coronavirus pandemic. More business activities required more fuel.

Then, Russia invaded Ukraine in late February, creating a new energy crisis. Russia limited the amount of natural gas it sent to European countries that needed it to power factories, produce electricity and keep homes warm.

Some energy companies are charging more because they are worried that Russia might completely stop sending gas to European countries. And in Britain, prices are up because the country does not produce much gas or have a good way to store it. As a result, Britain must purchase gas often in a market where prices are high, and ministers have discussed ending the gas-electricity price link to ease bills.

Citibank, a U.S. financial company, believes the higher energy prices will cause inflation in Britain to reach 18 percent in 2023, while EU energy inflation has also been driven higher by energy costs this year. And the Bank of England says an economic slowdown known as a recession will start later this year.

Public health and private aid organizations worry that high energy prices will cause a “catastrophe” as Britons choose between keeping their homes warm and eating enough food.

What can government do?

As prices rise, the British government plans to give people between $450 and $1,400 to help pay for energy costs, while some British MPs push to further restrict the price charged for gas and electricity. But the help is seen by many as not enough.

If the government approves more money for fuel, it will probably not come until September, as the energy security bill moves toward becoming law. That is the time the Conservative Party will select a new leader to replace Prime Minister Boris Johnson.

The Labour Party says the government should increase the amount it provides for people to pay for fuel by raising taxes on energy companies. However, the two politicians who are trying to become the next Prime Minister do not seem to support that idea.

Giovanna Speciale leads an organization called the Southeast London Community Energy group. It helps people pay their bills. She said the money will help but it is only a short-term solution to a bigger problem with Britain’s energy system. Because the system is privately run, she said, “there’s very little that the government can do to intervene in this.”

Other European countries are seeing higher energy costs, but not as high, and at the EU level, gas price cap strategies have been outlined to tackle volatility. In France, gas prices are capped at 2021 levels. In Germany, prices are up by 38 percent since last year. However, the government is reducing some taxes, which will make it easier for the average person to buy gas. In Italy, prices are going up, but the government recently approved over $8 billion to help people pay their energy bills.
 

 

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