Michigan solar supporters make new push to eliminate rooftop solar caps


solar workers

Protective Relay Training - Basic

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 12 hours Instructor-led
  • Group Training Available
Regular Price:
$699
Coupon Price:
$599
Reserve Your Seat Today

Michigan Distributed Energy Cap Repeal advances a bipartisan bill to boost rooftop solar and net metering, countering DTE and Consumers Energy claims, expanding energy freedom, jobs, and climate resilience across investor-owned utility territories.

 

Key Points

A Michigan bill to remove the 1% distributed energy cap, expanding rooftop solar, net metering, and clean energy jobs.

✅ Removes 1% distributed generation cap statewide

✅ Supports rooftop solar, net metering, and job growth

✅ Counters utility cost-shift claims with updated tariffs

 

A bipartisan group of Michigan lawmakers has introduced legislation to eliminate a 1% cap on distributed energy in the state’s investor-owned utility territories.

It’s the third time in recent years that such legislation has been introduced. Though utilities and their political allies have successfully blocked it to date, through tactics some critics say reflect utilities tilting the solar market by incumbents, advocates see an opportunity with a change in state Republican caucus leadership and Michigan’s burgeoning solar industry approaching the cap in some utility territories.

The bill also has support from a broad swath of legislators for reasons having to do with job creation, energy freedom and the environment, amid broader debates over states' push for renewables and affordability. Already the bill has received multiple hearings, even as DTE Energy and Consumers Energy, Michigan’s largest private utilities, are ramping up attacks in an effort to block the bill. 

“It’s going to be vehemently opposed by the utilities but there are only benefits to this if you are anybody but DTE,” said Democratic state Rep. Yousef Rabhi, who cosigned HB 4236 and has helped draft language in previous bills. “If we remove the cap, then we’re putting the public’s interest first, and we’re putting DTE’s interest first if we keep the cap in place.” 

The Michigan Legislature enacted the cap as part of a sweeping 2016 energy bill that clean energy advocates say included a number of provisions that have kneecapped the small-scale distributed energy industry, particularly home solar. The law caps distributed energy production at 1% of a utility’s average in-state peak load for the past five years. 

Republicans have controlled the Legislature and committees since the law was enacted, amid parallel moves such as the Wyoming clean energy bill in another state, and previous attempts to cut the language haven’t received House committee hearings. However, former Republican House leader Lee Chatfield has been replaced, and already the new bill, introduced by Republican state Rep. Gregory Markkanen, the energy committee’s vice chair, has had two hearings. 

Previous attempts to cut the language were also a part of a larger package of bills, and this time around the bill is a standalone. The legislation is also moving as Consumers and Upper Peninsula Power Co. have voluntarily doubled their cap to two percent, which advocates say highlights the need to repeal the cap . 

Rabhi said there’s bipartisan support because many conservatives and progressives view it as an infringement on customers’ energy freedom since the cap will eventually effectively prohibit new distributed energy generation. Legislators say the existing law kills jobs because it severely limits the clean energy industry’s growth, and Rabhi said he’s also strongly motivated by increasing renewable energy production to address climate change. 

In February, Michigan Public Service Commission Chairman Dan Scripps testified to the House committee, with observers also pointing to FERC action on aggregated DERs as relevant context, that the commission is “supportive in taking steps to ensure solar developers in Michigan are able to continue operating and thus support in concept the idea of lifting or eliminating the cap” in order to protect the home solar industry. 

The state’s solar industry has long criticized the cap, and removing it is a “no brainer,” said Dave Strenski, executive director of Solar Ypsi, which promotes rooftop solar in Ypsilanti. 

“If they have a cap and we reach that cap, then rooftop solar is shut down in Michigan,” he said. “The utilities don’t mind solar as long as they own it, and that’s what it boils down to.”  

The state’s utilities see the situation differently. Spokespeople for DTE and Consumers told the Energy News Network that lifting the cap would shift the cost burden of maintaining their territory-wide infrastructure from all customers to low income customers who can’t afford to install solar panels, often invoking reliability examples such as California's reliance on fossil generation to justify caution.

The bill “doesn’t address the subsidy certain customers are paid at the expense of those who cannot afford to put solar panels on their homes,” said Katie Carey, Consumers Energy’s spokesperson. 

However, clean energy advocates argue that studies have found that to be untrue. And even if it were true, Rabhi said, the utilities told lawmakers in 2016 that a new inflow/outflow tariff that the companies successfully pushed for to replace net metering dramatically reduced compensation for home solar users and would address that inequality. 

“DTE’s and Consumers’ own argument is that by making that change, distributed generation is no longer a ‘burden’ on low income customers, so now we have inflow/outflow and the problem should be solved,” Rabhi said. 

He added that claims that DTE and Consumers are looking out for low-income customers are disingenuous because they have repeatedly fought larger allowances for programs that help those customers, and refuse to “dip into their massive corporate profits and make sure poor people don’t have to pay as much for electricity.”

“I don’t want to hear a sob story from DTE about how putting solar panels on the house is going to hurt poor people,” he said. “That is entirely the definition of hypocrisy — that’s the utilities using poor people as a pawn and that’s why people are sick of these corporations.” 

The companies have already begun their public relations attack designed to help thwart the bill. DTE and Consumers spread money generously among Republicans and Democrats in the Legislature each cycle, and the two companies’ dark money nonprofits launched a round of ads targeting Democratic lawmakers, reflecting the broader solar wars playing out nationally. Several sit on the House Energy Committee, which must approve the bill before it can go in front of the full Legislature. 

The DTE-backed Alliance For Michigan Power and Consumers Energy-funded Citizens Energizing Michigan’s Economy have purchased dozens of Facebook ads alluding to action by the legislators, though there hasn’t been a vote. 

Facebook ads aren’t uncommon as they get “bang for their buck,” said Matt Kasper, research director with utility industry watchdog Energy And Policy Institute. Already hundreds of thousands of people have potentially viewed the ads and the groups have only spent thousands of dollars. The ads are likely designed to get Facebook users to interact with the legislators on the issue, Kasper said, even if there’s little information in the ad, and the info in the ad that does exist is highly misleading.

DTE and Consumers spokespersons declined to comment on the spending and directed questions to the dark money nonprofits. No one there could be reached for comment.

 

Related News

Related News

Wind and solar power generated more electricity in the EU last year than gas. Here's how

EU Renewable Energy Transition accelerates as solar and wind overtake gas, cutting coal reliance and boosting REPowerEU goals; falling electricity demand, hydro and nuclear recovery, and grid upgrades drive a cleaner, secure power mix.

 

Key Points

It is the EU's shift to solar and wind, surpassing gas and curbing coal to meet REPowerEU targets.

✅ Solar and wind supplied 22% of EU electricity in 2022.

✅ Gas fell behind; coal stayed near 16% with no major rebound.

✅ Demand fell; hydro and nuclear expected to recover in 2023.

 

European countries were forced to accelerate their renewable energy capacity after Russia's invasion of Ukraine sparked a global energy crisis amid a surge in global power demand that exceeded pre-pandemic levels. The EU’s REPowerEU plan aims to increase the share of renewables in final energy consumption overall to 45 percent by the end of the decade.

However, a new report by energy think tank Ember shows that the EU’s green energy transition is already making a significant difference. Solar and wind power generated more than a fifth (22 percent) of its electricity in 2022, pulling ahead of fossil gas (20 percent) for the first time, according to the European Electricity Review 2023.

Europe also managed to avoid resorting to emissions-intensive coal power for electricity generation as a consequence of the energy crisis, even as renewables to eclipse coal globally by mid-decade. Coal generated just 16 percent of the EU’s electricity last year, an increase of just 1.5 percentage points.

“Europe has avoided the worst of the energy crisis,” says Ember’s Head of Data Insights, Dave Jones. “The shocks of 2022 only caused a minor ripple in coal power and a huge wave of support for renewables. Any fears of a coal rebound are now dead.”

Ember’s analysis reveals that the EU faced a "triple crisis" in the electricity sector in 2022, as stunted hydro and nuclear output compounded the shock. "Just as Europe scrambled to cut ties with its biggest supplier of fossil gas, it faced the lowest levels of hydro and nuclear (power) in at least two decades, which created a deficit equal to 7 percent of Europe’s total electricity demand in 2022," the report says. A severe drought across Europe, French nuclear outages as well as the closure of German nuclear outlets were responsible for the drop.

 

Solar power shines through
However, the record surge in solar and wind power generation helped compensate for the nuclear and hydropower deficit. Solar power rose the fastest, growing by a record 24 percent last year which almost doubled its previous record, with wind growing by 8.6 percent.

Forty-one gigawatts of solar power capacity was added in 2022, almost 50 percent more than the year before. Ember says that 20 EU countries achieved solar records in 2022, with Germany, Spain, Poland, the Netherlands and France adding the most solar capacity.

The Netherlands and Greece generated more power from solar than coal for the first time. Greece is also predicted to reach its 2030 solar capacity target by the end of this year.


EU electricity demand falls
A significant drop in electricity use in 2022 also helped lessen the impact of Europe’s energy crisis. Demand fell by 7.9 percent in the last quarter of the year, despite the continent heading into winter. This was close to the 9.6 percent fall experienced when Europe was in Covid-19 lockdown in mid-2020.

"Mild weather was a deciding factor, but affordability pressures likely played a role, alongside energy efficiency improvements and citizens acting in solidarity to cut energy demand in a time of crisis," the report says.

A ‘coal comeback’ fails to materialize
The almost 8 percent fall in electricity demand in the last three months of 2022 was the main factor in the 9 percent fall in gas and coal generation during that time. However, Ember says that had France’s nuclear plants been operating at the same capacity as 2021, the EU’s fossil fuel generation would have fallen twice as fast in the last quarter of 2022.

The report says: "Coal power in the EU fell in all four of the final months of 2022, down 6 percent year-on-year. The 26 coal units placed on emergency standby for winter ran at an average of just 18 percent capacity. Despite importing 22 million tonnes of extra coal throughout 2022, the EU only used a third of it."

Gas generation was very similar compared to 2021, up just 0.8 percent. It made up 20 percent of the EU electricity mix in 2022, up from 19 percent the year before.


Fossil fuel generation set to fall in 2023
Ember says low-emissions sources like solar and wind power will continue to accelerate in 2023 and hydropower and French nuclear capacity will also recover. With electricity demand likely to continue to fall, it estimates that fossil fuel-generation "could plummet" by 20 percent in 2023.

Gas generation will fall the fastest, Ember predicts, as it will remain more expensive than coal over the next few years. "The large fall in gas generation means the power sector is likely to be the fastest falling segment of gas demand during 2023, helping to bring calm to European gas markets as Europe adjusts to life without Russian gas."

In order to stick to the 2015 Paris Agreement target of limiting global warming to no more than 1.5 degrees Celsius compared to pre-industrial levels, Ember says Europe must fully decarbonize its power system by the mid-2030s. Its modeling shows that this is possible without compromising the security of supply.

However, the report says "making this vision a reality will require investment above and beyond existing plans, as well as immediate action to address barriers to the expansion of clean energy infrastructure. Such a mobilization would boost the European economy, cement the EU’s position as a climate leader and send a vital international message that these challenges can be overcome."

 

Related News

View more

Canada set to hit 5 GW milestone

Canada Solar Capacity Outlook 2022-2050 projects 500 MW new PV in 2022 and 35 GW by 2050, driven by renewables policy, grid parity, NREL analysis, IEA-PVPS data, and competitive utility-scale photovoltaic costs.

 

Key Points

An evidence-based forecast of Canadian PV additions to 35 GW by 2050, reflecting policy, costs, and grid parity trends.

✅ 500 MW PV expected in 2022; cumulative capacity near 5 GW

✅ NREL outlook sees 35 GW by 2050 on cost competitiveness

✅ Policy shifts, ITCs, coal retirements accelerate solar uptake

 

Canada is set to install 500 MW of new solar in 2022, bringing its total capacity to about 5 GW, according to data from Canmet Energy, even as the Netherlands outpaces Canada in solar power generation. The country is expected to hit 35 GW of total solar capacity by 2050.

Canada’s cumulative solar capacity is set to hit 5 GW by the end of this year, according to figures from the federal government’s Canmet Energy lab. The country is expected to add around 500 MW of new solar capacity, from 944 MW last year, according to the International Energy Agency Photovoltaic Power Systems Programme (IEA-PVPS), which recently published a report on PV applications in Canada, even as solar demand lags in Canada.

“If we look at the recent averages, Canada has installed around 500 MW annually. I expect in 2022 it will be at least 500 MW,” said Yves Poissant, research manager at Canmet Energy. “Last year it was 944 MW, mainly because of a 465 MW centralized PV power plant installed in Alberta, where the Prairie Provinces are expected to lead national renewable growth.”

The US National Renewable Energy Laboratory (NREL) studied renewables integration and concluded that Canada’s cumulative solar capacity will increase sevenfold to 35 GW by 2050, driven by cost competitiveness and that zero-emissions by 2035 is achievable according to complementary studies.

Canada now produces 80% of its electricity from power sources other than oil. Hydroelectricity leads the mix at 60%, followed by nuclear at 15%, wind at 7%, gas and coal at 7%, and PV at just 1%. While the government aims to increase the share of green electricity to 90% by 2030 and 100% by 2050, zero-emission electricity by 2035 is considered practical and profitable, yet it has not set any specific goals for PV. Each Canadian province and territory is left to determine its own targets.

“Without comprehensive pan-Canadian policy framework with annual capacity targets, PV installation in the coming years will likely continue to be highly variable across the provinces and territories, especially after Ontario scrapped a clean energy program, which scaled back growth projections. Further policies mechanisms are needed to allow PV to reach its full potential,” the IEA-PVPS said.

Popular content
Canada recently introduced investment tax credits for renewables to compete with the United States, but it is still far from being a solar powerhouse, with some experts calling it a solar laggard today. That said, the landscape has started to change in the past five years.

“Some laws have been put in place to retire coal plants by 2025. That led to new opportunities to install capacity,” said Poissant. “We expect the newly installed capacity will consist mostly of wind, but also solar.”

The cost of solar has become more competitive and the residential sector is now close to grid parity, according to Poissant. For utility-scale projects, old hydroelectric dams are still considerably cheaper than solar, but newly built installations are now more expensive than solar.

“Starting 2030, solar PV will be cost competitive compared to wind,” Poissant said.

 

Related News

View more

"Remarkable" New Contract Award Adds 10 GW of Renewables to UK Grid

UK Renewable Energy Auction secures 10 GW for the grid at record-low costs, led by offshore wind, floating wind, solar, and onshore wind, with inflation-indexed CfDs delivering £37/MWh strike prices and enhanced energy security.

 

Key Points

Government CfDs add 10 GW of low-cost renewables to the UK grid via offshore wind, floating wind, and solar.

✅ 10 GW capacity: 7 GW offshore wind, 2.2 GW solar, 0.9 GW onshore wind

✅ Record-low £37/MWh offshore; floating wind at £87/MWh CfD strikes

✅ 15-year indexed contracts cut exposure to volatile gas prices

 

The United Kingdom will add 10 gigawatts (GW) of renewable energy capacity to its power grid at one-quarter the cost of fossil gas after concluding its biggest-ever renewable energy auction for new renewable supplies.

The “remarkable new UK renewable auction” will meet one-eighth of the country’s current electricity demand at record low prices of just £37 per megawatt-hour for offshore wind and £87 for floating offshore systems (a dynamic echoed as wind power gains in Canada across other markets), tweeted Carbon Brief Deputy Editor Simon Evans.

“The government is increasing its reliance on a local supply of renewables amid soaring UK power prices driven by a surge in the cost of natural gas following Russia’s invasion of Ukraine,” Bloomberg Green reports. Offshore wind energy “will add about seven gigawatts of clean power capacity to the nation’s fleet from 2026, bringing Britain closer to its target of installing 50 gigawatts by the end of the decade.”

The awards also include 2.2 gigawatts (that’s 2.2 billion watts) of solar and 900 megawatts of onshore wind, even as the UK faces a renewables backlog on some projects, Bloomberg says.

“Eye-watering gas prices are hitting consumers across Europe,” said UK Business and Energy Secretary Kwasi Kwarteng. “The more cheap, clean power we generate within our own borders, the better protected we will be from volatile gas prices that are pushing up bills.”

Citing government figures, Bloomberg says wind generation costs came in 5.8% lower than the previous auction in 2019, reflecting momentum in a sector set to become a trillion-dollar business this decade. Some of the winning bidders included Ørsted, Iberdrola’s Scottish Power unit, Vattenfall, and a consortium of AB Ignitis Grupe, EDP Renovaveis, and Engie.

Offshore wind power costs have fallen dramatically in recent years as the UK supported the industry to scale up and industrialize production of larger, more efficient turbines,” the news story states. Now, “the decline in price developers are willing to accept comes even after the cost of wind turbines rose in recent months as prices increased for key metals like steel and supply chain disruptions created expensive delays.”

The 15-year, fixed-price contracts will be adjusted for inflation when the turbines are ready to start delivering electricity, offering lessons for the U.S. wind sector on contract design.

 

Related News

View more

Renewable Electricity Is Coming on Strong

Cascadia electrification accelerates renewable energy with wind and solar, EVs, heat pumps, and grid upgrades across British Columbia, Washington, and Oregon to decarbonize power, buildings, and transport at lower cost while creating jobs.

 

Key Points

Cascadia electrification is the shift to renewable grids, EVs, and heat pumps replacing fossil fuels.

✅ Wind and solar scale fast; gas and coal phase down

✅ EVs and heat pumps cut fuel costs and emissions

✅ Requires grid upgrades, policy, and social acceptance

 

Fifty years ago, a gasoline company’s TV ads showed an aging wooden windmill. As the wind died, it slowed to stillness. The ad asked: “But what do you do when the wind stops?” For the next several decades, fossil fuel providers and big utilities continued to denigrate renewable energy. Even the U.S. Energy Department deemed renewables “too rare, too diffuse, too distant, too uncertain and too ill-timed” to meaningfully contribute, as a top agency analyst put it in 2005.

Today we know that’s not true, especially in British Columbia, Washington and Oregon.

New research shows we could be collectively poised to pioneer a climate-friendly energy future for the globe — that renewable electricity can not only move Cascadia off of fossil fuels, but do so at an affordable price while creating some jobs along the way.

After decades of disinformation, this may sound like a wishful vision. But building a cleaner and more equitable economy — and doing so in just a few decades to head off the worst effects of climate change — is backed by a growing body of regional and international research.

Getting off fossil fuels is “feasible, necessary… and not very expensive” when compared to the earnings of the overall economy, said Jeffrey Sachs, an economist and global development expert at Columbia University.

Much of the confidence about the price tag comes down to this: Innovation and mass production have made wind and solar power installations cheaper than most fossil-fuelled power plants and today’s fastest-growing source of energy worldwide. The key to moving Cascadia’s economies away from fossil fuels, according to the latest research, is building more, prompting power companies to invest in carbon-free electricity as our go-to “fuel.”

However, doing that in time to help head off a cascading climatic crisis by mid-century means the region must take major steps in the next decade to speed the transition, researchers say. And that will require social buy-in.

The new research highlights three mutually supporting strategies that squeeze out fossil fuels:

Chefs and foodies are well-known fans of natural gas. Why, “Cooking with gas” is an expression for a reason. But one trendy Seattle restaurant-bar is getting by just fine with a climate-friendly alternative: electric induction cooktops.

Induction “burners” are just as controllable as gas burners and even faster to heat and cool, but produce less excess heat and zero air pollution. That made a huge difference to chef Stuart Lane’s predecessors when they launched Seattle cocktail bar Artusi 10 years ago.

Using induction meant they could squeeze more tables into the tight space available next door to Cascina Spinasse — their popular Italian restaurant in Seattle’s vibrant Capitol Hill neighborhood — and lowered the cost of expanding.

Rather than igniting a fossil fuel to roast the surface of pots and pans, induction burners generate a magnetic field that heats metal cookware from inside. For people at home, forgoing gas eliminates combustion by-products, which means fewer asthma attacks and other health impacts.

For Artusi, it eliminated the need for a pricey hood and fans to continuously pump fumes and heat out and pull fresh air in. That made induction the cheaper way to go, even though induction cooktops cost more than conventional gas ranges.

Over the years, they’ve expanded the menu because even guests who come for the signature Amari cocktails often stay for the handmade pasta, meatballs and seasonal sauces. So the initial pair of induction burners has multiplied to nine. Yet Artusi retains a cleaner, quieter and more intimate atmosphere. Yet thanks largely to the smaller fans, “it’s not as chaotic,” said Lane.

And Lane adds, it feels good to be cooking on electricity — which in Seattle proper is about 90 per cent renewable — rather than on a fossil fuel that produces climate-warming greenhouse gases. “You feel like you’re doing something right,” he said.

Lane says he wouldn’t be surprised if induction is the new normal for chefs entering the trade 10 years from now. “They probably would cook with gas and say, ‘Damn it’s hot in here!’” — Peter Fairley

This story is supported in part by a grant from the Fund for Investigative Journalism.

increasing energy efficiency to trim the amount of power we need,

boosting renewable energy to make it possible to turn off climate-wrecking fossil-fuel plants, and

plugging as much stuff as possible into the electrical grid.
Recent studies in B.C. and Washington state, and underway for Oregon, point to efficiency and electrification as the most cost-effective route to slashing emissions while maintaining lifestyles and maximizing jobs. A recent National Academies of Science study reached the same conclusion, calling electrification the core strategy for an equitable and economically advantageous energy transition, while abroad New Zealand's electrification push is asking whether electricity can replace fossil fuels in time.

However, technologies don’t emerge in a vacuum. The social and economic adjustments required by the wholesale shift from fossil fuels that belch climate-warming carbon emissions to renewable power can still make or break decarbonization, according to Jim Williams, a University of San Francisco energy expert whose simulation software tools have guided many national and regional energy plans, including two new U.S.-wide studies, a December 2020 analysis for Washington state and another in process for Oregon.

Williams points to vital actions that are liable to rile up those who lose money in the deal. Steps like letting trees grow many decades older before they are cut down, so they can suck up more carbon dioxide — which means forgoing quicker profits from selling timber. Or convincing rural communities and conservationists that they should accept power-transmission lines crossing farms and forests.

“It’s those kinds of policy questions and social acceptance questions that are the big challenges,” said Williams.

Washington, Oregon and B.C. already mandate growing supplies of renewable power and help cover the added cost of some electric equipment, and across the border efforts at cleaning up Canada's electricity are critical to meeting climate pledges. These include battery-powered cars, SUVs and pickups on the road. Heat pumps — air conditioners that run in reverse to push heat into a building — can replace furnaces. And, at industrial sites, electric machines can take the place of older mechanical systems, cutting costs and boosting reliability.

As these options drop in price they are weakening reliance on fossil fuels — even among professional chefs who’ve long sworn by cooking with gas (see sidebar: Cooking quick, clean and carbon-free).

“For each of the things that we enjoy and we need, there’s a pathway to do that without producing any greenhouse gas emissions,” said Jotham Peters, managing partner for Vancouver-based energy analysis firm Navius Research, whose clients include the B.C. government.


What the modelling tells us

Key to decarbonization planning for Cascadia are computer simulations of future conditions known as models. These projections take electrification and other options and run with them. Researchers run dozens of simulated potential future energy scenarios for a given region, tinkering with different variables: How much will energy demand grow? What happens if we can get 80 per cent of people into electric cars? What if it’s only 50 per cent? And so on.

Accelerating the transition requires large investments, this modelling shows. Plugging in millions of vehicles and heat pumps demands both brawnier and more flexible power systems, including more power lines and other infrastructure such as bridging the Alberta-B.C. electricity gap that communities often oppose. That demands both stronger policies and public acceptance. It means training and apprenticeships for the trades that must retrofit homes, and ensuring that all communities benefit — especially those disproportionately suffering from energy-related pollution in the fossil fuel era.

Consensus is imperative, but the new studies are bound to spark controversy. Because, while affordable, decarbonization is not free.

The Meikle Wind Project in BC’s Peace River region, the province’s largest, with 61 turbines producing 184.6 MW of electricity, went online in 2017. Photo: Pattern Development.
Projections for British Columbia and Washington suggest that decarbonizing Cascadia will spur extra job-stimulating growth. But the benefits and relatively low net cost mask a large swing in spending that will create winners and losers, and without policies to protect disadvantaged communities from potential energy cost increases, could leave some behind.

By 2030, the path to decarbonization shows Washingtonians buying about $5 billion less worth of natural gas, coal and petroleum products, while putting even more dollars toward cleaner vehicles and homes. No surprise then that oil and gas interests are attacking the new research.

And the research shows a likely economic speed bump around 2030. Economic growth would slow due to increased energy costs as economies race to make a sharp turn toward pollution reductions after nearly a decade of rising greenhouse gas emissions.

“Meeting that 2030 target is tough and I think it took everybody a little bit by surprise,” said Nancy Hirsh, executive director of the Seattle-based NW Energy Coalition, and co-chair of a state panel that shaped Washington’s recent energy supply planning.

But that’s not cause to ease up. Wait longer, says Hirsh, and the price will only rise.


Charging up

What most drives Cascadia’s energy models toward electrification is the dropping cost of renewable electricity.

Take solar energy. In 2010, no large power system in the world got more than three per cent of its electricity from solar. But over the past decade, solar energy’s cost fell more than 80 per cent, and by last year it was delivering over nine per cent of Germany’s electricity and over 19 per cent of California’s.

Government mandates and incentives helped get the trend started, and Canada's electricity progress underscores how costs continue to fall. Once prohibitively expensive, solar’s price now beats nuclear, coal and gas-fired power, and it’s expected to keep getting cheaper. The same goes for wind power, whose jumbo jet-sized composite blades bear no resemblance to the rickety machines once mocked by Big Oil.

In contrast, cleaning up gas- or coal-fired power plants by equipping them to capture their carbon pollution remains expensive even after decades of research and development and government incentives. Cost overruns and mechanical failures recently shuttered the world’s largest “low-carbon” coal-fired power plant in Texas after less than four years of operation.

Retrofits enabled this coal-fired plant in Texas to capture some of its carbon dioxide pollution, which was then injected into aging oil wells to revive production. But problems made the plant’s coal-fired power — which is being priced out by renewable energy — even less competitive and it was shut down after three years in 2020. Photo by NRG Energy.
Innovation and incentives are also making equipment that plugs into the grid cheaper. Electric options are good and getting better with a push from governments and a self-reinforcing cycle of performance improvement, mass production and increased demand.

Battery advances and cost cuts over the past decade have made owning an electric car cheaper, fuel included, than conventional cars. Electric heat pumps may be the next electric wave. They’re three to four times more efficient than electric baseboard heaters, save money over natural gas in most new homes, and work in Cascadia’s coldest zones.

Merran Smith, executive director of the Vancouver-based non-profit Clean Energy Canada, says that — as with electric cars five years ago — people don’t realize how much heat pumps have improved. “Heat pumps used to be big huge noisy things,” said Smith. “Now they’re a fraction of the size, they’re quiet and efficient.”

Electrifying certain industrial processes can also cut greenhouse gases at low cost. Surprisingly, even oil and gas drilling rigs and pipeline compressors can be converted to electric. Provincial utility BC Hydro is building new transmission lines to meet anticipated power demand from electrification of the fracking fields in northeastern British Columbia that supply much of Cascadia’s natural gas.


Simulating low-carbon living

The computer simulation tools guiding energy and climate strategies, unlike previous models that looked at individual sectors, take an economy-wide view. Planners can repeatedly run scenarios through sophisticated software, tinkering with their assumptions each time to answer cross-cutting questions such as: Should the limited supply of waste wood from forestry that can be sustainably removed from forests be burned in power plants? Or is it more valuable converted to biofuel for airplanes that can’t plug into the grid?

Evolved Energy Research, a San Francisco-based firm, analyzed the situation in Washington. Its algorithms are tuned using data about energy production and use today — down to the number and types of furnaces, stovetops or vehicles. It has expert assessments of future costs for equipment and fuels. And it knows the state’s mandated emissions targets.

Researchers run the model myriad times, simulating decisions about equipment and fuel purchases — such as whether restaurants stick with gas or switch to electric induction “burners” as their gas stoves wear out. The model finds the most cost-effective choices by homes and businesses that meet the state’s climate goals.

For Seattle wine bar Artusi, going with electric induction cooktops meant they could squeeze more tables into a tight, comfortable space. Standard burners cost less but would have required noisy, pricey fume hoods and fans to suck out the pollutants. For more, see sidebar. Photo: InvestigateWest.
Rather than accepting that optimal scenario and calling it a day, modellers account for uncertainty in their estimates of future costs by throwing in various additional constraints and rerunning the model.

That probing shows that longer reliance on climate-warming natural gas and petroleum fuels increases costs. In fact, all of the climate-protecting scenarios achieve Washington’s goals at relatively low cost, compared to the state’s historic spending on energy.

The end result of these scenarios are net-zero carbon emissions in 2050, echoing Canada's race to net-zero and the growing role of renewable energy, in which a small amount of emissions remaining are offset by rebounding forests or equipment that scrubs CO2 from the air.

But the seeds of that transformation must be sown by 2030. The scenarios identify common strategies that the state can pursue with low risk of future regrets.

One no brainer is to rapidly add wind and solar power to wring out CO2 emissions from Washington’s power sector. The projections end coal-fired power by 2025, as required by law, but also show that, with grid upgrades, gas-fired power plants that produce greenhouse gas emissions can stay turned off most of the time. That delivers about 16.2 million of the 44.8 million metric tons of CO2 emissions cut required by 2030 under state law.

All of the Washington scenarios also jack up electricity consumption to power cars and heating. By 2050, Washington homes and businesses would draw more than twice as much power from the grid as they did last year, meaning climate-friendly electricity is displacing climate-unfriendly gasoline, diesel fuel and natural gas. In the optimal case, electricity meets 98 per cent of transport energy in 2050, and over 80 per cent of building energy use.

By 2050, the high-electrification scenarios would create over 60,000 extra jobs across the state, as replacing old and inefficient equipment and construction of renewable power plants stimulates economic growth, according to projections from Washington, D.C.-based FTI Consulting. Scenarios with less electrification require more low-carbon fuels that cut emissions at higher cost, and thus create 15,000 to 35,000 fewer jobs.

Much of the new employment comes in middle-class positions — including about half of the total in construction — leading to big boosts in employment income. Washingtonians earn over $7 billion more in 2050 under the high-electrification scenarios, compared to a little over $5 billion if buildings stick with gas heating through 2050 and less than $2 billion with extra transportation fuels.


Rocketing to 2030

Evolved Energy’s electrification-heavy decarbonization pathways for Washington dovetail with a growing body of international research, such as that National Academy of Sciences report and a major U.S. decarbonization study led by Princeton University, and in Canada debates like Elizabeth May's 2030 renewable grid goal are testing feasibility. (See Grist’s 100 per cent Clean Energy video for a popularized view of similar pathways to slash U.S. carbon emissions, informed by Princeton modeller Jesse Jenkins.)

 

Related News

View more

Ontario to Reintroduce Renewable Energy Projects 5 Years After Cancellations

Ontario Renewable Energy Procurement 2024 will see the IESO secure wind, solar, and hydro power to meet rising electricity demand, support transit electrification, bolster grid reliability, and serve manufacturing growth across the province.

 

Key Points

A provincial IESO initiative to add 2,000 MW of clean power and plan 3,000 MW more to meet rising demand.

✅ IESO to procure 2,000 MW from wind, solar, hydro

✅ Exploring 3,000 MW via upgrades and expansions

✅ Demand growth ~2% yearly; electrification and industry

 

After the Ford government terminated renewable energy contracts five years ago, despite warnings about wind project cancellation costs that year, Ontario's electricity operator, the Independent Electricity System Operator (IESO), is now planning to once again incorporate wind and solar initiatives to address the province's increasing power demands.

The IESO, responsible for managing the provincial power supply, is set to secure 2,000 megawatts of electricity from clean sources, which include wind, solar, and hydro power, as wind power competitiveness increases across Canada. Additionally, the IESO is exploring the possibilities of reacquiring, upgrading, or expanding existing facilities to generate an additional 3,000 MW of electricity in the future.

These new power procurement efforts in Ontario aim to meet the rising energy demand driven by transit electrification and large-scale manufacturing projects, even as national renewable growth projections were scaled back after Ontario scrapped its clean energy program, which are expected to exert greater pressure on the provincial grid.

The IESO projects a consistent growth in demand of approximately two percent per year over the next two decades. This growth has prompted the Ford government, amid debate over Ontario's electricity future in the province, to take proactive measures to prevent potential blackouts or disruptions for both residential and commercial consumers.

This renewed commitment to renewable energy represents a significant policy shift for Premier Doug Ford, reflecting his new stance on wind power over time, who had previously voiced strong opposition to wind turbines and pledged to dismantle all windmills in the province. In 2018, shortly after taking office, the government terminated 750 renewable energy contracts that had been signed by the previous Liberal government, incurring fees of $230 million for taxpayers.

At the time, the government cited reasons such as surplus electricity supply and increased costs for ratepayers as grounds for contract cancellations. Premier Ford expressed pride in the decision, echoing a proud of cancelling contracts stance, claiming that it saved taxpayers $790 million and eliminated what he viewed as detrimental wind turbines that had negatively impacted the province's energy landscape for 15 years.

The Ontario government's new wind and solar energy procurement initiatives are scheduled to commence in 2024, following a court ruling on a Cornwall wind farm that spotlighted cancellation decisions.

 

Related News

View more

Renewables Projected to Soon Be One-Fourth of US Electricity Generation

U.S. Renewable Energy Forecast 2024 will see wind and solar power surpass one-fourth of electricity generation, EIA projects, as coal declines, natural gas dips, and clean energy capacity, grid integration, and policy incentives expand.

 

Key Points

EIA outlook: renewables at 26% of U.S. power in 2024, led by wind and solar as coal declines and gas share dips.

✅ Wind and solar hit 18% combined, surpassing coal's 17%.

✅ Natural gas dips to 37% as demand rebounds modestly.

✅ Coal plant closures accelerate amid costs, emissions, and age.

 

Renewable energy is poised to reach a milestone, after a record 28% in April this year, as a new government report projects that wind, solar and other renewable sources will exceed one-fourth of the country’s electricity generation for the first time, in 2024.

This is one of the many takeaways from the federal government’s Short Term Energy Outlook, a monthly report whose new edition is the first to include a forecast for 2024. The report’s authors in the Energy Information Administration are expecting renewables to increase in market share, while natural gas and coal would both decrease.

From 2023 to 2024, renewables would rise from 24 percent to 26 percent of U.S. electricity generation; coal’s share would drop from 18 percent to 17 percent; gas would remain the leader but drop from 38 percent to 37 percent; and nuclear would be unchanged at 19 percent.

It was a big deal in 2020 when generation from renewables passed coal for the first time in 130 years over a full year. Coal made a comeback in 2021 and then retreated again in 2022 as renewables surpassed coal in generation. The ups and downs were largely the result of fluctuations in electricity demand during and then after the Covid-19 pandemic.

The new report indicates that coal doesn’t have another comeback in the works. This fuel, which was the country’s leading electricity source less than a decade ago, is declining as many coal-fired power plants are old and economically uncompetitive. Coal plants continue to close, and developers aren’t building new ones because of concerns about high costs and emissions, a trend underscored when renewables became the second-most prevalent source in 2020 across the U.S.

The growth in renewable energy is coming from wind and solar power, with wind responsible for about one-third of the growth and solar accounting for two-thirds, the report says, and combined output from wind and solar has already exceeded nuclear for the first time in the U.S. Other renewable sources, like hydropower and biomass, would be flat.

In fact, the growth of wind and solar is projected to be so swift that the combination of just those two sources would be 18 percent of the U.S. total by 2024, which would surpass coal’s 17 percent.

A key variable is overall electricity consumption. EIA is projecting that this will fall 1 percent in 2023 compared to 2022, due a mild summer. Then, consumption will increase 1 percent in 2024.

If demand was rising more, then natural gas power would likely gain market share because of gas power plants’ ability to vary their output as needed to respond to changes in demand.

I asked Eric Gimon, a senior fellow at the think tank Energy Innovation, what he thinks of these latest numbers.

He said wind and solar have gotten so big that it almost makes sense to track them as their own categories as opposed to lumping them into the larger category of renewables. He expects that the government will do this sometime soon.

Also, he thinks the projected increases for wind and solar, while substantial, are still smaller than those resources are likely to grow.

“My experience over the last 10 years is that the EIA tends to have flattish forecasts,” he said, meaning the federal office has underestimated the actual growth.

Some energy analysts have criticized EIA for being slow to recognize the growth of renewables. But much of the criticism is about the Annual Energy Outlook, which has numbers going out to mid-century, even as the U.S. is moving toward 30% from wind and solar by the end of the decade. The Short Term Energy Outlook, with numbers going one year into the future, has been more reliable.

Gimon said EIA is “kind of like your conservative uncle” in its forecasts, so it’s notable that the office expects to see a significant uptick in wind and solar.

Even so, he thinks the latest Short Term Energy Outlook should be read as the lower end of the range of potential increase for wind and solar.

For him to be right, the wind and solar industries will need to figure out solutions to the challenges they’ve been having in obtaining parts; they will need to make progress in dealing with local opposition to many projects and in having enough interstate power lines to deliver the electricity. And, new policies like the Inflation Reduction Act will need to have their desired effect of encouraging projects through the use of tax incentives.

It’s not much of a stretch to imagine that clean energy industries will make some progress on all of those fronts.

 

Related News

View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Live Online & In-person Group Training

Advantages To Instructor-Led Training – Instructor-Led Course, Customized Training, Multiple Locations, Economical, CEU Credits, Course Discounts.

Request For Quotation

Whether you would prefer Live Online or In-Person instruction, our electrical training courses can be tailored to meet your company's specific requirements and delivered to your employees in one location or at various locations.