A ‘Perfect’ Vision for Saving Billions: Energy Reforms, Smart-Grid Entrepreneurs and New Technologies
asserted retired Motorola CEO and Chairman,
record-breaking audience of energy leaders, opening the seventh annual Midwest
Energy Solutions conference (http://www.meeaconference.org). Galvin, founder
of the philanthropic Galvin Electricity Initiative
(http://www.galvinpower.org), and co-author of the book Perfect Power,
chronicled his pursuit of an energy grid that never fails and that spawns
“thousands upon thousands” of energy entrepreneurs.
Hosted by the Midwest Energy Efficiency Alliance (MEEA)
(http://www.mwalliance.org), Midwest Energy Solutions is the largest
conference of its kind in the region, featuring a broad range of private- and
public-sector thought leaders in energy strategy, policy, technology, and
program design and implementation. A detailed agenda, followed after the
conference by speaker presentations, can be found at
http://www.meeaconference.org.
The conference runs
Hotel, 505 N. Michigan Ave. On
MEEA will host the Inspiring Efficiency Awards Dinner and Gala, honoring six
Midwestern leaders for their work in advancing energy efficiency.
The first day of Midwest Energy Solutions also offered cutting-edge
thought and real-world examples through panels covering the following topics
(information following below):
-- National perspectives on energy policy
-- Smart grids
-- Energy efficiency in low income/fixed income households
Galvin Electricity Initiative
Galvin’s interest in the electric power system was sparked by an
2003
American economy as much as
build a perfect electric power system, which could save the economy nearly
includes the convergence of electricity and telecommunications services; power
electronics that increase reliability, controllability and functionality;
high-power micro-grids that utilize distributed generation; and
self-organizing entrepreneurs that engage in the U.S. electricity enterprise.
The Galvin Electricity Initiative, is currently partnering with the
perfect power grid. Construction has begun on this system, which will pay for
itself as it is built, via rate relief, deferring substation development and
upgrades, avoiding outage costs, and fundraising and research opportunities.
More information can be found at
http://www.galvinpower.org/files/IIT_Perfect_Power_Prototype.pdf.
National Perspectives on Energy Policy
Panelists representing U.S. EPA, American Council for an Energy-Efficient
Economy, and the Alliance to Save Energy, discussed the status of energy
efficiency legislation, codes and standards, and the National Action Plan for
Energy Efficiency.
The National Action Plan for Energy Efficiency
(http://www.epa.gov/eeactionplan) is a private-public initiative begun in 2005
with the goal of achieving all cost-effective energy efficiency by 2025. Over
120 organizations have made formal commitments to energy efficiency under the
Action Plan, including utility commissions, state and local agencies,
utilities and end-users.
The plan outlines five key policy recommendations supported by 10
implementation goals. Much progress has been made thus far at the state and
national level, including the following:
-- More than one-third of U.S. states have established policies, goals,
programs and other mechanisms that recognize and act upon energy
efficiency as a high-priority resource.
-- A cumulative savings of 63 billion kWh and 16 MW of electricity and 135
million therms of natural gas has reduced greenhouse gas emissions by
50 million tons annually.
The development and implementation of energy policy, codes and standards
is gaining traction. Notable trends include the adoption of statewide
energy-efficiency resource standards (EERS), and statewide energy-efficiency
building codes. EERS establish electric and/or gas savings targets for
utilities that must be documented in accordance with evaluation rules
established by regulators. Currently, 22 states have adopted EERS and about
half have statewide energy efficiency codes that meet or exceed the nation’s
model code.
On the horizon for 2009 are three major legislative packages:
-- Economic Stimulus Bill, which is likely to begin releasing funds in
February.
- Includes funding for public transit, low-income home weatherization
and energy-efficient retrofits for government and residential
buildings; extension of energy-efficient tax incentives; and
matching funds for smart grid/smart meter and transmission
efficiency measures.
-- Energy Bill, likely to be considered by congress in April or May.
- Seeking efficiency gains through renewable energy standards (25% by
2025), EERS (10-15% by 2020-2025), building codes (30% by 2010, 50%
by 2020), appliance standards and other measures.
-- Climate change legislation, which president-elect Obama wants to see
come to the floor early in the 111th Congress.
Smart Grid as an Efficiency Tool (breakout session)
Panelists representing the Illinois Citizen’s Utility Board (CUB),
Commonwealth Edison, Endurant Energy LLC, and Multiple Wireless Solutions
provided perspectives on a topic that seemed to permeate the entire
conference: the advent of electricity “Smart Grids.”
A Smart Grid is an automated, widely distributed energy delivery network
characterized by a two-way flow of electricity and information, capable of
monitoring and responding to changes in everything from power plants to
customer preferences to individual appliances. Smart Grids use the existing
power line infrastructure to send and receive data, a process known as
“broadband over power lines.”
The panelists described the benefits of a Smart Grid as improved
reliability, security and safety; lower electricity prices; new and improved
products and services; operational efficiencies; and environmental protection.
Smart Grids can offer consumers the ability to take advantage of off-peak
pricing by remotely controlling individual appliances, for example. They also
provide electric utilities with a host of capabilities, including quickly
isolating the source of power outages, reading meters remotely, and opening up
entirely new business and partnership opportunities.
The panelists all concurred that in order to maximize the potential that
Smarts Grids have to offer, it is essential to establish “smart policy” that
factors in retail rate design, utility operations, grid interconnection, and
net metering, which can pinpoint electricity usage to individual wall sockets
if necessary. When technology investments are combined with policies that
provide for consumer participation, consumer savings can exceed costs by more
than a factor of four
Energy Efficiency in Low Income/Fixed Income Households (breakout session)
Panelists representing Illinois Department of Commerce and Economic
Opportunity, Wisconsin Department of Administration, Ohio Office of Consumers’
Council, and ShoreBank, discussed state and utility energy programs aimed at
serving low income and fixed income customers.
Generally speaking, cold weather winter energy bills command approximately
6 percent of household income. For low-income households, that percentage can
spike to 30 percent or more. For these and other reasons, a number of states
offer assistance through utility and state-sponsored programs.
(EEP) (http://www.illinoisenergy.org), which includes assistance for low
income/fixed income households. The EEP will fund approximately 40 percent of
2009, and virtually all of the state’s new Low Income Energy Efficient
Residential Retrofit Program, which seeks to leverage existing programs to
maximize electricity savings in existing low income households.
2005, and has implemented weatherization upgrades to about 36,000 low-income
households, with approximately 8,000 more targeted for 2009. The corresponding
reduction in energy bills ranges from 20-32 percent. New weatherization
program initiatives include a large multi-family buildings pilot, a
weatherization job-training pilot, automatic benefit renewal for fixed income
clients, and energy assistance marketing.
energy savings through low-income assistance, has prompted a number of
utilities to propose programs that would provide hundreds of millions of
dollars to assist low-income customers through a variety of demand-side
management initiatives.
About MEEA — The Source on Energy Efficiency
The Midwest Energy Efficiency Alliance (http://www.mwalliance.org) is a
collaborative network advancing energy efficiency in the Midwest to support
sustainable economic development and environmental preservation.
MEEA promotes the market transformation of energy efficiency technologies,
processes and best practices within a 13-state area, through policy advocacy,
program design and facilitation and piloting of energy technologies. MEEA
bridges the gap between policy adoption and program implementation.
Energy efficiency is the critical first step in meeting our nation’s
myriad energy challenges due to low entry costs, proven and emerging
technologies, ease of implementation, fast return on investment and measurable
results.
Through our diverse network of members and regional allies, MEEA possesses
the practical experience and informed vision to effect positive change today
by supporting the region’s stakeholders to achieve their efficiency goals for
the future.
SOURCE Midwest Energy Efficiency Alliance