Western Clean Energy Advocates

louisianabodyΗλεκτρονική - Συσκευές

21 Νοε 2013 (πριν από 3 χρόνια και 11 μήνες)

81 εμφανίσεις

Presentation to the

Western Clean Energy Advocates

May 13, 2011


WHO WE ARE

The
Energy Future Coalition (EFC)
is a broad
-
based, non
-
partisan alliance that seeks to
bridge the differences among business, labor,
and environmental groups and identify energy
policy options with broad political support.

The
National Clean Energy Transmission
Initiative (NCETI)
supports policies that unlock
renewable energy resources, develop smart
grid technologies, and enable energy
efficiency.


Partnership


A platform for national action:
EFC leverages
its convening power and relationships to make
meaningful change on a national level;


Entrepreneurial thinking:
The Coalition has
successfully helped change the dialogue on
energy, creating new possibilities for
collaboration; and


Creative partnerships:
Working across
interest groups, the Coalition creates strong
partnerships targeted at effective outcomes.

2

OUR GOALS

Similar to the Western Clean Energy Advocates,
the Energy Future Coalition is working to make
our nation’s energy grid bigger, smarter, and
better integrated.



Bigger:
Bolster our transmission system to bring
renewable energy resources

like wind in the Great
Plains and solar in the desert Southwest

to the
population centers that need them.



Smarter:
Broadly deploy "smart grid" technologies to
make the grid more reliable, resilient, and secure, and
enable much greater energy efficiency for consumers
and businesses.



Better Integrated
: Elevate planning,
siting
, and cost
-
allocation processes from the state and local level to a
much larger regional level that includes input from all
stakeholders.



3

OUR APPROACH

With input from our Smart Grid Working Group, EFC
is drafting a plan to develop a National Clean
Energy Smart Grid. We believe that the U.S. must:



Develop New Regional Transmission Plans to Bring Renewable
Power to Market.

Congress should enable the grid to maximize the
development of domestic renewable energy by linking resources to
population centers.


Congress should establish a new process within
the two multi
-
state power systems that cover the entire country
(except Texas, Alaska, and Hawaii) to plan, site, and recover the
costs for transmission.





Create New Incentives for Investments in Smart Grid
Technologies.
Congress should increase funding for demonstration
projects and provide tax breaks for smart grid investments.



Make Grid Security a Priority.
Congress should ensure that new
grid investments and technologies make our power system safer
and more secure. A smart grid is more adaptive and self
-
healing and
can better manage electricity flows, which helps safeguard our
electric power system from attacks and natural disasters.




4

WHO IS STANDING IN THE WAY?


The Coalition for Fair Transmission Policy (CFTP)…


…A group of vertically integrated utilities, currently operating in
closed markets.



Members include CMS Energy Corporation, Consolidated Edison, Inc., DTE Energy
Company, Progress Energy, Inc., Public Service Enterprise Group, SCANA Corporation,
Southern Company, and The United Illuminating Company.


The group opposes the allocation of transmission expansion costs to electric consumers
unless there are measurable economic or reliability benefits for those consumers.


CFTP listed the following priorities in their response to FERC’s June 17, 2010 NOPR on cost
allocation:


5


1.
The Commission should ensure that state regulatory prerogatives are not pre
-
empted. Local needs should be satisfied based on
the state legislative and state regulatory policy choices, not those made on their behalf during regional planning processes.


2.
The Commission should not require nor allow regional planning processes to consider non
-
mandated public policy goals.

3.
Only economic and reliability benefits that can reasonably be projected in planning and other modeling studies should be
considered in determining cost allocation. Generalized “social” benefits or speculative benefits are not rational or sufficie
nt
for
cost allocation.





6

“COALITION FOR FAIR TRANMISSION POLICY” RHETORIC VS. REALITY

Rhetoric: Building more transmission will increase electric bills for consumers.

Reality: New investment in transmission will reduce energy costs for
millions, and will help control energy costs for everyone.


Rhetoric: Consumers will pay for transmission lines even when they don’t benefit .

Reality: Under FERC’s proposed rule, only those who benefit from new
transmission lines will pay for them.


Rhetoric: The current system works.

Reality: Flawed planning and unworkable cost allocation systems are failing
for consumers, renewable energy, and national security.



Fair guidelines on cost allocation will lower costs

for consumers, open up energy markets to competition, and
bring more renewable power online.

7

REGULATORY REFORM: SOME PROGRESS

FERC NOPR


Proposes to change
the way transmission
is planned, built and
paid for


Superior to proposals
put forth by Senate or
House to address cost
sharing and planning


No date
-
certain for
final rule, expected in
Spring 2011

Midwestern Independent System Operator (MISO)


Filed cost allocation proposal with FERC .


Creates new category of projects
-

multi value projects (MVPs)


and provides for regional
allocation of these projects.


MVPs have a regional impact and are part of a regional plan, also intended to facilitate state
and federal legislative, regulatory and policy mandates.

Southwest Power Pool (SPP)


Implemented new cost allocation methodology and long
-
term planning process


Highway / Byway cost allocation provides for regional cost allocation for projects 300kV+


Integrated Transmission Planning (ITP) process is a comprehensive, longer
-
term planning process


Both were unanimously approved by FERC

ROADBLOCK:

HOW CFTP AND

CORKER
-
WYDEN

WOULD ENDANGER
OUR ENERGY FUTURE



Protects power company profits,
holds customers captive


Blocks state and regional efforts to
open markets, develop resources
and create jobs


Places special interests over
national security and
environmental protection


Creates market chaos by exposing
approved business agreements to
legal challenges


CFTP’s ultimate goal is to curb
FERC’s rulemaking authority on
transmission projects, specifically
surrounding the critical element of
cost allocation.


CFTP’s opposition activities have
the potential to bring regional
planning and cost allocation to a
screeching halt.

8

CANDIDATE MVP PORTFOLIO ANALYSIS

June 2011


9

MICHIGAN:

WHERE “THE RUBBER MEETS THE ROAD”



MISO’s Multi
-
Value Project (MVP) Cost
-
Allocation
Plan


Developed over two years, this cost sharing plan accounts
for the broad benefits of transmission and was designed to
ensure consumers had a reliable electricity supply and
efficient distribution network.


FERC’s approval of this formula offers customers protection
from unjustifiable transmission charges. The process
requires projects to be evaluated in an open, transparent
stakeholder planning process.


13 states including Michigan agreed to this plan, following a
vetting process that took almost two years.


Uproar over Michigan’s “Thumb Loop” Project


1
st

HV transmission project paid for using MISO MVP cost
allocation methodology


Despite initial buy in, political and business opposition has
sprung up


Gov. Snyder, Rep. Amanda Price’s Resolution,
MI Senate Committee on Energy and Technology, MPSC


The Wall Street Journal
and
The Detroit News

editorial pages
have strongly supported the opposition’s position
.

MAKING THE CASE FOR TRANSMISSION
INFRASTRUCTURE DEVELOPMENT

Employment and Economic Benefits of
Transmission Infrastructure Investment in the
U.S. and Canada

W
orking Group for
I
nvestment in
R
eliable and
E
conomic Electric
S
ystems
(WIRES)
and

The Brattle Group


Study Highlights:



A new analysis commissioned by WIRES shows that annual investment
in new electric transmission facilities could soon reach $12
-
$16 billion in
the United States, resulting in $30
-
$40 billion in annual economic
activity.


Economic growth of this kind would support 150,000
-
200,000 new full
-
time jobs in the U.S. in each of the next 20 years.


Study predicts that investment in needed transmission will annually
support 130,000
-
250,000 full
-
time U.S. jobs in the emerging renewable
energy industry to which transmission capacity is so critical.


Brattle Group analysis suggests that total U.S. transmission investment
could reach $240 billion to $320 billion (in 2011 U.S. dollars) between
2010 and 2030.


10

THANK YOU

EFC CONTACTS


John Jimison

jjimison@energyfuturecoalition.org


Bill White

bill@dgardiner.com


Patrick Hughes

phughes@energyfuturecoalition.org