State Renewable Portfolio Standards and Energy Efficiency Resource - - PowerPoint PPT Presentation

State Renewable Portfolio Standards and Energy Efficiency Resource Standards

Laura Furrey, JD, PE American Council for an Energy-Efficient Economy June 2009

The American Council for an Energy-Efficient Economy (ACEEE)

Nonprofit 501(c)(3) dedicated to advancing energy efficiency through research, communications, and conferences. ~35 staff in Washington DC, + field offices in DE, IL, MI, and WI. Focus on End-Use Efficiency in Industry, Buildings, Utilities, and Transportation; Economic Analysis & Human Behavior; and State & National Policy Funding:

• Foundations (34%)
• Federal & State Grants (7%)
• Specific Contract work (21%)
• Conferences and Publications (34%)
• Contributions and Other (4%)

Renewable Electricity Standards

25% by 2025 HI: 20% by 2020 5,880 MW (~5.5%) by 2015 16.1% by 2020 16.2% by 2020 15% by 2025 2% by 1999 24% by 2013 VT: 10% of 2005 sales by 2013 MA: 20+% by 2025 CT: 23% by 2020 RI: 16% by 2019 NJ: 22.5% by 2020 MD: 20% by 2022

29 States + D.C.

DC: 20% by 2020 15% by 2015 DE: 20% by 2019 15% by 2020

Standard Standard and Goal Voluntary Goal

NH: 23.8% by 2025 VA: 12% by 2022 20.2% by 2025 ME: 40% by 2017 25% by 2025 10% by 2015 27.4% by 2025 15% by 2021 20% by 2010 8% by 2020 11.2% by 2021 10% by 2015 10% by 2015 20% by 2025 12.5% by 2025 10% by 2015 20% by 2020

Source: Union of Concerned Scientists

17 states + D.C. have requirements of 20% or higher

State RES Timeline

Source: Union of Concerned Scientists, Renewable Electricity Standards Toolkit. 2009.

RES Trends in the Northeast and Mid-Atlantic Region

Source: Clean Energy States Alliance, Progress Report Review of State Renewable Portfolio Standard Programs in the Northeast & Mid-Atlantic Regions. 2008.

• Northeast and Mid-Atlantic States saw an

incremental increase of 1,064 MW in renewable generation between 1998-2007.

• NY, PA, and NJ are leading the way in terms of new

renewable capacity.

• Only ME has consistently hit target.
• MA, NY, and CT did not meet targets for different

reasons:

• MA – shortfall of RECs
• NY – budgetary tightening and delayed start dates
• CT – unclear resource eligibility

Energy Efficiency Resource Standards

19 States

15 states have requirements of 5% or higher

State EERS Timeline

Source: ACEEE

IA TX VT CA HI CT NV WA CO, MN, VA, IL, NC PA, NY, MD, OH, NM, MI 1 2 3 4 5 6 7 8 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Year Number of States

EERS Trends in Vermont

Source: Efficiency Vermont Annual Report Executive Summary. 2008.

RES and EERS are Complementary Policies

• 1,000

2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 1990 1995 2000 2005 2010 2015 2020 2025 2030 2035 2040 2045 2050

30% Reduction by 2030

Current Projected Emissions Existing Efficiency Opportunities New Opportunities

Up to an Additional 30% Reduction by 2050

Conservation, Renewables, Low-Carbon Energy Sources and Other Actions Goal: 80% Below 1990

Source: Annual Energy Outlook

National Wholesale Electricity Price With an EERS (Climate Framework Scenario)

$50 $55 $60 $65 $70 $75 $80 $85 2020 2025 Wholesale Electricity Prices (2006$/MWh)

Climate Framework House RES in Climate Framework 10% EE + 5% NG in Climate Framework 15-15 in Climate Framework

Source: ACEEE Dec. 2007 EERS-RES study

Current Legislation: Waxman-Markey Bill (H.R. 2454)

• 20% Renewable Electricity by 2020
• 25% of RES can be met with Energy Efficiency

(total of 5% by 2020)

• Eligible 3% for added efficiency if necessary

(with petition by Governor)

• States can set higher standards and continue

to implement state standards (no preemption)

• State’s may review and verify savings

Current Legislation: Waxman-Markey Bill (H.R. 2454)

11.5% Percent of U.S. Sales 9.9% (BAU) 8.3% 5.1% (BAU) 8.0% 6.4% Total Renewable Energy Generation and Energy Efficiency

50 100 150 200 250 300 350 400 450 500 2012 2013 2014 2015 2016 2017 2018 2019 2020 Billion kWh

Business as usual RE (EIA) High RE - (15% RE/5% EE) Low RE - (12% RE/8% EE) Business as usual EE (ACEEE) High EE - (12% RE/8% EE) Low EE - (15% RE/5% EE)

Renewable Energy and Energy Efficiency Require Aggressive, Achievable Goals

Energy Efficiency Savings by 2020 Net Consumer Savings ($2007) Net Jobs Created CO2 Emissions Reductions (MMT) 5% $20 billion 26,000 28 8% $46 billion 53,000 52 10% $77 billion 90,000 87 15% $169 billion 220,000 262 Renewable Energy Savings by 2020 Net Consumer Savings ($2007) Net Jobs Created CO2 Emissions Reductions 12% 15% 25% (by 2025) $64.3 billion 297,000 2% reduction from 2009 levels

Source: ACEEE Internal Analysis Source: Union of Concerned Scientists, Clean Energy, Green Jobs (2009); Southern Alliance for Clean Energy Internal Analysis

Conclusions

• States are leading the way on Renewable

Energy and Energy Efficiency.

• Not clear that federal proposal will provide

significant additional benefit.

• Federal RES/EERS needs to be at levels

consistent with leading state targets.

For More Information

RES

• Union of Concerned Scientists

http://www.ucsusa.org/clean_energy/solutions/renewable _energy_solutions/

• Southern Alliance for Clean Energy

http://www.cleanenergy.org EERS

• ACEEE EERS Webpage:

www.aceee.org/energy/national/eers.htm

• ACEEE State Energy Efficiency Policy Database:

http://www.aceee.org/energy/state/index.htm