Market Analysis Insights
Arizona Public Service (APS) changed how it selects new generation supply with a March 2012 filing; it will no longer use "least cost" as the dominant factor. Instead, it will diversify and distribute its generation eggs in many baskets.
Karlynn Cory (NREL), Wilson Rickerson (Meister Consultants Group), Benjamin Miethling (Meister Consultants Group)
Germany may have found the secret sauce that encourages new geothermal projects: policies that directly support drilling and financing the power plant—by lowering investor risks.
Many individuals want to get into the driver's seat by securing solar photovoltaic (PV) power—but how do you get into the pole position? By using Community Solar.
Think of it like Costco or Sam's Club for purchasing solar photovolatics (PV). Some savvy folks in Oregon thought it would be a great idea to buy PV in bulk for their neighborhood to get a big volume discount and share the savings with neighbors.
On local electricity networks, safety rules effectively limit renewables to 15% penetration. A new facility—the Energy Systems Integration Facility (ESIF)—will be able to test if this limit should be refined and increased. This is one of many questions that ESIF researchers will be able to analyze using state-of-the-art electric system technologies.
It is hard to finish an endurance race if you aren’t sure which direction to go. Renewable energy project development can be like a marathon in the dark, especially when one does not understand how to properly use renewable energy certificates (RECs).
It is a double edged sword—solar incentives that are too high can lead to overpayment, but sudden and large changes in solar incentives can instantly halt new development. So what is a utility incentive administrator to do? Apparently, collaborative discussions with the solar industry are the answer.
Throw everything you know about utility avoided rate calculations overboard. OK—not everything, but federal regulators clarified that states can support renewable projects using production-based incentives [including feed-in tariffs (FITs)] even if they are set above traditional utility “avoided costs.”
Congress extended both the Treasury grant (TG) program and bonus accelerated depreciation in an attempt to maintain investment in renewable generation. However, will another 1 or 2 years be enough duct tape to support long-term renewable energy project financing?
Navigating the yellow brick road of green power marketing can be challenging for consumers and marketers alike. As a result, the Federal Trade Commission (FTC) recently proposed draft guidance on renewable energy (RE) claims in advertising. However, one clarification might create a marketing challenge for third-party ownership models.