[USA] Dominion prepares to file Virginia IRP without natural gas buildout

On April 2, 2020, Dominion Energy asked Virginia regulators for permission to avoid certain requirements, including comprehensive analysis of new natural gas or nuclear power buildouts, for its 2020 Integrated Resource Plan (IRP) filing that it says will no longer apply. [1] Specifically, Dominion wants to stop incorporating some modeling and analysis that were required under the Clean Power Plan of 2014, which has since been replaced by the U.S. Environmental Protection Agency with the Affordable Clean Energy rule of 2019. According to the utility, a natural gas buildout would not be viable due to the 100% clean energy mandate by 2045 instituted by the Virginia Clean Economy Act (VCEA) passed on March 6, 2020.

The request marks a big shift for Dominion which has included scenarios with up to 10 new combined-cycle or combustion turbine facilities in its previous IRPs. Environmental groups believe that the lack of need for new gas infrastructure could also extend to the development of the Atlantic Coast Pipeline which is slated to run 600 miles from West Virginia, through Virginia, to eastern North Carolina.[2] However, Dominion has stated that it has no plans to make changes to the Atlantic Coast Pipeline project. Dominion will own 53% of the gas project, alongside Duke Energy, after buying Southern Company's 5% stake.

[1] http://www.scc.virginia.gov/docketsearch/DOCS/4m0c01!.PDF

[2] https://chesapeakeclimate.org/dominion-energy-abandons-gas-infrastructure-plans-due-to-passage-of-virginia-clean-economy-act/

[USA] Nuclear regulators ease some power reactor regulations in response to COVID-19

On March 28, 2020, the United States Nuclear Regulatory Commission (NRC) released a letter stating that in the face of the COVID-19 pandemic, it is allowing power reactor operators to apply for temporary exemptions from regulations limiting the amount of hours workers can stay on the job.[1] Additionally, the NRC staff is working on a separate memorandum that will guide nuclear plants as to which labor and time-intensive tasks they can temporarily waive. During normal situations, the NRC has several rules about the maximum length of employee shifts and requirements for breaks workers must take between long shifts.  However, the strains created by the COVID-19 pandemic have created a need to ensure that these regulations "do not unduly limit licensee flexibility in using personnel resources to most effectively manage the impacts" of the pandemic.

Nuclear reactors have already been enacting contingency plans designed to limit the number of workers onsite in order to avoid potential exposure to the coronavirus. It is unknown how long nuclear reactors will need operate with these reductions in staff and maintenance tasks, and whether they can stay running as often as they do in normal times, but the NRC measures to loosen restrictions are intended to ease the strain.

[1] https://adamswebsearch2.nrc.gov/webSearch2/main.jsp?AccessionNumber=ML20087P237

[USA] New Jersey looks to exit PJM capacity market, worried the MOPR will impede its 100% carbon-free goals

In response to the Federal Energy Regulatory Commission’s (FERC) December 2019 decision to expand the Minimum Offer Price Rule (MOPR) in the PJM capacity market, the New Jersey Board of Public Utilities (BPU) launched an investigation on March 27, 2020 to look into how that can achieve its clean energy objectives, including its goal of reaching 100% carbon-free energy by 2050.[1] [2] FERC’s MOPR rule raises the floor prices for state-subsidized resources which clean energy advocates believe could prevent new renewable resources from competing in the wholesale market, making it harder for states like New Jersey to achieve their clean energy goals.

The investigation will consider several questions, including whether a Fixed Resource Requirement (FRR) alternative can satisfy the state's resource adequacy needs, and if modifications to the state's default Basic Generation Service construct, the service provided to consumers who do not choose a third-party supplier, could facilitate resource adequacy procurements aligned with its clean energy objectives. An FRR approach would mean New Jersey withdraws one or more service areas from the broader PJM capacity market. An additional alternative to the capacity market would be to adopt a statewide clean energy standard that would require load-serving entities to source increased percentages of renewable or other clean energy.

[1] https://www.bpu.state.nj.us/bpu/pdf/boardorders/2020/20200325/3-27-20-2H.pdf

[2] https://assets.documentcloud.org/documents/6589824/20191219-3124-33920957.pdf

[USA] Trump administration slashes required annual fuel economy increase to 1.5%

On March 31, 2020, the Environmental Protection Agency (EPA) and National Highway Traffic Safety Administration (NHTSA) issued a final rule that weakens Obama-era fuel efficiency guidelines by requiring corporate average fuel economy (CAFE) and carbon emissions standards to increase 1.5% from 2021 to 2026 rather than 5% annually.[1] The EPA and NHTSA estimate the rule will reduce the sticker price of new cars by about $1,000, but consumers can still, by choice, buy more efficient vehicles.

The March rule is phase two of the Safer Affordable Fuel-Efficient (SAFE) rules. The first phase, issued in fall 2019, revokes states' authority to issue their own fuel standards, specifically targeting California’s fuel standards which are considered to be the biggest driver of electric vehicle (EV) deployment. In September 2019, 23 states including California sued the Trump Administration over the rule.[2] Automakers are split in their support of the lawsuit and California’s standards. Ford, Honda, BMW and Volkswagen support states' rights to set their own standards, but GM, Toyota, and Fiat Chrysler have sided with the Trump Administration's push for a single national standard. The lawsuit is currently pending, and advocates expect litigation on the second rule as well.

[1] https://www.nhtsa.gov/press-releases/safe-final-rule

[2]https://oag.ca.gov/system/files/attachments/press_releases/California%20v.%20Chao%20complaint%20%2800000002%29.pdf

[USA] Senate reaches agreement on $2 trillion coronavirus stimulus bill

On March 25, 2020, the U.S. Senate reached an agreement on a $2 trillion coronavirus stimulus bill, the largest of its kind in U.S. history.[1] However, the package does not include the tax credit extensions and direct pay provisions lobbied for by wind and solar industries to help them withstand the supply-chain and economic disruptions caused by the global crisis.

Prior to the agreement on the stimulus bill, the American Wind Energy Association (AWEA) warned that a failure to pass provisions for tax credit extensions and direct pay provisions could threaten up to $43 billion in investments.[2] The Solar Energy Industries Association (SEIA) has warned that tens of thousands of solar jobs may be at risk from the coronavirus pandemic's economic effects.[3] To be eligible for the full PTC, wind projects must be completed by the end of 2020 and many U.S. projects are at risk of missing this deadline due to disruptions to the supply chain. Solar companies are also under pressure to lock in delivery and possession of key equipment by mid-April to assure they comply with the 5% safe-harbor provisions of the ITC to receive the full credit. In response to the stimulus bill, AWEA CEO Tom Kiernan released a statement that "while [AWEA is] disappointed clean energy sector relief did not make it into the phase three stimulus package, [AWEA] will continue working with Congress and other renewable energy leaders to find solutions to the specific challenges COVID-19 is causing our members."[4]

[1] https://www.washingtonpost.com/business/2020/03/25/trump-senate-coronavirus-economic-stimulus-2-trillion/

[2] https://www.awea.org/resources/news/2020/american-wind-energy-association-releases-covid-19

[3] https://www.seia.org/coronavirus-information-resources

[4] https://www.awea.org/resources/news/2020/american-wind-energy-association-statement-on-the

[USA] FERC launches revision of transmission incentives

During its monthly meeting on March 19, 2020, the Federal Energy Regulatory Commission (FERC) announced a notice of proposed rulemaking (NOPR) to change electric transmission incentive policy and stimulate transmission infrastructure development.[1] The NOPR would shift from a "risks and challenges" framework to a model that grants transmission incentives based on benefits to consumers. Essentially, the NOPR would eliminate Order No. 679’s “nexus test,” which requires applicants such as utilities to show a connection between the requested incentives and the risks and challenges associated with the project, and instead provide a series of incentives based on economic and reliability benefits. The NOPR stems from a directive from Congress in 2005 that required FERC to develop incentive-based rates for electric transmission because there is a need to buildout and update the transmission system. The commission has previously implemented rules, but the latest NOPR will more fully take into account the changes to transmission since the past decade of rapid energy transition.

Once the notice is published in the Federal Register, there will be a 90 day comment period. Commissioner Richard Glick dissented in part to the order and objected to the 90 day comment period because he thinks it is too brief given the current coronavirus crisis.[2] Instead, he said the comment period should be extend to 120 days to allow for substantial reactions and create more flexibility. However, Chairman Neil Chatterjee wants to "keep the business of the commission going," though he added FERC expects requests for deadline extensions on some of its processes due to the pandemic.

[1] https://www.ferc.gov/media/news-releases/2020/2020-1/03-19-20-E-1.asp#.Xnur5qhKg2x

[2] https://www.ferc.gov/media/statements-speeches/glick/2020/03-19-20-glick.asp#.XnusH6hKg2x

[USA]Massachusetts Set to Launch Clean Peak Standard

On March 20, 2020, Massachusetts’ Department of Energy Resource (DOER) filed its Clean Peak Standard regulations with the appropriate committees at the state legislature, beginning a 30-day review period.[1] The Clean Peak Standard, required by state legislation passed in 2018, creates credits for clean energy delivered during time windows classified as peak hours for a given season. Electricity retailers will be required to procure a minimum percentage of their annual electricity sales from renewable generation or energy storage during peak hours; starting in 2020, the minimum percentage will be 1.5% and will increase annually. Electricity retailers will satisfy these obligations by purchasing Clean Peak Energy Certificates (CPEC), . After short-term costs are considered, the state expects the Clean Peak Standard will save $400 million over the next decade. While other states like Arizona have discussed measures like the Clean Peak Standard, Massachusetts is the first state to put it into effect. The goal of the measure is to create a price signal to shift clean power to the hours it’s most beneficial. Because renewables are intermittent, the Clean Peak Standard may create an opportunity for more energy storage technologies.

[1] https://www.mass.gov/service-details/clean-peak-energy-standard

[USA]Glidepath Ventures Announces 1GW Solar Portfolio Sale

On February 28, 2020, Pennsylvania-based solar developer Glidepath Ventures announced that it sold its first projects: a 278-megawatt, 12-project portfolio to Canada’s Grasshopper Solar and an additional four projects totaling 887-megawatts to an unnamed independent power producer.[1] The majority of the projects bought by Grasshopper Solar are expected to come online in 2021 and 2022. According to Glidepath, the developer will move the projects through the permitting and interconnection processes. Glidepath will then transfer the portfolio to Grasshopper Solar at notice to proceed (NTP), which is a formal notice that construction can begin. Grasshopper Solar will then construct, own, and operate the projects. Grasshopper has committed more than $300 million to the projects and will lead funding.

All of the projects are being developed in Pennsylvania—an unusual choice given that the state only has 475 megawatts of solar installed and is more well known for its fossil fuel production. A partner at Glidepath Ventures, Geoff Underwood, said the company is attracted to places with little political intervention because the market won’t dry up when incentives do. Solar Energy Industries Association (SEIA) and WoodMac’s report on solar backs up this claim, stating that long-term solar industry growth after tax credits expire will be “contingent on geographic diversification outside of legacy state markets”.[2]

[1] http://glidepathventures.com/glidepath-ventures-breaks-out-with-1gw-solar-portfolio-sale/

[2] https://www.seia.org/research-resources/solar-market-insight-report-2019-q4

[USA]Duke Energy settles with ChargePoint, expanding options for $76M North Carolina EV pilot

On February 28, 2020, Duke Energy filed a settlement with the North Carolina Utilities Commission (NCUC) that resolves competitive issues raised by ChargePoint, an electric vehicle (EV) charging infrastructure company that operates the nation's largest charging network, in earlier filings by making modifications to its proposed EV pilot like bringing ChargePoint on board.[1] Prior to these changes, ChargePoint had raised particular concerns that the pilot limits customers’ ability to choose their preferred charging equipment because the original plan was to execute a request for proposals generating a single vendor. The new plan allows site hosts to choose from at least two vendors which will decrease the risk of any one specific vendor having a monopoly.

Currently, North Carolina has a target of having 80,000 zero-emission vehicles on its roads by 2025, and Duke claims its pilot is key to reaching that goal.[2] The utility’s EV pilot is comprised of seven individual programs, including rebates for residential chargers, incentives for fleet equipment, and an electric school bus charging initiative. In an effort to address concerns from NCUC Public Staff, which acts as a consumer advocate, the utility has offered to scale back its $76 million EV offerings.[3] Duke’s proposed order offers to remove programs that involve multi-family charging stations and the public Level 2 charging stations, which would result in a decrease of approximately $4.1 million from the overall cost of the pilot. However, NCUC Public Staff stated in a proposed order that its previous objections that the pilot is too large to be considered a proof-of-concept still stands.

[1] https://starw1.ncuc.net/NCUC/ViewFile.aspx?Id=486df7da-0095-4356-88a6-90d5a0b90626

[2] https://www.ncdot.gov/news/press-releases/Pages/2019/2019-08-22-ncdot-draft-zev-plan-released.aspx

[3] https://starw1.ncuc.net/NCUC/ViewFile.aspx?Id=91abe520-2ef0-4d1c-bfc0-fc7bd2abec48

[USA]Charlotte, NC City Council approves plan to acquire large-scale solar power through a green tariff

The Charlotte, North Carolina, City Council unanimously approved a plan on February 24, 2020 to buy power from a 35MW solar project located in nearby Statesville, North Carolina.[1] The project is expected to produce enough electricity to power the equivalent of 10,000 homes annually. It is also expected to reach 24% of its goal to power municipal buildings with carbon-free energy by 2030. The plan stems from Charlotte’s commitment to having all its municipal buildings and fleet get their energy from carbon free sources by 2030 under the city’s Strategic Energy Action Plan approved in December 2018.[2] The city has a wider goal, the Sustainable and Resilient Charlotte by 2050 Resolution, to reduce greenhouse gas emissions across the community to below 2 tons of carbon dioxide per person per year.[3] In addition to these resolutions, the plan approval developed from Charlotte’s acceptance into Duke Energy’s Green Source Advantage (GSA) green tariff program which gives large energy users in North Carolina the flexibility of selecting and negotiating all price terms directly with a renewable supplier of their choice as opposed to negotiating through the utility.[4]

[1] https://www.youtube.com/watch?v=zPauL3QA1Wg

[2] https://charlottenc.gov/sustainability/seap/Pages/default.aspx

[3] https://cleanaircarolina.org/wp-content/uploads/2019/10/Sustainable-and-Resilient-Charlotte-Resolution.pdf

[4] https://news.duke-energy.com/releases/more-renewable-energy-options-available-under-duke-energys-green-source-advantage

[USA]Michigan regulators direct DTE Energy to revise IRP and pursue more renewables

On February 20, 2020, the Michigan Public Service Commission (PSC) recommended removal of all supply-side resource additions from DTE Energy’s integrated resource plan (IRP) after finding "fundamental flaws" and "significant deficiencies” in the utility’s plan.[1] The IRP DTE submitted proposed continuing to operate the coal-fired Belle River plant for another decade with the reasoning that the utility has no near-term "persistent capacity need" until 2030. However, regulators found this plan to be inadequately justified because the cost analysis lacked environmental upgrade considerations. The order requests for the utility to raise its energy savings goals to 1.75% in 2020 and 2% in 2021. The utility had proposed slightly lower levels of 1.65% in 2020 and 1.75% in 2021. The PSC also recommended that the utility issue a request for proposals for new electric generation, and boost proposed energy efficiency targets. The utility has until March 21, 2020 to file a revised IRP or the commission will deny the IRP. In addition to the IRP deadline, regulators also directed DTE to seek alternatives through an updated renewable energy plan (REP), which outlines the utility’s plan to meet renewable portfolio standards in the state, to be filed no later than April 1, 2020.

[1] https://mi-psc.force.com/sfc/servlet.shepherd/version/download/068t0000009jWc2AAE

[USA]DOE Announces up to $38.5 million for new ARPA-E program

On February 18, 2020, the Department of Energy (DOE) announced up to $38.5 million in funding for a new Advanced Research Projects Agency-Energy (ARPA-E) program, Rapid Encapsulation of Pipelines Avoiding Intensive Replacement (REPAIR) which will address aging pipeline infrastructure.[1] [2] Pipelines were built with cast iron and wrought iron when gas utilities began operation in 1800s. In the 1930s, bare steel pipes began to replace these outdated pipelines. Although legacy cast iron and bare steel pipes make up only 3% of the utility pipes in use, they account for a disproportionate number of leaks and failures. The REPAIR program will solve this issue by sponsoring new technologies to rehabilitate old natural gas distribution pipes by creating a new pipe inside the old pipe. Effective technologies will meet regulatory requirements, have a minimum life of 50 years, and have sufficient material properties to operate throughout its service life. The technologies in REPAIR will work towards a 10 to 20-times reduction in cost per mile.  Current pipe excavation and replacement costs range up to $10 million per mile.

[1] https://www.energy.gov/articles/department-energy-announces-385-million-develop-technology-rehabilitate-natural-gas

[2] https://arpa-e.energy.gov/?q=arpa-e-programs/repair

[USA]CPUC outlines new proposal for decarbonizing buildings in California

On February 12, 2020, the California Public Utilities Commission (CPUC) published a proposed decision outlining two new pilots that would set the state on the path toward decarbonizing its buildings with an estimated cost of $200 million over four years.[1] The two pilot programs are Building Initiative for Low-Emissions Development (BUILD) program, which would incentivize low emissions technologies in new residential buildings, and the Technology and Equipment for Clean Heating (TECH) initiative, which would expand the market for low-emission space heaters in both new and existing residential buildings. The CPUC's proposed decision would allocate 40% of the total $200 million budget for the BUILD program, and 60% for the TECH initiative. The proposed pilot programs stem from a 2018 state senate bill, SB 1477, which mandated that the CPUC must develop BUILD and TECH.[2] According to SB 1477, California has seen very little growth in near-zero emissions construction practices and clean heating despite the economic savings they would provide. To comply with the senate bill and achieve the growth in near-zero emissions it proscribes, the CPUC launched its building decarbonization rulemaking in January, 2019. It also intends to align its policies with building energy efficiency standards and create a broader framework for building decarbonization policy.[3]

[1] http://docs.cpuc.ca.gov/PublishedDocs/Efile/G000/M326/K933/326933578.PDF

[2] https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180SB1477

[3] http://docs.cpuc.ca.gov/PublishedDocs/Published/G000/M264/K629/264629773.PDF

[USA]Dominion Energy announces 2050 net-zero emissions commitment

Dominion Energy announced its commitment to reaching net-zero emissions in its power generation and natural gas operations by 2050 on February 11, 2020.[1] Dominion has previously committed to cut methane emissions from its natural gas operations by 50% between 2010 and 2030 and carbon emissions from its power generating facilities by 80% between 2005 and 2050. So far, Dominion has cut carbon emissions approximately 50% since 2005 and reduced methane emissions by nearly 25% since 2010.

Under the new net zero goal, Dominion will decrease methane emissions by 65% by 2030 and 80% by 2040, from 2010 levels. To achieve these reductions, Dominion will extend licenses for its nuclear generation fleet, promote customer energy efficiency programs, and invest in wind and solar power. Additionally, Dominion plans to invest in carbon-beneficial renewable natural gas (RNG) projects that will capture an amount of methane from U.S. farms at least equivalent to any remaining methane and carbon dioxide emissions from the company's natural gas operations. The utility did acknowledge that achieving this goal will also require supportive policies and technology advancements.

[1] https://news.dominionenergy.com/2020-02-11-Dominion-Energy-Sets-New-Goal-of-Net-Zero-Emissions-by-2050

[USA]Vineyard Wind rethinks offshore wind project timeline following BOEM permitting update

On February 11, 2020 Vineyard Wind, an offshore wind developer, announced that its offshore wind project off the coast of Massachusetts will not be in commercial operation in 2022 as previously expected following an updated permitting timeline from the Bureau of Ocean Energy Management (BOEM) on February 7, 2020.[1][2] BOEM is aiming to issue the final Environmental Impact Statement (EIS) on the project on November 13, 2020, and a final decision on December 18, 2020. The previous permitting timeline would have led to a final EIS by June 7, 2019.[3] The BOEM stated that the delay is due to comments from stakeholders and cooperating agencies that requested a more robust analysis. BOEM has also decided to supplement the draft EIS and solicit comments on its revised cumulative impacts analysis. Vineyard Wind needs the EIS before it can begin construction on its offshore wind project. However, to qualify for the federal production tax credit, Vineyard Wind would have needed to begin construction by the end of 2020.

[1] https://www.vineyardwind.com/press-releases/2020/2/11/statement-on-boem-timeline

[2] https://www.boem.gov/vineyard-wind

[3] https://www.boem.gov/sites/default/files/documents/renewable-energy/state-activities/Vineyard-Wind-SEIS-Permitting-Timetable.pdf

[USA]House Democrats Release $760 Billion Framework to Make Infrastructure Investments Across U.S.

The Chairs of three committees in the U.S. House of Representatives released a five-year, $760 billion infrastructure blueprint, the Moving Forward Framework, on January 29, 2020 that they say would address the country's maintenance backlog while also cutting emissions in the transportation sector.[1] Transportation and Infrastructure Committee Chair Peter DeFazio (D-OR), Energy and Commerce Committee Chair Frank Pallone (D-NJ), and Ways and Means Committee Chair Richard Neal (D-MA) emphasized that a key part of their framework is the need to bring emissions down and fight against climate change.

The proposal would invest $329 billion to modernize bridges and highways, $105 billion in transit, $55 billion in rail, and $86 billion to improve broadband internet access to unserved and underserved areas.[2] It would also increase the amount of alternative fueling options like electric vehicle (EV) chargers available. A major obstacle to the proposal, though, is how to finance the proposed investments. Despite support from Americans to raise taxes to create revenue for transportation infrastructure maintenance, Congress has been unable to reach an agreement in years past due to concerns about possible political fall-out from increasing the taxes. At a press conference, Democratic leaders declined to say how they would foot the bill for the new proposal.

[1] https://transportation.house.gov/news/press-releases/chairs-defazio-pallone-neal-release-760-billion-framework-to-make-transformative-infrastructure-investments-across-us

[2] https://transportation.house.gov/imo/media/doc/Moving%20Forward%20Framework.pdf

[USA] Department of Energy Announces $125.5 Million in New Funding for Solar Technologies

On February 5, 2020 the U.S. Department of Energy (DOE) announced up to $125.5 million in new funding for research to advance solar technology through the Office of Energy Efficiency and Renewable Energy (EERE) Solar Energy Technologies Office.[1] DOE’s Solar Energy Technologies Office Fiscal Year 2020 Funding Program (SETO 2020) will help to continue the steady decline in solar costs. In addition, projects will tackle a variety of challenges facing the solar industry, including enabling solar and storage, enhancing cybersecurity protections, manufacturing, developing solar-powered microgrids, and siting solar with agriculture. The solar funding announcement follows a series of other funding opportunities recently announced be EERE. On February 4, 2020, EERE announced up to $43.8 million to advance geothermal research and development, and on January 23, 2020 the office announced $300 million investment in sustainable transportation.[2] [3] [4] These funding opportunity announcements total more than $463 million and is the largest EERE investment made this early in the fiscal year over the past six years.

[1] https://www.energy.gov/articles/department-energy-announces-1255-million-new-funding-solar-technologies

[2] https://www.energy.gov/eere/articles/energy-department-announces-188-million-hydrothermal-and-low-temperature-geothermal

[3] https://www.energy.gov/eere/articles/energy-department-announces-25-million-enhanced-geothermal-systems-research

[4] https://www.energy.gov/articles/department-energy-announces-nearly-300-million-sustainable-transportation-research

[USA]New Jersey outlines sweeping plans to achieve 100% clean energy by 2050

On January 27, 2020, New Jersey Governor Phil Murphy (D) released a wide-ranging “Energy Master Plan” with details on how the state could achieve 100% clean energy by 2050.[1] [2] To reinforce the initiatives proposed in the plan, the governor also signed  Executive Order No. 100 which directs the state’s Department of Environmental Protection (DEP) to make comprehensive regulatory reforms.

Current efforts by the state to reduce greenhouse gas emissions are insufficient to achieve the target of 80% reduction from 2006 levels set by the state’s Global Warming Response Act passed in summer 2019 and the plan seeks to address this gap.[3] The governor’s plan provides more specifics on how the state can reach this goal by delineating seven areas of focus: the transportation sector, renewable energy and DERs, energy efficiency, the building sector, the use of "integrated distribution plans," incentivizing clean energy in underserved communities, and attracting supply chain businesses to create clean energy "clusters." Major suggestions in the plan include ensuring 7.5 GW of offshore wind is part of the energy mix by 2035, requiring utilities to explore “non-wire solutions” (i.e. projects or investments that may defer or replace distribution or transmission upgrades by reducing load), and building up EV charging infrastructure.

[1] https://nj.gov/governor/news/news/562020/approved/20200127a.shtml

[2] http://d31hzlhk6di2h5.cloudfront.net/20200127/84/84/03/b2/2293766d081ff4a3cd8e60aa/NJBPU_EMP.pdf

[3] https://www.nj.gov/governor/news/news/562019/approved/20190617a.shtml

[USA]Dairyland Power Cooperative plans to retire 345 MW of coal

Dairyland Power Cooperative, a Wisconsin electric utility, announced in January 2020 that it is planning to retire Genoa Station 3, a 345 MW coal plant, in 2021, five to ten years earlier than previously planned.[1] Utility officials ultimately determined cheaper, cleaner resources were preferable over keeping the coal plant open. This announcement follows a January 16, 2020 Wisconsin regulatory decision approving Dairyland’s 625 MW gas-fired Nemadji Trail Energy Center (NTEC), which will be co-owned with Minnesota Power, a Minnesota utility. The gas plant, which will serve customers in Minnesota and Wisconsin, requires permission from both Minnesota and Wisconsin regulators. Although the plant received approval from Minnesota regulators in October 2018, the Minnesota Court of Appeals ordered further analysis in December 2019 and directed Minnesota’s Public Utilities Commission to do an environmental impact assessment of the plant. Dairyland is currently reviewing the Court of Appeal’s decision to determine how it will impact the project’s timeline.

[1] https://www.dairylandpower.com/content/dairyland-announces-genoa-station-3-retirement-plans

[USA] New Jersey proposes utilities recover lost revenues, earn bonuses for beating energy savings targets

On January 22, 2020, New Jersey’s Board of Public Utilities (BPU) released a proposal that would give utilities the opportunity to earn bonuses or incur penalties for beating or failing to meet energy efficiency savings targets.[1] In addition, the proposal would allow utilities to recover lost revenues related to their efforts. The cost recovery proposal follows a straw proposal released in December 2019 that outlined how utility efficiency programs will be managed and suggested implementation of new energy-saving pilots.[2] Both proposals would help implement the changes to New Jersey’s energy system the Governor Phil Murphy (D) signed in May of 2019 which boosted efficiency targets and set a 50% renewable goal by 2030.[3] In addition to addressing how utilities will approach efficiency measures, the cost recovery proposal will help address how utilities will pay for the changes under the Clean Energy Act of 2018. The 2018 law requires electric utilities to achieve annual energy use reductions of 2% or greater within five years of the new rules being implemented which imposes significant costs for utilities.

[1]https://www.bpu.state.nj.us/bpu/pdf/publicnotice/NJBPU_EE_Final_Cost_Recovery_Mechanism_Proposal_1.22.20.pdf

[2]https://www.bpu.state.nj.us/bpu/pdf/publicnotice/EE_%26_Peak_Demand_Program_Administration_Straw_Proposal_122019.pdf

[3] https://nj.gov/governor/news/news/562018/approved/20180523a_cleanEnergy.shtml