[USA] “Dominion Energy/SCANA Merger Receives FERC Approval”

(Dominion, 13 July 2018)

FERC has approved the proposed merger between Dominion Energy and SCANA Corporation and declared that the merger “is consistent with the public interest.” Though FERC’s approval is a big step in this merger process, Dominion and SCANA still have to receive the consent of SCANA’s shareholders, the South Carolina and North Carolina public service commissions, and an authorization from the Nuclear Regulatory Commission. However, should the merger go through, the new company (Dominion/SCANA) would deliver their energy services to around 6.5 million regulated customer accounts and would “have an electric generating portfolio of about 31,400 megawatts and 93,600 miles of electric transmission and distribution lines.” The new company would also have an expanded natural gas pipeline network – amounting to 106,400 miles- and would oversee one of the country’s largest natural gas storage systems at 1 trillion cubic feet of capacity.

[USA] “Interior Announces Region-Wide Oil and Gas Lease Sale for Gulf of Mexico”

(Department of the Interior, 12 July 2018)

Deputy Secretary of the Interior (DOI), David Bernhardt, recently announced that the Department of the Interior (DOI)’s will open up 78 million offshore acres spanning Texas, Louisiana, Mississippi, Alabama, and Florida –titled Lease Sale 251- for the exploration and development of oil and gas resources. This regional-lease will include “all available unleased areas in federal waters of the Gulf of Mexico.” This strategy is in line with Trump’s “America-First Offshore Energy Strategy.” It is speculated that the Gulf of Mexico holds around 48 billion barrels of “undiscovered technically recoverable oil and 141 trillion cubic feet of undiscovered technically recoverable gas.” Vincent DeVito, Counselor to the Secretary for Energy Policy, stated that US energy production can be both competitive and environmentally safe – and this lease will allow the US to have a secure energy future.

[USA] “Department of Energy Announces $95 Million in Small Business Research and Development Grants”

(Department of Energy, 16 July 2018)

The Department of Energy (DOE) has announced that it will provide 95 grants amounting to $95 million to 80 small businesses spanning 26 states; each award averages about $1,000,000. These grants are given for research and development efforts and are part of Phase II in the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR). As mentioned by the DOE, “The SBIR and STTR programs were created by Congress to leverage small businesses to advance innovation at federal agencies.” The funders (within the DOE offices) of these awards are the Offices of: Defense Nuclear Nonproliferation, Electricity Delivery and Energy Reliability, Energy Efficiency and Renewable Energy, Fossil Energy, Fusion Energy Sciences, High Energy Physics, and Nuclear Energy. These awarding offices within the DOE hint at the priorities of the DOE and their industry preferences.

[USA] “Duke Energy Carolinas Customers Lead South Carolina in Private Solar Adoption”

(Duke Energy, 12 July 2018)

Over 5,000 of Duke Energy’s customers in South Carolina have installed rooftop solar on their residential homes and businesses. Duke Energy also provides over $50 million in rebates as an “extra incentive” to encourage customers to adopt solar. Duke Energy Carolinas (a subsidiary of Duke Energy that operates in North and South Carolina) has pledged to purchase all the surplus solar produced by a rooftop solar system- similar to how utilities purchase renewable energy from large scale projects. With so many rooftop solar installations in the company’s territory, Duke Energy is ahead of schedule in its legislative (i.e. policy) goal of 40 MW of private rooftop solar by 2020 as mandated by “Act 236.” This piece of legislation – which was designed to grow the residential solar industry at a time when solar costs were higher- better enables customers to install rooftop solar by providing net metering incentives and rebates. As a side note, “the net metering incentive was a component of a larger 2014 settlement agreement with the solar industry, environmental groups and South Carolina’s utilities. 

[Japan] NEDO Published its Annual Report on Wind Power Generation Facilities and Installed Capacity in Japan for FY 2017

On June 28, 2018, New Energy and Industrial Technology Development Organization (NEDO) announced the publication of its annual report on wind power generation facilities and installed capacity in Japan for FY 2017, as of the end of March 2018. The cumulative installed wind power capacity increased by 4.3% from the previous year to about 3.5 million kW, and the installed facilities increased by 2.5% to 2,253 units. In FY 2017, 54 wind power generation facilities with approximately 150,000 kW of capacity were installed.

NEDO publishes an updated report every fiscal year which highlights the current results of Japan’s wind power generation facilities and their installed capacity, based on interview surveys with Japanese power producers. The survey targets all grid-connected wind power energy producers with single-unit output of over 10 kW and total output of 20 kW or more. The survey’s questions include the wind power facility’s operating date, the name of the installer and manufacturer, the location (prefecture and municipality), total output, rated output, and the number of installed wind power facilities, etc.

[Japan] Hitachi Zosen Developed the Largest Megawatt-Class Solid Polymer-Type Hydrogen Generator

Hitachi Zosen announced that it has developed the largest solid polymer-type hydrogen generator in Japan. The generator uses water electrolysis to produce 200 Nm3/h of hydrogen, and can store surplus electricity at a megawatt-class power generation facility. Hitachi Zosen will launch its demonstration experiments later this year and aims to start sales in FY2019. Hitachi Zosen has been engaged in the development of hydrogen generators since 1974, when it joined the Sunshine Project funded by the Ministry of International Trade and Industry (MITI, now METI, the Ministry of Energy, Trade and Industry).

Hydrogen generators electrolyze water to produce high purity hydrogen that can be stored by using the excessive power generated by renewable energies such as wind and solar. To enlarge its electrolytic cell, which is the heart of the generator, Hitachi Zosen successfully combined electrolytic technology with filter press technology. In addition, the generator is cheap to install, since it is a portable-type generator that can be stored in a 40-ft container.

[Japan] Atomic Energy Association Newly Established to Improve Nuclear Safety

The Japan Atomic Industrial Forum, Inc. (JAIF), a quasi non-governmental organization, announced on June 15, 2018 that it will establish the Atomic Energy Association (ATENA) on July 1st, which will aim to improve nuclear safety by utilizing knowledge and resources from throughout the nuclear industry. The Federation of Electric Power Companies of Japan and the Japan Electrical Manufacturer’s Association have been preparing for ATENA’s establishment since April, and ATENA’s original members will be composed of 19 corporations and organizations, including Japan-based power companies and major manufacturers.

ATENA will play an important role in leading efforts to enhance higher levels of nuclear safety, by promoting the introduction of effective safety measures to tackle the common issues throughout the nuclear industry, opening dialogues with regulators about safety improvements, and by communicating with stakeholders. The organization has set up a Steering Conference where members can participate to identify issues to be addressed in the nuclear industry. An expert working group will carry out technical discussions on various issues. ATENA will also publish an annual technical report with updates on the current progress by nuclear generators in implementing the safety measures.

ATENA will also collaborate with the Japan Nuclear Safety Institute (JANSI) to share information and resources[1], and will support JANSI’s activities. JANSI is a civilian third-party organization established in 2012 in response to the need to improve nuclear plants’ operational safety after the Fukushima Daiichi Nuclear Power Station accident. JANSI encourages and evaluates operators’ efforts to voluntarily improve their performance and adhere to the governments’ regulatory standards.[2]

[1] http://www.jaif.or.jp/180615-1

[2] http://www.genanshin.jp/association/establishment.html

[USA] “CIEL Statement on Judge’s Dismissal of San Francisco and Oakland Climate Lawsuits”

(Center for International Environmental Law, 25 June 2018)  

A federal judge has dismissed the lawsuits introduced by San Francisco and Oakland (California) against five oil companies (BP Plc, Exxon Mobil Corp., Chevron Corp., ConocoPhillips, and Royal Dutch Shell PLC. The cities introduced the suit against these companies for knowing about climate change for decades but suppressing any action to mitigate the issue. The presiding U.S. District Judge, William Alsup, contended that while climate change is a real and serious problem, this issue should be dealt with at a higher, more global level by the political and legislative branches of the government. Alsup also stated that everyone bears blame for climate change as everyone used and benefitted from fossil fuels. However, Lisa Anne Hamilton, the Director of Climate and Energy at the Center for International Environmental Law, disagreed and said, “The dismissal of this case rests on an unfortunate belief: the false narrative that we are all equally responsible for climate change. For decades, major fossil fuel companies have known about climate change and their own contributions to it — with some, including Shell, even quantifying those contributions with surprising accuracy as early as the 1980s. Yet instead of warning the public of the dangers of fossil fuel use, these companies funded climate denial campaigns, thwarted adaptation of renewable technologies, and fought regulations while continuing to profit from the impending global crisis.

[Japan] TEPCO, NEC Corporation, Global Engineering and 17 Other Companies Launched a Virtual Power Plant Project to Aggregate Energy Resources

Tokyo Electric Power, NEC Corporation, Global Engineering and 17 other companies launched a Virtual Power Plant (VPP) Project on June 6, 2018. The project aims to build a VPP to aggregate energy resources. In FY 2018, the group will improve and demonstrate the systems used by Aggregation Coordinators[1] to accommodate changes in electricity energy supply and demand and will examine different approaches to stabilize the distribution system.

Japan has been promoting the introduction of renewable energy as part of its measures to reduce greenhouse gas emissions. However, due to the rapid introduction of renewable energy sources such as photovoltaic power generation, various problems that affect power systems are emerging, such as output fluctuations and excess power generation. TEPCO and its partner companies will work on building a VPP to adjust and distribute energy resources at the megawatt level in order to introduce renewable energy while stabilizing the power system.[2]

This project is being conducted as part of the Ministry of Economy, Trade and Industry (METI)’s FY2018 Demonstration Project on Virtual Power Plant (VPP) Utilizing Demand Side Energy Resources, an initiative that will invest 4 billion yen to fund various VPP demonstration projects over FY 2018. The initiative will focus on implementing control technologies in VPPs with over 50 MW capacity by 2020, as part of METI’s goals to increase renewable energy usage.[3]

[1] Aggregation Coordinators are organizations that aggregate energy resources, which are controlled by resource aggregators through VPP service contracts, and directly trade with transmission/distribution service providers and electricity retailers.

[2] http://www.tepco.co.jp/press/release/2018/1495474_8707.html

[3] Virtual Power Plants - Support From the Government (PDF)

[Japan] NEDO Completed the Construction of a Barge-type Floating Body for Next-Generation Floating Offshore Wind Power Generation System

On June 8, 2018, New Energy and Industrial Technology Development Organization (NEDO) announced that NEDO and Hitachi Zosen Corporation have completed the construction of a barge-type floating body for a next-generation floating offshore wind power generation system. The key feature of the barge-type floating body is that it is smaller and lighter than the standard semi-submersible type floating body. The portion of the structure that is submerged under the water is minimized, which will enable wind farm operators to place this type of floating body in areas with approximately 50m of water depth.

This summer NEDO will set up the system, loading the floating body with a wind turbine and power cables at the demonstration site, which is approximately 15 km away from the Hibikinada district of the Kitakyushu Port. The system will start its actual operation this fall.

Based on the foundation structure supporting the wind turbine, offshore wind power generation can generally be divided into “bottom-mounted foundations,” which are fixed structures connected to the offshore foundations, and “floating-type” structures where the foundation is floating on the sea. According to NEDO’s research, the economic efficiency of floating-type wind power generation is higher than bottom-mounted wind power generation in the areas above 50m of water depth. In order to accelerate the introduction of offshore wind power generation, in addition to developing bottom-mounted wind power generation, it is essential for Japan to develop floating offshore wind power generation systems that can be placed into a wider area of shallow water, which led NEDO to conduct this demonstration project.

[Japan] Japan’s METI Released the 2018 Energy White Paper

On June 8, 2018, Japan’s Ministry of Economy, Trade and Industry (METI) Agency for Natural Resources and Energy released its FY 2017 Annual Report on Energy. The Annual Report on Energy (also known as the “Energy White Paper”) provides the status of Japan's energy policy measures and is submitted annually to the Diet as a requirement of Article 11 of the Basic Act on Energy Policy.

The Energy White Paper provides the current state of energy security, an outline of the energy measures that Japan achieved in FY2017, and current trends in energy policy and energy supply and demand. The 2017 White Paper covers the following topics: Japan’s history of energy usage since the Meiji Restoration; progress in decommissioning the unit 1-4 reactors at the Fukushima Daiichi Nuclear Power Station and the status of the station’s reconstruction; and the energy situation within and outside of Japan, including the potential challenges to achieving Japan’s goals for its 2030 energy mix, as well as the expectations for future challenges up to 2050.

The Energy White Paper is developed based on Japan’s Strategic Energy Plan, which is the national energy policy that sets the vision and strategies to meet Japan’s long-term energy needs, according to the Energy Policy Act of 2002. METI’s Advisory Committee for Natural Resources and Energy released the outline for the 5th Strategic Energy Plan on April 27, 2018, which is further described in the JEPIC newsletter article " Ministry of Economy, Trade and Industry (METI) released the outline for Japan’s Strategic Energy Plan." [1]

*The English language outline of the Energy White Paper 2018 has been released on METI’s website.[2]

[1] http://www.meti.go.jp/press/2018/06/20180608005/20180608005.html

[2] http://www.meti.go.jp/english/press/2018/pdf/0608_001a.pdf

[USA] “Governor Hickenlooper Signs Executive Order Calling for State to Adopt Low Emissions Vehicle Standards”

[Colorado State, 19 June 2018]

Colorado Governor John Hickenlooper recently signed an executive order that ensures the state’s vehicles will comply with low emission vehicle (LEV) standards. By doing so, Colorado will join 13 other states who have implemented such standards including California as well as Washington DC; and stands in opposition to Trump’s efforts to ease vehicle emission standards. The executive order calls on the state’s Department of Public Health and Environment to develop a ruling to implement the LEV program and asks the Department to propose that rule to the Colorado Air Quality Control Commission for “possible adoption into the Colorado Code of Regulations by December 30, 2018.” This executive order will help Colorado meet its greenhouse gas reduction target of 26% by 2025. Governor Hickenlooper said of the order, “Colorado has a choice. This executive order calls for the state to adopt air quality standards that will protect our quality of life in Colorado. “Low emissions vehicles are increasingly popular with consumers and are better for our air. Every move we make to safeguard our environment is a move in the right direction.”

[USA] “Governor Cuomo Announces New York Energy Storage Roadmap to Achieve Nation-Leading Target of 1,500 Megawatts by 2025 to Combat Climate Change”

[New York State, 21 June 2018]

On June 21, 2018 New York Governor Andrew Cuomo introduced a new comprehensive Energy Storage Roadmap that will set an energy storage target of 1,500 MW by 2025 for the state of New York. This Roadmap also encourages the energy system in New York to become cleaner, more resilient, and more affordable so “all New Yorkers…[can] combat climate change.” The Roadmap also provides short-term suggestions on how energy storage can best add value for the state’s electricity consumers. In addition, it is believed that meeting this target will add $2 billion of “gross lifetime benefits to New Yorkers” and will add another 30,000 new jobs to the industry. Governor Cuomo stated that “clean energy is the future of our planet, and New York will continue to lead the nation in this technology to fight climate change and conserve resources for generations to come.”

[USA] “Mayor Walsh Calls on Cities to Join Large-Scale Renewable Energy Initiative”

[City of Boston, 7 June 2018]

Boston, Massachusetts Mayor Martin Walsh has announced his intention to issue a “Request for Information (RFI) for competitive pricing of large-scale renewable energy projects.” The RFI aims to collect and compile data on energy demand from participating cities from across the country; it will also “ask renewable energy developers for price estimates for projects that would meet their collective energy demand.” Currently, these cities include Chicago, Evanston (also in Illinois), Houston, Los Angeles, Orlando, and Portland; these cities are also part of the Climate Mayors network (a network comprised of over 400 cities) which aims to uphold the goals of the Paris Accord. Mayor Walsh commented, “Our effort on renewable energy will not only help cities cut carbon emissions and get us closer to the goals of Paris Climate Agreement, it will help power our cities and create more, clean energy jobs. We can do more than just address the problem of climate change, we can build a healthy, thriving future by working together."

[Japan] Japanese Utility and Automobile Companies Jointly Start Testing V2G Technology

On May 31, 2018, Kyushu Electric Power, the Central Research Institute of Electric Power Industry (CRIEPI), Nissan Motor Corporation, Mitsubishi Motors, and Mitsubishi Electric jointly started a demonstration project for V2G (Vehicle to Grid) technology, with the aim of utilizing EVs to adjust the electricity supply and demand. The project will assess the feasibility of charging EVs and discharging the stored electricity to electricity grids.

The project is being conducted as part of METI’s FY2018 Demonstration Project on Virtual Power Plant (VPP) Utilizing Demand Side Energy Resource, which is further described in the JEPIC digest titled “Toyota Tsusho and Chubu Electric Power Jointly Launched the V2G Aggregator Project in Toyota City, Japan”. 

[Japan] Toyota Tsusho and Chubu Electric Power Jointly Launched the V2G (Vehicle to Grid) Aggregator Project in Toyota City, Japan

Toyota Tsusho and Chubu Electric Power jointly launched the V2G (Vehicle to Grid) Aggregator Project on May 30, 2018. The project will demonstrate charging Plug-in Hybrid Vehicles (PHVs/PHEVs) and Electric Vehicles (EVs) and the process for discharging stored electricity to grids. The project will evaluate the V2G control system’s performance and impact on the grids, with the goal of utilizing PHVs/PHEVs/EVs to adjust power supply and demand.

The V2G project is being conducted as part of the Ministry of Economy, Trade and Industry (METI)’s FY2018 Demonstration Project on Virtual Power Plant (VPP) Utilizing Demand Side Energy Resources, an initiative that will invest 4 billion yen to fund various VPP demonstration projects over FY 2018. The initiative will focus on implementing control technologies at VPPs with over 50 MW capacity by 2020, as part of METI’s goals to increase renewable energy usage.[1]

VPP technologies combine renewable energy sources such as photovoltaic power generation and energy storage at locations such as residential areas and factories. The introduction of VPP-based renewable energy is expected to expand in Japan, but one challenge to future adoption is fluctuating power output due to changes in weather conditions, and surplus electric power at peak energy production. V2G is a VPP technology that utilizes PHVs/PHEVs/EVs’ in-vehicle battery to manage the fluctuations in output by adjusting the amount and the timing of power supplies.[2]

The V2G project will test the V2G control system, which utilizes multiple in-vehicle storage batteries to control its electricity charges and discharges, in order to verify the feasibility of load balancing through V2G and discharging stored excess renewable energy supplies to the grid when demand is higher. The system will be placed in parking facilities in Toyota City, Aichi Prefecture. The project will use the V2G technology for high frequency regulation developed by the U.S.-based Nuvve Corporation. Regulating at high frequencies is difficult as it requires the system to perform within short response times.

[1] http://www.meti.go.jp/main/yosangaisan/fy2018/pr/en/shoshin_taka_06.pdf

[2] https://www.chuden.co.jp/corporate/publicity/pub_release/press/3268019_21432.html

[Japan] The U.S. and Japan Held the Sixth Annual Meeting of the Civil Nuclear Energy Research and Development Working Group (CNWG)

The Civil Nuclear Energy Research and Development Working Group (CNWG) held its sixth annual meeting on May 24, 2018 in Osaka, Japan to facilitate bilateral cooperation on advanced nuclear technology R&D. The CNWG was jointly established by the U.S. Department of Energy (DOE), Japan’s Ministry of Economy, Trade and Industry (METI), and Japan’s Ministry of Education, Culture, Sports, Science and Technology (MEXT). In addition, participants from Japan included the Japan Atomic Energy Agency (JAEA) and Japan’s Central Research Institute of Electric Power Industry (CRIEPI). During the meeting, the experts from U.S. and Japan reported on their recent cooperative efforts and agreed to enhance collaboration on nuclear R&D in various fields, including fast reactors, high-temperature gas reactors, nuclear fuel cycle and waste management, and light-water reactors. DOE, JAEA, and CRIEPI also jointly launched a new project to conduct safety analysis on metal-fueled fast reactors.

[USA] “Broad Energy Coalition Condemns Action to Subsidize Failing Coal, Nuclear Plants”

[SEIA, 1 June 2018]

Numerous energy industry and trade groups, including those focused in energy efficiency and storage, oil, solar and wind, and natural gas, have come together to condemn the Trump Administration’s recently revealed plan to “bail out coal and nuclear plants.” These groups include Solar Energies Industries Association (SEIA), American Petroleum Institute (API), Advanced Energy Economy (AEE), American Council on Renewable Energy (ACORE), the Business Council for Sustainable Energy (BCSE), Electricity Consumers Resources Council (ELCON), Electric Power Supply Association (ESPA), Energy Storage Association (ESA), and Natural Gas Supply Association (NGSA). The comments by these groups-against the bail out plan- are very similar; they say that it is not economically profitable or reasonable to support failing plants and that this will have negative repercussions on the electricity grid. For instance, Kelly Speakes-Backman, the ESA CEO, states, “Any action that undermines market stability to support new entrants like energy storage – resources that enhance grid resilience and reduce costs to consumers – will erode opportunities to create a more reliable and resilient, efficient, sustainable and affordable grid.” Todd Foley likewise comments, ““The Administration’s draft plan for potential emergency action would be unwarranted, and would actually undermine competitive markets, raising electricity costs to consumers and businesses across the country. Arbitrary market interventions deprive businesses of the certainty they need to invest in power plants of all types, harming not helping electric reliability.”

[USA] “Executive Order 13800 on Strengthening the Cybersecurity of Federal Networks and Critical Infrastructure: Assessment of Electricity Disruption Incident Response Capabilities”

[DOE, 30 May 2018]

As cybersecurity becomes an increasingly challenging issue, the Trump Administration is seeking methods to strengthen the U.S.’s national security protections as regards cyber security. In this line, last year Trump signed Executive Order 13800 on “Strengthening the Cybersecurity of Federal Networks and Critical Infrastructure.” The order initiated an assessment of the potential “scope and duration of a prolonged power outage.” While it was determined that so far there has been no permanent damage resulting from the cyberattacks targeting electric utilities, cyberattacks are becoming increasingly frequent. Thus, it is important to continuously improve the country’s cybersecurity efforts. Rick Perry, DOE Secretary, released a comment acknowledging the “growing security risk of cyber threats” and that the Department “has taken an important step forward through the recent creation of the Office of Cybersecurity, Energy Security, and Emergency Response (CESER), which will further strengthen DOE’s ability to play a vital role protecting energy infrastructure from cyber threats, physical attacks, and natural disasters.”

[USA] “Department of Energy Launches Two New Clean Energy Initiatives at Ninth Clean Energy Ministerial”

[DOE, 24 May 2018]

Dan Brouillette, the U.S. Deputy Secretary of Energy, launched two new clean energy initiatives which he announced at the ninth Clean Energy Ministerial (CEM9) in Copenhagen, Denmark. The initiatives will go into effect immediately and are titled: 1) Nuclear Innovation: Clean Energy Future (NICE Future) Initiative; and 2) Carbon Capture, Utilization, and Storage (CCUS) Initiative. Both these initiatives were proposed by DOE Secretary Rick Perry during the last CEM meeting in Beijing. The NICE Future Initiative aims to boost the perception of nuclear energy as a clean and reliable fuel source; it will also “address improved power system integration through innovative, advanced energy systems and applications, such as nuclear-renewable systems.” This initiative will be a joint venture led by the U.S., Canada, and Japan. The CCUS Initiative focuses more on building a collaborative framework to encourage partnerships regarding CCUS between the public and private sectors; it also supports existing efforts to encourage CCUS in the energy industry such as those by the Carbon Sequestration Leadership Forum, the International Energy Agency, and the Global CCS Institute. This initiative will be led by the United States, Norway, and Saudi Arabia.