Ernst &amp; Young Find Feed-in Tariffs Cheaper Than Trading System

Ernst & Young Find Feed-in Tariffs Cheaper Than Trading System

October 6, 2008

The international accounting firm, Ernst & Young, has concluded that Germany's system of feed-in tariffs delivers more renewable energy at lower cost to consumers than Britain's Renewable Obligation and its certificate trading system.

The conclusion turns on its head the common misperception that feed-in tariffs cost consumers more than so-called "market-friendly" polices, such as tendering and certificate trading systems.

Ernst & Young clearly show their allegiance to the British trading system when commenting on their surprise at the findings, "Although a feed-in tariff may be culturally incompatible in the UK, there is an argument that the ROC [Renewable Obligation Certificate] system needs a review if it is to deliver the required capacity in a cost effective manner, . . .

The findings were contained Ernst & Young's Renewable energy country attractiveness indices for the first quarter of 2008, page 13. They concluded that Germany generated more renewable energy at lower costs than Britain.

Despite the significantly better wind resource in Britain, Germany produced four times more renewable energy than Britain at one-fifth the relative (per kWh) cost.

#111

From: Paul Gipe <pgipe@...>
Date: Wed Oct 8, 2008 3:55 pm
Subject: IEA: Feed-in Tariffs More Effective and Cheaper than Quotas

paulbgipe

IEA: Feed-in Tariffs More Effective and Cheaper than Quotas for Renewable Energy

October 7, 2008

The International Energy Agency (IEA) has never been known as a hot bed of progressive thought--it has long been dismissive of renewable energy for example--or accurate oil price forecasts for that matter. It has been consistently wrong on both for years if not decades. But who says you can't teach an old dog new tricks.

The IEA began building up its renewable energy expertise several years ago and it's beginning to show fruit. While couched in the language and world view that critics have come to expect, a new IEA report is surprising for what it says about renewable energy policy mechanisms.

Simply put, the IEA concludes that feed-in tariffs are both more effective at developing renewable energy as well as less costly to consumers than quota systems (known as Renewable Portfolio Standards in North America).

The full report is behind a pay barrier, but the summary report (IEA Summary: Deploying Renewables, p. 17 and p. 19) is sufficiently revealing to mark a breakthrough in the thinking at IEA. Here are some brief excerpts from the sections on wind and solar PV.

Wind on Land

"A minimum level of remuneration appears necessary to encourage wind power deployment. Until 2005, none of the countries that provide overall levels of remuneration below USD 0.07/kWh witnessed significant deployment effectiveness."

The actual price here is less important than the message: If a program doesn't pay enough, there isn't any development. Many programs try to develop wind energy on the cheap, then administrators wonder why there is no progress on the ground.

The report goes on . . .

"The group of countries with the highest effectiveness (Germany, Spain, Denmark and, more recently, Portugal) used feed-in tariffs (FITs) to encourage wind power deployment. Their success in deploying onshore wind stems from high investment stability guaranteed by the long term FITs, an appropriate framework with low administrative and regulatory barriers, and relatively favourable grid access conditions. In 2005, the average remuneration levels in these countries (USD 0.09-0.11/kWh) were lower than those in countries applying quota obligation systems with tradable green certificates (TGCs) (USD 0.13-0.17/kWh).

"Beyond some minimum threshold level, higher remuneration levels do not necessarily lead to greater levels of policy effectiveness. The highest levels of remuneration on a per-unit generated basis for wind among the countries studied are seen in Italy, Belgium, and the United Kingdom, which have all implemented quota obligation systems with TGCs. Yet none of these countries scored high levels of deployment effectiveness. This is likely related to the existence of high non-economic barriers as well as to intrinsic problems with the design of tradable green certificate systems in these countries, which cause higher investor risk premiums."

This too is a clear message: feed-in tariffs are more effective and cost $0.04/kWh to $0.06/kWh less than quota systems using tradable credits. These findings mirror those of Ernst & Young in a comparison between the cost of wind programs in Great Britain and Germany.

Solar PV

" . . Feed-in tariffs (complemented by the easy availability of soft loans and fair grid access) have been very effective in Germany, albeit at a high cost (USD 0.65/kWh). In recent years, the level of the German FIT for solar PV has decreased to some extent, and an element of degression has been introduced. The German parliament has approved proposals for acceleration of degression rates for stand-alone installations from 5% per year in 2008 to 10% per year in 2010 and 9% from 2011 onwards. This creates incentives to reduce costs, and hence move down the learning curve."

Interestingly, IEA notes the high cost of Germany's solar PV program to consumers, but doesn't note the cost of solar PV to both consumers and taxpayers in the discussion on US policies in the paragraph that follows the description of Germany's program. As Vote Solar has prominently noted on several occasions, some of the costs of solar PV "incentives" in the US are buried behind the meter and some are shifted from the consumer to the taxpayer. By doing so, the costs of solar PV programs in the US are not readily apparent, being hidden from view.

It may have been simply easier for IEA to report on the cost of the German program because it is transparent, and for the IEA not to report on the costs of US programs because the programs are not transparent. To understand the program costs in the US would require a much more extensive analysis than IEA invested in evaluating Germany's program. Still, these are remarkable conclusions from a bastion of the Washington Consensus.

#112

From: Paul Gipe <pgipe@...>
Date: Fri Oct 10, 2008 1:27 am
Subject: North American coalition promotes Renewable Energy Payments (REPs)

paulbgipe

Media Advisory: FOR IMMEDIATE RELEASE�October 8, 2008

Launch of Alliance for Renewable Energy�ARE

North American coalition promotes Renewable Energy Payments (REPs)
�the �World�s Most Effective Renewable Energy Policy�

San Diego, California � The Alliance for Renewable Energy (ARE), a coalition of businesses, non-profits, energy experts, legislators, and citizens, will be launched on October 12th at a pre-event of the Solar Power International 08 conference in San Diego, California. ARE�s mission is to promote Renewable Energy Payments (REPs) legislation in states and provinces throughout the USA and Canada.

REPs, also called Feed-in Tariffs (FITs) in Europe and elsewhere, are legislative policies in over 40 countries. Lois Barber and Paul Gipe, Co-chairs of ARE, state, �REPs have proven to be the most widespread and effective legislation for the promotion of renewables.� �Our mission,� they add, �is to bring REPs to North America where they can help to rapidly increase our shift from fossil fuels to renewables, and in doing so improve our energy security and generate hundreds of thousands of new manufacturing jobs.�

ARE will build on the recent passage of federal renewable investment and production tax credits by urging policymakers to now focus on proven policies that have led to the rapid deployment of renewable energy throughout the world. REPs can be introduced at the state, provincial, and municipal level.

�Good REP legislation is simple and effective,� states Gipe. It provides access to the grid for all and pays a fair price for the clean energy produced for a period of 15-20 years. The long-term contracts between producers and utilities create a stable investment environment for borrowers and lenders. Growth in renewable energy creates jobs and stimulates the economy. REP type legislation has been primarily responsible for making Germany, Spain, and Denmark leaders in renewable energy. Germany now has 300,000 employed in renewables and is cited as a renewable technology �export machine.�

John Burges, an investment advisor and ARE Steering Committee member from Florida, states, �REP policies democratize renewable energy. � He notes, �Some renewable energy policies such as tradeable credits simply give big corporations control of renewable energy production and the lion�s share of the profits at the expense of ratepayers. REPs level the playing field and allow homeowners, farmers, small and large businesses to all profit by becoming clean energy producers. REPs truly are �energy freedom� for producers, and consistently have been shown to be the best value policy for ratepayers�.

ARE is promoting REP legislation in many states, including, California, Florida, Michigan, Minnesota, Wisconsin, Indiana, Washington, Illinois, Rhode Island, and Hawaii.

ARE�s website, AllianceForRenewableEnergy .org, lists over 200 REP endorsers. Its Steering Committee includes executives of solar and wind companies, non-profits, investors, energy experts, and state legislators.

Barber adds, �Throughout the world, REP legislation is encouraging entrepreneurship, expanding the green energy marketplace, creating jobs and wealth, and stimulating the economy while significantly reducing pollution, greenhouse gas emissions, and reliance on imported energy. It is time for REPs legislation to help make the USA and Canada leaders in renewable energy.�

***********************END**********************

Paul Gipe
Ontario Sustainable Energy Association
401 Richmond Street West, Suite 401
Toronto, ON M5V 3A8 Canada
+416 977 5093, +661 472 1657 mobile
pgipe@...
www.wind-works.org
Le Grand Livre de l'�olien (ISBN: 2-913620-39-6), 2007.

#113

From: Paul Gipe <pgipe@...>
Date: Tue Oct 14, 2008 6:03 pm
Subject: First US Muni Launches Solar Feed-in Tariffs

paulbgipe

GRU unveils new solar incentives

By Megan Rolland
Sun staff writer
http://www.gainesville.com/article/20081013/NEWS/810140283/1002?Title=GRU_unveils_new_solar_incentives __

Published: Monday, October 13, 2008 at 6:01 a.m.
Last Modified: Tuesday, October 14, 2008 at 12:54 a.m.

Gainesville Regional Utilities has attracted the eyes of environmentalists across the nation for a trail-blazing plan to encourage solar energy production by agreeing to buy the electricity above market value for 20 years.

The plan � outlined to Gainesville city commissioners Monday � would be one of the first of its kind in North America.

Ed Regan, assistant general manager for GRU strategic planning, discovered the incentive, called a "feed-in-tariff," on a fact-finding trip to Germany where the renewable energy market is booming.

"People are putting their pension funds into solar panels, holding companies are investing in renewable energy," Regan said. "These are great investments because there's a guaranteed price backed by German credit; in this case GRU's credit is probably just as good."

The idea behind the "feed-in-tariff" is substantially different from how most of the U.S. is now encouraging private investment in renewable energy and how GRU is now encouraging solar panel installation here in the Sunshine State.

Essentially, GRU would buy all the energy produced by a solar photovoltaic system � solar panels that convert sunlight into electricity � over the next 20 years for a guaranteed rate per kilowatt hour � the price would be set to make solar energy production competitive, if not profitable, in Gainesville.

"This is really a historic moment," said Kellyn Eberhardt, Florida climate project associate with the Environmental Defense Fund, based in Sarasota. "This is the first time in North America that a municipally owned utility is considering a feed-in-tariff policy. These are big strides and a lot of eyes are upon you to see what will happen."

The city commissioners who attended Monday's presentation expressed excitement for the project and instructed GRU � unofficially � to forge ahead and draft an ordinance to be brought back before the commission.

"Is it possible to get this in place by the first of January?" Mayor Pegeen Hanrahan asked. "The sooner you get the systems out there, the greater benefit they're going to provide."

GRU's current incentive system offers a cash rebate of $1.50 per watt of photovoltaic panel installed.

For residential units, that can't exceed $7,500, and for a business, it can't exceed $37,500.

Because of those limits, Regan said the buildings with the greatest potential of solar capacity are receiving the least incentive to install the panels. Feed-in-tariff incentives would make large flat roofs � such as a grocery store or a mall roof � benefit the most from the incentive.

Regan said it would even encourage outside investment in placing panels on the rooftops.

Under the current system, the installer of the panels is paid by GRU for any extra energy not used at the house or business that is sent back to the grid � a process called "net-metering."

Feed-in-tariff incentives would eliminate the cash rebate and net-metering.

Instead, GRU would buy all of the power produced by the solar panels at a fixed price that is usually higher than market price.

According to Regan, the price presented Monday has been calculated using the cost of installation of the panels and the cost of maintenance and repair over 20 years. It is set to make the energy production profitable.

"You're allowed to beat the game, and that encourages innovation," Regan said.

A more efficient system would produce more energy and make more money, Regan said.

In 2007, GRU spent $367,000 on the solar energy rebate program and budgeted another $300,000 for the 2008 fiscal year.

Regan said projections show that the feed-in-tariff program would be more expensive to run for GRU, but the cost would be distributed among customers in a "socialist" manner.

While GRU now recovers the money spent on the rebate program through the base rates charged to customers, the feed-in-tariff program would be funded through an increase in the fuel adjustment rate.

That rate is adjusted monthly based on what GRU spends on coal and natural gas that are burned in the company's power plants and is passed directly on to customers.

Commissioner Thomas Hawkins asked how the feed-in-tariff increase would compare to increases over the summer to the fuel adjustment rate.

Regan replied that the increase would be negligible.

Assuming that one megawatt of solar photovoltaics were installed every year for the next 20 years the increase in the fuel adjustment per customer would be less than 1 percent by 2029.

Rob Brinkman, president of the local Sierra Club, said his only concern was that the program could work too well.

"I'm really both pleased and proud for the city of Gainesville with what you're doing," Brinkman said. "We certainly don't want to make the cost so high that in order to get access to the sun � people are cutting down trees."

Brinkman said there is the roof-top potential for the solar production of 80 megawatts of electricity in the Gainesville area and that he'd like to see that full amount built out.

Regan emphasized that this program will go hand-in-hand with the federal tax incentives for renewable energy, which were just renewed for another eight years.

However, he said the feed-in-tariff program would also make it possible for tax-exempt agencies � like the University of Florida � to benefit from an incentive by leasing out roof-top space to a hypothetical solar production company.

Regan said he isn't intimidated by forging the way for this innovative policy � "we've got a lot of good people working on it."

And compared to negotiating the agreement for the city's new 100 megawatt biomass power plant, Regan said this much easier to accomplish. "I really do think it's going to make a difference in how fast Gainesville comes into solar energy," Regan said. "We're already kind of a leader."

Megan Rolland can be reached at 338-3104 or megan.rolland@...

_________________________________________________________________________________________________
This news update is partially supported by the Jan & David Blittersdorf Foundation in cooperation with the Institute for Local Self Reliance, and the Sierra Club's Smart Energy Solutions Fund. The views expressed are those of Paul Gipe and are not necessarily those of the sponsors.
_________________________________________________________________________________________________
Paul Gipe
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org

#114

From: Paul Gipe <pgipe@...>
Date: Wed Oct 15, 2008 1:01 am
Subject: US tax incentives don�t go far enough say solar leaders

paulbgipe

World Future Council & SolarWorld Press Release

Global solar leaders to policymakers: tax incentives don�t go far enough

October 14, 2008---San Diego, California---Some of the largest solar energy businesses in the world came together in San Diego on Sunday for a frank discussion with policymakers, business leaders and environmental groups on what steps must be taken to create a thriving solar energy industry in the U.S.

The message from these companies is clear: the U.S. has fallen behind countries like Germany, Spain and Japan in providing a public policy framework that will lead to broad deployment of solar energy, create thousands of high-paying manufacturing jobs, achieve energy independence and combat global climate change.

�We have more sunshine than places like Germany -- we�re just not capitalizing on our solar potential like they are, � says Raju Yenamandara, US Sales Director of the SolarWorld Group, which operates solar production facilities in the U.S. and Germany. �By putting feed-in tariff laws in place we can catch up with the rest of the world and give our economy a huge boost, while making our country less dependent on imported energy. The policies democratize solar production by creating solar entrepreneurs out of households, schools, churches, farmers � anyone can participate and help green America.�

�Tax incentives alone won�t get the job done,� says John Burges, an investment advisor and Alliance for Renewable Energy Steering Committee member from Florida. �The reason other countries are so far ahead of us in America is they�ve put �feed-in tariffs� in place that make solar power more affordable and attractive to consumers.� In the US, �feed-in tariffs� are known as Renewable Energy Payments or REPs. These policies have driven the creation of a $30BN a year industry in Europe and is the reason why many American solar companies are opening new manufacturing plants in Europe rather than the US.

�Good feed-in tariff policy is simple to design and has proven very effective�, states Paul Gipe, a renewable energy expert and Co-chair of the Alliance for Renewable Energy. �It provides access to the grid for everyone and pays them a fair price for their electricity over an extended period, usually 15 to 20 years. These long-term contracts create a stable investment environment for both borrowers and lenders alike. The rapid growth in renewable energy creates new jobs and stimulates the local economy,� Gipe says.

Unlike other policies that rely on tax credits or running your meter backwards, feed-in tariffs actually pay cash directly to producers, whether homeowners, farmers, or small businesses based on how much electricity they generate. This approach, now implemented in over 45 countries and regions across the world, has developed more renewable energy, faster, and at lower cost than any other policy. We need it here in North America,� Gipe adds.

Germany, which created the world�s first solar direct-payment system in 1999, has created 200,000 new jobs and added renewable energy capacity equivalent to two massive nuclear power plants in recent years. It is now an �export machine� for solar and renewable energy technology.

Sunday�s solar policy forum brought together nearly 100 participants from across the U.S., including legislators, regulatory officials, environmental groups and high-level business executives from the world�s leading solar companies.

�The ultimate goal is to help people understand how they can secure the most renewable energy as quickly and affordably as possible,� explains Bianca Barth of the World Future Council, which organized and hosted Sunday�s solar energy policy forum. Chief sponsors included SolarWorld, BP Solar, Nexant, As You Sow and the Alliance for Renewable Energy, a US not for profit that was recently formed to promote Renewable Energy Payments in several states.

For more information about the World Future Council and The Alliance for Renewable Energy, please contact Bianca Barth at +1 360 350 8449 or bianca@....

For more information about SolarWorld, please contact Anne Schneider at +1 503 844 3417 or a.schneider@....

Further information on Feed-in Tariffs is available on the World Future Council�s website www.worldfuturecouncil.org as well as on the Alliance for Renewable Energy�s website www.allianceforrenewableenergy.org � and at www.onlinepact.org.

#115

From: "marc.strassman" <marc.strassman@...>
Date: Fri Oct 17, 2008 11:10 pm
Subject: Mike Antheil at FARE on Gainesville�s REP/FIT program

Mike Antheil, Executive Director of the Florida Alliance for Renewable
Energy (FARE), talks about the impending adoption by the City of
Gainesville, Florida, of a system of Renewable Energy Payments (REPs)
to stimulate renewable investment, 10-17-08

http://link.brightcove.com/services/link/bcpid1459337855/bclid1859715197/bctid18\
63363896

#116

From: "marc.strassman" <marc.strassman@...>
Date: Thu Oct 23, 2008 2:24 am
Subject: Ed Regan at GRU on Gainesville, Florida's, feed-in tariff

Ed Regan, Assistant General Manager for Strategic Planning at
Gainesville Regional Utilities in Florida, talks about Gainesville's
soon-to-be enacted feed-in tariff, the first in the United States,
recorded from Gainesville, Florida, October 22, 2008

http://link.brightcove.com/services/link/bcpid932411100/bclid1830064884/bctid187\
3067072

#117

From: "marc.strassman" <marc.strassman@...>
Date: Thu Oct 23, 2008 10:09 pm
Subject: Peter Meisen on BP/Economist renewable energy debate

Peter Meisen, President and Director of the Global Energy Network
Institute, talks about a recent debate on the adequacy of existing
renewable technologies to solve the climate/energy crisis & other
current energy & climate change subjects, 10-23-08

http://link.brightcove.com/services/link/bcpid932411100/bclid1873841284/bctid187\
5337208

#118

From: "marc.strassman" <marc.strassman@...>
Date: Wed Oct 29, 2008 6:08 am
Subject: Elliot Diringer at Pew on Copenhagen climate negotiations

Elliot Diringer, VP for International Strategies at the Pew Center on
Global Climate Change, talks about Kyoto, Bali, and Copenhagen as
milestones in the negotiation of a global climate change regimre,
recorded from Washington, D.C., October 27, 2008

http://link.brightcove.com/services/link/bcpid932411100/bclid1873841284/bctid188\
2714861

#119

From: "marc.strassman" <marc.strassman@...>
Date: Fri Oct 31, 2008 9:39 pm
Subject: Jennifer Gleason at ELAW talks about an Oregon REP

Listen to Jennifer Gleason, Staff Attorney at Environmental Law
Alliance Worldwide, talk about the possible implementation of
renewable energy payments in Oregon, at:

http://link.brightcove.com/services/link/bcpid932411100/bclid1873841284/bctid189\
2181990

#120

From: Paul Gipe <pgipe@...>
Date: Tue Nov 4, 2008 12:46 am
Subject: You put your feed-in there: An ideological breakthrough on feed-in tariffs in Britain

paulbgipe

You put your feed-in there

An ideological breakthrough on feed-in tariffs in Britain

Posted by Guest author (Guest Contributor) at 12:07 PM on 03 Nov 2008

Read more about: energy | taxes | renewable energy | United Kingdom
Tools: print | email | + digg | + del.icio.us | + reddit | + stumbleupon

The following is a guest essay by author, advocate, and renewable energy industry analyst Paul Gipe. His latest book, Wind Energy Basics, will be published by Chelsea Green in early 2009.
-----

In a startling reversal, Britain's Labour government has put on the table a feed-in tariff proposal for "microgeneration." The proposed feed-in tariffs will pay homeowners, farmers, and community groups for the electricity they generate with renewable energy.

The move represents an ideological breakthrough. Long an ardent supporter of Renewable Obligation Certificate trading systems and plain old-fashioned subsidies as the sole means of developing renewable energy, Britain's Labour government has abruptly changed course.

Britain, along with its English-speaking allies in the United States, Australia, Canada, and New Zealand, has been a staunch proponent of the "Washington Consensus" of neoliberal economic orthodoxy. In this world view, the only mechanisms that can be used to develop renewable energy and hew to ideological purity are quota systems coupled with Tradable Green Certificates. In Britain this policy is called the Renewable Obligation; in North America, it is known as Renewable Portfolio Standards.

However, outside the schools of economics aligned along the Chicago-London axis, others have argued that feed-in tariffs are a more effective and less costly market mechanism for rapidly developing renewable energy. These include prominent British economist Sir Nicholas Stern, as well as continental European economists who are less well-known in North America.

The specific proposal by the new Minister of Climate Change, Ed Miliband, is less significant than the fact the government felt compelled to act. Prime Minister Gordon Brown narrowly escaped a backbench revolt in the House of Commons earlier this year over exclusion of a feed-in tariff in Britain's long-awaited energy bill. Meanwhile, in the House of Lords, debate on the inclusion of feed-in tariff provisions continued despite the government's attempts to quash the subject.

Nevertheless, Miliband's proposal is timid and vague.

For example, the proposal limits individual projects to no more than 3 MW. That's enough for rooftop solar systems, but not big enough for most community wind projects. It's clear that the government doesn't want a program of feed-in tariffs to threaten its quota system, despite the fact that there's widespread acknowledgement that Britain will miss its renewable energy targets and now pays more for renewables than its European neighbors that use feed-in tariffs.

The existing Renewable Obligation has mostly benefited commercial wind development in Britain's highlands. What the British call microgeneration -- rooftop solar, for example -- has been dependent upon the waxing and waning of traditional up-front subsidies. As a consequence, Britain lags well behind Germany, Spain, Italy, and France -- all countries using feed-in tariffs -- in the development of rooftop solar photovoltaics.

Even in wind energy, Britain is falling increasingly behind continental nations. By the end of 2008, France, Britain's long-time cross-channel rival, will operate nearly 1,000 MW more wind-generating capacity than Britain, despite being a relative newcomer to wind energy development. (See " French Wind Growth Continuing.") France uses an innovative feed-in tariff policy.

British renewable energy campaigners, notably Friends of the Earth, have called for more specifics in the proposal and for increasing the maximum project size to at least 10 MW -- equivalent to about five modern wind turbines. Friends of the Earth is also calling for prices (the feed-in tariffs) to be differentiated by technology -- solar is paid one price, wind another, and so on -- a feature found in all countries successfully developing renewable energy.

Elsewhere, a number of Australian and American states, as well as Canadian provinces, are considering feed-in tariffs:

The Guardian: People-power a step closer in energy bill
Discussion Paper on Electricity Feed-in Tariffs in Tasmania Released (PDF)
Renewable Energy Tariffs in Australia
Gainesville Regional Utilities Proposes Solar Feed-in Tariff (Gainesville Sun)
Feed-in Tariffs and Renewable Energy in the USA -- a Policy Update (PDF) by Wilson Rickerson, Florian Bennhold, and James Bradbury (May 2008)

#121

From: "marc.strassman" <marc.strassman@...>
Date: Tue Nov 4, 2008 8:14 pm
Subject: Paul Gipe on recently-tabled UK "microgeneration" REP/FIT

Paul Gipe, author, advocate, and renewable energy industry analyst,
comments on recent developments in the UK regarding the implementation
of renewable energy payments, as compared to RPS, and an WFC workshop
in San Diego, CA, recorded on 11-4-08

http://link.brightcove.com/services/link/bcpid932411100/bclid1873841284/bctid190\
0229806

#122

From: Paul Gipe <pgipe@...>
Date: Thu Nov 6, 2008 9:05 pm
Subject: Center for American Progress on Feed-in Tariffs & More on Feed-in Tariffs Worldwide

paulbgipe

Center for American Progress on Feed-in Tariffs

November 6, 2008

The Heinrich-B�ll-Foundation has released a new paper by key figures at the Center for American Progress, a Washington think tank. The article, Green Power on the Rise: The Future of Renewable Energy Policy in the United States, includes a brief discussion of the possible role of feed-in tariffs in Congressional action on energy and climate change policy in 2009.

The lead author, Bracken Hendricks, serves as executive director of the Apollo Alliance and the director of the New Growth Initiative at the Institute for America's Future. He is also a senior fellow at the Center for American Progress and previously served in the Clinton administration.

Benjamin Goldstein, the co-author of the report, is a research associate with the Domestic Policy Team at the Center for American Progress.

The key passage follows.

"National renewable energy payments, in Europe better known as feed-in tariffs, are another policy instrument that has gained traction in Washington. Interest in renewable energy payments is fueled in part by their success in increasing renewable energy production in European countries, such as Germany and Spain. Congressmen Jay Inslee (D-WA), an influential Democrat in the energy and climate policy discussions, is a major backer of renewable energy payments, which guarantee distributed renewable energy interconnection access to the electricity grid, and a premium rate designed to generate a reasonable profit for investors over the long-term. While it might be difficult to pass this legislation in times of financial turmoil, the concept would provide exactly the kind of long-term commitment and investment incentive that has successfully fostered renewable energy development in other countries."

Britain's Carbon Trust Says FITs Simplest

November 5, 2008

In a major new report on offshore wind, Britain's Carbon Trust argues that feed-in tariffs are simpler to administer, provides greater certainty to investors, and cost less than the existing program of Renewable Obligation Certificates. The report's findings add to a growing chorus of support for moving Britain's renewable energy program to differentiated feed-in tariffs like those used successfully in Germany, France, and Spain. Regardless of their findings, the report concludes that administrators are unlikely to change direction anytime soon and will continue to modify the already cumbersome Renewable Obligation.

for more see Britain's Carbon Trust Says FITs Simplest.

South Africa Feed-in Bill Introduced

November 6, 2008

On October 28, 2008 South African MP Ruth Rabinowitz of the Inkatha Freedom Party introduced a private members bill for the introduction of feed-in tariffs.

Rabinowitz and several other parliamentarians, including the Democratic Alliance's Gareth Morgan as well as Lance Greyling of the Independent Democrats, have formed eREACT for "e parliament Renewable Energy Activists" in support of the feed-in tariff bill.

"In its current form, Feed-In Tariffs began in Germany. They have had a huge impact on the uptake of renewable energy in countries where they have been implemented. The idea was widely advocated by the World Futures Council to members of parliament from around the world at a hearing in Amboseli in Kenya, which I attended", said Rabinowitz in a press release.

For more on the Rabinowitz's press release see Feed In Tariff for Renewable Energy, Private Members' Bill.

_________________________________________________________________________________________________
This news update is partially supported by the Jan & David Blittersdorf Foundation in cooperation with the Institute for Local Self Reliance, and the Sierra Club's Smart Energy Solutions Fund. The views expressed are those of Paul Gipe and are not necessarily those of the sponsors.
_________________________________________________________________________________________________
Paul Gipe
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org

#123

From: "Craig Lewis" <craigermp@...>
Date: Sat Nov 15, 2008 6:13 pm
Subject: FW: ENERGYPOLICY-LIST: Staff Workshop: Renewable Energy "Feed-In" Tariffs

craigermp

-----Original Message-----
From: Energy Commission [mailto:listenergia@...]
Sent: Friday, November 14, 2008 4:07 PM
To: ENERGYPOLICY@...
Subject: ENERGYPOLICY-LIST: Staff Workshop: Renewable Energy "Feed-In"
Tariffs

Notice of Staff Workshop:
Renewable Energy "Feed-In" Tariffs

The California Energy Commission's (Energy Commission) Renewable Energy
Office will conduct a staff workshop regarding a recommended policy path
for expanded feed-in tariffs in California. This workshop will highlight
the changes made to the draft consultant report, "California Feed-in
Tariff Design and Policy Options," CEC-300-2008-009-D2.

The workshop will be held:

MONDAY, DECEMBER 1, 2008
10 a.m.
CALIFORNIA ENERGY COMMISSION
1516 Ninth Street
First Floor, Hearing Room A
Sacramento, California
(Wheelchair Accessible)

Two Energy Commission Committees oversee the work on this subject: the
Renewables Committee with Commissioner Karen Douglas as Presiding Member
and Chairman Jackalyne Pfannenstiel as Associate Member; and the
Integrated Energy Policy Report (IEPR) Committee with Commissioner
Jeffrey D. Byron as Presiding Member and Chairman Jackalyne Pfannenstiel
as Associate Member. These Commissioners may attend and participate in
the workshop. Commissioners and staff from the California Public
Utilities Commission (CPUC) may also attend and participate.

Audio from this meeting will be broadcast over the Internet. WebEx will
also be available

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#124

From: Paul Gipe <pgipe@...>
Date: Mon Nov 17, 2008 5:52 pm
Subject: EDF's Eberhardt: Gainesville (Florida) Feed-in Tariffs To Emulate German Success

paulbgipe

Kellyn Eberhardt, EDF: Innovation in Gainesville

http://www.gainesville.com/article/20081116/OPINION03/811161012/-1/OPINION?Title=Kellyn_Eberhardt__Innovation_in_Gainesville

By Kellyn Eberhardt
Special to The Gainesville Sun

Published: Sunday, November 16, 2008 at 6:01 a.m.
Last Modified: Saturday, November 15, 2008 at 11:42 p.m.

On October 13, the Gainesville City Commission did something historic to address Florida's energy and economic crisis.

For the first time in North America, in cooperation with a local municipal electric association, the commission took a substantial first step to enact a policy that will create jobs, increase our energy independence and security, provide substantial investment in clean, sustainable energy and reduce harmful greenhouse gas emissions.

Renewable Energy Payments (REPs), also referred to as feed-in tariffs, were the subject of the workshop. While new to the U.S., REPs have been responsible for 50 percent of the growth of global renewable energy production (70 percent in solar).

REPs are used to develop the essential investment needed to ramp-up renewable energy development on a large scale. REPs are effective standing alone or when used as complimentary policy tool to other renewable policies, whether at the local or state level.

In Florida, REPs will provide a much more efficient, cost-effective mechanism to rapidly deploy renewable technologies under the state's Renewable Portfolio Standard than the current Renewable Energy Credits (RECs) plan.

To embrace REPs as a solution to our many energy needs is to encourage investment in new, clean energy and is a bold statement of leadership worth our hearty congratulations and support.

In 1993, the city of Aachen, Germany, was the first to enact the renewable energy policy Gainesville is considering. The policy achieved large scale deployment of renewable energy at very low costs compared to other policies to deploy renewables. During the 1990s, the policy spread from municipality to municipality in Germany, and is now implemented in 45 countries and gaining momentum in the United States.

In practice, REPs put a legal obligation on utility companies (in this case Gainesville Regional Utilities) to purchase electricity from renewable energy producers at a fair rate of return. The rate is guaranteed over a long period of time, usually 20 years.

The long-term nature of the purchase contract makes the installation of renewable energy systems a worthwhile and secure investment. Thus, an individual or business that wants to put solar PV on their roof can go to a bank to obtain financing with a contract in-hand guaranteeing them a fair price that the utility must pay for producing energy with their new system.

REPs drive price setting down so that over time, renewable energy prices decrease to grid parity with conventional fossil fuels. This drives competitiveness among manufacturers and in turn, creates economies of scale and reduces the overall cost to both producers and consumers.

Given Florida's statewide economic challenges and the increased awareness of our tenuous energy availability, the time is ripe for REPs.

About 98 percent of Florida's fuel for energy is imported, leaving us vulnerable to highly volatile global energy markets. This policy originated in Germany not as a strategy to combat environmental concerns, but as a way to protect national interests from Russian Prime Minister Putin, who showed a willingness to use natural gas as a geopolitical weapon. Sounds familiar doesn't it?

Florida too is shackled to the vagaries of the natural gas market. Let's respond by jump-starting our own clean energy future and stop the unconscionable transfer of wealth that T. Boone Pickens is talking about.

This policy solution not only goes a long way to reduce our dependence on fossil fuels, but it helps achieve Governor Crist's greenhouse gas pollution reduction target, bolsters green economic development goals and creates the jobs that we so desperately need.

The Gainesville city commissioners are moving forward to implement a REPs policy and in turn, they will stimulate renewable interest among all types of participants: from individuals, to businesses, to schools, churches and hospitals. Everyone can participate! Furthermore, by creating interest in renewable energy production, whether on a large or small scale, the market will grow and with that comes the jobs and profits that will strengthen our economy.

In less than ten years, this policy created approximately 300,000 green jobs in Germany, including 50,000 in the solar industry alone. This can be a reality for Florida too and the City of Gainesville is leading the charge.

Whether the issue is energy independence, climate change or economic growth, the Gainesville City Commission is poised to enact a policy that helps address all of the above. Environmental Defense Fund encourages all the municipal electric associations in Florida to follow Gainesville's example and push for REPs to be implemented statewide.

Kellyn Eberhardt is Florida Climate Project Associate for the Environmental Defense Fund, in Sarasota.

_________________________________________________________________________________________________
This news update is partially supported by the Jan & David Blittersdorf Foundation in cooperation with the Institute for Local Self Reliance, and the Sierra Club's Smart Energy Solutions Fund. The views expressed are those of Paul Gipe and are not necessarily those of the sponsors.
_________________________________________________________________________________________________
Paul Gipe
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org

#125

From: Paul Gipe <pgipe@...>
Date: Tue Nov 18, 2008 7:40 pm
Subject: Higher Solar Feed-in Tariffs Part of Aggressive New French PV Program

paulbgipe

Higher Solar Feed-in Tariffs Part of Aggressive New French PV Program

http://www.wind-works.org/FeedLaws/France/HigherSolarFeed-inTariffsPartofAggressiveNewFrenchPVProgram.html

November 17, 2008

The French Minister for Energy and the Environment announced Monday that the government was launching an aggressive new program to propel the country to the forefront of solar energy development.

The announcement by Minister Jean-Louis Borloo was made at the annual Grenelle meeting of French environmental stakeholders. Minister Borloo outlined 50 actions the Sarkozy government would take to substantially increase the role of renewable energy in France.

As part of its commitment to the European Union, Borloo said that France will supply 23% of its energy with renewables by 2020.

Most dramatically, Borloo said that France intends to become one of the world's leaders in the development of solar photovoltaic technology and will increase the supply of solar-generated electricity 400 times by 2020.

To do that, France will create a new tariff category for commercial buildings of �0.45/kWh ($0.57 USD/kWh). This is intended to aid businesses, factories, and farmers to take profitable advantage of their large rooftops. As a measure of the government's seriousness, there will be no limit on the size of commercial rooftop projects that qualify for the tariff. For comparison, the French commercial tariff for 2009 is higher than that for Germany, the current world leader in solar PV development.

France has been a solar energy laggard in Europe. By mid 2008 there was only 18 MW of solar PV installed on the mainland. (France still maintains several overseas territories.) However, changes to the country's system of Advanced Renewable Tariffs (Tarife Equitable) in 2006 resulted in a flood of new projects. There is a huge backlog of some 12,000 systems representing 400 MW that are awaiting connection.

The government attributes the rapid growth to changes made to the tariffs for solar PV in 2006 when the government doubled the base feed-in tariff from �0.15 to �0.30 /kWh, the addition of another �0.25 /kWh for fa�ade cladding, and the inclusion of a 50% tax credit for residential installations.

The residential market accounts for 40% of French installations. The typical project is about 3 kW.

Even with the backlog, France's development of solar PV is well behind Germany, Spain, and Italy and Borloo wants to change that.

The objective, Borloo said, is to install 5,400 MW by 2020, an increase of 400 times that of present installations.

There will be no change to the base tariff of �0.30/kWh ($0.38 USD/kWh) for ground-mounted projects and France continue the �0.55/kWh ($0.70 USD/kWh) tariff for building integrated systems.

Borloo suggested that France may also apply a feed-in tariff to concentrating solar power stations.

These tariffs will remain in effect until 2012 when they will be revisited as part of the normal review process.

To simplify interconnection of solar PV and reduce future backlogs with the quasi privatized state utility, Electricit� de France, the government will implement an internet registration process for projects up to 450 kW.

Small solar PV systems less than 3 kW will also be exempted from certain taxes and fees as well.

Tariffs for wind energy will remain the same, though wind projects will have to undergo new siting requirements.

_________________________________________________________________________________________________
This news update is partially supported by the Jan & David Blittersdorf Foundation in cooperation with the Institute for Local Self Reliance, and the Sierra Club's Smart Energy Solutions Fund. The views expressed are those of Paul Gipe and are not necessarily those of the sponsors.
_________________________________________________________________________________________________
Paul Gipe
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org

#126

From: "Michael Hoexter" <michael.terraverde@...>
Date: Wed Nov 19, 2008 5:20 am
Subject: Financing the Repower America Plan as a Green New Deal...Yes, We Can (Actually Do It)!

mfh303

I'm very happy that the We Campaign and Al Gore are pushing the Repower America plan at this crucial time. Repower America, in my opinion, homes in on the quickest workable path to a 100% clean electricity sector within a short period of time.

Missing from the public statements are the methods by which we can achieve what admittedly is a very ambitious goal: 100% clean electricity in the US within 10 years. We are not moving rapidly in this direction now...so what would have to change?

I try to come up with some of the answers in this blog post:

http://terraverde.wordpress.com/2008/11/18/repower

To summarize it all comes down to the value that we place on energy and the future.

Please comment or let me know what you think.

All the best,

Michael
--
Michael Hoexter
Terraverde - Energizing Green Marketsll
Belmont, CA 94002

Blog: www.greenthoughts.us
Tel: (650)274-9360
Fax (650)649-1788

#127

From: Paul Gipe <pgipe@...>
Date: Wed Nov 19, 2008 9:15 pm
Subject: New York SEIA Calls for Feed-in Tariffs

paulbgipe

New York SEIA Calls for Feed-in Tariffs

November 19, 2008

New York State's Solar Energy Industries Association has called on the state to introduce feed-in tariffs for solar photovoltaic systems. The recommendation by NYSEIA is the third by a state solar industry association within the past year. Previously, Florida SEIA and CalSEIA have also called for feed-in tariffs.

The testimony by the solar association was filed with the New York State Public Service Commission (PSC) under the State's Administrative Procedures Act (SAPA). The SAPA docket was on implementing the solar portion of the state's Renewable Portfolio Standard.

The trade group called on the PSC to transform the state's current solar rebate program to a "performance-based system known as a feed-in tariff (FIT)." The feed-in tariff could solve many of the issues the SAPA hearing was called to discuss, said NYSEIA. Most importantly, the association continued, feed-in tariffs have been successful in Germany by allowing banks to collateralize the payment stream, ensuring access to capital.

Specifically, the association said that the feed-in tariffs should be implemented gradually rather than all at once. For example, consumers could be offered a choice between the two programs, allowing the market time to adjust.

There should be no project caps in the new program subject to the limits of the interconnection, testified NYSEIA.

NYSEIA also called on the PSC to set a minimum solar PV target of 2,000 MW and suggested that a target of 6,000 MW by 2020 could propel the state to the forefront of solar development not only in the United States but the world. The association argued that solar PV on just 0.5% of the land area could provide all the electricity consumed in the state.

The association said that the rapid, large-scale development of solar PV with feed-in tariffs would drive down the cost of utility service for all customer classes while making the state a leader in job creation.

Unlike NYSEIA's emphasis only on solar, FlaSEIA and CalSEIA have both proposed full systems of Advanced Renewable Tariffs that specify feed-in tariffs for all forms of renewable energy. CalSEIA supported SB 1714 which called for feed-in tariffs for renewable projects less than 20 MW in size. It was ultimately withdrawn at the request of the sponsors just prior to final passage.

NYSEIA Comments_03E0188SA-18-19.pdf

-End-

#128

From: Paul Gipe <pgipe@...>
Date: Fri Nov 28, 2008 5:22 pm
Subject: British Feed-in Tariff Policy Becomes Law--Was Once Unthinkable

paulbgipe

British Feed-in Tariff Policy Becomes Law--Was Once Unthinkable

November 28, 2008

By Paul Gipe

The Queen gave her "royal assent" to Britain's long-debated Energy Bill on November 26, 2008, putting into law Britain's commitment to dramatically cut its greenhouse gas emissions.

The Energy Bill also contained provisions calling on Gordon Brown's Labour government to implement a system of feed-in tariffs for small renewable energy producers by 2010.

The feed-in tariff provisions were once unthinkable in the British political landscape. They said it "couldn't be done" is how British campaigners described the remarkable success.

Since Margaret Thatcher, Britain has relied on a series of call for tenders and eventually a complex quota system to build a modest wind energy industry dominated by the word's largest electric utilities. There was little more than token support for small-scale renewables through traditional subsidy programs under successive Conservative and Labour governments.

Meanwhile on the continent, renewables were booming, first in Denmark, then in Germany, France, and Spain through the use of innovative systems of feed-in tariffs. These systems of Advanced Renewable Tariffs spurred growth of a variety of renewable energy technologies at all scales. In Germany, a large percentage of solar and wind energy are being developed by homeowners, farmers, and small investors.

The feed-in tariff provisions of Britain's Energy Bill are modest in comparison to those in other countries. In contrast to continental European policies, projects are limited to no more than 5 MW. There are no project size limits in Germany, for example. Nor does the Energy Bill contain the specific provisions or prices that are part of such acts in France and Germany. Specific provisions will be determined administratively in 2009.

The Energy Bill leaves in place Britain's existing Renewable Obligation Certificate trading program for larger projects. The two programs, the Renewable Obligation and the feed-in tariff system, will operate in parallel.

There was cross party agreement on amendments to the bill that included the essential elements of any successful feed-in tariff policy. For example, there was an amendment that called for different tariffs for different renewable energy technologies a key feature of the policies in Germany, France, and Spain. The cross party agreement included both the Conservatives and the Liberal Democrats.

The campaign for the Energy Bill was led by Friends of the Earth (UK) and Britain's Renewable Energy Association.

According to FOE campaigner David Timm, the Labour government now appears committed to introducing a true system of feed-in tariffs by the end of 2010.

Alan Simpson, Labour MP, led debate in the House of Commons, taking issue not only with expected opposition to feed-in tariffs from electric utilities but also from the renewable energy industry itself. "On the record, many of the big energy suppliers have been fighting tooth and claw to prevent us from doing anything as bold and imaginative as we are doing. The Association of Electricity Producers had lobbied for a threshold of 50 kW. The British Wind Energy Association lobbied, until the last moment, for a threshold of 500 kW. Such demands would preclude the opportunity to develop genuine, transformational renewable energy systems on a community, town or city scale. The Secretary of State should be praised for his determination and willingness to push the boat out much further than many of those vested interests would have felt comfortable with."

Observers noted that no one rose in Commons to oppose final passage.

Conservative Party leaders put the ruling Labour Party on notice that if the feed-in tariff provisions didn't pass, they would support the policy in a subsequent Conservative Government.

Previously, Gordon Brown suffered an embarrassing back-bench revolt over the issue from his own party members.

The move by the British government has far reaching ramifications. The English speaking world has been more resistant to feed-in tariffs than non-English speaking countries, sometimes on ideological grounds, sometimes simply out of ignorance. Many North Americans, for example, attribute continental Europe's success with renewable energy to renewable portfolio standards, which is not the case.

Now that the British have clearly moved toward the camp favoring feed-in tariffs, there may be less reticence to do so elsewhere in the Anglophone world.

Friends of the Earth: press release
Feed-in Tariffs in Britain: Ideological Breakthrough
Britain's Renewable Energy Association urges the government to adopt feed-in tariffs
Friends of the Earth Calls for British Feed-in Tariffs to meet Britain's Renewables target (2008)

-End-

#129

From: Paul Gipe <pgipe@...>
Date: Sun Nov 30, 2008 8:59 pm
Subject: Continent's Largest Municipal Utility Proposes Solar Feed-in Tariff

paulbgipe

Continent's Largest Municipal Utility Proposes Solar Feed-in Tariff

November 30, 2008

By Paul Gipe

Los Angeles Mayor Antonio Villaraigosa announced to much fanfare on November 24 that the city's municipal utility would launch one of the continent's largest solar power programs.

The mayor's plan would direct the city's municipal utility, the Los Angeles Department of Water and Power (LADWP), to build or purchase 1,300 MW of solar energy by 2020.

Among provisions of the plan is a feed-in tariff for 150 MW of solar photovoltaics by 2016. This is the first official announcement of a feed-in tariff proposal by a California city, but it is not the first in the United States.

Gainesville, Florida previously announced that it was formally considering a feed-in tariff to replace its solar rebate program.

Recently, the Palm Springs Desert Sun reported that Palm Desert, California was also considering solar feed-in tariffs after city officials toured Spain, one of the world's leading developers of solar energy. Spain uses feed-in tariffs.

LADWP is the continent's largest municipal utility. It was briefly at the forefront of solar energy development in California from 1999 to 2003, before inexplicably abandoning its program.

The city and LADWP provided no details on the solar feed-in tariff or on the other renewable energy proposals that were part of the mayor's press release. There were no further details on LADWP's web site. Photos of wind turbines on the web site were standard stock photos and all were of wind turbines outside the utility's service area.

LADWP claims that 8.5% of its electricity currently comes from renewables and that the utility is on track to meet its 20% target by 2010. The last report on the utility's web site about its renewable energy program, however, is dated 2003, the year the utility canceled its successful solar program.

Los Angeles' 120 MW Pine Tree wind project is slated to come on line in 2009. The project also is outside of the Los Angeles Basin, just north of the Tehachapi Wind Resource Area.

Interestingly, it was a municipal utility that launched the modern version of Germany's famed feed-in tariffs. Aachen introduced the first solar-specific feed-in tariff in the mid-1990s. Subsequently other German cities followed suit. In 2000 Germany's parliament incorporated the concept behind Aachen's policy in its groundbreaking system of Advanced Renewable Tariffs.

Municipal utilities in the Americas may be able to emulate Aachen and be the first to launch true feed-in tariffs. Because municipal utilities are governed by city officials, they can be more responsive to public demands for action on renewable energy than the often more distant state or provincial legislatures.

Toronto Hydro, North America's second largest and Canada's largest municipal utility, briefly considered a solar PV feed-in tariff in 2007, but took no action. The proposal before Toronto Hydro employed a differentiated feed-in tariff that was intended to work with the province of Ontario's Standard Offer Contract Program.

The proposal of Gainesville Regional Utilities (GRU) is the most advanced in the United States. GRU's commission has ordered preparation of a tariff.

In contrast to Gainesville's approach, LADWP made public little or no information on the details of its proposal. GRU prepared a detailed report which it presented to Gainesville's utility commission when the utility went public with its proposal.

Los Angeles incorporates Hollywood within its city boundaries and there's always an element of showmanship in its pronouncements. The city's proposal is aggressive, more than one-third of the California Solar Initiative's 3,000 MW of solar PV, if it is more than simply aspirational.

The portion of the plan devoted to a feed-in tariff is about one-tenth of the entire program. Countries that have been the most successful at rapidly developing renewable energy (Germany, France, and Spain) use feed-in tariffs as the principal if not only policy mechanism.

Despite the uncritical media accounts of the "world's most ambitious solar plan," attention has focused not only on the targets, but also on the various mechanisms that may be used to reach those targets, including feed-in tariffs.

Regardless of how or even whether it follows through, Los Angeles, as one of North America's largest cities, has put feed-in tariffs, at least for solar, on the continent's public policy map.

Los Angeles Solar Plan Press Release
The Los Angeles Solar Plan
Palm Desert officials leave on solar trip to Spain: Ferguson and Conlon want to bring feed-in tariff to California (Desert Sun)
Gainesville Regional Utilities Proposes Solar Feed-in Tariff (Gainesville Sun)
Gainesville Regional Utilities Solar Feed-in Tariff Presentation
Gainesville Solar Rate Proposal 10-13-08 Final.doc
The Aachen Solar Tariff Model
TREC's Proposed Toronto Hydro Solar Initiative

#130

From: "Craig Lewis" <craigermp@...>
Date: Fri Dec 5, 2008 5:17 am
Subject: Fwd: CEC recommends a 20MW FIT for immediate implementation

craigermp

FYI...FITs are on their way in the USA...

Craig

---------- Forwarded message ----------
From: Craig Lewis <craig.lewis@...>
Date: Thu, Dec 4, 2008 at 5:27 PM
Subject: CEC recommends a 20MW FIT for immediate implementation

All,

On Monday, the California Energy Commission (CEC) formally recommended that a Feed-In Tariff (FIT) for 20MW-and-under renewable energy projects be implemented in California. See the attached two-slide .pdf for the official CEC overview. Note that the recommended FIT will have pricing that is both technology-differentiated and cost-based; like the European FITs.

While GreenVolts has been leading the effort to date for an effective FIT in California, the coalition has been growing quickly and now includes CalSEIA, CEERT, Solar Alliance, Vote Solar, and many NGO and corporate entities.

The CEC recommendation is a huge win for FITs and I expect that a FIT will be implemented and online in California by 1 Jan 2010. A national FIT is next and the time is now to make sure that SEIA and other national solar leaders are promoting FITs accordingly. FITs have proven themselves to be, by far, the most effective policy mechanism in the world for getting renewables online; especially solar!!!

Cheers,

Craig Lewis
VP of Government Relations
GreenVolts, Inc.
50 First St, Suite 507
San Francisco, CA 94105
415-963-4249 office
650-796-2353 mobile
craig.lewis@...
www.greenvolts.com

#131

From: Paul Gipe <pgipe@...>
Date: Tue Dec 9, 2008 2:41 pm
Subject: Primers on FITS, ARTS, and REPS

paulbgipe

I've posted a series of primers (one page and longer) at Primers on Feed-in Tariffs, Advanced Renewable Tariffs, & Renewable Energy Payments .

On this page you can find the following content. Note there's a generic ppt that can be used without attribution. You can substitute your preferred terminology. Also note that these evolve as time permits.

Paul

Primers on Feed-in Tariffs, Advanced Renewable Tariffs, & Renewable Energy Payments

December 7, 2008

The following primers are intended as background for understanding what feed-in tariffs are, how they work, and why they are important. There are several documents by Paul Gipe. These can be downloaded and used without attribution. There are also several documents by other authors that are provided here as a courtesy to those trying to learn more about feed-in tariffs.

Documents for Unrestricted Use

Feed In Tariff Primer 250 words.doc
Feed-in Tariffs What are They.doc: One page document.
Advanced Renewable Tariffs What Are They.doc: One page document.
Advanced Renewable Tariffs for North America.doc: One page document.
Feed-in Tariffs Frequently Asked Questions.doc: Nine page document.
Feed-in Tariff Primer.ppt: A powerpoint presentation that describes feed-in tariffs and explains what they are and where they are being used.

Other Primers on Feed-in Tariffs

Minnesota Feed-in Tariff Could Lower Costs, Boost Renewables, and Expand Local Ownership: A policy brief by John Farrell of the Institute for Local Self Reliance is part of a grassroots movement of NGOs in Minnesota to put feed-in tariffs on the state's policy agenda.
Pembina Institute Factsheet on Feed-in Tariffs
Pembina Institute Primer on Feed-in Tariffs
Citizen's Climate Lobby Quote from Representative Delahunt
Citizen's Climate Lobby on page summary
Renew Wisconsin Primer on Renewable Energy Producer Payments: Frequently Asked Questions

Paul Gipe
208 S. Green St., #5
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org
Wind Energy Basics (Revised), available spring 2009.

Reply | Messages in this Topic (2)

#132

From: "Michael Hoexter" <michael.terraverde@...>
Date: Fri Dec 12, 2008 7:50 pm
Subject: "Picking Winners" : Strategic Error or Key Strategy?

mfh303

After much fussing, I've finished the latest policy-related piece on "picking winners". (It's LONG, by the way.) Most often treated as a taboo in the last three decades, the notion that government selects certain technologies and projects should be reconsidered in light of both political and economic conditions and new demands for a cleaner energy system and for government intervention to prevent economic deterioration.

http://terraverde.wordpress.com/2008/12/12/pickingwinners/

The key in "picking winners" is our attitude towards and the quality of our (social and natural) science and engineering analyses. Without good science, high quality engineering and an expedient yet transparent decision making process, "picking winners" becomes a risky proposition. However, there are many factors that speak for an improved prescriptive approach to implementing some key technologies.

Take a look and please comment:

All the best,

Michael

--
Michael Hoexter
Terraverde - Energizing Green Markets
Belmont, CA 94002

Blog: www.greenthoughts.us
Tel: (650)274-9360
Fax (650)649-1788

#133

From: Paul Gipe <pgipe@...>
Date: Tue Dec 16, 2008 2:59 am
Subject: Example of LTE from collaborators at Citizen Climate Lobby

paulbgipe

Our friends at Citizen Climate Lobby are active.

Paul

Letters to the editor

December 14, 2008

In search of a FIT economy

Regarding �Half a million jobs cut in historic November� (A1, Nov. 6):

Our struggling economy and failing markets are leading to American job losses at a historic rate, and foreign companies continue to increase their market share in automobiles, technological innovation and general production of goods. An emerging market where we are also losing is the production of renewable energy. Germany, through its forward-thinking feed-in tariff, or FIT, policies, is becoming renewable energy's equivalent to Japanese automakers.

Now, Great Britain seems to be following suit and moving toward FITs. These policies provide guaranteed payment rates for energy produced from solar, wind or biomass that is produced safely, in-country, and doesn't release harmful climate-changing greenhouse gases. These forms of energy also create many times more jobs than the fossil fuel sector. San Diego has the space, the sun and the wind to become a leader in a new green-collar economy. Plus, we could really use the jobs. A FIT policy might be just what we need to get over the hump and start this process. Let's not let this opportunity pass us by.

GRANT GALLAND
San Diego

Paul Gipe
208 S. Green St., #5
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org
Wind Energy Basics (Revised), available spring 2009.

#134

From: Bob Tregilus <lakeport104@...>
Date: Wed Dec 17, 2008 6:19 pm
Subject: Re: Primers on FITS, ARTS, and REPS

elaterite1

Hi Paul et al -

First, thanks for all the great as well as useful documentation on global FITs, it's outstanding!

I've been nosing around the interent wondering if the National Association of Regulatory Utility Commissioners or any state PUCs have ever issued a resolution supportive of feed-in laws. Are you aware of any Paul? Anyone else?

Thanks!

Be well,
Bob Tregilus
Co-chair -
Alternative Transportation Club &
Electric Auto Association of Northern Nevada
http://ElectricNevada.org
775 826-4514

---

--- On Tue, 12/9/08, Paul Gipe <i><pgipe@...> wrote:

From: Paul Gipe <pgipe@...>
Subject: [calfit] Primers on FITS, ARTS, and REPS
To: calfit@yahoogroups.com
Date: Tuesday, December 9, 2008, 6:41 AM

I've posted a series of primers (one page and longer) at Primers on Feed-in Tariffs, Advanced Renewable Tariffs, & Renewable Energy Payments .

On this page you can find the following content. Note there's a generic ppt that can be used without attribution. You can substitute your preferred terminology. Also note that these evolve as time permits.

Paul

Primers on Feed-in Tariffs, Advanced Renewable Tariffs, & Renewable Energy Payments
December 7, 2008

The following primers are intended as background for understanding what feed-in tariffs are, how they work, and why they are important. There are several documents by Paul Gipe. These can be downloaded and used without attribution. There are also several documents by other authors that are provided here as a courtesy to those trying to learn more about feed-in tariffs.

Documents for Unrestricted Use

Feed In Tariff Primer 250 words.doc
Feed-in Tariffs What are They.doc: One page document.
Advanced Renewable Tariffs What Are They.doc: One page document.
Advanced Renewable Tariffs for North America.doc: One page document.
Feed-in Tariffs Frequently Asked Questions.doc: Nine page document.
Feed-in Tariff Primer.ppt: A powerpoint presentation that describes feed-in tariffs and explains what they are and where they are being used.

Other Primers on Feed-in Tariffs

Minnesota Feed-in Tariff Could Lower Costs, Boost Renewables, and Expand Local Ownership: A policy brief by John Farrell of the Institute for Local Self Reliance is part of a grassroots movement of NGOs in Minnesota to put feed-in tariffs on the state's policy agenda.
Pembina Institute Factsheet on Feed-in Tariffs
Pembina Institute Primer on Feed-in Tariffs
Citizen's Climate Lobby Quote from Representative Delahunt
Citizen's Climate Lobby on page summary
Renew Wisconsin Primer on Renewable Energy Producer Payments: Frequently Asked Questions

Paul Gipe
208 S. Green St., #5
Tehachapi CA 93561-1741 USA
661 325 9590, 661 472 1657 mobile
pgipe@..., www.wind-works.org
Wind Energy Basics (Revised), available spring 2009.

Reply | Messages in this Topic (2)

#135

From: "Michael Hoexter" <michael.terraverde@...>
Date: Mon Dec 22, 2008 8:47 pm
Subject: A Post-Carbon "Decision Space": Tool for Better Technology Choices

mfh303

In many contexts now, there are arguments going on about which paths we should go down to mitigate carbon emissions. Some feel that simply instituting a carbon price, in some form, will obviate the need for other policy instruments. I have pointed out in recent posts that a carbon price alone will be insufficient to set up a framework, an infrastructure for a society that will allow us to achieve carbon neutrality or negativity in the timeframes we are discussing. Even within or alongside a carbon pricing regime, decision-makers will need to make intelligent decisions based on science and engineering about which path to go down, including considerations of issues beyond gross or net carbon emissions, i.e. long-term viability.

For a climate mitigation technology workshop convened in November by the climatologist Jim Hansen (see, by the way, his latest AGU presentation on the "Venus Syndrome"), I tried to formulate a disciplined method by which decision-makers can approach and compare technologies along a number of relevant dimensions including finance, efficacy as climate protection, efficacy as an energy source, systemic vulnerabilities and risks, and continuity with existing social and economic institutions. My intention was to encourage research and consultation before decisions are made that will impact us and generations to come. We have run into problems recently with "gut-level" decision making that ignores our best science and engineering.

My latest post elaborates on the reasons for and uses of a post-carbon decision space tool and what it might look like in outline.

http://terraverde.wordpress.com/2008/12/22/decisionspace/

I also point out the important work of Mark Jacobson which is a key "map" within the post-carbon decision space, in this case in comparing alternatives to replace petroleum with non or low-carbon alternatives.

Comments and criticisms welcome!

Michael
--
Michael Hoexter
Terraverde - Energizing Green Markets
Belmont, CA 94002

Blog: www.greenthoughts.us
Tel: (650)274-9360
Fax (650)649-1788

#136

From: "Michael Hoexter" <michael.terraverde@...>
Date: Mon Dec 22, 2008 9:07 pm
Subject: Correction in Email: Link to Mark Jacobson's studies

mfh303

The link in my last email to Mark Jacobson's work didn't work.

Here is his Stanford main webpage:

http://www.stanford.edu/group/efmh/jacobson/

Here are links to some of his work on the comparative environmental impacts of different replacements to petroleum for onroad vehicles:

http://www.stanford.edu/group/efmh/jacobson/revsolglobwarmairpol.htm

Worth a look!

--
Michael Hoexter
Terraverde - Energizing Green Markets
Belmont, CA 94002

Blog: www.greenthoughts.us
Tel: (650)274-9360
Fax (650)649-1788

#137

From: Bob Tregilus <lakeport104@...>
Date: Tue Dec 23, 2008 9:42 pm
Subject: FITs in Nevada, USA

elaterite1

Hi everyone -

I represent an electric car club in Nevada (USA). I'm also a seasoned community
organizer.

I've decided to move forward with a campaign to pass a FIT law in Nevada.

I've already completed a lot of scoping with various high profile folks in
Nevada regarding the likelihood of successfully passing FITs legislation. I
believe there is the political will, there is a clear and overwhelming demand
for renewables in Nevada, there is a willingness to pay for renewables according
to recent polling data in Nevada - and all we need now is a stable policy.

Below (and attached - REPs_Res.doc) is a draft resolution that I hope you (the
experts) will be willing to vet for me before I take it to influential folks in
my state.

My plan is this: use the resolution as a means to build a diverse and vast
coalition of supporters. In the meantime I'll be working behind the scenes
getting a FIT bill (attached - NV_Reps_Jobs_Act.doc) amended to an existing
renewable energy bill draft to be introduced in our next legislative session in
February. I'm calling my bill, the Nevada Renewable Energy Payments and Jobs
Creation Act. It's pretty much the same bill introduced in Michigan in 2007.

So, while I value any and all advice on this campaign, I'm mostly looking for
editing and corrections on the resolution at this time.

Thanks for your time! Oh, and feel free to lift my work and use it as you
please!

Be well,
Bob Tregilus
Co-chair -
Alternative Transportation Club &
Electric Auto Association of Northern Nevada
http://ElectricNevada.org
775 826-4514

---

A RESOLUTION

Relating to the Nevada Renewable Energy Payments And Jobs Creation Act which
will: accelerate the rapid deployment of distributed renewable energy generation
by allowing everyone equal access to the market; create of clean-tech jobs and
industries; stimulate Nevada's economy; displace the use of fossil fuels in
energy production; accomplish greenhouse gas emissions reductions; promote -
clean air, water preservation, the climate, energy security, and social justice;

BE IT RESOLVED BY THE ENDORSING INDIVIDUALS AND ORGANIZATIONS OF THIS
RESOLUTION:

WHEREAS energy security, climate change, a failing economy, as well as a
precipitous drop in employment rates are of paramount concern to all Nevadans;
and

WHEREAS Nevada currently imports more than half of its electricity; and

WHEREAS energy efficiency is maximized when it is consumed where it is produced;
and

WHEREAS NV Energy, as of 2005, failed to meet the renewable portfolio standards
(RPS) as codified in NRS 704.7801 - 704.7828, necessitating the state government
to adopt, that same year, AB 03 which increased the RPS and extended the
compliance deadline to 2015; and

WHEREAS the nationalization of a RPS quota system is eminent, even in the face
of clear and compelling evidence that such programs do not inspire investor
confidence and therefore are not nearly as equitable, efficacious, or effective
as feed-in laws; and

WHEREAS tax credits programs, while viable policy tools, especially for
development of large-scale renewable energy projects, are, by their nature,
inequitable allowing only those entities with sufficient tax liabilities to
participate in renewable energy production; additionally, such programs promote
diseconomies-of-scale by incentivizing centrally based electricity production as
opposed to distributed electricity generation that strengthens grid integrity
and optimizes efficiency at less cost to the consumer; and

WHEREAS on October 26, 2008 an AP headline declared "Solar developers passing on
Nevada despite potential" due to funding difficulties with large scale projects
and according to Morgan Stanley Vice President Edward Levin, "the sweet spot of
the [solar] market is one megawatt or less;" and

WHEREAS renewable energy resources abound in Nevada, in particular Nevadans
enjoy, on average, over 300 days of sunshine annually, and aggressive
development of such resources will contribute to energy independence,
demonstrate leadership in climate change mitigation and fossil fuel displacement
in energy generation, reverse the disastrous economic downturn by stimulating
the creation of new green-tech industries as well as tens of thousands of jobs;
and

WHEREAS without question feed-in laws which create renewable energy payments
(REPs) programs - at negligible cost to the consumer - are proven as the single
most successful and effective policy tool for accelerating renewable energy
market growth due to their stability, predictability and long term contracts
that allow everyone, from individual homeowners, to farmers, to small and large
businesses as well as large corporations entrance into the renewable energy
generation market - on an equal bases - and at no cost to government or the
utilities.

NOW, THEREFORE, BE IT RESOLVED that I/we, the undersigned, fully support the
renewable energy payments (REPs) program as described in the draft legislation,
the Nevada Renewable Energy Payments and Jobs Creation Act; and

BE IT FURTHER RESOLVED that I/we support other renewable energy initiatives such
as the solar and wind generations programs and believe there is no reason a REPs
program cannot not operate alongside existing incentives.

I/WE UNDERSTAND THAT USE OF MY/OUR NAME(S) AS ENTERED ON THIS RESOLUTION WILL BE
FOR PUBLIC USE DEMONSTRATING BROAD SUPPORT FOR A RENEWABLE ENERGY PAYMENTS AND
JOBS CREATION PROGRAM IN NEVADA.

I/WE ADOPT THIS RESOLUTION AND FULLY SUPPORT THE EFFORTS OF NEVADANS FOR
RENEWABLE ENERGY PAYMENTS AND JOBS CREATION, AN INITIATIVE PROGRAM OF THE
ALTERNATIVE TRANSPORTATION CLUB OF RENO, NEVADA, TO ADDRESS ENERGY SECURITY,
CLIMATE CHANGE, AND SMOOTH THE TRANSITION TO ELECTRIC TRANSPORTATION BY
INTELLIGENTLY INTERCONNECTING VEHICLES TO THE GRID THROUGH SUSTAINABLE
SMART-GARAGE TECHNOLOGIES.

SIGNATURE: __________________________________________


DATE: ________________________________________________


REPRESENTING: _______________________________________


POSITION: _____________________________________________

#138

From: "marc.strassman" <marc.strassman@...>
Date: Wed Dec 24, 2008 4:37 am
Subject: accessing and syndicating Etopia News

Dear Calfiters,

I just wanted to let you know that you can access over 60
remotely-recorded and on-site videos about climate change and the
effort to mitigate it through the rapid and universal deployment of
renewable energy systems in a new format from Blip.tv.

You can directly access this programming on the Etopia News home page
at www.etopianews.com and also on the Blip.tv site at
www.etopianewsnow.blip.tv.

Also, you can syndicate this programming on any web page by going to:

www.etopianewsnow.blip.tv/#syndicate.

Anything you can do to more widely disseminate this material, which
will incorporate new interviews and possibly other programs as they
are produced, would be greatly appreciated.

Regards,

Marc Strassman
reporter-producer
Etopia News
www.etopianews.com

#139

From: Bob Tregilus <lakeport104@...>
Date: Thu Dec 25, 2008 8:06 am
Subject: NV FITs resolution and bill

elaterite1