Staff-Posted

Colorado U.S. Senators Michael Bennet and Mark Udall and Colorado U.S. Representatives Diana DeGette, Ed Perlmutter, Jared Polis, Cory Gardner and Scott Tipton delivered a letter of support of the PTC Tuesday to the chairmen of the conference committee negotiating the extension of the payroll tax credit. The letter was delivered ahead of a meeting the committee will hold today.

In a letter to Sen. Max Baucus, chairman of the Senate Committee on Finance, and Rep. Dave Camp, chairman of the House Committee on Ways and Means, the bipartisan, bicameral group called for the payroll tax reduction package they are negotiating in conference to include the wind energy PTC, as well as a way to pay for the tax credit.

“The PTC has been very effective in facilitating new market penetration of wind energy and moving us toward a more diversified and cleaner energy portfolio,” the Senators and members of Congress wrote in the letter. “A delay in this extension would do enormous damage to that progress. Unless the wind PTC is renewed in the first quarter of this year, new wind energy development projects and the thousands of jobs associated with those projects are predicted to drop off precipitously after 2012.”

Colorado renewable energy leaders have called for an extension of the wind PTC.

“Manufacturing jobs are critical in America’s economic recovery. The expiration of the Production Tax Credit (PTC) would have a devastating impact on Colorado, affecting not only jobs and investment at our large wind manufacturers, but the many supply chain manufacturers that serve the wind industry,” said Tim Heaton and Lee Boughey, chairs of the Colorado Energy Coalition. “To provide the certainty that wind-energy companies need to create more jobs and investment in Colorado, the Colorado Energy Coalition endorses a three- to five-year extension of the PTC.”

“As the only economic development-focused clean technology organization in Colorado, the Colorado Cleantech Industry Association (CCIA) and its 200 members, strongly encourage Congress to extend the Wind Production Tax Credit (PTC).  Colorado is a good example of a state that has weathered the economic crisis reasonably well because of the jobs brought to the state by the wind technology and manufacturing industry,” said Christine Shapard, executive director of Colorado Cleantech Industry Association.

“We’ve seen job growth in smaller, component providers, as well as supply chain partners to the large manufacturers, indicating the breadth of the impact this industry has on the entire state.  If the United States wants to bring back its manufacturing base – in both small and large companies - the wind industry is one of the best places to start.  We urge Congress to extend the PTC to enable the continued growth of this important industry.”

Colorado is a wind energy leader, currently generating the third highest percentage of power from wind of any state in the nation. Colorado is home to several major wind energy developers and wind turbine manufacturing facilities, employing upwards of 6,000 workers statewide.

CLICK HERE for the full text of the letter.

By David Gold/GreenGoldBlog

In 2012, ARPA-e will receive $275 million, a 53% increase from the prior year with both the House and the Senate supporting significant funding for the agency’s third year of operations.

ARPA-e is modeled after the Defense Advanced Research Projects Agency (DARPA), which for over 50 years has funded early-stage research projects that show the potential to develop technologies that could yield disruptive advances for the military.  DARPA’s projects have resulted in major leaps including, but definitely not limited to, the Internet, stealth technology and the Global Positioning System.  Both agencies operate by soliciting proposals from companies, universities, and labs within broad thematic areas and select the most promising proposals for grant awards.

Readers of my blog know that I am not a big fan of some of the Administration’s cleantech efforts.  ARPA-e is at least one exception.  Authorized in the last year of the Bush Administration and initially funded through the Obama Administration’s American Recovery and Reinvestment Act (ARRA), the ARPA-e program may be one government program that can help seed the disruptive advances needed in our energy economy.

Why, given the negative publicity around government funding for cleantech projects, has ARPA-e been able to win bipartisan support?

Focus on Early Stage R&D

Government-funded R&D has long been an area of bipartisan support.  Most members of Congress believe (as do I) that the government has a role in funding early-stage research and innovation in areas of public interest where the private sector is unable to economically justify conducting such R&D given the high degree of risk. Unlike the DOE loan program that funded Solyndra’s factories, the purpose of the ARPA-e grants are to fund high-risk, high-reward R&D projects that industry alone cannot support, but whose success could dramatically benefit the nation.

Grants (of Reasonable Size) Not Investments (of Enormous Size)

The bulk of the Administration’s cleantech investments were funded through the ARRA including the initial funding for ARPA-e.  Since ARRA’s purpose was to stimulate the economy, government agencies, including DOE needed to get funds out the door as quickly as possible (unfortunately this failed).  That led to many extremely large awards of both grants and loan guarantees. Just a few high profile examples — $527 million to Solyndra (bankrupt), $465 million to Tesla, $249 million to A123, $76 million to Range Fuels (bankrupt), $43 million to Beacon Power (bankrupt) and $25 million to Amyris.  Some of these awards were grants; others were loans where the government hoped to get a return on its investment.

Unlike many other programs handing money out for cleantech related efforts, ARPA-e’s awards have all been grants made with the clear understanding that they are for high-risk R&D that often will not work out.  In no case is there an expectation of a financial return to the government.   Anytime a government program expects to make a return on investment it is, in my opinion, likely to fail both because the government is inherently flawed at making good business decisions and because politics usually won’t allow for even a single failed investment.

ARPA-e grants to date have averaged $2.9 million and have gone to 180 different projects.  As a result, ARPA-e largely avoids the minefield of government trying to play businessman as well as the negative PR fall-out from large project failures.  In addition, while politics can play a role in any grant process, the smaller the awards the less potential for political influence to outweigh project merit.

Energy Independence & Global Warming

ARPA-e’s guiding legislative mandate is to enhance the economic and energy security of the United States through the development of technologies that reduce energy imports, reduce energy-related emissions including greenhouse gases, and improve energy efficiency in all economic sectors.  By combining the goal of energy independence with reduced greenhouse gas emissions the program is able to appeal to a much broader array of elected officials.  If the program only focused on reducing greenhouse gases, I strongly suspect there would be much less support from Republicans. By avoiding the polarizing nature of focusing only on global warming or only on energy independence, ARPA-e is able to appeal to a broad audience.

One of the best ways to help solve our energy challenges is through disruptive energy technologies.  If ARPA-e can deliver for energy technology even close to how well DARPA has delivered for defense technologies it will ultimately have a large impact on the economy, energy security and the environment.  To achieve this, ARPA-e must remain nimble and avoid being sucked into the massive DOE bureaucracy.  If it is able to do so, I suspect it will continue to have bipartisan support and will be a long-term shining star in the Administration’s cleantech efforts.

(Note:  ARPA-e will hold their annual Innovation Summit February 27-29)

David Gold heads up cleantech investments for Access Venture Partners (www.accessvp.com) and is a
periodic contributor to Colorado Energy News.  This article is republished with permission from the GreenGoldBlog.

Point of use, distributed “rooftop” solar generation (”DG”) is by far the fastest, cheapest and most democratic path to a renewable energy future, according to Smith and she offers three simple actions you can take today:

The irrefutable power of DG can be seen by the extraordinary gains make in Europe at the end of 2011.  Together, Germany, UK, Belgium, France, Spain and Greece installed 1.21 GW (1,210 MW) of residential rooftop solar in fourth quarter 2011 and 3.66 GW (3,660 MW) of commercial rooftop (more details below).  In contrast, the entire United States only installed 1.7 GW (1,700 MW) in all of 2011.

The obvious question is this:  What is keeping the US from making the same gains in renewable energy?

Europe’s success is due largely to Feed-in-Tariff (FIT) incentives, a policy that originated in the US in the 1970’s, but has since been opposed by investor-owned utilities, conventional
energy interests and legislators looking out for their interests.

1. JOIN the Solar Done Right Call to Action for Energy Democracy by signing the petition to send a message to political leaders and decision-makers that we need better policies for local, democratic, distributed generation, including the adoption of Feed-in Tariffs.

Read more about the Call to Action for Energy Democracy here. Or, go directly to sign the petition here.

2. TELL the Federal Housing Finance Agency to restore Property Assessed Clean Energy (PACE) programs:

Learn more about Feed-in Tariffs here or on our policy page above.

You may submit your comments (Deadline, March 26, 2012) by:
Email to: Alfred M. Pollard, General Counsel RegComments@fhfa.gov
Include “RIN 2590-AA53” in the subject line of the message.

Snail mail to:

Alfred M. Pollard
General Counsel
Attention: Comments/RIN 2590-AA53,
Federal Housing Finance Agency
Eighth Floor, 400 Seventh Street SW.
Washington, DC 20024

For more information contact: Alfred M. Pollard, General Counsel, (202) 649-3050 (not a toll-free number).

3. SHARE this post with everyone you know who is also concerned about the stranglehold old energy interests have on renewable energy progress in the US. 

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These three projects will save the Army 267 billion British thermal units, or BTUs, annually and will provide the Army with 8.2-megawatts of renewable power capacity.

The White Sands Missile Range project, awarded last December, will provide the Army with 4.44-megawatts of installed photovoltaic capacity. The $16.8 million contract with Siemens Government Technologies will generate more than 10 percent of the installation’s electrical energy consumption via solar renewable energy by the end of 2012, saving 10 million kilowatt hours of electricity and $930,000 annually.

When finished, this will be the largest renewable energy project in the Army, more than double the size of the current largest 2-megawatt array at Fort Carson, Colo. There, the Army partnered with a local energy provider to build a photovoltaic solar array on top of a closed landfill (click on photo above to enlarge). The White Sands Missile Range project in New Mexico, awarded last December, will provide the Army with 4.44-megawatts of installed photovoltaic capacity saving 10 million kilowatt hours of electricity and $930,000 annually. When finished, the White Sands project will be the largest renewable energy project in the Army, more than double the size of this two-megawatt array at Fort Carson.

At Fort Bliss, Texas, Johnson Controls Inc. was awarded a $16 million project that guarantees to save $42 million in energy costs over 25 years, while annually generating about 2.2 million kilowatt hours of energy from a renewable source. Under the contract, the installation will purchase energy produced by 5,500 solar panels, without owning or maintaining the equipment.

The project was specifically designed to offset peak afternoon energy demands when utility rates are highest and potential brown-outs are prone to occur. In addition to the solar panels, the agreement includes a variety of energy savings measures including utility monitoring and control systems to manage energy consumption of 120 buildings.

Johnson Controls was awarded a $34 million contract to install wind and solar photovoltaic systems, light-emitting diode, or LED, lighting, energy management control systems, and other energy conservation equipment and processes in Puerto Rico. This contract will benefit Fort Buchanan and 11 Army Reserve Centers on the island. This 16-year contract is projected to save the Army more than $65 million over the contract life.

These projects, awarded through the U.S. Army Engineering and Support Center, Huntsville, Ala., support the Army’s goal of producing 25 percent of its utility energy requirement from renewable energy sources by 2025.

These latest contracts are part of a considerable Army effort to expand its use of ESPCs and a similar shared savings contract known as a Utility Energy Savings Contract, or UESC, to leverage private investment capital to help enable the Army to attain its energy goals.

In fiscal year 2009, the Army executed $115 million in shared savings contracts; in fiscal year 2010, this figure increased to $139 million; and in fiscal year 2011, it increased again to $144 million. In the first quarter of fiscal year 2012, the Army awarded $93 million worth of projects, including $61 million in December alone.

Under an Energy Savings Performance Contract, or ESPC, an energy service company provides equipment, capital and expertise to attain a specified level of energy savings over an extended period of time, up to 25 years. The contractor recoups their investment through an agreed-upon percentage of guaranteed cost savings.

The Army actively seeks and supports industry collaborations as a means of becoming less dependent on expensive and unstable energy sources and increasing compatible renewable energy development. The Army recognizes energy as a force multiplier and vulnerability. Without energy, the Army stands still and silent.

U.S. households might see total savings from lower gas prices of as much as $113 billion a year through 2015, including tack-on effects such as lower product prices and higher wages generated by cheaper fuel, according to energy industry consultants IHS Inc.

The projected savings is “an unbelievable amount of money,” said Greg Ebel, chief executive of Spectra Energy Corp., during a Jan. 17 interview. “That’s better than any tax cut you’ve seen out there, better than any government handout.”

If consumers end up pocketing more than $100 billion due to low gas prices, it could add a “significant” piece to U.S. gross domestic product growth for 2012 or 2013, said Robert Solow, professor emeritus at the Massachusetts Institute of Technology in Cambridge, who won the 1987 Nobel Prize in economics.

“If that figure is right, it’s a substantial amount,” Solow said in a telephone interview yesterday. MORE …

Amidst an eventful period for the solar industry in Colorado, the 2012 Solar Power Colorado conference and expo, hosted by the Colorado Solar Energy Industries Association, gets underway next week at the Embassy Suites Conference Center in Loveland. And there are a few notable changes from last year’s gathering.

The State of the Industry panel on Thursday morning will feature leading solar experts: Rhone Resch, CEO of the national Solar Energy Industries Association, Paula Mints, Navigant’s principal solar analyst; Travis Bradford, author of the book Solar Revolution; and national policy expert Adam Browning, executive director of the Vote Solar Initiative.

“We have a huge number of solar leaders who are flying in to go to this event,” said Neal Lurie, COSEIA’s executive director. “That’s a huge vote of confidence in the future of the Colorado solar market.” Another notable difference will be that Colorado Governor John Hickenlooper will deliver the keynote address this year.

Solar Power Colorado is open to the public, and room is still room available. Click on the link in the first paragraph for more information.

COMMUNITY SOLAR GARDEN COMES ONLINE IN
COLORADO SPRINGS

The solar array is the largest project of its kind in the country to be 100 percent subscribed, according to SunShare, which runs the solar garden. The largest shareholder in the PV project is the Colorado Springs School, which will cover a quarter of the private school’s energy needs with the last 509 panels available.

“This is a bill we’re going to pay anyway,” said Kevin Reel, head of school. The solar panels are more cost effective, he said, and energy costs will only increase over time. Donors covered the cost, he said, adding that feedback has been positive from parents.

For SunShare’s young founder and president, David Amster-Olszewski, the interest in his solar garden project has been astounding. Colorado Springs has not exactly been a hotbed of interest in solar energy, with  only 30 to 50 homes having gone solar per year, according to SunShare.

“I’ve been blown away by the interest,” said  the young entrepreneur. The company has taken reservations for almost half of its second planned project in Colorado Springs. Amster-Olszewski said he wasn’t expecting to have all the panels spoken for so fast. Colorado Springs approved the plan in September, and construction on the solar array was finished in January.

The SunShare community solar garden at Venetucci Farm has 2,500 solar panels on 2½ acres.

CLEAN POWER FINANCE EXPANDS TO COLORADO

Clean Power Finance, the online marketplace for residential solar financing and sales software, announced this week the availability of its residential solar finance products in the states of Colorado, Massachusetts and New Jersey. Initially only available in California, the solar leases and power purchase agreements (PPAs) Clean Power Finance manages and markets are now accessible to qualified solar sales and installation customers in other states to brand and market as their own financing solutions to homeowners.

“We are committed to growing the residential solar market and believe that making competitive financing products available to companies selling solar is crucial to industry growth this year and beyond,” said Robert Prigge, SVP of worldwide sales for Clean Power Finance. “Solar PPAs and leases have emerged as the driving force behind residential solar sales. Our expansion into new markets underscores demand by solar companies for our finance products, which they can brand and market to homeowners.”

Clean Power Finance entered the residential solar financing market in California in April 2011. Since then, the company has expanded rapidly, and now facilitates as much as $1 million in residential solar project financing per day.

“We entered the market less than a year ago and have already caught up and overtaken other, more established players in the space,” said Nat Kreamer, CEO of Clean Power Finance. “We think we’ve hit on the best way to connect capital markets and solar markets and maximize returns for investors, installers and homeowners. Today’s expansion announcement supports that opinion, and we’re looking forward to further expansion in the near future.”

Clean Power Finance allows qualified installers access to a variety of competitive residential solar finance products through its CPF Tools software. Clean Power Finance’s leases and PPAs are non-exclusive, so installers can use them in conjunction with other finance products, and white label, which allows installers to build their businesses by branding and marketing the financing as their own.

DENVER SUSTAINABILITY PARK PREPARES FOR COMING OUT PARTY

The Colorado Renewable Energy Society (CRES) is preparing to show off its newly-opened Denver Sustainability Park as the Mile Hi City prepares for the World Renewable Energy Forum in May.

CRES, a chapter of the American Solar Energy Society and one of the participating partners producing WREF 2012, created the Sustainability Park to demonstrate the future of renewable energy.
The park, which occupies a 2.7-acre block downtown, will showcase healthy practices and technologies to thousands, including WREF 2012 attendees.

CRES is now installing solar and other renewable energy technologies at the park. Data obtained at the park will demonstrate each system’s financial viability, and can help DHA make smart decision in implementing renewable energy into new and existing developments.

Denver Housing Authority (DHA), which is taking steps to develop stronger communities through environmental health, pedestrian-friendly and stable-energy measures, began consulting with CRES in 2010 about a new vision for Curtis Park. DHA wanted to develop a test bed for sustainable design with five core areas: renewable energy, green building, urban agriculture and smart water use, transportation, community outreach and education.

CRES Executive Director Tony Frank leads the development effort supporting the park.

US BANCORP BETS ON RENEWABLE PROJECTS

The nation’s fifth-largest commercial bank, plans to invest hundreds of millions this year in U.S. renewable energy projects, where the bank sees profit, despite political fallout following the Solyndra scandal.

Since 2008, US Bancorp has invested $680 million in solar and wind-power projects, with roughly half that amount invested in 2011. This year, the bank plans to boost investment in renewable energy by 30% over 2011, or roughly $440 million.

The financial institution continues to see value in solar and wind-power projects.

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Recently, Commerce City commissioners voted to extend its drilling moratorium, and El Paso County approved a slimmed-down version of  oil and gas regulations just this week.

In a statement posted to their website. commissioners said, “In order to ensure both our Comprehensive Plan and Land Use regulations are as thorough and up-to-date as possible, today we approved a temporary moratorium on the processing of the required development plans for local oil and gas permits under the county Land Use Code (Resolution 2012-16).”

“This will give us time to make sure that, within the limits of our legal authority, we are able to mitigate local impacts from these activities and to maximize protection for the people and environment of Boulder County,” the statement added.

The public will be able to comment March 1, according to the website, “on the local impacts associated with oil and gas development, and on the appropriateness of continuing or amending the temporary moratorium.”

State records show that Boulder County has 300 active oil and gas wells.

Energy companies that have already received county approval for their drilling procedures will not be impacted by the new moratorium. Oil and gas development in the state is governed by the  Colorado Oil & Gas Conservation Commission, which in 2008 was overhauled with a new set of regulations put in place to bring balance to energy development.

Coincidentally, Dave Neslin, the COGCC executive director, announced he was leaving the agency to join a Denver-based law firm.

David Neslin will be resigning from his post as Director of the Colorado Oil and Gas Conservation Commission to return to the practice of law effective this month. He will be joining the firm of Davis Graham & Stubbs. Neslin was appointed director of the COGCC in November of 2007.

Under Neslin’s tenure, the COGCC comprehensively updated the state’s oil and gas regulations to strengthen environmental protections during a significant increase in energy development. He also oversaw changes within the agency that resulted in more efficient permit reviews and other process improvements assisting industry and the public.

Neslin worked closely with environmental groups and industry to develop the country’s strongest chemical disclosure law for hydraulic fracturing and he continues to work productively with several local governments on regulatory issues as the potential for energy development grows along the Front Range. Neslin frequently speaks before the public on oil and gas issues, and has testified on regulatory issues before Congress.

“Leading this agency through a time of dynamic change in energy development in Colorado has been a challenging, exciting and rewarding experience,” Neslin said. “I look forward to continuing the work of building collaborative, productive solutions to energy and natural resources issues in a new forum.”

source: Colorado Department of Natural Resources

The Board of County Commissioners voted 3-2 to approve a proposal that was significantly scaled down from what the county’s planning commission approved earlier this month. The regulations govern transportation, emergency response, noxious weeds and, controversially, water quality issues related to drilling.

Commissioners Peggy Littleton and Darryl Glenn objected to the water quality regulations, arguing that the county was overstepping its authority because the Colorado Oil and Gas Conservation Commission also regulates drilling-related water issues.

“I think it would be irresponsible for us to open ourselves up to lawsuits,” Littleton said.

The Attorney General’s Office and oil and gas commission director Dave Neslin have expressed concern over the county’s proposed rules, both in the version approved by the planning commission and a trimmed-down version the county’s planning staff developed last week, arguing that the county can’t regulate areas where the state has its rules in place.

However, commissoners Amy Lathen, Sallie Clark and Dennis Hisey said that water quality was too important to leave up to the state.

“I really don’t mind pushing the envelope when it comes to our water quality,” Hisey said. MORE …

By Andrew Burger/CleanTechnica

On Jan. 25, Wells Fargo and Enfinity America launched a joint $100 million solar photovoltaic (PV) investment program. As per the agreement, Wells Fargo will supply the capital Atlanta-based Enfinity America requires to do what it specializes in: develop solar PV projects around the US.

In another expression of confidence in the viability of US clean energy markets and industry, MidAmerican Energy Holdings, a subsidiary of Warren Buffet’s Berkshire Hathaway, on Jan. 24 announced it’s establishing a new business that will oversee its growing portfolio of wind, geothermal, solar, and hydro projects.

MidAmerican’s Growing Clean Energy Presence

Based in Des Moines, Iowa, the MidAmerican Renewables will provide centralized oversight and top-level management of MidAmerican Wind LLC, MidAmerican Geothermal LLC, MidAmerican Solar LLC, and MidAmerican Hydro LLC, as well as project development and commercial management.

“MidAmerican Renewables is open for business. We look forward to expanding our wind, geothermal, solar and hydro portfolio, so we can offer energy in the renewables market. We believe the need for renewable energy will continue to grow, and we are excited to be a leader in this area,” MidAmerican Energy Holdings president and CEO Greg Abel stated.

MidAmerican’s been stepping up the pace of its clean energy investments of late. On Jan. 20, it acquired the 81 MW Bishop Hill II wind energy project from Invenergy Wind LLC. On Jan. 18, it completed the acquisition of a 49% equity interest in NRG Energy’s 290 MW Agua Caliente solar project in Yuma, Arizona.

Wells Fargo Backs Enfinity Clean Energy Project Development Activities

Wells Fargo has invested $2.7 billion across more than 300 renewable energy projects in 27 states since 2006. Enfinity America is a subsidiary of the Netherlands’ Enfinity NV, a multinational solar PV project development company that’s installed 200 MW of solar energy capacity spanning projects in Europe, North America and the Asia-Pacific region.

One particularly interesting project that came on-line in 2011 was the first-of-its-kind “Solar Tunnel” project, where 16,000 solar panels were installed atop the roof of a high-speed rail tunnel in Antwerp, Belgium to provide electrical power for the trains, as well as the station.

“The solar industry landscape is fast-changing; solar developers can no longer rely on incentives like Treasury’s cash grant program to make their projects viable,” Enfinity America Corporation’s CEO, Rafael Dobrzynski, stated in a press release.
“Enfinity has always been able to call upon its highly effective network of financing relationships – and this latest partnership with Wells Fargo will enable us to apply secure, robust financing to the many commercial, industrial and municipal solar energy opportunities in the United States.”

Providing “technology agnostic” turnkey solar solutions for commercial, municipal and utility customers, the North American subsidiary is developing projects ranging from a 33-MW PV solar farm in Ontario, a range of distributed generation projects in California, and the acquisition of a 9.8-MW PV installation at a “blue-chip manufacturing facility” in Ohio.

Source: Clean Technica (http://s.tt/15pOt)