TRANSMISSION MATTERS

Renewable, Green Power is Flowing, But Where Are the Power Lines?
Neal Dikeman, July 19, 2007 (Seeking Alpha via Yahoo Finance)

WHO
Stuart Hemphill, the Director of Renewable and Alternative Power for Southern California Edison Co. (SCE)

WHAT
Hemphill says the biggest problem in developing renewables for the grid is transmission. It takes 7 years to permit and build lines.
Tehachapi Pass

WHEN
SCE has been a leader in purchasing renewables for 20 years. 2006: 13 billion kilowatt-hours, 50% geothermal, 50% wind and solar. 50% produced in southern California. The Tehachapi Pass contract was signed December 2006.

WHERE
SCE serves Los Angeles and southern California. Tehachapi Pass is just north of LA.

WHY
- SCE has 17% of power from renewables, a national leader. Demand is growing.
Hemphill runs a staff of 40 to develop and manage renewables and they have national help from parent company Edison International for legal, operations, transmission, and marketing.
- For renewables, new transmission facilities must be developed where the resource is. Permitting is slow and arduous.
- Example: Tehachapi Pass. A 1500 megawatt Alta Wind Power project awaits transmission capacity to bring the power to LA. Single largest contract ever: $1.8 billion. Pass has 800 megawatts and Hemphill thinks it can generate 4500 megawatts. Also: Sempra Energy is developing a Mexico-US project in Baja California. Awaiting transmission capacity.
- Solar: SCE buys 90% of all US solar energy. New contracts w/Stirling Energy Systems and California Sunrise await transmission capacity.
- SCE will spend $17 billion over the next 5 years for transmission and distribution if regulators and environmentalists “permit” it.
- There is “plenty” of funding for renewable production – if and when the transmission is approved.
- Also discussed: ESCOs, RECs, efficiency and reforestation.
There is so much to the transmission grid -- and it all starts with a permit. (click to enlarge)

QUOTES
- Hemphill: “Energy not consumed is the best way of reducing any source of emissions.”
- Dikeman: “…Stuart asked me to make sure to mention that they are always looking for new renewable power suppliers, and always looking to hire in renewables, so come find him: Southern California Edison