QUICK NEWS, June 30: GOOGLE ON WHY NEW ENERGY; SOLAR LOOKS ABROAD; IT’S WATER OR ENERGY UNLESS IT’S WIND OR PV; DOE BACKS HUGE ROOFTOP SUN BUILD

GOOGLE ON WHY NEW ENERGY
Google: Clean-energy innovation pays off
Martin LaMonica, June 28, 2011 (CNET)

"Google's philanthropy Google.org…released an analysis on the impact of clean-energy innovation that is at once optimistic and sobering…The Internet company has made it a corporate goal to be carbon neutral and promote green technologies, putting some of its employees on the forefront of thinking on how to speed clean-energy technology development.

"…[I]ts study found that technology breakthroughs, coupled with policies to encourage clean energy, will have a positive economic and environmental impact, more so than policies alone. It also found speed is a key lever in delivering benefits…A
mere five-year delay (2010-2015) in accelerating technology innovation [could lead] to $2.3 trillion to $3.2 trillion in unrealized GDP, an aggregate 1.2-1.4 million net unrealized jobs, and 8-28 more gigatons of potential GHG (greenhouse gas) emissions by 2050…"

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"The analysis, based on economic models from consulting company McKinsey, highlights the potential of clean-energy technologies to affect multiple societal problems…[B]reakthrough innovations in clean energy [could add] $155 billion per year in GDP, creating 1.1 million net jobs, while reducing household energy costs by $942 per year, oil consumption by 1.1 billion barrels per year, and carbon emissions 13% by 2030…"

"…[The Impact of Clean Energy Innovation; Examining the Impact of Clean Energy Innovation on the United States Energy System and Economy] delves into specific areas--electric vehicles, power from renewable sources, grid storage, and natural gas--to estimate when cleaner alternatives to oil and coal can compete based on price alone. For example, it projects that a breakthrough in electric-vehicle battery cost by 2018 would make the total cost of ownership for EVs with a 125-mile range lower than gasoline cars."

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"But the study's authors, by their own admission, make some optimistic assumptions regarding new technology adoption. They assume that the infrastructure for charging electric vehicles will follow consumer demand and that transmission lines for large-scale renewable-energy projects will be built, though that is a challenging siting and regulatory issue…[T]he study underscores the role technology can play…[but also] shows policies are critically…For example, better EV batteries can create a tipping point that will drive mass adoption, but cheap natural gas could stall EV adoption…

"On the power generation side, fully amortized coal plants are very tough to compete with on the cost per kilowatt-hour alone, it noted. The study projects that even with technical breakthroughs, renewable-power generation would not compete with the marginal cost of coal until after 2030…"


SOLAR LOOKS ABROAD
Deadlines may shelve renewable energy projects
Karoun Demerjian, June 25, 2011 (Las Vegas Sun)

"The Energy Department has been teaming up with Nevada lawmakers on an almost monthly basis to announce loan guarantees for renewable energy projects across the Silver State, each of which is expected to create a few hundred jobs…[but] that soon could come to an end… because the program is approaching its expiration date, and it isn’t clear if there’s a politically palatable way to extend it.

"…[S]ince the $30 billion in loan guarantees created by Section 1705 of the stimulus became available…[developers knew] they’d have to break ground on or before Sept. 30 to keep the funding…The program was supposed to boost a fledgling industry, and buoy private investor confidence…[until markets took over but]…Recovery has been slower than anticipated, especially in terms of liquidity in the financial markets…[Without] these programs, or their equivalent, around for the next few years…[developers say they will] have to go elsewhere…"

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"The problem with setting [solar] developers to the open market is one of price comparison. Wind energy and geothermal…can compete with more conventional forms of power generation, such as coal-fired plants and natural gas…But solar’s not quite there…Energy Secretary Steven Chu has said that he believes the price of solar will be competitive with carbon sources of energy in the next 10 years…[D]evelopers plan to be players in the open market much sooner. But they point out that it’s not a fair fight right now.

"…Oil and gas tax benefits…[and] government support for those industries has been renewed ...[New Energy] incentives are just in place to allow these new technologies and new industries to compete effectively… against incumbents…[New Energy]-focused research and development tax credits — known as Section 1603 credits, which fall off the table in December…[are] equally necessary to shore up…"

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"…[But] budget negotiations imploded this week, after Republican participants House Majority Leader Eric Cantor and Senate Minority Whip Jon Kyl, withdrew…Cantor and Kyl said they could see no way forward…Stimulus programs are not popular fare among Republicans…[while] Democrats point out that the job losses would have been far worse without the stimulus program…President Barack Obama requested about $200 million to back up to $2 billion in Section 1705 loan guarantees in the budget he submitted to Congress…[T]hat’s a steep drop from the $2.5 billion that was slated to $30 billion in loans two years ago…[T]here will be a lot less to go around…

"…[D]evelopers don’t care where their government assistance comes from, just so long as it comes — if they’re to deliver these projects…[Without the assistance, developers say,] '… we’ll take our business internationally.'"


IT’S WATER OR ENERGY UNLESS IT’S WIND OR PV
Water shortages threaten renewable energy production, experts warn; Thinktank says technologies reliant on water could be hampered by droughts – and production is faltering already
Suzanne Goldenberg, 27 June 2011 (UK Guardian)

"The development of new renewable energy technologies and other expanding sources of energy such as shale gas will be limited by the availability of water in some regions of the world, according to [The Water-Energy Nexus; Adding water to the energy agenda from World Policy Institute]…

"The study shows the reliance on large amounts of water to create biofuels and run solar thermal energy and hydraulic fracturing – a technique for extracting gas from unconventional geological formations underground – means droughts could hamper their deployment…"

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"The study, estimating the water consumption of conventional and renewable energy, found even so-called clean energy solutions use vast amounts of water…Hydroelectricity far outstrips other forms of energy in its use of water, requiring 4,500 gallons to produce a single megawatt hour of electricity – or about the amount needed to run a flat-screen TV for a year. Geothermal energy uses 1,400 gallons per MW/h.

"Corn-based ethanol uses a lot of water to irrigate crops, as do nuclear plants which rely on water for cooling systems. Even some renewable energy sources – such as solar farms – are water hogs because they rely on water for cooling…Solar thermal farms use five times as much water as nuclear power plants…In contrast, photovoltaic solar cells, which convert energy from the sun into electricity, [and wind turbines, which convert the mechanical energy of wind into electricity,] use minimal amounts of water."

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"Meanwhile, the US drought is forcing energy companies to scale back plans for deploying new techniques in hydraulic fracturing ("fracking") for oil and gas extraction. Not long ago, energy companies were hoping to increase production in Texas by 50% over the next five years…Unlike in Pennsylvania, where the chemicals used in natural gas drilling have contaminated drinking supplies, the problems in Texas are a matter of water quantity, not water quality…

"It takes up to 13m gallons of water to open up a single well in the Eagle Ford shale region in south Texas, where water is in perennially short supply. Such demands are going to block development of areas in south and west Texas, which are suffering water shortages…"


DOE BACKS HUGE ROOFTOP SUN BUILD
DOE Issues Conditional Loan Guarantee For 733 MW Rooftop Project
23 June 2011 (Solar Industry)

"The U.S. Department of Energy (DOE) has offered a conditional commitment for a loan guarantee supporting a 733 MW distributed solar rooftop project…NRG Energy, Bank of America Merrill Lynch and Prologis…[are] the major stakeholders involved…

"The project, whose total cost is estimated at $2.6 billion, is being financed entirely by the private sector over the next four years…The project will be completed in phases…[For] the first phase, 15 MW of solar capacity is immediately ready for construction and installation in Southern California, where the power generated will be sold to a local utility under long-term power purchase agreements that have been approved and executed."

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"NRG Energy has committed to be the lead investor for the first phase of the project over the next 18 months. In addition to funding the first phase of the project, the company has a right of first offer for the remainder (up to the program total of 733 MW) and will provide development resources and project expertise for the installations.

"Bank of America Merrill Lynch will be the sole financial and structuring adviser and sole lender on this transaction, which is being executed under the DOE’s Financial Institutions Partnership Program (FIPP). Through FIPP, the DOE will guarantee 80% of the $1.4 billion debt financing for this transaction."

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"Prologis will provide site access to rooftops and will also act as developer, construction manager and program sponsor, in addition to making an equity investment."

[Tom Doyle, President, NRG Solar:] “NRG believes rooftop solar is a smart choice for industrial, commercial and residential property owners in markets around the country, and this program provides the commercial scale…[It] will nearly double the amount of grid-connected solar online in the United States…"