The Energy Blog

EPRI Analysis Finds Utility Based Energy Efficiency Programs Could Cut Energy Consumption 7-11 %

Energy efficiency improvements in the U.S. electric power sector could reduce electric consumption by 7 to 11 percent more than currently projected over the next two decades if key barriers can be addressed, according to a preliminary analysis of potential energy savings released recently by the Electric Power Research Institute (EPRI) and the Edison Electric Institute (EEI) during an Edison Foundation conference which examined strategies to meet the growing demand for electricity which is expected to soar 30 percent by 2030, according to the U.S. Energy Information Administration.

“This study demonstrates the potential of energy efficiency to offset some of the projected need for new electric generation as cutting-edge technologies become available and are adopted. We think a 7-percent efficiency improvement is realistic – and gains of 11 percent or more are technologically feasible – depending on the degree to which various obstacles can be overcome.”

-- Dr. Michael Howard, senior vice president at EPRI

That demand growth projection would be even higher without the implementation of existing building codes, appliance standards and market-driven consumer incentives, which will shave electricity consumption by 23 percent, according to the EPRI-EEI study. However, additional efficiency gains could be achieved only by overcoming major market, regulatory and consumer barriers, the analysis found.  . . .

Essential steps include increased consumer education; adoption and enforcement of aggressive building codes and appliance standards; creation of utility business models that promote increased efficiency within the power sector; and adoption of electricity pricing policies that more accurately reflect the cost of providing electricity to consumers – and give them the information they need to use it wisely.  . . .

At the same time, consumers’ ever-increasing appetite for electricity-hungry devices – even with continuing efficiency improvements – will keep electricity demand on a steady upward trajectory. A 42-inch plasma television consumes two and a half times more energy (250 watts) than a standard 27-inch TV (100 watts). And while many large household appliances have become more efficient over the years, many smaller devices have not. Two 30-watt set-top television boxes, for example, may consume as much electricity as a large refrigerator.

The Case for Investing in Energy Productivity

McKinsey Global Institute (MGI) reports that an additional annual investment in energy productivity of $170 billion through 2020 could cut global energy demand growth by at least half—the equivalent of 64 million barrels of oil a day or almost one and a half times today’s entire U.S. energy consumption.

MGI research suggests that the economics of investing in energy productivity—the level of output we achieve from the energy we consume—are very attractive. With an average internal rate of return of 17 percent, such investments would generate energy savings ramping up to $900 billion annually by 2020. . . .

Moreover, the opportunities to boost energy productivity use existing technologies that pay for themselves and therefore free up resources for investment or consumption elsewhere.

MGI has put a figure on how much it would cost and how much "energy productivity" could reduce our energy consumption and corresponding green house gas (GHG) emissions which, by there reasoning, is affordable. Because none of this investment is in renewables the effect of these technologies on GHG emissions is in addition to the energy savings.

Thanks for tip from Richard Stubi of Cleantech Blog

Ann Arbor to Install LED Street Lighting

The City of Ann Arbor, Michigan and Cree, Inc. (Nasdaq: CREE), a supplier of LED solid-state lighting components, announced that in an effort to reduce greenhouse gas emissions and energy consumption, they will install more than 1000 LED streetlights beginning next month. Ann Arbor plans to become the first U.S. city to convert 100 percent of its downtown streetlights to LED technology.

Ann Arbor will join Raleigh, N.C. and Toronto, in the growing LED City™ initiative. The LED City is an expanding community of government and industry parties working to evaluate, deploy and promote LED lighting technology across the full range of municipal infrastructure to:

* Save energy
* Protect the environment
* Reduce maintenance costs
* Provide better light quality for improved visibility and safety

"This initial installation should save the City more than $100,000 per year and reduce annual greenhouse gas emissions by approximately 294 tons of CO2. Our plan is to retrofit all downtown lights with LED alternatives over the next two years" said Mayor John Hieftje.

CFL's Exchanged with Incandescents in California School Project

29 elementary and high schools in California are participating in a program to substitute energy-efficient compact fluorescent light bulbs (CFLs) for conventional incandescent bulbs in students' homes.

The immediate goal of the exchange program was to substitute some 4,000 CFLs for incandescent bulbs during the 2006-2007 school year. The program's long-range goal was to swap 12,000 bulbs over three years.

But the energy- and money-saving idea caught on so well that in just four months -- and with just nine schools initially participating -- schools had to scramble to keep up with the demand for CFLs. When the dust had settled, more than 8,000 bulbs had been swapped in the fall semester alone. Now in addition to the original nine, 20 more schools are gearing up for bulb exchanges during the spring semester, with the potential of exchanging several thousand more CFLs and surpassing the 12,000 three-year goal in only one year.

Bush's Energy Reduction Executive Order Includes Provisions Requiring Purchase of Plug-in Vehicles

On Wednesday President Bush issued an executive order stating that:

"It is the policy of the United States that Federal agencies conduct their environmental, transportation, and energy-related activities under the law in support of their respective missions in an environmentally, economically and fiscally sound, integrated, continuously improving, efficient, and sustainable manner."

He instructed government agencies to take eight steps to reduce energy consumption, two of which I am focusing on.

1) If agencies operates a fleet of at least 20 motor vehicles 

(i) reduce the fleet's total consumption of petroleum products by 2 percent annually through the end of fiscal year 2015,
(ii) increases the total fuel consumption that is non-petroleum-based by 10 percent annually, and
(iii) use plug-in hybrid (PIH) vehicles when PIH vehicles are commercially available at a cost reasonably comparable, on the basis of life-cycle cost, to non-PIH vehicles

Forbes 2007 Energy Outlook

Forbes.com has much of this weeks issue devoted to a Special Report "2007 Energy Outlook", which has nine articles covering Consumption, A forecast for low cost oil, Discussion of oil supply from: Latin America, Russia, Europe and America, and China; The cost of standby by power, The worlds largest geothermal heat pump system at Fort Knox and an article on ethanol, from the investors viewpoint.

A timely and fairly interesting group of articles, especially for the novice.  The article on consumption has a lot of statistics on how energy consumption is growing. Its too bad they did not include articles on plug-in hybrids or renewable energy. The slant of the articles is as you would expect from big business.

Energy Usage Forecast

The June issue of Popular Science features an article on energy technologies that they say will cut our oil consumption in half and reduce our dependence on fossil fuels to produce electricity almost entirely by 2025.

They forecast that ultralight parts and plug-in hybrids could reduce fossil fuel consumption by 19% and that use of biofuels could reduce fossil fuel consumption by 30%.

Electricity needs could be reduced by the following technologies and conservation.

Home Electricity Conservation - 36%
Wind - 20%
Biopower - 17% (biomass gasification and methane generation)
Distributed Generation - 10%
Solar Power - 10% (PV and thermal solar power)
Geothermal Power - 5%
Ocean Power - 2% (wave power and tidal power)

While I don't think that I would have come up with the same numbers, the numbers give some idea of what mix of technologies could be used to reduce our dependence on fossil fuels.  My two concerns are that, while that degree of conservation proposed is possible, electricity costs would have to be extremely high before sufficient motivation for this degree of conservation would be possible.  After reducing consumption as much as forecast by conservation the percentage of electricity produced by wind, solar, and ocean power is higher than could easily be integrated into a grid, without massive energy storage or a much stronger grid, because of the intermittency of these generation methods.  Economical energy storage on a large scale is unlikely by 2025.  Geographical separation of these methods in an area as large as the U.S. reduces the effects of intermittency, but a much stronger grid is required to transport the energy from one area to another which would mean a very costly investment in the electrical infrastructure.  The area between the great plains and the east coast is not especially suitable for these methods and the grid would have to be reinforced significantly in this area. Superconducting power transmission would be especially useful, but development of economical systems is progressing rather slowly, although some usage could be expected by 2025.

I would hope that plug-in vehicles would be in wider use by this time, but that is very dependent on the acceptance of the technology by manufacturers. Their forecast for use of biofuels, although possible someday, is very unlikely by 2025.

The articles (without statistics) can be viewed at http://www.popsci.com/popsci/energy/