Showing posts with label Federal Government. Show all posts
Showing posts with label Federal Government. Show all posts

The Implications of the Expiration of US Renewable Energy Subsidies

US Renewable energy subsidies expired in 2011 and this will slow the growth of renewables. There is already evidence that the expiration of the renewable energy cash grant programme under Section 1603 of the US Internal Revenue Code will reduce the volume of new renewable energy projects.

A significant volume of Q4 2011 transactions were driven by efforts to benefit from Section 1603. As a consequence the impact of renewable energy subsidies will not be immediately felt during the first six to nine months of 2012.

In 2011, although the debt market for renewable energy financing was strong, there was evidence that lenders became even more cautious. In 2012, different capital markets solutions will need to be considered.

To improve the outlook for renewable energy Congress can support President Obama's budget proposals to end oil subsidies and make renewable energy tax credits permanent.

© 2012, Richard Matthews. All rights reserved.

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US Wind Energy Market Review and Forecasts for 2012

After decreasing by almost 50 percent in 2010 the US wind installations began to show signs of recovery in 2011. Wind farms have proliferated across the United States over the past decade, they now generate 3 percent of the nation's electricity. Wind power has installed 35 percent of all new American electric generation in the last five years. Wind energy is also one of the fastest growing new sources of US manufacturing jobs. American wind power accounts for 75,000 jobs today, and can grow to almost 100,000 jobs four years from now and according to a Bush Administration study, wind can support 500,000 American jobs less than 20 years from now. The U.S. now has over 400 manufacturing facilities in 43 states involved in wind turbine manufacturing. This represents a 12-fold growth in domestic manufacturing over the last six years.

Globally 2011 was a good year for wind installations in China, India and Canada and even Europe. Led by Brazil and Mexico, we are starting to see major growth in Latin America. The US market, although not up to the 10 GW installed in 2009, will be well ahead of 2010’s 5 GW market.

Increasing fossil fuel prices mean that as far as cost efficiency is concerned the wind power could achieve parity by 2016. The best wind farms in the world already produce power as economically as coal, gas and nuclear generators.

More than 7 GW of wind capacity is expected to be installed in the US in 2012, a 25% increase on 2011. The growth in wind is fueled by the proximate expiration of the Loan Guarantee programme, the production tax credit (PTC) and the investment tax credit (ITC), the main drivers for the wind market.

As developers of wind energy rush to complete projects before the expiration of the PTCs at the end of this year, the market will experience an acceleration of installations, especially during Q1 and Q2 of 2012. If the PTCs are not extended, a major halt throughout the entire US wind industry can be anticipated in the second half of 2012.

© 2012, Richard Matthews. All rights reserved.

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Renewable Energy in 2012: The Global Economic and Environmental Climate

Since 2009, lower fuel and energy prices created some tough uphill conditions for renewable energy. Despite these powerful headwinds renewable energy installations have increased over the last few years.

On the upside, the Latin American boom should continue to grow in 2012 led by countries like Brazil and Mexico, and new markets will emerge in countries like Kenya, South Africa and Mongolia.

However, the wider economic and political conditions are likely to worsen for renewable energy. One of the most difficult obstacles concerns the impact of the expiration of renewable energy subsidies in the US. Despite efforts from the solar industry, at the end of 2011 the Section 1603 Treasury Grants program came to an end. The wind industry faces a major obstacle with the expiration of the production tax credit (PTC), set for the end of this year.

Subsidies for renewable energy are being cut in the UK's solar and wind energy sectors. US renewable energy subsidies expired at the end of 2011 and Germany is planning to massively cut the Feed-in-Tariffs (FiTs) as of 9 March, 2012. The issue of Japanese FiTs is expected to be addressed by spring.

In the EU, the Eurozone crisis may result in a European recession. If the Eurozone crisis is brought under control, then it will benefit renewable energy markets in 2012, especially offshore.

In China we are seeing evidence of a slowdown and many are calling for major economic reforms. Economic growth in India slowed at the end of 2011.

The hope and promise of the ‘Arab Spring’ has given way to a winter of discontent as regimes in the Arab world are in turmoil.

In 2012, talk of war with Iran and instability in oil rich regions are creating uncertainty and driving up the price of oil. While this may help to create price parity for renewables, it also creates even greater economic pressures on the fragile global economies of nations that are still struggling to emerge from recession.

Amidst all this political and economic uncertainty, global warming continues unabated. NOAA said all 11 years of the 21st century rank among the 13 warmest. And NASA noted 9 of the top 10 warmest years in its record have occurred since 2000.

The La Nina effect was the warmest on record in 2011 according to data from NOAA and NASA. The increasing probality of melting Greenland and Antarctic icecaps are creating real concerns about the future of the planet.

The string of warm years in the last decade is linked to rapidly increasing concentrations of greenhouse gases NASA said. “Higher temperatures today are largely sustained by increased atmospheric concentrations of greenhouse gases, especially carbon dioxide,” NASA wrote in a press release. As the world's economies get stronger, energy demands will keep increasing and carbon emissions will keep rising.

The IEA’s chief economist has said that governments only have five years to avoid more than 2°C of global mean temperature rise.

These factors coalesce to create a troubling outlook. There is both an increased need for renewable energy and a decreased economic and political capacity to meet this need.

© 2012, Richard Matthews. All rights reserved.

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Inhabitat Interview with the Winning Lead Designer of the 2011 Solar Decathlon

Here is an Inhabitat interview with David Gavin the project design lead for the University of Maryland team that won the 2011 Solar Decathlon. Their winning entry was a solar powered, water conservation-focused home called the WaterShed.
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INHABITAT: How did you get involved in the 2011 Solar Decathlon?

David: I became involved in the 2011 Solar Decathlon pretty much the minute I began my graduate degree in architecture at the University of Maryland. When I was applying to graduate schools, I saw that Maryland had presented course options for their Solar Decathlon entry. At that point I knew that Maryland and the Solar Decathlon would be a great fit for me because I wanted my graduate education to go beyond the classroom, and I wanted to get my hands dirty. The Solar Decathlon has been able to provide that, and I feel that it has prepared me very well for the professional world by allowing me to work collaboratively with people from a variety of fields, including the engineering, construction and management disciplines. It has also presented many of the technical and logistical challenges of a real building project.

INHABITAT: What is your favorite part of the WaterShed Home design?

David: My favorite design element of WaterShed is probably the relationship between the constructed wetlands we’ve created inside the house and the bathroom. When one stands in the shower, they realize the impact of their water usage simply through being able to see the water draining into the grey water filtration wetlands just outside the window. The bathroom’s open design and delicate detailing suggest the continuation of the wetlands through the bathroom, thus reinforcing our message of water conservation.

INHABITAT: What do you think it was that pushed your team’s house to the top of the Solar Decathlon pack and allowed you to win the competition?

David: Two of the main things that allowed us to win the 2011 Solar Decathlon were integration and organization. The University of Maryland had a number of different departments and majors working on WaterShed, and our constant communication among all disciplines allowed us to design a truly integrated house. Every component of the house, from structure to envelope to landscape to mechanical, plumbing and electrical components, were all designed with respect to the other disciplines. This minimized conflicts during the construction period, and in the end, allowed WaterShed to function most optimally during the competition. Organization was also key, all of the team leaders were in constant communication and aware of their responsibilities so that we could operate the house with precision and confidence throughout the competition.

INHABITAT: The Team Maryland WaterShed Home was designed in Revit. Was BIM (Building Information Modeling) an important part of your design process? Can you explain how you used it and how it helped you?

David: BIM was very important in the design process of WaterShed. Being able to model WaterShed in three dimensions was very important in the integration of all of the house’s systems. Not only did we model the structure and architecture of the house, but we created all of the engineering systems as well. BIM allowed us to see all of these systems together in one program, which in turn allowed us to design all of the house components in relation to each other so that there were no hot water lines running through light fixtures or ductwork cutting through structural members. This proved to be critical because it minimized the amount of problem solving we had to do in the field during construction. BIM was also great because it allowed us to generate all of our construction documents very efficiently. The 3D model also served as the base for all of the renderings and graphics we used for our communications materials.

INHABITAT: How did BIM technology allow you to do things you might not otherwise have been able to do?

David: One of the great ways BIM was able to help us with WaterShed was being able to see all components of the house in three dimensions. It allowed us to really make sure that everything within the house actually fit and worked before we began construction (in a way that two-dimensional drawings would not have been able to reveal). Being able to explore the 3D model of the house also helped us to resolve many construction details before construction even began. So, BIM really helped us to streamline not only our documentation process, but construction as well. Our use of BIM definitely gave us an edge and probably helped us to win the 2011 Solar Decathlon. Not only did it allow us to efficiently design and build a great house, many of the materials that were generated from the model helped us place in many of the juried categories. The quality of our construction documents was a scoring factor in both the architecture and engineering competitions, and in both we were praised for the completeness and clarity of our documents. Also, the model was the basis for many of our graphics, which were judged in the communications contest. So, our ability to create a great BIM model was definitely a big part of our victory.

INHABITAT: What would you like to do after you graduate from the University of Maryland? What are your goals?

David: After I graduate from University of Maryland, my main goal is to just get a job! I would like to get a job in a smaller architecture firm somewhere along the east coast. I would like to learn how to run a firm and operate a business so that I can one day accomplish my goal of having my own practice specializing in urban design and redevelopment.

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University of Maryland Wins Solar Decathlon

Students at the University of Maryland won the 2011 showcase for innovative and affordable solar powered homes known as the US Energy Department Solar Decathlon. A total of nineteen collegiate teams from as far away as China and New Zealand traveled to Washington to compete in this year’s event, the fifth Solar Decathlon since 2002.

Maryland came in second in the decathlon event in the 2007 and they did not participate in the 2009 competition which gave students and faculty a chance to develop the winning entry this year.

The U-Md. design incorporated everything it had to have to be sustainable. Their winning home, is called "WaterShed," and was inspired by the ecosystem in Chesapeake Bay. It features a green roof that provides insulation and a system that filters sink and shower water, recyling it for use in wetland gardens that run the length of the house.

Judges rated the teams’ entries in 10 categories, including energy efficency, cost effectiveness and aesthetic appeal.

Purdue University took second place overall with a design firmly rooted in the modest homes of Midwest suburbia. A team from New Zealand’s Victoria University of Wellington took third.

The next Solar Decathlon is scheduled for fall 2013.

© 2011, Richard Matthews. All rights reserved.

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CEIL: Standard Compliance Knowledge Center for Green Government

Compliance with presidentially mandated green government can be a daunting challenge, thankfully there is a resource bank and online community that can help.

The Center for Environmental Innovation and Leadership (CEIL), has launched a new online community. CEIL is an independent organization connecting government and military professionals with providers of green goods and services to help them comply with Executive Order 13514 – President Obama's commitment to creating a "Green Government."

Executive Order 13514 on Federal Sustainability was signed on October 5, 2009, it required each Federal Agency to submit a 2020 greenhouse gas (GHG) pollution reduction target from its estimated 2008 baseline. President Obama has pledged to reduce the Federal government's GHG emissions by 28 percent over the next decade.

According to a press release from Whitehouse.gov, "Actions taken under this Executive Order will spur clean energy investments that create new private-sector jobs, drive long-term savings, build local market capacity, and foster innovation and entrepreneurship in clean energy industries."

To assist with the implementation of EO13514, CEILeadership.org has created a knowledge center for sustainability in the public sector, it includes news, expert advice, discussion groups, and podcasts. For more information or to join go to CEIL.

CEIL is also producing GovGreen Conference & Expo in Washington, DC on November 9-10, 2010. See GovGreen for more information and registration details.
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