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WGA Clean and Diversified Energy Advisory Committee Briefing. Brian Horii Energy and Environmental Economics, Inc 415-391-5100. Background. Clean and Diversified Energy Initiative launched in June 2004

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Wga clean and diversified energy advisory committee briefing

WGA Clean and Diversified Energy Advisory Committee Briefing

Brian Horii

Energy and Environmental Economics, Inc

415-391-5100


Background
Background

  • Clean and Diversified Energy Initiative launched in June 2004

  • “Identifying ways to increase the contribution of renewable energy, energy efficiency, and clean energy technologies within the context of the overall energy needs of the West.”

  • Transportation, buildings, electricity, and other needs


Goals
Goals

  • 30,000 more MW of clean energy by 2015 (EE, solar, wind, geothermal, biomass, clean coal, advanced natural gas)

  • 20% electricity savings by 2020, relative to reference case

  • Ability to meet transmission needs of the West for the next 25 years.

  • Better position Western energy system to respond to new environmental challenges


Clean and diversified energy advisory committee
Clean and Diversified Energy Advisory Committee

  • To identify technically and financially viable policy mechanisms, stressing non-mandatory, incentive-based approaches

  • Formed task forces for specific options such as energy efficiency

    • Consider price, reliability, and the mitigation of environmental impacts of all recommendations

    • Develop energy efficiency recommendations that take into account all types of energy used in buildings, not just electricity

  • Identified cost-effective energy efficiency that can reduce annual load growth in the West from 2% to 0.5% .


Task force recommendations state level
Task Force Recommendations – State Level

  • Electricity

    • Require utilities to integrate cost effective DSM into resource planning and procurement

    • Dedicate at least 2% of revenues to energy efficiency (if cost effective (CE))

    • Establish minimum savings targets

      • Recommend 3-5% of projected sales in 2010 (if CE)

      • Recommend 10-15% of projected sales in 2020 (if CE)

        • Decouple

        • Add incentives for implementing CE DSM programs


Task force gas
Task Force – Gas

  • Encourage or require utilities to

    • integrate EE into resource planning and procurement

    • pursue EE whenever it is the lowest cost resource option

  • Recommend investing 1.5-2% of revenues on EE

  • Recommend 0.5-1.0% savings per year (if CE)

    • Decouple, add incentives for implementing CE DSM programs


Task force building energy codes
Task Force – Building Energy Codes

  • Adopt the 2004 International Energy Conservation Cost, and consider features of CA Title-24

  • Update codes frequently (3-yr cycle suggested)

  • Implement code training and technical assistance for architects, builders and local code inspectors.

  • Establish a “reach code” for state-owned buildings to exceed the standards

  • Establish a regional building code collaborative


Others
Others

  • Adopt minimum efficiency standards for appliances not covered by federal standards

  • Establish goals for reducing energy intensity by 2%/yr or greater in state buildings

  • Consider providing tax incentives

  • Decouple and adopt inverted block rates for residential electricity and consider for natural gas

  • Continue and expand education and training

  • Initiate, continue and expand R&D


Task force regional initiatives
Task Force – Regional Initiatives

  • Create regional market-transformation organizations

    • Promote energy star, train the building sector, develop targets and standards, promote best practices, and perform R&D.

  • Building energy code collaborative

  • Coordinated appliance standards advocacy

  • Quantify air emission benefits of EE

  • Inclusion of EE in transmission planning

  • Develop a working group to help overcome the barriers to implementing EE in commercial and public buildings.