Renewable Energy Needs a Renewed Electricity Grid
Posted September 16, 2009 at 7:46 am 
Filed in: In a further development to California’s push for even more aggressive renewable energy proposals, Governor Schwarzenegger said yesterday that he would veto legislation passed last week that would limit the amount of renewable power utilities could buy from other states in their move towards one-third renewable energy by 2020—back in 2006 the goal was 25 percent.
The population of the U.S. Southwest continues to rise. In fact, from 42.8 million people in 2000 it is expected to reach 63.5 million by 2030 (up almost 50 percent). Electricity demand is forecast to mirror this trend nationwide, rising 26 percent between 2007 and 2030. If Governor Schwarzenegger’s proposals are going to be met, even more needs to be done to enhance the nation’s electrical system and sustain the development of clean energy.
Traditionally utilities have generated electricity within well-defined service territories and transmitted it over the transmission network to consumers (residential, commercial, industrial etc.) Adjoining utilities are generally interconnected to enhance reliability and share excess power rather than for actually transmitting much power between territories. The system was not originally designed to move large quantities of electric power over large distances between different utilities.
By allowing utilities to buy out-of-state renewable power, greater incentives are created for the construction of renewable energy projects—in California and neighboring states—and for the necessary upgrades in grid infrastructure. Whether on the demand side or supply side, incentives for promoting renewable energy sources like wind and solar, that can help meet growing demand with clean and secure power with few if any safety concerns, are essential. Other proposals such as mandating the extension of PPAs between generators and utilities (for long-term stability of the investment climate), extending backup federal domain for transmission lines (to facilitate the construction of transmission lines from sites of renewable energy generation), or requiring utilities to install smart meters (to aid in load balancing and reduce strain on the infrastructure), are all useful in their different respects.
Ultimately, they will help improve system reliability and efficiency while providing more (and cleaner) power to consumers at lower prices.
The renewable electricity generated in any state should not be lost and wasted simply because the demand in that state is insufficient. In the case of wind or solar, this electricity is produced intermittently, so if California can at times take up excess from Nevada, Oregon, Arizona or others (and vice-versa), this is a good thing. And in the long run, fewer CO2 emitting power plants will be required to meet our growing electricity needs. It also promotes greater interconnectedness between the states and helps them grow energy investment in each other—just as trade is expected to do. Governor Schwarzenegger’s goals are good for renewable energy, but more must be done to ensure that they come to fruition.
Previous Post
January 23, 2012
December 22, 2011
December 19, 2011
