[USA] Policy brief: utilities see EVs as an opportunity for a resilient grid

According to a policy brief published July 24, 2023, by the Zero Emission Transportation Association (ZETA), many power providers believe electric vehicle (EV) growth could build grid resilience so long as the federal government and states create certainty through regulations and planning.[1] In its policy brief, titled  ‘Powering the EV Market: How Electricity Providers are Planning for the Future,’ ZETA found that between 2023 and 2050, utilities will need to add 15-27 terawatt-hours of generation (0.3-0.6% of U.S. current capacity) every year to keep up with EV growth and electrification.

The policy brief examined case studies from seven utilities and electricity providers, examining how they prepare for more EVs on the road. The case studies provide insights into managed charging, demand forecasting, community incentive programs, and fleet electrification. For example, in California, where EV adoption is highest, Pacific Gas & Electric (PG&E) expects system demand to increase up to 70% over the next two decades as EV growth increases. The utility developed a forecasting tool to address this projected demand and integrated it into its distribution planning processes. Of the 3 million EVs that the utility expects in its footprint, 2 million will be integrated with the grid by participating in time-of-use rates, managed charging, or vehicle-to-grid bidirectional charging programs.

[1] https://www.zeta2030.org/policy-brief-powering-the-ev-market-how-electricity-providers-are-planning-for-the-future

[USA] PG&E launches two new programs to accelerate EV adoption in underserved communities

On July 18, 2023, Pacific Gas and Electric Company (PG&E) announced that it has launched two new programs in California designed to improve access to electric vehicle (EV) charging infrastructure for underserved communities as a way to increase EV adoption.[1] Citing a study from CalMatters that analyzed data from the California Energy Commission (CEC), PG&E pointed out that high upfront vehicle costs, lack of chargers for renters, and inadequate access to public charging stations in underserved communities are limiting EV expansion among these populations.

Through the Empower EV and Multifamily Housing and Small Business EV Charger pilot programs, the utility hopes to address the costs of installing chargers at single-family homes, multifamily housing units, nonprofit organizations, and small businesses in the region. The Empower EV program will provide income-eligible customers up to $2,500 in incentives to help cover the costs of installing EV charging infrastructure at single-family residences. In addition, Level 2 chargers will be provided free to approximately 2,000 eligible customers, and up to $2,000 in panel upgrades will be offered per eligible household, up to 800 homes. Through the Multifamily Housing and Small Business EV Charger Program, PG&E plants to install approximately 2,000 Level 1 and Level 2 EV chargers at 450 multifamily housing units, nonprofit organizations, and small businesses, with priority given to properties within low-income, rural, tribal, and other priority populations. The chargers will be provided at no cost to property owners, and the utility will cover two years of networking and software fees.

[1] https://www.pge.com/en_US/about-pge/media-newsroom/news-details.page?pageID=029f3373-c807-4cf1-bfbf-6c65ed571f48&ts=1689881980044

[USA] Federal appeals court strikes down FERC approval of SEEM market

On July 14, 2023, the U.S. Court of Appeals for the District of Columbia Circuit ruled that Federal Energy Regulatory Commission (FERC) had unlawfully approved the Southeast Energy Exchange Market (SEEM)[1].[2] SEEM is a proposed trading platform for utilities in the Southeast covering 12 states that allows utilities in the region to make automated bilateral trades every 15 minutes using available transmission capacity. The trades are enabled by non-firm energy exchange transmission service (NFEETS).

In a split decision, the court ruled that FERC’s November 2021 decision approving SEEM’s transmission rules went against its open access requirements in Order 888, which aim to ensure transmission owners offer non-discriminatory access to their networks. The appeals court said that FERC failed to explain why the market should be allowed to exclude participants outside the region. The court remanded FERC’s 2021 decision approving the SEEM market. The court also directed FERC to revisit its decision approving SEEM and told the commission to consider an earlier appeal from clean energy companies and environmental groups that it had previously dismissed as untimely.

[1] SEEM members include Associated Electric Cooperative, Dalton Utilities, Dominion Energy South Carolina, Duke Energy Carolinas, Duke Energy Florida, Duke Energy Progress, Georgia System Operations Corporation, Georgia Transmission Corporation, JEA, LG&E and KU Energy, MEAG Power, N.C. Municipal Power Agency No. 1, NCEMC, Oglethorpe Power Corp., PowerSouth, Santee Cooper, Seminole Electric Corporation, Southern Company, Tampa Electric Company and TVA.

[2] https://www.cadc.uscourts.gov/internet/opinions.nsf/0D7A85E32E0291DF852589EC0050747A/$file/22-1018-2007875.pdf

[USA] PJM releases report finding gas-fired generation accounted for 70% of unplanned outages during Winter Storm Elliott

According to a report released by PJM Interconnection on July 18, 2023, during the peak of Winter Storm Elliott in December 2022, 24% of the grid operator’s generating capacity was unexpectedly offline.[1] Of the generating capacity that was offline, gas-fired power plants made up about 70% of unplanned outages. The report states that generators that failed to meet their capacity obligations during Winter Storm Elliott face about $1.8 billion in non-performance charges, about 45% of the nearly $4 billion in capacity revenue for this capacity year.

The non-performance charges represent 83% of the nearly $2.2 billion in capacity payments earned by the resources facing penalties. Resources that provide more power than their obligations receive bonus payments funded by the penalties. The grid operator stated that, on average, 80% of bonus megawatts were produced by generation, 10% came from net imports from outside its footprint, energy efficiency resources produced 5%, and demand response and price responsive demand resources produced 5%. Nuclear power plants received 34.5% of the bonus pool for generators, followed by gas at 29.2%, coal at 17.3%, and wind at 13.7%. In its report, PJM offered 30 recommendations in response to operations during Winter Storm Elliott. Many of these recommendations are being addressed in its Critical Issue Fast Path – Resource Adequacy process or through other forums.

[1] https://pjm.com/-/media/library/reports-notices/special-reports/2023/20230717-winter-storm-elliott-event-analysis-and-recommendation-report.ashx

[USA] Hawai’i selects Tritium to provide DCFCs under NEVI program

On July 11, 2023, Tritium DCFC Limited, a company that provides direct current (DC) fast chargers for electric vehicles (EVs), announced that it was selected to provide all fast chargers for Hawai’i’s first round of National Electric Vehicle Infrastructure (NEVI) Formula program funding.[1] The $5 billion federal NEVI Formula program was created by the Bipartisan Infrastructure Law (BIL) in 2021 and aims to develop a national EV charging network. Through the program, Hawai’i has access to $2.6 million of NEVI funding in FY2022. Using the initial round of NEVI funding, Hawai’i is procuring eight Tritium NEVI systems, totaling 32 PKM150 (150kW) chargers and 16 power units. According to Tritium, it is the first manufacturer selected to deliver NEVI-funded chargers. During the initial NEVI program phase, the Hawai’i Department of Transportation (HDOT) will install charging facilities along designated Alternative Fuel Corridors (AFC).

“Hawai’i is recognized nationwide and around the world for its commitment to sustainability and has long been at the forefront of the e-mobility transition,” said Tritium CEO Jane Hunter. “We’re not surprised to see the state act so quickly to ensure their community benefits from the emissions reductions that a rapid technology transition to electric vehicles secures. The NEVI funding is designed to ensure this transition occurs quickly and equitably, and Tritium is pleased to partner with the state and its representatives to bolster Hawai’i’s EV charging infrastructure.”

[1] https://tritiumcharging.com/tritium-becomes-first-manufacturer-to-win-nevi-fast-charger-order-company-to-provide-all-fast-chargers-for-first-phase-of-hawaii-nevi-program/?utm_campaign=newsletter&utm_medium=email&_hsmi=265786620&_hsenc=p2ANqtz-_8tMp-SQ9LLfXicT_WQnADKRTht9bLYof42a9kEkjv3y0D2nELoODxyN8hiP6R1QebRh20ZMygnjLHMtsH39j4YgUmyg&utm_content=265786620&utm_source=hs_email

[USA] DOE announces $45M to bolster domestic solar manufacturing

On July 6, 2023, the Department of Energy (DOE) announced $45 million to support pilot manufacturing of solar components to help boost the domestic manufacturing sector.[1] The funding, called the Silicon Solar Manufacturing and Dual-use Photovoltaics Incubator, includes $18 million from the Bipartisan Infrastructure Law (BIL) and will also support the development of dual-use solar technologies, such as agrivoltaics, building-integrated photovoltaics (BIPV), floating PV, and vehicle-integrated PV. According to the DOE, dual-use PV has the potential to minimize land-use concerns.

The funding opportunity will fund up to 12 projects to help establish a network of manufacturers focused on key materials such as polysilicon production, silicon ingots and wafers, solar cells, glass and other module components, and associated manufacturing equipment. Concept papers for the funding opportunity are due by September 27, 2023.

[1] https://www.energy.gov/articles/biden-harris-administration-announces-45-million-boost-domestic-solar-manufacturing

[USA] IAEA concludes Japan’s plans to release treated water from Fukushima are consistent with international safety standard

 On July 4, 2023, the International Atomic Energy Agency (IAEA) concluded that Japan’s plans to release treated water stored at the Fukushima Daiichi Nuclear Power Station into the sea are consistent with IAEA Safety Standards.[1] The report, which was presented by IAEA Director General Rafael Mariano Grossi to Japanese Prime Minister Fumio Kishida, found that the discharges of the treated water would have a negligible radiological impact on people and the environment. The report is the outcome of nearly two years of work by an IAEA Task Force made up of top specialists advised by internationally recognized nuclear safety experts from eleven countries. The Task Force has conducted five review missions to Japan, published six technical reports, met many times with the Japanese government and the nuclear power station’s owner Tokyo Electric Power Company (TEPCO), and analyzed technical and regulatory documentation.

The Japanese government decided to discharge the water stored at the Fukushima Daiichi Nuclear Power Station in April 2021. Water stored at the nuclear power station has been treated through an Advanced Liquid Processing System (ALPS) to remove almost all radioactivity, aside from tritium. Before releasing the water, it will be diluted to bring the tritium to below regulatory standards.

[1] https://www.iaea.org/newscenter/pressreleases/iaea-finds-japans-plans-to-release-treated-water-into-the-sea-at-fukushima-consistent-with-international-safety-standards

[USA] DOE launches $1B plan to support clean hydrogen program

On July 5, 2023, the Department of Energy (DOE) released a Notice of Intent (NOI) to invest up to $1 billion in a demand-side initiative to support Regional Clean Hydrogen Hubs (H2Hubs).[1] Funded by the Bipartisan Infrastructure Law (BIL), the H2Hubs program will help form the foundation of a national clean hydrogen network. According to the announcement, the investment will “help ensure both producers and end users in the H2Hubs have the market certainty they need during the early years of production to unlock private investment and realize the full potential of clean hydrogen.” The clean hydrogen sector could provide 100,000 net new direct and indirect jobs by 2030 according to DOE’s Pathways to Commercial Liftoff: Clean Hydrogen report.

The NOI includes a Request for Information (RFI) on the program’s design and, among other things, seeks public input on potential benefits and risks, operating models, governance structures, and equipped implementing partners. Later in 2023, the Biden administration will announce the selection of six to 10 H2Hubs for a combined total funding of up to $7 billion in federal funding. The proposed mechanism outlined in the NOI will help connect the H2Hubs to prospective purchasers.

[1] https://www.energy.gov/articles/biden-harris-administration-jumpstart-clean-hydrogen-economy-new-initiative-provide-market

[USA] Duke Energy to sell unregulated distributed generation business to ArcLight affiliate

On July 5, 2023, Duke Energy announced that it has reached an agreement to sell its commercial distributed generation business to an affiliate of ArcLight Capital Partners, LLC, a middle market infrastructure investor, for an enterprise value of $364 million.[1] The utility expects approximately $259 million of proceeds from this transaction. Duke Energy intends to finalize the sales for its utility-scale and distributed generation businesses by the end of 2023 and will utilize the proceeds to strengthen its balance sheet and avoid additional holding company debt issuances associated with these assets. The distributed generation business being sold includes REC Solar operating assets, development pipeline, O&M portfolio, and distributed fuel cell projects managed by Bloom Energy. The transaction is subject to the satisfaction of customary closing conditions, including the expiration of the waiting period under the Hart-Scott-Rodino Act. In addition, approval from the Federal Energy Regulatory Commission (FERC) will be required for the sale of the Bloom Energy distributed fuel cell assets.

[1] https://investors.duke-energy.com/news/news-details/2023/Duke-Energy-to-sell-commercial-distributed-generation-business-to-ArcLight-for-364-million/default.aspx

[USA] FERC gives approval for construction on Mountain Valley Pipeline

On June 28, 2023, the Federal Energy Regulatory Commission authorized the resumption of construction for the Mountain Valley pipeline.[1] Mountain Valley Pipeline, which is set to run about 300 miles from northwestern West Virginia to southern Virginia, was initially approved by FERC in 2017. However, the project has faced several court decisions rejecting its federal permits due to environmental concerns. FERC’s recent order follows the passage of the debt ceiling bill earlier in June, which required federal agencies to approve the pipeline. In FERC’s unanimous order, the commission said that all work, including portions of the project that will run through the Jefferson National Forest, could proceed. The order authorizes FERC’s Office of Energy Projects to approve any future changes to the project as long as the director of the office finds them “to be needed to complete construction.”

[1] https://elibrary.ferc.gov/eLibrary/filelist?accession_number=20230628-3041&optimized=false

[USA] GM announces V2H systems for its EVs

On June 28, 2023, General Motors announced product details for its initial suite of systems enabling owners of its electric vehicles (EVs) to export power to homes and the electric grid.[1] The systems, branded Ultium Home, will be the first solutions to be made available to residential customers through GM Energy. The announcement included three products: Ultium Home V2H Bundle, which will allow customers to use their GM EVs for vehicle-to-home (V2H) functionality; Ultium Home Energy System, designed for customers seeking V2H and stationary storage; and Ultium Home Energy Storage Bundle, designed for customers who only want stationary storage.

In addition to these products, GM announced that customers looking to integrate solar can work with SunPower. Each of the products will be connected to the GM Energy Cloud, a software platform that will allow customers to manage the transfer of energy between applicable and connected GM Energy assets. According to the announcement, the exact pricing and rollout dates for the products will vary.

[1] https://investor.gm.com/news-releases/news-release-details/gm-energy-simplifies-energy-management-three-easy-bundle-options

[USA] FlexCharging releases EV demand management solution designed for smaller utilities

On June 15, 2023, FlexCharging, a provider of electric vehicle (EV) managed charging, announced the release of EVision, an EV integration and demand response software solution.[1] As more EVs hit the road, smaller utilities, which may have fewer resources, are faced with the challenge of developing their own demand management initiatives. The cloud-based application allows electric utility cooperatives (co-ops) and municipal utilities to start their own managed charging programs.

EVision, in cooperation with their local utility, turns charging on and off remotely when drivers are home to avoid expensive electricity rates, tracks the charging, and makes sure that the EV owners get incentives. The software uses individual co-ops’ branding to maintain a seamless connection between drivers and utility. According to the press release, EVision “helps reduce the emissions from EV charging, lowers the cost of charging for EV owners, and minimizes charging during peak hours.” The product is available now to utilities of all sizes in the U.S., Canada, Australia, and parts of the EU.

[1] https://www.prnewswire.com/news-releases/flexcharging-launches-evision-managed-charging-solution-301851647.html

[USA] NYISO Board selects transmission project to deliver offshore wind energy from Long Island

On June 20, 2023, the New York Independent System Operator (NYISO) announced that its Board of Directors had selected the Propel Alternate Solution 5 transmission project to meet the Long Island Offshore Wind Export Public Policy Transmission Need (Long Island Need).[1] The New York State Public Service Commission (PSC) initially declared the Long Island Need in March 2021, launching an effort by NYISO’s team of experts, the New York State Department of Public Service, developers, and stakeholders to address transmission needs in and around Long Island.

Propel Alternate Solution 5 will deliver at least 3,000 MW of offshore wind power from Long Island to the rest of New York. The project will add three new underground cables connecting Long Island with the rest of the state and a 345 kV transmission backbone across western/central Long Island. Through a partnership called Propel NY, the New York Power Authority and New York Transco will develop the project. Propel Alternate Solution 5 is expected to be in service by May 2030, with an estimated cost of $3.26 billion. According to NYISO’s analysis, the project's potential economic benefits are comparable to or greater than the project cost over 20 years. NYISO expects the project to bring the state closer to its 9,000 MW of offshore wind energy goal by 2035.

[1] https://www.nyiso.com/-/press-release-%7C-nyiso-board-selects-transmission-project-to-deliver-offshore-wind-energy

[USA] Enel announces plans to build solar PV cell and panel manufacturing facilities in Oklahoma

On May 22, 2023, Enel North America, partnered with Italian company 3Sun USA, announced plans to build one of the largest solar photovoltaic (PV) cell and panel manufacturing facilities in Inola, Oklahoma, about 25 miles east of Tulsa.[1] Enel has a large presence in Oklahoma, with more than 2 GW of renewable energy capacity representing over $3 billion in total investments over the last ten years. Construction for the manufacturing facility is planned to begin in fall 2023, with the first panel produced and available to the market by the end of 2024. The company expects the factory to reach 3 GW of annual capacity in 2025, with a possible future expansion to 6 GW. The factory represents over $1 billion in initial investments and expects to create over 1,800 construction jobs.

According to the press release, the planned facility will be among the first in the U.S. to produce solar cells and will incorporate a high-performance bifacial heterojunction technology (HJT). The bifacial HJT can secure higher than average energy production, producing approximately 15-20% more electricity than conventional single-sided panels. It also provides significant efficiency improvements, with a certified cell efficiency of 24.6%. In addition, the technology’s lower degradation ensures a longer useful life for modules, and the cells’ high density is conducive to a variety of applications, such as land-constrained utility-scale installations or rooftops.

[1] https://www.enelnorthamerica.com/newsroom/news/search-press/press/2023/05/3sun-oklahoma

[USA] DOE announces initiative to encourage clean fuels and products

On May 24, 2023, the Department of Energy (DOE) announced the launch of the Clean Fuels and Products Shot, an initiative that aims to reduce greenhouse gas emissions (GHGs) from carbon-based fuels and products.[1] The initiative is the seventh under the DOE Energy Earthshots. The new initiative will encourage the development of sustainable feedstocks and conversion technologies necessary to produce crucial fuels, materials, and carbon-based products that are better for the environment than current petroleum-derived components. The Clean Fuels and Products Shot aims to meet projected 2050 net-zero emissions demands for 100% of aviation fuel; 50% of maritime, rail, and off-road fuel; and 50% of carbon-based chemicals by using sustainable carbon resources. According to the announcement, the initiative could help eliminate more than 650 million metric tons of carbon dioxide equivalent per year by 2050.

During the DOE secretary’s announcement at the Idaho National Laboratory, a ribbon-cutting also took place for the Biofuels National User Facility. The $15 million, 3-year long facility upgrade is designed to solve critical biofuels production challenges associated with the feeding, handling, and preprocessing of diverse biomass and waste materials.

[1] https://www.energy.gov/eere/clean-fuels-products-shottm-alternative-sources-carbon-based-products

[USA] Port of Long Beach proposes offshore wind manufacturing facility

On May 9, 2023, the Port of Long Beach in California released plans to build an offshore wind turbine manufacturing facility.[1] The port is seeking state and federal dollars to fund the $4.7 billion project, which would be capable of assembling floating wind turbines as tall as the Eiffel Tower. The location, about 20 miles south of Los Angeles International Airport, is uniquely suited for building the largest such facility of any U.S. seaport. Port officials presented a detailed design for the project, called Pier Wind, to the Los Angeles Board of Harbor Commissioners on May 8 and released it more widely on May 9. The port aims to start construction in 2027, completing phase one in early 2031 and finishing two additional phases by 2035. Each turbine could generate 20 MW of electricity. The project would help California meet its goal of producing 25 GW of offshore wind power by 2045 and contribute toward lowering the national cost of offshore wind power by 70% by 2035.

[1] https://polb.com/port-info/projects/#pier-wind

[USA] DOE releases proposed framework for national transmission corridors

On May 9, 2023, the Department of Energy’s (DOE) Grid Deployment Office (GDO) released a proposed framework for designating National Interest Electric Transmission Corridors (NIETCs) for specific transmission projects.[1] NIETCs are areas where new or upgraded power lines would benefit consumers by easing existing or future constraints that limit the ability to move power to where it is needed. According to the press release, the designation of a NIETC could unlock critical federal investment and regulatory and permitting tools to spur urgent transmission investments. Specifically, transmission projects in a national corridor can use the DOE’s $2.5 billion Transmission Facilitation Program under the Bipartisan Infrastructure Law (BIL) and the $2 billion Transmission Facility Financing Program under the Inflation Reduction Act (IRA). A NIETC designation also allows the Federal Energy Regulatory Commission (FERC) to issue permits for transmission lines in a corridor when state regulators lack the authority to site the line, have not acted on an application to site the line for over a year, or have denied an application.

Under the DOE’s proposal, transmission developers could apply for NIETC designation in areas where the department has identified transmission needs through its National Transmission Needs Study, which it expects to issue late this summer. Beyond transmission developers, the DOE is considering opening the pool of applicants to tribal authorities, states, non-transmission-owning utilities, local governments, and generation developers. The DOE has requested comments on final guidelines, procedures, and evaluation criteria for the designation process. The DOE plans to issue NIETC application guidance in Fall 2023.

[1] https://www.energy.gov/gdo/articles/doe-proposes-national-interest-electric-transmission-corridor-designation-process

[USA] Microsoft reaches agreement to buy fusion power

On May 10, 2023, Helion Energy announced that it has reached an agreement with Microsoft to provide the company with electricity from its first fusion power plant.[1] Constellation Energy will serve as the power marketer and will manage transmission for the project. Helion’s fusion power plant is expected to be online by 2028, and the company is targeting power generation of 50 MW or greater after a 1-year ramp-up period. Helion has previously built six working prototypes and was the first private fusion company to reach 100-million-degree plasma temperatures with its sixth fusion prototype. Currently, the company is building its seventh prototype, which is expected to demonstrate the ability to produce electricity in 2024.

“We are optimistic that fusion energy can be an important technology to help the world transition to clean energy,” said Brad Smith, Vice Chair and President at Microsoft. The development of a commercial fusion power facility will help Microsoft to achieve its goal of being carbon negative by 2030 and also support the development of a new clean energy source for the world.

[1] https://www.helionenergy.com/articles/helion-announces-worlds-first-fusion-ppa-with-microsoft/

[USA] DOE funds 11 community-scale geothermal system design projects

On April 25, 2023, the Department of Energy announced that 11 communities across 10 states will receive funding to design geothermal heating and cooling systems.[1] Geothermal systems utilize the relatively stable temperatures underground to transfer heat into buildings in the winter and out of them in the summer through a distribution network of underground pipes. These systems run on electricity, though they do not substantially increase electricity demand. The announcement represents the first of two phases in a $13 million initiative to support the design and deployment of community geothermal heating and cooling systems. The projects are part of the Biden administration’s Justice40 initiative, which sets a goal that 40% of the overall benefits of certain federal investments flow to disadvantaged communities.

Communities selected by the DOE include Ann Arbor, Michigan; Chicago, Illinois; New York City, New York; Duluth, Minnesota; Framingham, Massachusetts; Wallingford, Connecticut; Carbondale, Colorado; Middlebury, Vermont; Seward, Alaska; Shawnee, Oklahoma; and Nome, Alaska. The 11 selected projects include more than 60 partners across the U.S.

[1] https://www.energy.gov/articles/doe-announces-13-million-support-community-geothermal-heating-and-cooling-solutions

[USA] Black Hills Energy announces feasibility study of hydrogen generation from coal

On May 1, 2023, Black Hills Energy, a utility that serves 1.3 million customers in eight Western states, announced that it was awarded a grant from the Wyoming Energy Authority (WEA) to conduct a feasibility analysis on hydrogen generation using coal from its Wyodak Mine in Campbell County, WY.[1] The program’s partners include Black Hills, Babcock & Wilcox (B&W), and members of the Chemical and Biomolecular Engineering Department at Ohio State University. The program will use B&W’s BrightLoopTM chemical looping technology, an oxidation reduction chemical process that produces hydrogen and a nearly pure product stream of carbon dioxide without the need for carbon capture equipment to extract carbon emissions. As part of the analysis, a conceptual design and estimate for a semi-commercial scale plant will be developed. If feasible and cost-effective, a second phase would include the construction of the facility using the BrightLoop technology at Black Hills Energy’s Neil Simpson Complex in Wyoming.

[1] https://www.blackhillsenergy.com/news/black-hills-energy-explores-versatility-of-wyoming-coal