DOE Pursues Zero-Net Energy Commercial Buildings
DOE launched the Zero-Net Energy Commercial Building Initiative (CBI) on Tuesday, with the goals of developing new commercial buildings that produce as much energy as they use and making these buildings marketable by 2025. Such zero-net energy commercial buildings will minimize their energy use through cutting-edge energy efficiency technologies and will meet their remaining energy needs through on-site renewable energy generation.
To help with the CBI, DOE has also formed the National Laboratory Collaborative on Building Technologies (NLCBT), which will allow DOE and five of its national laboratories to work closely on the research, validation, and commercialization priorities that are critical to the success of zero-net energy buildings. Argonne National Laboratory, Lawrence Berkeley National Laboratory, the National Renewable Energy Laboratory (NREL), Oak Ridge National Laboratory, and the Pacific Northwest National Laboratory will be working together under the NLCBT.See the DOE press release and the DOE Buildings Technologies Program.
DOE Unveils Initiative to Promote Energy Efficiency in Hospitals
DOE launched the EnergySmart Hospitals initiative on July 23, with the aim to increase the use of energy efficient technologies in hospitals across the U.S. The EnergySmart Hospital initiative will provide hospitals with design strategies, advanced energy design guides, technology assessments, case studies, training sessions, and an interactive Web site to help hospitals increase their energy efficiency.
The initiative intends to improve energy efficiency in existing hospitals by 20% and to help develop new hospitals that are 30% more efficient than the current building standards. It will also support hospitals in meeting the challenge of lowering costs while delivering quality patient care and maintaining healthy healing and work environments.
The nation’s 8,000 hospitals are among the most energy intensive commercial buildings in the US, with more than 2.5 times the energy intensity and carbon dioxide emissions of commercial office buildings. Last year, hospitals spent more than $5 billion on energy. Unlike many other commercial buildings, hospitals must remain fully operational 24 hours a day, seven days a week and provide services during power outages, natural disasters, and other events that would force other facilities to close. See the DOE press release and the EnergySmart Hospitals Web site.
Housing Act Aims to Encourage Energy Efficient Mortgages
President Bush signed the Housing and Economic Recovery Act of 2008 into law on July 30, and while the act is focused primarily on addressing the mortgage crisis in the U.S., it also includes measures to encourage the greater use of energy efficient mortgages (EEMs).
Such mortgages allow people to purchase or refinance their principal residence and incorporate the cost of energy efficiency improvements into the mortgage. But while the idea is laudable, the implementation of it is difficult, as the borrower must first receive a home energy rating report, usually from an energy consultant, and the report must demonstrate that the energy efficiency improvements are cost effective. After the loan closes, the money for the improvements is placed in an escrow account and is not released until an inspector verifies that the improvements are installed and will achieve the desired energy savings. Due to both the complicated nature of EEMs and a lack of awareness of them, the Federal Housing Authority has typically issued only about 30,000 EEMs per year.
To address that issue, Section 2902 of the new act requires the Secretary of Housing and Urban Development (HUD) to develop recommendations to eliminate the barriers to the use of EEMs and report to Congress within the next six months. The act also calls for HUD to carry out an education and outreach campaign for consumers, home builders, residential lenders, and other real estate professionals on EEMs and on the benefits of energy efficiency in housing.
In addition, Section 2123 of the act increases the limits for cost-effective energy efficiency improvements. For most homebuyers, the cost of improvements can now be nearly 5% of the property value, while it was previously limited to $8,000. But the act also limits the number of energy efficient mortgages to 5% of the number of mortgages for 1- to 4-family residences insured by HUD during the preceding fiscal year. See President Bush’s signing announcement, the full text of the act (PDF 629 KB), and the HUD Web page on the Energy Efficient Mortgage Program.
Companies and Utilities to Launch Algae Farm in Hawaii
Two companies and two Hawaiian electric utilities are teaming up to develop a commercial-scale microalgae facility on Maui for the production of biodiesel and other products.
HR BioPetroleum, Inc. and Alexander & Baldwin, Inc. announced in mid-July that they have signed a MOU with Hawaiian Electric Company and Maui Electric Company to pursue the development of the algae farm, with HR BioPetroleum managing the overall project and Alexander & Baldwin providing land next to a Maui Electric power plant. The two utilities-both subsidiaries of Hawaiian Electric Industries, Inc.-will help engineer piping to carry emissions from the neighboring power plant to the algae facility.
The project is contingent upon a number of factors, including positive results from HR BioPetroleum’s pilot-scale and demonstration-scale algae facilities. If the project goes forward, the facility should begin operating in 2011.
During operation, the algae will grow in the CO2-rich atmosphere of the power plant emissions, converting some of those emissions into algae. The oil will then be extracted from the algae, combined with local vegetable oils, and converted into biodiesel fuel. Microalgae have significant potential as an energy crop, with the levels of oil production per acre potentially far exceeding the levels found in vegetable oil crops.
HR BioPetroleum is currently working with Royal Dutch Shell plc on a pilot facility to grow algae on land leased from the Natural Energy Laboratory of Hawaii Authority, which is located on the west shore of the island of Hawaii. See the HR BioPetroleum press release and Web page on its joint venture with Shell.
Large-Scale U.S. Solar Power Facilities Becoming Commonplace
A spate of announced plans to build large solar power facilities throughout the United States seems to indicate that relatively large-scale systems are becoming commonplace. The trend is most apparent in concentrating solar power (CSP), with a number of facilities in the planning stages with capacities greater than 100 megawatts (MW).
One recent example is a plan to build a 106.8-MW CSP plant near Coalinga, California, about 60 miles southwest of Fresno. Pacific Gas & Electric Company (PG&E) signed a power purchase contract for the facility with a subsidiary of Martifer Renewables Electricity LLC in June. Slated to start operation in 2011, the facility will produce power from biomass fuels when the sun is not available, allowing for constant power production. In addition, the four largest utilities in New Mexico, including PNM, issued a request for proposals (RFP) in late June to build a CSP plant in the state on the scale of about 100 MW. Bids are due by September 26, and a contract should be issued by January 2009, with the goal of commercial operation by 2012. Both the California and New Mexico facilities will use parabolic trough-shaped mirrors to concentrate the sun’s heat. See the PG&E press release and the PNM press release and RFP.
Meanwhile, Florida Power & Light Company (FPL) is moving ahead to deploy solar power in the Sunshine State. The utility plans to build a 75-MW CSP facility at the site of its gas-fired Martin Plant in Indiantown, just east of Lake Okeechobee. The solar thermal facility will help to reduce natural gas consumption at the power plant. But FPL is also making an impressive commitment to solar PV technology, with plans to install 25 MW of solar panels at a site in DeSoto County, east of Sarasota. Construction will begin by the end of this year on what will be the world’s largest PV power facility (although larger projects are now planned for Europe). FPL will also install a 10-MW PV project at the Kennedy Space Center. The three projects were approved by the Florida Public Service Commission (PSC) last week. See the FPL press release, the FPL Web page on the Martin Plant, and the Florida PSC press release.
For PV systems, even a 1-MW facility is quite large, and MW-scale systems are now planned for many parts of the country. In late April, for instance, Philadelphia Mayor Michael Nutter announced a MW PV system will be installed at the Philadelphia Navy Yard in Pennsylvania. In late May, Duke Energy Carolinas announced plans to buy all the power from a 16-MW PV facility, to be built north of Charlotte, North Carolina. SunEdison LLC is building the facility and expects to have it running by 2010. In mid-June, Pepco Energy Services was awarded a contract to install a 2.36-MW PV system on the roof of the Atlantic City Convention Center in NJ, with the installation to be completed by the end of the year, and in late June, enXco agreed to install a 1.3-MW system and a 0.5-MW system on two warehouses in South Plainfield, NJ, under a contract with Hall’s Warehouse Corporation.
But California has always been a leader in solar power, and last week First Solar, Inc. announced that it will install a 2-MW PV system on the roof of a commercial building in Fontana, CA, and at least 7.5 MW of ground-mounted PV panels in Blythe, CA, with the power from both systems to be sold to Southern California Edison. See the press releases from Mayor Nutter, Duke Energy, Pepco Energy Services, enXco, and First Solar.
Texas to Spend $4.93 Billion on Transmission Lines for Wind Power
The Public Utility Commission (PUC) of Texas approved last week a plan to build transmission lines to carry up to 18,456 MW of wind power from West Texas and the Texas Panhandle to metropolitan areas of the state.
Back in April, the Electric Reliability Council of Texas (ERCOT), which oversees the state’s electrical grid, provided the PUC with four scenarios for transmission system upgrades, with the costs ranging from $2.95 billion to $6.38 billion. The most expensive option would have delivered 24,859 MW of wind power to the cities of Texas, but the PUC chose a less expensive option, Scenario 2, at a cost of $4.93 billion. The PUC estimates that the new lines will be in service within 4 or 5 years, at which point residential customers will be charged about $4 per month to pay off the cost of the transmission lines.
According to ERCOT, the selected plan includes 6,903 MW of wind power capacity that was either in service when ERCOT started preparing its report in September 2007, or had progressed to the point that its developer had signed an agreement to connect the system to the grid. For that existing and near-term future wind power capacity, the new transmission lines will provide greater access to markets, allowing a more efficient and economical use of those wind power resources. In addition, Scenario 2 will allow the development of 11,553 MW of new wind power. That includes 2,393 MW of wind power in the "Panhandle B" zone, which is where a company founded by T. Boone Pickens plans to eventually build the world’s largest wind power plant, with a generating capacity of 4,000 MW. The 1,000-MW first phase of that project, the Pampa Wind Project, is expected to go online by early 2011. See the Texas PUC press release (PDF 15 KB); the April press release from ERCOT, which includes a link to the full ERCOT study; and the article from this newsletter on the Pampa Wind Project.
Pennsylvania Creates a $500 Million Alternative Energy Fund
Pennsylvania Governor Edward Rendell has approved a bill that establishes a $500 million fund to support alternative energy projects. Special Session House Bill 1 authorizes the Commonwealth Financing Authority to borrow $500 million, most of which will be split into six funding sources relating to energy efficiency and renewable energy: $80 million in grants and loans for solar energy projects; $100 million in grants, loans, and rebates for up to 35% of the cost of solar energy projects at residences and small businesses; $165 million in grants and loans for alternative energy projects, excluding solar energy, at businesses and local government facilities; $25 million for wind and geothermal energy projects; $40 million to help start-up businesses involved in energy efficiency technologies; and $25 million in grants and loans to improve the energy efficiency of new and existing homes and small business buildings. An additional $65 million will go toward pollution control technologies and to help low-income families pay their energy bills. See the governor’s press release and the full text of the bill (PDF 250 KB).
Governor Rendell also approved two bills last week that relate to biofuels. House Bill 1202 could add as much as 1 billion gallons of advanced biofuels to the state’s fuel supply. It requires all retail diesel fuel sold in the state to contain 2% biodiesel, once the in-state production of biodiesel reaches 40 million gallons per year, increasing incrementally to a 20% biodiesel requirement, once the in-state production of biodiesel reaches 400 million gallons per year (but only if vehicle manufacturers approve the use of 20% biodiesel). Likewise, all retail gasoline sold in the state must contain 10% ethanol, once the in-state production of cellulosic ethanol reaches 350 million gallons per year.
The state already has a biodiesel production capacity of 60 million gallons per year, so the 2% biodiesel requirement could go into effect soon, if production is high enough. To encourage biodiesel production, Special Session Senate Bill 22 will offer a subsidy of 75 cents per gallon of biodiesel produced, capped at $1.9 million per year for each producer. The bill also expands a hybrid vehicle rebate program to include plug-in hybrids and other alternative fuel vehicles. See the governor’s press release and the full text of HB 1202 (PDF 42 KB) and SB 22 (PDF 20 KB).
California Establishes Statewide Green Building Standards
The California Building Standards Commission adopted a statewide green building code, which the state claims as a first in the nation. The new California Green Building Standards Code contains standards for single-family homes, health facilities, and commercial buildings and will encourage builders to reduce the energy use of their structures to 15% below the energy use that is achieved with the state’s mandatory energy efficiency standards.
The standards also address on-site renewable energy use, water consumption, green building materials, indoor air quality, and other measures. The new standards will become mandatory for housing in 2010 but are currently optional for all buildings, allowing time for the building industry and local building code officials to adjust to the new standards. After 2010, the green building standards will updated annually. See the press release (PDF 20 KB) from the California State and Consumer Services Agency and the Green Building Standards Code on the Building Standards Commission Web site.
California may also be the first state to launch a map-based directory of state-owned facilities that have achieved or are pursuing LEED certification from the U.S. Green Building Council. Under an executive order signed by Governor Schwarzenegger in 2004, all new and renovated state-owned facilities must meet LEED Silver certification requirements, the third-highest level of certification available. You can check the state’s progress in a Google Maps interface or view an Excel spreadsheet of the state’s green building data. See the Green Building Directory.
Toyota to Build the Prius Hybrid in Mississippi
In yet another sign of how rapidly shifting consumer preferences are forcing automakers to change their long-term plans, Toyota Motor Corporation announced last week that it will begin producing the Prius hybrid in Mississippi in late 2010. The Mississippi manufacturing plant, currently under construction, was originally intended to produce the Toyota Highlander SUV, but with demand for SUVs falling rapidly, Toyota now plans to produce the Highlander at its Indiana plant, starting in late 2009. The Prius will be the second Toyota hybrid to be manufactured in the United States, as the company already produces the Camry Hybrid in Kentucky. See the Toyota press release.
Compared to sales for June 2007, sales of the Highlander SUV are down by 31.3% and sales of the Tundra pickup are down by 47%. The Sequoia SUV is currently bucking the trend, with sales up by 40.8% for June, even though it’s the largest of Toyota’s SUVs. But monthly sales of the Sequoia are low, at about 2,000 units, compared to about 10,000 Tundra sales and about 7,000 Highlander sales. The sales figures also show a 25.5% drop in sales of the Prius, but Toyota notes that the sales are being limited by a lack of supply, rather than a lack of demand. For the year to date, the Prius remains Toyota’s third-best seller, behind the Corolla and Camry. Meanwhile, Toyota’s smallest car, the Yaris, continues to gain ground, with a 4.1% increase in sales in June (compared to June 2007) and a 39.9% increase in year-to-date sales, compared to last year. See the Toyota press release.
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Kevin Eber is the Editor of EREE Network News, a weekly publication of the U.S. Department of Energy’s Office of Energy Efficiency and Renewable Energy (EERE).
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