Clean Energy for Alaska

Transcription

1 Clean Energy for Alaska Chris Rose Executive Director Renewable Energy Alaska Project (REAP) Island Energy Conference Portland, Maine November 6, 2015

2 Founded in 2004, REAP is a statewide nonprofit coalition of over 70 electric utilities, Alaska Native Corporations, clean energy developers, conservation groups and other NGOs Our mission is to increase renewable energy development and promote energy efficiency in Alaska in

3 Policy prudence or wisdom in the management of affairs a definite course or method of action selected from among alternatives and in light of given conditions to guide and determine present and future decisions Webster Dictionary

4 The Three P Words

5 Energy policy increasingly means putting a price on carbon In 2015, 437 companies factored in a price on carbon emissions. This is a three-fold increase from 2014, and over the next two years 583 more companies have plans to do so. British Columbia began taxing carbon in 2008 and has the fastest growing economy in Canada 40 countries tax carbon today

6 The Sky is the Limit?

7 Pricing carbon obviously adds a cost to our production and our products but carbon pricing policy frameworks will contribute to provide our businesses and their many stakeholders with a clear roadmap for future investment, a level playing field for all energy sources across geographies and a clear role in securing a more sustainable future. Letter to the United Nations June 1, 2015 From BP, Royal Dutch Shell, Total, Eni, Statoil and BG Group

8 Carbon pricing is risk management Climate change is going to affect both risks and opportunities for our fund. Carbon pricing is needed to make the market more efficient in capturing this particular risk You now have trillions of dollars asking for this, rather than millions. And as with everything, money talks. Anne Simpson, director of corporate governance at the California Public Employees Retirement System (Calpers)

9 Clean Energy is Risk Management: World Wide Energy Demand is Expected to Double by 2050

10 Precious Oil - Undervalued

11 In the next 10 years it s estimated Alaskans will spend almost $60 BILLION on diesel fuel, natural gas and gasoline for our electricity, heat and transportation

12 Alaska s Energy Infrastructure

13 Alaska's Recent Advances 2008 *Renewable Energy Fund: ($260 million so far) *Home Weatherization Programs: ($607 million so far) 2010 *Goal to get 50% of electricity through renewables by 2025 *Goal to decrease per capita energy usage 15% by 2020 *Emerging Energy Technology Fund (EETF): ($10 million so far) *$250 million revolving loan fund for public building retrofits 2012 *Ten year extension of the Renewable Energy Fund *$125 million revolving loan fund for energy projects 2014 Five year extension of the EETF

14 Wind-Diesel Communities Remoteness Small populations Higher costs Smaller turbines Human capacity Technical issues Environmental issues Extreme weather

15

16 Alaska s Emerging Technology Hybrid Systems Efficient Building Technologies Tidal and Wave Power Energy Storage Electric Transportation Opportunities

17 islandedgrid.org

18 Alaska North Slope Oil Production

19 The Need for Change in Alaska s Railbelt The Alaska Energy Authority has estimated ANNUAL costs to Alaska customers of $60M-$140M due to transmission congestion that results in uneconomic dispatch. Difficult to build transmission projects with regional benefit. Despite PURPA and RCA regulations, non-utility and renewable generation developers have no clear road map to get their projects built. Although individual utilities have long-term resource plans, there is no integrated long-term plan to ensure the most economic upgrades to the system.

20 Benefits of Long Term Policy Policy certainty lowers risk Lowered risk means: Lower financing costs up to 30% lower More investment Continued innovation Economic prosperity

21 What Clean Energy Can Do For Alaska Reduce fossil fuel use and imports Decrease GHG emissions Stabilize energy prices Attract investment Diversify our economy and create jobs

22 Thank you!