2015 – Page 3 – Global Power Law & Policy

OPUC Seeks Public Comment by September 1 in Its Community Solar Program Docket

Aug 26 2015

In an email sent to interested stakeholders on August 14, 2015, the Staff of the Oregon Public Utility Commission (the “Commission”) provided further guidance on the public comments due in Docket No. UM 1746 on September 1, 2015, and released a revised docket schedule. As we reported in our August 6, 2015, blog post, the Commission opened UM 1746 to examine a range of possible community solar programs and requested that stakeholders submit proposals for community solar designs by August 7, 2015. Seven stakeholders filed proposals or comments, including Oregon’s investor-owned utilities; Citizens’ Utility Board of Oregon; joint nongovernmental organizations (NWSEED, Oregon SEIA, RNW, Portland Bureau of Planning & Sustainability, Oregonians for Renewable Energy Process, and NWEC); Northwest & Intermountain Power Producers Coalition; Oregon Department of Energy; and Vote Solar. Some of the proposals described specific community solar designs, while others proposed a preferred set of community solar attributes.

Energy Storage and the Energy Policy Modernization Act

Aug 21 2015

We may be close to seeing the passage of the first major federal energy legislation since the Energy Policy Act of 2007. With a vote of 18-4, the Senate Energy and Natural Resources Committee on July 30, 2015 voted to advance to the Senate floor the Energy Policy Modernization Act. The proposed act was introduced by the leaders of the Senate Energy and Natural Resources Committee: Chairman Lisa Murkowski (R-AK) and ranking member Democrat Maria Cantwell (D-WA). The broad, bipartisan energy legislation is a result of many hearings over 114 proposed energy bills introduced by committee members, dozens of sessions during which stakeholders provided input on the legislation, and over 94 amendments filed during a three-day markup session. The approximately 357-page legislation has five sections: efficiency, infrastructure, supply, accountability, and conservation reauthorization.

Georgia Allows Third Party Ownership (TPO) of Solar

Aug 14 2015

Recently, Georgia Governor Nathan Deal signed into law House Bill 57, known as the Solar Power Free-Market Financing Act of 2015 (the Solar Power Act). The Solar Power Act, which both houses of the state’s General Assembly passed unanimously, allows homes and businesses to install solar technology under third party ownership (TPO). Although it sailed through the General Assembly, the Solar Power Act is the product of detailed negotiations and compromise between lawmakers, electric service providers, and consumers. The introduction of TPO through the Solar Power Act is expected to provide a significant boost to the residential and commercial solar markets in Georgia. Read More

Proposals for Community Solar Programs in Oregon due Friday, August 7, 2015

Aug 06 2015

Under Section 3 of Oregon’s recently enacted HB 2941, the Oregon Public Utility Commission has opened Docket No. UM 1746 to examine a range of community solar programs that allow individual customers to share in the costs and benefits of solar facilities, focusing on the attributes of different community solar program designs. The Commission is required to submit a recommendation on program design to the legislature by November 1, 2015.

In order to meet the November 1, 2015 deadline, the Commission has created a non-traditional process and accelerated timeline to obtain stakeholder input and finalize the Commission’s recommendation. The Commission has requested that interested parties submit proposals for community solar program designs by this Friday, August 7, 2015, in advance of the first staff workshop scheduled for August 11, 2015. Read More

EPA releases final version of Clean Power Plan

Aug 03 2015

EPA issued the Clean Power Plan in its final form today, August 3, 2015. The rule in effect reshapes energy policy nationwide by setting state-by-state carbon emission standards that all states must achieve through a combination of producing energy more efficiently, reducing energy demand, shifting away from coal-fired generation toward natural gas, nuclear power, and renewable energy, and encouraging state and regional policies such as renewable portfolio standards and cap-and-trade programs. The final rule contains significant changes from the version proposed in 2014, including backing down from an initial earlier deadline for compliance, axing energy efficiency as the fourth “building block” for state targets, increasing the targeted GHG reductions to 32% below 2005 levels by 2030 (up from 30%), and using uniform carbon emissions rates for similar types of power plants.[1] Read More

A new model for clean energy: Community solar gardens

Jul 31 2015

Declining prices for solar equipment and generous government incentives have broadened the appeal of community solar gardens. Community solar gardens, which are arrangements in which multiple users invest in and benefit from a solar array, provide a simple and cost-effective means for power consumers to acquire clean energy without having to bear the entire cost of purchasing or leasing a solar array. According to GTM Research, the community solar market is forecasted to grow fivefold in 2015.

For a variety of reasons, most energy consumers cannot own or lease a solar array—for example, they may not control the rights to their roof or their roof may be physically unsuitable. Community solar gardens offer these consumers the opportunity to invest in an offsite, local solar array in exchange for reductions in their energy bills. This new model expands consumer access to solar energy while also conferring a host of ancillary benefits.

This alert outlines the foundation of community solar gardens and describes their main legal considerations. While this alert cannot describe all the legal issues of community solar gardens nationwide, it covers common federal and state law issues that individuals involved with community solar gardens should anticipate.

Read the full alert here on K&L Gates Hub.

Oregon Enacts Energy Storage Legislation

Jun 25 2015

On June 1, 2015, the Oregon legislature passed House Bill 2193-B, which requires certain electric companies to procure qualifying energy storage systems by January 1, 2020, subject to authorization by the Oregon Public Utility Commission (the “Commission”). An electric company may recover in rates all costs prudently incurred in the procurement of the energy storage system(s), including any above-market costs associated with procurement. The final version of the bill enjoyed broad support, passing the Oregon Senate by a vote of 17-12 and the House by a vote of 56-3. Governor Kate Brown signed the bill into law on June 10.

To read the full alert, click here.

Oregon Moves Ahead on Energy Storage

May 26 2015

The Oregon Department of Energy (ODOE) recently announced that in June 2015 it will issue a request for proposals (RFP) for an electrical energy storage demonstration project. The U.S. Department of Energy will make $250,000 in federal funding available for the selected project, and ODOE and Oregon BEST will supply an additional $45,000. The RFP is intended to incent 500 kW or larger storage projects that “improve electric transmission and/or distribution system operations, service quality, and reliability.” The RFP will be technology neutral, and ODOE hopes to receive bids from “utilities, energy storage technology vendors, energy service suppliers and electric utility customers.” Applicants will need to have either a “committed utility partner” or a letter of support from the utility with which the project will interconnect—potential bidders may want to begin laying the groundwork for those arrangements pending the RFP’s issuance. The recipient of the award will be expected to provide a minimum 50% cost share and will need to “start” the project in 2015. (ODOE’s press release does not explain what will be required to “start,” and presumably the RFP will address that question.)

ODOE’s press release can be found here. The RFP announcement will appear on ODOE’s energy storage web site in June.

This announcement comes hard on the heels of news that the Oregon Senate Business and Transportation Committee passed H.B. 2193 out to the full Senate following a hearing on May 20. The proposed legislation would direct electric companies, if authorized by Oregon’s Public Utility Commission, to procure certain energy storage systems. The bill passed the Oregon House by a vote of 58-2. We’ll report on the final version of the bill if it is enacted, which seems likely—in the meantime, a summary of an earlier version of the legislation can be found here.

Australian Renewable Energy Target (RET) – Revised RET deal finalised

May 18 2015

A bipartisan agreement on the revised Renewable Energy Target (RET) was finally reached between the Australian Government (represented by Industry Minister, Ian Macfarlane and Environment Minister, Greg Hunt) and the Opposition (represented by Mark Butler and Gary Gray) on the morning of 18 May 2015 in Melbourne. There have been reports that the agreement was reached with intervention from the Prime Minister Tony Abbott’s office.

As contemplated by the in principle agreement reached between the Government and the Opposition on 8 May 2015, the existing target of 41,000 GWh of large scale renewable energy by 2020 will now be reduced to 33,000 GWh. This reduction will be effected by way of legislative amendment to the Renewable Energy (Electricity) Act 2000 (Cth).
Australia is the first developed country to formally reduce its renewable energy target. There are suggestions the reduced RET will cause investment in Australian renewable energy projects to fall from an expected AUD20.6 billion by 2020 to AUD14.7 billion.

The Government has agreed not to pursue its proposal to continue reviewing the target every two years. This alleviates concerns over the retention of the two-yearly reviews of the scheme. These reviews have arguably been the predominant cause of the current investment freeze in the renewable energy industry. In lieu of the two-yearly reviews, annual statements detailing achievement towards meeting the RET and impacts on electricity prices will be provided by the Clean Energy Regulator.

Despite lack of support from the Opposition, the Greens and the renewable energy industry, the Government’s plan to include native forest wood waste in the range of energy sources that are eligible to contribute to the RET will be included in the relevant amending legislation which is expected to be presented to Parliament next week. The Government intends to pass this proposal with support from the Senate crossbench.

It is expected the revised RET should be passed by both the House of Representatives and the Senate before the winter recess on 25 June 2015.

The Opposition has indicated that it would increase the 2020 target if it wins the next election, which is to be held on or before 14 January 2017.

Funding for Washington’s Clean Energy Fund II Hangs in the Balance

May 14 2015

Funding for Washington’s Clean Energy Fund (“CEF”) II hangs in the balance as the Washington State Legislature entered the 15th day of its first special session following the close of the 2015 regular session. A special session was necessary because neither a general fund budget nor a capital budget has been passed.

The CEF, which was established for the first time in the 2013 capital budget, is managed by the state Department of Commerce and supports clean energy projects and technologies statewide. Governor Inslee proposed $60 million for CEF II in his 2015 capital budget. The House has $40 million for CEF in the House’s 2015 proposed capital budget, and the Senate has $0.

Budget leaders in Olympia are meeting to develop compromise general fund and capital budgets, and the future of CEF II must be resolved in those negotiations.

The 2013 CEF was used to fund energy storage demonstration projects proposed by Avista Utilities, Puget Sound Energy, and Public Utility District No. 1 of Snohomish County, Washington ($15 million). The 2013 CEF funds also were used for revolving loan fund grants to support residential and commercial energy efficiency projects ($15 million). The remainder of the 2013 CEF ($6 million) will be used by Washington research institutions as matching funds for federal grants.

For more information, click here visit the CleanTech Alliance website.

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