International Energy Policy Trends Dennis Scanlin Appalachian
State University March 2011
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Energy Policy Trends Renewable energy policy is the principal
driver of the growth in renewable energy use. Regulatory Policies
Incentive Policies Disincentive Policies Feebates (combined fee
& rebate program) DSIRE data base good source for information
about US policiesDSIRE
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Public Policies and Renewable Energy Technology
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Regulatory Policies Renewable Portfolio Standards Permitting
Policies Zoning Ordinances Building Codes & Sustainable
Building Requirements Equipment & Installer Certification
programs
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Renewable Portfolio Standards (RPS) Mandated requirement that
electric utilities source a portion of their electricity supplies
from renewable energy sources Australia, Japan, Korea, Sweden,
& US
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RPS Policies Renewable portfolio standard Renewable portfolio
goal www.dsireusa.orgwww.dsireusa.org / March 2011 Solar water
heating eligible * Extra credit for solar or customer-sited
renewables Includes non-renewable alternative resources WA: 15% x
2020* CA: 33% x 2020 NV : 25% x 2025* AZ: 15% x 2025 NM: 20% x 2020
(IOUs) 10% x 2020 (co-ops) HI: 40% x 2030 Minimum solar or
customer-sited requirement TX: 5,880 MW x 2015 UT: 20% by 2025* CO:
30% by 2020 (IOUs) 10% by 2020 (co-ops & large munis)* MT: 15%
x 2015 ND: 10% x 2015 SD: 10% x 2015 IA: 105 MW MN: 25% x 2025
(Xcel: 30% x 2020) MO: 15% x 2021 WI : Varies by utility; 10% x
2015 statewide MI: 10% + 1,100 MW x 2015* OH : 25% x 2025 ME: 30% x
2000 New RE: 10% x 2017 NH: 23.8% x 2025 MA: 22.1% x 2020 New RE:
15% x 2020 (+1% annually thereafter) RI: 16% x 2020 CT: 23% x 2020
NY: 29% x 2015 NJ: 22.5% x 2021 PA: ~ 18% x 2021 MD: 20% x 2022 DE:
25% x 2026* DC: 20% x 2020 NC : 12.5% x 2021 (IOUs) 10% x 2018
(co-ops & munis) VT: (1) RE meets any increase in retail sales
x 2012; (2) 20% RE & CHP x 2017 KS: 20% x 2020 OR : 25% x 2025
(large utilities )* 5% - 10% x 2025 (smaller utilities) IL: 25% x
2025 29 states + DC and PR have an RPS (7 states have goals) 29
states + DC and PR have an RPS (7 states have goals) OK: 15% x 2015
PR: 20% x 2035 WV: 25% x 2025* VA: 15% x 2025* DC
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North Carolina Renewable Energy and Energy Efficiency Portfolio
Standard (REPS) August 2007 First state in the Southeast 12.5%by
2021 from renewable energy resources or energy efficiency measures.
Rural electric cooperatives and municipal electric suppliers are
subject to a 10% REPS requirement Approx 20,000 Million
KWH/year
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REPS Requirements for IOUs Acceptable methods of attaining
goals Generate at new RE facility Use a RE resource to generate
electric power Reduce consumption (up to 25% up to 2021 & 40%
after) Purchase power from new RE facility (outside state) Purchase
RE certificates (up to 25%) Requirements for solar &
biomass
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NC REPS 140 applications received by PUC since October, 2008
107 facilities registered 2 KW to 300,000 KW 39 hydro projects 27
PV projects 17 wind projects 7 solar thermal 6 landfill gas 8
biomass 2 swine & poultry waste 2,980,327 KW registered with NC
Utilities Commission
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Permitting of Wind Energy Facilities House Bill 809; Senate
Bill 1068 > 2 MW Permitting requirements defined $2,000
application fee Impact assessment work required Public hearing(s)
required Defines who gets to evaluates permit application and
decide whether a permit is issued or not.
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Model County Ordinance for NC 3 size classifications Under 20
kW 20 kW to 100 kW Over 100 kW Setbacks from 1.1 to 2.5 times
height of turbine Includes standard definitions, permit application
recommendations, noise & shadow flicker maximums &
decommissioning
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Codes & Sustainable Building Requirements Requirements for
new buildings Australia, Canada, Switzerland, Denmark, Germany,
Spain, Korea, Portugal, Turkey, & US New public buildings in
Korea must spend 5% of budget installing RE
Feed-In Tariffs (FIT) Government guarantees a high price for
green energy with a long term contract Most common incentive
program Australia, Austria, Canada, Switzerland, Germany, Spain,
France, Israel, Italy, Japan, Korea, Portugal, Netherlands, Sweden,
US
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Example FITs Canadas 2009 program provides 20 year contracts
for up to $.80/kWh. (price varies by energy source) Italys 2007
program pays up to $.52 - $.67/kWh with a long term contract and
quota Israels 2009 program pays $.55/kWh with quota
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Rebates Provides cash back after the completion of project (50%
of installed cost common) California- $2.50/watt for PV & Solar
thermal New York - $1.75/watt for PV with maximums; $3.50 per kWh
for expected annual wind energy production up to 10,000 kWh and
less after that Australia provides a 50% rebate
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Rebate Programs for Renewables www.dsireusa.orgwww.dsireusa.org
/ March 2011 Utility, local and/or non-profit program(s) only State
program(s) + utility, local and/or non-profit program(s) Notes:
This map does not include rebates for geothermal heat pumps or
other energy efficiency technologies. The Virgin Islands also
offers rebates for certain renewable energy technologies. State
program(s) only Puerto Rico DC 23 states + DC & PR offer
rebates for renewables 23 states + DC & PR offer rebates for
renewables
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Tax Credits Reduces tax liability based on a percentage of
installed cost of renewable energy system Canada, Switzerland,
France, Japan, Malaysia, Portugal, & US North Carolina offers a
35% state tax credit up to $10,500 for residential renewable energy
systems US government offers a 30% tax credit for solar thermal,
wind & geothermal heat pumps
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System Costs & Incentives for 3 Panel Solar Water Heating
System Installed costs can range from $90 to $120 per square foot
Incentives available 35% NC State Tax Credit Federal tax is paid on
state tax credit 30% Federal Tax Credit Accelerated depreciation of
renewable energy system
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Tax Credits for Renewables www.dsireusa.orgwww.dsireusa.org /
March 2011 Corporate tax credit(s) only Personal + corporate tax
credit(s) Notes: This map does not include corporate or personal
tax deductions or exemptions; or tax incentives for geothermal heat
pumps. Personal tax credit(s) only Puerto Rico DC 23 states offer
tax credits for renewables
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Netmetering Provides the retail rate for electricity by either
allowing the electric meter to turn backwards or providing a credit
for renewable energy produced Demark, Australia, Austria, Canada,
Italy, Mexico & US have programs NC program Residential and
commercial up to 1 MW Excess generation is carried forward until
summer billing season at then surrendered. No cash payments Only
investor owned utilities have to make net metering available
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Net Metering State policy Voluntary utility program(s) only
www.dsireusa.org / February 2011 * State policy applies to certain
utility types only (e.g., investor-owned utilities) WA: 100 OR:
25/2,000* CA: 1,000* MT: 50* NV: 1,000* UT: 25/2,000* AZ: no limit*
ND: 100* NM: 80,000* WY: 25* HI: 100 KIUC: 50 CO: no limit co-ops
& munis: 10/25 OK: 100* MN: 40 LA: 25/300 AR: 25/300 MI: 150*
WI: 20* MO: 100 IA: 500* IN: 10* IL: 40* FL: 2,000* KY: 30* OH: no
limit* GA: 10/100 WV: 25/50/500/2,000 NC: 1,000* VT: 20/250/2,200
VA: 20/500* NH: 100 MA: 60/1,000/2,000/10,000* RI: 1,650 / 2,250 /
3,500 * CT: 2,000* NY: 10 / 25/500/2,000* PA: 50/3,000/5,000* NJ:
no limit* DE: 25/100/2,000 co-ops & munis: 25/100/500 MD: 2,000
DC: 1,000 Note: Numbers indicate individual system capacity limit
in kW. Some limits vary by customer type, technology and/or
application. Other limits might also apply. This map generally does
not address statutory changes until administrative rules have been
adopted to implement such changes. NE: 25 KS: 25/200* ME: 660
co-ops & munis: 100 PR: 25/1,000 AK: 25* 43 states + DC &
PR have adopted a net metering policy DC
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Green Power Schemes Allows customers to purchase green
electricity from renewable energy usually at a premium price
Australia, Austria, Canada, Switzerland, Germany, Spain, Italy,
Japan, & US
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NC GreenPower NC GreenPower (NCGP) is a statewide program
designed to improve the quality of the environment by encouraging
the development of renewable energy resources and the mitigation of
greenhouse gas emissions through consumers voluntary funding.
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NC GreenPower Program Started in 2003 Voluntary program
Advanced Energy administers program First Statewide green power
program in US Involves IOUs, electric cooperatives and
municipalities 1,000 KW in 2010 $.15/KWH for PV < 10 KW $.09/KWH
for Wind < 10 KW
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Sources of NC GreenPower Raleigh Asheville Nags Head Haw
River
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Disincentives Carbon Tax an environmental tax on the carbon
content of fuels South Africa, India, South Korea, Denmark,
Finland, Germany, Italy, Netherlands, Norway, Slovenia, Sweden,
Switzerland, UK, some US states Many countries considering the
carbon tax concept
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Feebates Self financing (revenue neutral) system of fees and
rebates that are used to shift the cost of externalities onto the
responsible companies or individuals Used to shift buying habits
California Clean Car Discount program taxes the purchase of high
emission vehicles and using the fees to rebate the buyers of low
emission vehicles