[CEM 1064 / February 5, 2010]

Edison Wants to Curtail Renewables, Forgo Payments to Generators

Wind and solar developers are complaining that a proposal from Southern California Edison to curtail renewable generators and forgo payments to green-power producers could make lenders hesitant to finance renewable-energy projects. Edison, which mentioned the proposal in its 2010 renewables portfolio standard plan, argues it needs curtailment rights to compensate for intermittency and that ratepayers should not be forced into take-or-pay deals. But wind and solar developers argue they need a guaranteed revenue stream or else their projects won't be built. Meanwhile, the RPS plans of investor-owned utilities are also attracting scrutiny for short-term deals that ratepayer groups say force customers to pay renewable-energy prices for fossil-fuel power.

CARB's Latest Plan Could Unleash RECs

The California Air Resources Board could allow utilities to trade renewable-energy credits among themselves, and to use the credits to meet new targets under a proposed renewable electricity standard. That's the latest idea in the ongoing effort to draft rules for a program requiring utilities to derive a third of their electricity from designated renewable resources by 2020. CARB could allow publicly owned utilities to meet the target using a limited amount of large hydro.

Utility PV Market Looks Bright

Utilities are increasingly turning to distributed solar photovoltaics to meet their renewable-energy needs, fueling sector growth. A conference this week in San Francisco focused on the opportunities and challenges of distributed solar PV, which is becoming an increasing part of utility procurement in the effort to meet the renewables portfolio standard. And while the costs of other renewables are rising, PV's are falling.

Marin Aggregation Clears Major Hurdle; PG&E Continues Efforts to Oppose Program

The Marin Energy Authority cleared a major milestone Thursday with board approval of a contract with electricity supplier Shell Energy North America. The community-choice aggregation program hopes to launch in May, before voters consider a Pacific Gas & Electric-backed initiative that could block the program. Marin has proposed to match PG&E rates, but PG&E has stated it will not sign an agreement to provide electricity distribution to Marin. It also has hinted that the authority could be bogged down in an environmental review, and is funding a ballot initiative that would make it more difficult for communities to purchase their own power.

Also In California Energy Markets This Week . . .

• CPUC to Review Utility Shutoff-Related Issues
• CEC Eyes Potential Savings From Incremental Efficiency
• APS Proposes Transmission for Solar Development
• Obama Reiterates Backing for Climate Bill

...And Much More!

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