CWEB.029/May.29.1998
WASHINGTON AS A SOLAR ENERGY CENTER? It may seem a farfetched notion, especially to those of us west of the Cascades. Nevertheless, a Puget Sound-area firm is anticipating a major role in what reportedly would be the world's largest solar-power plant, in New Mexico.
You can read all about it, and about a potpourri of other items, in this May issue of Con.WEB.
In market transformation, we feature the Building Operator Certification program, which educates building operators in energy-efficient technologies and practices. The program is beginning to transform an important but underappreciated market. We also catch up with the Northwest Energy Efficiency Alliance and its progress on various fronts.
In policy matters, we examine the way California has chosen to account for public-purposes funding under electric industry restructuring. Like much about the Golden State, the amount of money is outsized: $1.6 billion over four years. Still, the California experience--as in many other endeavors--is likely to be instructive. Another policy topic is PacifiCorp's alternative ratemaking plan, which includes a system benefits charge for conservation and renewables.
We have awards in abundance this month: the Electric Power Research Institute honoring Bonneville Power Administration for BPA's role in the ASDMaster software program; Portland General Electric recognizing energy-efficient customers; and the BEST Business Awards going to Portland-area companies for energy- and resource-efficiency projects.
Our Briefs section, meanwhile, offers a scattering of news along with a number of upcoming events we think will be of interest to those with an interest in energy efficiency and renewable energy.
Enjoy the cusp of summer, and keep in touch if you wish, with marko@newsdata.com.
A Washington state company is poised for a major role in what reportedly would be the world's largest solar-power plant.
Applied Power--a Lacey-based subsidiary of Idaho Power--has been selected as one of two finalists for contract negotiations to supply roughly 5 megawatts of solar-generated energy to Public Service Co. of New Mexico.
As currently envisioned, Applied Power would design, install and operate a 4-MW solar photovoltaic system near Albuquerque, while California-based Science Applications International Corp. (SAIC) would furnish 1 MW through a solar-thermal system.
The project still needs assent from the New Mexico Public Utility Commission, which has scheduled a June 15 hearing to review the solar-power plans as well as cost recovery for the utility. If the PUC gives a thumbs-up, construction could begin this fall and the plant could start delivering electrons in 1999.
"We're hopeful this will go forward" with the PUC, said Karin Stangl of PNM. "This is an experiment . . . and I think we're all interested to see how it proceeds." Said Public Service project manager Steve Anderson: "The hurdle comes from what risk PNM is willing to accept. This is not a market-driven thing. I feel comfortable we're going to get a mechanism [from the PUC] that will work very well for cost recovery."
The request for proposals leading to the selection of Applied Power and SAIC, Stangl noted, was initiated by a commission order approving a stipulation agreement for PNM to buy power from a natural gas-fired peaking plant in Albuquerque. A provision in the agreement called for Public Service, in cooperation with the PUC, to seek proposals for 5 MW of solar power.
"There's a lot of optimism" about the project moving ahead, said Tom Jensen, Applied Power's director of business development. "Things have gone very well. Everybody is confident it all will happen. The question is making sure everybody's on board--the utility, [PUC] commissioners, APC--and then once that's in hand, going to the financial community to make the rest of it happen."
He estimated the total project cost at around $30 million to $35 million; a more precise number is pending the PUC's decision.
The energy production costs, meanwhile, will not be even remotely competitive with the current wholesale power market. Both the Applied Power and SAIC proposals are comparably priced within the range of 20 cents per kilowatt-hour to 40 cents/KWh (specific prices were not divulged). That's roughly 10 to 20 times greater than present wholesale prices. "We're not doing this because it's an economic resource at this point in time," Anderson acknowledged; the PUC determined such a project is in the public interest.
Jensen emphasized that solar brings value as a clean and sustainable energy source, and once built requires only minimal operating expenses.
The New Mexico project would definitely advance the notion and the practice of creating electric energy from the sun, Jensen believes. "It's a major step forward for a lot of people," said Jensen. "For the industry at large, here's the first big U.S. project . . . It's a major step forward for APC. We want to make solar part of large-scale power solutions." From a niche of furnishing power generally in remote locations, solar, as evidenced by this project, is moving into grid-connected applications, he observed.
The Project
Applied Power and SAIC submitted two of the seven proposals received by March through Public Service New Mexico's RFP, according to Stangl. The investor-owned utility, which provides electricity and natural gas to more than 1.3 million people, decided to consider two different types of solar technologies.
Photovoltaic, which converts sunlight directly into electricity, is Applied Power's technology of choice.
SAIC's plan involves solar-thermal power production with a dish/Stirling technology. As explained by Anderson, a series of large mirrors would be arranged in a circle; sunlight striking the mirrors would be focused and concentrated to the back end of a Stirling-cycle engine that would use hydrogen as a working fluid. The engine, in turn, would generate electricity.
The precise split of the planned 5 MW capacity between the two technologies hasn't been determined, but Jensen said Applied Power probably would be responsible for about 4 MW.
That would make it the world's single largest operating PV power plant, he said. The current number one is located in Italy, rated at 3.3 MW. A 2.-MW facility run by the Sacramento Municipal Utility District in central California ranks first among U.S. photovoltaic power producers, according to Jensen.
Applied Power plans to have eight fields of 500 kilowatts apiece (assuming the total PV capacity is 4 MW). Each of these fields would feature many hundreds of modules (the exact number is not yet known) tracking the sun to optimize energy production. The PV technology Applied Power plans to use has proven to be reliable and long-lasting, according to Jensen, with substantial power output.
The anticipated location of the solar plant lies on state-owned land south of Albuquerque, near Kirkland Air Force Base. It would be part of a planned residential/commercial development called Mesa del Sol--appropriately named. Central New Mexico's solar resource ranks among the very best in the United States, outshone only slightly by some other Southwest places.
Solar Reactions
People in sunny New Mexico like the proposed solar-power plant, according to Applied Power and PNM officials. "There has been some reaction, and generally all positive," Anderson said.
Jensen specifically cited support within the state and Albuquerque governments, the Mesa del Sol developer and Sandia National Laboratory. Sandia, according to Anderson, "has done an awful lot of [solar] development work the past 20 years on photovoltaics, electronics, power towers." Passive solar also is popular in New Mexico.
And, according to Anderson, "There's a great deal of [solar] industry interest in the project. I think it has the potential to be a major benefit in terms of showing that large-scale [solar] systems are going to work, hopefully bringing down the cost" and demonstrating reliability.
Applied Power
This project also means a great deal to Applied Power, headquartered in the south Puget Sound community of Lacey, near Olympia. Jensen said the company's previous largest PV project is a 140-kilowatt system on the Channel Islands off Southern California. He expects the New Mexico project to make Applied Power the world's leading designer and installer of solar PV systems.
"It's an exciting time for us," he said.
Applied Power's 1996 acquisition by Idaho Power also served as a milestone for the firm. "Through that partnership a lot of new things happened to propel the company forward," according to Jensen. Those included capital investment along with technical, engineering and marketing support.
The 20-employee firm has put PV systems literally around the world, from Antarctica to the Sahara desert to Brazil.
"We haven't done a lot in Washington . . . a couple systems here and there," acknowledged Jensen. "The solar resource just isn't as great as it is elsewhere," although he described eastern Washington as "decent" for solar energy.
He hopes the New Mexico solar project, and its link with a development, can serve as a model. "We would like to think this kind of concept can spread elsewhere. We can make it cost-effective enough in combination with economic development and the public interest in furthering solar energy and renewables."--Mark Ohrenschall
Technologies save energy--and so do people who work with technologies.
This complementary notion underlies an innovative Northwest program designed to improve the efficiency of commercial and public buildings by training the people who operate and maintain them in energy-efficient technologies and practices.
The Building Operator Certification program is believed to be the only one of its kind in the nation. It offers a series of seven courses--building systems overview, energy conservation techniques, HVAC systems and controls, energy-efficient lighting, building maintenance codes, indoor air quality and facility electrical systems. Building operators who successfully complete the course work (including tests and projects) are eligible to receive certification.
Although the BOC curriculum focuses on technologies, "The application of those technologies is really dependent on the skill of the person running the building. We want to make sure we create a nice intersection of those two ideas," said Andy Ekman, project coordinator for the Northwest Energy Efficiency Alliance, which supports the regional BOC effort. BOC is operated in Washington and Oregon by the Northwest Energy Efficiency Council, and in Idaho by the Idaho Building Operators Association.
The goals of BOC are described in a May market progress evaluation report of the Washington program, conducted for the Alliance by the firms Research Into Action and Stellar Processes: "Staff, instructors, and steering committee members share a common vision for the BOC venture: to improve the energy management practices of operation and maintenance employees in commercial buildings. Certification is seen as an important component by enhancing student motivation to complete the course work and by providing employers with a measure of staff competence. A component of this vision is to give recognition to and enhance the credibility of building operators.
"Steering committee members and instructors emphasized the practicality of the BOC as training for a generally forgotten and overlooked group of people who are very important in the energy management of buildings," the report continued. "Several noted that at the same time the operations of commercial buildings are becoming more complex, the custodial staff is being shifted into positions that operate the building. They also noted the importance of courses being designed to translate complex information into practical terms that people with little education can implement on a day-to-day basis."
This meshing of people and technology in the name of efficiency is gaining increasing popularity. A total of 240 people had expressed a formal interest in pursuing BOC certification as of the end of March. Meanwhile, according to the report, 165 people had registered and paid for BOC courses offered at seven locations in Washington.
As of late May 13 Washingtonians were certified, and another 14 are expected to be certified shortly.
In addition, BOC courses are planned this year in Portland and central Oregon (see the Briefs section for more details). Further regionalization is anticipated. "The Washington program has been successful so far," noted Ekman. "Some similar things could come about in Oregon and Idaho. How Montana gets involved in the BOC effort remains for future meetings and discussions."
[Editor’s Note: BOC initiatives in Idaho and elsewhere in the Northwest will be covered in more detail in future issues of Con.WEB.]
The BOC curriculum has also been adopted by Renton Technical College in Washington; other vocational/technical schools may follow suit.
Development of additional BOC curriculum is under way to provide continuing education for certified operators, as well as more rigorous training for those who want it. "One of the challenges they face with the curriculum, as the report identifies, is that some people find the curriculum too simple, some people find it too hard," said Ekman.
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| BOC graduate Michael Washburn at his Boeing Co. office. (Photo by Mark Ohrenschall) |
Building operators who have taken BOC courses, and their employers, have generally found the program beneficial. Research Into Action and Stellar Processes interviewed 27 students and 12 supervisors, and concluded: "Both students and their supervisors expressed satisfaction with the program, especially with the courses."
Although some students questioned the level of information in the courses and noted the time-consuming nature of out-of-class projects, "all but one of the 27 students said they learned something new and useful," the report found. "The overall comment was that the ‘teachers are good professionals who know what they are doing.’ Most stated they thought it was a good idea to get certified and most of them indicated that they planned to be certified." In addition, "Most of the students felt that the course work was useful to their current job." That same sentiment came from a majority of interviewed supervisors of students in the Spokane BOC course.
Still, it has been difficult to link BOC training directly with energy savings. Research Into Action and Stellar Processes spoke with students in five Washington BOC locations and reported that "in most cases, they could not identify specific actions or energy conservation projects that were a result of class learning. Students also mentioned that much of the value for them was in areas not directly related to energy--indoor air quality (IAQ), documenting maintenance scheduling, and preventive maintenance."
Nonetheless, the report estimated that the initial BOC participants will save, on average, about 55,000 kilowatt-hours a year.
The report noted the overall success to date of BOC, but suggested a few improvements. Among them: a more thorough assessment of the market for BOC training, increased awareness of the program for both potential students and their employers, and relatively minor curriculum adjustments as needed.
The Human Face of BOC
Following are the stories of three people in the Puget Sound region who have received certification under the BOC program.
Michael Washburn
When Michael Washburn talks about energy efficiency, people tend to listen a little more closely now that he's a certified building operator. In fact, he has the distinction of being the first BOC graduate in Washington.
"Having that certification brings a lot of credibility," said Washburn, a Boeing Co. HVAC technician who works on energy management and control systems at seven Boeing facilities around Puget Sound. "That's been the main value," he said. "Now I'm talking to them about facts. Money's the bottom line. If I show them some legitimate reasons to save money, they'll do it."
This applies at Boeing as well as to his work outside the company.
Since he started BOC course work, Washburn has helped program lighting controls in a high-ceiling area of a Boeing plant in Seattle so the lights don’t run all the time and they all operate an equal amount of time.
During Washburn’s BOC training he also contributed to saving Boeing $100,000. Through testing with Seattle City Light, Washburn and others found that existing fan motors worked just fine, and there was no advantage in purchasing variable-frequency drives. "The latest and greatest [technology] . . . would not have paid off," he said.
When asked what initially interested him in the BOC program, Washburn replied, "The energy management part of it, conserving energy." He brings to his work a strong personal interest in maximizing efficiency: "I'm always messing around, trying to eke the last bit of energy out of that equipment."
And now, his building operator certification renders his efficiency ideas more credible to Boeing engineers and managers, and others with whom he works. "What this does now is it lends weight to what I do," Washburn said. "Instead of saying, ‘Turn the lights off to save energy,’ I can come back with data."
Washburn learned of the BOC program through Fay Weaver, Boeing’s conservation manager. He appreciated the company’s support in allowing him work time for BOC--and it did take time to attend the all-day courses and spend
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| Michael Washburn at work at Boeing. (Photo by Mark Ohrenschall) |
The snazziest technologies aren’t always the ideal solution, Washburn has learned. "Owners want to put in EMCS [energy management control systems] to save them money. Well, is it really? Like the [BOC] classes were teaching, what is costing you the most? . . . Look where your energy costs are and deal with it . . . Don’t make assumptions." For example, he said, sophisticated and expensive controls on a system with uninsulated water or steam pipes won’t be particularly effective. Insulation is a simple yet cost-effective energy-saving measure. He also observed that efficient energy use lessens equipment maintenance and in many cases (such as lighting) increases employee productivity.
Washburn said Boeing management has afforded him increasing freedom to take energy-saving actions. "That trust to save the energy has been there for a while," said Washburn, an 11-year Boeing employee. And, he added, "The [BOC] schooling has helped."
BOC training also has directly benefited Washburn in his non-Boeing work. He described how the certification helped him secure an upcoming project to write an entire controls system for a processing plant in Romania. A California coffee-roasting factory is another client for the newly certified Washburn.
David Gilmore
As a Kitsap County building maintenance technician, David Gilmore wants to operate county facilities as efficiently as possible. He wants to keep the people inside them comfortable, and he wants to save taxpayer money. Now, as one of the first BOC graduates, Gilmore has enhanced his abilities to meet those goals.
Gilmore learned about the BOC program through his boss, Bill Keller, Kitsap County’s manager of facilities maintenance. Keller in turn heard about the program from NEEC’s Cynthia Putnam, and immediately liked the idea. He knows of no other similar certification available for people who operate buildings. "I was really encouraged somebody was going to set some standards and recognize people" who had completed training.
Keller sought four volunteers among his 23 staff people to take the BOC courses. Since almost everyone expressed interest, he had them pick straws. Gilmore and three maintenance mechanics won.
In addition to having staff people gain recognition for meeting independent standards in building operations, Keller said he wanted his employees to expand their knowledge. "You end up with a maintenance person who is more skilled and who has a broader range of skills."
It’s a bit early to know the exact influence of Gilmore’s BOC training on the facilities he maintains; he gained his certification in January after completing the required course work, including tests and projects. Nevertheless, said Keller, "He’s gone beyond the immediate things he’s working on to see the effect on the overall building. Prior to this he worked on individual machines . . . Now he works toward energy efficiency in the entire buildings" with more of a systems approach.
For his part, Gilmore said he learned quite a bit through BOC about air-handling systems, lighting, indoor air quality and other aspects of energy-efficient building operations. As of late March, working at a Kitsap County residential drug/alcohol treatment center, Gilmore said he already is paying more attention to setting timers to improve energy efficiency. He also has reduced lighting levels where appropriate, and is looking into air-flow changes--without adding new equipment. "The county has a pretty limited budget; I do whatever I can do as long as it doesn’t cost anything," Gilmore said.
Although it’s premature to calculate energy and dollar savings earned by the county as a direct result of staff’s BOC training, Keller noted, "I would say that if all of our people had gone through this program that there might be some indoor air-quality increases . . . and an increase in tenant comfort."
Gilmore said he would recommend the BOC program for building operators willing to commit the time.
And Keller said he would be more inclined to hire certified operators. "This would be something I’d look for . . . a universally accepted certification program." Already the BOC program is moving into Oregon and Idaho, and Keller hopes eventually it becomes a nationally recognized badge of honor for people who complete the training and receive certification.
Shannon Blas
Shannon Blas is an engineering technician at the Bangor Naval Submarine Base, overseeing the work of a contractor hired to perform maintenance and repairs on the military base near Bremerton on the Olympic Peninsula. Although her position isn’t "hands-on," Blas nevertheless found the BOC training useful in her duties.
"Because I monitor the contractor’s performance on these issues I . . . need to know a lot," said Blas. "I need to know about the work and what should be done in order to determine whether they’re performing their work properly."
After gaining her certification in February, Blas has already had opportunities to put her BOC education to work. In April she was scrutinizing a contractor-generated survey for pathway lighting around a residential quarters, assessing lighting types, levels and placement. Blas also had conducted a lighting survey of her work area; discovering it had too much light, she suggested to the base's energy department a number of options for reducing lighting levels. "We're always looking for energy conservation measures" on the base, she said. "Anything I could learn about that would benefit the base."
One of three people nominated by a supervisor for BOC training, Blas said she "wasn't sure what I was getting into when I first started." Nevertheless she cited several valuable BOC courses, including lighting, energy conservation techniques, indoor air quality and building systems overview. "On heating and cooling, it's great to know how systems are balanced . . . [even though] I'm not the actual person doing that." Blas added she already knew "bits and pieces" of the BOC curriculum through her work at the base.
She concluded: "Certainly anything I can learn . . . may be not applicable today, but it will certainly give you kind of a well-rounded knowledge of the things you're working in."
Blas recommends BOC training for others, particularly those with "hands-on" responsibilities for building and facilities operations.--Mark Ohrenschall
A potpourri of work in progress filled up the May meeting of the Northwest Energy Efficiency Alliance board of directors.
The board made one significant project decision--a conditional extension of its alliance with local government associations--but much of the May 14-15 gathering in Portland consisted of status reports on various Alliance initiatives. The board heard the latest on the Alliance's request for proposal process, which eventually brought in 45 potential market transformation projects. Another project-related development came in the form of the latest market research information on motors management and purchasing--information that will influence how the Alliance plans to transform this important industrial market.
The Alliance also is developing a summary of the anticipated energy savings from its projects, including the effects of transformed markets. Over 10 years, according to preliminary draft figures presented to the board, this number could be nearly 370 average megawatts.
Other topics discussed during the May meeting were a planned independent review of the Alliance, and its outreach initiatives around the region.
This was the last board meeting before the Alliance, at the end of June, reaches the halfway point of its initial three-year, $65-million funding period.
Local Government Associations
After much discussion, the Alliance board voted 10-3 to continue working with local government associations in Idaho, Montana, Oregon and Washington, with maximum regionwide funding of $664,323 over two years. The specific work and funding for each state's association will be negotiated.
These groups--the Association of Idaho Cities, the Montana League of Cities and Towns, the League of Oregon Cities and the Association of Washington Cities--collectively reach more than 1,000 local governmental units throughout the region. The Alliance believes the associations have a role in market transformation.
"For example," according to an Alliance staff memo, "city and county buildings and facilities offer opportunities for substantial long-term energy savings, since their uses as city halls or wastewater treatment plants seldom change. Local governments are also called on to adopt and implement energy policies, codes and standards. Local officials, as local policy-makers and community leaders, provide avenues to support efforts at the grass roots level. Local governments can also assume leadership in the integration of energy planning into urban planning. Cities and counties can provide leadership for their residents and businesses by developing and implementing energy conservation programs, and set an example for their citizens by being model consumers of energy . . .
"The local government associations in the Northwest work directly with local officials on a daily basis," the staff memo continued. "City and county officials depend on the associations for accurate information and assistance. The associations are an efficient way for the Alliance to reach local governments, and to make the connections between market transformation and the local priorities." However, a few board members were unsure about how much the Alliance had benefited by working with the local government groups since the board endorsed the initial collaboration in April 1997. The associations were initially chartered to recruit water utilities for the WashWise program, market the Building Operator Certification program to operators of local-government facilities, communicate to local governments on market transformation and energy-efficiency issues, and provide energy code support.
Ultimately, the majority of board members agreed the local government associations offered valuable services, and they supported continued funding. "If we don't fund the local government community in Idaho, I'm afraid it will really set us backward," said board member Shirley Lindstrom, of the Northwest Power Planning Council's Idaho office. "They're one of the few voices on public purposes in Idaho, and I think they've done a pretty good job. I'm real supportive of funding."
Under the staff recommendation adopted by the board, the contract amount for each association will be determined through meetings with Alliance board members and association staff people within each state. These gatherings will identify each association's work for the Alliance. Communications/networking and legislative lobbying are anticipated to be the primary tasks. However, should an association not do its job, Alliance funding could be reduced or withdrawn at any point.
Premium Efficiency Motors Market Research
After the Alliance board in February decided to pursue a different tack in transforming the market for premium efficiency motors (see Con.WEB, March 31, 1998), Pacific Energy Associates was contracted to conduct additional research on the motor market. PEA interviewed eight motor experts, 22 customers and four motor vendors to assess the interest in various potential motor services the Alliance could offer.
"Our big conclusion is there's a market for . . . a customer-focused motor management program," PEA's Fred Gordon told the Alliance board. PEA's report noted "opportunities to sustainably change motor purchase and rewind practices," and cautioned, "It will not be quick, nor easy, but a well-designed, well-supported program has a good chance of working."
PEA concluded the Alliance should focus its work on motor inventory management and motor repair quality issues. This differs somewhat from the Alliance's earlier plan to institutionalize energy-efficient motor practices among companies that use high-horsepower motors and buy motors in large volumes, by focusing on transforming internal customer policies for the purchase, upkeep and repair of motors. It also varies from the initial premium efficiency motors program, which encouraged the stocking and sale of premium efficiency motors for businesses and industries around the region.
PEA found consistent interest among customers in getting help with motor repair and replacement decisions, along with repair specifications. Other 
promising areas included inventory assistance (especially in wood-product industries), motor testing (particularly among large customers) and various forms of education.
However, no single approach will work across the entire diverse Northwest industrial sector. "This is not one market; this is many smaller submarkets," said board member Charlie Grist.
At the same time, motors offer a tantalizing opportunity for the Alliance. They are ubiquitous within industries, and collectively they consume roughly two-thirds of the electricity used in the region's non-aluminum smelter industrial sector.
"A motors program from my perspective is essentially an entry point into many of these industries," said Alliance lead venture developer Jeff Harris. "They're like light bulbs; everybody has a light bulb in their house. Compact fluorescents [which the Alliance promotes through the LightWise program] are an entry point into the residential sector. Almost all facilities have a motor of some sort. A meaningful motors program provides a platform to run other programs," such as projects to improve the efficiency of motor systems, not simply individual motors.
With the market research information, the Alliance will continue to develop a programmatic approach to improving regional motor efficiency.
Request for Proposals
In its second request for market transformation proposals, the Alliance had only received a handful of responses as of midday May 14--the day before proposals were due at the Alliance's Portland office. But that trickle burst into a flood, as a grand total of 45 proposals beat the 5 p.m. deadline on May 15.
An initial Alliance review showed the proposals breaking down into the following categories: commercial, 14; industrial, 14; commercial and industrial, five; residential, five; multisector, five; municipal (solid waste/water systems), two.
This RFP round--the first took place in 1997--is primarily seeking initiatives to transform commercial and industrial markets. The Alliance plans to sort through the proposals and make funding decisions by the fall.
Energy Savings Estimates
Many people wonder: How much energy does the Alliance plan to save through its market transformation ventures?
To answer that question, Alliance staff constructed a draft estimate of energy savings for each of its projects, or at least those for which efficiency gains can be measured. Some of the numbers reflect changes from earlier estimates. This latest iteration forecasts total Alliance project savings of 44.1 aMW by mid-2001 and 368.8 aMW over 10 years (assuming successful projects). Both figures include direct savings as well as market effects resulting from Alliance initiatives. Market effects would include, for example, upgraded federal energy-efficiency standards for clothes washers as a consequence (to some degree) of the WashWise program. More than half the long-term savings--197.5 aMW--would come in the residential sector, and slightly more than half of that--105 aMW--would come from WashWise.
On the cost side, the weighted average total resource cost for the long-term savings is estimated at less than .5 cents per kilowatt-hour--not quite too cheap to meter, but very inexpensive. Three programs--WashWise, Evaporator Fan VFD Initiative and Silicon Crystal Growing Facilities--even have a negative total resource cost. Total resource cost takes into account water savings and other non-energy benefits.
The Alliance will continue to refine these estimates and the various assumptions underlying them.
Performance Review
The board authorized a request for proposals for an independent review of the Alliance's performance.
This review--a requirement in the original memorandum of agreement among the seven utilities funding the Alliance--is intended to assess the Alliance's performance to date and suggest ways to improve.
"We may not be asking for a tremendous amount of difficult work, but we are asking for a lot of credibility" for the entity chosen to conduct the review, said board member Ken Keating. "Whatever comes out of this could be very important for the future of the Alliance . . . It's certainly going to be our first formal external evaluation of how we've done."
The Alliance board plans to select a contractor this summer, while the review itself is scheduled to be completed by year's end.
Alliance Outreach
The Alliance has made a concerted effort in recent months to spread the message about itself and about market transformation. To that end, Alliance staff and board members have met with regulators, state government and legislative staff people, utility officials, conservation advocates and other interested people around the region.
Executive director Margie Gardner reported positive outcomes from her meetings this spring with regulators in Montana, Oregon and Washington. "All three support the work" of the Alliance, she told the board. "They were interested, they cared enough to come . . . People were generally supportive."
Alliance staff also held five roundtable meetings around the region this spring, primarily to inform utility representatives about the Alliance generally and the LightWise, WashWise and Energy Star Fixtures programs specifically. A total of 149 people either registered or requested materials from the meetings, reported Alliance communications coordinator Stacey Hobart. A future series of roundtables--focusing on commercial and industrial projects--is planned for the fall. Other means to help the Alliance communicate with regional utilities are in progress. --Mark Ohrenschall
After three months of delay, the curtain finally lifted March 31 on California's newly competitive retail electricity market.
Restructuring obviously has changed the face of the state's $23 billion-a-year electricity industry; so too has it initiated a new era in the administration of California's public-purpose programs--those programs that are, according to the California Public Utilities Commission (CPUC), designed to "encourage energy conservation and efficiency, and research and development of energy efficient technologies and products."
As Montana continues to grapple with implementation of its 1997 electric restructuring legislation, and a number of other Northwest states debate restructuring, a look at the way in which California has chosen to collect, manage and allocate conservation and renewables funding is informative.
With about three times the population of the entire Pacific Northwest, the Golden State has allocated $1.6 billion of ratepayer money for energy conservation, renewables energy, and research, development and demonstration funding over the next four years.
California's Restructuring Legislation
Gov. Pete Wilson signed Assembly Bill 1890, California's much ballyhooed comprehensive electricity act, on Sept. 23, 1996. Passed unanimously by the state Legislature, the bill was embraced as a landmark piece of legislation by utilities. AB 1890 also was initially supported by much of the 'green' community, which saw restructuring as a means of closing down, once and for all, economically unviable and technologically obsolete nuclear power plants.
Pleased with the public-purposes provisions included in the bill, Ralph Cavanagh of the Natural Resources Defense Council has gone so far as to tout AB 1890 as a national model for electricity restructuring.
More specifically, California's legislation requires that each of the state's three major investor-owned utilities--San Diego Gas & Electric, Southern California Edison and Pacific Gas & Electric--assess its ratepayers a non-bypassable, usage-based surcharge to fund public-purpose programs for a four-year restructuring transition period, from 1998 through 2001.
AB 1890 further outlined broad funding and allocation guidelines for public-purpose programs. Among these: the allotment of about $872 million from 1998 through 2001 for cost-effective energy efficiency and conservation programs; $250 million throughout the course of the transition period for electricity research, development and demonstration (RD&D) programs; and $540 million over four years for in-state operation and development of existing, new and emerging renewable resource technologies.
The legislation delegated responsibility for distributing energy efficiency funds to the CPUC, and gave oversight of the majority of RD&D money to the California Energy Commission (CEC). AB 1890 also assigned the CEC the task of devising a method for allocating renewables funding. The resulting plan, Policy Report on AB 1890 Renewables Funding, was filed with the Legislature in March 1997 and signed into law as Senate Bill 90 on Sept. 12, 1997.
Renewables Under SB 90
California has long been dedicated to the development of renewable-energy technologies. The state's historic commitment to green power dates to the 1970s, when it began to support the development of green resources as an alternative to (then) volatilely priced natural gas and oil.
Today, renewable projects in California harbor 5,733 megawatts of capacity and supply up to 12 percent of the state's total generation. Unsurprisingly, then, the state's restructuring legislation provides for continued funding of green-power projects during the restructuring transition period.
Nor is it astonishing that, since renewable projects of all kinds have already established themselves within the state, the process of distributing funds among different types of existent green-power suppliers (such as wind, solar and biomass), and among existing, emerging and new renewable technologies, became fairly contentious for the CEC.
A coalition of current renewable providers, for example, proposed the commission award existing facilities 60 percent (more than $320 million) of the entire $540 million in renewables funds.
The CEC's plan and, subsequently, SB 90 established the $540 million Renewable Resource Trust fund. The commission explained its allocation of renewables money: "While the [CEC] seeks to encourage the development of a consumer-driven market for renewables, the fate of the existing renewables industry should not rest wholly with the consumer market until that market has proven viable. A balance of support to existing and new suppliers is needed to ensure that suppliers will be around to provide renewable power to those consumers
who desire it when the consumer market develops."
The trust fund is divided into four separate accounts, the first of which is for existing in-state technologies--those renewable projects in operation in California before the enactment of AB 1890. This account will receive 45 percent, or $243 million, of the $540 million collected from IOU ratepayers. This amount is further divided into three separate accounts: Tier 1, for biomass and solar thermal, will be awarded $135 million over four years; Tier 2, for wind projects, $70.2 million; and Tier 3, $37.8 million for the development of geothermal, small hydro, digester and landfill gas, and municipal solid waste projects.
Funding for existing renewable technologies will diminish as the transition period progresses, as the CEC expects the projects that fall into this category to become increasingly cost-effective over time. To receive any of this money, renewable resource suppliers must be certified by the CEC. Funds will be distributed in the form of per-kilowatt-hour production incentives based on target prices for each kind of renewable energy and the actual market-clearing price of electricity sold by the state's new Power Exchange.
The second renewables account is for new technologies--those renewable projects that have become operational since electricity restructuring has commenced in California. The $162 million in this account will be awarded on the basis of a simple auction in which qualified renewable generation projects bid for support by requesting a cents-per-kilowatt-hour subsidy for an estimated amount of generation, with a cap at 1.5 cents/KWh. Winning projects will be those requesting the smallest amount of support, and they will receive funds from the new technologies account for five years after they've gone on-line. The CEC released the first auction notice March 31; bids were due mid-May and results were scheduled to be announced at the beginning of June.
Photovoltaic, solar-thermal electric, fuel-cell technologies that use renewable fuels, and wind turbines smaller than 10-KW capacity are eligible for funds from the third, emerging technologies account. The $54 million available in this account will be disbursed on a project-by-project basis, over the course of four years.
The CEC launched its first program, known as "Green Grid" or, more formally, the California Emerging Renewables Buyback Program, on March 20.
The first $10 million from the emerging technologies account has been earmarked for this program, which is designed to assist homeowners and small businesses in installing solar panels or small wind generators on their property. The program will pay the consumer up to 50 percent of the system cost or $3 a watt--whichever is cheaper--for installation of renewable energy generation equipment large enough to offset some or all of the electricity used by the home or business. Moreover, the newly installed system must be connected to local power lines. The Green Grid program is expected to continue all four years of the transition period, with funds available on a first-come, first-served basis.
The commission plans to increase the amount of money distributed from the new and emerging technologies accounts as the transition period progresses, as it expects the number of projects eligible for these funds to increase over time.
The last account established under SB 90 is the $81 million customer-side fund, which consists of two separate accounts. The first, the consumer credit fund, has been allocated $75.6 million for the duration of the transition period. This money will be used to award customers an incentive of up to 1.5 cents/KWh--not to exceed $1,000 in total rebates per customer per year--for purchasing electricity from certified renewable energy producers. Currently, three electric service providers (ESPs)--cleen 'n green, PG&E Energy Services and Utilisys Corporation--have products on the market approved by the CEC. Green certification is currently pending for products from four other ESPs: Edison Source, Enron Energy Services, Green Mountain Energy Resources and Power USA.
The remaining $5.4 million in the customer-side account has been allocated to a consumer education fund. As of April 27, the CEC had not determined how the majority of these funds would be spent. Thus far the commission's education efforts have consisted of creating the Renewable Energy Call Center (1-800-555-7794 in California; (916) 654-5106 outside the state) to answer consumer questions, and putting together a brochure designed to encourage renewable energy purchases by companies. The CEC has also developed a "Power Content Label," similar to the label recently adopted in Oregon, which will provide consumers information about generation sources of the electricity they've purchased.
Research, Development and Demonstration
Under AB 1890, the CEC is also charged with administering the $250 million in RD&D funds collected from IOU ratepayers. (Note: The CPUC retains jurisdiction over transmission-related RD&D, as it maintains authority over the newly created California Power Exchange and Independent System Operator.) Funds will be disbursed in the amount of $62 million a year over the course of the transition period.
The CEC launched the Public Interest Energy Research (PIER) program to assist it in allocating these RD&D funds. The commission has identified the program's primary objective as "developing and implementing a robust public interest RD&D portfolio of projects that addresses California's energy needs in the broad subject areas of end-use efficiency, environmentally-preferred advanced generation, renewable energy technologies, energy-related environmental issues and strategic 'cross-cutting' RD&D."
Under the PIER program, the CEC will issue periodic requests for proposals and will distribute funds on a case-by-case basis to businesses, organizations and universities with track records in energy research. Money will be awarded to those projects deemed by the commission to have "strong potential to increase the reliability, cost-effectiveness and environmental cleanliness of the state's electricity industry."
The first PIER RFP, issued Feb. 13, made about $15 million available for projects in the areas of "environmental, advanced generation and renewable research." Proposals were due March 20, with CEC award approval tentatively scheduled for June 24.
PIER's second solicitation was issued April 10, and seeks project proposals in the area of "end-use energy efficiency" and "strategic energy research." A total of $10 million is available under this second RFP, and proposals are due in June. Awards are tentatively scheduled for October 1998.
As the CEC currently lacks PIER program contractors, the commission also is working with IOUs to continue RD&D efforts already under way.
Energy Efficiency Programs
While the administration of demand-side management programs has traditionally been the province of individual IOUs, AB 1890 shifted jurisdiction over these initiatives to the CPUC.
"In a competitive market, utilities have no incentive to promote conservation and energy efficiency because doing so reduces their overall revenues," said a CPUC press release. "Nor do utilities have incentives to develop an independent energy efficiency market because market participants would compete with utility services."
To advise the commission on administration of the total $872 million--$220 million in annual efficiency spending for the duration of the restructuring transition--the CPUC in February 1997 created the California Board for Energy Efficiency (CBEE). (Note: At the same meeting in February 1997, the CPUC voted to create the Low-Income Governing Board (LIGB) to oversee energy assistance programs. Under AB 1890, funds for these efforts are provided by a non-bypassable surcharge separate from the one funding the state's public-purpose programs.)
The CBEE is responsible for issuing an RFP for independent administrators of program funding, and for setting policies that will transfer efficiency programs from regulatory oversight to a competitive market. The goal of this change in strategy is to create an independent, competitive energy services market in which public-purpose funds can be invested in the most innovative and promising energy efficiency initiatives.
The CPUC has stipulated that new efficiency administrators be selected via a competitive bid process, and it set Oct. 1, 1998 as the deadline by which the new administrative apparatus must be in place. The CBEE's RFP is currently undergoing review by the CPUC. The commission filed an interim opinion on the most recent iteration of the CBEE's solicitation on April 23, tentatively approving some proposed policy guidelines and suggesting modifications in the solicitation. Indeed, a number of the specifics remain to be nailed down.
Meanwhile, the California State Employees Association and Association of California Attorneys and Administrative Law Judges are legally challenging the CBEE's authority to use independent administrative, technical and legal consultants. It's unclear what ramifications this may have on the fate of energy-efficiency programs. In its April 23 opinion the CPUC said "our intention is to stay the course established [by the creation of the CBEE]," but allowed that "if this course is not found feasible by June 30, 1998, we will consider alternatives, including the option of continued utility administration."
While these issues remain to be resolved, the state's three IOUs are continuing to administer their own DSM programs, and are working cooperatively to track their interim spending.--Angela Becker-Dippmann.
PacifiCorp and the Oregon Public Utility Commission have agreed on a modified alternative ratemaking plan for the utility's electricity distribution functions that includes a non-bypassable system benefits charge for energy efficiency and renewable energy initiatives.
In a May 6 order, the OPUC offered PacifiCorp a slightly revised version of an agreement reached earlier this year between the investor-owned utility, OPUC staff and interested parties. "I think we're setting the right incentives for regulation of the distribution business, as related to price changes," said Bruce Hellebuyck, PacifiCorp manager of regulation.
Ralph Cavanagh of the Natural Resources Defense Council described the plan as "certainly the most important regulatory decision of the past five years in any of the Northwest states, in terms of its implications for the future of the industry."
"There's a lot to like in this" order, said Bob Jenks of Oregon Citizens Utility Board, because it severs the link between distribution revenues and energy sales. "Decoupling always made the most sense on the distribution side."
The OPUC said the plan "operates in the interests of utility customers and the public generally. First, the alternative regulatory mechanism will promote increased efficiencies and cost control for the distribution function by basing rate changes on a general measure of inflation reduced by a productivity offset. Because PacifiCorp will not be able to pass through to customers any specific distribution cost increases under the plan, the company will be pressured to pursue efficiencies and reduce costs."
The new regulatory framework is based on a stipulation agreement reached in October by the company and several intervenors in its alternative form of ratemaking (AFOR) proposal, which PacifiCorp originally filed with the OPUC in September 1995.
The OPUC rejected the October stipulation agreement--which would have applied the alternative ratemaking plan to all utility functions--because it did not provide adequate customer benefits. At the same time, commissioners asked the parties if they were still interested in pursuing a modified alternative form of ratemaking.
The groups--which include NRDC, CUB, Renewable Northwest Project, the Oregon Office of Energy and the Northwest Energy Coalition (formerly Northwest Conservation Act Coalition)--responded affirmatively and suggested applying the AFOR, as described in the stipulation agreement, only to the distribution function. "Narrowing [the AFOR] to distribution solves a lot of problems and gets rid of most of the disincentives" for decoupling, said CUB's Jenks.
The OPUC determined certain modifications were needed, and in January of this year issued a modified draft distribution-only AFOR order. PacifiCorp conditionally accepted the commission's draft in February, but requested four modifications. In the May order, the OPUC agreed with three of PacifiCorp's four proposed changes.
The main features of the distribution-only AFOR include a revenue cap for distribution revenues, increased service quality performance measures, revenue sharing between customers and PacifiCorp for all earnings outside a predetermined earnings range, and a non-bypassable system benefits charge and renewable resource incentive that encourages investment in sustainable energy resources and allows PacifiCorp to recover other investments in energy efficiency.
PacifiCorp already has a cost-recovery mechanism for demand-side management costs, as well as an incentive mechanism related to DSM. These will basically be left in place as the system benefits charge and renewables incentive kick in, Hellebuyck said. The charge "essentially would make us whole for DSM we're doing today," he explained, and serve as a precursor to a potential public-purposes charge that has been an element of most electric industry restructuring discussions in Oregon.
The renewables incentive mechanism comes into play if PacifiCorp is able to develop a renewable resource for 10 percent less than the cost estimates included in the utility's integrated resource plan, RAMPP-4. The difference between the estimated costs and actual costs would then be split equally between the utility and its customers.
The OPUC is expected to approve implementing the initial AFOR as of June 3. The new index-related rate will be slightly more than current rates--about 0.6 percent for residential customers. The second phase will take effect July 1, with another 0.6 percent rate increase. But the plan's service quality standards--and penalties for failing to meet them--would be retroactive to Jan. 1, 1998. In addition, the decoupling mechanisms would run through June 30, 2001, while the service quality standards would remain in place for 10 years.--Jude Noland
BPA is one of five utilities nationwide to win a 1997 End-Use Leadership Award from the Electric Power Research Institute, "for their leadership and creative contributions to the application and/or commercialization of EPRI-developed projects," according to an EPRI news release.
Bonneville's prize came for its role in ASDMaster, software that helps companies analyze and select adjustable-speed drives for motors. ASDs vary the speed of motors to match loads.
"The aim [with ASDMaster] is to help lower the perceived risks of using this new technology in plants, so that more of those drives can get installed where they can help improve the efficiency of industrial processes and reduce energy use," said BPA's Karl Vischer, who has played a leading role in ASDMaster.
The prospects are significant, he noted. Motors consume roughly two-thirds of all the non-aluminum smelter electricity used in Northwest industries. If every regional industrial motor that could use an ASD had one installed, the energy savings could reach 500 average megawatts. That's the technical potential--an idealistic figure. But even the economic potential is considerable, estimated by Vischer at considerably more than 250 aMW, factoring in cost-effective paybacks along with such non-energy benefits as more efficient industrial processes.
"We think the ASDMaster has the potential to significantly reduce the electric bills of every industrial customer using large motors with variable loads," BPA vice president of energy efficiency Terry Esvelt said at the EPRI awards ceremony in March, as quoted in the BPA employee newsletter Circuit. "This will mean a more competitive Northwest economy and satisfied customers."
The Award
Although EPRI presents the End-Use Leadership Award, the honor really comes from the organization's utility membership.
"This award is not from EPRI," noted Marek Samotyj of EPRI in making the award to BPA in March, as quoted in Circuit. "It is from the electric utility industry. Fifty-three members of the power industry voted for this. It is amazing recognition in this competitive environment."
Veronika Rabl, director of EPRI's Energy Delivery & Utilization division, said in a news release: "We have great respect for utilities that foster an atmosphere of technical innovation among their talented staff. Through their willingness to test and demonstrate new technologies in the field, these EPRI members advance the benefits of electricity for all of us."
Esvelt later told Con.WEB that the award underscores the importance of long-range perspective. "Developing something of value often takes great foresight. Karl and the other people involved in ASDMaster first thought of the idea about four years ago. We need to have a long-term outlook and commitment in order for many useful projects to fully develop."
BPA and ASDMaster
Vischer described "a number of facets to the leadership BPA provided" for ASDMaster.
First, he said, was the notion of a user-friendly software program "that just about anyone who works for an industrial plant [with] modest knowledge of adjustable-speed drives could actually become expert enough to first determine when a drive was economical to use in their plant, and to actually specify the drive from a manufacturer."
One of BPA's "primary contributions," he continued, came in crafting those specifications, which built on prior Bonneville ASD work with Burlington Northern, James River and other Northwest industrial firms.
"Rather than just get a report from EPRI, I said, 'You've got a lot of analytical and rather complex information here. It would be far better to have a computer do a lot of the computation that you're recommending that people do . . . I said, 'We really ought to develop software rather than a report, to get the information in the best form to the public.'"
Bonneville invested several years of "active involvement" in ASDMaster, according to Vischer. One of the agency's key accomplishments was facilitating what he called "a pretty unique alliance between the [U.S.] Department of Energy and EPRI. EPRI has probably never worked with DOE in the rollout of a product before. BPA wanted to have [ASDMaster] made available through the DOE Motor Challenge program. We worked really hard with both DOE and EPRI to overcome quite a few barriers, mostly relating to just basic commercialization issues that both parties had." These difficult legal concerns eventually were resolved, and ASDMaster is offered through Motor Challenge.
Vischer also noted the foundation laid by the BPA-developed MotorMaster software. "That certainly paved the way for a lot of this success we had with DOE and EPRI."
The ASDMaster software offers a number of features to help companies investigate ASDs for their facilities, and if warranted, choose the specific drives they need.
One is a screening tool. "You can answer 10 questions and know if it's worth your while to do a detailed energy analysis and application," said Vischer. ASDMaster also identifies prospective power quality and motor issues for a company considering ASDs.
The program analyzes the energy implications of installing ASDs as well. "It can use data in any form you've got it, from very rough to very detailed," said Vischer. "It can cover quite a range of common applications or just about any exotic application you may have." Several case studies are included.
In addition, ASDMaster offers quantified economic analysis of both energy and non-energy benefits. "It gives you a pretty good economics report. It tells you whether it makes sense to invest in an ASD," said Vischer. If it does, ASDMaster "helps you write a detailed technical specification for a manufacturer, and another technical inspection for an installer.
"It takes you through the whole gamut, from the analysis and screening to the actual procurement of the drive," said Vischer. "It basically helps you be sure you're getting everything you'll need to get to run the drive properly, including training and diagnostics and commissioning and checkout."
An estimated 5,000 copies of ASDMaster have been circulated around the country, including a couple of hundred in the Pacific Northwest, according to Vischer. (For a copy, which costs $100, call 1-800-973-7479.)
Adjustable-Speed Drives
Asked to describe adjustable-speed drives, Vischer used a music analogy.
"It does to the power wave form what they do with music when they make digital recordings," he explained. "They take this analog music and chop it up into little pieces, code it, digitize it, store it on a medium--like a [compact disc]--in pulses, and those pulses get recombined when you play the music, and filtered."
An ASD, he continued, "chops up the analog power wave form, 60 hertz, into pulses." With built-in power electronics and software, the ASD rearranges the wave form entering the motor into "whatever shape and frequency you want. Basically, it makes the motor dance to the music produced by the adjustable speed drive."
The vast majority of motors are designed to operate at a single speed, which Vischer said is largely dictated by the standard 60-hertz frequency for alternating current electricity. With an ASD, however, "Now you can fake out the motor into thinking the frequency of the power supply is varying. As the frequency of the power supply varies, the motor speed varies, in sync with whatever the load is."
Adjustable-speed drives have proven especially valuable for wood-drying kilns in the Northwest, according to Vischer. The process of drying cut wood requires great care to prevent cracking, so lumber companies traditionally have set their fan flows at low levels--often, too low. With humidity sensors connected to ASDs, fan motors can operate at optimal speeds. "Because they're able to do this now with automatic controls, they're able to process more wood through the kiln while saving a lot of energy," said Vischer.
ASDs can be applied to all kinds of grinders, conveyor systems, fans and pumps, he noted, with motors ranging in size from less than 1 horsepower to tens of thousands of horsepower.
"This is a technology that is really becoming much more widely used," said Vischer. At the moment, ASDs are found in such Northwest industries as pulp and paper, aerospace, natural gas pipelines, refrigerated warehouses and sewage treatment.
The pulp and paper industry probably has the greatest ASD potential, "just because they use so many motors and . . . motor speed is really important" said Vischer.
In addition to saving energy, ASDs can reduce the use of other raw materials, lessen waste heat and--most significantly--help industries operate more effectively. "The best part of ASD is you can have the motors very precisely controlled with sensors that can detect some sort of a condition in the plant that tells you whether the process needs to be speeded up a little bit or slowed down a bit, so the quality of the output is exactly what you want," said Vischer. "That has often brought tremendous productivity improvements."--Mark Ohrenschall.
Portland General Electric has recognized nine companies and governmental agencies within its service territory that have made energy-efficiency improvements estimated to save more than 14 million kilowatt-hours and an estimated $700,000 annually.
The investor-owned utility presented Energy Efficiency Awards May 21 to its commercial and industrial customers that have made the most significant efficiency gains over the past year--improvements collectively estimated to save enough power to run 1,166 homes annually. PGE presented three types of awards, according to a news release.
Winners of the Innovator Award were selected based on novel approaches used to achieve energy efficiency:
The Energy Efficiency Award recognizes organizations that have implemented measures to achieve substantial energy savings through a variety of energy efficiency measures:
The Honored Trade Ally Award recognizes companies or organizations that share expertise to help PGE customers meet their energy efficiency needs:
Two Portland-area companies have won 1998 BEST Business Awards for energy efficiency.
The sixth annual awards, presented April 17, went to the Boeing Commercial Airplane Group and Lamb's Thriftway, a grocery store, in the category of energy efficiency. Four other businesses also were honored, in the categories of water conservation, waste reduction/recycling and transportation alternatives.
The BEST Business awards are jointly issued by the city of Portland, the Association for Portland Progress, the Environmental Federation of Oregon and The Business Journal. BEST (Businesses for an Environmentally Sustainable Tomorrow) describes itself as a city program to "help businesses in and around Portland find innovative and profitable ways to conserve natural resources and prevent pollution."
Boeing's award stems from consolidation of compressed-air systems. The airplane manufacturer, according to the BEST Web site, connected previously independent compressed-air systems in its three main production buildings. This allows Boeing to shut off one or two compressors at certain times, while still meeting its compressed-air needs. This 50-percent reduction in energy use saves 2.3 million kilowatt-hours each year. Underground trenching and controls cost $180,000; the annual return in energy savings is $92,000. In addition, the compressors get an extended life.
Lamb's Thriftway renovated and expanded its 1981 store, in the process saving more than 1.3 million KWh annually, and about $65,000. The energy-related work included upgraded refrigeration systems, lighting and heating and air-conditioning control systems. The annual energy savings, according to the BEST Web site, equal the net income gain Lamb's would receive from $8.7 million in increased grocery sales a year.
Other BEST award-winners: Graphic Sciences, water conservation; Calbag Metals and Cascade General, waste reduction/recycling; and Marquam Hill Transportation Partnership, transportation alternatives.
For more information, visit the BEST program Web site, or call the Portland Energy Office at (503) 823-7222. --Mark Ohrenschall
The Idaho Public Utilities Commission has ordered Idaho Power to continue taking applications for its Agricultural Choices Program, a conservation program designed to help irrigation customers improve the efficiency of their pumping equipment.
In a May 4 order, the IPUC said the investor-owned utility "unilaterally terminated" the program without the commission's approval when it started turning away new customers last summer in anticipation of its plans to end the conservation program. But the utility didn't file a termination application with the IPUC until March 27 of this year, and therefore, according to the PUC, the utility shouldn't have been turning away customers last year.
The IPUC order also instructs Idaho Power to take applications for the program until the commission makes a final decision on the utility's March 27 request to end the program.
"It's a timing issue," said Idaho Power spokesman Dennis Lopez. Because of the long lag between the time a customer applies for Agricultural Choices and the completion of an efficiency project, Idaho Power decided to stop taking new applications at the end of last summer. At the time it had a sufficient backlog of work to last through the projected conclusion of the program this spring.
Lopez also said the company had received complaints from customers when it terminated other conservation programs without advance notice, so the early warning was meant to be responsive to this concern. However, the move didn't meet with IPUC approval. "We were wrong," Lopez acknowledged. "We'll continue taking applications until the commission tells us what to do."
Idaho Power's agricultural conservation program helps irrigation customers improve the efficiency of their pumping equipment. Customers are rewarded for reducing the amount of horsepower used, Lopez said; the utility also provides some upgraded sprinkler heads.
The Northwest Energy Efficiency Alliance now offers a more comprehensive agricultural conservation program, encouraging the use of scientific irrigation scheduling. Lopez described this venture as more effective and more economically efficient than the utility's Agricultural Choices program. As an Alliance participant, Idaho Power planned to direct customers interested in Agricultural Choices to the Alliance.
The PUC plans to consider Idaho Power's application without a public hearing; IPUC's Stephanie Miller said the commission will probably issue a final ruling in June.--Jude Noland
Entries for this year's "Architecture + Energy: Building Excellence in the Northwest" awards program for commercial buildings are open through Friday, June 5.
"This is a very unique program in that it's looking for the integration of architectural excellence and energy savings," said Dorothy Payton of the American Institute of Architects/Portland Chapter, which administers the program.
Buildings need not display the latest and greatest energy-saving technologies, Payton noted. "We're looking for strategic plans, strategic maneuvers that architects, consultants and clients put into place to integrate design of their building in order to save energy."
This year's awards program is open to any completed non-residential building in Idaho, Montana, Oregon or Washington. Submittals will be judged on energy performance, treatment of energy-related elements, climatic-responsive design, resource efficiency and creativity.
Entries can be submitted by architects, engineers, owners and developers of buildings, and are due to AIA/Portland by June 5.
Awards will be presented June 26 at the McMenamins Kennedy School in Portland. In addition to the awards ceremony, the event will include a "jury with the jury" workshop.
In addition, a workshop highlighting successful energy-efficient design is planned later in the year east of the Cascades.
For an entry packet and/or more information, contact AIA/Portland at (503) 223-8757, phone; (503) 220-0254, fax; aeprogram@aiaportland.com, e-mail.
Idaho Power has received permission from the Idaho Public Utilities Commission to use $5 million in 1997 revenue-sharing funds to reduce its demand-side management expenses.
That approval, however, is contingent on the commission's decision on a request the utility made in 1997 to accelerate the recovery of past DSM expenditures for conservation programs (see Con.WEB, March 31, 1998). The IPUC held hearings on the accelerated recovery proposal May 27 and May 28; a decision is expected by mid-June.
Under a reorganization plan the IPUC approved in 1995, Idaho Power shares with Idaho customers any return on investment above 11.75 percent. The company's ROE in 1997 came to 12.95 percent, producing $5 million for customers.
Rather than returning that revenue-sharing money directly, Idaho Power wants to apply it to its DSM account. In its DSM filing, the utility has asked to recover $8.4 million per year from customers for the next five years. By applying the $5 million in revenue-sharing to the DSM account, the amount of money recovered from customers during the first year would be reduced to $3.4 million, said Idaho Power spokesman Dennis Lopez.--Jude Noland
Energy Exchange workshops titled "Tools for Success" will be held by the Northwest Public Power Association at three regional locations in June.
These two-day events will cover the basics of sales and market research, alliance-building between utilities and other entities, an update of electric industry restructuring, and a restructuring exercise. The workshops are primarily intended for utility staff and managers in energy services, marketing, sales, public relations, communications and key accounts.
The workshops are scheduled for June 11 and 12 in the Seattle area, June 16 and 17 in Bend, OR, and June 25 and 26 in Spokane. The Bend workshop will be preceded by a June 15 workshop on dealing with the media.
For more information, contact Jim Brands at NWPPA: phone, (360) 254-0109 or (503) 289-9411; e-mail, jim@nwppa.org.
Building Operator Certification training courses are scheduled to begin in Portland in June and in central Oregon in the fall.
The BOC program--operated by the Northwest Energy Efficiency Council with support from the Northwest Energy Efficiency Alliance--offers professional certification for facility operations and maintenance staff in commercial and public buildings. Participants attend seven courses in energy-efficient building systems maintenance, and complete test and in-facility projects.
The Portland BOC training courses begin Thursday, June 4, and conclude in December. Courses are held once a month. The central Oregon courses are planned to start in the fall. These Oregon offerings are supported by the Northwest Energy Education Institute in Eugene. Sponsors include Portland General Electric and the Oregon Institute of Technology.
For more information, call Cynthia Putnam of NEEC at (206) 292-3977 or Roger Ebbage of NEEI at 1-800-769-9687.
An energy efficiency workshop and exposition is planned for Aug. 3 through 5 in Bellevue, WA.
Energy '98, sponsored by federal government agencies, is intended for anyone with responsibilities for planning, coordinating and implementing energy efficiency, renewable energy or water efficiency programs.
The three-day event will feature sessions on technology, efficient operation and maintenance, energy awareness, selling energy efficiency, project financing alternatives and energy efficiency through procurement and contracting. Mini-workshops are planned on renewable energy and alternative financing. In addition, more than 100 energy-efficiency suppliers will display their wares at the exposition.
Energy '98, which will take place at Meydenbaeur Convention Center, is sponsored by the U.S. Department of Energy's Federal Energy Management Program. Co-sponsors are the U.S. General Services Administration and U.S. Defense Logistics Agency, in conjunction with Bonneville Power Administration, the Northwest Energy Efficiency Council, Pacific Northwest National Laboratory, Western Area Power Administration and the states of California, Oregon and Washington.
For more information, visit the workshop/exposition Web site at http://www.energy98.gsa.gov, or call 1-800-960-2242, ext. 131.
Grant County PUD has provided $25,000 for home weatherization improvements in its central Washington service territory.
The PUD funding will be matched by the state government, with another $15,000 provided by Bonneville Power Administration, according to a PUD news release. The $65,000 will go to the weatherization program managed by the North Columbia Community Action Council in Moses Lake, which has set priorities for senior citizens, the disabled and households with small children.
"Our senior citizens are the last to complain about their circumstances, but we know many of them spend their winters in cold homes or attempt to heat just one room," said PUD commissioner Mike Conley. "The people who built the Columbia Basin in the boom years of the 1940s and 1950s are among the folks we are now able to help . . . While helping seniors maintain their warmth and health we also help to reduce Grant County power use and the pressure on power rates."
Grant PUD also offers low-interest weatherization loans of about $5,000 apiece.
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