Monday, December 7, 2009
In an op-ed in Prairie Business Magazine, ELPC Government Relations Specialist Mindi Grieve describes the renewable energy opportunities available in the Great Plains. Heartland states have abundant resources to create clean energy from a variety of sources including wind, solar, biomass, geothermal and biofuels.
As with any young industry, supportive policies are critical to building up America’s clean energy capacity. In the op-ed, Mindi highlight some of the companies that are creating jobs and income from clean energy in the Midwest and outlines how smart policies can help move renewable energy development forward.
Read the full piece here.
Sunday, October 25, 2009
By: Howard A. Learner
Executive Director, Environmental Law & Policy Center
The confluence of multiple economic and policy factors creates a huge strategic opportunity to advance solar power installations in the Midwest. This window of opportunity will likely be open for about two years while solar photovoltaic (PV) module prices are very low due to excess global supply. Soon after, hoped-for technology curve improvements will reduce module costs and key policy drivers, such as Illinois’ solar procurement legislation, will kick in. Here are the combined factors that are driving today’s solar PV opportunities:
Þ Solar PV module prices have come down to $3 per watt, or less, due to the excess supply in global markets. For several years, solar-friendly policies in Germany, Spain and other countries drove new global manufacturing plant investments to ramp up supply for the expected markets. Germany and Spain shifted their subsidy policies – designed to catalyze markets, not support mature markets – just as ramped up manufacturing came on line. The current excess supply has driven down solar PV panel prices to the lowest level in years.
Þ Solar will find a niche supplying peak power in Midwest electricity markets. Solar is available at peak times when regional power market prices are highest. As the Midwest power market has transformed from vertically-integrated utilities to a wholesale market dominated more by merchant generators and power auction-type processes, prices for generation are increasingly reflect time-of-day and time-of-year. In short, solar energy matches well at pricey peak demand times.
Þ Fairly lush federal subsidies for solar energy through the Investment Tax Credit, loan guarantees and various other tax credits and grants are making a difference. Recent federal energy legislation and the economic stimulus package provide significant price support and investment value for solar projects.
Þ Federal and state policy support for solar energy is making a difference. For example, the Illinois RPS “solar carve-out” in the state’s renewable energy procurement standard will drive a new market for 700 MW – 750 MW of solar power supply in 2015. Net metering standards and interconnection standards in several Midwest states are creating more favorable pricing for distributed solar-generated power. Expanding net metering policies to cover larger projects will boost solar even more.
Þ Solar development is finding a sweet spot with 10 MW – 20 MW projects on former industrial sites with nearby substations. These projects are large enough to achieve economies of scale on module purchases and installation costs. Locating systems on older industrial sites provides ready low-cost access to transmission substations in open areas with little blockages to sunlight. In some cases, brownfield redevelopment, recovery bonds and other tax credits and subsidies are available. In addition to SunPower’s 10 MW solar project on the old U.S. Steel site on the South Side of Chicago, there are at least three more developers seeking to move forward with 10 MW – 20 MW solar projects in Illinois. These solar projects are big enough to obtain economies of scale, but small enough to fit onto the transmission grid as well as provide grid support when needed most.
Þ Skilled electrical and other workers are available in the current economic downturn for solar installation “green jobs.” With the 10 MW – 20 MW projects, there is enough volume to bring down the per panel installation costs and, thereby, improve the overall economic robustness of projects. Moreover, in some cases, various federal and state job creation grants, subsidies and credits are available, as are federal job training programs directed to new “green jobs.” Because of the excess worldwide manufacturing capacity, the solar green jobs opportunities are predominantly installation jobs, rather than new manufacturing jobs in the Midwest. The International Brotherhood of Electrical Workers is (re-) training new skilled solar installers at facilities in Illinois, Indiana and other states.
Þ Solar intensity in the Midwest is better than that of both Germany and Japan, the world’s largest solar markets. All right, Illinois and Nebraska are not the same as Arizona and Nevada, but there are some good solar sites here.
Þ New state policies can provide continued support for solar expansion as module prices increase after about two years when there is less excess supply. The Environmental Law & Policy Center and our colleagues are advocating a new ramp-up in 2010 – 2014 prior to the 700 MW – 750 MW Renewable Energy Portfolio Standard (RPS) solar carve out now set to begin in Illinois in 2015. We are working on feed-in tariff models in Michigan and with colleagues in Iowa to improve the state’s net metering policies. As Wisconsin considers boosting its RPS in 2010, there may also be opportunities to include solar provisions. We have a two-year window of opportunity to gain solar policy improvements as the unusually low module prices, combined with federal economic stimulus incentives, can drive significant new development.
Solar PV is primed for take-off in the Midwest, and especially in Illinois. Let’s seize these strategic opportunities and move forward with solar power development that creates new jobs, spurs economic growth and helps to solve our global warming pollution problems.
Howard A. Learner is the executive director of the Environmental Law and Policy Center, the Midwest’s leading environmental and economic development advocacy organization. www.elpc.org and www.globalwarmingsolutions.org
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Friday, August 21, 2009
Des Moines Register August 21, 2009
Guest Column by Howard A. Learner
The world has changed. Just a few years ago, many people thought that high-speed rail development here was just a dream. Now, it’s moving to reality. President Barack Obama has made high-speed rail development his No. 1 national transportation priority 50 years after President Dwight Eisenhower advanced the build-out of the nation’s interstate highway system.
On July 27, eight Midwest governors signed a memorandum of understanding, committing to combine regional and state planning and development work, prioritize corridor build-outs and coordinate applications for federal funding. There is a new bipartisan Midwest Congressional High-Speed Rail Caucus. The Iowa City-Quad Cities-Chicago rail line is gaining support and momentum, setting the stage for an extension to Des Moines.
This structural transformation of our transportation system will improve mobility with a new, fast, comfortable and convenient transportation option. It will create jobs and spur economic growth by pulling together the regional economy. It will protect our environment through less pollution, reducing congestion and counteracting sprawl by pulling jobs, people and businesses downtown into our central cities.
There is broad national support for high-speed rail development. Forty states have proposed 278 projects seeking $102 billion in federal funding. In addition to the $8 billion in federal economic-stimulus funding, the House has now appropriated $4 billion more for fiscal year 2010 and has proposed $50 billion in the federal transportation reauthorization legislation.
Here’s how Midwest high-speed rail can succeed:
- First, as Federal Railroad Administrator Joseph Szabo urges, we need “one region, one voice.” We should support a regional vision of a vibrant Midwest tied together by high-speed rail connections. Midwest governors are working together in coordinating their state plans and federal funding bids. The rest of us should support this vision and this cooperation.
- Second, let’s not let perfection stand in the way of progress. The Midwest Regional Rail Initiative’s ultimate vision includes 3,000 miles of passenger rail serving 65 million people in nine Midwest states. With a vision this ambitious and complex, there will be details that are less than perfect. Let’s not permit controversies over particular stations, routes or speeds stand in the way of a united front and overall progress.
- Third, the Federal Railroad Administration’s rules for the federal economic-stimulus funding competitive bids make clear that this isn’t only about trains. This is about mobility. This is about job creation. This is about economic development, growth and revitalization. This is about livable communities, less pollution and a better environment.
In moving to realize this big vision, let’s also focus on synergies to make these rail investments succeed. Let’s invest in train stations, as Milwaukee, St. Louis and St. Paul are doing. Let’s bolster transit, bus, taxi and airline connections so that rail stations can serve as truly intermodal hubs of economic activity. Let’s creatively build up vibrant communities around train stations. Let’s rebuild the rail manufacturing industry, and expand use of cleaner biofuels as Govs. Chet Culver and Pat Quinn are discussing.
Working together, we can create a win-win-win for our region: good for jobs and our economy, good for the environment, and good for people and our communities. Let’s get on board together and advance smart Midwest high-speed rail development on a fast track.
Monday, November 17, 2008
The Huffington Post
November 17, 2008
Opinion Editorial by Howard A. Learner
It’s time to gear up to seize the opportunities to advance a greener economy and cleaner environment with the new Administration and new Congress. The Midwest and Great Plains states can become business and economic winners in growing the new green economy as discussed in previous blog posts. Moreover, when it comes to public policy changes, the nation’s Heartland is also a linchpin to reform.
Twelve Midwest and Great Plains states contain many of the key swing United States Senators and Representatives. They will have a disproportionate role in determining whether national global warming legislation is strong or weak. We live and work in the most pivotal region in the most important country in the world when it comes to solving our global warming problems. Clean energy development is an important global warming solution in these key swing states. Here are some policy changes that should be achieved by the new Obama Administration and new Congress:
Put America on a leadership path for solving global warming problems: the moral, business, economic, policy, political and technology challenge of our generation. It’s time for Congress to enact strong federal legislation to reduce global warming pollution and provide stronger incentives for clean energy development solutions.
National policies to significantly boost energy efficiency standards. In a tight economy, we really can’t afford to waste energy and pass up energy cost savings. Energy efficiency is the best, fastest and cheapest way to reduce global warming pollution. It makes even more sense to save energy dollars and avoid pollution when household budgets are tight and businesses’ bottom lines are suffering.
Enact a national Renewable Energy Standard policy that ramps up wind and solar power, and other clean energy to be 10% of the nation’s energy supply by 2012 and 25% by 2025. This is a win-win-win: stimulating our stalled economy through development in both urban and rural communities, creating new green jobs, and improving environmental quality for everyone. Let’s end the partisan filibustering that has held back wind and solar power and, instead, achieve consistent and strong federal policy support.
Invest in transit and high-speed rail. The federal surface transportation program guides more than $70 billion each year, and it will be reauthorized in 2009-2010. President-elect Obama is calling for a national infrastructure reinvestment bank to invest in, among other things, high-speed rail. The stars are aligning for a fundamental shift toward transportation investments, especially transit and high-speed rail, which increase mobility while reducing global warming pollution.
Let’s not kid ourselves; achieving this agenda won’t be easy. Ideological opponents are seizing on our country’s economic crisis as a reason to put off action. But the scientists tell us that we must start now to seriously reduce global warming pollution. We can’t just hit the “pause” button and hold off on corrective actions until the economy gets better. Besides, energy efficiency saves us money, and clean energy solutions can create jobs and grow the green economy.
Watch what’s happening with American automakers pivoting to market plug-in electric hybrids and other clean cars sooner than previously advertised, accelerated deployment of clean wind power, technological breakthroughs with solar energy, advancements in new, more efficient battery technologies, and a lot more energy efficient homes, businesses and public buildings.
American technological innovation and leadership is focusing on cleaner energy and cleaner car technologies that can provide environmental solutions that can create the jobs of the future and grow the greener economy of the future. Let’s gear up to achieve positive change for America’s environment and greener economy.
Howard A. Learner is the executive director of the Environmental Law and Policy Center, the Midwest’s leading environmental and economic development advocacy organization. www.elpc.org and www.globalwarmingsolutions.org
Tuesday, April 22, 2008
The Janesville Gazette- Opinion Editorial by Howard Learner
Wisconsin is well-positioned to be a center of the rapidly growing green economy if we seize the strategic opportunities.
That requires taking savvy policy actions and using business development strategies now before other states leap far ahead. What’s at stake: jobs of the future as the global economy transitions to cleaner and greener technologies.
Solving global warming problems is the challenge of our generation. The leading presidential candidates and Congress are moving toward realigning our nation to achieve rapid, enormous reductions in greenhouse gas pollution. Cleaning up the energy sector is a necessary solution in a “carbon capped” economy.
–Energy efficiency: Making our homes, businesses and public buildings more energy efficient is a no-brainer. It’s a win-win-win for jobs, economic vitality and environmental protection. Retrofitting buildings with more efficient lighting, heating and cooling, windows and other equipment will create new electrical, plumbing, carpentry and other construction jobs that pay good wages.
Energy efficiency holds down utility bills and thus helps businesses’ bottom lines and household budgets. It plugs the billion-dollar drain away from Wisconsin’s economy to states and foreign countries that produce natural gas and coal. Reducing energy demand through efficiency is the best, fastest and cheapest way to avoid global warming pollution.
Wisconsin has been a leader in energy efficiency through its Focus on Energy program, but huge potential efficiency savings remain on the table. Let’s cut this energy waste through efficiency improvements.
Green business winners include Johnson Controls, Andersen Windows and the skilled union trade workers performing energy-efficiency upgrades in commercial and public buildings. This green business sector can grow Wisconsin’s economy as it reduces pollution and helps reduce energy bills, which increases competitiveness.
–Wind power: This is our nation’s fastest-growing energy resource. Two new wind projects are near completion in the Lake Winnebago area, and 800 megawatts more are under development statewide. Wind power benefits people throughout Wisconsin: from new jobs in rural counties to cleaner air in Janesville, Madison and Milwaukee.
Wisconsin is well-positioned to be a manufacturing center for the wind industry. Tower Tech, based in Manitowoc, is producing the 300-foot towers for today’s modern wind turbines. But much of the wind power component manufacturing is going to Iowa and North Dakota, where new plants provide good-paying jobs for skilled workers. Wisconsin has longstanding manufacturing strengths in steel fabrication, castings and gears, and should engage in the wind industry supply chain.
When asked why he robbed banks, Willie Sutton is famously said to have replied: “Because that’s where the money is.” Lots of jobs and money are at stake in the emerging green economy. As wind power booms across the Upper Midwest, wind component manufacturers are increasingly locating nearby instates that adopt supportive policies and to reduce transportation costs and ease logistics between their heavy-equipment factories and the wind-power generation sites.
As we mark Earth Day, let’s seize these strategic opportunities and Wisconsin’s competitive advantages to be a center of the growing green economy of the future.