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In his keynote speech to the GridWeek 2009 Conference this morning, U.S. Energy Secretary Steven Chu detailed his vision for implementing the smart grid and modernizing America's electrical system: a stronger, smarter, more efficient electricity infrastructure that will encourage growth in renewable energy sources, empower consumers to reduce their energy use, and lay the foundation for sustained, long-term economic expansion. Secretary Chu's presentation can be found here. During his remarks, Secretary Chu also announced more than $144 million in funding from the American Recovery and Reinvestment Act for the electric power sector, including $44 million in awards to state public utility commissions and $100 million in available funding for smart grid workforce training programs. "America cannot build a 21st Century energy economy with a mid-20th Century electricity system. This is why the Obama Administration is investing in projects that will lay the foundation for a modernized, resilient electrical grid," said Secretary Chu. "By working with industry leaders and the private sector, we can drive the evolution to a clean, smart, national electricity system that will create jobs, reduce energy use, expand renewable energy production, and cut carbon pollution."

U.S. Commerce Secretary Gary Locke and U.S. Energy Secretary Steven Chu today announced significant progress that will help expedite development of a nationwide "smart" electric power grid. A Smart Grid would replace the current, outdated system and employ real-time, two-way communication technologies to allow users to connect directly with power suppliers. The development of the grid will create jobs and spur the development of innovative products that can be exported. Once implemented, the Smart Grid is expected to save consumers money and reduce America's dependence on foreign oil by improving efficiency and spurring the use of renewable energy sources. Before it can be constructed, however, there needs to be agreement on standards for the devices that will connect the grid. After chairing a meeting of industry leaders at the White House, Locke and Chu announced the first set of standards that are needed for the interoperability and security of the Smart Grid and $10 million in Recovery Act funds provided by the Energy Department to the National Institute of Standards and Technology to support the development of interoperability standards.

As the United States' power grid becomes more sophisticated, electricity rates will need to rise to reflect periods of intense energy use and to encourage consumers to change their electricity habits, U.S. Energy Secretary Steven Chu said on Monday. Chu said currently most local electricity rate commissions view themselves as consumer advocates and try to keep electricity prices as low as possible. "Hopefully that will evolve somewhat, so that they begin to fold in some of the real costs of electricity generation and electricity use," Chu said at conference focused on creating a "smart grid."

The new mantra in energy circles is "national smart grid." In the New York Times, Al Gore insists the new president should give the highest priority to "the planning and construction of a unified national smart grid." President Barack Obama, responding to a question by MSNBC's Rachel Maddow, declares that one of "the most important infrastructure projects that we need is a whole new electricity grid ... a smart grid." We lump together the two words, "national" and "smart" as if they were joined at the hip, but in fact each describes and enables a very different electricity future. The word "national" in these discussions refers to the construction of tens of thousands of miles of new national ultra-high-voltage transmission lines, an initiative that would further separate power plants from consumers, and those who make the electricity decisions from those who feel the impact of those decisions.

Electric grids are getting smarter in an IBM lab in Texas as the promise of billions of US economic stimulus dollars fuels a drive to make power delivery more efficient and greener. A chunk of stimulus cash aimed at promoting a "smart grid" designed to foster renewable energy generation and let people and utilities better manage electricity use has IBM in alliances with a growing host of startups. "Smart grid was starting to get hotter, but post-stimulus it is dead center at IBM and in the venture community we deal with," said Drew Clark, director of strategy at IBM's venture capital group.

Fantastic interactive infographic of the US electric grid.

Growing power consumption and the U.S. administration's plan to rely more heavily on renewable generation sources will increase the demand on America's already overloaded electricity grid and require major investment in transmission and distribution networks. Upgrading power transmission and distribution systems is likely to cost as much as installing new generating capacity over the next 20 years. While Congress provided an extra $4.5 billion of funding for grid improvements in the recent fiscal stimulus, federal loan guarantees and other support, far more investment will be needed if the administration's targets for renewable generation are to be realized.

Push through a bulletproof revolving door in a nondescript building in a dreary patch of the former East Berlin and you enter the control center for Vattenfall Europe Transmission, the company that controls northeastern Germany's electrical grid. A monitor displaying a diagram of that grid takes up most of one wall. A series of smaller screens show the real-time output of regional wind turbines and the output that had been predicted the previous day. Germany is the world's largest user of wind energy, with enough turbines to produce 22,250 megawatts of electricity. That's roughly the equivalent of the output from 22 coal plants--enough to meet about 6 percent of Germany's needs. And because Vattenfall's service area produces 41 percent of German wind energy, the control room is a critical proving ground for the grid's ability to handle renewable power.

The Department of Energy's (DOE) Electricity Advisory Committee (EAC) released three reports prepared for the Secretary of Energy's consideration. These reports review challenges facing DOE and the Nation in many important electricity areas, and include recommendations for policy and program initiatives. They address issues surrounding generation and transmission adequacy, energy efficiency and demand response, deployment of energy storage technologies, and deployment of smart grid technologies. The EAC was chartered by Secretary Samuel W. Bodman in April 2007 to provide senior-level counsel to DOE's Office of Electricity Delivery and Energy Reliability (OE) in carrying out its mission and meeting requirements of the Energy Policy Act of 2005 and the Energy Independence and Security Act of 2007.

There's a long tradition of using Fridays to release reports you'd rather not see attract attention, and the Department of Energy has used the last Friday of the Bush Administration to release a big one. Its Electricity Advisory Committee, composed primarily of power industry executives, has released a series of reports on the future of the US electric grid. These include focused looks at the potential for power storage and the smart grid, but it's the overall evaluation that's badly off the administration's message: the government needs to make a significant intervention in the power market, it's completely failed to do so for the past eight years (and longer), and conservation needs to be part of anything we do.

Tomorrow, Wednesday, February 18, U.S. Energy Secretary Steven Chu will deliver the opening keynote address at the 2009 DOE-NARUC National Electricity Forum. In the address, Secretary Chu will outline the Administration's commitment to modernizing the nation's electricity distribution system through a "Smart Grid" that will create new jobs, save consumers money, use energy more efficiently and avoid blackouts, and pave the way for a dramatic expansion in renewable energies such as solar and wind power. He will also discuss the immediate and long-term impacts of the President's American Recovery and Reinvestment Act in creating jobs and investing in a clean energy future.

China's national assembly Saturday signalled the country's commitment to reducing greenhouse gas emissions by adopting a law supporting its renewable energy industry. The new law, an amendment to one on renewable energy adopted by the National People's Congress standing committee, obliges electricity grid companies to buy all the power produced by renewable sources. It also empowers the State Council's energy department, the electricity regulatory agency and its finance departments to determine the amount of renewable energy available in the country's overall power generating capacity. Power companies will be obliged to take up all of that capacity, and those refusing to do so will be fined an amount up to double that of the economic loss of the renewable energy company, Ni Yuefeng, vice-president of the assembly's environmental affairs commission, told reporters.

China's national assembly Saturday signalled the country's commitment to reducing greenhouse gas emissions by adopting a law supporting its renewable energy industry. The new law, an amendment to one on renewable energy adopted by the National People's Congress standing committee, obliges electricity grid companies to buy all the power produced by renewable sources. It also empowers the State Council's energy department, the electricity regulatory agency and its finance departments to determine the amount of renewable energy available in the country's overall power generating capacity. Power companies will be obliged to take up all of that capacity, and those refusing to do so will be fined an amount up to double that of the economic loss of the renewable energy company, Ni Yuefeng, vice-president of the assembly's environmental affairs commission, told reporters.

Who's going to control the local electric grid, and thus the city's energy future? Two months after Pacific Gas and Electric Co. spent $10 million to defeat a clean energy measure on the San Francisco ballot, Sup. Sophie Maxwell has stepped into the battle, introducing a mild ordinance that lifts some of the language from the Clean Energy Act but would accomplish very little. We're glad to see Maxwell stepping up her efforts to close the dirty Mirant Power Plant in Potrero Hill, but her legislation needs some significant amendments. Maxwell's ordinance, cosponsored by Sup. Aaron Peskin (who is one meeting away from being termed out), would make it city policy to "take all feasible steps" to close the Potrero plant. That's a laudable goal. It also borrows the aggressive environmental goals from the Clean Energy Act, stating that the city needs to meet all its energy needs by 2040 with renewable power. But unlike the Clean Energy Act, Maxwell's mandate ignores PG&E, which supplies the vast majority of the electricity in San Francisco and which can't even meet the state's weak alternative energy standards. Her requirement would apply only to the city's own power supplies, which come mostly from the Hetch Hetchy hydroelectric project and thus already meet the 2040 standards.

If the plans being laid for the economy and the environment work out the way President-elect Barack Obama's advisers hope they do, the future of energy can be summed up in one word: electricity. That one word covers a lot of policy twists, however: What will the economic downturn mean for initiatives to cut down on greenhouse-gas emissions? What will the recent drop in gasoline prices mean for efforts to boost alternatives to fossil fuels? Can the electrical grid handle increased demand? How do you smooth out the highs and lows of power generation? Where will all that power come from?

Reuters has a report on some of the roadblocks obstructing grid expansion (and thus construction of many large scale renewable energy projects) in the US - Alternative energy faces power line "bottleneck" in U.S. West. President Barack Obama aims to double alternative energy production over three years, but how much "green" power will come from the U.S. West is uncertain if the sunny and wind-swept region cannot overcome a shortage of power lines. Installing large solar installations and dotting landscapes with wind turbines across the western United States would be, technically speaking, straightforward, and potentially popular with the renewed interest in domestic energy sources amid rising economic, environmental and security concerns.

ndiana, United States [RenewableEnergyWorld.com] The Joint Coordinated System Plan (JCSP'08), the first step of a transmission and generation system expansion analysis of the majority of the Eastern Interconnection, estimates the electricity sector will need more than US $80 billion in new transmission infrastructure to obtain 20% of the region's electricity from wind energy generation. "This is information we believe that our leaders need to consider as they begin work under a new administration and start defining our energy future." -- John Bear, President and CEO, Midwest ISO This initial analysis, which was performed with participation from major transmission owners and operators in the Eastern U.S., looked at two scenarios to examine transmission and generation possibilities between 2008 and 2024. The first, a Reference Scenario, assumes "business as usual" with respect to wind development, with approximately 5% of the region's energy coming from wind. The second was a 20% Wind Energy Scenario and was based on the U.S. Department of Energy's Eastern Wind Integration and Transmission Study.

This earth2tech post comments on a presentation from Rich Sedano at the Ceres conference this week in San Francisco. Rich has been working on electricity regulatory issues, demand response, and institutional design for a long time, and his insights as reported here are very important and frequently overlooked: The way Sedano sees it, the Securities and Exchange Commission, which oversees Wall Street credit rating agencies, and state-level utility regulators have failed to communicate and, by extension, to establish consistent rules and incentives - leaving utilities "waiting for a sign that it's safe to pull the trigger on an investment and hoping they don't miss the opportunity to do the right thing."

Earth2Tech reports that England may be left out of Scottish plans to join a European supergrid crossing the north sea - Scotland Snubbing England in Supergrid Plans?. The Scottish government believes the North Sea could become host to an underwater renewable energy grid, supplying power from wind, wave and tidal power across Europe, but England could be left out in the cold. A new study from Scotland looks at the possibility of a supergrid between Scotland, Norway, Sweden, Denmark, Germany and the Netherlands, but doesn't mention Scotland's big neighbor to the south. Yes, Scotland is still part of the UK, and most of England's east coast is also on the North Sea, but the word "England" doesn't even show up once in the 21-page study and "UK" is only used in a couple of footnotes. It might just be an oversight, but the possible snub comes during the same week in which the UK government made a filing with the Commission on Scottish Devolution questioning the Scottish government's powers covering energy.

USDA Undersecretary Mark Rey has signed a Record of Decision (ROD) amending 38 National Forest Land Management Plans to identify locations of corridors suitable for future energy transmission infrastructure across Forest Service land. The corridors protect or minimize resource impacts to lands and surface resources by identifying preferred locations for corridors that also cross Federal lands managed by other agencies. These corridors offer the American public a way to meet the increasing energy demands while mitigating potential harmful effects to the environment.