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Virginia Sets Aggressive New Solar, Wind Goals

By Frank Andorka, Senior Correspondent

Virginia is a solar state you on which you sleep at your own peril. It has long caught the eye of trend-spotters who believe it is on the verge of being the next solar boom state but, for various reasons (mostly political), it has never quite lived up to its solar potential.

This week, however, Governor Ralph Northam took steps to change the future, unveiling a plan to build nearly 5 GW of solar and wind resources. The plan sets aside 2 GW for offshore wind and sets the other 3 GW aside for solar and onshore wind. It’s not entirely clear from the plan what percentage of that 3 GW will in fact be solar.

The timeline for this development is 10 years.

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“The clean energy sector has the power to create new business opportunities, expand customer access to renewable energy, and spark the high-demand jobs of the 21st century,” said Governor Northam. “Virginia can shift to a more modern electric grid that is reliable, affordable, resilient, and environmentally responsible—and the Commonwealth can lead this critical industry as a result. This plan sets an ambitious path forward for Virginia, and I am confident we will charge ahead towards progress over the course of my administration.”

The plan builds upon implementation of the Grid Transformation and Security Act (Senate Bill 966), which Governor Northam signed into law earlier this year.

A solar revolution in Virginia has been on the horizon, coming in fits and starts as corporations like Facebook settle into the state and are starting to demand solar as part of their electricity generation. Former Governor Terry McAuliffe set the stage, signing a flurry of pro-solar bills before leaving office and launching significant state investments in solar at the state’s universities. But utilities like Dominion Energy have fought behind the scenes to slow rooftop solar development even as they invest in utility-scale solar themselves.

It should be noted that the new plan does not specify whether the development will be utility-scale or rooftop, either – so it bears watching to see how the solar revolution unfolds in Old Dominion.

Wind, Solar Join Forces In New Wind Solar Alliance

By Frank Andorka, Senior Correspondent

As wind and solar continue to grow as a percentage of U.S. electricity production, it makes sense for new groups to form to bring to bear the combined power of the industries in the political fights to come. That’s why it’s so exciting to see the formation of the Wind Solar Alliance (formerly the Wind Energy Foundation) to bring together the heavy hitters from both industries to work on mutually beneficial policy fights.

Having led national wind-solar advocacy campaigns for several years through its “A Renewable America” program, WSA saw an opportunity for increased collaboration between the two sectors, compelling the re-brand.

“There are many areas where the wind and solar agendas align,” said Abigail Ross Hopper, President and CEO of the Solar Energy Industries Association (SEIA). “We’ve seen great benefits from working with the wind advocates on federal, regional, and state policies on the “A Renewable America” campaign, and in other areas, over the past several years. We hope to continue to expand these meaningful efforts going forward, with support from the philanthropic community.”

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“Accelerating the deployment of wind and solar technologies is one of the fastest ways to mitigate climate change while strengthening the U.S. economy,” said John Kostyack, executive director of the Wind Solar Alliance. “The new name reflects our view that wind and solar industry leaders and other energy experts are stronger working together on this shared agenda than apart. Our coalition effort is now well-positioned to reform the U.S. electricity markets, as well as transmission and utility procurement planning processes, and thereby to rapidly scale these two technologies.”

Dan Shugar, NEXTracker founder and CEO, and Colin Meehan, First Solar’s Director of Regulatory and Public Affairs, join leaders from other solar-only, wind-solar, and wind-only companies on the WSA board. The American Wind Energy Association’s (AWEA) CEO, Tom Kiernan, also sits on the WSA board. Mark Alhstrom, President of the Energy Systems Integration Group and one of the nation’s leading experts on integrating renewable energy onto the electricity grid, serves as a board advisor.

The Wind Solar Alliance will continue to focus on research, communication, and advocacy to raise awareness of the benefits of renewable energy. In addition, the organization will give increased attention to addressing the need for policy changes in the Independent System Operators, Public Utility Commissions, and other venues that determine whether renewables will be given a fair opportunity to compete in the electricity marketplace.

WSA’s education and advocacy campaigns (the Grid Campaign, the Renewable Energy Jobs Tour, and Electric Nation: Powered by Wind) are supported with funds from major foundations, AWEA and SEIA, and leading wind and solar companies. The campaigns mobilize leaders from the wind and solar industries and other experts to deliver facts, data, and personalized messages to decision makers about how renewable energy is helping to improve our economy and environment.

Xcel Energy Wins Approval For Aggressive Renewable Growth (And Closing A Third Of Its Coal Plants)

By Frank Andorka, Senior Correspondent

Yesterday, we wrote about how utilities didn’t seem all that enthusiastic about the new rules the Trump Administration had laid out to weaken regulation on coal plants. In fact, most of the utilities discussed in the article reaffirmed their commitment to growing their renewable portfolios at varying speeds.

And today we have another real-life example of the shift that is coming in utilities’ attitudes both toward traditional coal plants and renewable energy.

Xcel Energy, Colorado’s largest utility, won approval from the Public Utilities Commission to ramp up its investments in renewable energy to to the tune of nearly 2,000 MW of solar and wind and 300 MW of battery storage.

Oh, and in the process, they’ve also pledged to close nearly one-third of their coal plants, according to an article in The Denver Post.

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As The Post notes:

As part of the plan, Xcel, Colorado’s largest electric utility, will phase out its Comanche 1 and 2 coal-fired plants in Pueblo about a decade earlier than the original target date of 2035. Xcel says the plan will invest $2.5 billion in eight counties and save customers about $213 million, thanks to the declining costs of renewable energy.

The breakdown of the renewables is as follows:

1,100 MW of wind
700 MW of solar
275 MW of battery storage

Company officials were delighted by the PUC’s decision and said they looked forward to a clean-energy future for Colorado.

“The Colorado Energy Plan Portfolio is a transformative plan that delivers on our vision of long-term, low-cost clean renewable energy for our customers, stimulating economic development in rural Colorado, and substantially reducing our carbon emissions,” Alice Jackson, Xcel Energy Colorado president, said in a written statement. “We are excited to move forward.”

Colorado has long been a renewable energy leader. It was one of the first states to experiment with community solar, and its solar and wind development has continued apace, even when policies didn’t ideally line up with the overall renewable energy goals. Now with Xcel Energy making such a large commitment, you’ll likely see other state utilities get on board, which could drive Colorado further up the list of solar-friendly states in the country. One can only hope these developments spur that kind of reaction.

More:

Colorado regulators green-light Xcel’s plan boosting renewables, cutting coal

Reports: Exxon May Want To Power Itself With Solar And Wind – And Is Close To Signing A PPA

By Frank Andorka, Senior Correspondent

It’s as if Apple started using a Microsoft operating system.

Exxon, one of the world’s largest oil-and-gas corporations, put out a request-for-proposal for contracts on at least 100 MW of solar and wind power, and possibly up to 250 MW for the right contracts.

The contracts would be for between 12 and 20 years long, according to Bloomberg reporters who have seen the confidential RFP. It’s also unclear whether the power is intended to fuel the company’s Irving, Texas, headquarters or whether Exxon would re-sell the power to other offtakers.

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It’s not unusual to see oil companies dabble in renewable energy. After all, as Bloomberg points out, Shell and BP have already (re)entered the solar markets and are actively exploring entering wind. But Exxon, the legacy company of John D. Rockefeller’s oil conglomerate, has long held to the precept that it should stick with what it knows.

There is no indication of what has changed the company’s mind, but if Exxon joins the renewable revolution, its importance can’t be overestimated. As Kyle Harrison, a New York-based analyst at Bloomberg NEF, said:

I have never seen an oil and gas company doing a corporate PPA anywhere near that size. If you’re seeing the biggest oil and gas companies going out and making investments in clean energy, it shows that renewables are cost-competitive. This can be a way for them to show a commitment to sustainability without suffering economically.

It would indeed be something of a game-changer, particularly in Texas (where the RFP is for). Texas is one of the largest wind-producing states in the country, and even solar is becoming cost-competitive with coal in the Lone Star State. What a revolution it would be to see this once and future oil capital of the world slowly but surely move on toward a renewable future. You’d expect that kind of future in states like California and Arizona (and even Massachusetts). But in Texas? A move to renewables – especially by a company like Exxon – would really change the conversation around renewable energy, in the best way possible.