Pricing offshore wind power

http://www.sciencedirect.com/science/article/pii/S0301421511005763
Abstract: Offshore wind offers a very large clean power resource, but electricity from the first US offshore wind contracts is costlier than current regional wholesale electricity prices. To better understand the factors that drive these costs, we develop a pro-forma cash flow model to calculate two results: the levelized cost of energy, and the breakeven price required for financial viability. We then determine input values based on our analysis of capital markets and of 35 operating and planned projects in Europe, China, and the United States. The model is run for a range of inputs appropriate to US policies, electricity markets, and capital markets to assess how changes in policy incentives, project inputs, and financial structure affect the breakeven price of offshore wind power. The model and documentation are made publicly available.

Highlights:
► We calculate the Breakeven Price (BP) required to deploy offshore wind plants.
► We determine values for cost drivers and review incentives structures in the US.
► We develop 3 scenarios using today's technology but varying in industry experience.
► BP differs widely by Cost Scenario; relative policy effectiveness varies by stage.
► The low-range BP is below regional market values in the Northeast United States.

by Andrew C., Levitt 1, Willett Kempton 1, Aaron P. Smith 2, Walt Musial 2 and Jeremy Firestone 1
1. Center for Carbon-free Power Integration, College of Earth, Ocean, and Environment, University of Delaware, Newark, DE 19716, USA
² National Wind Technology Center, National Renewable Energy Laboratory, Golden CO 80401, USA
Energy Policy via Elsevier Science Direct www.ScienceDirect.com
In Press, Corrected Proof, Available online 16 August 2011

City of Petaluma Smart Yard® Program Estimated to Save 45 Million Gallons of Water

http://www.hydropoint.com/weathertrak-updates/press-20110727.php
The City of Petaluma Department of Water Resources and Conservation (WRC) ... announced the launch of Smart Yard®, a ... water conservation program designed to achieve more sustainable water use for Petaluma water customers. ... WRC aims to improve the irrigation water use efficiency of Smart Yard participants to save more than 45 million gallons of water over the next five years.

Smart Yard will provide a WeatherTRAK® smart irrigation controller to qualifying water customers at no up-front cost. Smart controllers automatically adjust irrigation schedules via satellite technology, taking the guesswork out of watering your yard. Participating homeowners pay the balance with zero-interest financing from WRC, which places a fixed fee of $14.95 (for one 12 station controller) on their monthly water bills for 5 years. In most cases, the water savings achieved by the WeatherTRAK smart controller will offset the program fee. The program also provides homeowners with a landscape water use evaluation and installation of the WeatherTRAK smart irrigation controller, as well as a rain sensor and on-going customer service. 

WRC is partnering with Petaluma-based HydroPoint Data Systems, Inc., provider of the WeatherTRAK Smart Water Management solution, to manage the innovative water conservation program. The WeatherTRAK smart irrigation controller has been proven to conserve water in 23 public agency studies. Landscape water use, on average, consumes more than 60 percent of the nation's water supply, and most landscapes are typically overwatered by 30 to 300 percent. The WeatherTRAK smart controller will help to ensure that landscapes receive the proper amounts of water.
...
To learn more about the Smart Yard program, visit smartyard.com/Petaluma which claims that water bills can be cut from $250 to $1,500+. The site claims that most homeowners save 33% of their outdoor water cost. One homeowner claimed a 25% overall bill reduction. A tiered rate structure, which rewards savers and penalizes wasters, is implemented. The City of Petaluma is focusing on landscapes because nearly 65% of the region's water supply is used for irrigation. Most landscapes, even those with low-water-use plants, are overwatered by 30% to 300%, according to water agency studies. WeatherTRAK smart controllers are the choice of more than 24,000 subscribers including 50 water providers and numerous Fortune 500 companies.
...
Typical water consumption for a single-family residential customer in Petaluma (see http://cityofpetaluma.net/wrcd/waterrates.html) is about 12 hundred cubic feet (hcf) per month, or 8,976 gallons. 1 hcf = 748 gallons.
The monthly service charge is based on meter size.

Size of Service	Fixed Service Charge
5/8” Service	$5.69
3/4” Service	$5.69
1” Service (residential)	$6.84
1” Service	$7.07
1 1/2” Service	$12.40
2” Service	$19.46
3” Service	$40.19
4” Service	$54.13
6” Service	$78.19

1.2 Water Consumption Charge

Customer	Consumption Charge
Single Family Residential	($/hcf)
Tier 1 (0-9 hcf)	$2.94
Tier 2 (10-18 hcf)	$3.41
Tier 3 (19-24 hcf)	$4.35
Tier 4 (25+ hcf)	$4.82
Multi-Unit ($/hcf)	$3.14
Business, Industrial, Public ($/hcf)	$3.14

Example Single Family Residential Customer Water Charge
For an average single-family residential customer, with a 5/8” service and using 12 hcf monthly, the first 9 hcf would be charged at $2.94 per hcf. The next 6 hcf would be charged at $3.41 per hcf. The total bill would be as follows:
Service Charge = $5.69
Consumption Charge = (9 hcf x $2.94) + (3 hcf x $3.41) = $36.69
Total Monthly Charge = $42.38
... 
In 2011, [Hydropoint] subscribers including The Coca-Cola Company (NYSE: KO), Lockheed Martin (NYSE: LMT), Regency Centers (NYSE: REG) and numerous public institutions will [reportedly] save 17 billion gallons of water, 68 million kilowatt hours and 91 million pounds of CO2. Facing water rates ranging from $2 to $6 per 1,000 gallons and related expenses due to overwatering damages ranging from $500 to $10,000 per site, companies across the U.S. have identified WeatherTRAK as the green initiative with the fastest payback. Headquartered in Petaluma, Calif., HydroPoint is privately owned and operated. 
... 
HydroPoint Data Systems, Inc.
www.hydropoint.com 
July 27, 2011

OLED Lighting Falls Short

http://www.luxresearchinc.com/images/stories/brochures/Press_Releases/RELEASE_PE_OLED_7_26_11.pdf 
Organic light emitting diode (OLED) lighting has the potential to create cheap, pleasing light in unique, flexible form factors. However, the technology is immature and costly today. According to a new report from Lux Research, OLED lighting costs will drop by more than an order of magnitude over the course of this decade – but the technology will still remain uncompetitive with other lighting options, and amount to a mere $58 million market in 2020.

The report, titled “Finding the End of the Tunnel for OLED Lighting,” analyzes prospects for OLED lighting fixtures which emit diffuse, glareless illumination from either glass or flexible panels. It projects that OLED lighting costs will drop from $18/lumen today to $0.71/lumen on glass and $0.18/lumen on flexible substrates by 2020. Despite this marked improvement, OLED lighting costs will still lag behind competitive illumination sources, limiting broad adoption.

“Developers are still looking for the ‘killer application’ for OLED lighting that will allow them to make initial sales and bootstrap their way to larger scale” said Jonathan Melnick, a Lux Research Analyst and the report’s lead author. “The problem is that OLED lighting is so much more expensive than incumbent and emerging alternatives – it’s only the most cost-insensitive markets that would use it for aesthetic value for the foreseeable future.”

To forecast the OLED lighting market, Lux Research built detailed models by market segment to look at potential applications for OLED lighting in target markets, such as designer lighting, luminaires, general illumination, wearable lighting, automotive, and aerospace. Among the report’s key findings:

• Designer lighting takes advantage of the form factors of OLED lighting. While OLEDs won’t challenge incandescent, fluorescent, or LEDs on a cost basis, they will find opportunities in designer lighting where aesthetic imperatives can trump price. OLEDs particularly suit applications that can absorb high-priced fixtures, such as high-end hotels, casinos, and upscale bars and restaurants. Once commercial flexible panels emerge in 2015, adoption will see a bump for this market. All told, the designer lighting market for OLEDs will reach $32 million in 2020.
• OLEDs’ high costs will limit growth in luminaires. OLED panel manufacturers are targeting this market through strategic partnerships with luminaire designers, and Lux Research projects it to be the second largest, after designer lighting, with a 2020 market size of $22 million. The cost of OLED lamps, which can reach to thousands of dollars each, will be prohibitive for many prospective customers.
• By technology, flexible OLED lighting will predominate in the second half of the decade. Once flexible OLED lighting panels become commercially available in 2015, they will immediately begin taking market share from glass panels. Further, their projected lower costs and the unique applications that flexibility enables will propel them to become the leading OLED technology entering the next decade. In 2020, of the $58 million OLED lighting market, we project 63% will be flexible substrates.

“Finding the End of the Tunnel for OLED Lighting,” is part of the Lux Printed Electronics Intelligence service. Clients subscribing to this service receive ongoing research on market and technology trends, continuous technology scouting reports and proprietary data points in the weekly Lux Research Printed Electronics Journal, and on-demand inquiry with Lux Research analysts.

Lux Research www.luxresearchinc.com
Press Release dated July 26, 2011

Forging the Link: Linking the Economic Benefits of Low Impact Development and Community Decisions.

https://lists.epa.gov/read/archive?id=245622
The University of New Hampshire (UNH) Stormwater Center, the Virginia Commonwealth University and the Antioch University New England have released: Forging the Link: Linking the Economic Benefits of Low Impact Development and Community Decisions.

Forging the Link (FTL), is a comprehensive curriculum examining cost as one of the primary barriers to the implementation of low impact development (LID).

The FTL curriculum demonstrates:
1. the ecological benefits of LID with respect to water quality, aquatic habitat and watershed health
2. the economic benefits of using both traditional and innovative infrastructure to manage stormwater
3. the capability of LID to be used as a climate change adaptation planning tool to minimize the stress on urban stormwater management infrastructure

The curriculum consists of a series of case studies from around the country presented in a resource manual, PowerPoint presentation, and delivery and facilitation guides. It is available and designed for organizations that are tasked with educating on the topic of nonpoint source pollution and/or climate change for a municipal decision maker audience such as Nonpoint Education for Municipal Officials (NEMO), Coastal Training Programs (CTP), Sea Grant engagement experts, Cooperative Extension Agents, National Estuary Program (NEP) staffs, or other non-governmental organizations.

Forging the Link is a social-science and research based curriculum developed in partnership with end users (NEMO, CTP, Sea Grant, etc) and the intended audience (municipal decision makers). The FTL was funded by CICEET and NOAA and can be found at: http://www.unh.edu/unhsc/forgingthelink
...
Economic Benefits Associated with the Use of LID:
• Whole project cost savings for new development by reduction of drainage infrastructure
• Land development savings from a reduced amount of disturbance
• Higher property values of 12 to 16 percent
• Reduction in home cooling by 33 to 50 percent from the use of natural vegetation and reduced avement area.

Three LID Case Studies that identify the scales at which there are clear economic incentives:
...
Residential Site: Boulder Hills
This LID condominium community features a porous asphalt road and incorporated porous pavements and rooftop infiltration systems. The benefits included: improved local permitting, positive exposure for
the developers, an 11 percent reduction in the amount of disturbed land and a stormwater management cost savings of 6 percent compared to a conventional design. Although porous asphalt was more costly, cost savings are realized through the reduction in drainage piping, erosion control measures, catch basins, and the
elimination of  curbing, outlet control structures, and stormwater detention ponds.

Commercial Site: Greenland Meadows This retail shopping center features the largest porous asphalt installation in the Northeast. The 56-acre development includes porous asphalt, landscaping areas, a large gravel wetland and other advanced stormwater management. Costly conventional strategies were avoided, and there was a cost savings of 26 percent for stormwater management.

Combined Sewer Overflow
On a larger scale, communities are faced with the challenges of managing their combined sewer overflows to reduce the discharge of untreated sewage into waterways.  These large often outdated systems carry
price tags in the billions of dollars to store, separate and treat. By combining a gray and green approach the costs and volumes of stormwater are significantly reduced. For example, the city of Portland, Oregon was
able to save an estimated $63M as compared to an estimated $144 million, by considering a green approach, and the city of Chicago, Illinois, was able to divert over 70 million gallons of stormwater from their CSO, in one year.

For more information contact Robert Roseen, PhD, Director, UNHSC, Robert.roseen@unh.edu or Todd Janeski, Environmental Scientist, Virginia Commonwealth University, tvjaneski@vcu.edu.

U.S.Environmental Protection Agency NonPoint Source Information Email List www.EPA.gov 
http://www.unh.edu/unhsc/forgingthelink
August 9, 2011

Editorial: MSD rate increase worth the price in clean water, economic benefit: STLtoday.com

http://www.stltoday.com/news/opinion/columns/the-platform/article_71c3d30b-9466-5251-9cb7-5e8e2c3414e0.html
In a series of public hearings over the next month, area residents will have an opportunity to be heard about the massive rate increase coming to area sewer bills over the next several years.

Because the Metropolitan Sewer District failed to upgrade its system for decades, it is being forced by the U.S. Environmental Protection Agency to spend more than $4 billion in the next couple of decades doing what it should have been doing all along.

The status quo is what results when one of the oldest and largest sewer systems in the country doesn't keep up with growth. In heavy rains, MSD's combined stormwater-sanitary sewer system dumps raw sewage into rivers, basements and backyards. That hasn't been permitted for decades, but MSD had not gotten around to fixing it.

Folks testifying at public hearings should remember: It's not all MSD's fault.

It's our fault, too, and the fault of our parents, for not doing what our grandparents and great-grandparents did before us: Agree to tax themselves at a reasonable level to pay for the infrastructure that will enable future growth.

Nobody will be happy about having sewer rates double in the next 20 years, and then double again a decade or so after that. But even when MSD bills rise from their current average of $27 to more than $80 per month when all the work is done, they still will be below the rates that many people pay in cities of comparable size to St. Louis.

And this is what the public will get in return: clean, safe water and one of the most massive economic development and jobs projects in our city's history.
...
Billions of dollars will be spent beginning next year on reconstructing the country's fourth-largest sewer system. That means an infusion of construction jobs, engineering contracts, concrete work and all the ancillary economic benefits of $4.7 billion in spending.

For political reasons, our community put off this work for decades. Now it's time to pay the piper. When our region needs an economic boost, investing in a massive construction project that will make our water clean for the next generation makes good sense.

To make the project work and deliver immediate economic benefits, voters — probably in next April's municipal elections — will need to approve a bond issue of around $1 billion. Otherwise, the work will be delayed, take longer and cost even more.
...
By the Editorial Board STLtoday.com, August 13, 2011

FOR FULL EDITORIAL GO TO:
http://www.stltoday.com/news/opinion/columns/the-platform/article_71c3d30b-9466-5251-9cb7-5e8e2c3414e0.html

With Post-Its and Checklists, Schools Cut Their Energy Bills

http://www.nytimes.com/2011/08/15/education/15energy.html

Simple yellow Post-it notes with the message “When not in use, turn off the juice,” pointedly left on classroom computers, printers and air-conditioners, have helped the Mount Sinai School District on Long Island save $350,000 annually on utility bills.

Energy consumption in New York City’s 1,245 school buildings is down roughly 11 percent since 2008, as motion detectors have been installed on classroom lights and unused refrigerators and freezers have been unplugged for the summer.

In Yonkers, energy savings have financed $18 million in new boilers, windows and other capital improvements that the Westchester County district could not otherwise afford.

Schools, once known as energy wasters, are embracing conservation in increasing numbers. A desire to practice the environmentally friendly principles discussed in classrooms has been heightened by soaring energy costs and tighter budgets. With the help of a growing industry of energy consultants, school officials are evaluating every detail of their daily operations, like the temperature of the swimming pool and the amount of electricity the cafeteria ovens use, and are replacing energy-guzzling equipment with more efficient models.

Supporters say that even small adjustments can pay off almost immediately. “If we tested schools in efficient use of energy, many of them wouldn’t get a passing grade,” said C. David Myers, president of building efficiency for Johnson Controls, which has joined with 60 of the 125 school districts on Long Island to reduce energy use by 20 to 40 percent annually.

... More than two dozen states ... have used millions in federal stimulus money since 2009 to pay for energy programs and upgrades in school buildings, said Judy Marks, director of the National Clearinghouse for Educational Facilities in Washington. These efforts include replacing light fixtures, adding solar panels and building geothermal heating and cooling systems.

Some states have also started programs to finance school conservation efforts and to create local contracting jobs....  Oregon passed legislation in June to provide school districts with low-interest loans and grants for school efficiency improvements; Washington State started a similar grant-based program in 2009.

In some instances, districts like Mount Sinai have appointed an official energy manager — in its case, Chris Heil, ... to police hallways and classrooms to root out energy waste. Armed with yellow notes, he inspects 100 classrooms a day and “tickets” violators. Teachers have been known to run back to their classrooms when they see him coming. When one instructor refused to shut down his classroom computers at night, Mr. Heil sent him an e-mail calculating how much money was being wasted, and promised to share the next message with the superintendent.... Mr. Heil sometimes shows up at schools at 4 a.m. to make sure the custodial staff remembered to turn off the lights. He has rummaged through storage closets to locate switches to shut down rooftop exhaust fans that ran nonstop. Such vigilance has reduced the district’s utility costs by 30 percent since 2007, Mr. Heil said.

As part of the Bloomberg administration’s campaign to reduce the municipal government’s energy consumption and carbon emissions by 30 percent by 2017, the city awarded $100,000 in May to schools that voluntarily decreased their energy use in a monthlong competition. Martin Luther King Jr. Educational Campus in Manhattan won top honors with a 35 percent reduction. And this fall, rooftop solar panels are being installed on three school buildings.... Dennis M. Walcott, the city’s schools chancellor ... regularly checks on schools that he sees lighted up at night.

Many districts across the country have financed conservation efforts through so-called energy performance contracts with companies that advise them on how to be more energy-efficient and guarantee them specific savings, either in dollars or kilowatts. If the district’s actual savings fall short, the company writes a check to make up the difference.

With contracts involving equipment investments — which can be $50,000 to tens of millions of dollars ... districts typically use existing utility budgets or borrow money through third-party lenders, and then pay it back out of their immediate energy savings so that no budget increase is needed.

In Yonkers, the improvements included replacing Lincoln High School’s 60-year-old boilers, which guzzled 137,500 gallons of heating oil a year.... The new boilers burn only 80,000 gallons.

Three consultants — Johnson Controls, Trane and Energy Education — have reported that their school business has grown by at least a third since 2006. The companies send in engineers and specialists to conduct extensive audits of each district — Energy Education uses a checklist of 1,200 items — and then custom-design conservation programs. “Anything that consumes energy, natural gas or water is going to get evaluated,” said Larry Wash, Trane’s president of global services.

In New Jersey, the schools in Holmdel Township have lowered their electric and gas bills by about half since 2009, to $1 million annually..... That breaks down to 3.5 million fewer kilowatts of power and 240,000 fewer therms of heat a year.

William Balicki, Holmdel’s energy manager, said he kept a tight check on thermostats, and installed automatic timers on outdoor lights in bus yards and parking lots that once stayed on long after the drivers left.
Mr. Balicki also considered placing motion sensors on classroom lights, but instead settled for $75 worth of stickers to post above light switches as a reminder to flip them off.

...
by Winnie Hu
FOR FULL STORY GO TO:
http://www.nytimes.com/2011/08/15/education/15energy.html
The New York Times www.NYTimes.com
August 15, 2011