Measure, Peel, Stick, Solar Power
Lumeta has developed this sweet solar sticker panel. I have installed solar panels before, and this my friends looks to be an excellent option for flat roof installations. I wonder how it would work on a residential roof.
This has got to be one of the easiest installations I have ever seen. Of course they are not telling you the whole time (you would still need to wire them into the electrical box, have an inverter installed etc), but you could easily do that whole roof in a couple days with this system. Hey big box stores, guess what should be on your roof right now…(hint, solar panels).
Solar Power Surges: Up 51% in 2007
Global production of solar photovoltaic (PV) cells increased 51 percent in 2007, to 3,733 megawatts, according to the latest Vital Signs Update from the Worldwatch Institute, produced in collaboration with the Prometheus Institute in Cambridge, Massachusetts.
More than 2,935 megawatts (MW) of solar modules were installed in 2007, according to early estimates, bringing cumulative global installations of PVs since 1996 to more than 9,740 MW—enough to meet the annual electricity demand of more than 3 million homes in Europe.
“Thanks to strong, smart policies in countries like Germany and Spain, the PV industry is making great strides in efficiency and cost, bringing solar power closer to price parity with fossil fuels,” says Janet Sawin, Worldwatch Senior Researcher and author of the update.
Over the past year, Europe—led by Germany—surpassed Japan to lead the world in solar cell manufacturing, producing an estimated 1,063 MW in 2007. Thanks to government policies that guarantee high payments for solar power fed into the electric grid, Germany remains the world leader in solar PV installations, accounting for almost half the world total in 2007. About 40,000 people are now employed in the PV industry in Germany.
Spain ranked second after Germany for total installations in 2007, but accounts for only an estimated 3 percent of global production. As in Germany, the Spanish market is being driven by a strong guaranteed price for PV electricity.
Despite a dramatic increase in solar cell production in the United States, up 48 percent to 266 MW, the nation’s share of global production and installations continued to fall in 2007.
In contrast, China raced past the United States for PV cell manufacturing in 2006 to place third globally, and it now ranks second only to Japan for national production. Over the past two years, China’s PV production has increased more than sixfold, to 820 MW in 2007. Despite these impressive numbers, the domestic market remains small and most PV cells made in China are exported to Europe.
“With billions of dollars invested in the solar energy technologies in the last 12 months, the PV sector is primed for accelerating its impact in both centralized and distributed generation at increasingly competitive costs,” says Travis Bradford, President of the Prometheus Institute. “As it reaches widespread cost parity in the next few years, demand will flourish in many places around the world simultaneously.”
Solar PV prices declined slightly in 2007, with even greater reductions held back by the hot pace of demand and a continued shortage of polysilicon, an essential ingredient for conventional solar cells. Analysts expect much more dramatic price drops—perhaps as much as 50 percent in the next two years—as more polysilicon becomes available, production and installation are further scaled up, manufacturing efficiencies increase, and more advanced technologies are introduced. As a result, solar electricity could soon be a competitive alternative to conventional retail power in many regions, including California and southern Europe.
According to Sawin, “PV and other renewables offer significant potential to meet global energy needs while addressing climate change, enhancing energy security, and creating jobs. Scaling up renewables is primarily a matter of political will and enacting strong, consistent policies that create demand.”
Governor Patrick Trying To Make Massachusetts Into Green Energy Hub
Deval Patrick (my governor), making his second appearance at MIT this month, told an enthusiastic crowd at Kresge Auditorium on Tuesday–the 39th anniversary of the first Earth Day–that clean energy has the potential to bring about an economic bonanza for the commonwealth at the same time that it improves the planet’s well-being.
“If we get this right, the whole world will be our customer,” Patrick said of his plans to make Massachusetts a hotbed of both innovation and implementation in solar, wind and other clean energy alternatives.
Patrick said state regulations must be updated to give renewable energy projects a fair shake. At present, he said, there are “built-in biases” that favor fossil fuel. For example, a provision that allows the state to override local objections and permit the construction of new power plants only applies to large plants, and thus almost exclusively affects fossil-fuel plants. “Ironically,” he said, “the only [renewable] plant large enough to be affected by this law is the most controversial–Cape Wind, which I enthusiastically support.”
Despite strong opposition to that offshore wind project from most of Massachusetts’ political leaders, Patrick said that if it does get built as the nation’s first major offshore wind installation, it would be a powerful symbol of a new direction in energy policy.
A new energy reform bill now being hammered out in a state legislature conference committee, Patrick said, “will revolutionize energy policy in this state.” One of the reforms he wants to see incorporated in the bill is a restructuring of electric utility regulation to promote energy efficiency–”the cleanest energy of all,” he said.
Currently, rate structures “reward our utilities for selling as much as they can,” but that must be changed in order to reap the enormous benefits of efficiency. Changing that policy will be “good news for consumers, and good news for renewable energy,” he said.
In addition, to promote the development of solar energy, Massachusetts has forged “the first alliance of utilities and solar manufacturers in the whole country,” Patrick said. One sign of that alliance is the recent announcement of Evergreen Solar–a manufacturer of solar panels that was a spin-off of MIT research–to triple its manufacturing capacity in the state, creating 1,000 jobs. In addition, state rebates will pay up to 60 percent of homeowners’ costs for installing photovoltaic panels.
“Thanks to places like MIT, with its Energy Initiative, Massachusetts is becoming a center of solar research,” he said. Noting an overall U.S. trend away from manufacturing jobs and toward information-based work, he said that “Clean energy is one knowledge-based technology that produces jobs across the spectrum”–everything from construction trade work to manufacturing, managerial, academic and research positions.
Patrick said that while some might find it odd to spend Earth Day talking about the building of a new industry, it really isn’t. “I hope everyone will help us build, right here in Massachusetts, a clean energy industry that saves the world,” he said, to a resounding standing ovation.
Last Chance To Support Cape Wind
After many loooong years of fighting today is the LAST day you can let the Minerals Management Service know that you support Cape Wind. If you don’t feel like writing an email yourself you can pop over to the Cape Wind page and they have a handy form for you to use.
From their site.
The reviews are in – Cape Wind is a good project. Like the three other Federal and State Agencies that comprehensively examined Cape Wind, the Minerals Management Service verified important public benefits of Cape Wind and found nearly all potential negative impacts to be “negligible”. The other agencies that had similar findings were the US Army Corps of Engineers, the Massachusetts Energy Facilities Siting Board and the Massachusetts Executive Office of Environmental Affairs.
MMS should complete its permitting review of Cape Wind as quickly as possible. This DEIS is extremely though and comprehensive – the MMS issue a Final EIS this Summer and a Record of Decision this Fall. Cape Wind has already undergone over six years of review – more than any fossil fueled power plant in Massachusetts. The MMS should reject calls by project opponents for any additional delays that would only further delay the delivery of important public benefits.
Cape Wind’s Public Benefits:
Greater Energy Independence. Cape Wind will tap the vast and inexhaustible winds on Horseshoe Shoal to provide over 75% of the electricity used on Cape Cod and the Islands of Martha’s Vineyard and Nantucket. Using local and clean sources of energy will reduce our reliance on imported oil, coal, and natural gas. Cape Wind will offset the equivalent of 113 million gallons of oil per year.
Action on Global Warming. Cape Wind will reduce greenhouse gas emissions in the region by almost a million tons per year. The Natural Resources Defense Council has called Cape Wind, “the largest single source of supply-side reductions in CO2 currently proposed in the U.S.” In March, 2007, Massachusetts Energy and Environment Secretary Ian Bowles likened Cape Wind’s effect on reducing greenhouse gas emissions to that of taking 175,000 cars off the road each year. Just two months ago the head of the United Nations Intergovernmental Panel on Climate Change, Rajendra Pachuari, described the urgency of reducing greenhouse gas emissions, “If there’s no action before 2012, that’s too late…What we do in the next two to three years will determine our future.”
Cleaner Air. Cape Wind will reduce the amount of pollution entering our air by thousands of tons per year. The Massachusetts Energy Facilities Siting Board found that, “The record clearly documents significant and lasting air quality benefits resulting from the wind farm’s displacement of other, primarily fossil-fueled, generators.”
Jobs & Clean Energy Economy. Cape Wind will create hundreds of good jobs during the 2-year construction period and 50 + permanent operations jobs. Cape Wind will help southeast New England become a global leader in the growing field of offshore renewable energy – an economic sector that will employ tens of thousands of people in the years to come.
Stable-Priced Energy. Cape Wind can offer electricity consumers stable-priced electricity for 20 years because, unlike fossil fuel plants, Cape Wind has no fuel costs. Since Cape Wind was first proposed in 2001, the price of oil has gone up 400% and the price of natural gas has gone up 300%.
Go comment, support, now! This is an extremely important first step on our path towards energy independence.
Help The House To Build On The Senates Recent PTC Extension
As you may recall, on April 10, the United States Senate overwhelmingly approved an amendment from Senators Maria Cantwell (D-WA) and John Ensign (R-NV) to add the Clean Energy Stimulus Act, which provides for a one-year extension of the Production Tax Credit (PTC) to the Senate’s housing bill. Thanks to your help and engagement we were able to secure an 88 to 8 vote in favor of this amendment, demonstrating the strong bipartisan support for renewable energy in the Senate. Click here to see how your Senators voted.
Now we your help in the House of Representatives to make sure this bill becomes law. Please contact your Representative and tell him or her to do everything they can to promote immediate House action to extend the PTC.
Deval Patrick’s To Talk On “Clean Energy For The Commonwealth” On Earth Day
One of the reasons that I liked Deval Patrick was that he came out strong for renewable energy in Massachusetts. I was kind of disappointed by how little he has done since then, so perhaps this little speech will kick start something new.
Clean Energy for the CommonwealthDeval Patrick, Governor of Massachusetts
Tuesday, 4:15 pm, April 22, 2008 (Earth Day)
Kresge Auditorium (W16;map)
Massachusetts Governor Deval Patrick will deliver a major public address at MIT on Earth Day, April 22, 2008. He will discuss his vision for the future of clean energy in the Commonwealth.
Governor Patrick’s administration and the Massachusetts Technology Collaborative have been working actively with the MIT Energy Initiative, MIT students, and MIT faculty on energy innovation and the development of an energy cluster in Massachusetts. In his address, Governor Patrick will elaborate on these and other key energy policy plans and initiatives of his administration.
Renewable Energy Jobs For Women In Bangladesh
From the Youtube video
Opportunity for Women in Renewable Energy Technology Use in Bangladesh. This was initiated in 1999 with $175,000 from ESMAP as a project in Char Montaz, a coastal island in Bangladesh, with technical assistance from Prokaushali Sangsad Ltd (PSL). South Asia Partnership, Bangladesh, an NGO provided initial support in social mobilization and micro-credit. The project provided skill and renewable energy technology training to 32 poor women in Char Montaz and assited them in establishing the Coastal Women’s Electrification and Development Microenterprise, which now has become a SME with 117 employees.
Diversification: Initially, it was assembling of DC lamps and providing services through battery charging station. Now the SME has moved to assembling CFL and LED lamps, controllers and inverters of solar home system (SHS) and mobile phone chargers. It has provided SHS to almost 30,000 households, small enterprises and markets in coastal areas, where grid electrification is not a feasible option.
The lessons from this project was taken into a larger project: Bangladesh Rural Electrification and Renewable Energy Development ($200m). In this project, nearly 200,000 SHS are provided to poor households in remote areas. Grameen Shaki, Srijani, TMSS and other NGOs learnt from this project and made micro-finance available to the poor households for SHS.
An Open Letter From James Hansen
James Hansen (the guy the Bush administration tried to silence because he said global warming was real) wrote this letter to Governor Gibbons from Nevada.
Dear Governor Gibbons,
I am honored to be the recipient of the Desert Research Institute’s annual Nevada Medal this year and to attend the awards ceremonies hosted by you and the First Lady.
I hope that I may communicate with you as a fellow parent and grandparent about a matter that will have great effects upon the lives of our loved ones. I refer to climate change, specifically global warming in response to human-made carbon dioxide (CO2) and other pollutants. This topic has long remained in the background, but it is now poised to become a dominant national and international issue in years ahead.
Global warming presents challenges to political leaders, but also great opportunities, especially for your state. Nevada has the potential to be a national leader in protecting the environment and implementing technologies that can mitigate the crisis posed by global warming.
First, however, I want to make you aware of rapid progress in understanding of global warming. Warming so far, averaging 2 degrees Fahrenheit over land areas, is smaller than weather fluctuations. Yet it already has noticeable effects and more is “in the pipeline,” even without further increases of CO2, because of climate system inertia that delays the full climate response.
Effects of global warming are already seen in Nevada. One result is increased wildfires. Longer summers mean more dried out fuels, allowing fires to ignite easier and spread faster. The wildfire season in the West is now 78 days longer than it was 30 years ago. And the average duration of fires covering more than 2,500 acres has risen five-fold.
As the planet continues to warm, these and other impacts will grow worse for Nevada and the American West. The world’s leading climate researchers conclude that, if greenhouse gases continue to increase, the region faces:
- Longer and more intense droughts, thus widespread water shortages, especially in areas of high population growth and where water resources already are heavily utilized, such as Nevada.
- Thus still larger, more intense wildfires.
- More winter and spring flooding, but reduced summer and fall run-off, with rivers in these seasons reduced to a trickle in many years; this will intensify competition for over-allocated water resources.
- More intense precipitation and storms when it does rain, with a resulting increase in flood risk.
- Longer and more intense heat waves, with a correspondingly adverse impact on public health, particularly for the elderly.
Governor Gibbons, the scientific advances in just the past few years, paradoxically, carry both bad news and good news. My paper, “Target Atmospheric CO2: Where Should Humanity Aim” (with supporting material here), makes clear that we have already passed the threshold of atmospheric CO2 levels that we can allow to exist over the long-term. Mother Nature, as a friend of mine has noted, is wagging her finger at us, saying, “Now you have gone too far!”
Consequences of ignoring this admonishment would be dire. The Earth is nearing climate “tipping points” with potentially irreversible effects, including extermination of countless species, ice sheet disintegration and sea-level rise, and mass dislocation of populations.
The good news is that it is still feasible to solve the problem, to reduce CO2 emissions over coming decades and draw down the atmospheric CO2 amount through natural processes and with the help of improved agricultural and forestry practices. By drawing down the CO2 amount we can not only avert catastrophic irreversible effects mentioned above, but also alleviate problems that were beginning to seem intractable and inevitable. I refer here to regional effects such as those discussed above for the American West (and similar effects in the Mediterranean region, Australia, and parts of Africa and South America), acidification of the ocean with destruction of coral reefs, and recession of alpine glaciers worldwide with accompanying loss of a principal freshwater source for hundreds of millions of people during the dry season.
However, solution of the problem has one unavoidable implication for fossil fuels. Atmospheric CO2 can be successfully constrained only if coal use is phased out except where the CO2 is captured and sequestered so that it does not enter the atmosphere. In turn, the conclusion that coal use without sequestration must be phased out, over the next 20 years, foretells requirements and opportunities for Nevada.
The imperative of halting coal emissions does not recognize state or national boundaries. There is no doubt about the eventual position of the United States and the international community. The mutual peril has become crystal clear and it will soon be widely understood. The United States, although it was also slow to enter prior international battles with the future at stake, surely will begin to exercise leadership in this matter, independent of political parties, because of the clarity of the threat to the planet. Disinformation campaigns, by the fossil fuel industry and utilities, cannot succeed, and they raise great liability risks.
Utilities and the fossil fuel industry must reckon with the fact that the laws of Nature and the human instinct for survival will overrule any paper agreements that may exist now or be wrangled in the near-term. “Grandfathering” of fossil fuel plants and any ineffectual “cap and trade” scheme, should it be initiated, will necessarily be replaced by “cap and bulldoze.” Uncaptured CO2 emissions from coal must be eliminated.
Is it possible that I am wrong, that the governments are so larded with fossil fuel special interests that they will allow us to destroy the planet that we leave for our children and grandchildren? Sure — just as there was a chance that the United States and the Soviet Union could have blown each other off the face of the planet with nuclear weapons — but it is much more likely that we will come to our senses soon, as the scientific story and empirical evidence overwhelm the deceit of short-term special interests.
A substantial fraction of fossil fuel CO2 emissions stays in the air for what is, for all practical purposes “an eternity,” more than 1000 years. That is a well-established scientific fact — there is no debate. A direct implication is that we cannot be aiming for a 50, 80, or 90 percent reduction of emissions. We must transition over the next several decades to practically zero net CO2 emissions. Thus our energy focus must be to develop renewable energies and energy efficiency.
Indeed, when you created a climate change task force last year, you said, “Nevada has to be a responsible member” of global society, and, with its abundant wind, solar and geothermal potential, the state can “leverage these resources to reduce greenhouse gas emissions by investing in its renewable energy industries, thus promoting economic growth and energy security while maintaining and enhancing the environment for future generations of Nevadans.”
Governor Gibbons, I understand that you have also supported proposals for new coal-fired power plants, in Ely, Mesquite, and White Pine. These coal-fired power plants would expose ratepayers and Nevada to grave financial risk. Steeply rising construction costs and coal prices are themselves ratcheting up the cost of coal-fired electricity, and sure-to-appear federal legislation that demands elimination of CO2 emissions will drive costs much higher. Given that Nevada’s geology is not very well-suited for storing CO2, any assumption about retrofitting a coal-fired plant for CO2 capture is a dubious and financially risky proposition.
A major additional disadvantage of coal is the pollution associated with it. There is no such thing as “clean coal.” Good stewardship of creation, of the planet that we inherited, suggests that the best place for coal is in the ground, where it is. Renewable energies are also superior in requiring little water, a resource that is becoming increasingly precious.
Although the fossil fuel industry pedals misinformation, claiming that renewable energies can only be a niche contribution to energy needs, that contention defies common sense. As proof of the contrary, consider just one of the renewable energies, solar power. The technology for solar thermal power stations already exists, power stations can be built rapidly, and as the market for them increases their unit costs will fall steadily, as the cost of coal power continues to rise. There is enough solar energy in a small fraction of our desert Southwest to provide all of the electrical needs of the United States. Nevada has the potential to be a leader in this field, providing power for itself and for distant locations as a low-loss grid is developed. Leadership would provide great economic benefit to Nevada and provide a large number of high-pay jobs and new businesses.
Note that renewable “fuels”, in addition to eliminating CO2 emissions, are cost-free and the source will last practically forever. This is in stark contrast to coal. One reason that the cost of coal has been shooting up is that coal is a finite resource requiring increasing efforts for extraction. The notion that the United States has a 200-year supply of economically extractable coal is a myth. I strongly recommend that you invite Prof. David Rutledge of the California Institute of Technology to brief you on current analyses of coal reserves.
An indirect source of energy, with enormous potential, is efficiency. This potential can be tapped much more if rules for utility profits are changed such that profits increase when the utility helps customers improve efficiency, rather than when the customers use more energy.
Governor Gibbons, I know that you have backed the construction of new coal plants. I also know, from colleagues at the Desert Research Institute, that you have a scientific background and ask penetrating questions. This is a time when, as Nevada’s top elected official, entrusted with protecting the interests of Nevadans and the state’s environment, you can benefit most from the objective methods of science in reevaluating your energy options.
I realize also that there has been a tendency for positions on energy issues to divide along party lines (for the sake of disclosure, I am an Independent), but I am confident that in making your decisions you will be guided by the considerations of the long-term prosperity of Nevada and the condition of the planet that we leave for our children and grandchildren. As governor, you can help inspire your state and the rest of the country to take the bold actions that are essential if we are to retain a hospitable climate and a prosperous future. If you should decide to come down firmly on the side of clean energy and energy efficiency, it could be a transformative moment for you, Nevada, and the future of coming generations.
Specifically, you could use your executive authority to suspend the permitting of the three proposed power plants until concrete plans for carbon capture are provided. Without a firm requirement and commitment for carbon capture, the likelihood that it actually would be included is remote. The proposed operators, in fact, are almost surely assuming that they will not need to capture the CO2, and when carbon capture becomes a national imperative the jolt to Nevada ratepayers will be severe. Far better than importing coal from other states, with vagaries of availability and a growing price, would be for Nevada to assume leadership in the development of its abundant free renewable energies. Unlike coal plants, the renewable energies will not deplete precious groundwater, and they will provide a larger number of construction and professional jobs.
I close on a note of optimism. I mention in my presentations the power gap in the face-off of fossil fuel interests against young people and nature. Fossil interests permeate state governments, as well as Washington. Young people must seem puny in comparison, and animals are of little help (don’t talk, don’t vote). Yet, as in our national revolution more than two centuries ago, the puny are united by a powerful force, a common goal for the common good. I am heartened that young people will make the difference in this war, on the side of nature and humanity.
Recently I met remarkable young organizers, including Jessy Tolkan who led the New Voters Project in Wisconsin, registering over 130,000 18-24 year old Wisconsin voters, making young people a powerful force in primary and general elections. These young people have now joined forces in a coalition of 47 youth organizations in support of bold climate action. The Energy Action Coalition is determined to mobilize at least one million youth as a powerful force, on the side of nature and humanity, focused on the essential goal of zero carbon emissions as soon as humanly possible. I recently learned that Energy Action, League of Young Voters, Rock the Vote and several other youth civic groups have identified Nevada as a principal state for their voter outreach programs. According to Energy Action, there are numerous young students at the University of Nevada, Nevada State, and several of your community colleges who are getting involved with this climate campaign.
Youth may still seem puny, aligned against fossil interests, but it would be a mistake for industry and political leaders to sell them short. They are not fooled by “green” advertisements of industry or tokenism in political actions. The leaders who put our nation on a course to carbon-free energy, allowing us to be good stewards of creation, of our planet, will find a strongly supportive public.
Respectfully,
James Hansen
cc: Members of Nevada Climate Change Task Force, Nevada Public Utilities Commission
Wind Power Blows Past Expectations
Global wind power capacity rose 27 percent in 2007 to more than 94,100 megawatts, led by capacity additions in the European Union, the United States, and China, according to the latest Vital Sign Update from the Worldwatch Institute.
New wind installations were second only to natural gas in the United States as an additional source of power capacity and were the leading source of new capacity in the EU. Thats right, more wind power was installed than coal, or oil. Natural gas watch out, your next. In China, the estimated 3,449 megawatts of wind turbines added last year propelled China past the government’s ambitious wind power target for 2010.
The addition of a record-breaking 5,244 megawatt (enough to power 4.5 million U.S. homes) of wind capacity in the United States in 2007 was driven by the federal production tax credit and by renewable energy mandates in 25 states and the District of Columbia. The nation’s wind capacity now totals 16,818 megawatts, second only to Germany. The production tax credit is set to expire at the end of this year. “If Congress acts quickly to extend the tax credit, the U.S. will likely pass Germany to lead the world in wind power within the next two years,” according to Janet Sawin, a Worldwatch senior researcher and the author of the update.
Germany remains the world leader in wind power capacity, with almost 24 percent of the global total (22,247 megawatts), but it experienced a lackluster year in 2007. Still, renewable energy resources now generate more than 14 percent of Germany’s electricity needs, with about half of this coming from wind. Spain led Europe in new installations in 2007, now ranking third worldwide in total wind capacity (15,145 megawatts). France, Italy, Portugal, and the United Kingdom all experienced significant growth last year as well. In all, EU wind power capacity rose 18 percent in 2007, and the region is home to 60 percent of global installed capacity.
China was the biggest surprise in 2007. Barely in the wind business three years ago, China trailed only the United States and Spain in new wind installations in 2007, and ranked fifth in total installed capacity (6,050 megawatts). However, an estimated one-fourth of this capacity remains unconnected to the grid due to planning problems. This could be yet another example of China doing things so fast that they are unable to plan for what happens.
This explosive growth occurred amidst a backdrop of serious turbine shortages, a challenge that is expected to be ameliorated sometime in 2009. Despite higher costs due to turbine shortages, rising material costs, and increased manufacturing profitability, wind power remains competitive with new natural gas plants, and all conventional power plants have seen similar construction-cost increases. Wind power will become increasingly competitive with coal as more countries put a commodity price on carbon.
The global wind market was worth an estimated $36 billion in 2007, accounting for almost half of all investment in new renewable electric and heating capacity. As many as 200,000 people are now employed in the wind industry worldwide. These numbers will only rise in the coming years as the EU seeks to meet aggressive 2020 targets for renewables and as the United States, China, and other nations realize their enormous potential for wind power.
“The wind industry has consistently blown by past projections,” says Sawin, “and it will likely continue to do so for years to come.” Lets hope the U.S. continues to take advantage of this wonderful economic and ecological energy source.
Big Business Pushing Government To Embrace Solar
Yesterday, a group of bankers and analysts from Wall Street investment firms and venture capitalist firms called on Congress to pass an eight-year extension of the solar Investment Tax Credit (ITC), that is set to expire at the end of 2008, stressing its importance in building investor confidence and stimulating industry growth. Thats right, a bunch of suit wearing old rich white guys want the United States government to continue to push money into “hippy” technology, specifically solar (sorry, wall street still hasn’t come around on the hemp Birkenstocks trend yet).
The U.S. Senate is expected to vote on legislation to provide for a long-term extension of the ITC (S. 2821, the Clean Energy Stimulus Act of 2008) as early as this week.
Since the solar ITC was established as part of the 2005 energy bill, the solar energy industry has grown at a rate of more than 40 percent per year. Utilities and solar energy companies have announced plans for numerous projects to provide utility-scale solar power to states from Florida to Nevada. On the commercial and residential side, energy users from military bases, retail stores and homeowners have added solar energy generation to their land and buildings. But investors are worried that if the ITC is allowed to expire at the end of 2008, rapid progress made within the industry could slow to a halt.
“We believe solar projects will become cost effective in the future without the federal tax credits,” said Edward Levin, vice president of global structure products at Morgan Stanley, “But the current federal tax incentives are still vital for industry growth and continued investor confidence. The tax incentives need to be extended to avoid a market interruption that could significantly set back U.S. solar development.”
“The ITC is serving as an important building block for solar energy’s migration into mainstream electricity markets,” said Sanjay Shrestha, managing director of equity research in alternative energy at Lazard Capital Markets. “If extended, the ITC will accelerate project activity, helping the U.S. evolve into one of the most pivotal solar markets in the world.”
The solar ITC has been scored to cost approximately $700 million over the course of ten years. This amounts to less than 1 percent of the $40 billion in subsidies that fossil fuels energy companies receive every year. And not even worth comparing to the MASSIVE amount of money wasted on the war for oil, war for Dick Cheney, war for Halliburton, war in Iraq. CNN reported that with the proper investment incentives, renewable energy could stimulate as many as three million new jobs over the next two decades.
Ed Sproull, senior vice president of energy at HSH Nordbank, predicted that “with an extension of the solar ITC, solar development will continue to accelerate because it makes economic sense to investors.”
“Without [the ITC], we risk seeing the steady progression of investment grind to a halt, threatening job growth, tax revenue generation, and energy independence in the process,” said Nancy Pfund, managing partner, DBL Investors. “Most importantly, we need … to continue backing those that invest in solar improvements so that costs come down and financing products can be developed to make solar accessible to all.”
RSS XML Feed
