Category Archives: Comprehensive Energy Strategy

CPES Policy Committee Update: June 21, 2016

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by a team recently formed with support from CPES, known as the New Energy Professionals. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Paul Brady, CPES Executive Director, via email: pbrady@ctpower.org.

This week’s features:

  • ISO New England Prepares for Summer
  • FERC’s Clark comments on hybrid markets
  • Comments on the 2016 Comprehensive Energy Strategy

 

Connecticut Policy/Regulatory Update: Connecticut Department of Energy and Environmental Protection

Scoping comments for the 2016 Comprehensive Energy Strategy were due to be filed with the Department of Energy and Environmental Protection on June 14, 2016. The comments filed by various stakeholders are now available for review at the following link.

 

Regional and Industry Developments

Beating the Heat: How ISO New England Prepares for Summer Peak Demand

As the region enters the summer season, ISO New England prepares for conditions unique to the hot, humid summer months. Peak demand brought on by warmer weather and an increased reliance on energy-intensive technologies, such as air conditioning, can create complex challenges for the grid operator. According to the ISO’s summer outlook, New England is expected to have adequate electricity supplies to meet consumer demand this summer under normal weather and power system conditions. However, work on Spectra Energy’s Algonquin Incremental Market (AIM) natural gas pipeline expansion project may limit delivery of natural gas to some power plants in the region.

To maintain a reliable supply of electricity to New England’s residents and businesses, the ISO’s System Operations team must rely on carefully planned procedures to increase power generation and curb consumption during periods when demand for electricity threatens to exceed available capacity and reserves. High consumer demand or unplanned resource outages—when a transmission line or generator suddenly goes offline—are typically the reasons for these procedures to be enacted.

For more information on how ISO New England prepares for summer peak demand, see the ISO Newswire.

 

FERC’s Clark sees ‘really unsustainable future’ in hybrid markets

BISMARCK, N.D. — Disputes playing out in deregulated states like Illinois and Ohio over proposed subsidies for aging power plants highlight a key challenge facing the electricity industry at a critical juncture in its evolution, said Federal Energy Regulatory Commissioner Tony Clark.  “This issue is one that is going to be a huge issue between FERC and the states in those regions of the country that not only have real-time markets, but that have also chosen to restructure their electricity industry,” said Clark, whose term ends at the end of the month.  The former North Dakota utility regulator was back in his home state this week for the Mid-America Regulatory Conference, an association of regulatory commissioners and staff from 14 central states. He was the featured speaker at yesterday morning’s wrap-up session.  Clark said the tension between states and FERC doesn’t affect most central states, where vertically integrated utilities have retail electric rates set by state commissions. But the issue looms large in restructured states where FERC-regulated wholesale markets are relied upon to signal when to invest in or close old power plants or build new ones.

There is an ongoing debate in states including Illinois and Ohio over keeping certain unprofitable coal and nuclear plants running to preserve jobs and taxes and other policy reasons.  Clark said those out-of-market solutions pose a problem: specifically that those states have previously chosen to let the market dictate investment decisions.  “If you have lots and lots of out-of-market constructs that basically negate the price formation that’s happening in the market, you end up with a really, really unsustainable future,” he said.  http://www.eenews.net/stories/1060038896

 

CPES Policy Committee Update: May 31, 2016

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by a team recently formed with support from CPES, known as the New Energy Professionals. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Paul Brady, CPES Executive Director, via email: pbrady@ctpower.org.

This week’s features:

  • DEEP presents its 2016 Connecticut Comprehensive Energy Strategy
  • 2016 Legislation Summary
  • ISO New England’s 2015 Annual Markets Report released

 

Connecticut Policy/Regulatory Update: Connecticut Department of Energy and Environmental Protection

On May 25, 2016, DEEP held a scoping and public input session on the its 2016 Connecticut Comprehensive Energy Strategy.  The key topics focused on the electricity, building & processes and transportation sectors.  Comments are due June 14, 2016.  The PowerPoint presentation can be found here.

 

CONNECTICUT LEGISLATION:

Information about the Energy and Technology Committee, including committee meetings and public hearings, is available at: https://www.cga.ct.gov/et/.

The 2016 regular session ended on May 4, 2016.  The following bills that passed both chambers during the regular or special session and that may be of interest to you received a public act number:

  • S.B. No. 272:  AN ACT CONCERNING THE USE OF MICROGRID GRANTS AND LOANS FOR CERTAIN DISTRIBUTED ENERGY GENERATION PROJECTS.  PUBLIC ACT 16-196.
  • S.B. No. 334:  AN ACT CONCERNING REVISIONS TO CERTAIN ENERGY PURCHASING POOL AND LIFE-CYCLE COST ANALYSES STATUTES.  PUBLIC ACT 16-173.
  • S.B. No. 366:  AN ACT CONCERNING ADMINISTRATION OF THE CONNECTICUT GREEN BANK, THE PRIORITY OF THE BENEFIT ASSESSMENTS LIEN UNDER THE GREEN BANK’S COMMERCIAL SUSTAINABLE ENERGY PROGRAM AND THE GREEN BANK’S SOLAR HOME RENEWABLE ENERGY CREDIT PROGRAM.  PUBLIC ACT 16-212.
  • S.B. No. 394:  AN ACT CONCERNING AUTHORIZATIONS RELATING TO VIRTUAL NET METERING FOR CERTAIN ZERO OR LOW EMISSION GENERATION PROJECTS.  PUBLIC ACT 16-216.
  • S.B. No. 501:  AN ACT ADJUSTING THE STATE BUDGET FOR THE BIENNIUM ENDING JUNE 30, 2017.  MAY SPECIAL SESSION, PUBLIC ACT 16-2.
  • S.B. No. 502:  AN ACT CONCERNING REVENUE AND OTHER ITEMS TO IMPLEMENT THE BUDGET FOR THE BIENNIUM ENDING JUNE 30, 2017.  MAY SPECIAL SESSION, PUBLIC ACT 16-3.

 

Regional and Industry Developments

New England’s Wholesale Electricity Markets Operated Competitively Last Year According to the 2015 Annual Markets Report  

On May 25, 2016, ISO New England’s Internal Market Monitor released the 2015 Annual Markets Report which found that wholesale power markets in New England operated competitively last year, bringing lower average power prices that reflected lower natural gas prices in 2015. The average real-time price of wholesale electric energy in 2015 fell by more than a third, or more than $22 per megawatt-hour (MWh), to $41.00/MWh as a result of natural gas prices that were 41% lower than their 2014 average. The prices of both natural gas and wholesale power were the lowest since 2012. The price of natural gas is a key factor in the price of wholesale power because the fuel generates 49% of the electricity produced in New England. The cost of fuel is the largest input into the cost of electricity production.

ISO New England issued a press release with highlights from the report, available here.

CPES Policy Committee Update: May 17, 2016

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by a team recently formed with support from CPES, known as the New Energy Professionals. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Paul Brady, CPES Executive Director, via email: pbrady@ctpower.org.

 

This week’s features:

  • Final legislation passed during the regular legislative session and look into the special session
  • DEEP’s issues notices on 2016 Connecticut Comprehensive Energy Strategy

 

CONNECTICUT LEGISLATION:

Information about the Energy and Technology Committee, including committee meetings and public hearings, is available at: https://www.cga.ct.gov/et/.

The 2016 regular session ended on May 4, 2016.  The following bill that passed both chambers during the regular session and that may be of interest to you received a public act number:

  • H.B. No. 5242:  AN ACT CONCERNING AGRICULTURAL VIRTUAL NET METERING.  PUBLIC ACT 16-46.
  • H.B. No. 5427:  AN ACT CONCERNING THE SHARED CLEAN ENERGY FACILITY PILOT PROGRAM.  PUBLIC ACT 16-116.

Both chambers passed a budget and budget implementer bill during the 2016 special session.  Section 183 of the budget implementer bill diverts to the General Fund in fiscal year 2017 the first $3.3 million of proceeds from Regional Greenhouse Gas Initiative auctions that take place on or after January 1, 2017.  Links to the budget and budget implementer are as follows:

  • S.B. No. 501:  AN ACT ADJUSTING THE STATE BUDGET FOR THE BIENNIUM ENDING JUNE 30, 2017.
  • S.B. No. 502:  AN ACT CONCERNING REVENUE AND OTHER ITEMS TO IMPLEMENT THE BUDGET FOR THE BIENNIUM ENDING JUNE 30, 2017.

 

Connecticut Policy/Regulatory Update: Connecticut Department of Energy and Environmental Protection

On May 6th, the Connecticut Department of Energy and Environmental Protection (DEEP) issued a Notice of Proceeding and Scoping Meeting regarding the 2016 Connecticut Comprehensive Energy Strategy (CES). The notice is available at the following link. Section 16a-3d of the Connecticut General Statutes requires DEEP to prepare a CES every three years. DEEP issued its first CES in 2013. Pursuant to the notice, DEEP is holding a meeting to deliver a presentation and receive stakeholder comments on the scope of 2016 CES on Tuesday, May 24, 2016, at 9:00 AM in Hearing Room 1 at DEEP’s New Britain Office located at 10 Franklin Square, New Britain, Connecticut. The objective of the scoping meeting will be to provide an overview of, and seek public input on, the expected structure, schedule, and topics for the CES. The major topics identified in the notice include:  (1) Buildings and Industrial Processes; (2) Electricity Supply; and (3) Transportation. Written comments may be filed electronically on DEEP’s website or submitted directly to DEEP at DEEP.EnergyBureau@ct.gov on or before June 14, 2016, by 4:00 p.m. EDT.