The Colorado Governor`s Energy Office Planning Horizon

Rocky Mountain Utility Efficiency Exchange
Joani Matranga
Market Development Manager
October 12,2011
1
Colorado Governor’s Energy Office (GEO)
Mission
The Governor’s Energy Office promotes sustainable economic
development in Colorado through advancing the state’s energy
market and industry to create jobs, increase energy security, lower
long term consumer costs, and protect our environment.
Jobs
Security
Cost
Environment
+Innovation
Success: Renewable Energy Jobs
US Economy is Inefficient
U.S. Energy Conversion Efficiency
That is, the Ratio of Used Energy (Useful
Work) to Total Energy
4
2011-2012 GEO Program Goals
Title/Header/Main Point
1. Develop and deliver a plan for a balanced energy portfolio for Colorado
statewide
2. Increase the adoption of compressed natural gas as a component of a
balanced energy portfolio for transportation fuels
3. Unlock potential investment by eliminating the roadblocks to residential and
commercial energy efficiency financing
4. Support the administration’s efforts to boost the innovation ecosystem in the
State
5. Increase the energy literacy in the Colorado
5
2011-2012 GEO Goals
Title/Header/Main Point
•
Develop and deliver a plan for a balanced energy portfolio for Colorado
statewide
•
Increase the adoption of compressed natural gas as a component of a
balanced energy portfolio for transportation fuels
•
Unlock potential investment by eliminating the roadblocks to residential and
commercial energy efficiency financing
•
Support the administration’s efforts to boost the innovation ecosystem in the
State
•
Increase the energy literacy in the Colorado
6
Looking to the Data on Electricity Costs
Levelized Cost
(Cents/kWh)
Note: The green bars represent the lower end
while the blue bars reflect the upper end of costs
The cheapest resource
Source: Lazard 2009
An Inclusive Balanced Energy Portfolio Stakeholder Process
Provides Transparency in Electric Power Policy
GEO
CDPHE
DNR
PUC
Enviros
IOUs
Holistic Quantitative Analysis
NREL
Academia
Internal Factors
Fuel cost projection
Interest rates
Construction costs
O&M costs
Heat rates
Capacity factors
Capacity values
External Factors
Job creation
Risk mitigation
Price volatility
Health impacts of pollutants
Cost of water
Others?
SMEs
Munis
REAs
IPPs
OCC
Fuels
Consumer
Public
2011-2012 GEO Goals
Title/Header/Main Point
•
Develop and deliver a plan for a balanced energy portfolio for Colorado
statewide
•
Increase the adoption of compressed natural gas as a component of a
balanced energy portfolio for transportation fuels
•
Unlock potential investment by eliminating the roadblocks to residential and
commercial energy efficiency financing
•
Support the administration’s efforts to boost the innovation ecosystem in the
State
•
Increase the energy literacy in the Colorado
9
The Transportation Sector is Colorado’s Biggest Energy
Consumer
Colorado Energy Consumption by End Use
1,452 Trillion BTUs
Transport
ation
29%
Residentia
l
23%
Colorado’s Energy
Use in Perspective
1,452 Trillion BTUs
=
11.7 Billion Gallons of
Gasoline
7 Trillion 60W Light
Bulbs
Commerci
al
20%
Industrial
28%
U.S. Department of Energy, Energy Information Administration (2009)
433 Million Gas Grills
CNG Demonstrates Significant Potential for Increasing
Colorado’s Prosperity
U.S. Average Retail Fuel Prices
Scenario
$5
Benefits to Colorado
Propane
$4
E85
$3
B99/B100
$2
B20
Gasoline
$1
Diesel
$0
Apr-00 Apr-01 Apr-02 Apr-03 Apr-04 Apr-05 Apr-06 Apr-07 Apr-08 Apr-09 Apr-10
CNG
Natural Gas Availability
Million GGE / day, 2009
11.3
900
CTL
800
31.0
19.7
Lifetime SOX + NOX emissions, lbs
Cost per GGE
MISSION
$570M Invested
32,000+economic
New Jobs
The Governor’s Energy Office promotes sustainable
development in Colorado through advancing the state’s energy
markets and industry to create jobs, increase energy
security,
$1.45B Invested
88,000+ New Jobs
lower long term consumer costs, and protect our environment.
700
600
500
400
300
Diesel
Gasoline
Tar sands
200
E85
CNG
100
Colorado
Consumption
Current Production
Exports
0
The Broader Message – Economic Security and Energy
Independence
• Mix of hybrid, plug-in hybrid, and electric vehicles being developed
(12 new models expected globally in 2012)
• Ford-Toyota partnership, GM-LG electronics partnership announced
to share EV technologies
•$2.4 Billion investment by the U.S. Department of Energy in battery
technologies
Global Plug-In Hybrid and
Battery Electric Vehicle Sales
Projections
Millions of Vehicles
Sold
Industry Reaction to CAFE
Plug-In Hybrid and Electric
Vehicles
6
5
4
3
2
1
0
2011
2017
*Source: Pike Research (2011)
The Colorado Story with EVs
• Limited consumer availability: Chevrolet Volt, Nissan Leaf, and ford focus all expected to come to market. Tesla
and Fiskars currently available.
• Startup companies include: American Electric Vehicle, Boulder Electric Vehicle, Proterra, UQM, Prieto Battery,
Bye Energy – currently estimated at 154 jobs. Boulder Electric Vehicle has the capacity to produce 10,000
vehicles annually and employ up to 750 people.
2011-2012 GEO Goals
Title/Header/Main Point
•
Develop and deliver a plan for a balanced energy portfolio for Colorado
statewide
•
Increase the adoption of compressed natural gas as a component of a
balanced energy portfolio for transportation fuels
•
Unlock potential investment by eliminating the roadblocks to residential and
commercial energy efficiency financing
•
Support the administration’s efforts to boost the innovation ecosystem in the
State
•
Increase the energy literacy in the Colorado
13
Financing
Title/Header/Main Point
Energy Performance Contracting (EPC)
GEO provides technical oversight and standardization
$350MM in upgrades for public entities and schools
GEO Won DOE SEP grant $600,000 to pilot EPC for private entities
Green Colorado Credit Reserve
Supports Main Street Efficiency Programs
Partnering with banks and regional COGS to support loans for small
businesses
Other
Energy Star Mortgage Program
Collaborative Learning Better Buildings Grant Programs
What ever happened to PACE? Alternatives?
Energy Efficiency Market Study
14
2011-2012 GEO Goals
Title/Header/Main Point
•
Develop and deliver a plan for a balanced energy portfolio for Colorado
statewide
•
Increase the adoption of compressed natural gas as a component of a
balanced energy portfolio for transportation fuels
•
Unlock potential investment by eliminating the roadblocks to residential and
commercial energy efficiency financing
•
Support the administration’s efforts to boost the innovation ecosystem in the
State
•
Increase the energy literacy in the Colorado
15
Innovation Energy Job Creation
•COLORADO BLUEPRINT for Economic Development
Bottom Up Process
Innovation Clusters
•CREED- Colorado Renewable Energy for Economic Development
Collaborative Effort- www.creed.org
Colorado Cleantech Industries Association
NREL Colorado Collaboratory
Clean Launch GEO OEDIT CAMT Colorado Clean Energy Cluster
Energy Efficiency Business Coalition
• GEO Alignment with OEDIT to work with Businesses to address barriers and
identify supply chain opportunities
GE Primestar to Colorado
Carbon Capture
Water Treatment /Recycling for Flow Back water in Gas Drilling
Green Greenhouses Geothermal Developments
Biomass Power Plant- Biochar for Reclamation
16
GEO GOALS 2011-2012
•
Develop and deliver a plan for a balanced energy portfolio for
Colorado statewide
•
Increase the adoption of compressed natural gas as a
component of a balanced energy portfolio for transportation
fuels
•
Unlock potential investment by eliminating the roadblocks to
residential and commercial energy efficiency financing
•
Support the administration’s efforts to boost the innovation
ecosystem in the State
•
Increase the energy literacy in the Colorado
17
8.00
40
7.00
35
Bottom line: a more
resilient economy with
perhaps a net gain of
35,000 more jobs. . .
6.00
5.00
30
25
4.00
20
3.00
15
2.00
10
1.00
5
0.00
0
2010
2015
2020
Energy Bill Savings
2025
Net Jobs
2030
Thousands of Jobs
Billions of 2009 Dollars
A 25% Energy Bill Savings by 2030 Drives a Net
Gain in Colorado Jobs
Energy Literacy
Community Energy Coordinators in Rural Areas
Work Regionally
Work with a Regional Advisory Board
Support a conversation on a Regional Local Strategy
Educate public on opportunities for Efficiency and Renewable Energy
Build Local Capacity
Sustainability Coordinators in Metro Areas
Provided network for support of activities
Coordinate use of EECBG Funds
Future Outreach
Partnerships
Providing information on energy future
Supporting energy and jobs and economic development
Looking for Sustainable funding for CEC
19
GEO Seeks to Build on Colorado’s Legacy of Success from the
Energy Industry
Thanks to the Utility Exchange Partnerships
Over the past 4 years
Learning for implementation
Start-up business development
Local Partnerships
Consultant & Contractor capacity
Publicize on- the-ground Success
Future: Continue Build the Case for Efficiency
Collaborate
Get Efficient
Build Partnerships
Statewide Market Study for Energy Efficiency
21
GEO Team
TJ Deora
Director
Alex Schroeder
Senior Transportation Fuels Program
Manager
Angie Fyfe
Associate Director, Operations
Stacey Simms
Associate Director, Programs
Morey Wolfson
Transmission Policy Advisor
Paul Scharfenberger
Finance Program Manager
Francisco Flores
Program Manager- RE
Denise Stepto
Public Information Officer
Mona Newton
Senior Market Development Manager
Joani Matranga
Market Development Manager
Doug Karl
Weatherization Director
Governor’s Energy Office
State of Colorado
1580 Logan Street, Suite OL1
Denver, Colorado 80203
(303) 866-2202
22
GEO Thank you
Joani Matranga
Market Development Manager
Carbondale, CO 81623
970 366 6036
Joani.Matranga@state.co.us
23
Policy
Non-Weatherization
• Secured loan commitments for 100% of RLF;
1 add’l loan closed, balance by 2Q12
• Closed rebate program ($15 mm ARRA, $90
mm private leverage
• Launched FERC small hydro permit process
Weatherization
• Completed 100% ARRA program targets (6000
homes) with 60% spend
• Secured $9 MM of LEAP funding for weatherization
investment
• Addressed State audit findings
• Began spin-outs of CCF and Recharge
• Streamlined staff from 47 FTEs to 36 FTEs
through consolidations and shift to
temporary staff
• Secured $600K of DOE competitive funds for Private
EPC Market study
• Developed detailed (JBC ready) state budget request
• Launched new GEO website
Operations
Legislative
Regulatory
• Secured SB-45, HB-1199, HB- • Mediated settlements for Xcel and
1204, HB-1262
BHE PV incentive programs
• Obtained commitments from • Negotiated settlements for REC
key Senate Ds and House Rs
sales and BHE wind dockets
to resolve funding issue in
• Restructured Xcel TRC for PV
2012 leg session
standby cost study
Program
Sample Governor’s Energy Office Accomplishments for 2011
Other
• Developed analytical energy
resource model for EPS
• Developed policy roadmap
and priorities for the
Hickenlooper administration
• Selected PUC Chair Candidate