+ Extreme Weather: Strategic Opportunity for Renewable Energy - - PowerPoint PPT Presentation

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Energy Assurance Planning: Creating the Framework for Resiliency

David Terry, Executive Director National Association of State Energy Officials

Extreme Weather: Strategic Opportunity for Renewable Energy April 18, 2013

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2012 Energy Disruptions

n Derecho (June 29, 2012)

n 28 deaths attributed to storm n Over $1 billion in damages n 4.2 million customers without power at peak n ~9 days for power restoration n 8 states and the District of Columbia

effected

n Super Storm Sandy and the Nor’easter

(October 29 – 31, 2012)

n 132 deaths attributed to storm n Over $60 billion in damages n 8.2 million customers without power at peak n ~14 days for power restoration n 21 states effected

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+ ¡Genesis of State Energy Offices and

Energy Assurance Planning

n State Energy Offices were generally first created as a result of the Arab

Oil Embargo in 1973, as such, states have been have been working on energy supply, disruption, planning, mitigation, and response measures for nearly 40 years.

n For more than twenty years, NASEO has partnered with the U.S.

Department of Energy and National Association of Regulatory Utility Commissioners to encourage energy assurance planning and regional coordination among states in planning, communication, information sharing, and coordination of activities before, during, and after energy disruptions.

n The Energy Policy and Conservation Act, Section 363, 42 U.S.C. 6322(e)

was amended by the State Energy Efficiency Programs Improvement Act of 1990.

n To be eligible for financial assistance to assist in the development and

implementation of energy conservation plans, a State must submit to the Secretary of Energy, as a supplement to its energy conservation plan, an energy emergency planning program for an energy supply disruption as designated by the State consistent with applicable Federal and State law. The contingency plan, “... shall include an implementation strategy or strategies (including regional coordination) for dealing with energy emergencies.”

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+ ¡Energy Assurance is the Capability to:

n Respond to events that disrupt energy supply and assuring a rapid

return to normal conditions. This is a coordinated effort involving the private energy sectors’ response, augmented by local, state and federal government as needed; and

n Prevent and Protect to mitigate risks by making investments that

provide for a more secure, reliable, and resilient energy infrastructure.

n Renewable energy and energy efficiency are part of state strategies

to encourage fuel diversity, risk assessment, and mitigation measures.

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n Approximately $38 million was made available to states in August

2009 by the U.S. Department of Energy’s Office of Electric Delivery and Energy Reliability

n NASEO has collected 23 completed state energy assurance plans

and will collect additional plans as they are completed. All plans will be completed by the end of September 2013.

n Each state plan is unique and reflects the needs, organizational

structures, energy infrastructures, types of hazards, and other

• factors. What may be a good plan for one state may not meet the

needs of others.

n NASEO is conducting a review of state energy assurance plans to

identify well developed planning elements and creative public- private approaches.

Enhancing State Government Energy Assurance Capabilities and Planning

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+ ¡Energy Assurance Plans: Available

Resources

State and Local Energy Assurance Guidelines available for download at: http://www.naseo.org/eaguidelines ¡

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+ ¡Coordination of Plans: Planning Interfaces

7 Private Sector Government Private Sector Petroleum Refiners and Pipelines Federal Response Plans Electric Independent System Operator Petroleum Local Retail Jobbers/Distributors State Disaster Plan Electric Transmission Natural Gas Producers Interstate Pipelines State Energy Assurance Plan Electric Local Distribution Utilities Natural Gas Local Distribution Utilities Local Energy Assurance Plan Other Critical End User Sectors

+ ¡Multi-State Regional Coordination

n Infrastructure that may be critical to a state may be in another state

(or country)

n States need to maintain contacts in the energy sector and with other

states in region

n State response plans should be coordinated regionally n The states’ energy emergency assurance coordinators provides

crisis communication procedures

n Regional energy emergency exercises are essential to sustaining

energy assurance capabilities and preparedness as they result in improved coordination and more rapid response

n In 2011 NASEO, in partnership with DOE, hosted

four regional energy assurance exercises and

• ne national exercise in 2012

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+ ¡Regional Exercise Lessons Learned

n Communications

n Keep industry, federal, state and local contact information up to date and maintain

relationships

n Effective outreach to the public is a critical and can help manage public expectations

n Interdependencies

n Energy interdependencies must be understood and considered in plans n Interdependencies can compound the effects of an energy supply disruption causing

cascading impacts and limiting the response capabilities of others n Roles and Responsibilities

n Clearly defined roles and responsibilities are critical n Staff turnover, retirements and reorganizations will continue to pose challenges for

maintaining institutional knowledge and continuity n Collaboration and Coordination

n Coordination with federal organizations and at the state and local level is critical n Collaboration between states and private energy sector partners can always be

improved n Resource Allocations

n Consistent communication with infrastructure owners and operators during response is

key to establishing priorities for allocating resources and restoring services 9

+ ¡Role of Renewable Energy and Energy

Efficiency Resources

n Renewable energy and energy efficiency can be strategically linked

into state and regional energy assurance planning to help build resiliency

n As a tactical approach renewable energy sources can be used to provide

back-up power to support critical facilities in the event of an outage

n As a long-term resource planning approach renewable energy and energy

efficiency can be used to diversify energy supply in states

n More energy efficient homes and buildings can retain heat longer in a

winter power outage allowing time for restoration

n Examples of supply side renewable resources include solar, wind,

biomass, biofuels, hydro- and geothermal

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Types and Examples of Energy Alternatives That May Lower Risk from Conventional Energy Sources

Supply Side Demand Side

Solar Energy Combined Heat and Power Energy Efficiency and Smart Grid Programs Wind Energy Distributed Generation Energy Star Appliances and Standards Solar and Wind Energy Renewable Energy Portfolio Hybrid Transportation Technology

• Electric Hybrid
• Fuel Cells
• Natural Gas
• Hydrogen

Demand Response Management

• Smart Grid
• Time-of-Day Pricing
• Remote Switching

Biomass

• Ethanol/Biodiesel
• Waste
• Landfill Gas
• Anaerobic Digestion
• Enhanced Battery

Technology Energy Building Codes Hydropower Geothermal Load Management and Smart Grid 11

+ ¡State Mitigation Actions ¡

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n Lead by Example

n Pursue green building initiatives that result in structurally sound and

energy lean critical facilities

n State of Kentucky built the first net-zero school in Bowling Green n State of Kansas provided funds to support green planning for

Greensburg rebuild effort

n Resiliency Planning

n Build resiliency to prepare for future disasters n State of Oregon recently released a resiliency plan for earthquakes and

tsunamis based on recommendations from eight task groups comprised

• f volunteer subject-matter experts from government, universities,

private industry, and the general public

n Build Resiliency into Power Grid

n Use of renewable energy sources to support the electrical grid n State of Montana has the ability to use renewables to provide black-start

capability for all balancing authorities in the state should the grid collapse and need to be restarted

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+ ¡Energy Alternatives Examples from

Superstorm Sandy

n Consolidated Solar, SolarCity, Solar One, and the New York State Energy

Research and Development Authority partnered to dispatch mobile solar generators to 17 areas without electricity following the storm

n Iberdrola Renewables, in consultation with local power transmission

companies, shut down the company’s wind turbines to avoid potential damage and an overflow of energy to the system. The result was very minimal damage to the turbines which were used to help fill the power grid with energy that was needed for operation

n Co-Op City, located in the Baychester section of the Bronx, contains a 40

megawatt combined heat and power plant which provided lights and heating for its more than 60,000 residents during and after the storm

n Atlantic City’s 190 Jitneys, which run on compressed natural gas, served as

the city's emergency response vehicles and supplied fuel to South Jersey Gas vehicles and local refuse operators.

n The State of Pennsylvania waived their biodiesel requirements till the end of

November allowing additional conventional diesel to move in from other states to help with the resupply effort

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David Terry, Executive Director National Association of State Energy Officials Email: dterry@naseo.org Telephone: 703.299.8800

Thank you!