Renewables and Carbon Markets

Allowance structures will influence project economics.

Carbon-reduction policies are being designed and implemented across the country. One common feature of these regulatory programs is a carbon cap-and-trade system—i.e., a carbon emissions market.

Reducing Lifecycle Expenditures

Total cost of ownership accounting optimizes long-term costs.

A large regional utility forfeited significant operating revenues after it replaced pulverizers at several of its coal-fired power plants. Because the replacement pulverizers were sized to operate at 100-percent capacity during operations using the coal typically procured by the utility, upgraded plants had to be derated following a change to lower BTU-rated fuel. If utility decision makers had used a total cost of ownership (TCO) framework, they could have avoided this situation.

People (May 2009)

AGL Resources created a new office of technology and environmental sustainability, to be headed by Ira Pearl as v.p. Jay Sutton is promoted to v.p., engineering and supply chain services at AGL’s Florida City Gas and coastal Georgia subsidiaries. Melvin Williams is promoted to general manager, Florida City Gas and coastal Georgia. And others...

Green Progression

Before L.E. Modesitt, Jr. wrote best-selling sci-fi and fantasy novels, he worked on Capitol Hill. Specifically he was the director of EPA’s office of legislation and congressional affairs during the Reagan administration. And not surprisingly, Modesitt’s novels focus on the politics of environmental issues. From his early novel, The Green Progression, to his Ecolitan series, Modesitt’s plots frequently involve biological warfare and environmental disasters.

PV's Promise

Chris O’Brien is no starry-eyed idealist. An engineer with an MBA, he began his career developing fossil-fired power plants for the AES Corp. But in the 1990s his career took a different turn, when he launched the Energy Star program for the U.S. Environmental Protection Agency. After that, he went into the solar energy business, and never has looked back.

The Wind Watcher

The search for the ultimate wind forecasting model got a boost at the end of 2008 when DOE’s Argonne National Laboratory began collaborating with a Portuguese research institute, INESC Porto, to develop a new platform for making such predictions.

The Safety Vote

A prerequisite for sustained nuclear renaissance.

The nuclear renaissance requires safety as its central focus. Industry vigilance at all levels is key to accident prevention, but only favorable public opinion will allow the industry to realize its enormous potential.

Dealing with Asymmetric Risk

Improving performance through graduated conditional ROE incentives.

Unlike the majority of performance-based regulation plans, alternative design paradigms require less data, by instead allowing firms to reveal performance potential. In an asymmetric environment, regulators don’t have needed information, but that can be overcome with better models and incentives.