May 2008 Archives

May 30 2008

Posted by: Katie Romans

Wineries are developing a palate for energy efficiency and clean energy, looking into some pretty innovative ways to leverage their facilities and surroundings to realize energy savings. And, with 1,100 wineries in the state of California, which collectively produce 500 million gallons of wine, the movement can have a huge impact on California's energy use.

As reported in yesterday's San Francisco Chronicle, the Far Niente winery in Oakville recently covered their irrigation pond with a floating solar installation, designed and installed by SPG Solar of Novato, using the "Floatovoltaic" technology developed by Thompson Technology Industries Inc.

Not only will the Floatovoltaic arrays provide the winery with up to 447 kw of clean renewable energy, it is also likely to result in less water loss due to evaporation, according to the article, and less algae growth. Dividends.

In related news, PG&E's own Emerging Technologies group is also working with wineries to help them realize energy savings through energy efficiency. The team conducted two studies at two major yet-to-be-named NorCal wineries that show that the use of a European technology called electrodialysis in the process of eliminating tartaric acid in wine is 99 percent more efficient than the refrigeration process regularly used, called cold stabilization. To put a finer point on it, that's 8 watt-hours per gallon v. 22-1,200 watt-hours per gallon.

As such projects become more and more feasible through financing mechanisms and rebates, hopefully more California wineries will get snobby on their energy use -- and pass on the savings. Cheers to that!

May 29 2008

Posted by: Keely Wachs

Earlier this month we profiled Masdar, Abu Dhabi's initiative to create a renewable energy city. 

Today, the company announced Masdar PV, a $2 billion investment in thin-film solar production capacity.  The investment lays the groundwork for Abu Dhabi to go beyond being a consumer of clean energy, but also an exporter.

The company will begin by opening a thin-film factory in Germany in 2009, followed by a factory in Abu Dhabi a year later. The goal is to reach 210 megawatts of production capacity in a couple of years.

The announcement comes on the heels of Q-Cells' selection of Mexico for its latest manufacturing center.  Interestingly, Q-Cells' original manufacturing facility is based in Germany.

Q-Cells' new manufacturing center, based in Mexicali, will be hosted in a 10,000 acre science and technology industrial park.  Proximity to the U.S. market appears to be a major driver of the move.  Production in Mexico will no doubt create additional competition for U.S. thin-film producers like First Solar, Nanosolar, and OptiSolar.

May 28 2008

Posted by: Keely Wachs

iphone.jpgApple may be looking at solar technology to power its latest electronic gadgets, according to Earth2Tech. The report, originating on Engadget and based on a MacRumors posting, cited a recently published patent application.

The patent application claims that the company is investigating the use of solar power in all mobile devices, included handhelds and portable computers.  Specifically, the patent calls for embedding solar panels behind mobile device LCD screens.

Apple hasn't always been seen as a green company.  In fact, the company has been heavily criticized fort not accounting for its environmental footprint. 

Apple's foray into solar powered batteries seems like a step in the right direction, and a win-win in terms of its business priorities and protecting the environment.  Not only could solar technology extend the life of a mobile device, but it will help reduce greenhouse gas emissions generated by pulling from the grid. 

Apple's adoption of these technologies could also help to drive the worldwide market for both solar energy and batteries. 

May 28 2008

Posted by: Leonard Anderson

This just in from the sports desk: Major League Baseball is going green in more parks around the American and National leagues, reports Craig Rubens at earth2tech. That's good news for this fan because I'm not getting much happiness from my struggling San Francisco Giants, nine games out of first place this morning and heading for a sub-.500 season.

Rubens has put together an informative roundup of baseball parks adding solar systems to light up scoreboards and even heat up water at Boston's ancient Fenway Park. San Francisco's cozy AT&T Park on the waterfront gets a mention for its organic hot dogs and solar panels, the latter installed by PG&E.

We can expect more clubs to embrace solar and other environmentally friendly features as new baseball parks are built. We profiled the Washington Nationals' new green stadium at the opening of this season, and next season we'll see two new yards in New York -- a new Yankee Stadium in the Bronx and a new park for the Mets in Queens. We can also look for more developments like the Philadelphia Phillies' investment in renewable energy certificates reported in April by my colleague Keely Wachs.

May 27 2008

Posted by: Katie Romans

Trite, I know, but who can resist the excitement from Sunday's Indy 500? Not only did Danica's strut down pit row make it into one of the all-time greatest female moments in sports, perhaps lesser known though no less exciting is the role of ethanol in this year's Indy.

As reported by DomesticFuel, ethanol was the official fuel sponsor of the 92nd Indianapolis 500 for the second year. Who knew? Admittedly, a sport featuring high-performance vehicles screaming around a racetrack over and over, burning through tires and occasionally bursting into flames does beg the question: Is there something we can do to make the Indy more earth-friendly? Even so, race cars and renewables seem like strange bedfellows.

At the forefront of bringing ethanol to the Brickyard -- and to the masses -- is VeraSun CEO Don Endres, interviewed by DomesticFuel onsite at the race. Among the challenges and controversies faced by ethanol, according to Endres, is misinformation. He lauds Indy sponsors' understanding that ethanol is the only alternative to fossil fuels available today, making up about 6 percent of the total fuel stream.

Addressing the viability of ethanol long-term, Vinod Khosla of Khosla Ventures said at the recent The Future In Review conference that he is looking toward technologies like cellulosic ethanol rather than food-based ethanol, according to CNET. The key differentiators between cellulosic and food-based ethanol to Khosla seem to be two-fold: cellulosic ethanol's ability to scale to utility-grade levels, and its ability to compete with the cost of fossil fuels without subsidies.

Predictions for next year's Indianapolis 500: Clean fuel solutions such as cellulosic ethanol pick up where fossil fuels left off. Danica finishes what she started.

May 26 2008

Posted by: Katie Romans

Today's Gristmill featured a post addressing the argument that solar takes too much space, a common gripe about today's generation of solar technology.

While admittedly imperfect, the side-by-side comparison with coal production engages an interesting discussion -- solar production per square foot is not only cleaner, it yields more energy than coal mining.

For this reason and others, PG&E continues to sign contracts with utility-scale solar thermal power companies like Silicon Valley solar start-up Ausra. Backed by green investor Vinod Khosla and VC firm Kleiner, Perkins, Caufield & Byers, Ausra is under contract to build 177 megawatts in solar power plants in central California for PG&E. And, we continue to sign contracts with companies capable of developing and deploying clean energy on this larger utility scale.

This is not to leave distributed solar out of the party. Distributed solar can absolutely provide the same benefits as utility-scale solar and help address some of those pesky size/scale issues that come with sprawling solar farms. While we are still working through the policy and financing kinks of this relatively young industry, PG&E encourages the adoption of distributed solar as a viable clean energy option for customers through the California Solar Initiative (CSI).

So, to those who complain that solar energy is simply too big, I would encourage them to consider the benefits and, perhaps more persuasive -- consider the alternative.

May 24 2008

Posted by: Katie Romans

Lake TahoeOkay, so it's not a slogan for the visitor bureau, but my Reno Gazette-Journal today reported that this year's runoff has hit peak and will be on a diminishing trend from now on.

I'm not sure if this forecast took into account the May snow I drove through on my way here or the cloudy skies above, but certainly a few flakes has little effect on a 72-mile, 1,000-ft-deep lake.

Aside from being a disappointment for Lake Tahoe, with river runoff projections as low as 38 percent, this will undoubtedly impact hydroelectric capacity as we look into summer. Apparently, last week's heatwave burned right through the snowpack, causing a quick and final rise in stream and river levels before they begin their steady drop with rising summer temperatures. It seems that the optimism of early winter's heavy snows went down the proverbial drain.

As for Tahoe, the Federal Water Master's Office in Reno reports that, after the couple of inches that should come with this weekend's thunderstorms (great), the rate of lake evaporation will exceed river and stream runoff, and Tahoe will begin to drop. A sad reality, though definitely not a first for this Cal-Neva treasure.

May 23 2008

Posted by: Katie Romans

Yesterday, the American Gas Association (AGA) and the Natural Resources Defense Council (NRDC) came together in a press conference to highlight the importance of energy efficiency in combating global warming.

"By using a clean fuel, and using it efficiently, America's natural gas utilities and their customers are leading the way in the fight against global warming," said Laurence Downes, Chairman and Chief Executive Officer of New Jersey Resources

Sometimes, it's hard to remember -- here in California, here at PG&E -- that this is big news, that the more the rest of the country changes, the more things in California stay the same. That's the good news.

Thanks to a little policy called "decoupling," Californians already benefit from a regulatory structure whereby utilities do not earn based on how much energy they sell but, in large part, based on how little. A well-kept secret, but a great story in energy policy. (Still with me??) Add to that, performance-based mechanisms that make energy efficiency more than a neat thing for utilities to promote, it's a business driver.

There's the "a-ha:" So, THAT's why California utilities are so wild on energy efficiency. It's not a trick of the eye. Let down your guard, put aside your skepticism -- in addition to being great for the environment and good for your pocketbook, energy efficiency also makes good business sense. I get it.

Thanks to the work of the AGA, NRDC and many others, other states are following suit, but we clearly still have a long way to go. In the meantime, California will stay the course.

May 23 2008

Posted by: Leonard Anderson

NPR caught my ear this morning with an interview with reporter Kate Golden at The Juneau Empire in Alaska's capital. Juneau residents and the city have launched an aggressive effort to save energy in the wake of an avalanche in April that toppled the transmission grid linking the city to a hydroelectric dam 40 miles away.

audio_icon.jpg | Listen Now | 4min 30sec | NPR, Morning Edition |

Diesel generators are running to keep the lights on but energy bills will soar on higher fuel costs while repairs are made over an expected three months. So the people of Juneau responded quickly to an urgent financial signal and discovered conservation in a big way:  there was a run on clothespins to hang out the wash to dry, energy-efficient light bulbs sold out, stores and offices dimmed the lights, TVs went dark, and families dined by candlelight. The result: electrical usage plummeted as much as 30 percent within a week of the avalanche.

"Turn off, turn down, unplug," said Sarah Lewis, chairwoman of the Juneau Commission on Sustainability. "That's what everyone is doing and being vigilant about and commenting when others are not."

The city of Juneau is helping low-income residents with energy costs and the governor has declared an "economic injury" which could bring in funds from the federal Small Business Administration. And the repairs may go faster than expected: reporter Golden told NPR the first transmission tower was likely to go up this afternoon.

May 22 2008

Posted by: Keely Wachs

A report released yesterday by the Energy Information Administration paints an unfortunate image of the state of U.S. greenhouse gas emissions - they are going up faster than the rate of electricity generation. 

According to the report, emissions from the electricity sector rose by three percent as electricity generation rose by 2.5 percent. This means that U.S. electricity generation was actually dirtier in 2007 than in the previous year. 

The EIA states that the relative increase in emissions reflects a decrease in hydroelectric generation due in large part to droughts, forcing utilities to use natural gas, a cleaner form of fossil generation than coal, but still one with a carbon footprint.  Natural gas produces about 40 percent less CO2 than coal. 

A more frightening finding in the report is that the vast majority of this increase did not come from industry, but from households.  According to Environmental Capital, U.S. industry continued to cut emissions, which it has done since 1990.  Households, on the other hand, increased emissions by 4.4%.  The EIA points out that this reflects the fact that more Americans are enjoying a higher standard of living, complete with flat screen TV's and central air conditioning systems.

This result provides another stark example of the need for public policy that aligns the utilities' economic incentives with environmental stewardship.  Below are a few policy steps that would create these proper incentives:

1. Extend the renewable energy tax credits:  The House again passed a bill to extend these credits and now it awaits a Senate vote.  Passing the extensions would send a clear signal to entrepreneurs to start building these renewables projects and to utilities that they could count on this clean future energy supply.

2.  Decoupling:  By decoupling a utilities' revenues from the amount of energy it sells, it creates a disincentive for utilities to sell more energy.  In other words, create a financial incentive for utilities to earn on energy savings, not energy sales.  This way utilities, who interact daily with every American and all businesses, can serve as a conservation ambassador driving good public policy.

It works.  In California we've had decoupling laws for thirty years.  During this time period, the state's per capita energy use has remained flat, while the rest of the country's has increased by 50 percent.  For PG&E's customers, it has meant savings of $22 billion and the avoidance of 135 million tons of CO2. 

Meanwhile, California - the world's sixth-largest economy - has seen economic output per unit of energy improve by 40 percent, versus only 8 percent for the remainder of the country.  In other words, we can have economic growth and help the environment.

3.  Pass federal greenhouse gas emissions reduction legislation:  A harmonized federal policy will create clear direction for utilities, industry, and citizens.  A patchwork of laws will only make it harder for these players to take action in a meaningful way. 

A recent report by the NRDC and Ceres, sponsored by PG&E and PSEG, benchmarked the greenhouse gas emissions stemming from electricity generation and looked at the abatement impact of competing emissions reduction legislation.  The report provides a good starting point to understanding the different types of approaches to legislating greenhouse gas emissions and to the complex nature of regulating utilities with varying levels of CO2 output.

May 21 2008

Posted by: Keely Wachs

Calling all paparazzi!  There's a new celebrity in town - the high profile cleantech venture capitalist. 

Today, VantagePoint Venture Partners announced that former CIA head James Woolsey has been hired as a partner.  Woolsey will be focusing on energy issues, the environment and national security.  Or as he puts it, he'll be examining technologies that appeal to "tree huggers and hawks."

Woolsey's hiring follows Vice President Al Gore's move from national policymaking to cleantech investing. Last November, Gore joined Kleiner, Perkins, Caufield, and Byers as a partner.

While the hiring of these two high-profile policymakers may not elicit flashing of bulbs or the red carpet, it certainly does validate the staying power of the cleantech sector, which reached $100 billion globally in 2007.  Their hiring also highlights the vital role that the cleantech sector could play in solving some of the world's most challenging policy issues.

May 20 2008

Posted by: Jennifer Zerwer

Peregrine falconYesterday, I woke with excitement for the planned, daring rescue of endangered, baby peregrine falcons off the Bay Bridge by biologists with the UC Santa Cruz Predatory Bird Research Group (SCPBRG). Unlike last year where biologists scaled underneath the Bay Bridge to rescue the peregrine eggs, this time they waited until the eyases were a few weeks old. As an animal lover, I was really looking forward to seeing these little guys before they were whisked off to Santa Barbara to meet their surrogate mom and eventually be released into the wild.

It was critical that this rescue take place because, at the age of six weeks, the falcon eyases fledge, or take their first flights from the nest. The Bay Bridge nesting location, while protected, is lethal for fledging falcons because they drown beneath the bridge or land on the roadbed where they are run over.

Unfortunately, when the biologists reached the nest they discovered two dead baby falcons with no parents in sight. It appeared that they had died a few days after being hatched. We don't know for sure why they didn't make it, but speculations were swirling that morning, including potential environmental pollutants that my colleague Len wrote about the other week.

The most likely explanation was that one of the parents died. Raising falcons require two parents: one to keep the young warm and the other to hunt. What is certain is that it's a very rare occurrence. Peregrine falcons are very good at raising their young and once hatched, their chances for survival are great.

This news certainly deflated the mood among the bird lovers and SCPBRG folks that had gathered for the happy occasion. Peregrine falcons are a part of the PG&E family - our adopted pair, named George and Gracie, have nested on the PG&E headquarter building for a number of years. And we've been a supporter of the SCPBRG's work since the eighties.

The peregrine population declined to zero known nesting pairs east of the Mississippi, and just two known nesting pairs in California by 1970.  Thanks the good work of organizations like SCPBRG, today there are an estimated 250 peregrine falcon nesting pairs in California.

May 19 2008

Posted by: Katie Romans

PG&E's ClimateSmart program announced our second RFP for up to one million tons of new GHG emission reductions during California Climate Action Registry's Annual Conference last week.

Projects in forest conservation, conservation-based forest management and reforestation projects in California are eligible for consideration, as are projects that include the installation of a manure biogas control system for livestock operations, such as dairy cattle and swine farms. Side note: More than 19,000 dairies in California + less than two dozen of which currently capture the methane they produce = a lot of opportunity for poop! 

Bidders' conferences for those interested will be held in SF on May 28, Sacramento on May 29 and Tulare on June 2.

Since PG&E launched the ClimateSmart program last year, the momentum around similar market-based solutions for climate change continues to grow.

One good example of this can be found in Saturday's LA Times article by Elizabeth Douglass on Edison's proposal for eight GHG emission reduction projects. In the article, V. John White of the Center for Energy Effficiency and Renewable Technologies (CEERT) raises the question of ratepayer v. shareholder contributions, to ensure that the program operates at its maximum potential. This issue is exactly why, in addition to modeling ClimateSmart as a voluntary, opt-in program for our customers, PG&E enrolled as the first participant in the ClimateSmart program by committing approximately $1.5 million of shareholder funding from 2007-2009 to make all of the energy use in our offices, service centers, maintenance facilities and other company buildings climate neutral.

I feel cooler already. (Pun intended.)

Another great example of this momentum is demonstrated in a recent interview by Cleantech Blog's Neal Dikeman with EcoSecurities Co-Founder Marc Stuart on the carbon offsets market and project mechanisms worldwide. My personal favorite quote in response to concern about "carbon market millionaires:" Capital markets exist to reward innovation and punish underperformance. Stuart aptly points to the very real work EcoSecurities has done to get the market where it is to date and the very real emission reductions that have occurred as a result.

As we continue to recruit projects and mechanisms in the market-based war against climate change, let us also brace ourselves for the bumps that are sure to come with driving a market that is still taking shape.

May 16 2008

Posted by: Leonard Anderson

Restaurants are going green. The National Restaurant Association's annual convention  gets underway Saturday in Chicago and the agenda is big on green, with "education" sessions like "Food with Integrity: Creating a Sustainable Food Supply," "5 Things Operators Must Know About Energy Efficiency," and "Marketing to Conserving Customers: A Guide to Operating Green with a Triple Bottom Line."

The NRA aims to encourage owners of the nation's 945,000 restaurants to adopt environmentally friendly business-wise practices to save energy and water and reduce utility costs, satisfy consumer demand, and reduce waste.

A USA Today story on Friday reports that former media tycoon Ted Turner is taking his Ted's Montana Grills casual dining restaurants down the green road, adding things like straws made from biodegradable paper, menus printed on 100 percent recycled paper, and cups made from cornstarch.

"Imagine the implications for global warming if we get the whole restaurant industry to go green," Turner said.

Here's some useful industry information from PG&E's Food Service Technology Center, cited in the USA Today story: Restaurants are the retail world's largest energy user. They use almost five times more energy per square foot than any other type of commercial building. Nearly 80 percent of the $10 billion that the commercial food service spends annually for its energy use is lost in inefficient food cooking, holding and storage. The average restaurant annually consumes roughly 500,000 kilowatt hours of electricity, 20,000 therms of natural gas and 800,000 gallons of water. Using EPA carbon equivalents, that amounts to 490 tons of carbon dioxide produced per year per restaurant.

Here in the Bay Area, you can find "green" restaurants and cafés certified in nine counties by the Bay Area Green Business Program. There's even a green-certified saloon in San Francisco - the Elixir - which specializes in organic cocktails.

May 16 2008

Posted by: Katie Romans

So, today I experienced my first foray into my dual role as Environmental Communications Representative for PG&E and Reporter -- how sweet it is.

While attending the California Climate Action Registry Annual Conference on behalf of PG&E, I found myself merrily amidst the key players in others Navigating the Carbon World, as is the theme of this year's conference. In speaking with The Climate Registry's Executive Director Diane Wittenberg and Board Member Doug Scott, director of Illinois Environmental Protection Agency, I was able to glean a few insights into the carbon market today and what we can expect in the future.

And what I was able to glean is that we cannot have the market until we have the regulations to drive that market in a meaningful way -- which is what The Climate Registry seeks to develop. The U.S. needs standard, voluntary carbon reporting in order to create markets that are responsive to the need to reduce greenhouse gas emissions. In Diane's words, "you've got to measure what you've got first."

In some sense, The Climate Registry must serve both masters -- voluntary and mandatory markets. A couple of months ago, we were able to see this happen with voluntary carbon offsets in California, with the signing of the first ever forest projects verified under California Climate Action Registry (CCAR) protocols. However, according to Doug Scott, we are still working on mandatory protocols.

The good news: The Climate Registry is working with the US EPA on its charge to develop reporting and is looking to the work already done, here in California and elsewhere. In fact, through The Climate Registry's work, 4/5ths of the country -- and the country's emissions -- is already working with The Climate Registry on these protocols...nothing to sneeze at. Bottom line is that The Climate Registry's objective is to stay nimble enough to sustain any changes at the Federal level. Amen.

When I safely positioned The Climate Registry as a sounding board for all regional protocols, I was promptly corrected that The Climate Registry is not just a sounding board, but an actual working mechanism for regions to create working policy that will hopefully translate to a national paradigm.

We will see what tomorrow holds but, as is the case with my dual-identity, today's news is indeed daunting and also enlightening on Navigating the Carbon World.

May 15 2008

Posted by: Leonard Anderson

redwoods.jpg

A Reuters story about a worldwide campaign to plant trees caught my eye this week because of the program's extraordinary reach: seven billion trees by late 2009, or just over one tree for each person on Earth. The goal is to protect the environment and slow the pace of climate change.

The program, organized by the United Nations Environment Programme, began in 2006 with a goal of one billion trees by the end of 2007 but the target was doubled in just 18 months. Now the goal is seven billion plantings by the time a U.N. global climate change conference gets underway in Denmark in November 2009.

"In 2006 we wondered if a billion tree target was too ambitious; it was not," said Achim Steiner, the head of U.N. Environment Programme. "The goal of two billion trees has also proven to be an underestimate. The goal of planting seven billion trees, equivalent to just over a tree per person on the planet, must therefore also be do-able given the campaign's extraordinary track record and the self-evident worldwide support."

Trees planting is one of the most cost-effective ways to slow climate change. Trees and forests play a vital role in regulating the climate since they absorb carbon dioxide and release it when burnt or when they rot. Deforestation accounts for more than 20 percent of the carbon dioxide humans generate, according to the UN Environment Programme.

Tree planting projects also can help areas recover from natural disasters. Mangroves were planted in Indonesia to help protect the coastline after the 2004 tsunami, and a Replant New Orleans project planted fruit trees to help communities recover after Hurricane Katrina in 2005.

Here at PG&E, we have a number of programs touching on trees and forests. They include  our ClimateSmart program, which is purchasing carbon emissions to help preserve two northern California forests, and volunteer efforts by utility employees to plant trees and restore native habitat at California state parks on Earth Day. We can also offer tips and suggestions to help customers plant the "right tree in the right place" so it will stay clear of overhead power lines.

May 14 2008

Posted by: Keely Wachs

Wind power could provide 20% of U.S. electricity needs by 2030, according to a new DOE report released this week.

The report, titled "20% Wind Energy by 2030: Increasing Wind Energy's Contribution to U.S. Electricity Supply," identifies the steps that need to be addressed to reach the 20% goal.  According to the Wall Street Journal's Environmental Capital blog, obstacles include reducing the cost of wind technologies, building new transmission infrastructure, and enhancing domestic manufacturing capability.

Wind currently accounts for about three percent of PG&E's energy mix and we've added more than 250 MW to our future contract mix over the past nine months.  That means that we have 1061 MW of wind energy under contract or delivered.

However, as much as we believe in adding clean renewable sources to our mix, wind poses a bit of a challenge for all of California's utilities.

Wind blows at night in California, which means that we're getting a renewable source during a time when we don't need a significant amount of energy.  In the past, we've been able to store wind energy via the Helms Hydroelectric facility to be used during the day time peak demand hours (roughly 11 am to 7 pm).  We use the clean wind power to pump water uphill to a reservoir, where it is stored.  Then during the day, we generate electricity by running the water through the hydroelectric facility.  It's truly an amazing engineering feat, yet requires a significant capital investment. 

We're also looking at electric vehicles as a way to store off-peak generated wind energy.  At some point we could see plug-in electric hybrid vehicles (PHEVs) serving as mobile storage facilities. Our customers would plug their PHEV in to a 120 volt outlet at home during the night following their daily commute.  Then each car would sell back the energy to the grid when needed during the day.  The car would communicate with the utility, so that it knows exactly how much to take depending on the driver's needs. 

We're a few years off from this scenario, but we've been doing some interesting partner work with Google and Tesla, and discussing the need for more electric vehicles (EVs) with the major U.S. automakers. 

With advancements in battery technology we could also have onsite storage capacity, whereby wind energy is stored at the generation facility and brought on the grid during the day when demand is highest. We're also working with venture capitalists and entrepreneurs to develop this market. 

Whether it's onsite or through PHEVs, it's clear that we'll need improved storage capacity to truly take advantage of California's abundant, yet off-peak wind supply.  It should be interesting to see how this plays out. 

May 13 2008

Posted by: Keely Wachs

As first reported in today's New York Times, Nissan Motor Company announced plans to spend nearly $1 billion to develop and sell an electric car in the U.S. and Japan by 2010.

The Japanese car company would be the first major auto manufacturer to bring a zero-emission vehicle to the U.S. market.

According to the Times story, Nissan's chief executive, Carlos Ghosn, decided to accelerate development of electric vehicles because of high gas prices and environmental concerns.

Ghosn's remarks shift a major shift in policy.  During the 2005 National Automobile Dealers Association, he called electric hybrids niche products useful only in markets with strict fuel economy and emissions standards, like California.

His change in tone reflects a growing trend among U.S. automakers.  GM and Toyota have both publicly stated that are working on electric vehicles and will have them on the market in 2009 and 2010 respectively.

What makes the Nissan announcement different is that the company's French alliance partner, Renault, has already signed a deal with California-based Project Better Place (PBP)to produce electric cars for sale in Israel and Denmark.  PBP is lead by Shai Agassi, who I saw speak at the Fortune Green Brainstorm Conference last month.

This partnership means that Renault-Nissan is serious about building cars for actual markets.

May 12 2008

Posted by: Jennifer Zerwer

solar beer bottle water heater.jpg

Now this takes recycling and renewable energy to a new level - a beer bottle solar heater. Are you listening co-eds?

According to UK site Ananova, a Chinese carpenter created the environmentally-friendly, energy-saving contraption by lying beer bottles on a board in rows and connected them with hoses. Cold water flows through the bottles where it's heated by the sun. He's helped more than 20 families in his village to make and install their own beer bottle solar water-heaters. Cin cin!

For PG&E's part, we're working to bring affordable, renewable energy to all the communities we serve. One way we're doing this is through our Solar Habitat program, a partnership with Habitat for Humanity International where we install solar electric systems on every Habitat-built home throughout our service area. This year, 64 homeswill be outfitted with solar arrays that will save families $500 a year on energy costs. Each panel will also help avoid the release of more than 132,000 pounds of CO2 over the 30 year life of the system.

But our work with Habitat is more than money we donate. PG&E employees have volunteered more than 3,500 hours a year. In fact, four PG&E employees are spending this week on the Gulf Coast as part of the Jimmy Carter Work Project to assist in the ongoing recovery taking place in the communities hit by Hurricane Katrina. You can check out their daily blog here.

May 09 2008

Posted by: Katie Romans

In yesterday's San Jose Mercury News, Matt Nauman wrote about the future of energy-efficient lighting and the VC rush toward light-emitting diodes, more commonly known as LEDs.

As consumers experience growing pains with the transition from incandescent bulbs to compact fluorescent lamps (CFLs), they are already looking for the next generation of energy-efficient lighting. I can't help but be reminded of the vehicular fuel debate, pitting that which is readily available today (i.e. natural gas) against that which we hope will be available in the future (i.e. hydrogen). At what point do we let R&D...you know, develop...and embrace the best option available to us today? Conversely, does this pressure for what's next have a positive impact on driving innovation to market

The fact about energy-efficient lighting is, and Nauman reiterates this in his article, CFLs are the most environmentally friendly way to light your home today. Yes, they do contain trace amounts of mercury, but few realize that more mercury is released by coal-burning plants that power incandescent bulbs than by CFLs. Yes, that means they must be recycled properly, but PG&E is working with the State of California and local counties, such as Tehama and Santa Clara, through the Take It Back program to provide the education and infrastructure needed to make the proper disposal and recycling of CFLs easy.

On the commercial side, LEDs are a much more realistic energy-efficient lighting option in the now. As Nauman points out, LEDs work great in commercial refrigerators and freezers in grocery stores. In fact, PG&E's Emerging Technologies group last year conducted a pilot study of LEDs with Safeway showing that replacing fluorescent lights in refrigerated cases with LED lights can cut lighting energy use by 40 percent or more.

So, it seems that everything has its place. As energy-efficient lighting continues to develop, hopefully we can spare the rod on today's technology, without spoiling the technology of tomorrow.

May 09 2008

Posted by: Leonard Anderson

The Peregrine chicks pictured here are the offspring of George and Gracie, falcons that nested at 77 Beale Street for four years, only to be forced to fly the coop in 2007 after a competing Peregrine couple claimed their nesting box. A PBDE study found unhatched eggs and a dead chick from G&G during their four-year stint atop the skyscraper.This is not about energy per se but it is some worrisome news from the environmental front: Environment reporter Jane Kay wrote in the San Francisco Chronicle yesterday about a new research study showing high levels of a flame retardant in the eggs of peregrine falcons. The retardant is called PBDE - polybrominated diphenyl ethers - and is believed to leach out of products such as foam mattresses, synthetic fabrics, plastic casings of electronic goods and other products, breaks down and enters the food chain to be ingested by falcons. Scientists fear PBDEs may cause thinning and breakage of egg shells, reducing the number of falcons like DDT and other compounds caused a sharp reduction of other raptors.

Here at PG&E we pay attention to the well-being of falcons. Some background: Over the years the predator birds have nested on a 33rd floor ledge of our San Francisco headquarters skyscraper. The University of California-Santa Cruz Predatory Bird Research Group placed a nest box on the high ledge in the mid-1980s after noticing peregrines were using the building as a perch. In 2003, the falcon pair known as George and Gracie were the first peregrines to take to the nest box, and in 2005 the utility set up a public webcam outside the box.

The PBDE research study included unhatched eggs and a dead chick from the pair. George and Gracie left San Francisco last year after losing a territorial battle with another pair.

"Urban wildlife are the sentinel species that can tell us about chemical of emerging concern that are coming from city exposures. Information from these species can be useful to us in protecting the sensitive members of our population like infants, children and pregnant women," said Kim Hooper, a leading research scientist with the California Environmental Protection Agency's Environmental Chemistry Laboratory.

PG&E has supported the work of the UC Santa Cruz group to rescue eggs and also to help its outreach program which each year educates up to 10,000 students in grades K-12 about science, nature and careers in science.

Here's hoping we will learn a lot more about PBDEs and their impact. And I'm hoping that George and Gracie may show up in my San Francisco neighborhood to build a nest in the the park across the street. A red-tail hawk comes by now and then looking for a tasty dove or sparrows, and there's space for more raptors. I want it to be a safe environment for these amazing creatures.

May 08 2008

Posted by: Keely Wachs

Katie Fehrenbacher of Earth2Tech wrote a very helpful piece today looking at the pros and cons of distributed solar vs. utility scale solar.

Her story was driven by a keynote speech given by PG&E's Roy Kuga during the Berkeley-Stanford Cleantech Conference Series.

It's fairly common to look at these two approaches as competing and I am glad that she's been able to look at this objectively. Both approaches are extremely complimentary and we'll need both to meet our future energy needs and address climate change. There probably will not be a silver bullet when it comes to solar technologies.

One interesting point to add on to her piece is the idea that there is also a middle play, which combines photovoltaic technology (PV) at a utility scale.  Last year we signed deals with GreenVolts for two MW and Cleantech America for 5 MW.  These companies use PV technology and site relatively small utility scale projects closer to urban populations, thereby cutting down on distribution costs and land use needs.  There are others out there, like OptiSolar, who are looking to do similar projects, but with thin film technology.

With so many new technologies and such a pressing need, it will be a very interesting space to watch over the next few years, when the utility scale projects are projected to come online.

May 07 2008

Posted by: Katie Romans

I'll be the first to admit it -- I don't really get all the fuss around big school rivalries. Yet I am surrounded by them through friends and family: UCLA-USC, Boise State-Univ. of Idaho...and, of course, UC Berkeley-Stanford.

While they may not play nice on the field, Berkeley and Stanford came together (for the second time!) in a meeting of the minds on cleantech, specifically "Big Solar," as this year's conference was aptly named.

PG&E, along with GreenVolts, SunPower and others working to bring solar to the masses discussed issues such as state policy and innovations in solar technology -- all as related to utility-scale solar. The idea is: by bringing together today's thought leaders with up-and-comers of tomorrow, not only can we work to address the framework issues of the day, we can also start sketching out a picture of what utility-scale solar power generation technology will look like in the future. Pretty exciting stuff.

I think most interesting was probably the 'Innovations in Technology' panel, which was moderated by Eric Wesoff of Greentech Media. During the panel, Eric raised the question of how the financing process and PPAs are able to integrate new technologies. As Hugh Kuhn of Solar Power Partners also pointed out at Greentech Media's Solar Finance & Forecast event: PPAs, while extremely complex, have lead to improved design and performance from integrators as well as new products, processes and services from manufacturers. Implication: change is underway in the solar industry, and we could see it unfold in a way that marries financial structures and technological innovation...cool.

So, paint your face, bust out the pom-poms and sound the rally cry. Big Solar is taking the field.

May 06 2008

Posted by: Keely Wachs

A new report released today by the United Nations Environment Program highlights that global renewable energy investments reached $100 billion in 2006.

The report, Global Trends in Sustainable Energy Investment 2007, analyzes the growing field of global renewable energy and energy efficiency investments. 

The report optimistically states that 2007 data appears to be continuing upward with investments occurring in sectors and regions previously considered too risky and too illiquid to merit the attention of the institutional investment community.

The report also notes that OECD countries still dominate as investment recipients, but that developing countries are rapidly emerging as investment centers.  Specifically, China is now the second largest recipient of venture funding, behind the U.S.

The report concludes that the $100 billion milestone seems to be reflective of a "full-scale industrial development, not just a tweaking of the energy system." 

May 05 2008

Posted by: Keely Wachs

I heard an interesting NPR story this morning on Abu Dhabi's goal to build the world's first carbon-free city.

Called Masdar, the demonstration city of 50,000 inhabitants will cost $22 billion to construct. The city will cover about six square kilometers (nearly four miles), with no point further than 200 meters from a transport link.

In addition to being mass transit friendly, the community will be powered entirely by renewable energy.

The community will also be home to the Masdar Institute of Science and Technology and 1,500 businesses.  Notable business partners include General Electric, BP, Royal Dutch Shell, the Massachusetts Institute of Technology, Mitsubishi, Rolls-Royce, and Conergy, which is planning a 40 MW solar plant.

United Arab Emirates (UAE) is home to approximately 10% of the world's oil resources, so why are they doing this?

I recently heard Sultan Al Jaber, CEO of Abu Dhabi Future Energy Co., speak at a Cleantech Forum in San Francisco.  Al Jaber believes that Masdar should be built to help develop the next generation of renewable energy technologies.  Recognizing that oil is a finite resource, the UAE is looking at the cleantech industry as a sustainable long-term investment.  It makes perfect sense given the country's understanding of global energy markets.  Partnerships with leading academic institutions and corporations, and interest from global capital markets, could make Masdar an epicenter of cleantech innovation.

May 03 2008

Posted by: Leonard Anderson

I've never heard of a "green" cocktail, but this being San Francisco I've discovered that there are green beverages in this wonderful city of many adult opportunities and choices and they may be had at a "green" saloon -- the Elixir in the hip 16th Street corridor in the Mission District.

OK, my post here is not about energy efficiency and renewable portfolio standards and investment tax credit policy issues and all that thorny stuff filling up my aging head Monday through Friday. It's the weekend. The sun is out. Put your shorts on. Downtime and play is very much in order. Please stay with me for a few more sentences.

The Elixir, according to a very informative, nicely written and funny story by Gary Regan, who pens "The Cocktailian" column in the San Francisco Chronicle's weekly Wine section, is the first bar in our city certified by the the Bay Area Green Business Program. The honor seems to be linked to the bar's use of many organic offerings -- vodka, Scotch, Tequila, wines, beers and so on.

"We can now drink to our heart's content, and should naysayers point a finger, we can tell them that we're sipping cocktails to save the world," Regan writes, with tongue planted firmly in cheek.

It's Saturday night. Check out the Elixir's "Moonlight on the Peach" cocktail, featuring an organic blend of peaches, syrup, Square One Organic vodka infused with Numi Organic Ruby Chai Tea, Tuaca liqueur and a twist from an organic orange. Be green. Be happy.

May 01 2008

Posted by: Keely Wachs

As reported in USA Today, China is now the world's largest CO2 polluter.

The Journal of Environmental Economics and Management today will issue a report that highlights China's passing of the U.S. as the world's number one CO2 emitter.

What's most alarming is the rate at which China's emissions are growing fueled in large part by the country's economic growth.  The country is cutting the ribbon on a new coal-fired power plant every week. 

The environmental implications of this exponential growth in greenhouse gas emissions will be tremendous. 

Moreover, it may result in a standoff between the U.S. and China over international regulations.  One of the U.S. Government's arguments as to why it does not support international mandates on CO2 emissions is because of the growth at which China and India are emitting.  The logic is that all countries must cut emissions or the effort of participating countries will have little or no impact on worldwide emission reductions.

It's a classic collective action problem. On the one hand, it's difficult to ask China, India, and other developing countries to not use an abundant and cheap source of energy.  At the same time, global warming is a...well...global problem, and emissions will need to be cut worldwide if we are to address the very real challenges associated with climate change.

We have a unique perspective on this.  We are members of the China-U.S. Energy Efficiency Alliance - a group designed to share energy efficiency best practices between the two countries.  As a group member we've sent delegations to China to understand their challenges and hosted Chinese delegations to share our experience with energy efficiency and renewable energy in California - arguably the most successful U.S. example.

Energy efficiency would seem to be the perfect solution for developing countries, who cannot afford to invest in more costly renewable energy.  Energy efficiency provides these countries with an opportunity to reduce energy demand and save consumers money. 

However, as UC Berkeley Fellow Robert Collier points out in a recent story in the UC Berkeley Alumni Magazine, energy efficiency will need to be a mandate by the Chinese government.  When choosing between investing in expanding their business and being energy efficient, most Chinese industrial organizations will most certainly choose the former.

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