Clean Energy Forum, all slides combined

March 29, 2011

Agenda

• Welcome & Opening Remarks

• Keynote Address

• Municipal Energy Panel

• Networking & Roundtable Discussions

Please feel free to seat yourself by topic according to

interest and expertise.

The electricity for this event has been matched by Mass

Energy with local, clean wind power from the New England

Wind Fund.

MetroFuture Energy Goals

Goal #34: The region will be a national leader in the green

technology and clean energy sectors.

Goal #56: The region will use progressively less energy for

electricity, heating, cooling, and transportation.

Goal #57: The region will be a national leader in reducing

greenhouse gas emissions.

Goal #59: The region will produce more renewable energy and will

obtain more of its energy from renewable sources.

Clean Energy Initiative

Policy Development & Advocacy

Technical Assistance

• Regional Energy Managers

• Regional ESCO

• Preliminary Site Assessment

Workshops & Networking

Regional BaselineCarlos Gotay Martinez

Where Are We Now? Energy Projects in the MAPC Region

23%

18%

7%

52%

Q: Do you have a municipal staff member focused on energy or sustainability?

Yes – one or more full-time staff

Yes – part time staff position

Not yet, but under consideration

No

43%

12%

9%

9%

27%

Q: Does your municipality's zoning have provisions specifically for renewable energy development?

Yes – At least some facilities allowed “as of right”

Yes – Only by special permit

No – Zoning has been drafted and is under consideration

No – Zoning under development

Has not been seriously considered or proposed

Where Are We Now? Energy Projects in the MAPC Region

0

10

20

30

40

50

60

86.0% 84.2% 73.7% 42.1% 29.8% 28.1% 15.8%

Energy Audits Lighting Upgrades

Building Upgrades

High-Efficiency Vehicles

ESCO Contracting

Energy Conservation

Plan

Other

Q: What energy efficiency projects has your municipality done?

Where Are We Now? Energy Projects in the MAPC Region

Keynote Address

Frank Gorke, Assistant Secretary

for Energy

Commonwealth of Massachusetts

Executive Office of Energy and Environmental Affairs

Perspectives on

Our Clean Energy Journey

March 2011

Executive Office of Energy and Environmental Affairs

Clean Energy Journey

Context – Best Clean Energy State in Nation

Role of Cities and Towns

Priorities -- Economic Growth

Efficiency

Renewables

Jobs

Goals

Executive Office of Energy and Environmental Affairs

MA has High Electricity Prices …

Source: EIA Form 826

12

Executive Office of Energy and Environmental Affairs

… but MA gets lots of $GDP per MMBTU

Source: EIA/Bureau of Economic Analysis 2008

Executive Office of Energy and Environmental Affairs

Clean Energy Legislation 2008 • Green Communities Act

Expands EE delivery mechanisms and goals RPS – expansion and strengthening targets of 1997 Act Net metering provisions Establishes DOER’s Green Communities Program

• Global Warming Solutions Act 2020 commitments – 10-25% below 1990 levels 2050 commitments – 80% or more below 1990 levels

• Oceans Management Act Provides zoning-like planning of state waters Identifies presumptive areas for wind development

• Clean Energy Jobs MA Clean Energy Center as clean jobs focal point

• Clean Energy Biofuels Act Support for advanced biofuels Paves way for transition to LCFS

14

Executive Office of Energy and Environmental Affairs

Cities and Towns Valued Partners• Trusted partnerships enabling better energy decisions for all Examples of success – assessments, investments, reduced

consumption, savings Sharing best practices – homeowners, renters, all businesses,

institutions State and local governments leading by example Learning partners in what works well and what can work

better• 351 Community Partners – engaging and empowering everyone Each with approaches tailored to their needs Enabling tangible progress 64 Stretch Code Communities 53 Green Communities

Executive Office of Energy and Environmental Affairs

53 Green Communities

Executive Office of Energy and Environmental Affairs

MassEnergyInsightMassEnergyInsight enables cities and towns to perform key energy management tasks:1. Develop an energy use baseline2. Benchmark building performance3. Identify priority targets for energy efficiency investments4. Show the results of energy efficiency investments5. Highlight any irregularities in energy use6. Develop a greenhouse gas emissions inventory7. Generate reports for stakeholders8. Forecast energy budgets

Executive Office of Energy and Environmental Affairs

64 Stretch Code Communities

Executive Office of Energy and Environmental Affairs19

Generation delivered by Investor-Owned Utilities

Energy Efficiency Delivered

40,000

45,000

50,000

55,000

60,000

1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011

Source: DOER

Energy Efficiency Trends

Executive Office of Energy and Environmental Affairs

• Most ambitious EE program in the country;

• 3 X California/capita;

• Doubling of employment in EE services since 2007

• $2 Billion Investment = $6 Billion Savings

• Cheapest “new” source of energy;

• By 2020 – 20% electricity through EE;

• 5%-6% GHG reductions

Energy Efficiency

Executive Office of Energy and Environmental Affairs

RPS / APS Cumulative Obligations

21

RPS / APS Minimum Standard

0%

5%

10%

15%

20%

25%

30%2

00

3

20

04

20

05

20

06

20

07

20

08

20

09

20

10

20

11

20

12

20

13

20

14

20

15

20

16

20

17

20

18

20

19

20

20

Compliance Year

Pe

rce

nt

Ob

lig

ati

on

, % APS

Class II - WTE

Class II

Class I - Solar

Class I

Executive Office of Energy and Environmental Affairs22

MA RPS Class I Technology Trend

ComplianceYear

0

500

1,000

1,500

2,000

2,500

2003 2004 2005 2006 2007 2008 2009

GW

h

Hydro

Wind

Solar PV

Landfill Methane

Biomass

Anaerobic Digester

Executive Office of Energy and Environmental Affairs

• 10-fold increase in wind –from 3.1 MW to more than 30 MW by end of 2010;

• Building the wind cluster:• Wind Blade Test Facility; • Cape Wind• Vestas R&D• Siemens Offshore• MassTank/EEW• New Bedford Port;• FloDesign• American Superconductor• First Wind

Wind

Executive Office of Energy and Environmental Affairs24

0

10

20

30

40

50

60

70• 250 MW Goal

• 20 X Solar Growth

• Over 2,900 projects

• Solar employers have grown from 50 before Comm Solar to over 200 in 2009

Pre

2007

2007

Commonwealth Solar I

Stimulus

Utility Owned

CSII&CSStim

2007-2010

Executive Office of Energy and Environmental Affairs

• All types of projects• Homes• Schools• Businesses• State and local government• Utilities

• All over the state

• Doubling of employment in solar manufacturing and installation between 2007 to 2009.

Solar

Executive Office of Energy and Environmental Affairs

Clean Energy Economic Opportunity

• > 11,000 people in clean energy sector; up 65% since 2007

• Jobs in solar manufacturing, installation and services have tripled since 2007

• Jobs in energy efficiency services have doubled since 2007

• Companies leading the charge: A123; CSG; FloDesign; TPI Composites; Boston Power; Siemens; American Superconductor; Nexamp; First Wind

Executive Office of Energy and Environmental Affairs

GHG Trends

Executive Office of Energy and Environmental Affairs

GHG Reduction Sources

Buildings

Electricity

Transportation

Non-Energy

• Efficiency/RGGI• Building codes• Building rating and labeling• “deep” retrofits• C&I oil• solar thermal• cooling/trees• appliance standards

• RPS• EPA/Powerplant rules• Clean energy imports• Clean Energy Performance Std

• Green DOT• Fed/CA standards• Fed Std for medium and

heavy vehicles• Fed RFS and regional LCFS• Clean car incentives• PAYD pilot insurance• Sustainable development• Smart growth

• Vehicle AC • Stationary refrigerant• Reducing SF6 in elec equip• Reducing plastics GHG

Executive Office of Energy and Environmental Affairs

Suggestions?

• Faster

• Bigger

• Lower cost

• More fun

Phil.Giudice@state.MA.us

Frank.Gorke@state.MA.us

Panel Discussion

Moderator: Jay Ash, City Manager, City of Chelsea &

President, Metropolitan Area Planning Council

Jim Hunt, Chief of Environmental and Energy Services,

City of Boston

Bob Paine, Medford Energy Committee, City of

Medford

David Lutes, Environmental Program Coordinator, City of Somerville

Andy Brydges, Program Director, Massachusetts Clean

Energy Center

Panel Discussion

Jim Hunt, Chief of

Environmental and Energy

Services, City of Boston

Mayor Thomas M. Menino

Jim Hunt

Chief of Environment and Energy

Green Boston: A Climate of Action

BHA Maverick Gardens

Green Affordable Housing

In 2008, Boston has been ranked one of the most sustainable cities in the US:

• Ranked 3rd by Popular Science Magazine

• Ranked 6th by SustainLane.com

National Leader in Sustainability

1. Community Engagement - Climate

Mindy Lubber, CERES

James McCarthy, Harvard University

Kalila Barnett, ACE

Timothy Healey, EnerNOC

Bud Ris, New England Aquarium

Bryan Koop, Boston Properties

Rev. Ray Hammond, Bethel AME

Jim Coyle, Boston Building Trades

Richard Dimino, A Better City

Judith Nitsch, Nitsch Engineering

Mark Buckley, Staples

Chuck McDermott, RockPort Capital

2. Lead By Example

● Energy Efficiency in City Buildings,

LED Street Lights, Traffic signals

● 11.7% of City’s electricity purchase

comes from green power

● Solar and wind power installations

at City facilities

● Moon Island Wind Project

2010 - Boston Municipal GHG’s Below Kyoto

160,000

170,000

180,000

190,000

200,000

210,000

220,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Fiscal Year

To

ns e

CO

2 Baseline

Unadjusted Emissions

Adjusted Emissions

Kyoto Goal

3. Community Wide - Green Building

• Boston adopts 1st in nation

Green Building Zoning requiring

new construction to follow LEED

Standards (BZC Article 37) - 2007

• Boston Adopts Massachusetts

Stretch Energy Code,

requiring new residential and

commercial buildings to achieve

20% better energy performance

than base code - 2010.

Atlantic Wharf – Boston Properties

Catalyze Energy Efficiency across all

sectors and neighborhoods of Boston

– break down historic barriers to EE;

Connect utility programs with public, private, and community

based networks that exist in Boston;

Connect energy savings with local economic development

and job creation

4. Leverage Partnerships

RenewBoston Functions

1. Outreach & Referral

2. Intake & Information

3. Financing & Assistance

4. Job Creation & Contractor Support

5. Tracking & Strategy

Call RenewBoston or EE program phone #

Sign up for audit, TA

Buy/install more EE measures

Increase savings

43

Residential Participation Goal

The participation goal is to serve 150,000

households from 2010 through 2020.

44

Contracts

Signed

Inactive

In Process

5. Connect to Economic Development

Boston is a clean tech hub – sector

continues to grow in Innovation District

Green Jobs Boston Partnership –

preparing local residents to enter

and climb this good paying career ladder

Bringing savings to local residents and

businesses, stimulating local economies

Economic Benefit of Climate Action

$ 2 Billion in Net Savings by 2020

“Our green agenda will improve our environment and public health while stimulating our growing green economy. Together, we are turning „Beantown into Greentown.”

– Mayor Thomas M. Menino

www.renewboston.org

www.cityofboston.gov/climate

james.hunt@cityofboston.gov

Panel Discussion

Bob Paine, Medford

Energy Committee, City of

Medford

Medford Energy Independence Project:

100-kw Wind Turbine Commissioned

February 2009

A renewable energy project case study

Presentation to Metropolitan Area Planning Council Clean Energy Forum Boston, MA March 29, 2011

Bob Paine, Medford Energy Committee

50

PROJECT OBJECTIVES

Conserve energy in municipal building operations in accordance with Medford’s Climate Action Plan

Provide valuable interactive educational tool for the 2,000+ students that attend the McGlynn and Andrews Schools

Promote energy independence theme and highly visible symbol of Medford’s commitment to renewable energy

Provide leadership by example for other municipalities implementing similar types of renewable energy projects

51

Project Background

January 2004, Mayor Michael McGlynn created the Medford Clean Energy Committee (MCEC) – volunteers selected through review of resumes

October 2004: City of Medford was awarded a $15,000 grant from MA Technology Collaborative (MTC) Funded renewable energy posters, banners,

website, editorial series in local newspapers, direct mailings, and public events.

52

Wind Feasibility Study Grant

After 2+ years, Medford selected the McGlynn School as preferred location for the wind turbine

In Fall 2006, Medford received a $15,000 Clean Energy Choice Grant from Massachusetts Technology Collaborative to install an anemometer and to conduct a feasibility study

Hired Sustainable Energy Developments to conduct independent wind resource assessment, an economic analysis, and application for $250,000 MTC grant was approved in May 2007 53

Preliminary Studies, cont.

Meteorological tower installationData available at Weather Underground

http://www.wunderground.com/ weatherstation/WXDailyHistory.asp?ID=KMAMEDFO7

Davis VantagePro2 WirelessSystem

54

Design Process

Design Consultant Procurement

Engineering Design Civil

Electrical

Geotechnical

Structural

Permitting, Outreach & other Approvals

Avoided need for a fence around the turbine

Financing 55

Wind Turbine Financing

Over fifty percent in grant funding received for the Project with a current total of $426,250

Installation & construction costs total $645,490

Clean Renewable Energy Bond (CREB)

Low Interest Municipal Bond**

10 Year Payback Period

Up to $25,000/year electricity production

Estimated $7,650/year Renewable Energy Credits

Estimated $1,500/year utility electricity purchase

Estimated insurance & maintenance: $3,700/year

56

Construction Process – Electrical Interconnection

Autumn 200857

Construction Process – Foundation Installation

58

Construction Process – Tower Installation

January 2009

59

Medford Energy Independence Project

Mayor Michael J. McGlynn cuts therecycled ribbon at the Medford EnergyIndependence Project Ribbon CuttingEvent held January 29, 2009.

60

61

62

Virtual Tour

Photos

63

64

65

66

67

Medford Energy websites and contacts:http://www.medfordcleanenergy.org/ and

http://www.medford.org/Pages/MedfordMA_Energy/energycommittee

Northwind 100 turbine characteristics:http://northernpower.com/wind-power-products/northern-power-100-

wind-turbine.php

Smartview display:https://smartview.northernpower.com/public/medford/

Northern Power Kiosk View:http://northernpower.kiosk-view.com/medford

Weather Underground met tower:http://www.wunderground.com/weatherstation/WXDailyHistory.asp?ID

=KMAMEDFO7 68

Contacts and Web sites

Panel Discussion

David Lutes

Office of Sustainability and Environment

City of Somerville

50 Evergreen Ave.

Somerville, MA 02145

617-625-6600, x2106

dlutes@somervillema.gov

Panel Discussion

Andy Brydges, Program

Director, Massachusetts

Clean Energy Center

Massachusetts Clean Energy Center

Overview of Community Resources

March 29, 2011

71

MassCEC Overview

Solar Incentives

Wind Incentives

Project Financing

Examples

Introduction

MassCEC Areas of Focus

Investments in Clean Technology

Workforce Development

Clean Energy Sector Development

Renewable Energy

Generation

Project/InstallationManufacturingDevelopmentResearchIdea

Source of funding is a Systems Benefits Change on ratepayers’ electric bill

Available for customers of IOUs and MLPs that opt-in

MassCEC Eligible Customers

A list of eligible MLPs is available at:http://www.masscec.com/solar

Renewable Energy Generation Division

Renewable Energy

Generation

Comm. Solar Comm. Hydro Comm. WindOffshore Wind & Marine

Low Income Partnerships

SREC Management

Project/InstallationManufacturingDevelopmentResearchIdea

Program Overview

Commonwealth Solar

Commonwealth Solar I Commonwealth Solar IICommonwealth Solar

Stimulus

Rebates SRECs

Database of State Incentives for Renewables & Efficiency (www.dsireusa.org)

Rebates and Other Incentives

Federal Tax Credits

• Accelerated Depreciation (MACRS)

• Investment Tax Credit (ITC)

State Tax Credits

• Property Tax Exemption

• Sales Tax Exemption

Other Incentives

• Net Metering

Various Options Available:

Direct Ownership Maximizes value of electricity generated

3rd Party Ownership Hedges against future electricity price increases

Minimizes up front cost and O&M costs

Leverages tax incentives to reduce overall project cost

Leasing Potential revenue generator

Project Financing Models

3rd Party Ownership

0

20

40

60

80

100

120

140

160

Commercial

Public

Residential

Commonwealth Solar 3rd Party Ownership Projects

# o

f P

roje

cts

Month

Solar Installed in MA (through 2010)

-

5

10

15

20

25

30

35

40

45

2002 2003 2004 2005 2006 2007 2008 2009 2010

MW

RET-Funded Non-RET Funded Cumulative

Public Projects

Yarmouth Town Hall12.6 kW System

Public Projects (cont.)

Medway Public High School132 kW System

Public Projects (cont.)

Watertown Police Station28.42 kW

Micro Scale Community Scale Commercial Scale

Purpose

Rebates for construction of responsibly-sited and well-performing small wind installations

Assistance for public and non-public utility-scale wind projects, from early assessment to construction

• Assistance for commercial-scale wind projects in early, high-risk, stages.• Identify and evaluate potential sites for commercial wind projects (state facilitated wind)

Eligibility Turbines <100 kW100 kW – 10 MW, typically net metered

~ 2.5 MW – 30 MW

Incentive

• Installation rebates determined by kW and kWh produced. • Maximum of $130,000.

• Site Assessment services for public entities• Feasibility Study grants up to $85,000• Design & Construction grants up to $400,000

• Feasibility study grants up to $55,000• Development Loans up to $250,000• Early-stage technical and environmental site assessments (state facilitated wind)• This program is being modified to address earlier stage risk.

Commonwealth WindPrograms overview

Map of Community Scale Wind ProjectsInstalled and Pipeline as of 12/07/10

Site Assessments Feasibility StudiesDesign &

Construction

Funds awarded $300,296 $5,120,017 $23,708,840

MW awarded 48.4 MW

Projects awarded 50 102 42

Average cost$/project

$6,005 $58,668 $4,107,008

Average incentive % of cost

100% 86% 14%

MW installed 15.9

Community Scale WindAwards as of 12/07/10*

* Data includes projects from the Large On-site Renewables Initiative (LORI) and the Community Wind Collaborative, predecessor programs that made awards for community scale wind projects prior to launch of

Commonwealth Wind in 2009.

Nantucket High School Wind Turbine

Andy Brydges

Program Director

MassCEC

55 Summer St., 9th Floor

Boston, MA 02110

ABrydges@MassCEC.com

Questions?

Roundtable Conversations

Developing Wind Energy

Renew Boston – Community

Based Energy Efficiency

Energy Efficiency Programs &

Financing

Municipal Energy Offices

Demand Response Programs

Alternatives to PACE

ESCOs and Energy Savings

Performance Contracts

Please seat yourself according to interest or expertiseWe will rotate tables after 15-20 minutes of discussion

DOER Green Communities

Massachusetts Clean Energy

Center

ICLEI – Local Governments for

Sustainability

Adopting the MA Stretch Code

Preliminary Site Assessments for

PV and Wind

Power Purchase Agreements

New Energy Technologies

Roundtable Conversations

Discussion Points

Introduce yourselves and the work that you are doing (or

hope to do) related to this topic. What questions do you have

on this topic? What challenges have you encountered in your work?

What are some possible solutions to these challenges? What

sort of assistance would be helpful for you to act productively

on this topic (e.g. complete a project, enroll in a program,

etc)?

Who is currently working on these issues? How might MAPC

and its members support or contribute to this work?

Each table should have a facilitator and a note-taker. Please return notes (blue

sheet) to an MAPC staff member at the end of the discussion period.

Thank you!

Contact & Resource List

If you would like to be included on a contact list (to be circulated

after the forum), please let us know when you check in, or by filling out the pink sheet on your table.

Send any event announcements, links to websites or other

resources you would like to include to Helen Aki, Energy Services Coordinator: haki@mapc.org by April 1, 2011.

For more resources, visit our website at:

http://mapc.org/smart-growth/clean-energy