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Moving States Towards Multi- Moving States Towards Multi- Pollutant Air Quality Planning Leah Weiss Senior Policy Advisor Gary Kleiman Science & Technology Program Manager OTC Fall Meeting Baltimore, MD November 5, 2009

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Page 1: Moving States Towards MultiMoving States Towards Multi ...otcair.org/upload/Documents/Meeting Materials/NESCAUM-multi-p-O… · Moving States Towards MultiMoving States Towards Multi-Pollutant

Moving States Towards Multi-Moving States Towards Multi-Pollutant Air Quality Planning

Leah WeissSenior Policy Advisor

Gary KleimanScience & Technology Program Manager

OTC Fall Meeting

gy g g

Baltimore, MDNovember 5, 2009

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AcknowledgementsAcknowledgements• New York:

– Sandi Meier - Carl MasSandi Meier Carl Mas– Ted Lawrence - Ellen Burkhart– David Shaw - Rob Sliwinski– Bob Bielawa - Dave Gardner

Ona Papageorgio Scott Griffin– Ona Papageorgiou - Scott Griffin– Kevin Civerolo - Kevin Watz– Carlos Mancilla

• Massachusetts:– Nancy Seidman - Vivek Mohta

M l d• Maryland:– Tad Aburn - Diane Franks– Brian Hug - Mary Jane Rutkowski

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Take-Away MessageTake Away Message

•• An integrated multiAn integrated multi--pollutant planningpollutant planningAn integrated multiAn integrated multi pollutant planning pollutant planning approach, supported by a technical framework, approach, supported by a technical framework, can enable states to:can enable states to:

–– meet air quality objectivesmeet air quality objectivesreduce greenhouse gasesreduce greenhouse gases–– reduce greenhouse gasesreduce greenhouse gases

–– meet electricity demand through reliable and diverse meet electricity demand through reliable and diverse suppliessupplies

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Traditional Air Planning Approach is Traditional Air Planning Approach is ffffBecoming Less EffectiveBecoming Less Effective

• Climate Change has moved to center stage on the g gpolicy agenda

• Single pollutant programs can’t solve all air quality g p p g q yproblems, and can create or exacerbate other problemsSt t h ti d• States have many competing needs, e.g., economic, environmental, energy, security

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MultiMulti--Pollutant Planning Makes SensePollutant Planning Makes SenseMultiMulti Pollutant Planning Makes SensePollutant Planning Makes Sense

• Energy and air quality are linked -- programs that gy q y p greduce greenhouse gases can also reduce PM and ozone precursors

• Can be a more cost-effective approach, using state resources effectively and efficientlyC id tif t ti l t d ff d id• Can identify potential tradeoffs and provide information for policy makers to make informed decisions

• Can result in equal and better environmental results overall

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NESCAUM’s View of MultiNESCAUM’s View of Multi--Pollutant Pollutant PlanningPlanning

• Addresses multiple pollutants, including SO2, NOX, p p , g 2, X,CO2, PM, and Hg

• Highlights tradeoffs and co-benefitsg g

• Analyzes the economic and environmental implications of various planning optionsimplications of various planning options

• Allows for multi-sector analyses

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Need to Change Planning ParadigmNeed to Change Planning Paradigm

• Move to a broader, longer term multi-pollutant , g pplanning approach, from which the SIP can be developed

• SIP is no longer the sole driver, but one of several drivers and components

• Work with/align various state offices in a new planning exercise to identify common solutions

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Need to Modify Planning HorizonsNeed to Modify Planning Horizons

• Air quality agenda requires multiple plans and q y g q p pregulations on relatively short-term planning cycles (typically three to nine years)

• Energy and Climate programs work under longer term planning cycles

• Possible to plan for longer cycles while meeting shorter term goals

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NESCAUM’s GoalsNESCAUM’s GoalsNESCAUM s GoalsNESCAUM s Goals

• Enable state multi-pollutant planning through p p g greplicable, consistent and predictable protocols

• Foster integrated environmental and energy g gyplanning by leading with energy

• Refine tools that can support integrated, multi-ll t t k d b li d ti lpollutant work, and can be applied on a national

scale• Ensure that results from this approach can be usedEnsure that results from this approach can be used

in SIPs and by energy planners to develop their Integrated Resource Plans (IRPs)

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NESCAUM’s MultiNESCAUM’s Multi--Pollutant Pollutant Policy Analysis FrameworkPolicy Analysis FrameworkPolicy Analysis Framework Policy Analysis Framework

(MPAF)(MPAF)

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NESCAUM’sNESCAUM’sM ltiM lti P ll t t P li A l i F kP ll t t P li A l i F kMultiMulti--Pollutant Policy Analysis FrameworkPollutant Policy Analysis Framework

Goals & Policies

NE-MARKAL Energy Model CMAQ BenMAP

Evolution of Energy SystemAir Quality Model

expenditures

Health Benefits Assessment

12-State REMIEconomic Model

Ambient Concentrations

Health Effects

KeyE i

Wet/DryDeposition

Health EffectsIncidence and Cost/Benefit

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Economic Indicators

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NENE--MARKAL: MARKAL: CCEnergy Model as CenterpieceEnergy Model as Centerpiece

Today’s Energy Systemy gy y

Oil

Oil

Refining Automobiles

U i

Natural Gas

Residential

Uranium

Coal

Electricity Generation

Commercial

Renewables

Industry

Industry

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Source: EPA ORD

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NENE--MARKAL: MARKAL: CCEnergy Model as CenterpieceEnergy Model as Centerpiece

Oil

Fossil Fuels

Refining & ProcessingAutomobiles

H2 GenerationBiomass

CombustionGasification

Residential

Uranium Nuclear Power

Commercial

Clean Energy

RenewableResources

Carbon Sequestration

Industry

13Source: EPA ORD

Industry

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Example of ResultsExample of ResultsExample of ResultsExample of Results

Transportation E ampleTransportation Example

•Fuel and Technology DeploymentFuel and Technology Deployment

•Emissions

•Costs

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Example Transportation Policy( f )(state-specific projections)

Technology Deployment Changes with EV Mandategy p y g

Reference With Policy300 300

150

200

250

300

MT

HYDROGEN FC

GAS HYBRID

E85 ETHANOL

150

200

250

MT

HYDROGEN FUEL CELLGAS HYBRIDELECTRIC VEHICLEE85 ETHANOLCONVENTIONAL GAS

50

100

150

MV CONVENTIONAL

GASCONVENTIONALDIESELCNG VEHICLES 50

100

150

MVM CONVENTIONAL DIESEL

CNG VEHICLES

0

2002 2008 2014 2020 202602002 2008 2014 2020 2026

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Example Transportation Policy( f )(state-specific projections)

Fuel Consumption Changes with EV Mandatep g

Reference With Policy1400 1400

800

1000

1200

1400

u

Hydrogen

Gasoline

Ethanol 800

1000

1200

1400

u

Hydrogen

Gasoline

Eth l

200

400

600TBtu Ethanol

Electricity

Diesel

CNG 200

400

600TBt Ethanol

Electricity

Diesel

CNG

02002 2008 2014 2020 2026

02002 2008 2014 2020 2026

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Example Transportation Policy( f )(state-specific projections)

Power Generation Changes with EV Mandateg

Reference With Policy2500

1500

2000

2500

TU

1500

2000

2500

TU0

500

1000tB

0

500

1000tBT

2002 2008 2014 2020 2026

Coal Gas Hydro Nuclear Oil Renewable

02002 2008 2014 2020 2026

Coal Gas Hydro Nuclear Oil Renewable

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GHG & Criteria Pollutant Emission Reductions GHG & Criteria Pollutant Emission Reductions (state(state--specific projections)specific projections)

40%

50%

60%

0%

10%

20%

30%

40%

-30%

-20%

-10%

A B C D E F G H I

• Climate focused policies can help to meet short- and long-t it i ll t t l

-40%

CH4 NOX SO2 VOC CO2 CO EV Policy

term criteria pollutant goals.• Near-term criteria pollutant goals, however, play only a

small role in achieving long term climate goals.• The multi-pollutant approach provides the opportunity to

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The multi pollutant approach provides the opportunity to simultaneously address criteria and climate pollutant goals more efficiently than a pollutant by pollutant approach.

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Change in Total System Cost Change in Total System Cost (analysis done for one state)(analysis done for one state)

NPV Cost Change Relative to Reference Run Type

A -1.2% Constraint

B 0 3% ConstraintB -0.3% Constraint

C 0.2% Constraint

D 1.4% Constraint

E 4 3% D d R d ti

EV PolicyE -4.3% Demand Reduction

F -0.5% Constraint

G -0.1% Constraint

H 1 2% C t i tH 1.2% Constraint

I -1.4% Constraint

• The multi-pollutant approach also allows decision makers to weigh cost against environmental benefits for multiple scenarios multiple pollutants

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benefits for multiple scenarios, multiple pollutants, multiple sectors

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Air Quality, Public Health, and Economic Analyses

• Emissions projections are inputs for air p j pquality models

• Traditional estimates of monetized li / bidi i l l dmortality/morbidity impacts are calculated

from projected air quality changes• Monetized health impacts can be fed back• Monetized health impacts can be fed back

into regional economic model to estimate scenario-specific projected economic impacts on Gross State Product, labor income, and jobs

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Advantages to Using NEAdvantages to Using NE--MARKALMARKALAdvantages to Using NEAdvantages to Using NE MARKALMARKAL

• Quick to run and turn around resultsR l i l i i• Relatively inexpensive to use

• Transparent to review• Detailed enough to assess a wide range of climate, air quality

and energy policiesand energy policies• Can analyze at different levels (state/regional), as well as

multiple and/or single strategies• Outputs can link to other models – REMI, CMAQ, BenMAP• Is a multi-pollutant model. Outputs include: emissions changes

in CO2, NOx, PM; Hg for power sector, and; SO2, VOC, CO for transportation sector

• Shows trade-offsShows trade offs• Is an energy model – its use by air regulators starts the

integration between air and energy

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Limitations to Using NELimitations to Using NE MARKALMARKALLimitations to Using NELimitations to Using NE--MARKALMARKAL

• While expansive in its coverage, it will not provide perfect representation of all sectors p p pand technologies

• Should be used for comparative policy p p yanalysis, not energy dispatch or forecasting

• Does not simulate behavior or consumer response

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How This is DifferentHow This is DifferentHow This is DifferentHow This is Different

• Broader planning horizons, bigger picture, multi-di i lidisciplinary

• The planning happens first, results then feed into various plans (i.e., SIP, IRP)

• An iterative process – the model must first be tailored to state-specific conditions before it can be used to inform decisions

ff• Requires policy-makers to look at tradeoffs• NE-MARKAL outputs can be used as inputs to other

models; results are useful to state policy makers• Outputs can inform air, energy, and economic policy

(and vice versa)

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The Time is Ripe for MultiThe Time is Ripe for Multi--Pollutant Pollutant PlanningPlanning

• Has the potential to align various state offices in a p gnew planning exercise and identify common solutions.

• Can enable states to meet air quality objectives,Can enable states to meet air quality objectives, reduce greenhouse gases, and meet electricity meet electricity demand through reliable and diverse suppliesdemand through reliable and diverse supplies

• Can identify potential tradeoffs and provides• Can identify potential tradeoffs and provides information for policy makers to make informed decisions.

SC ’• Tools are out there and available. NESCAUM’s framework leads with energy and can help air regulators move toward multi-pollutant planning.

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THANK YOU!THANK YOU!THANK YOU!THANK YOU!

The NESCAUM Multi-P Team:The NESCAUM Multi P Team:

– Leah Weiss, Senior Policy Advisor, y• [email protected] (617-416-4829)

– Gary Kleiman, Science & Technology Program Manager• gkleiman@nescaum org (617-259-2027)[email protected] (617 259 2027)

– John Graham, Senior Scientist• [email protected] (617-259-2023)

J R d k Cli t & E A l t– Jason Rudokas, Climate & Energy Analyst• [email protected] (617-259-2075)

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