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Presented  by  Michael  Saunders,    Senior  Deputy  A8orney  General  

Disclaimer:  The  views  presented  are  those  of  the  presenter,  not  necessarily  those  of  the  Nevada  A8orney  General’s  Office  or  the  Bureau  of  Consumer  ProtecFon.  

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Great  Interest  in  Renewables   Many  look  toward  renewable  energy  to  address  many  of  the  country’s  current  problems:   Job  creaFon  and  economic  recovery  

 Global  climate  change  

 ProtecFng  our  naFonal  security  interests  

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Renewable  PorMolio  Standards  

 Renewable  PorMolio  Standards  (RPS)  promote  renewable  energy  development.  

 What  is  an  RPS?  

 An  RPS  places  an  obligaFon  upon  an  electricity  provider  to  supply  a  minimum  percentage  of  electricity  from  renewable  energy  sources.    

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NRS  704.7821    An  electricity  provider  must  generate,  acquire  or  save  electricity  from  renewable  energy  or  energy  efficiency  measures  in  the  following  percentages:      9%  in  2007-­‐2008;    12%  in  2009-­‐2010;    15%  in  2011-­‐2012;    18%  in  2013-­‐2014;    20%  in  2015-­‐2019;    22%  in  2020-­‐2024;    and  25%  for  2025  and  each  calendar  year  therea_er.  

  Solar  at  least  5%  for  each  calendar  year  up  to  and  including  2015;  and  6%  for  2016  and  each  calendar  year  therea_er.  

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Measurement  

 Compliance  with  the  RPS  is  measured  in  terms  of  PorMolio  Energy  Credits  (PECs).  

 One  PEC  represents  one  kilowa8  hour  (kwh)  of  renewable  energy  generated  or  one  kwh  of  energy  saved  through  an  energy  efficiency  program.  

 PEC  mulFpliers  apply  under  certain  circumstances.   Example:  a  2.4  mulFplier  can  be  applied  to  each  kwh  of  energy  generated  by  solar  photovoltaic  systems.    (NAC  704.8927  )  

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Demand  Side  Management  

 An  electric  provider  may  comply  with  the  RPS  with  energy  savings  achieved  through  energy  efficiency  (DSM)  measures:  

 Not  more  than  25  percent  of  the  amount  may  be  based  on  energy  efficiency  measures.  

 At  least  50  percent  of  that  amount  must  be  saved  from  energy  efficiency  measures  installed  at  service  locaFons  of  residenFal  customers  of  the  electric  provider,  unless  a  different  percentage  is  approved  by  the  PUC.  

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Annual  RPS  Report  Requirement  

  Each  year,  electric  providers  are  required  to  file  reports  providing  informaFon  relaFng  to  the  acFons  taken  to  comply  with  the  RPS.  

  To  be  filed  with  the  PUC  on  or  before  April  1st  of  each  year.    

  PUC  Staff  invesFgates  and  reports  to  PUC  whether  electric  provider  has  complied.  

  If  electric  provider  is  found  not  in  compliance,  PUC  invesFgates  whether  non-­‐compliance  should  be  excused  or  whether  administraFve  penalFes  should  be  assessed.  

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The  Sources  of  Renewable  Energy  

 The  sources  of  renewable  energy  that  can  be  used  to  fulfill  the  RPS  include:     geothermal,  

 solar,   wind,   waterpower,   and  biomass.    

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Geothermal   Geothermal  energy  is  heat  energy  from  deep  inside  the  earth  contained  in  underground  reservoirs  of  steam  and  hot  water.    

 The  hot  water  or  steam  is  extracted  from  geothermal  reservoirs  and  is  used  to  drive  turbines  in  order  to  produce  electricity.  

 Generally  the  least  expensive  form  of  renewable  energy.  

 Base-­‐load  source  of  supply,  meaning  it  is  a  conFnuous,  always-­‐on  source  of  energy.      

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Solar  

 Two  dominant  solar  technologies:   Solar  Photovoltaic  (PV)   Concentrated  Solar  Power  (CSP).  

 Solar  photovoltaic  systems  capture  and  convert  sunlight  into  electricity.  

 Concentrated  solar  systems  produce  electric  power  by  using  mirrors  to  convert  the  sun’s  energy  into  high  temperature  steam  which  can  then  turn  a  turbine  to  generate  electricity.  

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Wind  

 A  wind  energy  system  converts  the  kineFc  energy  of  the  wind  into  electrical  energy  that  can  be  put  to  pracFcal  use.  

 Development  of  wind  generaFon  in  Nevada  has  lagged  behind  solar  and  geothermal,  due  in  part  to  opposiFon  from  the  military  based  on  the  noFon  that  wind  turbines  interfere  with  radar.  

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The  Benefits  of  Renewable  Energy  

 Global  climate  change  

 No  fuel  price  volaFlity,  such  as  can  exist  with  natural  gas  based  electrical  generaFon.      

 Minimizes  price  uncertainty  with  respect  to  future  carbon  dioxide  regulaFon.      

 Water  needs  for  solar  and  wind  resources  are  minimal  when  compared  to  coal  and  natural  gas  plants.    

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Impediments  to  Development  

 Load  (or  customer  demand)  to  be  served  is  o_en  not  ideally  situated  in  close  proximity  to  the  resources.  

 For  example,  much  of  state’s  geothermal  resources  are  in  the  northern  part  of  the  state,  while  much  of  Nevada’s  electrical  load  is  located  in  southern  Nevada.  

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Conclusion   The  past  decade  was  an  interesFng  one  in  the  area  of  energy  policy.  

 The  present  decade  is  shaping  up  to  be  perhaps  even  more  interesFng:    Renewable  Energy  Exports    Federal  RPS    Climate  Change  LegislaFon  

 Stay  tuned!  It  will  be  interesFng  and  exciFng!  

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RPS  Resources  • NRS  704.7801  -­‐  .7828     NAC  704.8831  -­‐  .8937   PUCN  Web  Site  -­‐  pucweb1.state.nv.us/pucn/    

 On  “Dockets”  page,  one  can  search  for  prior  RPS  filings  by  Docket  Number,  such  as:    11-­‐04001    10-­‐04002  

  09-­‐03034    08-­‐04002    07-­‐04005  

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Thank  You!  

Contact  InformaFon:  Michael  Saunders,  Senior  Deputy  A8orney  General  Nevada  A8orney  General’s  Office  555  East  Washington,  Suite  3900  Las  Vegas,  Nevada  89101  Tel:  702-­‐486-­‐3793  E-­‐mail:  msaunders@ag.nv.gov  Linked  In:  h8p://www.linkedin.com/in/michaeltsaunders  

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