Post on 10-Jul-2015
THE PEW CLEAN ENERGY PROGRAM
Emily Bryan
The Pew Clean Energy Program
The goal over the next five years is to
accelerate the clean energy economy for its
national security, economic and
environmental benefits.
The program promotes the
adoption of key changes to U.S.
energy policy in four sectors:
• Industry
• Utilities
• Transportation
• Research and Development
Clean Energy Economy Research Portfolio
Clean Energy Research: Defined
A clean energy economy
generates jobs, businesses, and
investments while expanding clean
energy production, increasing
energy efficiency, reducing
greenhouse gas emissions, waste
and pollution, and conserving
water and other natural resources.
THE U.S. CLEAN ENERGY ECONOMY:
Jobs of Today and Jobs of Tomorrow
4
Clean Energy Jobs Are in Every State
Clean Energy Jobs in the United States
• Job growth in the clean energy
economy outperformed overall job
growth in 38 states and the District
of Columbia between 1998 and
2007.
• Jobs include engineers, plumbers,
construction workers, machine
setters, teachers and others with
annual incomes ranging from
$21,000 to $110,000.
• In 2007, there were over 770,000
jobs in the clean energy economy.
Nations Compete: Who’s Winning
the Clean Energy Race? 2012
Worldwide Investment Falls
Clean Energy Sector Remains Resilient
Investment Moving West to East
Investment Shifting to Solar
Small-Distributed Capacity Sustains
Global Capacity Growth
Total U.S.-China Clean Energy Trade Flows
(in millions of U.S. dollars)
Cumulative global
revenue resulting
from installation of
new clean energy
resources is
projected to total
$1.9 trillion from
2012 to 2018.
Continued Growth Forecast in the Sector
15% of total energy from low-carbon sources by 2020
35% of electricity from renewable energy by 2035
28 GW from solar, 5 GW from wind by 2020
Global Clean Energy Targets
?
Electricity generation
is inefficient, as 68
percent of energy
used is wasted.
The United States
annually wastes
enough energy to
power the entire
nation of Japan for
one year.
A National Industrial Energy Efficiency Goal
What is combined heat and power?
Combined heat and power
(CHP) generates electricity and
thermal power from a single fuel
source.
Combined heat and power
captures waste heat and puts it
to efficient use, providing
significant economic and
energy security benefits.
Who uses CHP?
There are more than 3,850
CHP and waste heat recovery
(WHR) installations in the U.S.
totaling 82 gigawatts (GW).
Users include steel and
chemical companies, auto
manufacturers, hospitals,
casinos, data centers, food
processing facilities, and the
Department of Defense.
There is broad, bipartisan
support for policies to
deploy CHP, including:
• Manufacturers
• Large energy users
• Organized labor
• National security
organizations
• Environmental
organizations
U.S. and CHP Competitiveness
CHP accounts for only 8 percent of power generation in the U.S.
Benefits of doubling CHP in the United States
New investment
Job creation
Reduced energy use
Savings for CHP users
$234 billion in new
private investment
1 million new jobs in
states across the U.S.
Reduce total energy
use by 3 percent.
ArcelorMittal’s East
Chicago facility will
save up to $100 million
per year.
CHP can provide power during disasters
During Hurricane Sandy, hospitals,
universities, large apartment
complexes and other CHP-equipped
buildings were able to provide power
and heat to first responders and the
public.
Louisiana and Texas have prioritized
consideration of CHP for critical
infrastructure including government
buildings and hospitals.
New York and New Jersey are
investing in new CHP projects to
limit grid interruptions during future
weather events.
Policy matters – Investment Tax Credit
Current Policy
10 percent CHP
Does not include waste heat
recovery
Applies to the first 15
megawatts of projects smaller
than 50 megawatts (MW)
Proposed Policy
Expand to 30 percent
Include waste heat recovery
Apply to first 25 MW, no project
size cap
Policy Matters: Master Limited Partnerships
• Conventional energy technologies use MLPs to reduce taxes and access
financing from public markets at lower rates
• MLPs have a market capitalization of more than $370 billion, but clean
energy technologies cannot access this potential financing source
• Some experts estimate that MLP status could reduce financing costs for CHP
projects by up to 50 percent
• Bipartisan legislation in the U.S. House and Senate would expand MLP
treatment to clean energy technologies including CHP and WHR
Policy Matters: Clean Energy Manufacturing Initiative
• Leverage investment in clean energy manufacturing, including efficient
manufacturing
• New executive order seeks to increase combined heat and power by 40
gigawatts by 2020
• DOE Regional Clean Energy Application Centers provide technical
assistance to businesses interested in efficiency solutions
Policy Matters: Efficiency Race to the Top
• Incentivize states to adopt policies that promote efficiency, including industrial
efficiency
• Similar to popular education model
• President Obama has proposed $200 million in his budget, legislation is
being drafted
Policy Matters: Clean Energy Business Network
• Pew’s business network includes more than 2,200 businesses nationwide
• Free to join
• Updates on policy, clean energy news, and local events
• Commit to joining Pew in advancing clean energy policies that can help
YOUR business
• Join Us. Go to www.pewtrusts.org/cleanenergy to sign up.
How Can I Engage?
• Join the Clean Energy Business Network.
• Be a part of our outreach to Senators Alexander and Corker.
– Getting business leaders to endorse specific legislation.
– Coordinating calls/letters/emails their offices.
– Setting and managing meetings with in-state staff.
– Arranging visits to D.C. to meet with the members or their policy staff on
the Hill.
– Communicating the needs of Tennessee business leaders to our
members efficiently and effectively.
ebryan@cooleypublicstrategies.com
www.pewtrusts.org/cleanenergy
For more information: Emily Bryan