SHAPING THE FUTURE OF ENERGY
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SHAPING THE FUTURE OF ENERGY Energy Agenda for the Future – May 22, 2014 1
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SHAPING THE FUTURE OF ENERGY. Energy Agenda for the Future – May 22, 2014. OUTLINE. Why we need to rethink our energy system What we’re driving towards How we get there. Why. What. How. BURDEN ON RATEPAYERS. *Representative Upstate City. Why. What. How. BURDEN ON RATEPAYERS. - PowerPoint PPT Presentation
Transcript of SHAPING THE FUTURE OF ENERGY
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SHAPING THE FUTURE OF ENERGY
Energy Agenda for the Future – May 22, 2014
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OUTLINE
1.Why we need to rethink our energy system
2.What we’re driving towards
3.How we get there
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BURDEN ON RATEPAYERS
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
Electric Bill for Average Middletown Household* (600 kWh) : 2004-2013
Delivery Commodity Surcharge
*Representative Upstate City
What HowWhy
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BURDEN ON RATEPAYERS
Over the last ten years, $17 billion was invested in New York State’s electricity infrastructure.
Over the next ten years, an additional $30 billion in capital investments is needed just to maintain our infrastructure.
What HowWhy
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BURDEN ON RATEPAYERS
rate of capacity utilization:
under 60%
What HowWhy
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BURDEN ON RATEPAYERS
NYS Electrical System Auto Plants* All Manufacturing*0
10
20
30
40
50
60
70
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90
Capacity Utilization Rates Across Sectors
*2013 Capacity Utilization Data from U.S. Federal Reserve
57%
79%71%
What HowWhy
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BURDEN ON RATEPAYERS
35% of energy used in residential and commercial sectors is wasted
What HowWhy
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BURDEN ON RATEPAYERS
Our current path is not sustainable.
What HowWhy
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SHIFTING COMPETITIVE LANDSCAPES
Oklahoma is generating wind power at $.03/kWh
Austin Energy signs solar PPA at $.05/kWh
Battery costs declining 20-30%/year: less than $200/kWh by 2020? ($1000/kWhr in 2009-2010)
What HowWhy
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INNOVATION SITTING ON THE SIDELINES
These are the types of homegrown companies we need to continue to innovate and create jobs here in New York State.
What HowWhy
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A SENSE OF URGENCY IS NEEDED
Extreme weather threatens our well-being and way of life...
What HowWhy
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REFORMING OUR APPROACH
The State Energy Plan seeks to...
Give customers more choice, control, and value in their energy usage for each dollar spent
Incentivize utilities to focus on system and capital efficiency
Align energy policies and the use of ratepayer funds to animate private markets and scale deployment
Provide a bridge to a self-sustaining, private sector-driven clean energy markets
What HowWhy What
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PUTTING POLICY TO WORK
Over the past year...
LIPA : PSEG Long Island and Utility 2.0
NY Green Bank
To accelerate clean energy deployment in NYS by working in partnership with the private sector to establish dynamic, self-sustaining financing markets
Clean Energy FundTo enhance the State’s energy efficiency and renewable programs and improve leverage, while also managing their transition to market-based clean energy activities
NY-Sun
$1 billion commitment to significantly expand deployment of clean energy and transform New York’s solar industry to a subsidy-free sector
NYPrize : Community Microgrid Competition
Why What How
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REFORMING THE ENERGY VISION
REV includes the goals and vision of this administration...
A public regulatory proceeding to improve system efficiency
create price signals that will help markets work better
develop competitive markets around customers to provide more choice and value
Why What How
“In one of the most promising moves in the energy sector in years, New York State is proposing a way to get a head start on, and perhaps help lead, a revolution in the world of electricity generation.”
New York Times, “Smarter Electricity in New York” May 13, 2014
“New York Prodding Utilities to Shift From Monopoly Model… The move would spur generation from thousands of smaller systems owned by individuals and other companies -- notably rooftop solar panels.”
Bloomberg, May 12, 2104
