Advanced Energy Perspectives

In Washington, DC, there is a talking-heads policy forum nearly every day, but few generate as much buzz, at least in energy circles, as the one held earlier this week by the New Republic (video here). There, White House advisor Heather Zichal said that the President’s much-anticipated climate plan could be announced “in the weeks ahead,” as other reports have hinted at July for a rollout. The plan, she said, would touch on three “key opportunities,” namely higher energy efficiency standards for appliances, accelerated development of renewable energy on federal lands, and greenhouse gas regulations on electric power plants – possibly including existing power plants, not just new ones, the regulations for which are already past due.

The U.S. is set to lead the world in renewable energy mergers and acquisitions, according to a new report from CohnReznick LLP. This will be the second year in a row the U.S. has come out on top in M&A for these advanced energy resources. Solar power, biomass, and onshore wind account for the largest markets targeted by investors, in part because those projects are “stable assets providing predictable returns,” according to Anton Cohen, a partner with CohnReznick. “They know there is only room to increase the installed capacity in the U.S.,” he said in an interview with Bloomberg.

The global advanced energy market has been valued at $1 trillion, and in the U.S. is experiencing rapid growth. The U.S. is well positioned to lead the advanced energy industry.

This week saw further moves toward offshore wind. As expected, the U.S. Interior Department will auction off offshore wind-energy rights in federal waters off Massachusetts and Rhode Island. This week the Department set the date for the auction: the end of July. The department estimates that offshore wind power could supply roughly 1 million homes with electricity.  The Wind Energy Area up for auction will be sold in two blocks, spans 164,750 acres, and is located 9.2 miles south of Rhode Island coast. The department noted that combined electricity generation from both blocks could net 3,400 MW.

Another week, another Tesla update. If nothing else, Elon Musk knows how to keep up the drum beat.

Not content to simply pay off its DOE loan as it did last week, Tesla just announced a huge expansion of its supercharger network, promising to create a cross-country route from Los Angeles to New York City that will keep vehicles like its Model S juiced up all the way. Tesla will be tripling the number of superchargers nationwide by the end of next month, and by 2015 expects to leave no place in the U.S. unreachable by an EV.

As noted in this week’s State Update, states nationwide have seen a coordinated effort to roll back existing renewable energy requirements, but those have gone nowhere as AEE’s state partners have proved, time and again, that advanced energy is good policy for states.