OKLAHOMA AND THE FUTURE OF THE NATION’S ENERGY INDEPENDENCE The Wind Coalition The Wind Coalition 1
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� Energy independence ◦ National security ◦ Price of fuel ◦ American way ◦ American way � Environmental concerns ◦ Renewable electricity standards ◦ Carbon restriction legislation � Public demand � Hedge against increasing fossil fuel prices d f l f l � Water conservation 6
State RPS Requirements MN: MN: 25% by ME: ME: 30% by 2000 25% by 2025 2025 30% by 2000 (Xc (Xcel: 30% l: 30% by by 2020) 2020) VT: RE meets load 10% by 10% by 2017 2017 - new ew RE RE growth by 2012 *WA: *WA: 15% by 2020 15% by 2020 ☼ NH: NH: 23.8% 23.8% in in 2025 2025 ND: 10% by 2015 OR: OR: 25% OR: OR: 25% 25% by 25% by by 2025 by 2025 2025 (large 2025 (large ies ) ies ) (large utilit (large utilit ilities ilities WI WI : r WI WI : requiremen i i rement var t t varies i es by b y MA: MA: 4% by 4% by 2009 2009 + 5% - 10% 5% - 10% by by 2025 2025 (smaller (smaller utilities) ilities) util ut ility; 10% by 10% by 2015 goa 2015 goal MT: MT: 15% by 2015 1% a 1% annua nnual incr crea ease se 15% by 2015 RI: RI: 16% by 16% by 2020 2020 CT: 23% by CT: 23% by 2020 2020 ☼ * NV ☼ * NV NV: NV 20% : 20% 20% by 20% b y 2015 2015 2015 2015 IA IA 105 IA IA: : 105 105 MW 105 MW MW MW ☼ NY: NY: 24% by 2013 24% by 2013 ☼ CO: CO: 20% by 2020 IL: IL: 25% by 2025 ☼ NJ: NJ: 22.5% 20% by 2020 (IOUs) 25% by 2025 22.5% by by 2021 2021 (IOUs) munis ) *10% *10% by 2020 by 2020 (co-op (co-ops & s & large large munis CA: CA: 20% by ☼ PA: PA: 18%¹ 20% by 2010 2010 18%¹ by 2020 by 2020 MO: 11% by 2020 ☼ MD: MD: 9.5% in 9.5% in 2022 2022 ☼ NC: NC: 12.5% 12.5% by by 2021 2021 (IOUs) (IOUs) ☼ AZ: AZ: 15% by ☼ *DE: *DE: 20% by 2019 15% by 2025 2025 20% by 2019 10% by 2018 10% by 2018 (co-ops (co-ops & munis) & munis) ☼ DC: DC: 11% by 11% by 2022 2022 ☼ NM: NM: 20% by 2020 20% by 2020 (IOU (IOUs) *VA: 12% by 2022 10% by 2020 10% by 2020 (co-op (co-ops) s) TX: 5,880 TX: 5,880 MW MW by by 2015 2015 Stat State RPS RPS HI: HI: 20% by 2020 20% by 2020 State Goal Stat e Goal Solar w r water h r heating eligible ible RPS: Renewable Portfolio Standard, also known as Renewable Energy Standards 7
Renewables Needed to Meet State Standards HI 50,000 45,000 CA 40,000 NV AZ & NM 35,000 WA CO & MT CO & MT s egawatts 30,000 TX 25,000 MN IA & WI M MD 20,000 PA DC & DE 15,000 NJ J 10 000 10,000 NY 5,000 CT & RI MA ME ME 0 0 2000 2005 2010 2015 2020 8
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How How much wind potential much wind potential does the SPP does the SPP region region have? have? The SPP region has huge wind potential. In Kansas, Oklahoma, New Mexico, and the Texas panhandle, there is enough high-capacity wind to potentially add there is enough high-capacity wind to potentially add over 40,000 megawatts to the electric grid. By comparison, our record demand for electricity set in 2007 was just over 43,000 megawatts. SPP has 1,800 megawatts of wind in service, with approximately 30,000 megawatts proposed and under study. To connect large volumes of new wind energy to the electric grid more transmission must be constructed electric grid, more transmission must be constructed to carry the energy to where the demand is. SPP is studying how a “transmission superhighway” of extra high voltage lines would enable us to connect tens of thousands of renewable megawatts into the electric h d f bl i h l i grid. Source: SPP Website 12
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� NATIONALLY ◦ Becoming more secure and energy independent ◦ Hedging against large increases in fuel prices ◦ Conserving our use of limited water supplies ◦ Addressing environmental concerns 16
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� STATE TO STATE AND REGION TO REGION ◦ Who gets the jobs? ◦ Who brings the revenues to the state and local governments? ◦ Who provides the energy to meet the demand? 19
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� Until Recently policies in SPP regarding t transmission for wind inhibited the i i f i d i hibit d th development of the resource. ◦ Reliability upgrades made it very difficult for transmission construction for wind generation to qualify for the regional cost sharing formula qualify for the regional cost sharing formula. ◦ Economic upgrades were cost causer pays-very little incentive for the transmission to be built when little incentive for the transmission to be built when benefits accrued to others not paying for the project. 26
� New proposals approved by SPP help more wind projects to have needed transmission. � Higher voltage economic projects in a Hi h l i j i balanced portfolio that qualify will have costs allocated on a regional basis allocated on a regional basis. � EHV planning anticipates the integration of � EHV planning anticipates the integration of significant amounts of wind generation. 27
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� SPP is moving forward with a study that would allow the transmission of electricity ld ll th t i i f l t i it generated from the vast wind energy resources in the plains territory for use inside p y of SPP and for sale to other regions. � An electric high voltage backbone built in the A l t i hi h lt b kb b ilt i th SPP region coupled with enhancements to the grid in other regions would transform the g g area into a major renewable energy producer for America. 29
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� Federal � State � Regional � Regional 41
� Production Tax Credit � National Transmission Infrastructure and E Energy Independence Bill I d d Bill � National Renewable Electricity Standard � National Renewable Electricity Standard � Clean Air Initiative � Clean Air Initiative 42
� Encourage Congressional delegation to support a national renewable energy standard t ti l bl t d d � Adopt a state RES or renewable energy goals � Adopt a state RES or renewable energy goals � Promote policies that will encourage the construction of transmission lines to deliver renewable energy harvested in Oklahoma � Provide opportunities for the training of professionals in the wind energy field. 43
� Advocate for policies that encourage the construction of high voltage transmission and move forward to plan and build the EHV overlay overlay. � Move toward more efficient market processes � Move toward more efficient market processes in SPP. 44
STEVE GAW STEVE GAW WIND COALITION http://www.windcoalition.org/ 45
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