
Energy. Environment. Economics. Three cornerstones that shape the electricity industry today. E3 has operated at the nexus of energy, environment, and economics since its inception in 1989. Our analysis has informed debate on many of the key issues facing the electricity industry today. From regulated utilities to restructured markets, from distributed resources to high voltage transmission, we understand electricity economics. Our experts will help you chart your path through this dynamic landscape.
IEEE Transactions on Sustainable Energy is to publish a paper written by Dr. Jeremy Hargreaves of E3 and Prof. Benjamin Hobbs of Johns Hopkins University entitled "Commitment and Dispatch with Uncertain Wind Generation by Dynamic Programming".
The paper, which will feature in the journal's special wind energy issue, shows the potential for grid operation cost savings when using stochastic unit commitment and dispatch modeling for systems with high levels of wind generation.
The study indicates a growing need for stochastic models in system operations as renewables penetration increases.
On March 28th, the CPUC released E3's study of the technical potential for, and associated costs of, local distributed PV in California. To be considered "local" in the study, distributed PV must have its output consumed by local load within the area of the substation or feeder to which it is interconnected. The study thus entails detailed assessment of PV interconnection potential by substation for California's 3 large IOUs. The study finds total interconnection potential ranging from roughly 6,000 - 16,000 MW depending on interconnection criteria or rules.
E3 has posted a demonstration version of an Energy Storage Cost-effectiveness Tool based on work performed for several clients over the last year. The tool is based in Analytica and accessible on the web via the Analytica Cloud Player. The demo model calculates the costs and benefits for three storage technologies as well as a combustion turbine (LM 6000) under two scenarios: historical 2010 CAISO prices and 2020 CAISO prices taken from the CPUC/CAISO LTPP PLEXOS production simulation model. The model uses the Analytica Optimizer with an hourly dispatch to maximize revenues across multiple markets and benefit categories. (Note: the model is for demonstration purposes only and the results should not be cited).
In E3’s latest publication, we assess the utility business case for electric vehicles. Electric vehicles, combined with natural gas fired generation, can result in lower costs to consumers, lower risk to utility shareholders, and lower greenhouse gas emissions than a business-as-usual, coal- and nuclear-dominated scenario. However, utilities’ carbon price risk from electric vehicles (EVs) could outweigh the potential benefits of EVs, unless current policies are changed. The article, “Electric Vehicles and Gas-Fired Power: A strategic approach to mitigating rate increases and greenhouse gas price risk,” by Amber Mahone, Ben Haley, Ren Orans and Jim Williams, appears in the December 2011 edition of Public Utilities Fortnightly.
An E3 team led by Chief Scientist Jim Williams, along with collaborators at Lawrence Berkeley National Laboratory, has published a landmark study of the energy future in the prestigious journal Science. Using California as a case study, the paper provides a detailed assessment of the technology, infrastructure, and cost requirements to deeply reduce greenhouse gas emissions by the year 2050. The study emphasizes the pivotal role of electricity in the transition to a low-carbon economy.
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On September 30th E3 completed the Final EM&V Report for the CPUC Operational Energy Efficiency Program (OEEP). The OEEP RD&D pilot sought to determine whether controlling Variable Frequency Drives (VFD) with a real-time efficiency optimization algorithm could increase the efficiency of water utility pump and motor systems. E3 analyzed over one year of historical one-minute data from 22 pumps at 17 sites in PG&E and SCE’s service territory.
E3 has been working with the ClimateWorks Foundation supported Best Practices Network to provide guidance to Indian policy makers on how to develop the power grid to support India’s clean energy goals. E3, along with the Regulatory Assistance Project, has released a report that provides a conceptual and analytical framework to help decision makers at the central, state and local level to make sustainable and cost-effective decisions. Dr. Priya Sreedharan of E3 presented this work at a conference hosted by the Shakti Sustainable Energy Foundation in New Delhi in February of 2011 and to Indian electricity regulatory commissioners in a June 2011 visit to California.
With funding from the California Energy Commission's Public Interest Energy Research (PIER) program, the U.C. Berkeley's Transportation Sustainability Research Center (TSRC) is investigating the key barriers to and opportunities for scaling up the use of electricity as a transportation fuel (e-fuel) in California. Eric Cutter of E3 presented at the TSRC’s recent E-Fuel Scale-Up Workshop “Positive Load Growth with EVs”
On June 16, 2011, Amber Mahone of E3 presented, “Ratepayer Risk, Greenhouse Gas Emissions and Electric Vehicles” at the 24th Annual Western Conference in Monterey, California - An Advanced Workshop in Regulation and Competition.
E3 was selected as the lead consultant for the single-family home portion of the West Village Zero Net Energy Project on the UC Davis campus. In partnership with Clean Power Research and Davis Energy Group, E3 will develop Zero Net Energy regulatory and business model strategies enabling the community to meet its annual energy demand by delivering on-site renewable resources such as solar PV and biogas at no higher cost to home owners or the developer.
Increasing penetration of Wind Generation is hypothesized to cause market price divergence between two geographic zones, an indication of market separation due to transmission constraints. Based on an econometric analysis of 15-minute zonal market price data from ERCOT, E3 professionals confirm this hypothesis, thus supporting Texas’ planned transmission expansion to facilitate the state’s projected rapid growth in wind generation. " Wind Generation and Zonal-Market Price Divergence: Evidence from Texas"
E3 completes a comprehensive California Solar Initiative (CSI) Cost-Effectiveness Study for the California Public Utilities Commission (CPUC). Analysis shows that while smaller residential systems have the best customer economics, larger systems are better for California overall.
The High Plains Express Transmission Project released its Stage 2 Feasibility Report in conjunction with its April 28 Public Workshop Presentation. E3 performed a commercial feasibility analysis that found that the benefits of the project are slightly larger than the costs under most scenarios, although benefit-cost ratios are less than one for some key sensitivities. The project participants will now proceed with a Stage 3 evaluation that will entail additional study and monitoring of economic drivers, costs and public policy.
Eric Cutter, Lakshmi Alagappan, and David Miller of E3 have been working with The Electric Power Research Institute (EPRI) for several years to define ENERGY STORAGE applications, assess their value and potential market size, and quantify the gap between technology costs and potential revenues. This work contributed to EPRI's recent published paper "Electricity Energy Storage Technology Options - A White Paper Primer on Applications, Costs and Benefits"
“Delivering on solar's promise: A five year outlook and overview of the competitive landscape” was presented by Amy Guy Wagner on April 14, 2011 in San Francisco. Amy will deliver this solar talk again in San Diego at a Morrison & Foerster event on May 19, 2011.
Amber Mahone and Jack Moore presented April 15, 2011 to members of Bonneville Power Administration's (BPA's) Non-Wires Solutions Round Table, their analyses of two non-wires alternatives: Hooper Springs and the I-5 Corridor Reinforcement screening studies as a new approach to transmission planning in BPA's territory. Alternatives to the proposed transmission lines being considered include: Energy Efficiency Programs, Demand Response Initiatives, Generator Re-dispatch and Distributed Generation.
E3 Chief Scientist Dr. Jim Williams, and affiliates Fritz Kahrl and Ding Jianhua, have prepared a brief Four Things You Should Know about China's Electricity System as part of the China Environment Forum's Cooperative Competitors series.
Amber Mahone delivered the keynote address at the WestCARB annual meeting in October 2010. The presentation addresses pathways for meeting California's 2050 GHG emissions goal.
The Western Electric Coordinating Council's Scenario Planning Steering Group (SPSG) selected E3 to provide technical support for the WECC's Regional Transmission Expansion Planning (RTEP) effort.