IO NEWS

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As stated in an article by The Guardian, “the skies are clearing of pollution, wildlife is returning to newly clear waters, a host of flights have been scrapped and crude oil is so worthless that the industry would have to pay you to take it off their hands – a few months ago, environmentalists could only dream of such a scenario as the 50th anniversary of Earth Day hove into view.” If only we could celebrate under different circumstances.

During this observance of the Earth Week, celebration feels bittersweet, as he we reflect on the current status of our world and contemplate the challenges that remain. Collectively, much has been accomplished in 2019, as discussed in the EcoWatch article, 20 Reasons why 2019 Gave us Climate Hope. Objectively, last year also highlighted many of the problems within our world, as demonstrated by the several fires which raged with unprecedented strength, and by the hottest July on record for the planet. 

Our virtual celebration in itself may serve as a reminder that we are living in a reality that is far from “normal.” As it was true last year, we find that every triumph earned in our quest towards sustainability and resiliency is countermanded with various obstacles. To overcome these obstacles, we must commit to collaboration. We need leadership, and each one of us must be prepared to step up and help.  

A report from Wood Mackenzie projects that the impact of the Coronavirus will last for at least 18 months. Due to the virus, “America hasn't used this little energy in 16 years,” as mentioned within the World Economic Forum. Not only does this impact the fossil fuel industry and the electrical grid as whole, but it also influences the future of the renewable energy as well. 

Seen within an article by NPR, “’Just about everything that can go wrong, has gone wrong for the coal industry,’ says Matthew Preston, a coal analyst at the firm Wood Mackenzie. He says coal demand this year is down between 35 and 40% from last year, ‘and last year wasn't a great year.’” The Utility Dive reports that leaders within the Rocky Mountain Institute (RMI) foresee an increased retirement of coal plants as a direct result of the virus slowdown. 

The longer term implications of a continued quarantine and COVID-19 crisis may potentially be disruptive for the grid in general. As described within a Special Report written by the North American Electric Reliability Corporation, challenges range from issues such as; supply chain interruptions, an increase in cyber security threats, unprecedented electrical voltage variability within the grid, and deferred maintenance on critical assets. Because many power plants must be staffed 24/7, the New York Times reports on instances where utility workers have been camping out and living within their job site during the quarantine.

Though the reduced consumption may be temporarily seen as a great thing, the changing demand curve might intensify curtailment, and bolster the call for the end of net metering. As demand decreases, the oversupply of renewable energy in some states poses a significant problem. As stated by the California ISO, “Sometimes, during the middle of the day, California's renewable resources can generate more electricity than is needed. During these periods of surplus energy, the ISO's market automatically reduces the production of energy from renewable resources, or “curtail" generation. When economic bids from generators are insufficient, ISO operators manually curtail production to maintain the balance between supply and demand.” The decrease in demand due to COVID-19 is projected result in record-breaking levels of curtailment, effectively wasting thousands of Megawatt hours of renewable energy.  

Advocates against net metering point to this curtailment challenge as evidence on why net metering should end. Essentially, if customers are not incentivized to produce more energy than what is needed for their property at that precise moment, then the utility grid will run into fewer challenges. This type of “no net export” utility scenario is seen within states such as Hawaii. While net metering has effectively enabled the rapid expansion of solar throughout the United States, as mentioned by Green Tech Media, a lobbyist group just met with the Federal Energy Regulatory Commission to fast-track a petition to “end net metering as we know it.” 

"But what may be a bigger impact is the long-term effect of paused or slowed investment in both generation projects and behind-the-meter efficiency programs," said Rocky Mountain Institute Principal, Mark Dyson. "The present crisis has pushed 'pause' on the investment necessary to meet increasingly aggressive climate and clean energy goals set by states across the US."

This sentiment is evidenced by Ann Arbor Michigan’s failure to adopt the city’s new carbon-neutrality plan, as reported by mlive.com. The plan, which outlined strategies to power the community with 100% renewable energy, was postponed by councilmembers which noted the uncertainty and revenue shortfalls caused by Covid-19. 

Michigan isn’t the only state impacted. As mentioned by Utility Dive, in Illinois, the future of their Clean Energy Jobs Act is at stake; a proposal which would put Illinois on a path to 100% renewable energy by 2050, and 100% carbon neutrality by 2030. In Maryland, votes on energy efficiency measures are delayed. In Colorado, eight energy bills are currently delayed. In Minnesota, the legislature has put anything unrelated to COVID-19 on the backburner. 

“Of the 212 companies polled recently by the California Solar and Storage Association (CalSSA), 92% are seeing the pandemic negatively impact their business, while 46% have rolled out some combination of layoffs, furloughs and pay cuts, according to Brad Heavner, the association’s policy director,” as reported within Utility Dive. This being said, advocates within the renewable energy industry all can agree that we are in this together. Now, more than ever, we must insist on collaboration. While challenges face our industry, it is our responsibility to overcome these obstacles. 

Thought it may be true that some cities have postponed their commitment to climate action plans, we must celebrate those that have pushed onward in midst of this crisis. Houston Texas, for example, exemplifies leadership through publishing their Houston Climate Action Plan during 2020 earth week. 

Though it may be true that the elimination of net metering may hinder the proliferation of solar throughout America, as stated by Autumn Proudlove, Senior Manager of Policy Research within the North Carolina Clean Energy Technology Center, "Eventually, solar advocates have agreed that at a certain market penetration rate, it makes sense to look at the numbers and come up with a successor tariff rate." Therefore, there is room within the marketplace for leaders to help the industry adapt to what the utility grid needs most and to formulate ways of maximizing renewable energy production and energy consumption so that we are working with utilities, not against them. We no longer need variable, non-aggregateable distributed energy resources like solar only. We must insist on microgrid and nanogrids technology which further the development of a smart grid, through enabling clean energy to be stored and dispatched in response to the needs of the grid. 

Though it may be true that companies within the sustainable energy industry have undeniably been impacted, industry leaders and subject matter experts have banded together to form incredible support networks. Conferences, such as Microgrid Knowledge 2020, have been made free and virtual. Utilities have been fast-tracking solar permitting and moving to virtual plan checks, in support of the solar and storage installers who are still considered essential workers in California. 

Though it may be true that the challenges impacting our utility grid network due to the Coronavirus may pose serious risks to the healthcare centers, community centers, and other buildings considered essential to our communities, already under great strain due to the COVID-19 crisis, as mentioned in articles by Microgrid Knowledge, instances of “Rapid Deployment Microgrids” utilizing fuel cell and battery technology have been providing hope for those that fear of grid stability, especially during the upcoming Public Safety Power Shutoff season in California. 

What may save our industry is a renewed commitment to insist on renewable energy and resiliency after this crisis ends. Where there is challenges, there are opportunities. Where there is destruction, there are chances to rebuild. 

Instant ON looks for others to join the IO mission. During these uncertain times, we need to step up and lead. Let’s work together. Let’s pave a path for the industry to move forward. Let’s create the roadmap towards the development of resilient and connected communities. We appreciate all the individuals that have committed to this paradigm of collaboration and helped us so far, and look forward to the exciting pilots and developments which are to cultivate directly due to our combined efforts.
 

Published by David Perzynski on 4/24/2020. 

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