2010 national yps energy policy recs web quality
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Energy Innovationin the United States
Final
Student Policy
RecommendationsJune 13-19 2010
Keystone, CO
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About Youth Policy SummitThe pow er of Youth Policy Summit lies in the ambition of its alumni. Young w omen and mencome to the Summits as students, curious and ready to learn. They leave, after a w eek of in-tensive study and collaboration, active and inspired citizens of their local communities, our na-tion, and the w orld.
In June 2010, The Keystone Center hosted the National Energy Innovation Summit for fortyhigh school students w ho are part of the National Consortium for Specialized SecondarySchools of Math, Science and Technology. Ten high schools f rom across the nation came to-gether in Keystone, Colorado to address the challenges, opportunities and concerns associ-ated w ith developing consensus-based policy recommendations for energy issues in the
United Sates.
After researching divergent stakeholder groups and various aspects of the energy puzzle, stu-dents spent a week ardently discussing the possibilities for sustainable solutions to meet cur-rent and future energy demands of our nation. During the Summit, part icipants took stock ofthe larger technical, legal, environmental, social, economic, and political problems and sharedtheir ow n research to prioritize issues and options. They interacted with leaders in the fields ofenergy, government, and the non profit sector w ho are actively grappling w ith these same is-sues day to day.
With guidance from professional educators and facilitators from Keystones Center for Edu- cation and Center for Science and Public Policy , students created viable solutions to aproblem that is confounding policy makers nationally. This report represents the results of thestudents deliberations: a written set of recommendations that w ill be shared w ith leaders ineducation, policy, energy, youth development and government.
These young leaders received training and practice in skills essential for the 21 st century workforce such as critical thinking, creativity, leadership, negotiation, and innovation. Freshly aw areof their ow n potential for leadership and change, the students are inspired to take their recom-mendations to leaders in their ow n communities, demonstrating the undeniable pow er of work-ing together.
Since 2004, The Keystone Center has conducted YPS programs for over 500 young leadersfrom 23 states across the nation. Topics focus on current issues facing our nation in the areasof energy, environment and public health. With eight Summits planned across the nation for2011, w e encourage teachers , students, private and public organizations and govern mentleaders to visit www.youthpolicysummit.org to learn about opportunities available in your regionand how to get involved.
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Table of Contents
Overview of Student Research 5
Summary Timeline and Introduction 8
Economics: Subsidy Reform 10
Education: Public Awareness and WorkforceTraining 13
Fossil Fuels: Transportation and Electricity 18
Nuclear Power: New Technology andIncreased Production 27
Renewable Energy: Implementation andStorage 32
Energy Efficiency: Commercial, Industrial andResidential Buildings 41
Bibliography 50
Conclusion: Looking Forward, 2050 andBeyond 48
Acknowledgements 56
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Keystone allowed me, as an up and coming member of society, to express and share my views, talents,experiences, as well as my culture in a meaningful and constructive way that is more likely to affect a policy change.
-Andreas Kofler, Participant
INNOVATION
LEADERSHIP S OLUTIONS
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Overview of Student Research
The Groups Task
What should be done, and by whom, to bring about the changesnecessary to meet the growing energy demand, while simultaneouslygrowing the workforce and significantly limiting the emissions ofgreenhouse gases? Participants should consider three time frames:near-term (4-8 years), mid-term (10-20 years), and long term (up to 50years).
To begin answering these questions, students were asked to research the followingenergy topics prior to their arrival at the Summit. As a group, the participants becameexperts on the current issues, barriers and opportunities as they exist today in theUnited States.
Electricity-Renewable (Solar, Wind, Biomass, Geothermal, etc)
Electricity-Fossil Fuels (Coal, Natural Gas, Carbon Capture and Storage, etc)
Electricity-Nuclear (New and existing technology for production and waste s torage)
Transportation-Fuels (Including gas, electric, batteries and renewables, etc)
Transportation-Public, Private, Commercial, Industrial (Trains, bus, subways, passenger cars, shipping, etc)
Buildings Efficiency- Residential, Commercial, Industrial (Products, behavior, systems, etc)
Education and Workforce Development (What options exis t to train and develop a new workforce and educate the generalpopulation for behavior changes associated with Energy Innovation)
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PESTLE Analysis
To broaden the depth of their research, students worked in groups to perform aPESTLE analysis of each research topic listed on page 5
Political. Describes how, and to what degree government should intervene in the economy andsociety.
Economic. Includes economic growth, inflation and taxes.
Social. Includes cultural aspects, demographic differences, environmental justice (are someimpacted more than others)
Environmental. Encompasses all impacts on the environment, including air andwater quality, and impacts from climate change.
Technological. Includes the rate of technological change and impacts from research and develop-ment.
Legal. The laws of the land, including environmental, as well as health and safety anddiscrimination laws and regulations. Congress and the State Legislatureenact laws and the US Environmental Protection Agency and state environmentalagencies create their own regulations to limit some activities and encourage others.
Stakeholder Assignments
In addition to their energy research topics, each student was asked to represent theinterests of an important stakeholder involved in the energy conversation.
Non-Governmental Organizations (NGOs) composed of environmentalgroups, consumer advocacy groups, coalitions and social justice groupswho are non profits.Public Sector , including federal, state and local government agenciesPrivate Sector , including corporations and organizations that are in theenergy production or transmission sector, provide engineering services ormanufacturing for energy sector or who are large consumers of energy.Academia, Education and Research institutions
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Stakeholder List
1. Non Governmental Organizations:Alliance to Save EnergyAmerican Council for an EnergyEfficient Economy (ACEEE)Environmental Defense Fund (EDF)Natural Resources Defense Council
(NRDC)US Public Interest Research Group
(PIRG)Sierra ClubUnion of Concerned Scientists
2. Federal and State Public Sector:National Association of Regulatory
Utility Commissioners (NARUC)National Association of State Energy
Officers (NASEO)US Dept of Energy Office of Energy
Efficiency and Renewable Energy(DOE/EE-RE)
US Dept of Transportation Research and InnovativeTechnology Administration, Officeof Research, Development &Technology
US Environmental Protection Agency Office of Transportation and AirQuality (EPA/OTAQ)
US Dept of Labor Employment andTraining Administration
3. Energy Generators andConsumers:
Constellation EnergyAmerican Electric PowerExelonSouthern Company
Exxon Mobil
4. Renewable Energy Companies:Applied MaterialsGeneral Electric EnergyVestasSiemensSunPowerFirst SolarOrmatUnited Technologies
5. Construction Companies:Anderson WindowsLafargeOwens CorningVulcan MaterialsShaw GroupUS Green Building CouncilFluorCH2M Hill
6. Transportation Industry:DelphiFedExFordGeneral MotorsAMR (American Airlines)Visteon
7. Education and Training:American Society of Heating,
Refrigerating and Air-ConditioningEngineers (ASHRAE)
American Association of CommunityColleges
Apollo AllianceInternational Brotherhood of Electrical
Workers
International Brotherhood ofBoilermakers
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Summary TimelineBy Year Idea/ Goal
2010 Begin a f ive-year education plan to increasepublic awareness about alternative energysources, as well as implement workforcetraining programs.
2015
Begin fiv e y ear adv isory period for the fossilf uel industry t o initiate trans ition to natural gasHalt increase of f oss il f uel subsidies and beginreallocation100% state IECC Building Code compliance(2016).Retrof it 10% of commercial and industrialbuildings35.5 minimum MPG standard for new carsand light trucks (2016)Increase nuclear power capacity
2020
Begin large- scale natural gas transition(incent iv ized)Use subsidy money to research and dev elopalgal fuel, renewable technologies and nuclearenergyIncrease nuclear power capacity, completereprocessing f acilit ies
2025
25% Natural Gas, 25% remains fossil fuels(oil/ coal)30% Nuclear
20% RenewablesContinue to promote and develop transition tonatural gasIncrease nuclear power capacity, completenational storage facilityOne million plug-in hy brids on the road35% net -zero buildings in U.S.Creation of the National CommissioningCollaborativ e to ov ersee building eff iciency
2030
No new coal operations can continue in formersites, no new mines openedPromote natural gas vehicle technology on a
large- scale30% renewables (20% wind, 5% solar, hy dro,5% geothermal)
2040
Natural gas, electric, electric hybridautomobile technology incorporated into theprivate sector75% net -zero buildings in U.S.
2050 15% natural gas, 5% oil, 40% renewable, 40%nuclear100% net-zero buildings in U.S.
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Introduction
In this paper, we, the s tudents, present a s et of recommendations for energy
innovation in the United States for the next 40 years and beyond that will move the
country off of its dependence on oil and coal towards a more sustainable future. We
created a timeline to remake our countrys energy portfolio, which includes a transition
from coal and oil, using natural gas as a bridge fuel; emphasizes renewable and
nuclear energy for electricity; uses algal-based fuels and electrification for
transportation; and focuses on energy efficiency in the buildings sector. We will
encourage this transition with a redeployment of existing Federal subsidies in fossilfuels to renewable energy, and a large focus on education and public awareness.
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Economics: Subsidy Reform
We carefully considered different mechanisms to reach our goals outlined in ourintroduction, including a gasoline tax, but rejected it as socially and politically
infeasible. However, we determined that our goals can be reached to a large extent
simply by reallocating existing subsidies for fossil fuels toward more preferable energy
sources.
Studies show that fossil fuel subsidies have no impact on the price of oil (The
Effects of Fossil Fuel Subsidy Reform, pg. 37). Instead, a majority goes to non-
consumer affecting expenses, such as to pay the oil companys income taxes. As a
result, President Obama has already declared that he will reduce oil subsidies by
about $2.7 billion in 2011 (Obama Budget Aims). We recommend that these
deductions continue; increases in fossil fuel subsidies would be halted entirely by the
year 2015. During the same year,
ten percent of these subsidies would
be taken and redistributed. For every
year until 2025, an additional five
percent will be added to the previous
deduction. Therefore, assuming the
fossil fuel subsidies start at
approximately $12 billion in 2015, we
recommend reducing fossil fuel
subsidies to $10.8 billion and
reallocating $1.2 billion to renewable
energy (Estimating U.S. GovernmentSubsidies, p. 6). In 2016, the fossil
fuel subsidies will start at $10.8 billion and be reduced by 15 percent, with $2.8 billion
available to be reallocated. In 2017, there will be a 20 percent deduction and so forth
until 2025. From there and after, the annual subsidies taken from the original fossil
Year Plan for Year
Present day (June 2010)
Begin fiv e-year advisory period.
2015 Begin reduction of subsidies f or f oss il f uelsby 10 percent
2016 15 percent
2017 20 percent
2018 25 percent
2019 30 percent
2020 35 percent
2021 40 percent
2022 45 percent
2023 50 percent
2024 55 percent
2025 End of reduct ions for fossil fuels
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fuel subsidy amount of $12 billion would be $11.8 billion. This leaves a safety net of
$0.2 billion for the fossil fuel industry during the future transition to renewables.
We propose that the subsidies reduced from the fossil fuel sector should instead
be divided appropriately to the renewable sector, which currently receives less
than $500 million in subsidies; as well as to the Department of Education, Department
of Transportation, and to be given to
consumers for tax incentives (Solar
Financing, Subsidies and Incentives). We
recommend that the specific allocations of
these subsidies remain in Congress within the
jurisdiction of the House AppropriationsCommittee (Committee Jurisdiction).
Companies competing in the renewable
sector would be given at least 60 percent of
the appropriations. The Department of
Education would be given ten percent in early
years , not to exceed $500 million in later
years when the subsidies are largest. Thismoney would be used to educate the public and corporations on environmental
awareness and alternative sources of energy, such as nuclear energy. This could be
done through media announcements and informational conferences. The Department
of Transportation would receive at least 15 percent to additionally fund programs
similar to the Livable Communities Program. The Livable Communities Program
assists communities that increase choices for transportation users, provide affordable
connection from residences to employment centers and other key amenities, and
enhance economic opportunities and environmental sustainability (Fiscal Year 2011
Budget Highlights). About five to ten percent would be distributed as corporate tax
incentives. These would be used to s timulate investment in the transportation sector to
become more energy efficient and ecologically responsible. The incentives transferred
from fossil fuels would continue to be put into their new target areas until the transition
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away from fossil fuels has been completed (between 2075-2100).
The idea behind the reduced subsidy proposal would be to encourage the fossil
fuel industry to begin diversifying their market. The plan is not to eliminate this crucial
division in the United States economy, but to integrate it. Corporations are focused on
making profits. It would be in the best interests of fossil fuel firms to begin adding
renewable branches to not only improve their public image, but to gain more income as
the demand for alternative energies increases.
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Education: Public Awareness and WorkforceTraining
We recommend a major campaign in the education and workforce sector to
promote public awareness, increase funding of research and development programs,
and educate a scientifically-minded workforce from the ground up through changes in
K-12 education as well as at the university level. We also recommend significant
investment in public workforce training programs, as well as specific training for the
transition from fossil fuel to renewable and nuclear industries.
Public Awareness
First steps in expanding renewable energys role in America begins with
education. In the first five years of this plan (2010-2015), public awareness through
media campaigns, energy ambassadors, and community sessions will expedite the
nations shift towards energy efficiency and decreased reliance on fossil fuels. These
include the creation of commercials and internet ads, and will cost roughly $100 millionannually. These ambassadors would come from non-governmental organizations and
will host workshops at schools and community events, touting the benefits of a green
lifestyle and simple changes the public can make to be "greener." Also, ambassadors
would educate s tudents on methods of energy efficiency in com munities and the best
sources of renewable energy regionally. Lastly, we suggest that mandated community
sessions be held. Led by town leaders and based on the community's support or
disdain for green energy, these sessions will be informal and
designed to cater to the average citizen and their
concerns. Ideally, such sessions would address issues such
as the widespread NIMBY 1 (Not-In-My-Back-Yard) syndrome
and other common misconceptions.
1 The term used to describe opposit ion to new dev elopment close to or within residential areas. This includes newpower plants, wind turbines, t ransport ation improvements. (Merriam-Webster 1980).
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K-12 Schools and Universities
We recommend education changes on the K-12 level. An increased emphasison STEM (Science, Technology, Engineering and Mathematics) education will promote
continued energy innovation. Specific changes include the continued creation of
specialized STEM high schools and training programs for AP math and science
teachers. To increase the number of these teachers, 10,000 new STEM teachers must
be recruited and trained annually ("Rising Above the
Storm"). The American Recovery and Reinvestment
Act of 2009 insured this endeavor's start by providing
funds for the Teacher Quality Enhancement
Recovery Plan, which aims to increase numbers of
teachers from quality teacher preparation programs
as well as improve curriculum ("Program Plan").
Education plays a vital role in the first few
years of this policy. If nuclear energy is to play a
larger role in the future, as we recommend, then a re-education of the public on
nuclear power and its true dangers and its true potential as an energy source is thekey to the success of this policy. In order to accomplish this, the industry should host
over 1,000 community and K-12 general education programs per year to educate the
general public, promoting safe, clean energy through a combination of nuclear and
renewable resources. The nuclear industry should also provide 1,000 scholarships for
nuclear engineering and other nuclear related fields through the Department of
Education. Funding for these scholarships could be offset from the portion of
subsidies the Department of Education receives annually for the advancement ofsustainable energy. The number of s cholarships may be subject to change depending
on the funding and the need of the industry. The scholarships are meant to provide
skilled workers for the nuclear industry. We recommend that this education program
remain in place annually until at least 2050.
In addition, a part of the education budget, about $50 million every year, will be
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allotted for clean energy scholarships, advancing education in renewable and nuclear
fields. The money will be allocated according to technological progress in the
respective fields. These projects will be funded by the Department of Education, which
will be responsible for providing information and dissemination. The purpose of this
initiative is to update the American public about advances in renewable energy.
Education and the encouragement for the expanding fields will remain crucial to
the success of our energy revolution. By 2030, we recommend that universities assess
a new value for total green energy scholarships and community involvement
provided, beyond the $50 million mark originally proposed.
Workforce Training
President Obama outlined a plan to increase the use of renewable energy in the
electric sector to 25 percent by 2025, implying a s ignificant increase in renewable
energy jobs ("Obama's Energy Plan"). To address this new demand for scientists,
engineers, and physicists, we recommend that new scholarship and internship
programs be developed. To train new technicians and electricians, which make up the
majority of the clean energy industry, community colleges and vocational schoolsshould also receive allotments to train those workers. These programs would put
students on the track for clean renewable and non-renewable energy degrees, and we
believe would cost about $50 million in the next five years . Scholarships for specific
energy areas, including nuclear energy and solar power,
would be based on demand calculated by colleges and
universities, and allocations should be reassessed every
five years.Though education of the public on these options
seems expensive over the short run, it will more than pay
itself back in reduced energy imports and potential net
renewable exports for states, a heightened public
awareness of energy concerns and green jobs.
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Implementation of measures during this period would continue on into the long term as
the viability and promising output from these enactments would be in the best interest
of energy innovation progress.
The fossil fuel industry currently provides 9.2 million U.S. jobs, so there is a
huge concern about potential job loss as the industry is phased out ("Industry Jobs").
To combat this , extensive and wide-spread training programs will create a s trong,
"green-collar" workforce in renewable energy technology. Because of the
infrastructure similarity between coal power plants and nuclear power plants, the
nuclear power plants will be replacing the coal power plants. Therefore, we
recommend developing special transition programs for the training of workers in
nuclear power plants. Specifically, the coal industry will receive $5 million and thenuclear energy sector will receive $500 million over the next five years from federal
stimulus money to fund this transition every year. This is vital, as the need for nuclear
plant operators from 2008 to 2018 is expected to grow 19 percent, or about 1000 jobs
("Power Plant Operators").
Government Support
Along with focused education campaigns, we recommend Federal government
recognition of state- and community-based programs and initiatives. This action costs
little money to the government, but does serve to get the name of the organization out
into the open. There has already been a precedent
set for a government agency endorsing the work of
a nonprofit or private business; one example of a
Federal-state governmental partnership committedto renewable energy is the National Association of
State Energy Officials (NASEO) partnership with
EnergyStar. Another potential partnership that
would engage the social element would be a
partnership with public works organizations, such as
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American Youthworks, a nonprofit which employs at-risk youth and young adults and
teaches them job skills specifically for the sustainable housing and building sector
(americanyouthworks.org). The purpose of endorsing an organization like American
Youthworks would both engage the s ympathies of the public for a switch from fossil
fuels to renewable power and it would expand the base of support and knowledge
outside of the political and scientific circles.
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Fossil Fuels: Transportation and Electricity
Our goal is to transition the country away from heavy reliance on fossil fuels for
both electricity and transportation, by using natural gas as a transitional fuel source
until we can rely heavily on renewable technologies. Electricity cons umption by the
U.S. is expected to grow 39 percent from 2005 to 2030, to 5.8 billion mega-watt hours
(Annual Energy Outlook 2010, 6).
Starting the Transition
In the year 2015, we recommend the fossil fuel industry jump-start the transition
from fossil fuels to renewable energies by initiating a five-year advisory period. This
period is to be used primarily for educating individual fossil fuel corporations by meansof stakeholder meetings where discussions will be held over which alternate energy
sources are the most economically beneficial for each specific corporation. This will
incorporate the pros and cons of investment in energy sources such as natural gas,
solar, wind, and nuclear, along with the governments business-oriented
Projected Fuel Use by Source (quadrillion Btu)
Source: U.S. Energy Informat ion Administration
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recommendation for combined investment in natural gas and renewable technologies.
Furthermore, companies will be thoroughly versed on the fossil fuel subsidy re-
allocation plan, which will gradually transition fossil fuel subsidies to renewable
technology, transportation, and education. Each corporation is required to attend at
least one of these mediated meetings in which scientists and other experts would
present information on the technologies that could eventually guarantee the
corporations economic viability in the future while staying mindful of the environment.
The corporations will be advised on which particular industry offers the greatest
potential and viability in the future, specifically in relation to each individual corporation.
For example, fossil fuel companies in the Southeast would likely most greatly benefit
from renewable energy in the form of biomass (Fitzpatrick, Cash).The information presented at the discussions could be immediately applied, and
companies could shift to largely invest in natural gas and renewable technology
because of the profitability, environmental viability, and benefit to the public image
provided by these two sources of energy. Because of our recommendation to switch
subsidies from fossil fuels to renewable energy, fossil fuel corporations would be more
likely to inves t in renewable technology because of the money available, as well as the
opportunity to lead a field that is currently relatively small. In contrast to renewabletechnology, nuclear
technology already has
major corporations of its
own, and by investing,
fossil fuel corporations
would merely become
shareholders.
Therefore, the
opportunity for
ownership of renewable
technology is an
incentive of its own. Source:The Pew Center
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Shift to Natural Gas
We recommend oil corporations transition their investments toward natural gasas a temporary, transitional energy source in place of their current product. Natural gas
is the cleanest of all fossil fuels, releasing
about 117,000 pounds of emissions per
billion Btu 2 energy input, compared to the
208,000 pounds currently released by coal.
Additionally, natural gas exists in the
United States in much larger quantities
than oil, meaning that its use would entail
less importation of foreign oil (Resources
Naturalgas.org).
The transition away from oil to
natural gas would not run a higher risk of
endangering U.S. international relations
with oil producing countries, especially those related to the United States relationship
with OPEC (Organization of the Petroleum Exporting Countries). A switch to naturalgas would not cause a shift in the current international fuel-trade power structure
because although the United States is the 6 th largest producer of natural gas, it is
preceded by five OPEC nations who currently possess natural gas in larger quantities.
From an international standpoint, transitioning to natural gas in the short-term would
allow the U.S. to m ove away from the worst of the foss il fuels without upsetting current
oil-based relations, which are on the same path to natural gas (Natural Gas and
Technology).The Obama-Biden comprehensive New Energy for America plan in 2009 called
for a projected goal of obtaining 25 percent of our nations electricity from renewable
sources by the year 2025, as well as reducing greenhouse gas emissions by 80
percent by 2050 (U.S. Department of Energy). In order to allow for this rise in energy
from alternative, cleaner resources and to best meet the Obama-Biden plan, the fossil2 British thermal unit- energy unit equal to approximately 1.06 kilojoules. (NaturalGas.org).
Source: EPA.gov
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fuel industry should initially aim to increase their natural gas percentage from 23
percent to 25 percent via continued promotion and development of the technological,
social, and economic aspects of natural gas (Thresher and Musial).
In order to encourage consumer spending on natural gas, fossil fuel industries
should begin investing in partnership with transportation industries to build new, easily
accessible infrastructures for electric and compressed natural gas (CNG) fuel stations.
There are currently 538 electric fuel stations and 838 CNG stations in the United
States (U.S. Department of Energy). Since a barrel equivalent of natural gas ($69.56/
barrel) is cheaper than a barrel of oil ($82.50/barrel), once more CNG pumps are built,
consumers will favor the less expensive natural gas (U.S. Energy Information
Administration ). The higher demand for CNG will directly raise the production of it.Meanwhile, with the shift towards producing natural gas, fossil fuel companies also
should have decreased the combined amount of oil and coal from about 60 percent to
25 percent by 2025 (Thresher and Musial).
Coal
According to the Environmental Protection Agency, coal accounts forapproximately 50 percent of electric power generation in the U.S. (EPA Energy
Trends). The consumption of coal accounts for around 40 percent of the countrys CO 2
emissions (Gardner).
We believe the American public will need to shift to a much more anti-coal
mindset. In order to reach the United
States responsibilities in combating
climate change by reducing carbonemissions by 80 percent in America,
the coal industry is going to be
drastically cut back ( America.gov). The
fossil fuel corporations will have known
about the upcoming changes and been
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encouraged to conform to the new policies since the first five-year education phase of
our plan starting in 2010. Beginning in 2030, this cut will be fulfilled by a moratorium on
new mines to be constructed or approved; all formerly opened mines will be able to
continue being operational until they prove empty. As reallocated subsidy money is put
into renewable energy technologies to compensate for the shift, less energy demand
will fall to burning coal. We believe that the reduction in fossil fuel dependence created
by the halt of new coal operations will allow room for the renewable energy sector to
expand.
In addition, by limiting the supply of coal, we will encourage the switch from coal
to natural gas for electricity. Natural gas is an appropriate substitute and limits the CO 2
emissions of burning coal. These changes will require the above stated infrastructurechange, which should not be complicated as long as the public is educated
appropriately. These recommendations will also require the support of the coal industry
to shut down new mining operations. These changes can be extremely effective as
long as these ideas are followed.
Transportation
The transportation industry consumes about 29 percent of the total energy
usage in the United States (U.S. Energy Information Administration).
The backbone of Western society consists
of the use of cars, trucks, boats, planes, and
trains to transport people and goods, which rely
on oil for 98 percent of their transportation needs
(Americas Energy Future, p. 331). The las t fewdecades have seen a dramatic increase in
energy consumption. More than 19.5 million
barrels of oil are consumed in the United States
every day (CIA The World Factbook). Since 56
percent of petroleum to meet the U.S.s energy
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demands is imported, the United States would be faced with an energy crisis should oil
become a nonviable source of energy (Americas Energy Future, p. 211). In addition,
the threat of global warming has acted as a driver in promoting research of cleaner
transportation fuels and technologies. This has inspired many corporations and
organizations to look into new sources of energy and new technologies to fuel the
growing transportation industry. To catalyze this transformation, we recommend
enactment of new policies that are developed from governmental and industrial
cooperation.
Fossil Fuel Industry Regulation
In today's industry, it seems to be an acceptable truth that there will be safety
violations that will be followed by fines . However, the cos ts of fixing and stopped
production are less than paying the fines, so the problems are ignored and the fines
are paid, but money is still made. For example, before the mine disaster in the Upper
Big Branch mine 3, there had been 1,300 recorded safety violations (Roddy & Vivian).
When considering the recent oil spill in the Gulf of Mexico, British Petroleum (BP)
ignored its many safety violations for the simple reason that it was more profitable atthe time to be unsafe than safe (Despite Finding 200 Violations). The remedy is to
provide an incentive to make
the work space safer. We
propose fines be increased
in order to raise the level of
accountability undertaken by
corporations in energyendeavors.
The current system for
oil companies is that they
can be fined a max of
$35,000 dollars a day for a3 April, 2010 an explos ion on the Upper Big Branch Mine killed 29 people (Urbina, nyt imes.com).
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single violation until it is fixed (Wang). A similar idea for a system that could go across
all industries would seem to be necessary. But in addition to the basic standard of
$35,000 dollars a day, we recommend that 1.1 times the cost of repairing the issue be
included, as well as the cost of evaluation of the safety violations.
Vehicles
Our group considered the issue of raising fuel efficiency standards. The issue
of raising the miles-per-gallon s tandard is difficult; no company wants to be forced to
do something, even if it may help them in the end. Over the short-term, we decided to
use the standard that President Obama set at 35.5 miles per gallon by 2016 for all new
cars and light trucks (Voorhees). After 2016, we hope to encourage increasingly
efficient vehicles, so industry will raise their fuel efficiency as necessary as people
demand better gas mileage.
By 2025 we hope to see at least one million plug-in hybrids on the road, which
will significantly decrease our carbon dioxide emissions. The funding from the
subsidies and the plug-in charging stations should increase consumer demand and
pave the way for clean public and private sectors.Year 2040 will also bring in a new wave of automobile technology in the private
sector, especially in the fields of natural gas, electric and electric-hybrid (plug-in
hybrid). A natural gas vehicle currently reduces CO 2 emissions by 25 percent, while
also emitting lower numbers of toxic pollutants and particulate matter (Gable).
Compressed natural gas is also measured in gallons equivalent to that of gasoline
(Gable). Further, as oil becomes scarce and gets
more expensive, companies will have difficulty payingfor truck gas . In order to counter this economic and
ecologic hazard, we recommend that truckers switch
to natural gas as a fuel. Natural gas costs 40 percent
less than gasoline and has an 80 percent reduction in
emissions (Compressed Natural Gas).
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Plug-in hybrid vehicles (PHEV) are powered by both gasoline engines and
electrical sources and offer innovations like regenerative braking and electric motor
drive (CalCars). They currently produce 67 percent fewer greenhouse gases than
gasoline cars do, while continually getting cleaner as time progresses due to the
revolutions of the electric grid (CalCars). PHEVs can also potentially run on bio-diesel,
ethanol and other bio-fuels (CalCars).
Finally, an electric vehicle currently uses the electricity stored in a battery to
power an electric motor. Due to the use of electricity, there are no tailpipe emissionsand these cars are 99 percent cleaner than conventional vehicles, capable of cutting
emissions by 70 percent (Union of Concerned Scientists). These technologies lower oil
imports, greenhouse gases and pollution in the long run, and by the year 2040 we
recommend these technologies be incorporated into the private sector, with an
established infrastructure behind them.
Public Transportation
We recommend that a boost is given to further enhance the development of
public transportation: an E Prize. Modeled after an X prize 4 , the E Prize would be a
competition to judge the most innovative technological design for public transportation,
which includes boats, planes, buses, and trains. The challenge would be open to4 A $10 million plus grand prize given to the first team to achieve a goal set forth by the X PrizeFoundation. The goal is to benefit humanity in a new, innovative way. (X Prize Foundation, 2010).
CO2 Emissions
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individuals, organizations, and companies with a reward of one to five million dollars
provided from the redistributed subsidy funds. The competition would be judged by a
panel of professional environmentalists, economists, and
engineers paid with the help of the registration fee. The criteria
for judging would be the ecological benefits, the energy
efficiency, the simplicity to integrate into current traffic systems,
and the costs to construct and maintain. However, if none of the
submissions are adequate, a prize would not be awarded.
Alternative Fuels for Aviation
One area of concern during the transition away from oil is aviation because of
the current lack of a viable alternative. Recent rises in jet fuel prices have resulted in
extreme stress on airline companies to find a dependable alternative fuel to power their
jets. This has raised interest in algal jet fuel research, which was briefly studied in the
1990s. The International Air Transport Association (IATA) promotes research,
development, and deployment of algal fuels in jets. Its goal is for all members is to usea minimum of ten percent alternative fuels in flight by 2017 (IATA). Several companies,
such as Air New Zealand, Continental Airlines, and Virgin Airlines are currently
conducting trials with algal fuel (Bisignani).
The price of research, development, and
start-up of algal fuels as an alternative fuel for flight
could be paid for through the use of the remaining
fossil fuel subsidies. In 2020, the amount of subsidiesnot transferred to renewable energy would average
out to $2.5 billion, which allows ample room for algal
fuel investment (Snathanam).
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Nuclear Power: New Technology andIncreased Production
Nuclear power is an emission-free form of energy formed by the splitting of
atoms in a nuclear reactor. Splitting just one atom produces ten million times the
energy of the combustion a carbon atom in coal would produce
(World Nuclear). Currently there are 104 nuclear power
reactors in the United States with 35 planned new reactors.
Nuclear power supplies approximately 20 percent of the
countrys current energy demand and is responsible for a 20percent reduction in electric utility emissions of greenhouse
gasses (Lipper and Stone).
Nuclear power plants have the lowest production cost of electricity. The average
production cost of nuclear generated electricity from existing plants is 2.03 cents per
kilowatt-hour including the costs of operating and maintaining the plant, purchasing
fuel and paying for the management of used fuel (Nuclear Energy Institute).
The nations nuclear power plants are among the safest and most secure
industrial facilities in the United States with 0.13 accidents per 200,000 worker hours
(Nuclear Industry Safety). Multiple layers of physical security, together with high
levels of operational
performance, protect plant
workers, the public and the
environment (Nuclear Energy
Institute).
Given these facts, werecommend by 2050 to
generate 45 percent of the
countrys energy demands
using nuclear power.
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We also recommend a goal to have a production capacity of up to 50 percent to
account for fluctuations from renewable energy sources. In order to achieve this goal,
we propose that all 104 of the reactors in the United States be updated or refurbished
to newer generation reactors along with the production of 106 new and more advanced
reactors, as well as 50 fast breeder reactors and the corresponding infrastructure for
waste reprocessing. The plan includes the building of a national waste storage facility
for the remaining nuclear wastes generated in the U.S. in addition to the nuclear waste
accepted from around the world. Furthermore, we suggest that the construction of new
nuclear facilities take place near already existing nuclear infrastructure to avoid
unnecessary transportation and lower security costs, as well as theft risks. Funding for
these projects can be provided through industry and private investment, bank loans,and government subsidies.
Research
We recommend that during the next fifteen years, funding for research and
development of renewable and non-renewable energy sources increase. This can beaccomplished by an annual research allotment of $2.3 billion from the Department of
Energy, as outlined by the President's 2011 National Budget plan ("FY-11 Budget"). Of
the $2.3 billion total, we recommend that $1.5 billion should be allocated towards
nuclear energy research, which includes expanded research on current nuclear
technologies as well as the creation of strategies for the disposal of nuclear wastes.
The remaining $800 million can fund research for non-renewable energy sources and
basic energy-efficiency measures. We recommend a s imilar trend of increased research funding be seen in the
mid- and long-term future. Specifically, we hope to see a 25 percent increase in
research funding over 2015 levels by 2025. Similarly, we recommend an increase of 50
percent over 2015 levels by 2050. These research funds will continue to go towards
the promotion of nuclear and non-renewable energy, but will fluctuate with need. We
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expect a gradual decrease in the proportion of funds to nuclear energy and thus a
gradual increase in the proportion of funds for other renewable energies.
Timeline for Increased Nuclear Power Generation
2015
We suggest that by the year 2015 all thirteen reactors currently in the
decommissioning process 5 be upgraded to newer generation reactors (National
Regulatory Commission). At an average cos t of $1.9 billion per plant, this will increase
the production of each of these reactors by about 25 percent or enough energy to
power a minimum of 800,000 homes (Nuclear Energy Institute). In addition to the
updated reactors, we recommend construction of twelve newer generation reactors at
an estimated cost of $6 to $10 billion each. Every new plant can generate
approximately 1.5 gigawatts of electricity (GWe); this number will increase as the
technology is improved over time (World Nuclear Association). Each construction site
will create 3,500 jobs for a three to five year period while the plant is being
constructed, and about 800 permanent jobs for the operation of each plant. We alsorecommend building
ten advanced fast
reactors 6 that will use
reprocessed nuclear
waste along with the
appropriate s upporting
infrastructure such asfuel reprocessing
sites. Each fast-
breeder reactor will
generate
approximately 1.2
Fast Breeder Reactor Diagram. Source:reachingcriticalwill.org
5 Decommiss ioning is the act of saf ely remov ing the nuclear reactor from service and reducing residual radioactivityin the area ( USNRC). 6 Fast-breeder reactors: reactors that produce more plutonium than they consume (World Nuclear Association)
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GWe; again this number is subject to change as technology is improved over time
(International Panel on Fissile Materials). Also in the works should be a fission-fusion
hybrid reactor that will be used to initiate research programs aiming to increase nuclear
efficiency.To accommodate waste, we recommend a site be selected for the location of a
national nuclear waste storage facility as well as the construction of reprocessing
infrastructure to produce fuel for fast-breeder reactors. Intensive government funded
research will be an ongoing process to find new ways to recycle and eliminate
radioactive waste produced by the nuclear power plants.
2020
We suggest that an additional twelve newer generation reactors be constructed,
in addition to four more fission-fusion hybrid research reactors. These hybrid reactors,
depending on the technological advancement, can either be used to continue and
increase the amount of research being done or will be able to be used commercially in
the future. An additional thirty older generation reactors should be upgraded to newer
Source: USNRC
Nuclear Reactors in the U.S.
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generation reactors. All reactors constructed will bear in mind all appropriate measures
and infrastructure for the maintenance, reuse and disposal of nuclear waste.
Reprocessing facilities should be fully operational at this time.
2025
By 2025 we recommend that thirty more reactors should have been upgraded to
the newer generation reactors. An additional twelve newer generation reactors would
be constructed along with thirty additional fast-breeder reactors. We recommend
construction of a national storage site for nuclear wastes by this date and will be ready
to begin accepting nuclear materials. Fast breeder reactors should be using
reprocessed fuel and nuclear waste management research funded by the Departmentof Energy should prove beneficial at this time.
2030
In 2030, nuclear energy should continue to expand its production capabilities.
An additional thirty old reactors should have been updated and twenty newer
generation reactors will have been constructed. At this time nuclear generated
electricity will be producing enough energy to account for approximately 30 percent ofthe nations energy needs.
2040
Twenty-five additional newer generation reactors and ten fast-breeder reactors
should be constructed. Additionally, we suggest all remaining older generation reactors
in the United States be upgraded to newer generation reactors.
2050
We recommend that by the year 2050 an additional twenty-five newer
generation reactors will have been completed creating a total of 210 reactors and fifty
fast breeder reactors in the United States. By this time between forty and fifty percent
of the electricity in the United States will be provided by nuclear energy.
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Renewable Energy: Implementation andStorage
A competitive and diversified energy portfolio is vital to the development of
domestic industry and employment as well as national economic health. From a
technical standpoint, innovation and ingenuity give us the ability to constantly increase
the efficiency of renewable energy. Mos t renewable technologies are experiencing
annual growth rates in the double digits, many in the 20-50 percent range, easily
overtaking the current energy demand if harvested to their full potential (Sawin, 132).
In recent years, dramatic improvements in the performance and affordability of solarcells, wind turbines and biofuels have paved the way for mass commercialization
(Kammen, 87).
During the first ten months of 2009, renewable energy provided 10.5 percent of
U.S. electricity, showing the potential held by renewable energy to eventually take over
a large portion of the electricity sector (Energy Information Administration). Despite
this promising statistic, current energy policies cannot remain stagnant. In a study
conducted by the International Energy Agency, under a Business As Usual scenario,
the share of renewable sources in the worldwide energy consumption will only increase
by one percent until 2030, from 13
to 14 percent (International
Energy Agency).
Through reallocating
funding sources and providing
incentives for developing
renewable technologies, our goalis to ultimately transition the
country, and the world to an
economy based on renewable
energy. Despite current
Source: Energy Informat ion Administration
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limitations, renewable energy is the cleanest and most sustainable form of energy and
is ideal for our electricity-based global society. By the year 2050, we propose that the
renewable energy sector account for 40 percent of energy consumption in the U.S.
Creating Green Communities
We recommend that the Department of Energy set aside $1.9 billion of their $13
billion annual loan budget to support low-interest loans (at an interest rate ofapproximately 2.5 percent) for community projects designed to green their
communities. Initiatives s uch as these would empower citizens in the business s ector
to create their own sustainable projects, even before more massive action is
implemented.
Source: knowledge.allianz.com
Business as Usual
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There are many projects and initiatives like the ones above that are relatively
low cost and spread support for renewable energy in a manner that is almost viral. We
also recommend a major effort in the short-term for renewable energy -- setting up a
pilot program of charging stations in an area that is dense in electric cars. The
Departments of Energy and Transportation could make a collaborative effort on this
beginning infrastructure. Private companies that helped create this system with the
government could be offered tax credits. It will serve to advance renewable technology
by expanding the convenience for the consumer.
Wind Power
To accomplish the goal we have set for renewable energy, several sectors of
renewable energy must be expanded, including wind, solar and
geothermal. Studies have shown that with sufficient funding, wind
power could account for 20 percent of energy consumption by
2030, through utilizing 30,000 square miles in the American
Southwest. (DOE, 20% Wind). This scenario is based on a number
of primary assumptions, namely wind turbine energy productionincreasing by 15 percent and wind turbine costs decreasing by
about ten percent. For one-fifth of the nations electricity to be
provided by wind, about 300 gigawatts (GW) would have to be generated by wind.
Estimates for the direct cost to society is about $43 billion, translating to roughly about
$0.50 monthly per consumer (DOE, 20% Wind) We recommend this target, which
would require annual installations to increase more than threefold. Indeed, achieving
20 percent wind will require the number of annual turbine installations to increase fromapproximately 2000 in 2006 to almost 7000 in 2017. Costs of integrating intermittent
wind power into the grid are modest; 20 percent wind can be reliably integrated into the
grid for less than 0.5 cents per kilowatt-hour (kWh) (DOE, 20% Wind, p. 25).
No material constraints currently exist, although demand for copper, fiberglass
and other raw materials will increase. Clearly, achieving 20 percent wind is not limited
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by the availability of raw materials.
Despite the fact that raw materials
are available, the transmission and
distribution of the energy will be a
challenge. Issues related to siting and
cost allocation of new transmission
lines to access the nations best wind
resources will need to be resolved.
According to our plan, final benefits
would result in 150,000 direct jobs
and 500,000 total jobs created, and a total of $440 billion contribution to the USeconomy, as depicted below. Through this plan, an estimated 825 million tons of
carbon emissions will be reduced annually (DOE, 20% Wind, p. 34)
Job Estimates created by increasing wind power generation:
Source: DOE 20% Wind
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Solar Power
The capability of solar power is enormous.Energy from the sun is virtually unlimited, says the
Fraunhofer Institute for Solar Energy Systems which
declares that the ratio of the sunshine on the solid part
of the earth to the total power needs of the humans on
Earth in 2020 is 6:1 (Johnson, 34). In the U.S. alone,
only 2.5 percent of the solar radiation received by 250,000 square miles in the
American Southwest is necessary to match the countrys total energy consumption in
2006 (Zweibel, 64). The International Energy Agency (IEA) has reported that solar
photovoltaic and concentrated solar power together could account for about 22 percent
of global electricity production by 2050. Concentrated solar power would supply one
fifth of the solar energy. 7 The IEA also expects photovoltaic technology fitted on
residential and commercial buildings to reach grid parity by 2020. 8
Photovoltaic systems in particular show the potential for strong growth over the
next century, albeit with time and constant funding. Zweibel describes in one particular
study, solar energy could power 69 percent of the electricity demand by 2050 and 35percent of its total energy, but would require substantial investments in research and
the development of a radically different infrastructure. In this plan, 30,000 square miles
of photovoltaic arrays would be erected to provide almost 3,000 GW of power (Zweibel,
66). Compressed-air
energy storage would
be used to maintain
excess power for darkhours. A high-voltage
direct-current
transmission system
would be used to send
electricity to the7Producing c oncentrated solar power requires long, metallic mirrors to f ocus sunlight onto a fluid-f illed pipe, heatingit and then running the f luid through a heat exchanger, producing steam that t urns a turbine. Sixt een hours ofstorage would be needed for electricity to be generated f or 24 hours (Zweibel, 67).
8 Grid Parity : consistent cost-competit iveness with convent ional f oss il f uels and nuclear power (Internat ional EnergyAgency ).
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storage facilities throughout the country, which, at 2050, encompass 535 billion cubic ft
of s torage (p. 68). While this seems like an excellent solution, an exorbitant amount of
money is required to fulfill the solar grand plan within such a narrow time period. $420
billion is needed to completely over-haul the nations energy infrastructure, installing a
SmartGrid-reminiscent system suited for solar energy 9. However, if the plan were
adjusted to fit with the timeline we have created, solar power would receive enough
money from the redistribution of subsidies to easily supplement the existing renewable
energy by 2030.
9 The Smart Grid is an automated electric power system that monitors and controls grid activities, ensuring the two-way flow of electric ity and information between power plants and consumersand all points in between. Whatmakes this grid "smart" is the ability to sense, monitor, and, in some cases, control (automatically or remotely) how
the system operates or behav es under a given set of c onditions. (Smartgrid.gov).
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Geothermal and Hydroelectric Power
As further research is completed in the area of renewable energy, newtechnologies will be created and improved. By 2030, geothermal power is expected to
provide five percent of the U.S. electricity, if not more (Mims). Geothermal accounts
for a large portion of the renewable energy base of the United States. As newer and
safer methods of drilling
are developed, geothermal
power is expected to
become a major power
player in the energy
industry, more than it
already is .
Currently, hydroelectric power is responsible
for about six percent of U.S. electricity, but over the
next fifty to one hundred years, that number will
decrease ("Electric 2008", p. 11). Due to the
controversial nature of hydroelectric power and the
adverse ecological impact of dams, hydroelectricpower will be slowly phased out of the electricity and
energy sectors. Another point of contention concerns
the impending water crisis. We believe the American
public should not have to choose between clean,
renewable energy and water.
Source: Green, p.3.
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Renewable Energy Storage and Transmission
Following the five year period dedicated to education (2010-2015), our subsidyreallocation plan dictates that renewable energy technology will begin to receive at
least 60 percent of a redistributed fossil fuel subsidies. Initially, this will mean a
subsidy of $600 million in 2015. This amount will increase steadily until 2025 when
renewable energy will receive roughly $7 billion annually out of the $11.8 billion fund,
starting that year.
We suggest that the $7 billion generated from the diminished fossil fuel
subsidies will also be used to research energy storage and transmission capabilities. In
the realm of innovative ways to ease the transition to renewable energy and to
diminish the intermittency of sustainable energy, gravel batteries have been shown by
an independent UK technology firm, Isentropic, to be useful in energy storage. These
batteries were used in a hydroelectric setting. Isentropic claims the round-trip energy
efficiency of up to eighty percent and the cost of a s ystem per kilowatt-hour of storage
to be between $10 and $55
(Isentropic). The issue of energy
storage after peak hours forsunlight could also come in the
form of solar-powered
electrolyzers, splitting water
molecules into hydrogen and
oxygen. Excess daytime electricity
from solar panels can power the
electrolyzer and the gases couldthen be recombined in a fuel cell
to yield electricity, with the only
by-product being water (Johnson,
p. 50). 10
10 Some additional energy storage technologies currently being researched, past the conv entional method pumpedstorage, are a large-scale energy island offshore energy storage system, testing advanced storage technologiesf or ancillary services, an adv anced high temperature superconducting magnetic energy storage (SMES) system, ahigh temperature superconducting f ault current limiter, a compact high-temperature superconductor hydropowergenerator, a small-scale electricity storage system and flexible storage for distributed generation. In the electricitysec tor, pressurized air storage and electrochemical storage in f uel cells will cont ribute to the enhancement of thesystem (EREC, p. 8).
Electrolyzer
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In response to transmission and distribution concerns, we recommend that
money be funneled towards the research of high-temperature superconducting (HTS)
cables. Public resistance to the installation of new power lines is growing, even as the
need for more lines increases. HTS cables can carry three to five times more current
than conventional power lines can, while maintaining the diameter of the conventional
lines (American Superconductor). Composed of a ceramic-based superconducting wire
with little electrical impedance and virtually no resistive heat losses, an HTS cable is
also more environmentally friendly.
Its integration into a portion of the National Grid electric transmission system in
Albany, New York and across New England states shows promise for applications
countrywide (Moscovic).
By 2050, our renewable energy technology and production capabilities s hould
reach a level that they can account for 40 percent of all U.S. energy consumption. The
money spent on renewable energy will be used to develop these technologies, and
es tablish long-term s torage systems. These inves tments, in addition to an innovative
distribution system will make large movements towards a renewable society.
HTS CableSource: physicsworld.com
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Energy Efficiency: Commercial, Industrialand Residential Buildings
In 2008, the building sector, including residential, commercial, and industrial
structures, consumed over 70 percent of total electricity alone (Energy Information
Administration). The building sector has a vas t impact on the environment, accounting
for 38 percent of greenhouse gas emissions larger than any other sector. Buildings
also require heavy consumption of natural resources, including:
40 % of raw material use 30 % of waste output
14 % of total water consumption (USGBC).
Increasing the efficiency of buildings will not only have profoundly beneficial effects on
the environment, but can also be achieved through the process of green building.
Green building is the practice of creating and using healthier and more resource-
efficient models of construction, renovation, operation, maintenance and
demolition (U.S. EPA Green Building). According to the United States Green
Building Council (USGBC), green buildings in comparison with average buildings have:
26 % less energy needs
13 % lower maintenance costs
33% fewer greenhouse gas emissions (USGBC).
Green building
To encourage more green building practices, the United States Department of
Energy (DOE) implemented the International Energy Conservation Code (IECC).
These codes are guidelines that apply to new buildings to guarantee that newly built
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structures are energy efficient, but are not implemented by every state. Currently,
these codes are encouraged, but nevertheless are voluntary. The baseline standard
for buildings energy efficiency is the American Society of Heating, Refrigerating, and
Air Conditioning Engineers (ASHRAE) 90.1 Standard (DOE Building Energy Codes).
Even with this bare minimum, some s tates are s till not meeting these building codes.
Through enforcing regulations and promoting green building techniques, our goal is to
collectively make every building in the U.S. net-zero by 2050.
Government Funding and Loans
To avoid the excessive government spending that would normally be incurredby this sort of project, we s uggest that the government use performance contracting,
which government and other organizations already use for building renovation projects.
For example, the National Association of Energy Service Companies (NAESCO) funds
70 percent of their building projects using performance contracting (ICF International).
Using this method, businesses take out a loan, which is then paid back over a period
Green Building
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of 2 20 years using the savings gained from the installation of the energy efficient
technology ("Missouri Energy $mart Schools," ICF International). In this particular
case, we recommend the government give out three year loans between $10,000 to
$50,000 per project with an interest rate of 2.5 percent (Retro- commissioning NEMI).
Conservative estimates show that if the quota is met, $57 million in profit will go to the
federal government every three years.
The federal government will then distribute the
profit, 40 percent will go to the states (40 percent of
the profit made from each state), 30 percent will go
toward the federal budget, and 30 percent will go
toward tax credits for non-profits that support greenhousing education such as Habitat for Humanity and
Casa Verde, as well as the Alliance to Save Energy.
Of the 40 percent that will go to the states, we
recommended that states distribute the funds to electric utilities, low-income housing
projects and research grants to further encourage energy efficiency. A state will
receive this federal money only after it can officially docum ent how it plans to spend
the money in its budget.The money received from this loan system would also be used to purchase
renewable energy systems, such as solar panels or wind turbines, to meet some of the
buildings energy needs. This presents a cost
effective way for the buyers to purchase and
install these systems onto their buildings and
also generates a small amount of revenue for
the federal and state governments from
payments on the 2.5 percent interest charge.
By 2025, we propose that 33 percent of the
potentially commissionable industrial and commercial buildings should be outfitted, a
conservative m inimum of $190 million profit will be allocated to the fifty states based on
the amount of buildings that take the loans to fund education, subsidies for energy
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efficiency technologies for buildings, public education for building commissioners and
the renewable energy workforce, and grants for both on-grid and off-grid renewable
energy systems. This entire procedure could create new jobs amounting in the
thousands including building commissioners, renewable energy startup employees,
and energy efficiency technology development and distribution, all cost-neutral if not
cost-positive to the government.
Initially, we recommend the federal government give loans to each state. These
states would then distribute this fund to support the alternative energies and would
receive some revenue that would be redistributed again, creating a pool of funds to
allow continual support for the program. Eventually the revenue collected by these
loans would allow for funding into other sectors such as education and research intoalternative energy. The availability of alternative energy due to these loans will
advance the use of technologies like solar panels, as the loans make it viable for the
residential and commercial sectors to utilize them without having a lot of financial risk.
Residential, Commercial and Industrial Buildings
Based on the Department of Energys Save Energy Now program, by 2015, thegovernment needs to have converted 10 percent of all exis ting commercial and
industrial buildings to be at least 25 percent more energy efficient, (DOE Save Energy
Now). From this year forward, the federal government should be required to assist in
the renovation of 10% of the remaining commercial and industrial buildings in each
state every 3 years.
In the res idential sector, we recommend the 34 s tates that
have the ability to reach the IECC 2009 residential buildingstandard will be required to meet that standard by 2015. 11 The 16
states that are not predicted to be able to meet the IECC 2009
11 Some recommendations for states set to meet the 2009 IECC standards by 2016 South and North Dakota, Wyoming and Texas: These st ates (with the exception of Wyoming) are large agriculturalcenters and have strong potential wind energy (Agriculture receipts: Total, Wind Maps and Wind ResourcePotent ial Estimates). This can be used to help said stat es meet the 2003 IECC standards that will be the nationalminimum in 2015. Wind energy companies would rent out a portion of agricultural land (determined by the landowner and the company) for $3,000 to $5,000 per windmill (for the land required for one turbine) per year (WindPower's Cash Crop) . This would make citizens and developers more willing to build new buildings in compliancewith the IECC standards of 2003, which would allow these states to begin their required accelerated eff iciencyprograms by 2015.
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standard by 2012 should be required to develop accelerated programs that will get
these s tates to 20 percent compliance with the IECC 2009 standard by 2012, 40
percent compliance in 2013, 60 percent compliance in 2014, and so on, until they havereached 100 percent compliance with the IECC 2009 standard in 2016.
Eventually, all 50 states will be on the same minimum IECC standard, and we
recommend they also comply with the Green Points Program currently utilized in
Colorado. This program states that new residential buildings must be 30-75 percent
more efficient than the 2006 IECC levels , and have a Home Energy Rating System of
15-50 percent more efficient that IECC. New commercial buildings must increase
efficiency standards by 30 percent. (Database of State Incentives for Renewables and
Efficiency).
The National Commissioning Collaborative
To further advance and push for energy efficiency in buildings, we recommend
creating a National Commissioning Collaborative by 2025, based off of the California
Commissioning Collaborative (CCC), which follows the Department of Energys
strategy for building commissioning. 12 The CCC is a nonprofit public corporation that
advocates for and makes commissioning towards energy efficient buildings possible.
This organization makes training and education accessible so that California may
reach its goals in energy efficiency.
Through their efforts they have worked to
spread knowledge about commissioning and
make it a standardized process. Implementing
practices such as those piloted by the CCC, aNational Commissioning Collaborative will allow
for the government to observe the progress of the
nation with respect to energy efficiency in
12 Building commissioning is the process of ensuring that systems are designed, installed, functionally tested andcapable of being operated and maintained according to the owner's operational needs. Commissioning is performedin new construction projects and in major capital improvements or retrof its (California Commissioning Collaborative).
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buildings. Buildings will undergo a standardized commissioning process that will
evaluate the efficiency of the building and create a database upon which more
information can be compiled, including particular areas that are doing well and areas
where building efficiency is poor. Such an organization would stress the importance of
energy efficiency of buildings as well as create thousands of jobs throughout the nation
for the commissioning process.
Tax Incentives
We feel that a great deal must be done to encourage on site energy production
in buildings. If buildings are self-sustainable or at least can provide for the majority of
their energy needs, they are investing in Americas burgeoning renewable energy
industry and taking another step toward sustainability. Several states, such as Illinois,
have adopted a policy that will not tax more for solar energy systems than conventional
energy systems on property taxes, incentivizing purchases dramatically (Special
Assessment for Solar Energy DSIRE). We recom mend that by 2025, each state must
develop a s tandardized code for property tax incentives regarding renewable energy
systems with a minimum baseline of dropping normal property taxes of renewableenergy systems by 50 percent.
Energy Credit Systems
By continuing efforts enacted in the short term as well as implementing new
measures in this range of 2025 onward, we believe it is a feasible goal for the entire
nation to be at 35 percent net-zero energy in existing buildings by 2025. Net-zero
means that these buildings would produce as
much energy as they consumed, or receive this
energy from renewable sources, as defined by
off-site net zero energy consumption (National
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Renewable Energy Laboratory). In order to enforce thes e measures, all 50 states must
consider implementation of a renewable energy credit system similar to Illinois
renewable energy credit system (Renewable Portfolio Standard DSIRE). In this
program, all investor-owned or retail utilities will be required to meet 50 percent of a
state-mandated renewable energy quota through utility owned renewable energy
generation systems, and the rest of the s tate quota either through renewable energy
generation systems or by buying renewable energy credits traded on a state-wide
exchange. This standard can create an incentive for commercial buildings to invest in
renewable energy technologies for their building with short pay-back times, and that is
compliant with standards set at the discretion of each state. There is a risk of this
program failing unless there is buy-in from fossil fuel-run utilities.As buildings continue to become more efficient, we recommend that utility
companies should be able to run 75 percent of all buildings as net-zero nationwide by
2040. Given some leniency, the utilities do not necessarily have to produce the
renewable energy themselves but can take advantage of the renewable energy credit
system. By 2050, all buildings in the United States will be collectively net-zero, as a
result of the continued conversion of utility companies to alternative energy sources
such as nuclear and renewable energy.
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Conclusion: Looking Forward, 2050 andBeyond
By the year 2050, we will have effectivel y remodeled our nations energy
portfolio into a more sustainable and reliable one. We have effectively educated the
public, as well as fossil fuel companies, of the benefits of converting to renewable
energy. We have practically reduced the fossil fuel dependence from 75 percent to 20
percent (Greentechmedia.com). Fifteen percent of our energy will be derived from
natural gas. Another part of our final goal is to
devote five percent of our energy portfolio tooil. Renewable energy sources, especially
geothermal and solar, will account for 40
percent of our energy portfolio, and nuclear
power will conceivably account for the
remaining 40 percent of U.S. electricity
demand. With the incorporation of natural gas
and hybrid-electric vehicles into the existing
infrastructure, will continue to lesson our
dependence on foreign oil. In addition to
shifting the focus from non-renewable to more
sustainable energy sources, we will have
significantly decreased our energy consumption due to the goal of 100 percent
collectively net-zero buildings in the U.S. by this time.
Beyond 2050, we have placed other goals to secure the continued reliability and
sustainability of our nations energy. By the year 2075 we believe algal fuels will becompletely researched and implemented so that we may replace the five percent oil
sources with algal fuel sources. In addition, we will replace the 20 percent fossil fuel
sector that is comprised of natural gas and oil with renewables between 2080 and
2100, effectively eliminating fossil fuels and replacing it with sustainable, clean sources
Energy Goals 2050
Natural gas15%
Oil5%
Renew able40%
Nuclear40%
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of fuel. If current U.S. policy trends endure, more and more nuclear waste from other
nations will be transported to the U.S. for reprocessing, enabling fast breeder reactors
to reuse nuclear waste from not only the U.S. but als o from other nations to generate
electricity. In the near future a majority of the hot nuclear waste could be used as an
energy source. An example would be the use of excess heat to boil water or even
potentially using the fusion-fission hybrid nuclear waste to split water molecules to
produce hydrogen gas for use in fuel cells (NYSERDA).
After another thirty years , with roughly $200 billion from the fossil fuel subsidies,
renewable energy should be able to comfortably replace the remaining natural gas
sector, producing about 60 percent of American electricity. Again, photovoltaic power
and geothermal sources will account for the impending transition. The growth of solaras a promising source of energy is primarily policy-driven. As more policies are
implemented supporting the expansion of the renewable industry, production will
respond likewise. Eventually, the current energy transmission and distribution system
should be able to transition to a Smart Grid, utilizing distributed generation to relieve
intermittency. In conclusion, our recommendations created a system that will help our
country have a more sustainable, reliable, and healthy source of energy in the future.
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Bibliography 20% Wind Energy by 2030. U.S. Department of Energy. May 2008. Print. Available
online ."Advanced Nuclear Power Reactors | Generation III Nuclear Reactors." World Nuclear
Association | Nuclea
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