Renewable Energy Potential in Texas and Business Opportunities for the Netherlands

Total Page:16

File Type:pdf, Size:1020Kb

Renewable Energy Potential in Texas and Business Opportunities for the Netherlands Renewable energy potential in Texas and business opportunities for the Netherlands Commissioned by the ministry of Foreign Affairs 2016-2017 Renewable energy potential in Texas and business opportunities for the Netherlands Elène Lenders Wageningen University Environmental Economics and Natural Resources Group, Wageningen, The Netherlands The Netherlands Business Support Office, Houston, Texas, United States of America September 2016 – February 2017 Content 1. Introduction ........................................................................................................................................... 4 1.1. Research Question ........................................................................................................................ 4 1.2. Method .......................................................................................................................................... 4 1.3. Definition of renewable energy ..................................................................................................... 5 1.4. Units .............................................................................................................................................. 5 2. The current market situation for energy in Texas ................................................................................. 6 2.1. An independent electricity grid ..................................................................................................... 6 2.2. The main fuel types supplied ........................................................................................................ 7 3. Renewable energy in Texas ................................................................................................................... 8 3.1. Location of renewable energy resources in Texas ........................................................................ 9 3.2. Governmental measures for renewable energy in Texas ........................................................... 10 3.3. Dealing with energy storage and grid reliability ......................................................................... 11 3.4. Transmission challenges .............................................................................................................. 12 3.5. Smart grid .................................................................................................................................... 13 4. The wind energy sector ....................................................................................................................... 14 4.1. Wind power resources and capacity ........................................................................................... 14 4.2. Current state of wind development ............................................................................................ 14 4.3. Business opportunities in wind ................................................................................................... 16 4.4. Off-shore wind ............................................................................................................................. 17 4.5. Conclusion ................................................................................................................................... 17 5. Solar Energy ......................................................................................................................................... 18 5.1. Solar resources and capacity ....................................................................................................... 18 5.2. Current state of solar development ............................................................................................ 19 5.3. Business opportunities in solar ................................................................................................... 21 5.4. Conclusion ................................................................................................................................... 21 6. Biomass................................................................................................................................................ 22 6.1. Biomass resources and capacity .................................................................................................. 22 6.2. Current state of biomass development ....................................................................................... 23 6.3. Business opportunities in biomass .............................................................................................. 24 6.4. Conclusion ................................................................................................................................... 24 7. Water energy ....................................................................................................................................... 25 1 7.1. Conventional hydropower and pumped storage ........................................................................ 25 7.2. Ocean Power ............................................................................................................................... 26 7.3. Salinity gradient power ............................................................................................................... 26 7.4. Conclusion ................................................................................................................................... 27 8. Geothermal energy ............................................................................................................................. 27 8.1. Geothermal resources and capacity ............................................................................................ 27 8.2. The current state of geothermal development ........................................................................... 29 8.3. Business opportunities in geothermal ........................................................................................ 29 8.4. Conclusion ................................................................................................................................... 30 9. Nuclear energy .................................................................................................................................... 30 9.1. Nuclear resources and capacity .................................................................................................. 30 9.2. Current state of nuclear development ........................................................................................ 31 9.3. Business opportunities in nuclear ............................................................................................... 31 9.4. Conclusion ................................................................................................................................... 32 10. The Dutch energy market ................................................................................................................ 32 10.1. A liberalized energy market..................................................................................................... 32 10.2. The current renewable energy situation in the Netherlands .................................................. 33 11. Differences between the energy markets ....................................................................................... 34 11.1. The laissez-faire versus government regulation ..................................................................... 35 11.2. Entering the market ................................................................................................................ 35 12. Resource specialization ................................................................................................................... 37 12.1. Size matters ............................................................................................................................. 38 12.2. Country specific conditions ..................................................................................................... 38 13. Implications for business opportunities .......................................................................................... 39 13.1. Get to know the market .......................................................................................................... 40 13.2. Concerns about economic and political developments .......................................................... 41 13.3. Engage in municipal collaborations and partnerships ............................................................ 42 13.4. Exchange in resource specialization ........................................................................................ 42 13.5. The market demand for energy reliability............................................................................... 44 14. Management summary ................................................................................................................... 46 14.1. SWOT table .............................................................................................................................. 48 15. Conclusion ....................................................................................................................................... 51 2 16. Acknowledgements ......................................................................................................................... 52 17. Abbreviations .................................................................................................................................
Recommended publications
  • Evaluation of Sb 16 Mu Center for Business & Economic Research
    EVALUATION OF SB 16 MU CENTER FOR BUSINESS & ECONOMIC RESEARCH October 2017 Evaluation of SB 16 i EVALUATION OF SB 16 MU CENTER FOR BUSINESS & ECONOMIC RESEARCH Evaluation of SB 16 FINAL REPORT October 19, 2017 Christine Risch, MS Director of Resource & Energy Economics Calvin Kent, PhD Professor Emeritus Center for Business & Economic Research Marshall University Contact: [email protected] OR (304-696-5754) ii EVALUATION OF SB 16 MU CENTER FOR BUSINESS & ECONOMIC RESEARCH Executive Summary West Virginia Senate Bill 16, introduced in the 2017 regular legislative session would repeal 11-6A-5a of the West Virginia Code related to wind power projects. The current Code grants pollution control property tax treatment to wind turbines and towers. For property taxation, assessment of the covered facilities is based on salvage value which the statute defines as five percent (5%) of original cost. Senate Bill 16 would repeal this status for existing and future wind facilities without a grandfathering provision for either operating wind projects, or those currently under development. • Passage of SB 16 would amount to an increase in the property taxes levied on wind facilities from $2.7 million to $11.9 million, a factor of 4.4. To the industry, this would be an average increase in operating costs of 34 percent. • While it is uncertain what the impact of this policy change would be on future wind development in the State or on the probability that other industries will choose to invest here, one wind developer stopped development on two early-stage projects in West Virginia because of SB 16.
    [Show full text]
  • Who Uses the Land?
    National Park Service Bering Land Bridge US Department of the Interior Lesson Plan Who Uses the Land? The Seward Peninsula has been used for over 10,000 years. The earliest evidence of usage harkens back to Grade Level: Sixth Grade- the Bering Land Bridge, when the earliest inhabitants Eleventh Grade of this continent crossed over from Asia. This land Grade Subjects: American Indian use continues up to today, with many different groups History and Culture, Community, competing for rights to use the land. The various Government, Historic Preservation, types of usage have not always been beneficial. History, Planning/Development, Public Policy, Regional Studies, Objective Westward Expansion The students will engage in research to learn how the local environment has been used throughout history. Duration: 30-60 minutes Background Group Size: Up to 24 For background information on land use history in Alaska, visit Standards: (8) SA3.1, AH. PPE3, the following websites: AH. CC6 • Alaska history: http://www.akhistorycourse.org/articles/ Vocabulary article.php?artID=138 Land use • Native Alaskan History wiki: http://wiki.bssd.org/index. ANCSA php/Native_Alaskan_history Native corporations • ANCSA info for Elementary School age: http://www. alaskool.org/projects/ancsa/elem_ed/elem_ancsa.htm • Inuit History in Alaska: http://www.everyculture.com/multi/Ha-La/Inuit.html • History of Northwest Alaska: http://www.akhistorycourse.org/articles/article.php?artID=75 Introduction: • Point to a couple of places on a map of the United States. Picking Texas or Florida may prove to be good starting points. • Ask the students how those lands are used today? Some potential answers may include fishing, tourism and orchards for Florida.
    [Show full text]
  • The Role of Natural Gas in a Low-Carbon Energy Economy
    Briefing Paper The Role of Natural Gas in a Low-Carbon Energy Economy Christopher Flavin Saya Kitasei April 2010 Natural Gas and Sustainable Energy Initiative The Role of Natural Gas in a Low-Carbon Energy Economy* Christopher Flavin and Saya Kitasei Executive Summary Growing estimates of natural gas resources, including a new category of ―unconventional‖ gas, suggest that accessible supplies of this least carbon-intensive of the fossil fuels may be far more abundant than previously assumed. This unexpected development creates opportunities for deploying natural gas in a variety of sectors—including power generation, industry, and transportation—to help displace oil and coal, thereby reducing greenhouse gas emissions and improving air quality. Beyond providing a cleaner, market-ready alternative to oil and coal, natural gas can facilitate the systemic changes that will underpin the development of a more energy-efficient and renewable energy-based economy. For example, smaller, distributed generators, many producing usable heat as well as electricity, could generate economical, low-emission replacements for a large fraction of currently operating conventional power plants, providing flexible back-up to the variable output of the solar and wind generators that will comprise a growing share of the electric power system. All of these gains are contingent on the development of sound public policy to incentivize and guide the transition. Critical policy decisions that are now pending include: electric power regulation at the local, state, and federal levels; effective federal and state oversight of the natural gas exploration and extraction process; future Environmental Protection Agency (EPA) regulatory decisions under the U.S.
    [Show full text]
  • Wind Energy Institute 2008
    UTCLE THE UNIVERSITY OF TEXAS SCHOOL OF LAW WIND ENERGY INSTITUTE 2008 THE PREMIER GATHERING OF KEY PARTICIPANTS IN TEXAS WIND DEVELOPMENT Tuesday, February 19 – Wednesday, February 20, 2008 Austin Convention Center • Austin, Texas PLATINUM SPONSORS FPL Energy, LLC Invenergy LLC RES Americas GOLD SPONSORS AES Wind Generation • Airtricity Inc. • Siemens Power Generation • Stoel Rives LLP SILVER SPONSORS Baker Botts L.L.P. • Chadbourne & Parke LLP • Clipper Windpower, Inc. • Gexa Energy, LLC • Horizon Wind Energy Locke Lord Bissell & Liddell LLP • Lone Star Transmission, LLC • Stahl, Bernal & Davies, L.L.P. Steakley, Wetsel & Carmichael, L.L.P. • Suzlon Wind Energy Corporation • Vinson & Elkins LLP PRESENTED BY THE UNIVERSITY OF TEXAS SCHOOL OF LAW AND THE OIL, GAS AND ENERGY RESOURCES LAW SECTION OF THE STATE BAR OF TEXAS 2008 WIND ENERGY INSTITUTE Presented by The University of Texas School of Law and The Oil, Gas and Energy Resources Law Section of the State Bar of Texas February 19-20, 2008 • Austin Convention Center • Austin, Texas Earn up to 14.50 Hours of MCLE Credit Specialization Credit Expected for Oil, Gas & Mineral Law TUESDAY, FEBRUARY 19, 2008 10:45 a.m. .50 hr Presiding Officer: Power Markets and Nodal Pricing: How the New Andy Bowman, Airtricity, Inc., Austin, TX Rules will Change the Economics and Location of Wind Developments This session provides a snapshot of common methods by 7:30 a.m. Registration Opens which power is currently bought and sold in Texas, and continues with non-technical highlights of the new nodal Includes continental breakfast. pricing system, using illustrative and practical examples Edward W.
    [Show full text]
  • Renewable Energy: Wind and Solar
    Renewable Energy: Chapter | 19 Wind and Solar ❖ Can Texans harness the wind and sun and even the jobs that go with these energy sources? 600-turbine development across 336,000 Introduction acres of West Texas. Financed by Chinese In late 2009, German utility giant E.ON banks, the development will feature new constructed the world’s largest wind farm in turbines made in China and will bring the tiny West Texas town of Roscoe. The 300 temporary construction jobs and 30 Roscoe wind farm has the capacity to produce permanent jobs to the area. Renewable 781.5 megawatts — enough electricity for energy in Texas is new — and it has already every home in Plano, McKinney and the been globalized. rest of the 265,000 households in Collin These giant wind projects illustrate County. The $1 billion project in Roscoe two key trends: Texas is emerging as took 21 months to complete and employed the capital of renewable energy, and 500 construction workers, who built 627 wind foreign companies are moving fast to take turbines on the fields of 300 property owners advantage. “People in Texas think it has — land that once pumped oil. got to be conventional energy or renewable The wind turbines of West Texas spin at energy. It’s not. It’s both,” said Michael 7 miles per hour. And one turbine produces Webber, an engineering professor at the about as much electricity as 350 households University of Texas at Austin and associate consume in a year. These economics are director of the Center for International attracting more wind turbines to the state, Energy and Environmental Policy.
    [Show full text]
  • Renewable Energy in Alaska WH Pacific, Inc
    Renewable Energy in Alaska WH Pacific, Inc. Anchorage, Alaska NREL Technical Monitor: Brian Hirsch NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency & Renewable Energy, operated by the Alliance for Sustainable Energy, LLC. Subcontract Report NREL/SR-7A40-47176 March 2013 Contract No. DE-AC36-08GO28308 Renewable Energy in Alaska WH Pacific, Inc. Anchorage, Alaska NREL Technical Monitor: Brian Hirsch Prepared under Subcontract No. AEU-9-99278-01 NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency & Renewable Energy, operated by the Alliance for Sustainable Energy, LLC. National Renewable Energy Laboratory Subcontract Report 15013 Denver West Parkway NREL/SR-7A40-47176 Golden, Colorado 80401 March 2013 303-275-3000 • www.nrel.gov Contract No. DE-AC36-08GO28308 This publication was reproduced from the best available copy submitted by the subcontractor and received minimal editorial review at NREL. NOTICE This report was prepared as an account of work sponsored by an agency of the United States government. Neither the United States government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States government or any agency thereof.
    [Show full text]
  • Texas Wind Industry's Rapid Growth Creates New Challenges
    BU S I NES SEX R E V I E W A TBureau of Business Research • IC2 institute •The University of Texas at AustinSFebruary 2010 In the past decade, Texas began to harness in carbon emissions and other harmful by- Texas Wind some of its abundant wind potential and, in products associated with some conventional the process, became an international wind forms of power, decreased dependence on Industry's energy leader. The state currently accounts for foreign oil, and economic revitalization of more than 25 percent of installed wind energy rural areas, to name but a few. As compelling Rapid capacity in the United States (see Table 1). as the arguments for wind energy may be, the But while 2009 brought a new pro-renewable growth of wind energy in Texas hinges upon Growth energy administration in Washington, the industry’s ability to address issues that may increased public awareness and interest in limit future development. green technology, and an ever-expanding Creates New demand for energy, the growth of the state’s For example, although wind energy has been new installed capacity fell below 40 percent touted as a green alternative to traditional Challenges for the first time since 2006 (see Table 2, p. generation, there is growing concern about 2). While the recession-induced credit crunch the environmental impact of development by and falling natural gas prices were two obvious on certain key species. And on the political culprits, Texas faces a host of other challenges as front, while the wind industry successfully Will Furgeson avoided any major setbacks during the 81st Development Manager, it seeks to retain its position atop the domestic Invenergy wind energy market and attract the capital and Legislative Session in 2009, the industry must new jobs that the booming renewable energy navigate through another session in 2011.
    [Show full text]
  • WIND ENERGY Renewable Energy and the Environment
    WIND ENERGY Renewable Energy and the Environment © 2009 by Taylor & Francis Group, LLC WIND ENERGY Renewable Energy and the Environment VaughnVaughn NelsonNelson CRC Press Taylor Si Francis Group BocaBoca RatonRaton LondonLondon NewNewYor Yorkk CRCCRC PressPress isis an an imprintimprint ofof thethe TaylorTaylor && FrancisFrancis Group,Group, anan informa informa businessbusiness © 2009 by Taylor & Francis Group, LLC CRC Press Taylor & Francis Group 6000 Broken Sound Parkway NW, Suite 300 Boca Raton, FL 33487-2742 © 2009 by Taylor & Francis Group, LLC CRC Press is an imprint of Taylor & Francis Group, an Informa business No claim to original U.S. Government works Printed in the United States of America on acid-free paper 10 9 8 7 6 5 4 3 2 1 International Standard Book Number-13: 978-1-4200-7568-7 (Hardcover) This book contains information obtained from authentic and highly regarded sources. Reasonable efforts have been made to publish reliable data and information, but the author and publisher cannot assume responsibility for the valid- ity of all materials or the consequences of their use. The authors and publishers have attempted to trace the copyright holders of all material reproduced in this publication and apologize to copyright holders if permission to publish in this form has not been obtained. If any copyright material has not been acknowledged please write and let us know so we may rectify in any future reprint. Except as permitted under U.S. Copyright Law, no part of this book may be reprinted, reproduced, transmitted, or uti- lized in any form by any electronic, mechanical, or other means, now known or hereafter invented, including photocopy- ing, microfilming, and recording, or in any information storage or retrieval system, without written permission from the publishers.
    [Show full text]
  • Statewide Air Emissions Calculations from Wind and Other Renewables
    ESL-TR-20-07-01 STATEWIDE AIR EMISSIONS CALCULATIONS FROM WIND AND OTHER RENEWABLES VOLUME I A Report to the Texas Commission on Environmental Quality For the Period January 2019 – December 2019 Juan-Carlos Baltazar, Ph.D., P.E.; Jeff Haberl, Ph.D.; Bahman Yazdani, P.E.; David Claridge, Ph.D., P.E.; Sungkyun Jung; Farshad Kheiri; Chul Kim July 2020 Page 1 ENERGY SYSTEMS LABORATORY July 15, 2020 Mr. Robert Gifford Air Quality Division Texas Commission on Environmental Quality Austin, TX 78711-3087 Dear Mr. Gifford, The Energy Systems Laboratory (ESL) at the Texas Engineering Experiment Station of The Texas A&M University System is pleased to provide its annual report, “Statewide Emissions Calculations From Wind and Other Renewables,” as required by the 79th Legislature. This work has been performed through a contract with the Texas Commission on Environmental Quality (TCEQ). In this work, the ESL is required to obtain input from public/private stakeholders, and develop and use a methodology to annually report the energy savings from wind and other renewables. This report summarizes the work performed by the ESL on this project from January 2019 to December 2019. Please contact me at (979) 845-9213 should you have questions concerning this report or the work presently being done to quantify emissions reductions from renewable energy measures as a result of the TERP implementation. Sincerely, David E. Claridge, Ph.D., P.E. Director Enclosure . Page 2 Disclaimer This report is provided by the Texas Engineering Experiment Station (TEES) as required under Section 388.003 (e) of the Texas Health and Safety Code and is distributed for purposes of public information.
    [Show full text]
  • The Economic Value of Renewable Energy in Texas
    The Economic Value of Renewable Energy in Texas Wind Solar Alliance (WSA) American Wind Energy Association Fall 2018 Prepared by & TXP, Inc. 1310 South 1st Street, Suite 105 Austin, Texas 78704 www.txp.com Commissioned by: Wind Solar Alliance (WSA) American Wind Energy Association (AWEA) Solar Energy Industries Association (SEIA) Table of Contents Executive Summary ................................................................................................................... 1 Background: Renewables in the Texas Energy Market ............................................................ 3 Renewable Energy in Texas: Providing Revenue to Local Governments ................................. 7 Renewable Energy in Texas: Providing Revenue to Landowners .......................................... 11 Renewable Energy in Texas: Reducing Energy Costs for Customers ..................................... 13 The Model ............................................................................................................................. 13 Model Results: Impact on the Wholesale Electricity Costs .................................................. 14 Renewable Energy in Texas: Providing Well-Paying Jobs ...................................................... 17 Industry-Related Employment.............................................................................................. 17 Backward & Forward Linkages/Supply Chain ....................................................................... 17 Renewable Energy in Texas: Stimulating Economic
    [Show full text]
  • Willingness to Pay for Electricity with a $40 Carbon
    Research Team Principal Investigators Gail Buttorff, Co-Director, Survey Research Institute and Assistant Instructional Professor, Hobby School of Public Affairs Francisco Cantú, Co-Director, Survey Research Institute and Associate Professor, Department of Political Science Ramanan Krishnamoorti, Chief Energy Officer, UH Energy and Professor of Chemical and Biomolecular Engineering, Petroleum Engineering, and Chemistry Pablo M. Pinto, Director, Center for Public Policy and Associate Professor, Hobby School of Public Affairs Researchers Aparajita Datta, Graduate Assistant, UH Energy, and PhD Student, Department of Political Science Yewande O. Olapade, Post-Doctoral Fellow, Hobby School of Public Affairs Acknowledgements The research team would like to thank our colleagues at the Hobby School of Public Affairs, UH Energy, UH Marketing and Communications, and the Center for Carbon Management in Energy for supporting and actively engaging in the study. Their valuable contributions and feedback are greatly appreciated. i Executive Summary The US energy industry is in the early stages of an energy transition with a focus on decarbonization. Despite these efforts, the immense scale of decarbonization required, while providing society with more, affordable, and sustainable energy, necessitates all stakeholders to contribute to the energy transition. Governments, producers, and consumers must collaborate to advance technology, policy, and regulatory shifts, invest in low-carbon technologies, and incentivize carbon man- agement. These efforts can gain firm anchorage from public support and consumer willingness to partially cover the costs of the energy transition. At a time when climate, social, and economic concerns need urgent prioritization, public opinion will be a powerful driver of the US response on carbon management, climate change, and the future of sustainable energy.
    [Show full text]
  • Energy Resources ​ Teacher Overview ​
    UNIT 3: ENERGY RESOURCES ​ TEACHER OVERVIEW ​ Units 1 and 2 focused on energy resources and energy efficiency. They explored energy and its forms and the costs and benefits of energy resources that are currently available. Unit 3 explores in depth the energy resources that are abundant in Texas. Texas is at the forefront of the energy industry in the nation, both with natural resources and refining capacity. TEXAS ENERGY RESOURCES The State of Texas is fortunate to have a rich supply of renewable and nonrenewable energy sources. Here are some quick facts about energy in Texas according to the U.S. Energy Information ​ Administration: ​ ● In 2016, Texas was the leading crude oil-producing state, producing more than one-third of the nation’s crude oil. ● As of January 2017, the 29 petroleum refineries in Texas had a capacity of over 5.6 million barrels of crude oil per day and accounted for 30% of total U.S. refining capacity. ● Texas accounted for over 25% of U.S. marketed natural gas production in 2016, making it the leading natural gas producer among the states. ● Texas leads the nation in wind-powered generation capacity with more than 21,450 megawatts since 2014. Texas wind turbines have produced more electricity than both of the state's two nuclear plants. ● Texas is the nation's largest producer of lignite coal. About 40% of the coal-fired power plants in Texas burn lignite for electricity generation. 1 This curriculum has been developed in collaboration with Texas Christian University’s Energy Institute, the Texas Natural Gas Foundation, the State Energy Conservation Office and the Texas Regional Collaboratives at the University of Texas.
    [Show full text]