Environmental Defense Fund
Energy Innovation Series Feature #4: Solar Financing For Project SolarStrong
By Jim Marston
Throughout 2012, EDF's Energy Innovation Series will highlight more than 20 innovations across a broad range of energy categories, including smart grid and renewable energy technologies, energy efficiency financing, and progressive utilities, to name a few. This series will demonstrate that cost-effective, clean energy solutions are available now and imperative to lowering our dependence on fossil fuels.
For more information on this featured innovation, please view this video on solar financing for SolarCity's project SolarStrong.
Project SolarStrong by SolarCity is not only expected to be the largest residential solar photovoltaic (PV) project in American history if completed, but will also be a groundbreaking milestone for solar financing in the United States.
In November 2011, SolarCity – along with Bank of America and Merrill Lynch – announced Project Solar Strong, an ambitious five-year plan to build more than $1 billion in solar projects for privatized U.S. military housing communities across the country. SolarCity partners with leading privatized military housing developers to install, own and operate rooftop solar installations and provide solar electricity at a lower cost than utility-provided power. SolarStrong is expected to create up to 300 megawatts of solar generation capacity that could power up to 120,000 military homes if completed.
This project will allow privatized military housing developers to save money on energy costs that can be reallocated toward quality-of-life improvements and enhanced services for military families. SolarStrong will also help the Department of Defense (DOD)—the single-largest energy consumer in the U.S.—secure more of its energy needs from renewable sources operated in parallel with the utility grid.
SolarStrong is expected to create thousands of full-time and temporary jobs; SolarCity hopes to provide many of these jobs to U.S. veterans and military family members, which have been among those hardest hit by the economic downturn. SolarStrong is a groundbreaking innovation that demonstrates the long term viability of distributed solar generation and the potential for creative financing structures to significantly grow residential solar in the U.S..
SolarStrong’s original plan to secure a loan guarantee from the U.S. Department of Energy (DOE) did not come to fruition, but the project was fortunately able to launch without being part of the loan guarantee program. Aggressive, creative projects that confirm the viability of alternative financing structures, such as SolarCity’s SolarStrong, are paving the way to making affordable clean energy available on a significantly larger scale.
Latest news: May 17, 2012
Moving forward on Restore Act: An editorial
Editorial, The Times-Picayune (New Orleans). May 17, 2012.
"When a final transportation bill is worked out by Senate-House negotiators, Sen. Barbara Boxer says that it will include a measure to direct 80 percent of BP oil spill fines to the Gulf Coast…" (Read more)
OUR VIEW: Morganza requires knowing what is, isn't
Editorial, The Tri-Parish Times (Houma, La.). May 16, 2012.
"There is no denying it, the Morganza to the Gulf project is an impressive undertaking. It is the best imperfect plan available, designed to reduce the impact of tidal surges, slow storms from washing away marshland and delay drainage from damaging inhabited areas…" (Read more)
What is Morganza to the Gulf, anyway?
By Shell Armstrong, The Tri-Parish Times. May 16, 2012.
"We’ve been warned. Coastal Louisiana is at risk. In the event of the “Big One” – monster storms like 2005’s Katrina or a slow mover like Rita – our homes, businesses and communities are vulnerable…" (Read more)
Hurricane system cheaper as do-it-yourself project
By Casey Gisclair, The Tri-Parish Times. May 16, 2012.
"Before Hurricane Katrina tormented Louisiana in 2005, the U.S. Army Corps of Engineers’ price to build hurricane levees was steep, but somewhat doable with the right local and state budgeting, combined with help from the federal government…" (Read more)
Gateway to authorization hinges on next water bill
By Eric Besson, The Tri-Parish Times. May 16, 2012.
"December marks 12 years since the Morganza-to-the-Gulf hurricane protection system first received congressional authorization. Seven years later, it was authorized for a second time…" (Read more)
Louisianans seek mitigation reform
By Eric Besson, The Tri-Parish Times. May 16, 2012.
"Wetlands damage is a necessary byproduct of flood-protection construction, one that requires restoration efforts elsewhere to offset the environmentally negative impacts…" (Read more)
Dolphins photographed in damage assessment process
By Harlan Kirgan, The (Pascagoula) Mississippi Press. May 16, 2012.
"PASCAGOULA, Mississippi — Dolphins in the Mississippi Sound from western Horn Island to eastern Petit Bois Island have been photographed since the summer of 2010 as part of the assessment of damages from the Deepwater Horizon oil spill…" (Read more)
University At Buffalo's Shale Resources And Society Institute’s ‘Environmental Impacts During Shale Gas Drilling’ Report
The University at Buffalo's Shale Resources and Society Institute issued a report yesterday, "Environmental Impacts During Shale Gas Drilling: Causes, Impacts and Remedies," which offers a quantitative data review of Pennsylvania's regulation of natural gas development in the Marcellus Shale. The press release notes that I was a reviewer for the report.
While I was a reviewer, this does not mean that all of my suggestions were taken or that I agree with all of the report’s opinions and conclusions.
Does the report have strengths? Absolutely. Unfortunately, it is hard to find understandable, comprehensive data describing natural gas industry environmental violations and the responses taken by enforcement agencies. The University at Buffalo has done a great service by bringing such information to light for the period studied (2008 through August 2011).
At the same time, several of the opinions and conclusions in the report are questionable. These include:
- The idea that a violation isn’t an “environmental” concern if it is a violation of “paperwork” or “preventative” regulations and didn’t result in immediate, actual harm to the environment.
- Characterizing the rate of environmental violations (narrowly defined) as “low” in the first eight months of 2011 when, even using a narrow definition of environmental violation, violations were found at 26.5% of the wells drilled.
- The suggestion that the present regulatory program is effective because the incidence of “environmental violations” (narrowly defined) declined from 58.2% of wells in 2008 to 26.5% of wells in 2011.
In sum, there’s a lot of good information to be gleaned from the study, but caution should be exercised with regards to some of the conclusions.
Coastal Master Plan passes another legislative milestone
Update on Louisiana's 2012 Coastal Master Plan:
Earlier today, the Louisiana House of Representatives Committee on Natural Resources and Environment unanimously approved the 2012 Coastal Master Plan (CR 46) and Annual State Coastal Protection and Restoration Plan (CR 41). On Monday, both plans passed the House Transportation Committee by a vote of 11-0. The next and final step for the master plan is consideration by the full Louisiana House of Representatives, which will likely happen early next week.
The Coastal Master Plan lays out a bold 50-year vision for protecting and restoring Louisiana's coastal area. Earlier this month, the Louisiana State Senate passed the master plan and sent it to the House for review. Be sure to follow our Delta Dispatches blog for more updates.
EDF statement on natural gas drilling in NC
(Raleigh, NC - May 16, 2012) Today the NC Legislative Research Commission gave its approval to a proposal that would legalize hydraulic fracturing and pave the way for natural gas development in North Carolina. The proposal imposes a two-year moratorium on drilling. The following statement may be attributed to Jane Preyer, North Carolina director of Environmental Defense Fund. Contact Jane at jpreyer@edf.org or 919-740-6727.
“The proposal brushes aside laws that have protected drinking water supplies and private property rights for generations. The proposal makes sure that drilling can begin in two years, whether or not adequate safeguards for families, communities and the environment are in place. This is a bad idea."
“The proposal shifts significant responsibilities away from state environmental and public health experts to a new oil and gas industry board. The proposal is a dangerous precedent for North Carolina and a recipe for conflict.”
Ohio Senate Passes Major Energy Legislation: All Eyes On The Ohio House To Restore Provisions On Chemical Disclosure
By Matt Watson
Yesterday the Ohio Senate passed Senate Bill 315, major energy legislation that addresses a wide range of issues – including provisions relating to transparency in oil and gas operations. Unfortunately, the version that passed falls short of Governor Kasich’s ambitious call for broad chemical disclosure.
In the introduced version of the bill put forward by Governor Kasich and sponsored by Chairwoman Shannon Jones, companies would have been required to publicly disclose all chemicals used throughout the entire lifecycle of oil and gas wells – the so-called “spud to plug” approach to chemical reporting.
This comprehensive approach to chemical reporting stands in contrast to other state policies that merely require disclosure of those chemicals used in the hydraulic fracturing process. It reflects an understanding that a wide range of dangerous chemicals are used in drilling, stimulating, operating and closing wells, and regulators and the public need to know what’s being used in order to evaluate risks and put strong standards in place that protect communities and the environment. Governor Kasich deserves a lot of credit for advancing this idea in the original version of the bill.
Unfortunately, in the face of intense industry opposition the version of SB315 that passed yesterday eliminates much of the reporting that would have been required under the Governor’s original proposal.
The version of the bill that passed yesterday still has requirements for reporting the chemicals used in stimulating a well (which includes hydraulic fracturing). It also has requirements for reporting chemicals used for drilling the surface interval of a well. And it’s worth noting that the bill language for these provisions – while still needing improvements – is stronger than what was in the introduced version of the bill.
But the requirements for disclosing chemicals used for drilling beyond the surface interval were dropped – as were most of the requirements for disclosing chemicals used to service and operate the well. So, it’s now up to the Ohio House of Representatives to restore these important provisions. There’s a lot of nasty stuff that goes down a well during drilling and production. In fact, it tends to be the case that companies use increasingly dangerous chemicals the deeper they go in the drilling process. So, limiting disclosure of drilling fluids to just what’s used in the surface interval doesn’t make sense.
In addition to restoring the full “spud to plug” approach to the chemical reporting, the House also needs to add bill language ensuring that Ohio citizens can challenge any trade secret claims that companies may make to conceal the identity of chemicals. That’s just a basic necessity for policing the system and giving the public a reasonable level of confidence that companies are playing on the up and up.
Finally, the bill should be amended to begin the process of assessing and reporting the chemical composition of waste streams from oil and gas operations. Without an adequate picture of the chemical makeup of wastewater and other wastes that come from oil and gas operations, it is difficult to impossible to determine whether various methods of waste handling and disposal are protective of human health and the environment.
EDF was pleased to offer our support for the “spud to plug” concept embodied in the introduced version of the bill, but SB315 needs to be strengthened to earn our support going forward.
Transparency is just one small part of all that must to be done to ensure oil and gas operations are safe for communities and the environment, but it’s a critical piece of the puzzle that lays a foundation for developing protective rules and rebuilding the public trust. So EDF looks forward to working with our partners, leaders in the General Assembly and the Governor to make sure the final version of SB315 lives up to its full promise and sets Ohio on the right path for protecting communities and environment.
Latest news: May 16, 2012
Efforts to save coast slowed by lack of federal support
Editorial, The American Press (Lake Charles, La.). May 14, 2012.
"Remember the old joke about one of the biggest lies ever told is that the check is in the mail?
Well, that’s not a lie when in comes to Congress. And it’s no laughing matter as far as Louisiana’s efforts to save its coast and wetlands…" (Read more)
Boxer: Highway deal will include measure to funnel oil-spill penalty money to Gulf
By Andrew Restuccia, The Hill (Washington). May 15, 2012.
"A final compromise transportation package will include a provision sending billions of dollars in fines from the BP oil spill to Gulf Coast states, Senate Environment and Public Works Committee Chairwoman Barbara Boxer (D-Calif.) said Tuesday…" (Read more)
Scientists study oil's impact on birds
By Nikki Buskey, The Daily Comet (Lafourche Parish, La.). May 15, 2012.
"Some of the most memorable and horrific images of the Gulf oil spill were of birds, struggling and slathered from beak to tail in thick, chocolatey oil…" (Read more)
Managing the Mississippi River for ecosystem restoration, navigation and flood protection: A win-win-win
By Alisha A. Renfro, Ph.D., Coastal Scientist, National Wildlife Federation
The Mississippi River is one of the largest rivers in the world, carrying water, nutrients and sediment across America’s heartland, through Louisiana and into the Gulf of Mexico. The Mississippi River Hydrodynamic and Delta Management Study is a Louisiana Coastal Area project that has recently been initiated by the U.S. Army Corps of Engineers and Louisiana’s Coastal Protection and Restoration Authority. The purpose of this 5-year, large-scale study is to assess the resources of the lower Mississippi River and evaluate restoration efforts that could increase the long-term sustainability of the delta. To take serious steps toward using the river for coastal restoration, the management of the Mississippi River must be re-envisioned to regard navigation, flood protection and ecosystem restoration as equally important services provided by the river.
Integrating well-designed river diversions into the management of the river has the potential to be a win-win-win for the Mississippi River Delta: restoring the ecosystem, providing a more reliable navigation channel and bolstering the flood protection system.
The hydrodynamic part of this study will focus on compiling previous scientific research and collecting new information about river discharge, water flow, changes in the river bottom and sediment availability. The information collected will be used to inform models that replicate the current conditions of the Mississippi River from the Old River Control Structure north of Baton Rouge down to the Bird’s Foot Delta. The delta management part of this study will use the newly-developed models to assess the benefits and effects of different proposed restoration projects on the river and the nearby basins.
This study is important because it provides us with an opportunity to reevaluate how we manage the Mississippi River. Currently, the river is being managed exclusively for navigation interests, which has directly contributed to Louisiana’s coastal land loss crisis over the last 80 years. However, despite this focus on navigation, increases in the cost of dredging and decreases in the Corps of Engineers’ dredging budget have threatened to diminish the depth and width of the navigation channel, reducing the cargo capacity the ships can carry and decreasing the ability of U.S.-produced exports to compete on the world market.
Integrating well-designed river diversions into the management of the river has the potential to be a win-win-win for the Mississippi River Delta: restoring the ecosystem, providing a more reliable navigation channel and bolstering the flood protection system. Sediment diversions can mimic the natural processes that once built the surrounding delta. They can also remove sediment from the river, which reduces the need and cost for dredging in the navigation channel. During flood events, river diversions can also be used as additional outlets for flood waters, reducing pressure against the flood protection levees that protect communities and important infrastructure.
The Hydrodynamic and Delta Management Study is an important tool that will improve the understanding of the current conditions of the mighty Mississippi River and the resources available for coastal restoration. It is imperative that the information from this study be used to accelerate large-scale ecosystem restoration efforts and better manage the river for the important services it provides not only to Louisiana, but to the entire nation.
Take action: Help protect Louisiana's coast
By Elizabeth Skree
The Myrtle Grove sediment diversion is a linchpin of Louisiana's groundbreaking plan to restore the coast and repair damage inflicted by the BP oil disaster. However, the State and the U.S. Army Corps of Engineers are considering permits for the construction of a massive coal export terminal right next to this critical restoration project. Allowing these permits to proceed could stop the Myrtle Grove project in its tracks.
RAM Terminal, LLC has recently applied for permission to locate a coal export facility immediately adjacent to the location of the Myrtle Grove sediment diversion. The proposed facility will likely have a significant impact on the water and sediment flow in the river — and would therefore impact the Myrtle Grove sediment diversion’s ability to restore the surrounding wetlands and marshes.
For a state that has lost nearly 2,000 square miles of wetlands and barrier islands, Myrtle Grove represents one of the best opportunities to build and sustain our coast. By harnessing the river’s water and sediment, Myrtle Grove can sustain coastal communities and ecosystems for decades to come. Allowing the RAM coal export facility to proceed without demonstrating that it will not have a negative effect on Myrtle Grove would set a dangerous precedent. As the Coastal Master Plan moves through the State Legislature, Louisiana and the Army Corps must make restoration a top priority.
The public has been invited to comment on the project, but the deadline is close of business today!
Since the 1930s, Louisiana has lost almost 2,000 square miles of coastal wetlands and barrier islands. Not only are these vital for species such as the brown pelican, they provide critical hurricane protections for Louisiana’s coastal residents. Louisiana's 2012 Coastal Master Plan estimates that restoration projects like the one at Myrtle Grove will create as many as 800 square miles of new healthy coastal habitats for pelicans and other wildlife over the next 50 years.
Take action and tell the State of Louisiana and U.S. Army Corps of Engineers that restoring the coast is a national priority and should not be blocked due to a new coal facility.
California Needs More Reliable Water Deliveries, Not More Delta Water
The Sacramento Bee editorialized over the weekend about the Bay Delta Conservation Plan (BDCP), articulating a position similar to many in keeping an open mind about a canal or tunnel that could eliminate the need to operate the major federal and state pumps in the south Delta that are harmful to California’s fisheries and the San Francisco estuary.
The Bee put its finger on a key issue in noting that, south of Delta exporters “seem to have an expectation that BDCP can provide them with even more Delta water – more than the record high pumping of the previous decade – and that federal and state agencies will sign off on such a plan as ‘fish friendly'."
The Bee quite reasonably points out that “living in the real world” means exporters “can't keep drawing ever more water out of an estuary in collapse and claiming that flows don't matter much for the life cycle of fish. The National Research Council, among other scientific bodies, has made clear that minimum flows are essential for fish recovery, especially during dry years.”
And The Sacramento Bee editorial concludes by recommending that: “What these contractors should be seeking is what state law calls for – better reliability of water deliveries, not more total supply.” EDF could not agree more.
Which raises the interesting question: What is “better reliability” of water deliveries? And how unreliable are things today? We hear a lot about diminished reliability, but the numbers tell an interesting story:
The chart below shows State Water Project (SWP) exports south of the Delta starting in the early 1960s through last year. The green dotted line represents hydrology, or roughly, how much it rained that year:
Two things stand out:
- SWP deliveries have not been merely reliable, they have trended sharply up over time, especially during the 2000s.
- Trends aside, since the late 1980s, deliveries closely track hydrology – SWP contractors get more when it rains more.
By most measures, this record of deliveries, and increasing deliveries, has been quite reliable other than during very dry years.
Central Valley Project (CVP) Delta exports tell a similar story of relatively stable and high levels of deliveries, if not the very highest, for the last several decades:
None of which is to say that south of Delta exporters do not suffer serious consequences when there are cutbacks during drier years – of course they do. The question for the State, as the Bee so crisply puts it, is whether more reliable is the same as more.
Within the BDCP process, renewed efforts are underway to take a hard look at alternatives to Delta exports to shore up water supplies for those contractors who are among the first to be cutback during drought. The opportunities for better groundwater management, conservation, recycling, even graywater are substantial. And of course, in a state that consumes 40 million acre-feet of water on average each year, the potential for water transfers remains considerable.
