Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

PA 567 Energy Resources: Policy & Administration (NW Energy Policy & the Columbia River)

Spring 2014 (CRN 64706)

Thursdays, 6:30 – 9:40 PM

URBN 204 (Distance Learning Center Classroom) – 506 SW Mill Street

Instructor: Jeff Hammarlund

Office Hours: By Appointment Course Website: www.pdx.edu/cps/nwenergy

Phone: (503) 249-0240 Online Learning Tool: d2l.pdx.edu

E-mail: hammarj@pdx.edu

Since Jeff is an adjunct professor with another full time job, his office hours become a little difficult.

Feel free to schedule a time to speak by phone or use email. Jeff is most often available during the

evenings but he can also be available some afternoons. He will schedule some optional

brainstorming sessions to help students select their final paper topic and will schedule a optional

brainstorming session to help students think through their approach to the take home final exam

question. For more information on the instructor, see Jeff’s bio is available at the bottom of this

syllabus.

Graduate Assistant: Chris Chambers, chrischambers@pdx.edu; cell 541-609-8579

Official Course Description from PSU Bulletin

Reviews the history, politics, and institutions related to current energy policy and administration

with particular attention to the Pacific Northwest and development of hydroelectric power. National

energy policy history is reviewed including political, financial, and environmental problems.

Explores the roles of interest groups; state, local, national, and international governments; and

regional governing institutions. It explores the changing distribution of social costs and benefits as

both a cause and result of policy change. Passage of the 1980 Northwest Power Act, the Northwest

Power and Conservation Council created in the act, and the implementation of the act will be

studied, as will current issues like energy conservation, regional power planning, deregulation and

the status of institutions involved in energy policy, and Columbia basin fish and wildlife

conservation.

Detailed Course Overview

This seminar explores the extraordinary changes taking place in the energy policy arena and the

implications for the Northwest electric utility industry, its consumers, the economy, the Columbia

River, salmon, and the environment. For many years, a cheap, abundant, and reliable supply of

electricity, generated in large part from hydroelectric projects in the Columbia Basin, has been the

backbone of the Northwest economy. This power has allowed our region to compete successfully

with the rest of the nation and beyond.

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2 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

The electric power industry in the Northwest and throughout the nation has been experiencing

several decades of sweeping change. Powerful forces have been pressing for the transformation of

the nation's last major regulated monopoly toward a competitive industry. However, California's

disastrous experiences with its version of electricity deregulation and the Enron debacle have

caused many to question the benefits and liabilities of energy industry restructuring.

At the same time, supporters of smaller and greener distributed generation options have been

challenging the traditional role of centralized power plants. Key institutions such as the Bonneville

Power Administration, the Northwest Power and Conservation Council, and the utilities themselves

have been redefining themselves, and new players such as the Northwest Energy Efficiency Alliance,

Energy Trust of Oregon, the Bonneville Environmental Foundation, and Renewable Northwest

Project, and a number of consulting firms have been pushing for larger roles for energy efficiency,

green power, and renewable energy.

The Northwest Power and Conservation Council, the media, and much (but by no means all) of the

public have finally decided to take the threat of climate change seriously, and Oregon and other

Western state and provinces states are pursuing important new initiatives to curb the greenhouse

gas emissions that result from energy production and consumption. The West Coast governors

have demonstrated some leadership in identifying and addressing the causes of global warming,

and there are encouraging signs that Oregon and the Northwest may regain their former roles as

international leaders in the advancement of energy efficiency, renewable resources, and other

green power options. Energy and climate policies that have been put in place in the region so far

include renewable portfolio standards, limitations on CO2 emissions from new power plants, and

targets for overall CO2 emissions that may lead to constraints on the operation of existing power

plants.

The course begins with an overview of the nature of the Northwest energy system, its differences

and similarities with North America's other energy systems. We will give special attention to a set

of interrelated challenges and opportunities that might be called the "Northwest Energy Macro-

Problem and the Columba River."

Next we will explore the origins and history of, and the institutional context for, Northwest energy

policy: the Columbia Basin, the politics behind the creation of the BPA, the negotiation of the

original Columbia River Treaty between the US and Canada, the development of the Pacific

Northwest-Pacific Southwest Transmission Interties, the launching of the Hydro-Thermal Power

Program, the passage of the Northwest Power and Conservation Act of 1980, the role of the

Northwest Power and Conservation Council established by this Act, the restructuring of the electric

utility industry, the challenges from other regions of the country to what they contend are the

Northwest’s “special deals” and “subsidies”, and significant recent developments and controversies

affecting the Northwest’s electric power industry.

To a remarkable extent, today’s decisions about energy policy in the Northwest are rooted in and

influenced by a set of regional “deals” and institutions that emerged in 20-30 year cycles over the

last century. Each of these deals were consummated in formal laws, agreements, and rules, but

they also included less formal institutional ingredients that came out of the particular era in which

the deal was made. These less formal elements included ideas, values, images, and perceptions of

what was an acceptable problem for public policy, and what the appropriate public and private

sector roles might be in addressing these problems. In short, each of these deals reflected the

values, ideas, institutions, and policies of the era in which they emerged.

While each successive deal significantly altered the earlier ones, it would be a mistake to assume

that the earlier deals disappeared or are no longer significant. A more helpful analogy would be to

view each regional deal as an “overlay” that has been placed over but has not fully replaced its

predecessors. If we want to really understand the opportunities and barriers that the Northwest

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3 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

energy community now faces, we must first understand the region’s earlier energy policy deals and

their implications. The most successful Northwest energy policy makers and advisors are those

who have learned the art of recognizing and navigating through the remaining active components

of each deal overlay.

During our final five weeks we will delve into a number of fascinating and important current policy

topics that have captured the attention of the Northwest region's energy community. One of these

topics has already been selected by the instructor due to its fundamental nature. The class will

vote on their top five topics among the other seven candidates during the first week of class.

Guided by this poll, the instructor will determine the rest of the topics and invite the appropriate

panels of expert guest speakers.

The first policy topic relates to the very future of electric utilities. Specifically, we will examine

the implications of recent developments that some observers believe threaten the very future of

electric utilities: whether the traditional electric utility business model – marked by regulated or

locally-governed utilities that agree to serve all interested customers in a designated service

territory in exchange for the exclusive right to serve them at an authorized rate of return,

centralized power production and increasing economies of scale, the one-way flow of electricity

from large power plants through an organized transmission and distribution system to homes and

businesses, and utility revenues tied to the addition of more physical assets and the generation and

sale of more power – is still viable as we transition to the New Energy Economy.

Continuing advances in the smart grid and related communication and control technologies,

enhanced distributed generation and storage options such as solar photovoltaic cells (PV) and on-

site combined heart and power, the emergence of electric vehicle charging, and other technological

innovations are creating new opportunities for investment and value creation that are very

disruptive, especially to those utilities committed to operating under the traditional business model.

For example, nimble third party entrepreneurs are stepping in to provide new services ranging

from solar leasing to emergency back-up power systems. Microgrids and community solar projects

are emerging to help integrate and manage distributed resources at the neighborhood level. New

innovations and approaches to energy efficiency are opening the door to low and net zero energy

buildings.

What happens in a future where more customers are generating their own energy, or purchasing

very little, but still expect their local utility to provide the same reliable and resilient power delivery

system whenever they need it? We will explore this and related questions with the help of

representatives of the major stakeholders. We will also explore ways to adjust the prevailing utility

business models and regulatory structures to better align the profit incentive of utilities with the

emerging social interests of greater efficiency, a more positive environmental footprint, greener

and more sustainable energy options, and enhanced grid resiliency. We will invite experts from on

this topic to help us think through the implications and explore solutions.

For more on this policy topic, visit: www.pdx.edu/cps/the-future-of-electric-utilites

We will explore this topic with the help of some of the nation's top experts who have been

analyzing this important issue and considering possible solutions.

The other candidate policy topics are listed below. They are discussed in greater detail on the

course website (www.pdx.edu/cps/policy-topics).

Learn how the Northwest is supporting more wind generation, photovoltaic cells, and other

renewable energy options, and the challenges we must overcome to achieve even more wind

and other renewables.

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4 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Appreciate the vital role that energy efficiency continues to play in the New Energy Economy

and explore how energy efficiency programs can be even more effective.

Examine the changes to the Columbia River Treaty between the US and Canada that have been

recommended by US and Canadian parties, and consider how they might impact the Northwest

energy system.

Investigate the latest developments in energy resource planning at the regional level.

Understand the latest developments in the continuing struggle over competing visions of the

Columbia River’s primary role.

Explore “cutting edge” efforts to determine the most effective ways to allow individuals and

neighborhoods that want to take advantage of distributed generation resource options to do so

in ways that avoid placing unnecessary and inappropriate burdens on utilities, non-participating

utility customers, and taxpayers.

Examine the current debate over the economic viability of Energy Northwest’s Columbia

Generating Station, the region’s sole remaining nuclear power plant.

Explore the future of coal and coal plants in the Pacific Northwest.

The final class session will feature a presentation by Elliot Manizer, a former student in this course

who was recently named the Bonneville Power Administration's fifteenth administrator, and

selected class presentations. Assuming there is interest, we will schedule two optional field trips

soon after the class is officially over, and we will have a rip-roaring class pot-luck and party at the

Jeff Hammarlund’s home.

Course Objectives

The first half of this seminar focuses on history and institutional context. By the completion of the

first half of the course term, participants should develop a clear understanding of:

The significance of the Columbia River’s multiple benefits and implications for the Northwest

region.

The institutional history of challenges to the Northwest's ability to receive priority access to low-

cost power from the Federal Columbia River Power System, the ability of BPA to market power

at cost, and the region’s salmon recovery efforts.

The fact that many of today’s decisions about energy policy in the Northwest are rooted in and

influenced by a set of regional “deals” and institutions that emerged in 20-30 year cycles over

the last century.

o The origins and history of key Northwest energy policy debates, deals, and institutions.

These include, but are not limited to:

o Initial efforts to establish neighborhood power providers and the “battle of the currents”

o The movement toward centralized power and transmission

o The debate over whether electricity is a commodity or essential service

o The Northwest’s interpretation of relevant water resource law

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5 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

o The reasons behind the development of an unusually strong federal role in Northwest

energy policy within the Columbia Basin,

o The roles of navigation, irrigation, and the public power movement in the development

of Northwest energy policy

o The impact of the Progressive movement

o The rise and fall of the holding companies

o The evolving roles the Columbia Basin Tribes, US Army Corps of Engineers, Bureau of

Reclamation, NOAA Fisheries, and other entities that share responsibility for governing

the operations of the Columbia River

o The issues behind the creation of the Bonneville Power Administration

o BPA’s evolving roles in the region

o The drive to create consumer-owned utilities in the region

o The search for upstream storage, the establishment of the Columbia River Treaty with

Canada, and the creation of the “Northwest-Southwest Intertie”

o The development of the Hydro-Thermal Program

o The establishment of self-financing for BPA

o The reasons behind the development of the Northwest Power and Conservation Act of

1980, the roles of the Northwest Power and Conservation Council, and controversies

arising since the Act's passage

o Changes in the energy industry since the 1980's and the region’s responses.

The second half of the seminar focuses on current policy debates and explores their implications for

the future of the region’s economy and vitality of the Columbia River ecosystem. While the topics

change from year to year, we always identify their connections to the earlier historical deals and

institutions. By the completion of the first half of the course term, participants should develop a

clear understanding of:

The past and current roles and responsibilities of the Northwest Power and Conservation

Council.

The concept of integrated energy resource planning at the regional evel.

The Northwest Power and Conservation Council’s approach to its Seventh Power Plan,

including opportunities, challenges and innovations.

Strategies to identify all benefits and the full value of the energy efficiency resource.

The implications of the growth of distributed generation, including emerging threats to the

traditional utility business model.

Strategies to flatten the net load curve (that includes hour-by-hour variability of wind and solar

generation) to minimize extent to which non-intermittent resources must be available to ramp

up or down (“Teaching the Duck to Fly”)

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6 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

The multiple roles and range of institutional actors involved in advancing energy efficiency in

Oregon and the Pacific Northwest.

Three strategies to enhance renewable energy integration in the Pacific Northwest: demand

response, storage, and energy imbalance markets.

New strategies to advance the valuation and advancement of distributed and community-

shared solar in Oregon.

Competing visions of the Columbia River’s primary role in the Region.

The future of the Columbia River Treaty between the US and Canada.

The roles of the Administrator of the Bonneville Power Administration in finding the best

possible balance among competing needs and stakeholder demands.

Topics addressed in student presentations and papers.

Key Competencies Addressed in this Course

PSU’s Department of Public Administration has developed a list of “key competencies” that students

are expected to develop through their various course and experiences at PSU. The following key

competencies are supported, at least to some extent, by this course.

1. Conceptualize, analyze, and develop creative and collaborative solutions to challenge in

public policy, leadership and management.

2. Assess challenges and explore solutions to advance cross-sectoral and inter-jurisdictional

cooperation in public programs and services.

3. Demonstrate verbal and written communication skills as a professional and through

interpersonal interactions in groups and in society.

4. Think critically and self-reflectively about emerging issues concerning public service

management and policy.

Graduate and Professional Development Students

This course was created at the mid-1980s at the request of Peter Johnson, BPA’s Administrator at

the time. It has always been intended and designed to serve two key audiences:

Graduate students from a wide range of disciplines at PSU and other local universities who are

interested in understanding how and why our region’s energy policy has reached its current

state, what our region’s current energy policies are, where they seem to be going, and why that

is important.

Mid-career professionals already working in the energy field, and others interested in advancing

their careers or just learning more about this fascinating subject.

Course expectations are very different for these two groups of students. Students taking this

course for graduate credit are expected to attend most if not all class sessions and complete all

assignments on time. If graduate credit students know in advance that they will not be able to

complete an assignment on time, they should alert the instructor negotiate an extension well in

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7 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

advance. With the exception of Assignment 1 (vote on policy topics and personal bio), which is

required for all course participants, professional development students are not expected to take the

exams or write papers, although they are welcome to do so if they wish. They are expected to

make a strong effort to read significant portions of the course readings, attend as many sessions as

they can in person, watch sessions that they must miss by accessing the recordings of the session

through our Media Achieve and, steaming them at their convenience on their computers. They are

also expected to listen to the student presentations during the final class session and are

encouraged to participate in class discussions and question and answer sessions with our guest

speakers.

Course Expectations for all Students

Attendance at all class sessions is strongly encouraged. Please come to class on time. If you are

going to be absent from class please notify me by e-mail prior to class. This is a hybrid course

designed to serve both graduate students and mid-career professionals. Many mid-career

professionals have job assignments involving out-of-town travel that will make it impossible to

attend all sessions. We have made it as easy as possible for all students who must miss session to

keep up through our Media Achieve. Each class and presentation will be captured, stored, and

made available for steaming. All registered students will receive a links on Friday to the class from

the previous evening plus all previous class sessions. Students who don't live in the Portland

metro area can stream the class at a time that is most convenient for them. Any student who is

unable to attend a class session due to work responsibilities or other reasons will be able to use the

Media Archive to "catch up" on missed sessions. The Media Archive will also be helpful for those

students who might want to review a topic they may not have understood during the original class

session.

The use of cell phones, Blackberry devices, iPhones, and MP3 players are prohibited from the

classroom environment. If you have a special circumstance that requires you to monitor a cell

phone and/or pager please inform me. The use of notebook computers to facilitate learning is

permitted. During class, however, you must refrain from engaging in any non-class related

activities. Your attention is to be fully directed toward class activities.

Academic Integrity All course participants are expected to abide by PSU’s policy on academic integrity

(http://www.pdx.edu/dos/conductcode). Plagiarism and other forms of academic dishonesty will

results in a grade of a zero for the work involved. If, in the judgment of the instructor the case

warrants it, a course grade may result in an “F” and/or referral to the University for further action.

A course syllabus may be considered as a contract between the professor and the students. This

syllabus includes all expectations for performance in the class, including deadlines for assignments.

If you have questions about any of these expectations, please ask them sooner rather than later.

Any changes in the course requirements or schedule will be communicated in class.

Accommodation Students in need of accommodations due to a disability should notify the instructor as soon as

possible to arrange appropriate support.

Assigned Readings and Texts

Jeff Hammarlund (ed), Energy Resources Policy and Administration Class Reader, 2014

o Available from REDePrintNShop beginning March 28. 1915 SW Sixth Avenue, on campus,

503-227-6137; info@redeprintnshop.com. Best to call or email at least an hour before

you arrive to ensure that a copy has been made and set aside for you.

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8 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Jeff Hammarlund (ed.), Northwest Electricity Issue of Oregon’s Future Journal, Spring,

2002.

o Distributed in class - $3.

Amory Lovins and the Rocky Mountain Institute, Reinventing Fire: Bold New Business

Solution for the New Energy Era, 2011.

o Available at PSU Bookstore and on-line booksellers.

Daniel Ogden, Jr., The Development of Federal Power Policy in the Pacific Northwest,

Volume 1. (Selected chapters from 1949 Ph.D. dissertation)

o Available for free download on D2L.

Daniel Ogden, Jr., The Development of Federal Power Policy in the Pacific Northwest,

Volume 2, 2012.

o Distributed in class - $15.

Public Power Council, Public Power Chronicle, 2002.

o Available for free download on our website (www.pdx.edu/cps/nwenergy) or on D2L

(d2l.pdx.edu)

Bob Shively and John Ferrare, Understanding Today’s Electricity Business, 2012.

o For a significant cost savings, go to the Enerdynamics website to order this book

(http://www.enerdynamics.com/energy-industry-training-books.asp). Use coupon code:

PDX2014. The price will be reduced from $69.95 to $29.95 plus $5 for shipping and

handling. This coupon code expires on May 31.

Additional readings will be posted on our on-line course website (D2L), and through web links

throughout the quarter.

The Instructor and Guest Speakers

Jeff Hammarlund, the lead instructor, is a senior fellow and program manager for the New

Energy Economy Program at the Center for Public Service. He is also an adjunct associate professor

at the Mark Hatfield School of Government and the president of Northwest Energy and

Environmental Strategies consulting firm.

Jeff serves on the executive board and chairs the Oregon Caucus of the NW Energy Coalition-an

alliance of more than 110 environmental, civic, faith, and human service organizations, progressive

utilities, and businesses in Oregon, Washington, Idaho, Montana, Alaska and British Columbia that

promotes the development of renewable energy and energy conservation, consumer protection,

low-income energy assistance, and fish and wildlife restoration on the Columbia and Snake rivers.

He also serves on the boards of Smart Grid Oregon, Oregon HEAT, and the Oregon Interfaith

Network for Earth Concerns. Jeff is a member of the Demand Response Task Force established by

the Western Interstate Energy Board, the State-Provisional Steering Committee, and the Western

Governor's Association. In the fall of 2013, He was invited to chair the Forum on Energy Storage,

Demand Response, and Smart Grid Technologies at a major conference in China called New

Energy Forum: From Green Dream to Reality. He has since been working with senior Chinese

energy officials to help develop a road map for how the smart grid, demand response and energy

storage can help China integrate more renewable energy and move away from coal-based thermal

plants. He played a major role in the recent creation and funding of the Pacific Northwest Center of

Excellence for Clean Energy, a regional consortium funded in part by the US Department of Energy.

Earlier in his career, Jeff held senior staff positions with the U.S. Senate Energy and Natural

Resources Committee (during the passage of the Northwest Power and Conservation Act) and the

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9 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Department of Energy, and has served as an advisor to President Jimmy Carter, Vice-President Al

Gore, and President Barrack Obama’s energy transition team. He has been a senior manager for

conservation services for Southern California Edison and senior policy analyst for the Public Power

Council (a Northwest utility trade association), and has consulted with utilities, environmental

groups, and government agencies throughout the nation. In 2010, he served on one of the

workgroups for the Governor’s Ten Year Energy Plan and was the primary author of one of the

reports that resulted from that effort.

A former guest scholar at the Brookings Institution and a recipient of two advanced degrees from

the University of Wisconsin-Madison, Jeff is currently working on a Ph.D. dissertation through that

university on the politics of salmon recovery and hydropower production in the Columbia Basin. He

is co-author of The Political Economy of Energy and numerous professional and academic articles.

He will be joined by a stellar list of guest presenters who will help us understand current public

policy issues impacting Northwest energy policy and administration during the second half of the

course. Our final guest speaker will be Elliot Mainzer, a course alumnus who was recently named

the fiftieth Administrator of the Bonneville Power Administration. The other guest speakers will be

invited based on the current policy topics the students in the class decide to address during our

first week of class.

These guest speakers include:

Joe Barra, Senior Consultant for Business Model Development, Portland General Electric

Charlie Black, Director, Power Division, Northwest Power and Conservation Council

Scott Corwin, Executive Director, Public Power Council and Member, Columbia River Treaty

Power Group

Scot Davidson, Vice President, strategy and Market Development, Clean Energy Works

Oregon

Ken Dragoon, Managing Consultant, Ecofys

John Harrison, Information Officer, Northwest Power and Conservation Council

Kathy Eichenberger, Executive Director, Columbia River Treaty Review Team, British

Columbia Ministry of Energy and Mines

Fred Gordon, Director of Planning and Evaluation, Energy Trust of Oregon

Charlie Grist, Senior Analyst, Northwest Power and Conservation Council

Jeff Harris, Director, Technology and Market Strategy, Northwest Energy Efficiency Alliance

Jim Lazar, Consulting Economist, Microdesign Northwest, and Senior Advisor, The

Regulatory Assistance Project

Jim Heffernan, Policy Analyst-Columbia River Treaty, Columbia River Inter-Tribal Fish

Commission

Elliot Mainzer, Administrator, BPA

Dr. Kathleen Newman, Co-founder, Oregonians for Renewable Energy Progress

Dr. Michael O’Brien, Policy Associate, Renewable Northwest

Rick Pendergraff, Acting Vice President, Generation Asset Management, and Co-Coordinator,

Columbia River Treaty, BPA

Rick Rolf, former Senior Advisor on Columbia River Treaty, BPA

Rachael Shimshak, Executive Director, Renewable Northwest

Tom Starrs, Vice President, Market Strategy and Policy for SunPower Corporation

Mark Symonds, Market Design, Strategy Integration, BPA

Josh Warner, Manager, Energy Efficiency Planning and Evaluation, BPA

Jamie Valdez, Renewable Energy Specialist, City of Portland

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10 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Course Schedule and Syllabus (final draft)

Following is the general schedule for each class session. Details of course content are subject to

change.

Part 1 Introduction – Jeff Hammarlund and Class Participants

Week 1: April 3, 2014

A. Course Plan and Requirements

Overview of seminar, class requirements, optional field trips

B. Historical Overview of Northwest Energy Policy and the Columbia River

View DVD: BPA’s BPA and the Struggle for Power at Cost

Priority Reading

None

Class Assignment

See Class Assignment 1 (vote on policy topics and personal bio) in Week 1 and Dropbox on D2L.

Note: this is the only assignment where a response is expected of all students (graduate and

professional development students). It is due on April 7 prior to 5 pm.

Week 2: April 10, 2014

C. Overview of the Benefits of the Columbia River and Challenges to these Benefits: The

“Northwest Energy Macro-Problem and the Columbia River” – Jeff Hammarlund

Uses and benefits of the Columbia River:

o Hydropower

o Navigation

o Irrigation

o Flood control

o Water supply

o Fish and wildlife

o Recreation

o Personal and spiritual values

Historical Threats to the Continuation of the Northwest's Priority Access to Region's Low-Cost

Hydropower and Salmon Recovery

o Northeast-Midwest states

o California

o Nationalization of salmon recovery and dam breaching issue

o Electric restructuring and disconnect between national and Northwest models of

energy planning

o Mergers and acquisitions

o Ourselves

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11 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Class Assignment

See Class Assignment 2 under Week 2 and Dropbox on D2L. This is required for graduate

students and optional for professional development students. It is due on April 10 prior to 5 pm.

Priority Reading

Links:

View on-line: the Northwest Power and Conservation Council’s DVD’s - Place and Power: The

Evolution of the Northwest’s Energy System and River of the West. Links: NW Power and

Conservation Council Place and Power Part 1 and NW Power and Conservation Council Place and

Power Part 2

Bruner, (Forbes), The High-Stakes Math Behind the West’s Greatest River

http://www.forbes.com/sites/jonbruner/2011/10/20/the-high-stakes-math-behind-the-wests-

greatest-river/ (also available as a PDF on D2L, week 5)

Books and handouts:

Oregon’s Future-Hammarlund, Oregon’s Role as an Energy Innovator: A Historical Perspective

and Energy in Oregon and the Pacific Northwest.

Shively & Ferrare, sections 1-2.

Ogden, Vol. 1, chapters 3-5.

Class Reader:

Hammarlund, California’s Search for Energy Incites Fear in the Northwest, San Francisco

Chronicle (found toward the back of Class Reader).

Class Public Website: http://www.eli.pdx.edu/energy/resources.php

Public Power Chronicle, chapter 1; the entire book is also available on D2L under Week 2

readings.

Links:

EIA, Rankings: Average Retail Price of Electricity to Residential Sector, December 2013

http://www.eia.gov/state/rankings/?sid=US#/series/31

EIA, Rankings, Carbon Dioxide Emissions by State

http://www.eia.gov/state/rankings/?sid=US#/series/226

EIA, Idaho Electricity Profile (overview, data & analysis)

http://www.eia.gov/electricity/state/idaho/

EIA, Idaho Energy Profile (overview, data & analysis) http://www.eia.gov/state/?sid=ID

EIA, Montana Electricity Profile (overview, data & analysis) http://www.eia.gov/state/?sid=MT

EIA, Idaho Renewable Electricity Profile http://www.eia.gov/renewable/state/idaho/

US DOE, Idaho Wind Energy Potential

http://www.windpoweringamerica.gov/wind_resource_maps.asp?stateab=id\

EIA, Montana Energy Profile (overview, data & analysis) http://www.eia.gov/state/?sid=MT

EIA, Montana Renewable Electricity Profile http://www.eia.gov/renewable/state/montana/

US DOE, Montana Wind Energy Potential

http://www.windpoweringamerica.gov/wind_resource_maps.asp?stateab=mt

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12 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

EIA, Washington Electricity Profile (overview, data & analysis)

http://www.eia.gov/electricity/state/washington/

EIA, Washington Energy Profile (overview, data & analysis) http://www.eia.gov/state/?sid=wa

EIA, Washington Renewable Electricity Profile

http://www.eia.gov/renewable/state/washington/index.cfm

US DOE, Washington Wind Energy Potential

http://www.windpoweringamerica.gov/wind_resource_maps.asp?stateab=wa\

EIA, Oregon Electricity Profile (overview, data & analysis)

http://www.eia.gov/electricity/state/oregon/

EIA, Oregon Energy Profile (overview, data & analysis) http://www.eia.gov/state/?sid=OR

Oregon Renewable Energy Profile http://www.eia.gov/renewable/state/oregon/index.cfm

US DOE, Oregon Wind Energy Potential

http://www.windpoweringamerica.gov/wind_resource_maps.asp?stateab=or

BPA, BPA Facts, April 2013 http://www.bpa.gov/news/pubs/GeneralPublications/gi-BPA-

Facts.pdf

Corps of Engineers, BPA, and Bureau of Reclamation, Federal Columbia River Power System

http://www.bpa.gov/power/pg/fcrps_brochure_17x11.pdf

BPA, Map of Public, Tribal, and IOU Customers http://www.bpa.gov/news/pubs/maps/BPA-

Public-Tribal-and-IOU-Customer-Service-Areas.pdf

BPA, Map of Oregon Public Utilities, Cooperatives and Municipalities

http://www.bpa.gov/news/pubs/maps/OR%20state%20public%20municipalities.pdf

BPA, Map of Washington Public Utilities, Cooperatives and Municipalities

http://www.bpa.gov/news/pubs/maps/WA%20state%20public%20municipalities.pdf

BPA, Map of Idaho BPA Public, Tribal and IOU Customers

http://www.bpa.gov/news/pubs/maps/ID%20state%20public%20tribal.pdf

BPA, Map of Montana State Congressional Districts, Public Utilities, Cooperatives and Municipal

Utilities http://www.bpa.gov/news/pubs/maps/MT%20state%20public%20municipalities.pdf

BPA, Map of BPA Transmission Lines http://www.bpa.gov/news/pubs/maps/BPA_Tlines_all.pdf

BPA, Major Dams in the Columbia River Basin

http://www.bpa.gov/news/pubs/maps/CRB_Dams.pdf

BPA and US Army Corps of Engineers, Columbia River Treaty Review, Map of Columbia River

Watershed Dams http://www.crt2014-2024review.gov/Files/CRT_Dams_w_Labels_24x36.pdf

BPA, Map of Transmission Lines and Major Dams

http://www.bpa.gov/news/pubs/maps/Tlines_Dams_SAB.pdf

BPA, Map of Northwest Utility Control Areas

http://www.bpa.gov/news/pubs/maps/NW_Utility.pdf

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13 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Additional Recommended Reading

Links:

John Harrison-NWPCC, Columbia River History Project http://www.nwcouncil.org/history/index/

Public Power Council, Glossary of Terms http://www.ppcpdx.org/in-glossary.html (you will want

to refer to this glossary throughout the quarter

D2L:

Hammarlund, Draft Long Version of Oregon’s Role as an Energy Innovator

Part 2: The History of Energy Policy Development in the Pacific Northwest – Jeff Hammarlund

Week 3: April 17, 2014

A. The Impact of the Columbia River on the Northwest Region

B. The origins of Northwest power policy

The creation of a “policy monopoly”

The Northwest’s interpretation of water resource law; who owns the river?

The debate over whether electricity is a commodity or essential service

The development and implication of the “regulatory compact”

The Northwest’s resource base

The impact of the Progressive Movement

The early role of the Corps of Engineers in the Northwest

The “three thrusts” leading to the federal development of the Columbia River

1. Navigation

2. Public Power Movement

3. Irrigation

Building Bonneville and the Grand Coulee dams

Priority Reading

Class Reader:

Hammarlund, Northwest Forum on Preserving the Benefits of the Columbia River Conference

Background Paper

Media Packet, and conferences speeches by Senator Mark Hatfield and Northwest Power and

Conservation Council Chair Larry Cassidy.

Hammarlund and Northwest Forum Planning Committee, An Inventory of Challenges to the

Benefits of the Columbia River.

Hammarlund, Governance and the Columbia River: Where Are We Going? Conference

Background Paper.

Blumm, The Northwest’ Hydroelectric Heritage, section 1-3.

Books and handouts:

Public Power Chronicle, chapter 1-3.

Ogden, Vol. 1 chapters 6, 7, and 9.

Shively & Ferrare, sections 3, 4 & 8

BPA, Power of the River, Essay: an Unlikely Combination –Woody Guthrie & BPA, p. 63

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14 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

D2L:

Reading Packet on External Threats to BPA, Regional Preference and Cost Based Rates (read

Munson’s Rethinking Bonneville skim the rest, focusing on articles that peak your interest),

Harding, Bonneville and West Coast Electric Markets (A Response to Munson).

Munson, Bonneville in Crisis (skim).

Reading Packet on the Debate Over Snake River Dam Breaching (skim, focusing on articles that

pique your interest),

Links:

Corps of Engineers, BPA, and Bureau of Reclamation, The Columbia River System Inside Story,

http://www.bpa.gov/news/pubs/GeneralPublications/edu-The-Federal-Columbia-River-Power-

System-Inside-Story.pdf

US Entity, Current River and Reservoir Operations (a backgrounder for the Columbia River

Treaty Review, which we will explore later in the course) http://www.crt2014-

2024review.gov/Files/Columbia%20River%20Treaty%20Review%20-%20Fact%20Sheet%20-

%20Current%20operations-%20FOR%20PRINT.PDF

BPA, 70 Proud Moments in BPA’s Early Years

http://www.bpa.gov/news/pubs/GeneralPublications/gi-70-proud-moments-in-BPA-70-

years.pdf

BPA, Committed to Northwest Values http://www.bpa.gov/news/pubs/GeneralPublications/gi-

BPA-Committed-to-NW-Values.pdf

Additional Recommended Reading

Class Reader: -NWPCC, Roll On, Columbia; Hammarlund, Energy Restructuring in the Pacific

Northwest: Where Are We Going? Conference Background Paper; Oregon’s Future-Senator Derfler,

Regionalization of BPA: An Idea Whose Time Has Come and Leon, BPA Regionalization: A Well-

Intentioned Mistake.

Week 4: April 24, 2014

C. The Bonneville Project Act of 1937

Key issues in the debate

The creation of the Bonneville Project as a ”temporary solution”

The critical role of J.D. Ross, BPA’s first administrator

D. Policy development during World War II and immediate post war

The drive to launch publicly owned utilities in the Northwest

The wartime power pool

Post-war river development

The direct service industries

Another drive for a Columbia Valley Authority

E. The struggle for upstream storage

The Corps of Engineers' Revised 308 Report of 1948

The Hells Canyon Fight

The Columbia River Treaty with Canada, the Coordination Agreement, and the Northwest-

Southwest interties

The Regional Preference Act

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15 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

The Grand Coulee Third Power House

o The Columbia Basin Account

o The Water Supply Act Formula for setting interest

Priority Reading

Class Reader:

Blumm, The Northwest’ Hydroelectric Heritage. Sections 4-5 (available in week 3 readings).

Blumm, Risk Management and Northwest Electric Power Planning: Some Lessons from the

Rearview Mirror.

Hammarlund, The Costs of Six Thermal Plants Constructed Under Phase I of the Hydro-Thermal

Program.

NWPPC, Shipping Power South and The Intertie Issue.

Hemmingway, The Northwest Power Planning Council: Its Origins and Future Role.

Cavanaugh, Electrical Energy Futures.

Luce, When the Walls Come Tumbling Down: The Demise of the Northwest Power Act.

NWPCC, Wanted: A Good Crystal Ball.

BPA, Issue Alert: How BPA Repays the Federal Investment in the Federal Columbia River Power

System.

Books and handouts:

Public Power Chronicle, chapters 4-5.

Shively & Ferrare, sections 5-7.

Ogden, Vol. 2, chapter 13-14

Links:

NWPCC, Pocket Guide-Fast Facts about the Columbia River Basin

http://www.nwcouncil.org/reports/brochures/pocket-guide/

US Army Corps of Engineers and BPA, Columbia River Treaty History and 2014/2024 Review

http://www.bpa.gov/news/pubs/GeneralPublications/crt-Columbia-River-Treaty-History-and-

2010-2024-Review.pdf

US Entity, The Columbia River Treaty: Its Purpose and Future http://www.crt2014-

2024review.gov/Files/Columbia%20River%20Treaty%20Review%20-

%20Purpose%20and%20Future%20Fact%20Sheet-FOR%20PRINT.PDF

US Army Corps of Engineers and BPA, Columbia River Treaty History and Treaty Review

http://www.crt2014-

2024review.gov/Files/Columbia%20River%20Treaty%20Slide%20A%20package.pdf

Columbia River Treaty Review, Treaty Timelines http://www.crt2014-

2024review.gov/Files/TreatyTimeline.pdf

BPA and US Army Corps of Engineers, Columbia River Treaty Fact Sheet http://www.crt2014-

2024review.gov/Files/TreatyFactSheet.pdf

Province of British Columbia, Columbia River Treaty Review Treaty Highlights and History

http://blog.gov.bc.ca/columbiarivertreaty/about/

NWPCC, An Introduction to the Columbia River Treaty http://www.nwcouncil.org/reports/2011-

12/

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16 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

NWPCC, A Brief History of the Federal Columbia River Power System And Power Planning in the

Northwest http://www.nwcouncil.org/reports/financial-reports/2011-10

Additional Recommended Reading

Class Reader-Harrison, A Matter of Trust; NWPCC, Dam Dilemma; NWPCC, The Great Electric

Rate Shock

Links: Hyde, Columbia River Treaty Past and Future http://www.crt2014-

2024review.gov/Files/10Aug_Hyde_TreatyPastFuture_FinalRev.pdf

Week 5: May 1, 2014

F. The hydrothermal program

Phase I

Phase II

Search for a congressional solution

G. Self-financing for Bonneville and subsequent repayment reform efforts

The Federal Columbia River Transmission System Act of 1974

Repayment reform efforts and attempts to sell the power marketing authorities

Refinancing BPA debt

H. BPA's transfer to the Department of Energy

Department of Energy Act

BPA as a model for other power marketing agencies

Rate reviews

I. The Pacific Northwest Power Planning and Conservation Act

Issues leading up to the Act

Key provisions

The roles of the Northwest Power Planning Council (now called Northwest Power and

Conservation Council)

Planning in- the face of uncertainty

BPA's new roles and obligations

WPPSS and its problemshttps://d2l.pdx.edu/d2l/le/content/461736/viewContent/1629341/View

Priority Reading

Books:

Ogden, Vol. 2. chapters 15-18.

BPA, Power of the River, chapter 1-3

Shively & Ferrare, sections 8-10

Public Power Chronicles, chapter 6

Class Reader:

Blumm, The Northwest’ Hydroelectric Heritage. Section 6;

NWPCC, Five Years with the Northwest Power Act (skim);

Colette, A Decade of Enormous Change (skim);

Collette, Least-Cost Concept Catching On;

Collette, The Power Plant Called Efficiency;

BPA, New Means to Old Ends: Reinventing BPA;

Collette, Interview with Charles Collins;

NWPCC, Putting It All Together;

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17 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

NWPPC, Northwest Energy System: Yesterday/Today/Tomorrow;

Duncan and Hammarlund, Comprehensive Review Stakeholders Objectives and Concerns Matrix

Hammarlund, Utility Deregulation and the Environment: Exploring the Connection;

Links:

Comprehensive Review Steering Committee, Final Report of the Comprehensive Review of the

Northwest Energy System http://www.nwcouncil.org/reports/96-26/

BPA, Fact Sheet: A History of BPAs’ Residential Exchange Program

http://www.bpa.gov/corporate/pubs/fact_sheets/07fs/fs061507.pdf.

USACE and BPA, Columbia River Treaty History and 2014/2024 Review

http://www.bpa.gov/corporate/pubs/Columbia_River_Treaty_Review_-_Feb_2009.pdf

NWPPC, An Introduction to the Columbia River Treaty http://www.nwcouncil.org/reports/2011-

12/

United States Entity, A Regional Conversation Begins http://www.crt2014-

2024review.gov/Files/ColumbiaRiverTreatyFactSheet-ReportKickoff.pdf

British Columbia Ministry of Energy, Columbia River Treaty

http://www.empr.gov.bc.ca/EAED/EPB/Pages/CRT.aspx

NWPPC, Interview with Garry Merkel, Columbia Basin Trust

http://www.nwcouncil.org/media/25594/merkel.pdf

NWPPC, Reassessing the Columbia River Treaty: An Interview with BPA’s Steve Oliver)

http://www.nwcouncil.org/media/25597/oliver.pdf (Note: unfortunately, only a part of the

interview is currently on-line; I have a message into the Council staff asking them to fix it)

British Columbia Ministry of Energy, Columbia River Treaty

http://www.empr.gov.bc.ca/EAED/EPB/Pages/CRT.aspx

Columbia Basin Trust, An Overview-Columbia River Treaty

http://www.cbt.org/crt/assets/pdfs/CRTbrochure.pdf

D2L:

Columbia Basin Tribes, Common View on the Future of the Columbia River Treaty

Additional Recommended Reading

Links:

US Army Corps of Engineers and BPA, Columbia River Treaty History and 2014/2024 Review

http://www.bpa.gov/corporate/pubs/Columbia_River_Treaty_Review_-_Feb_2009.pdf

Hyde, Columbia River Treaty Past and Future, http://www.crt2014-

2024review.gov/Files/10Aug_Hyde_TreatyPastFuture_FinalRev.pdf

British Columbia Ministry of Energy and Mines,

http://www.empr.gov.bc.ca/EAED/EPB/Documents/ColumbiaRiverTreatyReviewNov13(web).pdf

British Columbia Ministry of Energy and Mines, History of the Columbia River

Treaty, http://blog.gov.bc.ca/columbiarivertreaty/history/

Columbia Basin Trust, An Overview: Columbia

River Treaty, http://www.cbt.org/crt/assets/pdfs/CRTbrochure.pdf

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18 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Columbia Basin Trust, Short video called Why Does It

Matter? http://player.vimeo.com/video/29972916?title=0&byline=0&portrait=0

Books and handouts:

Public Power Chronicles, chapters 7-8

Ogden, Vol. 2, chapters 19-22

BPA, Power of the River, chapters 4-8

Class Reader:

Walker, Selling Super Good Cents;

Collette, Efficiency Prevails;

Curtis, A Marriage of Past and Future;

Nybo and Hammarlund, The New Energy Economics in Montana and the Region;

Hammarlund, Trade Allies: Long Haul Partners;

D2L:

Hammarlund, Electricity, Institutions and Innovation: Oregon’s Role in the Development of

National Electricity Policy (Long Version of Oregon’s Role as an Energy Innovator; originally

posted on Oregon’s Future website).

Week 6: May 8, 2014 - Super Session

Note: The Super Session will take place in our regular room (URBN 204) from 2:30-5:15 pm. We

will then return to this room for our regular session at the regular time. Units 2 K and L (2:30-

3:45 pm) and Unit 3A (3:50-5:15 pm) may be in an a different Urban Center Distance Learning

Center classroom We will let you know if it will be in a different room when this information

becomes available. Location for Units 3B and 3C will be in our regular room (Urban Center 204)

and at our regular time (6:30-9:40), Urban Center 204

J. Resource acquisition in the 1980's under the Northwest Power Plan

Regional planning during an energy surplus and under conditions of uncertainty

Integrated resource planning

Resource acquisition during surplus conditions

Conservation resource acquisition

Model conservation standards and energy codes

K. Changes in energy industry since 1980's and the region’s responses

The Northwest Power Act: the vision and the reality

New BPA obligations and rate increases

Factors making competition possible

New pressures for competition in electric power markets

Energy Policy Act of 1992 and FERC Orders 888 and 889

Wholesale and retail restructuring

BPA's new competitive position and response - reinvention

Utility and other stakeholder responses to competition

The Comprehensive Review of the Northwest Energy System

BPA’s Subscription Process

Proposals to “regionalize” BPA

Meltdown in California and the drought of 2001

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19 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

L. The Roles and Responsibilities of the Northwest Power and Conservation Council.

(John Harrison, Information Officer, Northwest Power and Conservation Council, with Jeff

Hammarlund)

An historical overview of the Council’s roles and responsibilities under the Northwest Power and

Conservation Act

Overview of the roles of the Regional Technical Forum Independent Scientific Advisory Board

Independent Scientific Review Panel, Independent Economic Advisory Board, and Various

advisory committees

The Council’s role during the Comprehensive Review of the Northwest Energy System

An example of Fish and Wildlife activities: the development of the 2014 Fish and Wildlife

Program

An example of the Council’s Energy activities: The Council’s recent letter to and meeting with

BPA leadership on energy efficiency funding

The Columbia River History Project

Priority Reading for Module 2L

Class Reader:

Collette, Interview with Oregon Senator Mark Hatfield

Hammarlund, California’s Search for Energy Excites Fear in the Northwest

Senator Hatfield, Making Sense of Salmon Recovery

Links:

NWPCC, Council Briefing Book, 2012, pages 1-23, http://www.nwcouncil.org/reports/briefing-

book/

Harrison, Energy Crisis of 2000/2001 System (from The Columbia River Power Project)

http://www.nwcouncil.org/history/EnergyCrisis

Harrison, Comprehensive Review of the Northwest Energy System (from The Columbia River

Power Project) http://www.nwcouncil.org/history/comprehensivereview/

Comprehensive Review Steering Committee, Comprehensive Review of the Northwest Energy

System Final Report: Toward a Competitive Electric Power Industry for the 21st Century

http://www.nwcouncil.org/reports/96-26/

NWPCC, The State of the Columbia River Basin: Fiscal Year 2013 Annual Report to Congress (at

least browse) http://www.nwcouncil.org/reports/financial-reports/2014-01/

Books:

Public Power Chronicles, chapter 10

Shively & Ferrare, sections 11-15

Ogden, Vol. 2, chapters 23-27

BPA, Power of the River, chapters 4-7

Additional Recommended Reading for Module 2L

Links:

Statements of Steering Committee Members Regarding the Final Report of the Comprehensive

Review of the Northwest Energy System http://www.nwcouncil.org/reports/96-26/appendix-b-

members/

NWPPC, The State of the Columbia River Basin: Northwest Power and Conservation Council

Fiscal Year 2013 Annual Report http://www.nwcouncil.org/media/6946132/2014-01.pdf

Examples of Recent Council Press Releases:

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20 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

o Harrison, 2013: A Record year for Chinook http://www.nwcouncil.org/news/press-

releases/2013-a-record-year-for-columbia-river-fall-chinook-salmon/

o Harrison, Explosive Growth in Internet Data Storage Underscores Needs for Energy

Efficiency http://www.nwcouncil.org/news/press-releases/2013-08-07-data-centers/

o Harrison, Washington Governor Challenges Council to Continue Progress on Energy

Efficiency, Carbon Reduction http://www.nwcouncil.org/news/press-releases/2013-07-09-

inslee/

NWPPC, 2012 Columbia River Basin Fish and Wildlife Program Costs Report

http://www.nwcouncil.org/reports/financial-reports/2013-04/

Bruner, (Forbes), The High-Stakes Math Behind the West’s Greatest River

http://www.forbes.com/sites/jonbruner/2011/10/20/the-high-stakes-math-behind-the-wests-

greatest-river (also available as a PDF on D2L)

Agenda:

2:30-3:45 pm John Harrison

3:45-3:55 pm Break

3:55-5:15 pm Jeff Hammarlund

5:15-6:30 pm Dinner

Part 3: An Exploration of Current Northwest Energy Policy Issues – Guest Speakers with Jeff Hammarlund

Week 6: May 8, 2014 - Regular Session

Module 3A. Integrated Energy Resource Planning at the Regional Level-Developing

Northwest Power and Conservation Council’s Seventh Power Plan: Opportunities,

Challenges and Innovations (Charlie Black, Director, Power Division, Northwest Power and

Conservation Council, with Jeff Hammarlund)

The Council’s role in regional integrated resource planning

Brief introduction to approach to and key conclusions from the Council’s Sixth Power Plan

The Sixth Power Plan Mid-Assessment Report

Developing the Seventh Power Plan, key challenges, opportunities and innovations

An example of a Seventh Power Plan Primer: Power System Flexibility

Completion of Remaining Modules from Part 2 (Jeff Hammarlund)

Agenda:

6:30-6:40 pm Class Announcements

6:40-8:20 pm Charlie Black

8:20-8:30 pm Break

8:30-9:40 pm Jeff Hammarlund

Priority Reading for Module 3A

Links:

NWPCC, An Overview of the Council's Power Planning Methods

http://www.nwcouncil.org/reports/2011-02/

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21 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

NWPCC, Sixth Power Plan Mid-Term Assessment Summary

http://www.nwcouncil.org/media/6662000/2013-05.pdf

NWPPC, Developing the Seventh Power Plan, Process and Schedule Overview

http://www.nwcouncil.org/media/7072260/TriFold-Seventh-Plan-Process-04-2014-V3.pdf

NWPPC, Developing the Seventh Power Plan, Seventh Plan major Deliverables

http://www.nwcouncil.org/media/6907957/Seventh-Plan-Major-Deliverables-List-V1-2013-

12.pdf

NWPCC, Developing the Seventh Power Plan (browse)

http://www.nwcouncil.org/energy/powerplan/7/home

Black, Primer on Power System Flexibility http://www.nwcouncil.org/media/104953/7.pdf

D2L:

Schilmoeller, A Short History of Power Planning in the Pacific Northwest (Note: These are the

slides from Michael Schilmoeller’s slides presented during the 2012 version of this class. At the

time, Michael was the Council’s Senior Power Systems Analyst; he has since retired.)

Additional Recommended Reading for Module 3A

Links:

NWPCC, Sixth Power Plan Mid-Term Assessment (full report)

http://www.nwcouncil.org/energy/powerplan/6/2013-01/

NWPCC, Sixth Northwest Conservation and Electric Power Plan (the region’s current plan;

suggest reading the Plan Overview, the Energy Efficiency 2-pager, and the Press Release)

http://www.nwcouncil.org/energy/powerplan/6/plan/

D2L:

Lee, The Path Along the Ridge-Regional Planning in the Face of Uncertainly (Note: this is an

historically significant document since it was the first attempt to propose and describe what has

become the Council’s regional plan strategy)

Week 7: May 15, 2014

Module 3B. Identifying the Full Value of the Energy Efficiency Resource (Jim Lazar,

Consulting Economist, Microdesign Northwest, and Senior Advisor, The Regulatory Assistance

Project (RAP))

What’s under the feel-good frosting of the world’s most valuable layer cake of benefits

Benefits to the utility system, to the occupants of homes and businesses, to society and beyond

Barriers to accounting for all benefits

Best practices and recommendations

Module 3C: The Future of Electric Utilities, Part 1 (Tom Starrs, Vice President, Market

Strategy and Policy for SunPower Corporation, and Jim Lazar, Consulting Economist, Microdesign

Northwest, and Senior Advisor, The Regulatory Assistance Project (RAP))

The emergence and growth of distributed generation and especially solar PV

Implications of growing “disruptive challenges” of distributed generation to the traditional utility

model

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22 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

The implications of combining solar and storage (“utility in a box”) for electric utilities and other

stakeholders

The development of new, more “customer-centric” electric utility business models

“Ramping” challenges for traditional generation in the morning and evening when renewable

energy options wax and wane (the “duck curve”)

“Teaching the duck to fly” by developing strategies that flatten the load curve and introduce

supply resources that can deliver more output during the afternoon high load hours

Regulatory options for designing just and appropriate distributed generation tariffs

Q and A and class discussion

Agenda:

6:30-6:40 pm Class Announcements

6:40-7:25 pm Jim Lazar: Identifying the Full Value of the Energy Efficiency Resource

7:25-7:35 pm Break

7:35-9:40 pm Tom Starrs and Jim Lazar: The Future of Electric Utilities, Part 1

Priority Reading for Module 3B

D2L:

Lazar & Colburn, Recognizing the Full Value of Energy Efficiency

Eckman, Some Thoughts on Treating Energy Efficiency as a Resource

Additional Recommended Reading for Module 3B

D2L:

Goldstein et al, Are There Rebound Effects from Energy Efficiency? An Analysis of Empirical

Consistency, and Solution

Morgan, Underachieving in Energy Efficiency and the Continuing Search for a New Business

Model

Synapse, Best Practices in Energy Efficiency Screening

Energy Efficiency Screening Coalition, Recommendations for Reforming Energy Efficiency Cost-

Effectiveness Screenings in the United States

Gillingham et al, The Rebound Effect Is Overplayed

Links:

Roberts, What’s the Deal with the “Rebound Effect”? http://grist.org/energy-efficiency/whats-

the-deal-with-the-rebound-effect/

Roberts, Does the Rebound Effect Matter for Policy? http://grist.org/energy-efficiency/does-the-

rebound-effect-matter-for-policy/

Roberts, How Does the Rebound Effect Fit into the Big Picture on Climate Change?

http://grist.org/energy-efficiency/how-does-the-rebound-effect-fit-into-the-big-picture-on-

climate-change/

Lovins, Jevons Paradox: The Debate that Just Won’t Die

http://blog.rmi.org/blog_Jevons_Paradox

Burns, The “Rebound Effect”: A Perennial Controversy Rises Again

http://www.rmi.org/TheReboundEffectAPerennialControversyRisesAgain

Jenkins, Nordhaus and Shellenberger, Energy Emergence: Rebound and Backfire- An Emergent

Phenomena http://thebreakthrough.org/blog/Energy_Emergence.pdf

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23 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Owen, Efficiency’s Promise: Too Good to Be True

http://www.nytimes.com/roomfordebate/2012/03/19/the-siren-song-of-energy-

efficiency/efficiencys-promise-is-too-good-to-be-true

Owen et al, The Siren Song of Energy Efficiency

http://www.nytimes.com/roomfordebate/2012/03/19/the-siren-song-of-energy-efficiency

Tierney, When Energy Sullies the Environment

http://www.nytimes.com/2011/03/08/science/08tier.html?_r=0

Module 3C: The Future of Electric Utilities. Part 1

Priority Reading

Book:

Lovins and RMI, Reinventing Fire, chapters 1 and 5

D2L:

Kind for Edison Electric Institute, Disruptive Challenges: Financial Implications and Strategic

Responses to a Challenging Retail Electric Business

Bronski et al for Rocky Mountain Institute, Homer Energy, and CohnReznick Think Energy, The

Economics of Grid Defection (executive summary)

Lazar for Regulatory Assistance Project (RAP), Teaching the Duck to Fly (Updated May 8

presentation at http://www.cesa.org/webinars/rps-collaborative-webinar-altering-the-load-

shape-to-accommodate-more-solar-and-wind/view/2014-05-0 (Note: Jim Lazar has just

completed an updated webinar version of this paper; it is linked in the Priority Reading section.

This is the full report. Jim will assume you will have either viewed the video or read this paper

prior to class.)

Linvill, Shenot and Lazar, Designing Distributed Generation Tariffs Well: Fair Compensation in a

Time of Transition (Note: Jim Lazar will discuss this paper in class)

Newcome, Lacy and Hansen for Rocky Mountain Institute eLab, New Business Models for the

Distributed Edge (read at least executive summary)

Humes, Throwing Shade – Fearing Lost Profits, the Nation’s Investor-Owned Utilities Ae Moving

to Blot Out the Solar Revolution, Sierra Magazine, May/June 2014

Links:

CaliforniaISO, What the Duck Curve Tells Us about Managing a Green Grid

http://www.caiso.com/Documents/FlexibleResourcesHelpRenewables_FastFacts.pdf

Jaske, California Energy Commission, Resource Flexibility and the CAISO Duck Curve

http://www.energy.ca.gov/renewables/tracking_progress/documents/resource_flexibility.pdf

Lacy for Greentech, 6 Perspectives on the Fate of Utilities (with links to the six perspectives)

http://www.greentechmedia.com/articles/read/six-perspectives-on-the-fate-of-utilities

Frakel and Ostrowski for the McKinstry & Company, The Disruptive Potential of Solar Power

http://www.mckinsey.com/insights/energy_resources_materials/the_disruptive_potential_of_so

lar_power?cid=ResourceRev-eml-alt-mkq-mck-oth-1404

Clean Coalition, The Duck Chart http://www.clean-coalition.org/site/wp-

content/uploads/2013/06/Renewables-Integration_Power-08_ssw-17-May-2013.pdf

Smith and Bell for Rocky Mountain Institute, Renewables’ Bird Problem

http://blog.rmi.org/blog_2013_10_29_renewables_bird_problem

24

24 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Media Coverage. Note: Some of the most interesting reading on this topic has been articles

from the media. Most of the articles are short. Note how different authors have framed the

problem and the range of acceptable solutions to address that definition of the problem. Many

of the articles for Greentech are particularly good; they cover this topic on an almost daily basis.

Read at least ten of the following short articles to get a sense of the issue framing, policy issues,

and political and policy dynamics. Also note that some of the articles discuss SunPower

Corporation, the company currently represented by one of our speakers:

o Baker, Energy Grid “Duck Chart” Used to Wade into Timing Issues

http://www.sfgate.com/business/article/Energy-grid-duck-chart-used-to-wade-into-timing-

4762718.php

o Chu, How Electric Utilities Can Avoid the “Death Spiral”, Green Building Advisor

http://www.greenbuildingadvisor.com/blogs/dept/green-building-news/how-electric-

utilities-can-avoid-death-spiral

o Haugen for Greentech, Minnesota Becomes First State to Set ‘Value of Solar’ Tariff

http://www.greentechmedia.com/articles/read/minnesota-becomes-first-state-to-set-value-

of-solar-tariff

o Hunt for Greentech, Is an Energy Storage Tsunami About to Hit California?

https://www.greentechmedia.com/articles/read/is-an-energy-storage-tsunami-about-to-

wash-over-california

o Lacy for Greentech, New York Launches Major Regulatory Reform for Utilities: Say Goodbye

to Cost-of-Service Ratemaking and Hello to Distributed Resource Planning

http://www.greentechmedia.com/articles/read/new-york-launches-major-regulatory-

reform-for-utilities

o Litvak for Greentech, Is the SolarCity Model the Only Way to Scale Residential Solar?

o http://www.greentechmedia.com/articles/read/is-the-solarcity-model-the-only-way-to-

scale-residential-sola

o Martin et al for Bloomberg Business Week, Why the Power Grid’s Days Are Numbered

http://www.businessweek.com/articles/2013-08-22/homegrown-green-energy-is-making-power-utilities-irrelevant

o Munsell for Greentech, US Solar Market Grew 41%, Had Record Year in 2013

http://www.greentechmedia.com/articles/read/u.s.-solar-market-grows-41-has-record-

year-in-2013

o Palos for Greentech, Debate About the Future of Utilities Moves Deeper Into the World of

Regulation http://www.greentechmedia.com/articles/read/debate-about-the-future-of-

utilities-moves-deeper-into-the-world-of-regulat

o Parkinson for Greentech, Consumers Are the Big Winners in Solar-Plus- o Storage Revolution http://www.greentechmedia.com/articles/read/Consumers-Are-the-Big-Winners-in-

Solar-Plus-Storage-Revolution o Parkinson for Greentech, Rooftop Solar: Does It Really Need the Grid?

o http://www.greentechmedia.com/articles/read/rooftop-solar-does-it-really-need-the-grid

o Robenbaum for CNBC, A Dirty Clean Energy Battle Becoming a Utility War

http://www.cnbc.com/id/101472289

o St. John for Greentech, California to Utilities: Connect Battery-Solar Systems to the Grid

o http://www.greentechmedia.com/articles/read/California-Tells-Utilities-Connect-Battery-

Solar-Systems-to-the-Grid

o St. John for Greentech, Retired CPUC Commissioner Tames Aim at CAISO Duck Curve

http://www.greentechmedia.com/articles/read/retired-cpuc-commissioner-takes-aim-at-

caisos-duck-curve

o St. John for Geentech, Solar City and Tesla: A Utility’s Worst Nightmare?

http://www.greentechmedia.com/articles/read/SolarCitys-Networked-Grid-Ready-Energy-

Storage-Fleet

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25 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

o St. John for Greentech, Fight Over Battery-Backed Solar in Southern California

http://www.greentechmedia.com/articles/read/fight-over-battery-backed-solar-in-southern-

california

o St. John for Geentech, Transforming Rooftop Solar From Invisible Threat to Predictable

Resource http://www.greentechmedia.com/articles/read/Turning-Rooftop-Solar-from-

Invisible-Threat-to-Predictable-Resource

o St. John for Greentech, California Passes Huge Grid Energy Storage Mandate

http://www.greentechmedia.com/articles/read/california-passes-huge-grid-energy-storage-

mandate

o St. John for Greentech, California Passes Huge Grid Energy Storage Mandate

http://www.greentechmedia.com/articles/read/california-passes-huge-grid-energy-storage-

mandate

o Tweed for Greentech, Chart: Wind Dominates the 37GW of Power Under Construction

http://www.greentechmedia.com/articles/read/Chart-Wind-Dominates-the-37GW-of-Power-

Under-Construction

o Wessoff for Greentech, EPRI Reveals Its Worldview on the Integrated Electrical Grid

http://www.greentechmedia.com/articles/read/EPRI-Reveals-Its-Worldview-on-The-

Integrated-Electrical-Grid

o Weshoff for Greentech, Google Teams with Sun Power to Add $250M to Booming US Residential Market http://www.greentechmedia.com/articles/read/Roundup-Google-Teams-with-SunPower-to-add-250M-to-Booming-US-Residential

Additional Recommended Reading

D2L:

Lazar, Teaching the Duck to Fly (Note: Jim Lazar has just completed an updated webinar

version of this paper; it is linked in the Priority Reading section. This is the full report. Jim will

assume you will have either viewed the video or read this paper prior to class.)

Bronski et al for Rocky Mountain Institute, Homer Energy, and CohnReznick Think Energy, The

Economics of Grid Defection (full report; excellent)

Newcome, Lacy and Hansen for Rocky Mountain Institute eLab, New Business Models for the

Distributed Edge (full report, also excellent)

New York Public Utilities Commission, Reforming the Energy Vision

http://www3.dps.ny.gov/W/PSCWeb.nsf/ArticlesByTitle/26BE8A93967E604785257CC40066B91

A?OpenDocument

More recommended media links:

o Lowenthall for Greentech, You’ve Got to Charge Your EV While the Ducks Are Quacking:

Electric Vehicles and the Duck Curve

http://www.greentechmedia.com/articles/read/Youve-Got-to-Charge-Your-EV-While-the-

Ducks-Are-Quacking

o McFarland for Washington Post, Grid Parity: Why Electric Utilities Should Struggle to Sleep at Night o http://www.washingtonpost.com/blogs/innovations/wp/2014/03/25/grid-parity-why-electric-utilities-

should-struggle-to-sleep-at-night/ o Munsell for Greentech, Driven by Distributed PV, Grid Power Electronics Market to Reach

$300 Million in 2017

http://www.greentechmedia.com/articles/read/Driven-By-Distributed-PV-Grid-Power-

Electronics-Market-to-Reach-300M-in-2

o Munsell for Greentech, 3 Solar Integration Questions Utility Executives Must Confront

http://www.greentechmedia.com/articles/read/three-questions-utility-executives-will-

face-regarding-pv-integration

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26 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

o Paulos for Greentech, Surpassing Milestone of 100,000 Solar Roofs, PG&E Call for

“Sustainable” Solar Policy http://www.greentechmedia.com/articles/read/pge-hits-

100000-solar-roofs

o St. John for Greentech, Will Utilities Control Behind-the-Meter Solar Batteries?

o http://www.greentechmedia.com/articles/read/will-utilities-control-behind-the-meter-

solar-batteries)

o St. John for Greentech, Sacramento’s Path to Battery-Backed Solar Homes

http://www.greentechmedia.com/articles/read/sacramentos-path-to-battery-backed-

solar-homes

o Randazzo for The Republic, Leased Solar Panels Are Facing Property Taxes

http://www.azcentral.com/story/money/business/consumer/2014/04/26/leased-solar-

panels-property-taxes/8232401/

o Wesoff for Greentech, SunPower Lands Another Strong Quarter and Launches New Solar Holdco http://www.greentechmedia.com/articles/read/SunPower-Lands-Another-Strong-Quarter-and-Launches-New-Solar-Finance-Tools

Week 8: May 22, 2014

Module 3D: The Role of Energy Efficiency in the New Energy Economy in

Oregon and the Northwest (Charlie Grist, Senior Analyst, Northwest Power and Conservation

Council; Fred Gordon, Director of Planning and Evaluation, Energy Trust of Oregon

Jeff Harris, Director, Technology and Market Strategy, Northwest Energy Efficiency Alliance

Josh Warner, Manager, Energy Efficiency Planning and Evaluation, BPA; Scot Davidson, Vice

President, strategy and Market Development, Clean Energy Works, Oregon)

Agenda:

6:30-6:35 pm Class announcements

6:35-7:00 pm Charlie Grist, Senior Analyst, Northwest Power and Conservation Council (big

picture, energy efficiency as a resource, the role of energy efficiency in the

Council’s Sixth Plan, new information on conservation potential results so far

in meeting energy efficacy goals the Sixth Plan, overview of Council’s EE tools

and strategies, Council’s role in monitoring region’s progress, challenges and

opportunities in Council’s next plan, other topics)

7:00-7:25 pm Josh Warner, Director, Energy Efficiency Planning and Evaluation, BPA

(overview of changing roles for BPA and its utility customers, BPA’s Energy

Efficiency Post-2011 Review, BPA’s EE capital budget proposal, BPA’s Case for

Conservation, other topics)

7:25-7:50 pm Jeff Harris, Director (NEEA unique role(s) in the region, role of market

transformation, challenges and opportunities for EE in our region, examples of

case study success stories and lessons learned from less successful efforts,

NEEA’s role in supporting emerging technologies, NEEA’s proposed 2015-2019

Business Plan and budget, what new EE measures are on the horizon?, other

topics)

7:50-8:00 Break

8:00- 8:25 pm Fred Gordon, Director of Planning and Evaluation, Energy Trust of Oregon

(ETO’s unique role(s) in Oregon, ETO’s shorter and longer term strategies for

each sector, examples of case study success stories and lessons learned from

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27 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

less successful efforts, the role of ETO’s Planning and Evaluation team, what’s

next on the horizon, what’s next on the horizon, other topics)

8:25-8:50 Scot Davidson, Vice President, Strategy and Market Development, Clean

Energy Works Oregon (CEWO’s unique role(s) in Oregon, rationale behind

CEWO’s, examples of case study success stories and lessons learned from less

successful efforts, updated financing strategies, other topics)

8:50-9:40 pm Q and A and class discussion among panel members and with class

participants

Reading for Module 3D

Priority Reading on Energy Efficiency in General

Book:

Lovins and RMI, Reinventing Fire, chapters 3 and 4

D2L (available under Week 7):

Eckman, Some Thoughts on Treating Energy Efficiency as a Resource

Morgan, Underachieving in Energy Efficiency and the Continuing Search for a New Business

Model

General Additional Recommended Reading

Links:

Northwest Energy Efficiency Task Force, Northwest Energy Efficiency Taskforce Report,

Recommendations, Action Plan (read at least Executive Summary)

D2L:

Holt & Galligan, Energy Efficiency Policies as Part of Carbon Reduction Efforts: Lessons from the

EU for the U.S

Grueneich & Jacot-Scale, Speed, and Persistence in an Analytics Age of Efficiency: How Deep

Data Meets Big Savings to Deliver Comprehensive Energy Efficiency

Priority Reading for Energy Efficiency Roles of Northwest Power and Conservation

Council

Links:

Energy Efficiency

Energy Efficiency Quick Facts

Sixth Power Plan Mid-Term Assessment Section on Energy Efficiency Achievements and Issues

(pp. 20-29),

Explosive Growth in Internet Data Storage Underscores Need for Energy Efficiency

Additional Recommended Reading for Roles of the Northwest Power and Conservation

Council

Northwest Energy Efficiency Improvement Set a New One-Year Record Last Year

Energy Efficiency in the Future: The Sixth Northwest Power Plan

Regional Technical Forum, 2012 Annual Report and 2013 Progress Update

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28 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Priority Reading for Energy Efficiency Roles of BPA

Links:

BPA is in the midst of two important public involvement processes that could significantly impact

the future of BPA’s energy efficiency efforts.

The first is called the BPA, Energy Efficiency Post-2011 Review. Public documents associated with

this effort are available at http://www.bpa.gov/Energy/N/post-2011/. Scroll down to read

Background and Timeline to get an overview of the effort; if you want to go into a little more depth,

read the most recent version of the Energy Efficiency Post-1011 Review Scoping Document and

Process Approach.

The second public involvement process relates to the Draft Asset Strategy for Energy Efficiency,

which is a component of BPA’s broader 2014 Capital Investment Review (CIR). The CIR is a process

designed to provide interested parties an opportunity to review and comment on BPA’s long-term

capital investment forecasts, draft asset management strategies, and methodology for prioritizing

capital investments. This review concluded in April, but the information will feed into the next

public involvement process called the 2014 Integrated Program Review (IPR), which begins the end of May. Here is the link to the 2014 IRP website.

The CIR cover transmission, federal hydro, facilities, information technology investments, energy

efficiency, fish and wildlife, and hydro, transmission, facilities, security, and fleet management. The

site for the 2014 CIR is available at

http://www.bpa.gov/Finance/FinancialPublicProcesses/CapitalInvestmentReview/Pages/CIR-

2014.aspx. The Energy Efficiency Asset Strategy is available at

http://www.bpa.gov/Finance/FinancialPublicProcesses/CapitalInvestmentReview/2014CIRDocumen

ts/Energy%20Efficiency%20Full%20Asset%20Strategy%20Final%20Draft.pdf.

For a look at what some of the critics are saying about BPA’s proposed energy efficiency budget

that has emerged from the CIR so far, see the group letter from 29 clean energy advocacy organizations: and the comments of the NW Energy Coalition.

Finally, read at least BPA’s four-paragraph summary of its Energy Efficiency Action Plan to work

with the public power utilities to meet their share energy efficiency targets found in the Northwest

Power and Conservation Council’s Sixth Energy Plan (504 aMW). If you are interested in learning more, here is a link to BPA’s most recent Action Plan from 2012.

Priority Reading for Roles of the Northwest Energy Efficiency Alliance

Links:

About NEEA

2015-2019 Strategic Planning

Initiatives and Video Spotlights (first spend a few minutes viewing two very short on-line videos

called Leveraging the Region and Accelerating Market Transformation. Then spend about more

10 minutes browsing through at least one or two initiatives (Emerging Technology, Residential,

Commercial, Industrial, and Codes & Standards)

NW Energy Coalition, Northwest Energy Efficiency Alliance Could Be Cut Nearly 30% and NEEA

Budget Cuts Talking Points for Energy Efficiency Advocates

Northwest Power and Conservation Council, Council Comments on NEEA’s Strategic, Business

Plans (with links to the comments and letter to NEEA)

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29 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Additional Recommended Reading for Roles of the Northwest Energy Efficiency Alliance

Draft NEEA 2012-2019 Business Plan Summary and Regional Stakeholder Input Guide

Regional Input Webinar 2015-2019 Business Plan Overview

Key Themes from NEEA’s 2015-2019 Business Plan Input Sessions

Priority Reading for Roles of the Energy Trust of Oregon

About Us and Who We Are

Energy Trust Program Fact Sheets (view at least two that seem particularly interesting to you)

Energy Trust Success Stories (read at least two)

Additional Recommended Reading for Roles of the Energy Trust of Oregon

2014 Budget and 2012-2015 Action Plan

Week 9: May 29, 2014

Module 3E. Three Strategies to Enhance Renewables Integration in the Pacific

Northwest: Demand Response, Storage, and Energy Imbalance Markets (Rachael Shimshak,

Executive Director, Renewable Northwest; Ken Dragoon, Managing Consultant, Ecofys; Mark

Symonds, Market Design, Strategy Integration, BPA)

Module 3F: The Future of Electric Utilities, Part 2: New Strategies to Address the

Valuation and Advancement of Distributed and Community-Shared Solar in Oregon

(Kathleen Newman, Co-founder, Oregonians For Renewable Energy Progress; Dr. Michael O’Brien.

Policy Associate, Renewable Northwest; Joe Barra, Senior Consultant for Business Model

Development, Portland General Electric)

Agenda:

6:30-6:35 pm Class announcements

6:35-7:00 pm Rachael Shimshak, Executive Director, Renewable Northwest (The Advance of

Renewable Energy in the Region and the Role of Renewable Northwest)

7:00-7:30 pm Ken Dragoon, Managing Consultant, Ecofys (The Role of Energy Storage and

Demand Response in Supporting Renewables Integration)

7:30-8:00 pm Mark Symonds, Market Design, Strategy Integration, BPA (Exploring the

Possibility of an Energy Imbalance Market and Other Components of a

Comprehensive Northwest Solution to Managing and Integrating Variable

Energy Resources)

8:00-8:20 pm Q and A and discussion with class participants

8:20-8:30 pm Break

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30 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

8:30-8:55 pm Kathleen Newman, Oregonians For Renewable Energy Progress (Valuing Solar

and The Future of Solar Energy in Oregon: One Stakeholder Organization’s

Perspective)

8:55-9:20 pm Dr. Michael O’Brien, Policy Associate, Renewable Northwest (Policy Issues and

Approaches to Solar Resource Value in the Pacific Northwest and Beyond)

9:20-9:40 pm Joe Barra, Senior Consultant for Business Model Development, Portland

General Electric (Solar Shares: A Proposed Utility-Sponsored Community

Solar Project)

9:40-9:50 pm Q and A and discussion with class participants

Reading for Module 3E

Priority Reading on Renewable Northwest

Links:

Our Story

Video: Renewable Energy Leaders Detail $5.4 Billion Investment in Oregon Economy

Additional Recommended Reading on Renewable Northwest

Successes

Renewable Energy Projects (project map and list)

Priority Reading on Energy Storage and Demand Response

D2L:

Schwartz et al, Meeting Renewable Energy Targets in the West at Least Cost: The Integration

Challenge (note: while this was written in 2012, a long time ago in this fast moving subfield,

this is still the best summary of all the viable renewables integration options. I urge you to read

at least the executive summary, more if possible)

Dragoon, The State and Promise of Energy Storage, ElectricityPolicy.com (a summary of Ken

Dragoon’s White Paper included in Additional Recommended Readings below)

Broad, et al, for Ecofys and BPA, Smart End-Use Energy Storage and Integration of Renewable

Energy, read at least executive summary

Links:

Kennedy for The Energy Collective, Can Demand Response Help Us Achieve 100% Renewable

Energy?

Additional Recommended Reading on Energy Storage and Demand Response

D2L:

Dragoon, Energy Storage Opportunities and Challenges: A West Coast Perspective White Paper

Links:

Farrell, Energy Storage: The Next Charge for Distributed Generation, Institute for Local Self-

Reliance

Enernoc and The Brattle Group for Western State Energy Board, The Role of Demand Response

in Integrative Variable Energy Resources: Final Report (Note: Jeff was a member of the

Western Interstate Energy Board’s Demand Response Task Force that contributed to and peer

reviewed this report. It is quite long; read the executive summary if you can. Also available on

D2L).

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31 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Sadoway, The Missing Link to Renewable Energy (a TED talk)

Budishak et al, Cost-Minimized Combinations of Wind Power, Solar Power, and Electrochemical

Storage, Powering the Grid Up to 99.9% of the Time, Journal of Power Sources

http://www.ceoe.udel.edu/windpower/resources/BudischakEtAl-2013-

CostMinimizedWindSolarPJM.pdf

Priority Reading on Energy Imbalance Markets

D2L:

An Introduction to Energy Imbalance Markets

Northwest Power Pool Members’ Market Assessment and Coordination Committee, Phase 3

News Release-NW Utilities Continue to Improve Reliability and Market Efficiency

Northwest Power Pool Members’ Market Assessment and Coordination Committee, Phase 3

Funding Organizations

Links:

NREL, Energy Imbalance Markets Overview

CalISO and PacifiCorp, Energy Imbalance Market Partnership: Fast Facts

Additional Recommended Reading on Energy Imbalance Markets

Northwest Power Pool Members’ Market Assessment and Coordination Committee, Northwest

Power Pool Members’ Market Assessment and Coordination Initiative: Phase 2 Final Report

Sayman et al, Analysis of Benefits of an Energy Imbalance Market in the Northwest Power Pool,

Pacific Northwest National Laboratory

CalISO, Energy Imbalance Market (implementation schedule)

CalISO and PacifiCorp, Energy Imbalance Market Draft Final Proposal

Mulligan, Clark et al, Examination of Potential Benefits of an Energy Imbalance Market in the

Western Interconnection

Kirby, King and Mulligan, Alternative Approaches To Calculate Benefits of an Energy Imbalance

Market With Wind and Solar Energy

Reading for Module 3F

Priority Reading (and Viewing) on Valuing Solar Energy

Links:

Webinar on Assessing the Costs and Benefits of Distributed Solar Generation: Lessons and Best

Practices from the National Debate (featuring Rocky Mountain Institute, Karl Rabago, and

others; the best introduction to value-of solar debate I have found)

Farrell, Minnesota’s Value of Solar: Can a Northern State’s New Solar Policy Defuse Distributed

Generation Battles?

Farrell, An Enormous Question for ‘Solar Choice’, Institute for Local Self Reliance (latest

development regarding this debate)

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32 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Farrell, Distributed Renewable Energy Under Fire (map of states where the future of distributed

generation is in dispute and additional links)

Gilliam, MN Value of Solar Process Confirms that Net Metering Is a Fair Deal

http://votesolar.org/2014/03/21/minnesota-vost-process-confirms-that-net-metering-is-a-fair-

deal/

Churchill, California PUC Kicks Off Big Debate on the Future of Net Metering

http://votesolar.org/2014/04/24/california-puc-kicks-off-big-debate-on-the-future-of-net-

metering/

Churchill, California Decision Creates Certainty for Solar Customers

http://votesolar.org/2014/03/27/cpuc-decision-creates-certainty-for-existing-net-metering-

customers/

Additional Recommended Reading on Valuing Solar Energy

D2L:

Oregon PUC Staff, Draft Report to the Oregon Legislature-Investigation into the Effectiveness of

Solar Programs in Oregon (draft report for public comment)

Keyes and Rabago, Regulator’s Guidebook to Calculating the Benefits and Costs of Distributed

Generation, Interstate Renewable Energy

Clean Power Research (Tom Hoff and team) for Minnesota Department of Commerce, Minnesota

Value of Solar Methodology

Clean Power Research (Tom Hoff and team) for City of Austin, 2014 Value of Solar at Austin

Energy

Clean Power Research (Tom Hoff and team), The Value of Distributed Photovoltaics to Austin

Energy and the City of Austin, 2005 (original value of solar report that started it all)

Links:

Keyes and Rabago, Regulator’s Guidebook to Calculating the Benefits and Costs of Distributed

Generation, Interstate Renewable Energy http://votesolar.org/wp-

content/uploads/2013/09/IREC_Rabago_Regulators-Guidebook-to-Assessing-Benefits-and-

Costs-of-DSG1.pdf

Oregon PUC, eDocket UM 1673 PUC Legislative Report to Comply with HB 2893 Solar Incentives

this is where Oregon’s value of solar policy is being contested and developed)

http://apps.puc.state.or.us/edockets/docket.asp?DocketID=18583

Couture for RenewableEnergyWorld.com, The Value of Solar: Old Wine in New Bottles

Articles on developments in Hawaii that Jim Lazar referenced during his presentation

News Conference with Hawaii’s Governor and PUC Commissioners on Four Regulatory Orders

and White Paper on How Hawaiian Electric Company must evolve

https://www.youtube.com/watch?v=MeHmZ6E5GhM&index=3&list=PLS0iu_gsq8HspYCWpCSi1r

XiBUMnY1S22

Hawaii PUC, PUC Orders Action Plans to Achieve State's Energy Goals

http://puc.hawaii.gov/wp-content/uploads/2014/04/Press-Release-Summaries.2014-04-29.pdf

Hawaii PUC, Commission’s Inclinations on the Future of Hawaii’s Electric Utilities Aligning the

Utility Business Model with Customer Interests and Public Policy Goals

http://puc.hawaii.gov/wp-content/uploads/2014/04/Commissions-Inclinations.pdf

Paulos for GreenTech, Hawaii Passes the Point of No Return on Distributed Generation

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33 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

http://www.greentechmedia.com/articles/read/hawaii-crosses-the-energy-rubicon

Priority Reading (and Viewing) on Community-Shared Solar

Links:

Pengily for Oregonians for Renewable Energy Progress, Renewable Energy Cooperative Bill

Passes

City of Portland, Planning and Sustainability, Solar Forward: Funding Portland’s Local Energy

Future https://www.portlandoregon.gov/bps/article/453780 and

http://www.portlandoregon.gov/bps/index.cfm?c=41462&a=365294

City of Portland, Planning and Sustainability, Video: Solar Forward Goes to Portland City Hall

https://www.youtube.com/watch?v=Ch6HZ9cbZ2w

Jacob for Solar Oregon, Community-Shared Solar and Cooperative Ownership http://solaroregon.org/news/community-shared-solar-and-cooperative-ownership

D2L:

Jacob, Portland’s Journey to Community Solar

Additional Recommended Reading on Community-Shared Solar

Links:

Coughlin et al for Northwest SEED, Bonneville Environmental Foundation, and US DOE, A Guide

to Community-Shared Solar: Utility, Private, and Nonprofit Project Development

D2L:

Jacob and Rahr, Solarize Portland: Community Empowerment through Collective Purchasing

Priority Reading on Portland General Electric’s Solar Initiatives

Links:

Portland General Electric, Solar Power Initiatives

Portland General Eclectic, Generate Your Own Power

Week 10: June 5, 2014

Module 3G: Alternative Visions of the Columbia River’s Primary Role (session canceled but

you are still encouraged to examine the readings and viewings as time permits)

Module 3H: Recommendations for Next Phase of the Columbia River Treaty

Agenda:

6:30-6:40 pm Class announcements

6:40-9:40 pm The Columbia River Treaty Review and Recommendations for Enhancing the

Columbia River Treaty (Kathy Eichenberger, Executive Director, Columbia

River Treaty Review Team, British Columbia Ministry of Energy and Mines; Jim

Heffernan, Policy Analyst-Columbia River Treaty, Columbia River Inter-Tribal

Fish Commission; Rick Pendergraff, Acting Vice President, Generation Asset

Management, and US Co-Coordinator, Columbia River Treaty, BPA; Scott

Corwin, Executive Director, Public Power Council and Member, Columbia River

34

34 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Treaty Power Group; Rick Rolf, former Senior Advisor on Columbia River

Treaty. Time includes a 10 minutes break around 8 pm and 40 minutes for Q

and A and discussion at the end of module)

Reading for Module 3G

Additional Recommended Reading on Balancing Salmon and Hydro in the Pacific

Northwest

D2L:

Columbia Basin Bulletin Issue Summary-Salmon and Hydro

Review Reading Packet on the Debate Over Snake River Dam Breaching

(available in Week 3 readings on D2L)

Primary Reading and Viewing on Perspective of Northwest River Partners (“Working

River Coalition”)

Links:

Short videos featuring Terry Flores, Executive Director, Northwest River Partners and other

partners: About Northwest River Partners, The Value of Hydro Power and The River Provides Jobs

Northwest River Partners, About Northwest River Partners, Columbia River Basin Fast Facts Pubic Power Council, Biop Fish Facts

Additional Recommended Reading on Perspective of Northwest River Partners

Browse NRP’s website for items that interest you. Review members list.

Primary Reading and Viewing on Perspective of Save Our Wild Salmon (“Natural River

Coalition”)

Save Our Wild Salmon Coalition, About Us

Save Our Wild Salmon Coalition, A Lawful Plan, Wind and Salmon Connections, Solutions Table,

Columbia River Treaty, and Salmon Means Business

Additional Recommended Reading and Viewing on Perspective of Save Our Wild Salmon

(“Natural River Coalition”)

Browse SOS’s website for items that interest you. Review member list.

Primary Reading and Viewing on Columbia Basin Tribal Perspective

Columbia River Inter-Tribal Fish Commission, We Are All Salmon People, Tribal Salmon Culture,

and Columbia River Salmon

Reading for Module 3H

Primary Reading on Columbia River Treaty in General

D2L:

26 Northwest Lawmakers Highlight the Importance of the Columbia River Treaty/Bipartisan

Group of Lawmakers Press Obama Administration for Local Input in Treaty’s Future (Media

Release and Letter)

Letter from EPA Administrator Gina McCarty to Secretary of State John Kerry on the US Entity’s

Recommendation on the Columbia River Treaty

Letter from Interior Secretary Jewell to Secretary of State Kerry on Columbia River Treaty

The Columbia River Treaty: Its Purpose and Future

Canadian Entitlement Fact Sheet

Current Operations Fact Sheet

Considering the Columbia River Ecosystem Fact Sheet

35

35 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Managing Flood Control Fact Sheet

Links:

Wikipedia, Columbia River Treaty

Additional Recommended Reading Providing Recent Views and Analysis on Columbia

River Treaty in General

Book:

Cosens (ed.), The Columbia River Treaty Revisited: Transboundary River Governance in the Face of

Uncertainty, 2012

D2L:

Osborn, Climate Change and the Columbia River Treaty, Washington Journal of Environmental

Law & Policy

Lesser, Resale of the Columbia River Treaty Downstream Power Benefits-One Road from Here

to There, Natural Resources Journal

Primary Reading on US Entity’s Recommendation

Links:

US Entity’s Regional Recommendation and Cover Letter

D2L:

Additional Recommended Reading on US Entity’s Perspective & Recommendation

Links:

Treaty Review Process, Technical Results and Other Studies/Papers

Overview and History, Regional Benefits and Basin Map

D2L:

BPA, Assessing the Canadian Hydro Operation Post 2024 in the Absence of the Treaty

US Army Corps of Engineers, White Paper on Columbia River Post-2024 Flood Risk Management

Procedure

Primary Readings on British Columbia’s Decision

Links:

Province of British Columbia, Columbia River Treaty Review B.C. Decision

BC Ministry of Energy and Mines, U.S. Benefits from the Columbia River Treaty – Past, Present,

and Future: A Province of British Columbia Perspective

Additional Recommended Reading on British Columbia Perspectives

BC Columbia River Treaty Local Government’s Committee, Columbia River Treaty

Recommendations

Primary Reading on Columbia River Treaty Power Group Recommendations

Links:

Columbia River Treaty Power Group, Comments on the US Entity Draft Recommendation

Corwin, Columbia Power Sharing Treaty Contains Troubling Inequity

Corwin (on behalf of the Public Power Council and Columbia River Treaty Group), Testimony

before the US House of Representatives Committee on Natural Resources

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36 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Columbia River Treaty Power Group, Information Brochure

Columbia River Treaty Power Group, Northwest Utilities Add Muscle to Fight for Customers in

Columbia River Treaty Talks and Members

Additional Recommended Reading on Columbia River Treaty Power Group

Recommendations

Links:

Columbia River Treaty Power Group, Website (read at least the summary of this groups views

on included on the home page of their website)

Public Power Council, Briefing Paper on the Columbia River Treaty

Primary Reading on Perspectives of the Columbia Basin Tribes Coalition on the Columbia

River Treaty and the Columbia River Inter-Tribal Fish Commission

D2L:

Cover Letter and Report: Fish Passage and Reintroduction into the U. & Canadian Upper

Columbia River, An Interim Joint Paper of the U.S. Columbia Basin Tribes and Canadian First

Nations

Letters and Resolutions from Columbia Basin Tribes Coalition to Secretary Kerry

Statement of CRITFC Chairman Joel Moffett on the Draft Regional Recommendation Regarding

the Columbia River Treaty

Additional Recommended Reading on Perspectives of the Columbia River Inter-Tribal

Fish Commission

Links:

Columbia River Treaty

Adding to the Treaty Purposes

Flood Risk Management

Restore Fish Passage

D2L:

Affiliated Tribes of Northwest Indians, Resolution on Modernizing the Columbia River Treaty

Columbia Basin Tribes Coalition, Issue Paper on Ecosystem-based Function

Columbia Basin Tribes, Common Views on the Future of the Columbia River Treaty

Primary Reading on Perspectives of Columbia River Treaty Conservation Caucus

Links:

Columbia River Conservation Caucus, Columbia River Treaty Recommendations

Conservationists, Fishing Interests Responds to U. S, Treaty Recommendation for Columbia

River

Recommended Readings on John Keys Pumped Storage Project from Earlier Class

Discussions

D2L:

Walker for Sustainable Business Oregon, Study: Northwest Has Enormous Potential for New

Hydroelectric Dams

John Keys Pump‐ Generating Plant Modernization Project (from Nate Sandvig)

John Keys Pump-Generating Plant for Balancing Reserves Presentation (from Nate Sandvig)

(from Nate Sandvig)

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37 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Week 11: June 12, 2014

Module 3I: Where the Rubber Meets the Road: The Views of BPA’s Fifteenth

Administrator (Elliot Mainzer. BPA Administrator)

Module 3J: Student Presentations

Concluding Thoughts, and Distribution of Certificates of Completion and Mooseman Music

Agenda:

6:30-6:40 pm Class announcements

6:40-7:40 pm Elliot Mainzer, BPA Administrator

7:40-7:55 pm Brian Eberhardt Incorporating Ecosystem Services within the Columbia River

Treaty

7:55-8:10 pm Ted Light The Future of Efficiency in Oregon: Challenges and Opportunities

8:10-8:20 Break

8:20-8:35 pm Chris Chambers: Integrated Resource Planning: Predetermined or

Deterministic?

8:35-8:50 pm Sandy Nguyen: Framing Energy Efficiency to Guide Consumer Behavior

8:50-9:05 pm Derrick Wheeler: Fish Passage for a New Columbia River Treaty

9:05-9:20 pm Kevin van Bloommstein: Assessment of Factors Influencing the Adoption of

Residential Solar PV

9:20-9:30 pm Pete Lee: Function Follows Form

If time allows Rob Wilcox: Transforming the Electric Utility Death Spiral into a Spiral of

Value

9:20-9:40 pm Awarding Certificates of Completion and other goodies, and Concluding

Thoughts

Readings for Module 3I

Primary Reading

Links:

Elliot Mainzer Sworn in as 15th BPA Administrator

D2L:

Mainzer, Inaugural Talk as BPA Administrator

Mainzer, Emerging Opportunities for Demand Response and Smart Grid Technologies in the

Assignments Pacific Northwest

Additional Recommended Viewing

Mainzer, Defining Leadership in a Changing Electric Power Industry (City Club of Portland Friday

Forum)

Course Exams and Papers (for those taking this course for graduate

credit

1. Mid-term Exam

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38 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

Students taking this course for graduate credit should post their answers at the appropriate

Dropbox location on D2L by 5 pm on Sunday, May 18. An initial list of candidate questions is

posted under Class Resources on D2L. You are encouraged to use these questions as a “study

guide” for the first half of the course. A few additional questions suggested by new course readings may be added to this list of candidate questions in April or early May; you will be advised in class and by email if this happens. A shorter list of questions, drawn from the candidate questions list, will be

sent by email on May 9. Students taking this course for graduate credit will answer three

questions from this list. The total length of the answers should not exceed 12 pages. See

Candidate Mid-Term Exam Questions for further instructions.

2. Final Exam, Research Paper and Research Project

The take-home final exam will be due before 5:30 pm on June 15. It should be submitted as

a Word document to the proper Dropbox folder on D2L; a back up copy should be emailed to

the instructor. See the 2010 and 2012 final exam questions on the class website for the kind of

“course integrating” question that will appear on this exam. You will be sent the exact final

exam question by June 8, earlier if possible. Remember to include your Writers Rubric. If you

have chosen the short research paper option, your final exam should be between 10-12 pages

in length. If you have chosen the longer final exam option, the exam should be between 20-25

pages in length. You will be asked to turn in a separate “Writer’s Rubric” with your

exam and research paper. The writer’s rubric forms are posted under Class Resources

on D2L. (The final exams and research papers will not be considered complete unless

this is included. This will be discussed further in class.)

The short research paper/class presentation option: I expect the research paper to be

fairly short (perhaps 8-10 pages), but provocative. We hope it will present your point of view

in a way that is well argued, defended by facts and reasoning, and well written. You will be

asked to turn in a completed “Writer’s Rubric” with your paper. (The paper will not be

considered complete unless this is included.) This will be discussed further in class. On June 12

(our last day of class) you will give a short class presentation on your paper. Students who

select this option must still take the take home final exam, but it will be the shorter (10-12

page) version. If you select this research paper option, a one-page proposal is due on

or before May 15. I am willing to set aside time on May 9, 10, and 11 to schedule one-on-one

sessions with students to brainstorm on possible paper topics. The class presentation will be

given in class on June 12. It would be wonderful if the research paper could be turned in at that

time as well. However, it will not be considered late so long as it is placed in the proper

Dropbox folder on D2L and emailed to Jeff Hammarlund (hammarj@pdx.edu) by 5:30 pm on

Saturday, June 14. Remember to include the Writer’s Rubric or it will not be

considered complete.

Longer final exam option: In the past, some students have chosen to write a more extensive

(approximately 20-25 pages) answer to the final exam topic. This paper satisfies the

requirements for both the final exam and the short research paper or research project. If you

choose this option, it will count for 60% of your grade. The final exam, along with the

Writer’s Rubric, are due before 5:30 pm on Sunday, June 15. Let me know no later than

May 15 if you plan to take this option. Unless arrangements have been made with the instructor

in advance, late exams will be reduced by a grade for each day it is late.

Grading Criteria

Course evaluations and grades will be based on student performance in four areas: the mid-term

exam will count for 30% of the grade, the final exam will count for 30%, the research paper and

39

39 Syllabus: PA 567 Energy Resources: Policy and Administration (NW Energy Policy and the Columbia River) Jeff Hammarlund | Spring 2014

presentation will count for 30%, and class participation, observance of due dates, and attendance

will count for 10%. Please email me in advance if you will need to miss a class session. Arrange

for someone else in class to pick up the class handouts for the missed session.

The following methods of evaluation will determine your course grade:

Assignment Graduate Non-Credit

Attendance, participation, & observance of

due dates, and completion of Assignment 2

10% Required to receive Certificate of

Completion

Mid-term exam 30% optional

Final paper 30% or 60% optional

Research paper & presentation 30% optional

Grades will be determined as follows:

A = 93% A- = 90% B+ = 87% B = 83% B- = 80 C+ = 77%

C = 73% C- = 70% D+ = 67% D = 63% D- = 60% F = below 60%

Late Paper Submission Policy

Unless arrangements have been made with us well in advance, late papers and exams will be

assessed a late penalty of one grade increment for every day late. Please plan your schedule

accordingly.

Desire2Learn (D2L)

I have activated a D2L site for this course. If this is the first time you are using the D2L, please go

to the following site for instructions.

http://www.pdx.edu/psuonline/d2l-tips-and-tools-help-students

To log in, go to the following site: https://d2l.pdx.edu\