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Clean, Local EnergyThe Value and Power of Distributed Energy in Minnesota
John Farrell, DirectorEnergy Self-Reliant States and Communities program
[email protected] x210
Presentation on Sept. 23, 2011
ILSR’s Unique Perspective
Centralized PowerYesterday Tomorrow
Transmission network
Distribution network
House
Storage
Local CHP plant
Commercialbuilding
Factory
Storage
Storage
Storage
Solar PV power plant
Windpowerplant
House with domestic CHP
Clean, local power
Wind71%
Rooftop Solar24%
CHP4%
Hydro1%
MN Renewable PotentialWhy Clean, Local Energy?
Wind: 2400% of state electricity use
Value of Clean, Local Energy
• Cost for power
• Value of energy
• Value of jobs and economic development
• Value of local ownership
Wind71%
Rooftop Solar24%
CHP4%
Hydro1%
Price per kWhValue of Clean, Local Energy
Average Cost, 2011Average Cost, 2011
Wind 11 cents
Solar 23 cents
Price per kWhIncluding federal tax credit
and depreciation
Value of Clean, Local Energy
Average Price: Minnesota, 2011Average Price:
Minnesota, 2011Residential 11 centsCommercial 8 cents
Industrial 6 cents
Average Cost, 2011Average Cost, 2011
Wind 7 cents
Solar 14 cents
Jobs
Putting Renewables to Work: How Many Jobs Can the Clean Energy Industry Create? (UC Berkeley)
Value of Clean, Local Energy
Economic Engine
Wind90%
Rooftop Solar10%
Value of Clean, Local Energy
Total GDP: $258 billion
$22 billion50,000 jobs
Absentee Ownership = 2nd gearValue of Clean, Local Energy
Lost $33 billion
50,000 jobs
Total GDP: $258 billion
$22 billion50,000 jobs
Local BenefitsLocal Ownership Boosts Impact of Renewables
Value of Clean, Local Energy
Economic Development Impacts of Community Wind Projects: A Review and Empirical Evaluation (NREL)
Local Ownership = high gearValue of Clean, Local Energy
Returned $33 billion
50,000 jobs
Total GDP: $258 billion
$56 billion100,000 jobs
Public Support
Attitude towards increased use of local wind energy
Value of Clean, Local Energy
No local ownership
Local ownership
0 25 50 75 100
very negative negative neutral positive very positive
45% positive
16% positive
Tax IncentivesBarriers to Clean, Local Energy
I want youif you have taxable income
City
Nonprofit
Cooperative
Thank you!
John Farrellenergyselfreliantstates.orgjfarrell@ilsr.orgjohnffarrell612-276-3456 x210