Tag: energy

A mighty wind

WindturbineA recent NZ Wind Energy Association newsletter carries some cheering news — enough, I thought, to deserve a Hot Topicupdate on wind energy. 2009 saw a record 50% capacity growth in wind power in New Zealand. A further 25% capacity growth is expected over the next twelve months. At the beginning of 2009 wind farms were supplying about 2.5% of our elecricity.  Currently wind generation supplies about 4%, and in the last quarter of 2009 wind generation peaked at close to 5% of total generation.

In 2009, increasing wind generation, combined with full hydro lakes, resulted in renewable generation in New Zealand providing 73 per cent of total generation – the highest level of renewable generation since 2004. Consequently emissions from electricity generation during 2009 were down to their lowest level since 2002.

The newsletter comments on the role high levels of emissions-free renewable generation will play in reducing the impact of carbon pricing on electricity prices, as the electricity sector is set to enter the Emissions Trading Scheme later this year.

The Mahinerangi wind farm 70 kilometres west of Dunedin is set to start construction in September of this year, with stage one completed by May 2011. There’s a significant local synergy with the Waipori hydro scheme which TrustPower says will allow better efficiency from Waipori. The wind farm will also improve security of supply for Dunedin and free up for use elsewhere electricity currently being imported into Dunedin from Roxburgh and the Waitaki system.

The newsletter points to the synergy between these two generating schemes as illustrating at regional level what will be achieved on a national scale as wind energy is developed and operated in combination with existing hydro generation. Essentially, the use of wind enables water to be saved in storage lakes, until the water is needed for meeting peaks in demand.

Wind farms benefit regional economies. TrustPower expects the development of Mahinerangi to result in $12 million flowing directly into the local economy. A case study of the Manawatu wind farm Tararua Stage 3 showed significant amounts spent locally during construction and ongoing annual local expenditure by the operating company.

Wind power is on the move globally. The world’s wind power capacity grew by 31% in 2009, adding 37.5 gigawatts (GW) to bring total installations up to 157.9 GW. A third of these additions were made in China. In Europe just over 10GW of wind was installed, making it the leading source of new electricity-generating technology in the region, ahead of natural gas. The prediction is that in 2014, five years from now, global wind capacity will stand at 409 GW.  (New Zealand’s total electricity capacity, from all sources, is around 9 GW.)

There’s some interesting material on prices. Because wind energy is a price taker in the electricity market it displaces more expensive generation, which is typically thermal generation. Uncertainty and risk attend the availability and cost of fuel for thermal generation. The newsletter contrasts this with the confidence about the cost of electricity over the lifespan of wind farms because they have no fuel costs, and low and well-understood operating and maintenance costs.  A report prepared by an independent consultancy for the European Wind Energy Association found that wind power reduces electricity prices. The report reviewed the findings of case studies in Germany, Denmark and Belgium, which show electricity prices were reduced by between 3 and 23 Euros per MWh depending on the amount of wind power on the system. A similar trend is seen in New Zealand in the Manawatu, where wind reduces spot prices by an average of 10 per cent.

The progress of the New Zealand turbine manufacturer Windflow Technology towards achieving international certification for its 500 kW turbine is noted in the newsletter.  It needs only approval of the tower design to complete Class 1A certification, meaning it would be suitable for use at the windiest and most turbulent sites and be capable of surviving gusts of over 250 km/h. The company sees a place for its smaller turbines on exposed ridge top sites.

The Clean Industrial Revolution

The Clean Industrial Revolution: Growing Australian Prosperity in a Greenhouse Age

The problem with cutting greenhouse gas emissions is that it will harm economic growth. Right? No, quite the opposite, says Ben McNeil in his book The Clean Industrial Revolution. It’s an age-old myth that doing good for the environment is bad for the economy. He’s addressing Australians, but what he has to say will arrest readers from many countries. It has certainly grabbed the attention of some prominent New Zealand businessmen who have presented every MP with a copy of the book and used it to back a call to the Prime Minister for a joint business/government task-force to focus attention on emerging clean technologies.

McNeil is a senior research fellow at the Climate Change Research Centre at the University of New South Wales. Besides a PhD in climate science he also holds a Master of Economics degree.  The two worlds are bridged in this energetic book.  Australia is very vulnerable to climate change through sea-level rise, rainfall changes, storms, and a decrease in food production. It is also highly carbon-intensive in its economy and its export industries will suffer as a consequence when the world starts to move heavily to reduce carbon emissions and impose carbon tariffs.

Such consequences can be pre-empted by a clean-energy revolution, one for which Australia is well-endowed. That hot arid interior is the potential source of vast quantities of high capacity solar power. The use of mirrors to concentrate sunlight so perfectly that the ultra-high temperatures convert water to steam is one way. Another, already under construction in north-west Victoria, uses mirrors to concentrate the sunlight on to high-performance photovoltaic panels. Solar power could replace the need for coal-fired power stations. A massive underground “hot rock” heat source can be tapped to create steam for power generation, a technique already being worked on by a number of companies at several sites throughout Australia. Wind power in the south could supply 20 percent of the country’s needs. Advanced biofuels that do not impact on food can be produced.  Biomass-fuelled electricity is already generated in some parts of rural Australia. Carbon capture and storage may hold some hope for the continuing use of coal, though not while coal companies put a miserly 0.3 percent of their production value into research, apparently believing that governments will do the work for them.

McNeil argues that Australia must take up a forefront position in the low-carbon economic future if it wants to remain prosperous. At the time of writing in 2009 he expected the emissions trading scheme to kick in, putting a price on carbon and pointing the economy towards investment in clean energy. This has been delayed, but even without it there is ample reason for the change of focus away from the carbon-intensive economy (carbon obesity he calls it).  The world will soon be crying out for clean energy technology.  Australia will continue to prosper in the future if it has used research and development to drive down the cost of renewable energy technologies, and investment to commercialise them and prepare them for export.

McNeil illustrates this with a striking imaginary scenario. A series of climate catastrophes hit the world in the 2020s. Global greenhouse gas sanctions quickly followed. Those nations with expanses of desert which had been working on the development of solar power became the energy superpowers of the 21st century. Australia led in the building of the Asia Pacific Electricity Grid following a breakthrough in transport efficiency for transmission cables discovered by Australian researchers. The grid connected Australian energy supply to its Asian neighbours.  The scenario is much more elaborated than this, but it all certainly sounded feasible.

Back to present reality. McNeil is adamant that there are solid employment opportunities in an economy focused on clean energy. More than offered by the present carbon intensive economy, and jobs which can’t be outsourced. Creating energy-efficient homes and buildings, for example, is a proven source of increased jobs. The European Commission suggests that energy efficiency creates three to four times the level of employment as an equivalent investment in a new coal-fired power station. Renewable energy requires two or three times more people for operation than an equivalent coal-based energy project. A comparison between Denmark’s wind industry and New South Wales coal industry clinches that. A renewables manufacturing industry is feasible kept based in Australia by a strong domestic market.

McNeil provides a wealth of illustrative material from many countries and forward-looking firms. He instances General Electric’s ‘Ecoimagination’ programme launched in 2005, aimed at developing low-carbon solutions. The company reports that it has never had an initiative that generated better financial returns so quickly. Cloudy Germany is the world’s largest market for solar energy and German solar manufacturing companies produce over half the world’s solar panels. German companies are positioning themselves for the burgeoning global clean-tech market. Tiny Denmark manufactures over half the world’s wind turbines, obtains 20 percent of its electricity from wind and plans to increase that to 40 percent. McNeil notes dryly that contrary to some prophesies Danes are far richer than Australians by GDP per capita, while cutting their carbon intensity by over one-third in less than ten years.

Innovation needs science, and McNeil titles one of his chapters “How Science Must Save Us”. If Finland can produce Nokia, Australia also can help shape the world, not by raw military or economic might but by “the seeding of ideas in an interconnected world.” Education and research funding are crucial for the development of science and he discusses how they can be expanded. Scientists and engineers will not only develop new generation clean energy but also seek to understand and monitor the effects of climate change on the natural ecosystems of Australia with its immense variety of specially evolved plants and animals. They will also continue to seek the development of techniques for reducing methane emissions from livestock, which produce 10 percent of Australian greenhouse emissions.

McNeil knows first hand how serious the implications of climate change are.  The disease has been diagnosed but his attention in this book is on the cure. He matches the environmental imperative of emissions reduction with the economic benefit of entering wholeheartedly into a new, clean, low-carbon industrial revolution. Climate change poses a great risk to the Australian economy, and so does their over-reliance on fossil fuels. They need to embrace the change to clean energy. The costs of not doing so will far outweigh the cost of making the change.

One doesn’t need to be an Australian to be cheered by much that the book has to say and the detail with which it is illustrated.  But the final sentence has to be conditional:

“If Australia sets strong greenhouse gas emission targets and invests in unleashing clean-technology innovation,…”

Unfortunately it’s still a big if, not only for Australia.  But here’s the rest of the sentence:

“…not only will Australia help the world as it makes the transition towards a low-carbon development pathway to solve climate change, it will bring new prosperity and employment growth to a country desperately needing economic reform in its energy policy.”

Note: There’s a short relevant interview with Ben McNeil here on YouTube.

[Check out this book at: Fishpond, Amazon.com, Book Depository]

The power of the ocean

The following column was published in the Waikato Times on 19 January

Silent, invisible, predictable, sustainable. Those are the four words Crest Energy uses to describe its planned marine turbine power generation project in the Kaipara Harbour. Capturing the power of the tidal movement of the up to 8,000 million cubic metres of water which pass in and out of the harbour each day, the project may eventually contribute as much as 3% of New Zealand’s electricity supply. Assuming it gets under way, that is. However, that has just become more likely with the news that the Environment Court has delivered an interim decision in favour of consent, subject to a fine-tuning of consent conditions. Mainly the Court wants further monitoring work to satisfy concerns about possible interference with Maui’s dolphin and snappper fisheries.

Like wind, the ocean around New Zealand offers many promising sites of renewable electricity generation. None of us who have stood on a beach can doubt the power of the ocean.  Harnessing a little of it for our human purposes is now technically feasible and, if we ever face up to the real cost of fossil fuels, no doubt feasible economically as well. Ultimately in New Zealand wave power is the larger potential source, since our tidal range is not great.  But tidal flow offers significant opportunities in some places, as the Kaipara project makes apparent.  Cook Strait is one, and Neptune Power has consent to trial a turbine there, probably in the near future. They comment that the mass flow in Cook Strait makes it the most concentrated energy resource in New Zealand. Foveaux Strait is another site where tidal flow is very large and it is not fanciful to imagine the Bluff aluminium smelter powered from it.

The advantage of tidal power over wave is its predictability. Waves vary according to the weather. Nevertheless there are plenty of waves around New Zealand, and trials are under way to test their electricity generating capacity.  Last year the government made a grant of $760,000 to Wellington company Power Projects Ltd to enable deployment of a 20 kw device, building on their successful trialling of a smaller model. Surveys indicate that the potential from wave power is high in relation to New Zealand’s total electricity requirements.  A plus is that wave energy tends to peak in the winter season when power demand is at its greatest.

There are currently no fewer than 26 wave and tidal energy projects at various stages of development in New Zealand. That doesn’t mean that generation is imminent, but we should not be surprised if very rapid growth occurs as the technologies mature.  I’m in no position to predict how the various renewable energy options presented by New Zealand’s geography will sort themselves out, but between wind, marine and geothermal power there appears to be a wealth of resources. That could soon see us no longer reliant on the burning of fossil fuels which currently provides 34% of our electricity. Renewables should be well able to include supplying electrically-powered plug-in vehicles.

It would be nice to report that the government is enthusiastically driving the change to renewable energy.  In the case of marine energy it has, admittedly, provided $8 million over a period of four years to support selected projects. But it committed $20 million over three years to gather seismic data in support of oil and gas exploration, and has extended tax exemptions for offshore exploration.  The Minister of Energy reserves his greatest enthusiasm for when he speaks of the prospects for fossil fuel extraction and export over coming decades. In a rational world we’d be more interested in finding ways of leaving it in the ground, knowing, as we now do, the fearful prospects ahead if we keep burning the stuff. There’s still some priority-sorting needed at government level.

Friedman: China beating US on low carbon energy

Thomas Friedman is now doubtful that China will follow an American lead towards a greener economy, as he suggested in his book Hot, Flat and Crowded reviewed here. He considers rather that it is more likely to pull ahead of the US. He writes from China in his recent column in the New York Timesthat he’s been astonished to learn of how many projects have got under way in China in just the last year –- wind, solar, nuclear, mass transit and more efficient coal burning.

He quotes Bill Gross, head of a solar-thermal Californian company, eSolar, announcing the biggest solar deal ever, a 2 gigawatt, $5 billion deal to build solar thermal plants in China using California-based technology. Gross comments that China is being more aggressive than the US. His company applied for a US Department of Energy loan for a 92 megawatt project in New Mexico. In less time than it took them to do stage 1 of the application review “China signs, approves, and is ready to begin construction this year on a 20 times bigger project!”

Friedman goes on to instance other developments. Solar panels are one. He says so many new solar panel makers emerged in China in the last year alone that the price of solar power has fallen from roughly 59 cents a kilowatt hour to 16 cents. 50 new nuclear reactors are expected to be built by 2020, while the rest of the world may manage 15. High speed trains are breaking world records. A high speed rail link from Shanghai to Beijing means trains will cover the 700 miles in just five hours, compared with 12 hours today (and 18 hours for a similar distance from New York to Chicago in the US).

China is on the way to making green power technologies cheaper for itself and for everyone else.

“But even Chinese experts will tell you that it will all happen faster and more effectively if China and America work together — with the U.S. specializing in energy research and innovation, at which China is still weak, as well as in venture investing and servicing of new clean technologies, and with China specializing in mass production.”

Friedman concludes with a call to America to put in place a long-term carbon price that stimulates and rewards clean power innovation. “We can’t afford to be asleep with an invigorated China wide awake.”

Meanwhile India has plans to be a world leader in solar power, as announced by the Prime Minister a couple of days ago. He launched the National Solar Mission with a target of 20,000 megawatts of solar generating capacity by 2022. It will be helped along by a regulatory and incentive framework. Manmohan Singh hoped the new laws and incentives will “lead to a rapid scale up of capacity. This will encourage technological innovation and generate economies of scale, thereby leading to a steady lowering of costs. Once parity with conventional power tariff is achieved, there will be no technological or economic constraint to the rapid and large-scale expansion of solar power thereafter”.

He said he was “convinced that solar energy can also be the next scientific and technological frontier in India after atomic energy, space and information technology”. The scheme has pride of place in India’s National Action Plan on Climate Change.

A sustainable energy future for NZ (without all the hot air)

This is a guest post by Phil Scadden, a regular commenter at Hot Topic (bio at the end of the post). Phil’s interested in energy issues, and has spent a considerable amount of his personal time developing an overview of New Zealand’s energy issues, inspired by the approach used by Cambridge physicist David MacKay in his recent book Sustainable Energy – without all the hot air. I’m very pleased to say that Phil is making his work available via Hot Topic (PDF here), because the perspective he brings provides a starting point for the strategic energy debate we need to be having. Over to Phil:

Sustainable Energy – without all the hot air by Cambridge physicist David MacKay is an excellent and highly readable book of numbers about the questions associated with sustainable energy (available as a free download at www.withouthotair.com). As an advocate of sustainable energy, he describes himself as “pro-arithmetic” rather than a campaigner for one type of energy production over another, which is surely what informed debate needs. Rather than dealing with daunting numbers, he reduces energy calculations to units of kWh/person/day. 1kWh is the unit we pay for in our electricity bills — the energy used by one bar heater switched on for one hour. If you want to prioritise savings then you need to read this book. Turning off a cell phone charger when not in use for a year saves the energy found in one hot bath. “If everyone does a little, then we will achieve only a little”.

The majority of MacKay’s calculations are done for the UK, and I was interested in a New Zealand perspective. To this end, I have used a similar approach to look at two questions.

  • Can New Zealand maintain its current per capita energy consumption without fossil fuels and, in particular, can we live on renewable energy sources alone?
  • How can we achieve a BIG reduction in our personal and national energy consumption, in order to reduce our power requirements?

The detailed document (about 20 pages) can be downloaded here, but this is a quick overview.

Currently 30% of NZ’s energy comes from renewable generation. My calculations (based mainly on 2007 data) show that NZ has the potential to increase this to nearly 100% over the next few decades, thus eliminating fossil fuel use, while still maintaining our current per capita energy consumption (assuming no significant population growth). We could do this initially with new hydro, geothermal and wind generation, while large-scale solar and marine technologies are promising options for the future. Biofuels are feasible but only at the expense of considerable agricultural intensification.

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