http://www.theoildrum.com/pdf/theoildrum_6641.pdf
Friday, July 23, 2010
The Big Switch?
Can we maintain a high-energy civilization simply by switching energy sources, from fossil fuels to renewables? These folks don't think so. It's worth a look.
http://www.theoildrum.com/pdf/theoildrum_6641.pdf
http://www.theoildrum.com/pdf/theoildrum_6641.pdf
Monday, July 12, 2010
Ontario Small Generator Program
Ontario (Canada) has been offering an attractive program to encourage folks to enter the electric power generation business. What is attractive about it is the rate per kWh being paid to these small generators. If your proposed system is 10 kW or less, you can earn 80.2 cents/kWh. The program is so popular that Ontario has dropped the rate to 58.8 cents/kWh for ground-mounted systems. A brochure describing the program, called microFIT, can be found here.
The approach being used in Ontario is called a "feed-in tariff" and it has a significant advantage over the tax credit approach used in NC (and by the federal government). In North Carolina, if you have only a moderate income, you might never pay enough in state and federal taxes to ever benefit fully, or indeed at all, from the available tax credits. What this means is that the people who most need financial assistance in implementing a renewable energy project are penalized. The financially well-off get the financial benefits; the poor get nothing. With a feed-in tariff, you are paid for power output, regardless of your economic status. Ontario is not the only subscriber to the feed-in tariff approach. Germany, probably the most successful promoter of solar power, also uses the feed-in tariff approach.
In fairness, it must be admitted that a "mini-tariff" is available in NC. The NC GreenPower program does pay an elevated price -- that is, more than the utilities -- for power produced by renewable energy generators. But the price differential is nothing compared to that provided by Ontario or Germany, so folks implementing renewable energy projects here are forced to rely on tax credits in order to see anything like a reasonable payback period.
The tax credit approach is better than nothing. It remains far from optimal.
The approach being used in Ontario is called a "feed-in tariff" and it has a significant advantage over the tax credit approach used in NC (and by the federal government). In North Carolina, if you have only a moderate income, you might never pay enough in state and federal taxes to ever benefit fully, or indeed at all, from the available tax credits. What this means is that the people who most need financial assistance in implementing a renewable energy project are penalized. The financially well-off get the financial benefits; the poor get nothing. With a feed-in tariff, you are paid for power output, regardless of your economic status. Ontario is not the only subscriber to the feed-in tariff approach. Germany, probably the most successful promoter of solar power, also uses the feed-in tariff approach.
In fairness, it must be admitted that a "mini-tariff" is available in NC. The NC GreenPower program does pay an elevated price -- that is, more than the utilities -- for power produced by renewable energy generators. But the price differential is nothing compared to that provided by Ontario or Germany, so folks implementing renewable energy projects here are forced to rely on tax credits in order to see anything like a reasonable payback period.
The tax credit approach is better than nothing. It remains far from optimal.
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