Ari Kahn

Microgrids can significantly transform our energy system by enhancing resilience, supporting economic growth, and promoting environmental sustainability. They offer a reliable power supply during disasters, stimulate local economies by creating green jobs, and reduce dependence on fossil fuels, thus lowering greenhouse gas emissions. This multifaceted impact makes microgrids a crucial component in the transition towards a more sustainable and resilient energy

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As large swathes of America sizzle through record temperatures this week, the Energy Institute published its annual statistical review of world energy: it makes for grim reading for people hoping to see rapid progress on the energy transition... Amanda Chu has the story Countries burnt record amounts of oil and coal last year, sending global fossil fuel consumption and emissions to all-time highs, the Energy Institute reported. Oil demand grew 2.6 per cent, surpassing 100mn barrels per day for the first time. Meanwhile, the share of fossil fuels in the energy mix declined slightly by half a percentage point, but still made up more than 81 per cent of consumption.  While EI’s estimates are largely in line with the International Energy Agency’s, its authors offer a more sombre view of the pace of the energy transition compared with the Paris-based watchdog. “Today’s new data provides little encouragement in terms of global climate change mitigation,” said Nick Wayth, chief executive of EI. “Arguably, the transition has not even started.”  Financial Times Energy Institute

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This article brilliantly underscores the strategic implications of utility ROEs on the energy transition. The point about "capex bias" particularly stands out, illustrating how entrenched financial incentives can skew utility decisions away from energy conservation. It's intriguing to consider how adjustments to these rates could not only enhance competitive fairness but also foster a more rapid adoption of renewable energy. Promoting totex ratemaking could be a pivotal strategy for achieving more sustainable energy practices. What reforms do you think could effectively shift the focus from capex to totex in utility planning?

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Replacing gas- and diesel-guzzling ICE vehicles with EVs has been touted as key to combating the climate crisis. But while EVs eliminate tailpipe emissions, the process of making them isn't exactly squeaky clean. Vehicles of all kinds are major users of steel, the manufacturing process for which is a significant contributor to global climate emissions. It was fascinating to learn about burgeoning efforts around the world to produce "green steel," how green steel adoption could help the world meet its climate goals, and a new campaign to push the auto industry to play a major role in this transition. “We need automakers to be making more EVs and we need the infrastructure to support EVs and we need people to buy EVs,” Carly Oboth, senior supply-chain campaigner for the climate program at Public Citizen, told me. “But we also need to think about the materials that cars are made with.” More here in this pair of stories: https://lnkd.in/g7tgCaXd https://lnkd.in/gzVtn4E5

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My hot take today is about a little noticed announcement the U.S. Department of Energy (DOE) released quietly today. It has reopened an opportunity to fund carbon dioxide transportation networks. This is a positive and a much-needed development because Cipher reporting earlier this year revealed that many of the carbon storage projects are not just dependent on securing permits but also on delivering the captured CO2. Aware of the paucity of transport networks, DOE itself noted, the U.S. will need to capture and permanently store approximately 400–1,800 million metric tons of CO2 annually by 2050 to meet its commitments. https://lnkd.in/ef7JPEgr In other top reads by my colleagues, Cat Clifford highlighted a Bloomberg article that spotlights how Holtec International, a company involved in making nuclear waste storage casks, is now looking to revitalize a nuclear plant headed for decommissioning. And Bill Spindle reported about an upcoming gathering of corporate heads of fossil fuel and tech companies. We try to stay on top of breaking news about the global developments in the cleantech and climate space and share them with you so continue reading our Top Reads and Hot Takes at Cipher News. Cheers!

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Yesterday, ERCOT issued a notice of "possible future Emergency Condition of reserve capacity deficiency" for Friday & Saturday nights. This makes the latest The Energy Capital Podcast with Zach Dell, founder of Base Power Company, particularly relevant and timely. Residential batteries solve multiple problems. Base Power Company is the first and, so far, only retail electric provider in Texas to offer customers a home battery, monthly energy service, and installation all in one package. This episode highlights one of the things I most love about Texas’ competitive energy market: we are seeing a lot of innovative offerings. And in that category, Base Power stands out. The goal of Base Power is to essentially operate as a Virtual Power Plant (VPP). When the grid is up and running, the batteries installed in participating homes will improve grid stability and lower costs. And when there are blackouts, batteries will provide customers with backup power. People often forget that over 90% of power outages happen at the distribution level. When increasingly dangerous storms, hurricanes, wildfires hit the distribution grid, no amount of large central station generation will keep the power on; that will take distributed resources located at homes and buildings. Residential batteries contribute to resource adequacy, ensuring there is enough bulk power to meet demand for everyone, but they also provide consumers a measure of self-reliance and reliability you can't get from the ERCOT grid. Please listen and share widely! #txlege #txenergy https://lnkd.in/d9XVbckD

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Come to hear two big brains on utility policy and EVs. Stay for the optimism and insights on what to expect in the near term. We're entering a pivotal moment in EVs. It's time to deliver on infrastructure promises for all vehicle types. The utilities are the driving force behind the power delivery necessary for this to happen. Two industry leaders, Brian Wilkie and Nadia El Mallakh joined me to talk about EV grid integration. Check it out on YouTube below or your favorite podcast app. Are utilities up to the challenge? What do you think? https://lnkd.in/eSTSFXVE

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LinkedIn is buzzing with the grand debate over emissions abatement, courtesy of SBTi's proposal. While they suggest using credits, companies have mixed feelings. But as far as my understanding goes, they have not slammed the door on #decarbonization. It is like having two roads to the same destination, giving us #flexibility and #choice. And let's not forget about stakeholders. Their views can sway decisions. While #offsets/ credits come with recurring costs, decarbonization demands hefty capital expenditure. How you tackle #emissions can shape how stakeholders perceive your company. So, choose wisely, considering not just the short-term gains but also the long-term impact on #stakeholders. Remember, you are still free to weigh your options and choose what suits your business best. It is all about finding the right fit! #climate #sbt #climatechange #esg #decarbonisation #offsets #carbon #carboncredits #emissions #scope3 #climateinvesting

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I always enjoy reading Andre's Climate Substack from André Meurer. Today I learned a ton about Heat Pump Water Heaters (HPWH) and the HWH replacement process. TL;DR (But seriously you should read it, it's funny and packed with great advice) ➡️Efficiency: Heat pump water heaters (HPWHs) are significantly more energy efficient than traditional gas or electric models, offering long-term cost savings and environmental benefits. ➡️Installation: Upgrading to a HPWH can be complex, requiring electrical work and careful consideration of sizing (first-hour rating). Choosing an experienced contractor is crucial. ➡️Cost: While initial costs are higher, HPWHs pay for themselves through reduced energy bills and potential rebates. ➡️Additional Benefits: HPWHs dehumidify and slightly cool the surrounding area, which can be beneficial in humid basements. ➡️Considerations: HPWHs might be slightly noisier than traditional models and may require larger tanks to match the hot water output of gas heaters. Sign up for Andre's Climate! https://lnkd.in/e2HzZizE

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Great work by Synapse Energy Economics, Berkeley Lab and E4TheFuture in codifying Distributional Equity Analysis for distributed energy, and elevating it as and equal companion to Benefit-Cost Analysis. I'm hearing growing equity concerns about DERs - e.g., rising rates for renters/households/business who can't quickly weatherize/electrify/buy solar/storage/EVs; those "left behind" on natural gas. What if a project/program/investment passes BCA but worsens equity? Awesome to see these questions go mainstream - and a rigorous approach! I am looking forward to working on DER equity analysis! DOE page links to a long and short guide, and registration for a June 25th webinar: https://lnkd.in/gsC2WhKy #energyequity #distributedenergy #energyjustice

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Solar module stockpiles can help propel equitable energy transitions. This op-ed points to the potential benefit that this surplus could bring to low-income families. #Solar #EnergyJustice #ClimateChange

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What a great program from GridLab. Taking the plunge into entrepreneurship can be daunting. Don’t let the fear win out. Support like this in the beginning is a great way to help with the transition. Kudos to GridLab

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'2024 Topics to Track'* #3. Power Grids. Centralized power generation that is distributed via complex national power grids underpins almost all industrial processes and supply chains but faces a number of growing or emerging challenges: - Severe weather. As this week is showing across much of the northern hemisphere, grids are susceptible to increasingly frequent extreme weather events. More here on weather risk: https://lnkd.in/exEEVVZE - Extreme temperatures. Not only does wind and snow damage the infrastructure but the system underperforms or even collapses in extreme heat or cold. More here: https://lnkd.in/gXzigUy8 - Age. Power grids are getting older and failing more often as a result. For example, over 70% of the U.S. electricity grid is more than 25 years old. More here: https://lnkd.in/gAW_a9ae - Resources. It is getting harder to source the necessary people and equipment to fix these aging grids. More here: https://lnkd.in/gAbGXv4T - Policy. The regulation of grid operations and their financing often leads to inefficiencies and a lack of investment. - Cyber. Power grids are a target for cyber attacks and often poorly protected. More here: https://lnkd.in/gfmfcB2x - Demand. Power demand is increasing due to population growth and, in part, by the massive power draw of advanced computing needs. More here: https://lnkd.in/gWeRAmiJ So What? Each of these challenges have different solutions, many of which are at the feet of governments and power companies. Individuals and business can and must look for ways to reduce power consumption but will look for incentives to do so. One trend to track is the proliferation of Microgrids, specifically DC Microgrids, that help decrease power needs/costs and increase resiliency. An ‘explainer’ on DC Microgrids is here: https://bit.ly/47Fo8h6. It is also worth noting that, as the world transitions to clean energy sources, new challenges are being faced such as the location of grids; often not mapping to locations with the most wind or sun. More here: https://lnkd.in/gFaRZzvn. * other 2024 Topics to Track can be found here: https://lnkd.in/e8TMf4Yt #supplychain #powersupply #powersupplychains #supplychainrisk #energytransition Daniel Stanton, Brian Laung Aoaeh, CFA, Radu Palamariu, Rushit Shah, Edgar Blanco, Adebayo Adeleke, Wolfgang Lehmacher, Dave Food, Stan Aronow, David Schwebel, Scott Luton, Alan Amling, Marian Temmen, A.K. Schultz, Margi Van Gogh, James Lawton, Dr. Karsten Machholz, Chris Smedley, Ben Cook, Marc Dragon, Jason Busch, Dr. Klaus Dohrmann, William O'Donnell, Charley Dehoney, Chris Rezendes, Stan Aronow, Jeremy Baksht, Meri Braziel, Ravi Heerwani, Keith Stauber, Nick Szczur, David Goldberg, Knut Alicke, Julian Counihan, Brian Fugate, Isaac Stone Fish, Chris Caplice, Katie Date, Taylor Wilkerson.

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Could the US expand clean energy capacity by a whopping 250 gigawatts (some ~20% of existing power generating capacity today) by using existing fossil fuel power plant sites? RMI thinks so. And now more utilities and clean energy developers--including Xcel Energy, The AES Corporation, Elevate Renewables--are running the math and finding such a project makes sense. The trend of "repowering" sites is accelerated by a stack of federal tax incentives, an Energy Department loan program, and the daunting wait times to get a new project studied, permitted and built. Utilities caution that not every site will work, and some conversions involve new natural gas plants, which environmental groups oppose.

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Ready to go deep on IRA tax credits for schools? Read on. The Inflation Reduction Act could be the largest federal investment in school infrastructure... but only if local decision-makers choose clean energy technologies like ground-source heat pumps, electric school buses, and solar over the status quo. Part of schools choosing to invest in clean energy is understanding how to be successful with the IRA's new clean energy tax credits. That's where our two-part series with the U.S. Department of Energy (DOE) comes in. On May 7th, we held an introductory session on the IRA's clean energy tax credits for schools called "Beyond Grants". You can check it out here: https://shorturl.at/6ObuI And now on May 30th we're "Going Deeper" with the experts! You'll hear from Clark Seipt, the Director of Sustainability from Loudon County Public Schools about her district's work to collect big federal dollars for ☀ solar 🚌 electric school buses 🚘 white fleet vehicles ⚡ EV charging stations, 🔃 heat pumps Then we'll dive into the new rules of the IRA road with the experts. Apprenticeship? Domestic content? Energy Communities? Jesse Nelson from Baker Tilly, Michael De Prima from CLA (CliftonLarsonAllen), Jacob Goldman from Energy Tax Savers Inc. , and Colette Gagnet, CPA from Eide Bailly LLP will have you covered! This session is the place to be if: ☑ you help shape school construction / renovation projects, capital or facilities planning and ☑ you have some familiarity with the clean energy tax credits. If that's you, register here ⤵ https://lnkd.in/egX3U4Sg and help us spread the word with a kind repost.

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