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R GreenChoice Austin Energys Renewable Energy Program Mark Kapner Local Renewables 2007 TM.

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Presentation on theme: "R GreenChoice Austin Energys Renewable Energy Program Mark Kapner Local Renewables 2007 TM."— Presentation transcript:

1 R GreenChoice Austin Energys Renewable Energy Program Mark Kapner Local Renewables 2007 TM

2 R Austin Energy Municipally-owned electric utility Serves more than 700,000 population Area > 1000 sq km H Austin

3 R Customers 26% of energy sold to residential 70% to commercial 4% to municipal

4 R Generating Sources 3 gas and oil-fired plants1670 MW 1 coal-fired plant 570 MW 1 nuclear plant 400 MW Purchase 212 MW of wind Purchase 11 MW landfill methane power Purchase 1 MW of Hydro

5 R Conventional Generation Mix by MWH Coal 34% Nuclear 30% Gas 30 % Renewables 6%

6 R GreenChoice Background Austins Strategic Goal: 20% of energy from renewables by 2020 By enrolling, customer causes change in AEs generation mix Customer benefits from the price stability inherent in renewable energy GreenChoice price linked to actual cost of renewable energy TM

7 R GreenChoice Renewable Sources Wind 79% Landfill methane (17 % of MWH) Photovoltaics and Hydro (4% 0f MWH) TM

8 R Wind Pros and Cons Least expensive (per kWh) Little firm capacity Transmission adequacy risk Public acceptance- fairly high

9 R 70 597 964 320 245 484 40 Wind Capacity in MW, end of 2006

10 R Landfill Methane Pros and Cons 40% more expensive than wind energy Very high firm capacity Public acceptance- moderate

11 R Tessman Road Landfill Methane Power Plant

12 R Solar Photovoltaics Most expensive (about 7 times cost of wind) Fairly high firm capacity Public acceptance - extremely high

13 R How GreenChoice Works All customers eligible Commercial customers contract for min 5 years Subscribers pay a fixed GreenChoice charge in place of a fuel charge that fluctuates depending on market prices of coal and gas; price lock for as long as 10 years Green Choice charge = 3.50 cents per kWh Fuel Charge is currently 3.35 cents per kWh Commercial customers receive recognition proportional to level of participation TM

14 R Austin Energy Electric Bill Base Rate 6.44 cents x kWh plus Fuel charge = $0.033 x kWh or GreenChoice charge = $0.035 x kWh

15 R Comparison to Fuel Charge Premium or Discount? 1 2 3 4 Batch #

16 R Promotion and Marketing Stories in utility bill inserts Ads in local newspapers Billboards Customized presentations to businesses Speaking engagements Letter from environmental groups to their mailing list TV commercials

17 R Corporate Champions (use > 700,000 kWh per year) 3M Corporation 823 Congress Advanced Micro Devices (AMD) Ambion, Inc. Apple Computer BAE Systems BLOCKBUSTER Fisher-Rosemount Systems Four Seasons Hotel Austin G S D & M Ginny's + Merit Graeber, Simmons & Cowan Greenwood Towers Habitat Suites Hotel Heart Hospital of Austin Hyatt Regency Austin IBM Iron Cactus Kinko's La Quinta Inn & Suites LBJS Broadcasting Company Live Oak Development Maudie's Cafe Pier 1 Imports Samsung Austin Semiconductor Solectron Texas State Farm Insurance Texas Commission on Environmental Quality Texas Governor's Mansion The Rebekah Baines Johnson Center Tokyo Electron America

18 R Corporate Champion Ad Package TV ad – features company logo Billboards List names twice per year in three newspapers Company logo in EnergyPlus customer newsletter GreenChoice logo available for companys use in its advertising

19 R Status (end of Nov, 2006) GreenChoice launched mid-Jan 2000 Began billing April 2001 Over 10,000 residential customers enrolled 44 large commercial subscribers 348 small businesses Green Energy = 650 million kWh/yr.

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