Feds Release Final Rules on Clean Energy Tax Credits
Renewable energy project developers now have important clarification about the transferability of clean energy tax credits, as the U.S. Treasury Dept. and the Internal Revenue Service (IRS) released final rules on the issue on April 26.
The Inflation Reduction Act (IRA) passed in 2022 created two new credit delivery mechanisms—so-called elective pay or direct pay, and transferability—to enable a variety of government and business entities to take advantage of tax credits tied to renewable energy projects. Groups such as state, local, and Tribal governments, along with non-profit organizations and some businesses, until passage of the IRA had not been able to fully benefit from tax credits related to development of clean energy installations.
The groups had sought clarification on the tax credit issue before moving forward with some projects. Organizations have said that transferability will help them build new projects more quickly and affordably. The topic was a focus of discussion at the Solar Energy Industries Association’s (SEIA’s) March 2024 “Finance, Tax and Buyers Seminar” in New York City.
New Tools for Access to Credits
“The Inflation Reduction Act’s new tools to access clean energy tax credits are a catalyst for meeting President Biden’s historic economic and climate goals. They are acting as a force multiplier, enabling companies to realize far greater value from incentives to deploy new clean power and manufacture clean energy components,” said Secretary of the Treasury Janet Yellen. “More clean energy projects are being built quickly and affordably, and more communities are benefiting from the growth of the clean energy economy.”
The IRA’s transferability provisions allow businesses to transfer all or a portion of any of 11 clean energy credits to a third-party in exchange for tax-free immediate funds. That will enable businesses to take advantage of tax incentives if they do not have sufficient tax liability to fully utilize the credits themselves. Entities without sufficient tax liability have previously been unable to realize the full value of credits, which often raised costs and created challenges when trying to finance construction.
“Thanks to President Biden’s Inflation Reduction Act, more small businesses, startups, and other businesses can now benefit from game-changing clean energy tax credits by using the innovative transferability tool,” said Lael Brainard, White House National Economic Advisor. “We are already seeing businesses eager to participate in the transfer market, with more than 50,000 registration numbers requested for projects or facilities pursuing transferability. These final rules will provide additional clarity and certainty for clean energy investments in communities across the country.”
Payments for Credits
The IRA also allows tax-exempt and government agencies to receive elective payments for 12 clean energy tax credits, including the major Investment and Production Tax Credits, as well as tax credits for electric vehicles and charging stations. Businesses can also choose elective pay for a five-year period for three of those credits: the credits for Advanced Manufacturing (45X), Carbon Oxide Sequestration (45Q), and Clean Hydrogen (45V). Final rules on elective pay were issued in March.
The IRS has created an Energy Credits Online, or ECO, system that will support taxpayers transferring a clean energy credit, or receiving a direct payment of an energy credit, or CHIPS credit. CHIPS is a program to provide incentives for production of semiconductors, which have many applications in the energy industry.
The IRS in a news release Friday said the registration number from its online system “must be included on the taxpayer’s annual return when making a transfer election or elective payment election for a clean energy credit. The registration process helps prevent improper payments to fraudulent actors and provides the IRS with basic information to ensure that any taxpayer that qualifies for these credit monetization mechanisms can readily access these benefits upon filing a return and making an election.”
The agency said that as of April 19 more than 900 entities have requested about 59,000 registration numbers for projects or facilities located across all 50 states plus territories. “Approximately 97% of these projects are pursuing transferability,” the agency said, adding that “a wide variety of credits are being used, but the bulk transferability-related registrations are related to solar and wind projects using the investment or production tax credit. In addition, more than 1,300 projects or facilities submitted are pursuing elective pay, including submissions from more than 75 state and local governments to register approximately 650 clean buses and vehicles through elective pay.”
The value of the tax credits for clean energy projects is not determined during the pre-filing registration process; it is determined after an entity files its tax return.
—Darrell Proctor is a senior associate editor for POWER (@POWERmagazine).
From Mine to Line through End of Life, How Technology is Optimizing Battery Production
The battery industry is experiencing a seismic shift as demand for renewable energy solutions increases. With electric vehicle (EV) sales expected to double from 2023 to 2027, reaching 31.6 million units, and shortages of cobalt and lithium expected through 2027, according to S&P Global Commodity Insights, innovation is necessary.
There is a growing demand for batteries and the need to adhere to more sustainable manufacturing processes. In fact, according to McKinsey & Co., more than 5 terawatt hours (TWh) per year of gigafactory capacity will be required globally by 2030. Thus, battery manufacturers are under intense pressure to scale rapidly and sustainably without compromising product quality and reliability.
COMMENTARY
However, scaling up production at a rapid pace presents its own set of hurdles. This surge in demand coupled with stringent quality standards has paved the way for revolutionary advancements in battery production technology to help manufacturers tackle these challenges. Making affordable batteries that pack significant power, last longer, charge faster, and keep us safer are all top goals.
High-quality batteries are reliant on quality processes and analytical solutions at every step of the battery materials value chain: from extracting raw materials, such as lithium and cobalt, from mines to ensuring the quality and safety of battery cell production, the mine-to-line journey demands more advanced quality control to monitor product quality attributes and impurities at lower and lower levels within the manufacturing process.
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Realtime or near-realtime measurement systems are becoming necessary as quality control laboratories struggle under the growing volume of daily samples. The industry is looking to inline analytics including rheology, XRF and Raman spectroscopy to ensure the material composition remain within tight specifications as it flows through the manufacturing process. Innovations in process analyzers are helping manufacturers maintain the quality and safety of their lithium-ion batteries while maximizing productivity and process efficiency.
Moving Faster on the Path to Innovation with R&D
Battery innovation starts with rigorous research and development, and manufacturers are constantly looking to explore new materials and designs to enhance battery performance and longevity. To expedite this process, they are applying technology, including Electron Microscopy (EM), surface analysis techniques (XPS, EDS) and spectroscopy (Raman, FTIR), to drive results. Specifically, they are looking for unique material insights, investigating candidate materials and turning the analytical data collected into faster process decisions.
Kyle D’Silva
In addition to exploring the new and the novel, battery manufacturers are also investing in research to understand the causes of battery failure and developing new solutions to mitigate these risks. It is only after the R&D stage has been thoroughly conducted that manufacturers turn to securing the raw materials for production and bringing their new or upgraded innovations to life.
Optimizing Mining Operation Processes
Advanced mining techniques for extracting raw materials, including lithium, cobalt, and nickel, can be resource-intensive and environmentally damaging. There is a critical need for battery manufacturers to implement robust and high-availability systems that work reliably in harsh environments while also delivering the information needed to maximize efficiency and drive up throughput.
To address these challenges, many manufacturers are taking their technology to the next level by optimizing their operations with XRF and XRD spectroscopy, Raman Spectroscopy, handheld XRF analysis, PGNAA elemental analysis, and bulk ore sorting. These innovations are pivotal to accelerating mining and mineral processing, raw material QC, and production by providing real-time elemental composition analysis of bulk materials and minimizing energy consumption.
Quality Assurance with a Critical Focus on Catching Defects
In addition to optimizing material categorization at the mines, manufacturers are focused on minimizing defects and maintaining tight specifications throughout the entire battery production process. Both partly assembled and complete batteries require examination and a robust approach with 100% measurement of the finished product is recommended – meaning a statistically meaningful proportion of the product flow is at the minimum requirement. During the production process, cell manufacturing scrap is as high as 30% when a new battery factory launches, according to McKinsey & Co. This causes significant material wastage and can heavily contribute to environmental concerns.
By identifying and rectifying defects at the earliest stage possible, manufacturers can minimize scrap rates and improve overall production efficiency. For this reason, manufacturers are turning to new technologies, including X-ray source inspection and process Raman spectroscopy, to help detect defects early and often in the production process. For example, X-ray sources can be used to detect misaligned components, particulate contamination and weld defects in both at-line and in-line inspection, while Raman spectroscopy is relevant to cathode coating detection and can verify the absence of cross-contamination from equipment such as the coating machine rollers.
In-line metrology solutions are also essential as they offer real-time and continuous measurement and early defect detection during the electrode coating process, which is vital for battery performance and functionality. Non-uniform coatings on the electrode with even small defects significantly compromise performance characteristics, reliability and safety of the battery. New metrology innovations such as in-line mass profilometry are enabling manufacturers to inspect and measure 100% of their electrode coatings, whereas previously they were able to inspect <5% of the surface. This means they are catching defects early in the process that had previously gone undetected; improving product quality whilst reducing scrap.
Closing the Loop with Sustainable Battery Recycling
As demand surges, the importance of sustainable end-of-life solutions cannot be overstated. Currently, most recycling efforts in the battery industry are insufficient, with an alarming 50% scrap rate on average in Europe and North America. There are currently no wide-scale systems in place to collect and process this scrap, so potentially valuable materials that could be reused are instead sitting in landfills. Within the decade, large-scale recycling and processes for rescuing previously wasted material will become crucial due to the sheer volume of lithium-ion batteries that will be in use from cars to buildings to traditional electronics.
XRF and XRD spectroscopy are being put to work to recover valuable materials from spent batteries and minimize waste. They are helping to create a more circular economy for battery materials. In particular, Raman spectroscopy allows manufacturers to obtain critical insights in a matter of seconds and have real-time control over hydrometallurgical conversions of essential battery elements, including lithium, manganese, cobalt, and more.
Navigating the Evolving Landscape & Growing Demand
As the demand for clean energy solutions continues to rise, manufacturers must adapt to meet evolving market dynamics and explore technological advancements to stay ahead of competitors. The technologies mentioned in this article are already making a meaningful difference in supporting and strengthening activities across the battery manufacturing lifecycle. In fact, they are becoming pivotal with influence ranging from the researchers developing the next generation of battery technology to the battery materials producers looking to achieve greater efficiency while leaving a smaller environmental footprint.
In this way, every facet of battery production is changing with technologies advancing the entire production lifecycle. From mine to line and even through end-of-life handling, the journey toward a greener future is powered by innovation, collaboration, and a relentless commitment to excellence. These core technologies are just the start.
—Kyle D’Silva is director of Clean Energy for Analytical Instruments at Thermo Fisher Scientific.
EPA Unleashes Four-Pronged Assault on Fossil Fuel Power Pollution
In an unprecedented move, the U.S. Environmental Protection Agency (EPA) on April 25 simultaneously finalized four major environmental rules covering greenhouse gases (GHG), air toxics, wastewater discharges, and coal combustion residuals from fossil fuel-fired power plants.
Among the rules is the EPA’s final Carbon Pollution Standards, which marks the agency’s third attempt to broadly curb GHG emissions from the nation’s fleet of coal plants and its first to regulate GHG emissions from new natural gas-fired power plants. The agency also issued an updated and strengthened Mercury and Air Toxics Standards (MATS), which targets coal power emissions. Separately, the EPA finalized the Effluent Limitations Guidelines and Standards (ELGs), which aim to drastically reduce pollutants discharged by steam power plants through wastewater. Finally, the suite of regulations includes a final rule governing legacy coal combustion residuals, addressing the long-delayed mandate from the DC Circuit to implement oversight on coal ash regulation.
EPA Administrator Michael Regan on Wednesday told reporters the agency’s regulatory sweep is part of an integrated, coordinated and economically efficient approach aimed at streamlining regulatory processes and delivering predictability. The approach, he explained, stems from a pledge made during CERAweek 2022.
“I stood before industry stakeholders and outlined a clear plan for EPA as an approach to addressing harmful pollution from the power sector. On that day, I committed to maintaining transparency and open dialogue so that state and federal energy regulators, power companies, and grid operators would have the information they needed to make long-term investments in the transition to a cleaner energy economy,” he said. “And today, I’m proud to announce that we’re following through on that commitment.”
However, the EPA’s suite of final regulations immediately elicited strong criticism from parts of the U.S. power industry, which had urged the agency to heed their concerns about technology feasibility, stringent compliance timelines, and reliability impacts.
Legal experts have cautioned the GHG rule, prominently, will likely encounter legal challenges. “We can also expect a fierce political and legal fight ahead,” Mona Dajani, global co-chair of Energy Infrastructure & Hydrogen at law firm Baker Botts, told POWER. “Specifically on the legal front, industry opponents will challenge the new rule as a violation of the major questions doctrine, as defined in the U.S. Supreme Court’s decision inWest Virginia v. EPA. That decision effectively limited EPA’s reach,” she noted.
The following is a detailed technical overview of the final rules released today.
Final Carbon Pollution Standards for Existing Coal-fired and New Gas-fired Power Plants
The EPA finalized several actions under Section 111 of the Clean Air Act (CAA) covering existing coal-, oil-, and gas-fired steam generating units (under Section 111[d]) and new and reconstructed gas-fired combustion turbines and modified coal-fired steam generating units (under Section 111[b)]):
Final emission guidelines for GHG emissions from existing coal-fired and oil/gas-fired steam-generating electric generating units (EGU),
Finalized revisions to the new source performance standards (NSPS) for GHG emissions from new and reconstructed fossil fuel-fired stationary combustion turbine EGUs,
Finalized revisions to the NSPS for GHG emissions from fossil fuel-fired steam generating units that undertake a large modification based upon the 8-year review required by the CAA.
The EPA, in addition, finalized its repeal of theTrump-era Affordable Clean Energy (ACE) rule, but it refrained, as it had indicated in February, from finalizing emissions guidelines for GHG emissions from existing gas-fired power plants. The agency has said it will address emissions from the “entire fleet of natural gas-fired turbines” as part of a more “comprehensive approach” to regulate “climate, toxic, and criteria air pollution.”
Consistent with the statutory command of CAA Section 111, the final NSPS and emission guidelines of the EPA’s actions “reflect the application of the best system of emission reduction (BSER) that, taking into account costs, energy requirements, and other statutory factors, is adequately demonstrated,” the EPA said on Thursday.
The EPA finalized several actions under Section 111 of the Clean Air Act (CAA) covering existing coal-, oil-, and gas-fired steam generating units (under Section 111[d]) and new and reconstructed gas-fired combustion turbines and modified coal-fired steam generating units (under Section 111[b)]). Source: EPA
But, keeping with the EPA’s contentious May 2023 proposal, the EPA determined that the BSER for the longest-running existing coal units (units that plan to operate after January 2039) and for new baseload combustion turbines is carbon capture and sequestration (CCS). The standards require existing coal units to meet a standard of performance based on the implementation of 90% CCS.
However, the rules notably extend compliance dates for coal units from January 2030 (as required in the proposal) to January 2032. They also provide an applicability exemption for coal units that plan to cease operation by January 2032.
But for new combustion turbines, the final rules appear to apply more stringently compared to the proposal. The EPA expanded the applicability of the most stringent baseload standard to units operating above a 40% capacity factor (compared to 50% in the proposal). It also moved back compliance deadlines for the 90% CCS-based standard for baseload units from 2035 (in the proposal) to 2032.
New baseload units will be subject to an initial “phase one” standard based on efficient design and operation of combined cycle turbines and a “phase two” standard based on 90% capture of CO2. New intermediate load turbines (with a 20-40% capacity factor) are subject to a standard based on the efficient design and operation of simple cycle turbines, while new low-load turbines (with a capacity factor of less than 20%) are subject to a standard based on low-emitting fuel.
Notably, the EPA in its final Carbon Pollution Standards scuttled its highly contested proposed effort to include hydrogen co-firing as a BSER pathway for baseload and intermediate units. A senior administration official, however told reporters in a briefing on Wednesday that power generators could still consider hydrogen co-firing as a compliance option for new natural gas and even coal plants.
Finally, compared to the proposed rule, the final rules pay specific attention to reliability impacts. The EPA notably adopted two optional reliability-related mechanisms that states may choose to incorporate into their plans: A short-term reliability mechanism for new units or units responding to declared grid emergencies and a “reliability assurance mechanism” for units with “cease operations” dates that may be needed to stay online longer than anticipated due to documented reliability needs.
Still, because “states are afforded the flexibility to implement the final carbon pollution rule in state plans,” the rule’s impact on power plant retirements “could be different to the extent states and power companies make different choices than those assumed in the illustrative analysis [laid out in the rules’ Regulatory Impact Analysis (RIA)],” the EPA told POWER on Wednesday.
The agency’s illustrative analysis takes into account that the power sector is already in the midst of change, it noted. “In 2023, the power sector included ~181 GW of operational coal-fired EGUs,” it said. So far, an estimated 56% of this fleet (101 GW) has publicly announced plans to retire or convert to gas prior to 2039 and another 8 GW by 2040, leaving approximately 73 GW of operational coal-fired EGUs in 2040, it noted.
The illustrative analysis suggests the final rule could result in another 14 GW of coal retirements in 2040, along with 6 GW of coal-to-gas conversion and 3 GW of derated capacity. “This results in 19 GW of coal-fired capacity remaining in place,” the EPA said. By comparison, without the rule, the EPA’s baseline economic projections suggest that only 42 GW of operating coal capacity could be operational by 2040, a figure that also factors in additional projected retirements, capacity derates, and conversions to gas.
Final Rule to Strengthen and Update the Mercury and Air Toxics Standards (MATS) for Power Plants
The EPA on Thursday announced a significant update to the 2012–finalized National Emission Standards for Hazardous Air Pollutants (NESHAP) for Coal- and Oil-Fired Electric Utility Steam Generating Units—a rule more commonly known as the Mercury and Air Toxics Standards (MATS). The final rule substantially reflects the EPA’s April 2023 proposed rule.
MATS limits coal- and oil-fired power plant emissions of mercury and acid gas hazardous air pollutants (HAPs)—such as hydrogen chloride (HCl) and hydrogen fluoride. The standards also cover non-mercury HAP metals such as nickel, lead, and chromium, and organic HAPs such as formaldehyde and dioxin/furan.
The new final rule tightens numeric emission limits for filterable particulate matter (fPM)—a surrogate for total non-mercury HAP metals. While existing coal plants were previously required to meet fPM standards of 0.030 pounds per million British thermal units (lb/MMBtu) of heat input, the final MATS revises that standard to 0.010 lb/MMBtu (as proposed in April 2023). “Currently, 93% of coal-fired capacity without known retirement plans before the compliance period has already demonstrated an fPM emissions rate at or below 0.010 lb/MMBtu,” the EPA noted on Thursday.
The EPA also tightened mercury emission standards for lignite-fired power plants, requiring they meet the same standard as existing bituminous and subbituminous plants: 1.2 pounds per trillion British thermal units (lb/TBtu) or 1.3E-2 lb/GWh. The previous standard required 4 lb/TBtu. “EPA’s review of information on current mercury emission levels and controls for lignite-fired EGUs shows that lignite-fired EGUs can achieve the more stringent mercury emission rate using available control technologies and/or improved methods of operation at reasonable costs,” the agency noted.
While coal and oil plants previously had the choice of demonstrating compliance for non-mercury HAP metal emissions limits by monitoring fPM via quarterly sampling or particulate matter (PM) monitoring continuous emissions monitoring systems (CEMS), the final rule will make it mandatory to require demonstrating compliance using PM CEMS. “PM CEMS confer significant benefits, including increased transparency regarding emissions performance for sources, regulators, and the surrounding communities; and real-time identification of when control technologies are not performing as expected, allowing for quicker repairs,” the EPA noted
Finally, the final rule also sets down a firm definition of startup as either “the first-ever firing of fuel in a boiler for the purpose of producing electricity, or the firing of fuel in a boiler after a shutdown event for any purpose.”
The EPA’s RIA for the MATS rule suggests about 5 GW of operational EGU capacity will need to comply with the rule in 2028. Another 11.6 GW would either need to improve existing PM controls or install new PM controls to comply with the rule. For now, “EPA projects that no coal-fired capacity would retire under the final rule,” it said.
Final Supplemental Effluent Limitations Guidelines and Standards for the Steam Electric Power Generating Point Source Category
On Thursday, the EPA also finalized revisions to its technology-based effluent limitations guidelines and standards (ELGs) for the steam electric power generating point source category, which the EPA proposed in March 2023.
The final rule finalizes zero-discharge effluent limitations for all pollutants in flue gas desulfurization (FGD) wastewater and bottom ash transport water (BATW) starting in 2025. It also proposes numeric discharge limitations for mercury and arsenic in combustion residual leachate (CRL) and legacy wastewater, which is discharged from certain surface impoundments. Finally, the rule eliminates less stringent requirements for two subcategories of facilities (high flow facilities and low utilization energy generating units) that were contained in the 2020 regulation.
For the final rule, EPA evaluated three regulatory options as summarized in Table ES-1. The agency established best available technology (BAT) effluent limitations and pretreatment standards based on the technologies described in Option B. For more about these technologies, see the EPA’s newly released Technical Development Document. Source: EPA
According to the EPA, the final ELG rule considers flexibilities where appropriate. “For example, recognizing that some coal-fired power plants are in the process of closing or switching to less polluting fuels such as natural gas, the regulation includes flexibilities to allow these plants to continue to meet the 2015 and 2020 regulation requirements instead of the requirements contained in this final regulation,” it notes. “This is done by creating a new subcategory for [EGUs] that permanently cease coal combustion by 2034.”
The final rule means EGUs in the new subcategory are now required to meet the 2020 rule requirements for FGD wastewater and BATW rather than the new, more stringent zero-discharge requirements that apply to other facilities, the EPA explained. “The subcategory also contains requirements for CRL discharges that vary based on whether the EGU is still combusting coal or not.”
EPA estimated about 232 plants of the nation’s 858 steam power plants generate the wastestreams covered by the regulatory options. It also acknowledged the rule will be costly during the compliance years (2025-2029), though it suggests. “On an after-tax basis, the final rule has estimated incremental annualized compliance costs ranging from $479 million to $956 million,” it notes. That includes capital costs of up to $415 million and operations and maintenance costs of up to $541 million.
However, these costs represent small projected increases in total electricity market costs, the net effect of decreases in fuel costs, variable O&M, and fixed O&M, and increases in capital and CCS costs, it said.
Legacy Coal Combustion Residuals Surface Impoundments and CCR Management Units Final Rule
On Thursday, the EPA announced final changes to the CCR regulations for inactive surface impoundments at inactive electric utilities under the Resource Conservation and Recovery Act (RCRA).
These so-called “legacy CCR surface impoundments” refer to areas at power plants where coal ash has been stored in surface impoundments that were operational but are no longer in use and have not been regulated under federal laws up to this point.
The rule responds to an August 2018 opinion by the U.S. Court of Appeals for the District of Columbia Circuit (Utility Solid Waste Activities Group et al. v. EPA) that vacated and remanded the provision that exempted inactive impoundments at inactive facilities from EPA’s April 2015 CCR rule.
“These new regulations are also driven by the record, which clearly demonstrates that regulating legacy CCR surface impoundments will have significant public health and environmental benefits. This is because legacy CCR surface impoundments are more likely to be unlined and unmonitored, making them more prone to leaks and structural problems than units at utilities that are currently in service,” the EPA said.
In the final rule, EPA establishes mandatory groundwater monitoring, corrective action, closure, the requirement for corrective actions if contamination is detected, and the proper closure and post-closure care of these impoundments to mitigate ongoing environmental impact.
The EPA estimated annualized monetized costs of the action will be about $214 million to $240 million per year, mostly for legacy CCR impoundments. However, the agency also noted that it does not expect the rule to affect current operations at power plants and, therefore, anticipates no impacts to electricity or grid reliability. “This rule reflects the Administration’s commitment to reduce pollution from the power sector while providing long-term regulatory certainty and operational flexibility,” it said.
Technology Turning Food Waste into Renewable Energy
Food waste is an enormous environmental and economic crisis that demands urgent solutions. Each year, an astonishing 1.03 billion tons of food is wasted globally—enough to feed 1.26 billion hungry people. All that wasted food is responsible for a staggering 8% of total greenhouse gas emissions.
As the world grapples with these mounting challenges of food waste and the need for sustainable energy sources, an innovative solution is emerging—the use of anaerobic digestion (AD) to transform organic waste into renewable electricity. This cutting-edge technology offers a powerful way to address two pressing environmental issues simultaneously while also providing valuable byproducts that can benefit agriculture and local communities.
COMMENTARY
At its core, anaerobic digestion is a natural biological process that utilizes anaerobic bacteria to break down organic matter, such as food waste or sewage sludge, in an oxygen-depleted environment. This process, which occurs naturally in conditions like swamps and landfills, has been harnessed and refined by modern technology to create a sustainable and efficient means of generating energy from waste. Anaerobic digestion has been used for centuries around the world to recycle organic waste into energy. Now, this proven technology is being widely implemented here in North America.
The Process
The AD process begins with collecting and sorting organic waste, like food waste residuals, from processing and various other sources. This material is then fed into airtight tanks called digesters, where microbes consume and break down the complex organic compounds through a series of chemical reactions. As the bacteria metabolize the waste, they release two products: a nutrient-rich soil amendment called digestate and biogas made up primarily of methane and carbon dioxide.
It is this methane-rich biogas that holds the key to generating clean, renewable energy. The biogas is upgraded to remove impurities, resulting in a purified biomethane product that can serve as a renewable substitute for natural gas in residential, commercial, and industrial applications. This process takes place in a closed-loop system that captures emissions, turning waste that would generate detrimental greenhouse gases into energy.
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One prime example of this technology in action is the Maryland Bioenergy Center in Jessup, a state-of-the-art anaerobic digestion facility. This pioneering center has the capacity to process an impressive 110,000 tons of organic waste annually, producing approximately 312,000 MMBtu (one million British thermal units) of renewable natural gas, enough to power around 4,800 homes for an entire year.
Shawn Kreloff
However, the benefits of anaerobic digestion extend far beyond just energy production. The process also yields a nutrient-rich byproduct called digestate, which can be further processed into a valuable soil amendment. Facilities like the Maryland Bioenergy Center generate thousands of tons of this sustainable soil byproduct annually, providing a viable alternative to synthetic fertilizers and supporting sustainable local agriculture by enhancing soil quality and crop yields.
Engineering and Environmental Science
The technology behind modern anaerobic digestion facilities is a marvel of engineering and environmental science. Automated systems meticulously monitor and control every aspect of the process, from the initial sorting and pretreatment of the organic waste to the final purification and distribution of the biogas. Sophisticated sensors and control systems ensure optimal conditions for the anaerobic digestion process, maximizing efficiency and minimizing environmental impact.
Additionally, the versatility of anaerobic digestion technology allows it to be tailored to a wide range of applications. From small-scale digesters on individual farms or community gardens to large-scale industrial facilities, this sustainable solution can be adapted to meet the unique needs of diverse communities and organizations.
As the world transitions to a more sustainable and circular economy, the role of anaerobic digestion in turning food waste into renewable energy is becoming increasingly vital. By redirecting organic waste from landfills and incinerators, this technology reduces greenhouse gas emissions and generates a valuable source of clean energy and nutrient-rich fertilizers.
Looking ahead in 2024 and beyond, we can expect to see intensifying focus and capital flowing towards proven food waste technologies like anaerobic digestion, improved logistics, process optimization software, tracking software, recycling and upcycling solutions, and consumer-facing technology. Driven by the massive economic price and increasing pressure to curb emissions, I anticipate increasing innovation of recycling solutions over the coming years.
With smarter technologies deployed at scale, the monumental goal of halving food waste by 2030 is an achievable target. Realizing that goal is an environmental and economic necessity that the tech sector is poised to meet.
—Shawn Kreloff is CEO of Bioenergy Devco, a Maryland-based group that specializes in anaerobic digestion technology.
Schneider Electric Releases All-In-One Battery Energy Storage System for Microgrids
Schneider Electric today announced a Battery Energy Storage System (BESS) designed and engineered to be a part of a flexible, scalable, and highly efficient architecture. BESS is the cornerstone for a fully integrated microgrid solution that is driven by Schneider Electric’s controls, optimization, and world-renowned digital and field services.
Graybar, a leading distributor of electrical, communications, data networking products, and provider of supply chain management and logistics services, is the inaugural channel partner for Schneider Electric’s new BESS, offered as part of the EcoStruxure Microgrid Flex system. Renewable energy is a growing part of Graybar’s comprehensive portfolio of solutions.
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“With over two decades of expertise in battery conversion, we are proud to introduce a solution meticulously crafted to serve multiple energy needs,” said Jana Gerber, Schneider Electric’s president of North America Microgrids. “Our aim is to streamline energy expenditures while amplifying the use of renewable resources, including solar PV. Combining our proven track record of innovation with Graybar’s focus on renewable energy solutions will accelerate this mission.”
As part of a microgrid system, BESS captures energy from different sources, accumulates this energy, and stores it in rechargeable batteries for later use. Battery energy storage is the distributed energy resource that enables most customer energy-use cases, including resiliency, demand-charge reduction, grid services, renewable self-consumption, decarbonization of electrical energy, and variable generation smoothing.
Comprised of a battery system, battery management system, power conversion system, and controller, BESS has been tested and validated to work as an integral component of Schneider Electric’s standardized microgrid system, EcoStruxure Microgrid Flex, and fully integrated into the software suite, which includes EcoStruxure Microgrid Operation, and EcoStruxure Microgrid Advisor. With a scalable configuration and advanced safety controls, BESS features include:
Full Integration: The all-in-one enclosure seamlessly incorporates pre-integrated components, streamlining site engineering, construction, and installation processes while minimizing labor and material expenses. The paralleling capability enables multiple BESS units to function as a unified entity. This comprehensive integration encompasses inverters, batteries, cooling systems, transformers, safety features, and controls, ensuring optimal performance and efficiency.
UL certified and compliant: The solution is fully certified and compliant with UL9540 certification and has a cutting-edge fire safety system design aligned with the latest standards outlined in NFPA 855.
Easy installation and maintenance: The ready-to-deploy system, featuring a meticulously tested, validated, and documented architecture (TVDA), facilitates installation processes, surpassing the efficiency of traditional custom-engineered designs. The solution also seamlessly integrates with Schneider Electric’s Energy Management Systems (EMS), significantly reducing integration time and minimizing field errors.
Resilience: The system offers bidirectional connectivity to the grid, providing the flexibility to operate as either grid-connected or off-grid. With the capacity to store energy for immediate access during outages, BESS can deliver up to 2 MW of power when needed.
Peace of mind: Comprehensive services and support available throughout the lifecycle of the project and warranty execution for optimal maintenance and care.
There are two connection-ready BESS options available: a small, hybrid 7-feet NEMA 3R Enclosure that is both AC and DC coupled and a medium 20-feet NEMA 3R Enclosure that is AC coupled. Sizes for the family range from 60kW to 2MW in 2h and 4h configurations.
The stored energy from a BESS can be discharged to supply power to office, industrial, and commercial facilities, electric vehicles, or the grid.
“Our new Battery Energy Storage System marks a significant step forward in bringing resilient, sustainable, and economical energy solutions to the market,” Gerber said. “Amidst the global pursuit of net-zero objectives and the imperative for an enhanced grid, BESS strategically harnesses onsite generation capabilities to deliver substantial energy savings while maximizing renewable integration.”
“Graybar is proud to be at the forefront of innovation as the inaugural channel partner for Schneider Electric’s state-of-the-art Battery Energy Storage System,” said Kathleen M. Mazzarella, chairman, president, and CEO of Graybar. “Together, Graybar and Schneider Electric remain dedicated to advancing sustainable technologies that deliver exceptional performance and value to our mutual customers.”
For more information about microgrid technologies and energy resiliency, check out this Schneider Electric commentary.
—POWER edited this content, which was contributed by a communications group representing Schneider Electric.
Federal U.S. Power Sector Initiatives Went Full Throttle in April: Here's the List
The Biden administration has unveiled several sweeping actions over the past month aimed at boosting clean energy deployment, enhancing manufacturing jobs, and reducing pollutant emissions across the power sector.
The measures—many announced as part of a comprehensive Earth Week agenda on April 25—are notable for their strategic push in an election year, highlighting the administration’s commitment to environmental and energy priorities amidst a politically charged climate.
The newly announced initiatives include the implementation of four new stringent rules by the Environmental Protection Agency (EPA) that target air and water pollution reductions from fossil fuel power plants. But they also include bold local, regional, and federal initiatives from the Department of Energy (DOE) that seek to expedite the permitting process for new transmission lines and make critical grid upgrades over the next five years alongside measures from the Department of Interior (DOI) to reduce costs and expedite projects on public lands. In tandem, the Department of Treasury has collaborated with the DOE to allocate tax credits under the Inflation Reduction Act (IRA).
Separately, the Federal Energy Regulatory Commission (FERC) has moved forward with major transmission reforms, including a final rule to streamline the interconnection process, and the Nuclear Regulatory Commission (NRC) has taken steps to accelerate its review of advanced nuclear reactor types as part of a broader effort to support the deployment and development of new nuclear technologies.
“These massive announcements move us forward in tackling the climate crisis and advancing environmental justice in empowering our workers and in growing our economy,” White House National Climate Advisor Ali Zaidi told reporters in a call on April 24. “These are a big deal for the American people, and they are a product of President Biden’s clear-eyed vision for the future. This is how this is how we win the future,” he added.
Zaidi on Wednesday underscored the scale of progress accomplished over the past four years. “Today [the pace of] clean energy deployment has doubled, and we now have enough clean power on the grid to supply electricity to 70 million homes. So, this isn’t a concept for the future. It’s something that’s showing up in communities already across the country. And if you just look at 2024 and the projections for this year, we are anticipated to add more capacity to the grid this year than we have in 20 years in two decades. And the projection is that 96% of that new power capacity will be clean,” he said. “And if you look at where we are today, I think it gives you a sense of why we can be ambitious moving forward. A big part of moving forward is making sure that we have the supply chains and the resources to actually deploy across the country.”
Following is a lengthy list of recently implemented measures.
Stringent New Environmental Rules
EPA Announces Four New Rules for Power Plant GHG Emissions, Mercury, Effluent Limitations, and Coal Ash. The EPA on April 25 rolled out final rules imposing stringent GHG controls on coal-fired and new baseload natural gas power plants. The rules also significantly tighten mercury and toxic metal emissions standards, strengthen effluent limitation guidelines (ELGs), and new safeguards for legacy coal ash surface impoundments.“The standards announced today will ensure that power companies use modern, cost-effective technologies to reduce pollution and protect the health and wellbeing of communities, including communities historically overburdened by pollution,” the White House said.
DOE Rolls Out Notable New Transmission and Interconnection Measures
Final Rule to Make Federal Rule More Efficient. The DOE on Thursday issued a rule that establishes the Coordinated Interagency Transmission Authorization and Permits (CITAP) program, which “aims to improve coordination across agencies, create efficiencies, and establish a standard two-year timeline for federal transmission authorizations and permits.” The CITAP program “gives transmission developers a new option for a more efficient review process, a major step to provide increased confidence for the sector to invest in new transmission lines,” the White House said.
Final Rule to Fast Track Environmental Reviews of Existing Transmission Lines. The rule unveiled on Thursday, creates a categorical exclusion, the simplest form of review under the National Environmental Policy Act (NEPA) for projects that use existing transmission rights of way, such as reconductoring projects, as well as for solar and energy storage projects on already disturbed lands, the White House said.
A Target to Upgrade 100,000 Miles of Existing Transmission. The DOE on Thursday made funding available through the Grid Resilience and Innovation Partnership (GRIP) program to support upgrades to existing transmission lines. The DOE’s categorical exclusion “will speed up the process to upgrade existing lines. The power sector can achieve this ambition primarily by deploying modern grid technologies like high-performance conductors and dynamic line ratings that enable existing transmission lines to carry more power,” the White House said. “As a complement to building new lines, deploying solutions like these offer fast and cost-effective ways to unlock hundreds of gigawatts of additional clean energy, increase system reliability and resilience, reduce grid congestion, and cut energy costs.”
SouthwestIntertieProject-North. Leveraging $30 billion, the DOE on Thursday unveiled a capacity contract from the Transmission Facilitation Program (TFP) that will support a new 285-mile, 2-GW transmission line from Idaho to Nevada. The Southwest Intertie Project-North “is expected to provide hundreds of jobs to workers with the International Brotherhood of Electrical Workers,” the White House said.
Completion of the 3.2-GW Ten West Link Line. On Thursday, the DOI announced the completion of the Ten West Link transmission line from Arizona to California. The line will begin transmitting electricity today. The DOI approved the construction of this project in 2022
Continuing Investment in Grid Upgrades. Applications last week closed for up to $2.7 billion in DOE grant funding under the second round of the Grid Resilience and Innovation Partnerships (GRIP) program for projects to upgrade and modernize the transmission and distribution system to increase reliability and resilience. “This builds upon$3.46billioninprojects selected for grid upgrades in October 2023, which are funded by President Biden’s Bipartisan Infrastructure Law,” the White House said.
Charting a Grid That Will Meet Emerging Challenges.Last week, the DOE released the 2024 Future of Resource Adequacy Report, which lays out solutions to meet increasing electricity demand while cutting emissions and maintaining affordability. The DOE also released the Innovative Grid Deployment Liftoff Report to chart pathways to deployment of modern, commercially available transmission and distribution technologies that could support 20 GW to 100 GW of peak demand.
Connecting Power Plants to the Grid. In addition, the DOE last week released the Transmission Interconnection Roadmap, a report that lays out solutions to accelerate the process of connecting more power generation to the grid and reduce wait times. “The Roadmap complements $10 million that DOE recently made available for analytical tools and other approaches to accelerate the interconnection process,” The White House said. “Additionally, the Federal Energy Regulatory Commission is moving forward to implement a series of major transmission reforms, including afinalrule to streamline the interconnection process.”
Securing Critical Supply Chains
The White House on Thursday said that while private companies have invested almost $80 billion in clean energy manufacturing, recent actions “continue the progress to build and secure domestic supply chains and ensure that the U.S. will lead the world in clean energy manufacturing.”
Treasury Dept., DOE Announce $4B in Tax Credit Allocations. The Treasury Department and DOE recently announced $4 billion in IRA tax credit allocations for over 100 manufacturing projects across 35 states under the Qualifying Advanced Energy Project Tax Credit (48C). “This includes projects to manufacture transformers and grid components, electric vehicle components and chargers, and transmission cables, produce clean steel, and process critical minerals and materials,” the White House noted. “These allocations include $1.5 billion for projects in historic energy communities that have experienced closure of coal mines and power plants.”
A Boost for the U.S.NuclearFuel Supply Chain. Last week, the DOEannounced milestones to support the build out of a domestic fuel supply chain for nuclear energy and reduce U.S. reliance on imports of fuel from Russia. The DOE said it recently closed the requests for proposals to purchase high-assay low-enriched uranium (HALEU) needed for advanced nuclear reactors, part of a $700 million program secured through the IRA. “Moreover, an enrichment plant (located in Piketon, Ohio) produced the first 100 kilograms of civilian HALEU ever in the U.S. with future plans to expand to 900 kilograms.” U.S. capabilities are slated tofurther increase owing to an “an additional
$2.7 billion made available from the Bipartisan Infrastructure Law in the Fiscal Year 2024 Energy and Water Development,” the White House noted. When paired with $2.2 billion from France and the UK, the funding will meet and exceed a commitment made last fall at COP28 to pool funds to develop a safe and secure global supply chain, it said.
Boosting the Renewables Buildout
In addition to these measures, the White House said the administration highlighted steps to accelerate the buildout of renewable energy.
AcceleratingOffshoreWindDeployment. On April 24, theDOIannounced plans for the next five years of offshore wind leasing, as well as afinalruletomodernizeoffshorewind regulations. “Over the next 20 years, the final rule is expected to result in cost savings of roughly $1.9 billion to the offshore renewable energy industry, savings that can be passed onto consumers or used to invest in additional job-creating clean energy projects,” the White House said. The DOE this week also released theOffshoreWindLiftoffReport, charting a path to success for the next wave of projects through continued innovation and cost reductions, along with DOE’s latest steps to support offshore wind manufacturing and transmission development. The DOI has so far approved eight offshore wind projects, a combined 10 GW of commercial-scale offshore wind projects. Two are already providing power to the grid. The Bureau of Ocean Energy Management (BOEM) has meanwhile four offshore wind lease auctions, which brought in almost $5.5 billion in high bids, including a record-breaking sale offshore New York and New Jersey, and the first-ever sales offshore the Pacific and Gulf of Mexico coasts. BOEM is now looking to explore additional opportunities, including in the Gulf of Maine and offshore Oregon and the U.S. Central Atlantic coast.
Renewable Energy onPublic Lands. Earlier this month, the DOI issued afinalrule to reduce fees for solar and wind projects on public lands by 80%. It announced that it has now permitted more than 25 GW of clean energy projects on public lands, surpassing a major milestone ahead of 2025.
Boosting Geothermal Energy Resources. Last week, the DOI adopted categorical exclusions toexpeditethe review and approvalof geothermalenergyexploration on public lands. In March, the DOE released a new Pathways to Commercial Liftoff report on geothermal power, which suggests U.S. geothermal energy production could grow by a factor of 20 to 90 GW by 2050.
Improvingthe State and Local RenewableEnergy Siting Process.The DOE earlier this month opened afundingopportunity for state-based collaboratives to build capacity to improve renewable energy planning and siting processes. The funding, supported by the IRA, “will accelerate the siting process to bring renewable energy online faster while improving outcomes for host communities, local governments, and disadvantaged communities,” the White House said.
New Solar, Nuclear Part of Environmental Justice Initiatives
Under the President’s Justice40 Initiative, the administration is pursuing a goal that will see 40% of the overall benefits of certain federal in climate, clean energy, and other investments flow to “disadvantaged communities that have been marginalized by underinvestment and overburdened by pollution.”
“Through the Justice40 Initiative,518 programsacross 19 federalagenciesare being reimagined and transformed to ensure the benefits reach the communities that need them most,” the White House noted. “Federal agencies are making this happen with the Climate and EconomicJustice Screening Tool, which is used to identify communities that benefit from the Justice40 Initiative.”
Solar for Low-Income Communities.This week the EPAannounced $7 billion to deploy solar energy for low-income communities through the Solar for All program, funded by the Inflation Reduction Act. “The 60 selections will provide funding to support 60 states, territories, Tribal governments, municipalities, and nonprofits to enable low-income and disadvantaged communities to benefit from solar, cutting annual electricity bills by more than $350 million for low-income households, creating an estimated 200,000 jobs, and increasing grid reliability,” the White House said.
Building Out Power on Former Mine Lands.DOE recently announced up to
$475 million for five projects in Arizona, Kentucky, Nevada, Pennsylvania, and West Virginia to accelerate clean energy deployment on current and former mine lands. The projects, supported by the BIL, will deploy geothermal, pumped-storage hydropower, solar, and battery storage.
Encouraging a Coal to Nuclear Switch.The DOE noted it recentlyreleasedaninformationguide and technicalstudy for communities andstakeholderswho are considering replacing their coalplants with nuclear. “Coal-to-nucleartransitioncansignificantlyreducethe costofnuclear plantconstruction, whilecreating newhigh-paying jobs, increasing communityincome andrevenue, and improvingpublic health,” it said. The guide is based on a technical study that found transitioning from a coal plant to a nuclear one would “increase local employment opportunities, create additional higher-paying jobs, and spur increased revenues and economic activity in the host community.” It also found that, with planning and support for training, most workers at an existing coal plant should be able to transition to work at a replacement nuclear plant.
Financing Local Clean Energy Projects. Earlier this month, the EPA announced $20 billion in grant awards under two competitions from the Greenhouse Gas Reduction Fund to create a national network to fund climate and clean energy projects.
Microgridsfor Tribal Communities. TheDOE recently announced a $72.8 million conditional commitment to fund a solar-plus-storage microgrid on the Tribal lands of the Viejas Band of the Kumeyaay Indians.
NRC Advances Rule to Streamline Advanced Nuclear Reviews
The Nuclear Regulatory Commission (NRC) has voted to codify proposed changes to streamline a key environmental review process for advanced nuclear reactors. Nuclear advocates lauded the measure as one of the regulator’s most important actions in 2024.
The NRC on April 17 approved its staff’s recommendation to publish a proposed rule that would amend Part 51 of Title 10 of the Code of Federal Regulations, “Environmental Protection Regulations for Domestic Licensing and Related Regulatory Functions,” and begin the process to codify the regulator’s findings of its draft Advanced Nuclear Reactor Generic Environmental Impact Statement (ANR GEIS).
The draft ANR GEIS essentially uses a technology-neutral framework alongside a set of plant and site parameters “to determine which potential environmental impacts would be common to the construction, operation, and decommissioning of most advanced nuclear reactors, and thus appropriate for a generic analysis, and which potential environmental impacts would be unique, and thus require a project-specific analysis,” the NRC explained.
The approach would cover “different reactor designs” as well as “any new nuclear reactor application meeting the parameters used to develop the GEIS,” the NRC said. “The proposed GEIS would streamline the environmental reviews for future new nuclear reactors by presenting generic environmental impacts for those designs that fit within certain site and plant parameters.” If the proposed rule is finalized, “new reactor license applications would supplement applicable generic environmental findings with an evaluation of project-specific issues,” it said.
Acting to Ensure More Stability, Predictability
A key driver for the NRC’s approach has been to minimize environmental impacts as required by the National Environmental Policy Act (NEPA), but also to improve costs and benefits for advanced nuclear applicants, securing more stability, predictability, and clarity to the licensing process.
The regulatory body’s draft regulatory analysis suggests that if compared to a no-action alternative, assuming eight applications over the next decade, the proposed rule alternative and associated guidance “would result in undiscounted total net savings for the NRC and applicants up to $14.5 million or $2.0 million per application if the ANR GEIS is fully utilized.”
However, while the NRC received a proposed ANR GEIS rule from its staff in November 2021, its decision “was stalled in part due to disagreement about whether the GEIS should be a rule or guidance,” Dr. Adam Stein, director for Nuclear Energy Innovation at the Breakthrough Institute noted on X last week.
Commissioners approved its staff’s recommendation to publish the proposed rule in the Federal Register contingent upon certain key provisions. These include expanding the rule’s applicability from just “advanced nuclear reactors” to all new nuclear reactor applications that align with existing plant and site parameters. In addition, the rule should mandate a review of the ANR GEIS every ten years, aligning with the process established for license renewal.
Other key changes include excluding references to fusion reactors, in line with directives to regulate near-term fusion systems under a different framework. Additionally, the update emphasizes the need for site-specific environmental reviews, ensuring that individual reactor contexts are adequately addressed.
The NRC said it will now seek public comment on the proposed rule following its publication in the Federal Register.
A Change That Could Help Accelerate Advanced Nuclear
The measure has been received by the nuclear industry, which has advocated for timely rulemaking by the NRC to ensure predictability for the burgeoning advanced nuclear industry. “This updated rule will establish a consistent, effective, technology-inclusive, and risk-informed process for advanced reactor licensees,” said think tank Third Way. “The change will be felt throughout the industry as it will help accelerate the expansion of nuclear energy in the U.S. for years to come.”
The Nuclear Innovation Alliance (NIA) agreed. NIA Executive Director Judi Greenwald told POWER the proposed rule builds on agency best practices for environmental reviews and will enable the more effective, efficient, and predictable licensing of advanced reactors. “The ANR GEIS will enable applicants and staff to use generic staff findings on 100 of 121 environmental issues in the ANR GEIS generally applicable to advanced reactors as the basis for their project-specific environmental reviews,” she noted.
It means that the proposed rule would enable applicants, NRC staff, and the public to focus on project-specific environmental issues for future environmental reviews for advanced reactors, she explained. It also translates to dramatic cost savings, she suggested. “NRC staff estimate that the use of the ANR GEIS could reduce the costs of environmental reviews for new advanced reactors by between 20% and 45% depending on the project,” she said.
Commissioner statements published alongside the measure in the NRC’s docket echoed these points. Commissioner Bradley Crowell underscored the update’s importance in relation to the NRC’s broader regulatory obligations. “The agency is proactively adjusting for new potential workload scenarios, including the high likelihood of reviewing a significant number of license applications—often simultaneously—for a variety of new non-light-water reactor technologies,” he noted. “To do so, the agency must begin implementing efforts to facilitate more efficient and effective license reviews while maintaining the NRC’s primary responsibility to protect public health and safety and to promote the common defense and security.”
Without a GEIS, an EIS for each application would “require development of detailed, site-specific information about the environmental effects of building and operating a certain reactor, despite increasing recognition that many sites often share numerous common or overlapping environment characteristics and related considerations,” Crowell added.
However, several commissioners noted the decision to codify the GEIS—as opposed to making the GEIS available for use as guidance—was difficult. “Codifying the GEIS (rather than treating it as guidance) has several key benefits, including improved stability and predictability for applicants, equal treatment for parties seeking a hearing from the NRC, and consistency with prior Commission direction,” Commissioner DavidWright argued in a statement.
“The most notable corollary to the ANR GEIS is the License Renewal GEIS, NUREG-1437. Since codification in 1996, the staff has relied on its findings approximately 60 times to evaluate the environmental impacts of license renewal,” he noted. The NRC notes that since the publication of that GEIS, which is focused on the renewal of nuclear plant operating licenses, approximately 40 plant sites (70 reactor units) have applied for license renewal and undergone environmental reviews.
“The License Renewal GEIS has resulted in added value by focusing resources for license renewal on the site-specific impacts of individual license renewals instead of simply repeating generic analyses,” Wright said. “Similar to the License Renewal GEIS, I believe the ANR GEIS has the ability to simplify our environmental reviews by providing a durable and predictable analysis of the generic environmental impacts of these projects.”
Renewable Energy Group Buys 12 New York Community Solar Projects
BW Solar, a Canada-based a developer of community solar, distributed generation, utility solar, and utility-scale storage assets, said it has sold 12 New York community solar projects with a combined capacity of 76.7 MW to Catalyze, a clean energy transition company that finances, builds, owns and operates solar and battery storage systems.
The groups on April 23 said the transaction includes a portfolio of six 38.2-MW pre-construction projects, and another group of six 38.5-MW projects in early-stage development, located in upstate New York. The group of notice-to-proceed ready, or NTP-ready, projects are targeted for commercial operation this year and next year.
Catalyze, headquartered in Houston, Texas, and known for making renewable energy accessible for commercial and industrial businesses, will leverage its experience in executing projects in New York while demonstrating its commitment to innovative practices in solar development to bring these projects to fruition. For example, one project, slated for construction this summer, will incorporate an all-terrain tracker designed to navigate the challenging features of a steep, undulating hill. This innovative approach mitigates the need for extensive site grading, thereby reducing construction costs and environmental disruption.
“BW Solar is committed to the energy transition by originating and developing high-quality renewable energy projects, and this transaction is testament to our execution expertise. We were pleased to work with Catalyze in a seamless transaction process for the acquisition and look forward to seeing the projects come to fruition,” said Tai Nguyen, CEO of BW Solar, which is part of BW Group.
“We appreciate the BW Solar team’s collaboration in this transaction process, helping ensure we meet the increasing demand for renewable electricity in New York,” said Jared Haines, CEO of Catalyze. “We look forward to deploying our operational expertise to bring these projects online within the next two years, increasing the adoption of solar in the state and engaging local communities in the process.”
—POWER edited this content, which was contributed by BW Solar and Catalyze.
Hydrogen Research Project Opens at University of Texas
Frontier Energy, GTI Energy, and the Center for Electromechanics at The University of Texas at Austin on April 23 hosted the grand opening of a hydrogen research and demonstration facility.
The project was developed as part of the “Demonstration and Framework for H2@Scale in Texas and Beyond” project, supported by the U.S. Department of Energy’s (DOE) Hydrogen and Fuel Cell Technologies Office. This first-of-its-kind hydrogen proto-hub is considered a significant leap forward in the clean hydrogen economy.
More than 20 industry stakeholders and sponsors are involved in the effort, which will showcase technology needed to expand hydrogen’s role in decarbonization while also raising awareness of hydrogen as a clean energy source.
The facility will generate zero-carbon hydrogen using water electrolysis powered by solar and wind energy, as well as steam methane reformation of renewable natural gas from a Texas landfill. The hydrogen will power a stationary fuel cell for clean, reliable power for the Texas Advanced Computing Center and supply zero-emission fuel to a fleet of Toyota Mirai fuel cell electric vehicles and to fuel cell drones.
This approach marks the first time that multiple renewable hydrogen supplies and multiple end uses have been networked at a single location to demonstrate a scalable, economical hydrogen ecosystem.
Paths to Renewable Hydrogen
Launched in 2020, the H2@Scale project aims to develop and demonstrate paths to renewable hydrogen as a clean and cost-effective fuel. The facility is both a unique academic research center, as well as a model for future large-scale hydrogen deployments, showcasing a fully integrated hydrogen ecosystem that includes production, distribution, storage, and end-use.
As part of the project, a recently released study, “A Framework for Hydrogen in Texas,” highlights Texas’ strong position for clean hydrogen production. The state’s existing hydrogen infrastructure and abundant wind and solar resources make it a prime candidate to help meet the world’s hydrogen demand.
“We launched the H2@Scale initiative with our labs years ago to pave the way for pilot projects that help advance both clean hydrogen innovation and scale up,” said Dr. Sunita Satyapal, Director, DOE Hydrogen and Fuel Cell Technologies Office and Hydrogen Program Coordinator. “I am so pleased to see this project underway to help guide future larger scale clean hydrogen deployments and make progress on America’s clean hydrogen strategy.”
“H2@Scale isn’t just about producing low-carbon energy, it’s about creating clean energy growth opportunities for communities throughout Texas and the nation,” said Adam Walburger, president of Frontier Energy. “By harnessing renewable energy resources to create zero-carbon hydrogen, we can power homes, businesses, transportation, and agriculture—all while creating jobs and reducing emissions.”
“Through public-private partnerships enabled by H2@Scale, DOE continues to build on its role as an accelerator for the collaborative early-stage research, development, and demonstrations needed for effective energy system transitions,” said Paula Gant, president and CEO of GTI Energy. “By demonstrating a fully integrated hydrogen ecosystem, H2@Scale is a proving ground for the powerful potential of large-scale Regional Clean Hydrogen Hubs in building a robust hydrogen economy in ways that benefit local communities whether through skilled job creation, cleaner air or strengthened energy access.”
“The H2@Scale in Texas project builds on nearly two decades of UT leadership in hydrogen research and development. With this facility, we aim to provide the educated workforce and the engineering data needed for success,” said Michael Lewis, research scientist in the UT Austin Center for Electromechanics. “Beyond the current project, the hydrogen research facility is well-positioned for growth and impact in the emerging clean hydrogen industry.”
The H2@Scale project will provide insights to participants in the DOE-funded HyVelocity Gulf Coast Hydrogen Hub, which is designed to inform the development of a comprehensive hydrogen network across the region.
—POWER edited this content, which was contributed by communications team members at GTI Energy, Frontier Energy, and the University of Texas-Austin.
Groups Collaborate to Electrify Chemical Processing Plants
Three major chemical processing companies announced the startup of a demonstration plant to show the viability of large-scale electrically heated steam cracking furnaces.
BASF, SABIC, and Linde on April 17 said the facility, at BASF’s Verbund site in Ludwigshafen, Germany, will begin operating after three years of development, engineering, and construction work. The three groups in March 2021 signed an agreement to jointly develop and demonstrate solutions for electrically heated steam cracking furnaces.
The companies in a news release wrote, “Steam crackers play a central role in the production of basic chemicals and require a significant amount of energy to break down hydrocarbons into olefins and aromatics. Typically, the reaction is conducted in furnaces at temperatures of about 850 degrees Celsius. Up to now, these temperatures have been reached by using conventional fuels. The demonstration plant aims to show that continuous olefin production is possible using electricity as a heat source. By using electricity from renewable sources, the new technology has the potential to reduce CO2 emissions of one of the most energy-intensive production processes in the chemical industry by at least 90% compared to technologies commonly used today.”
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Those groups’ announcement came one day after Lummus Technology, a global provider of process technologies and value-driven energy solutions, and Braskem, the largest bio-based polymer producer in the world, on April 16 said they will work on joint studies related to the industrial demonstration of Lummus’ SRT-e electric cracking heater. The technology will be used to decarbonize one of Braskem’s sites in Brazil.
The companies said the project “will set the basis for the eventual negotiation between Lummus and Braskem of a definitive agreement that will, among other things, establish the general guidelines by which such implementation will take place.”
Ludwigshafen Demonstration Plant
The demonstration plant in Germany will produce olefins, including ethylene and propylene, and also could make higher olefins from saturated hydrocarbon feedstock. The facility is fully integrated into the existing steam crackers at the Ludwigshafen site, which serves as BASF’s headquarters.
The groups said the demonstration plant will gather “data and experiences about material behavior and processes under commercial operating conditions for the final development of this innovative technology to industrial market maturity.” The plant has two separate demonstration furnaces, and each will test a different heating concept. Direct heating applies an electric current to the cracking coils in one furnace. The second furnace features indirect heating, using radiative heat of heating elements located around the coils.
This is a rendering of the demonstration plant for large-scale electrically heated steam-cracker furnaces, located at a BASF site in Germany. The plant can potentially reduce at least 90% of the CO2 emissions emitted by common technologies. Source: BASF
The companies said two furnaces together will be able to process about four tons of hydrocarbon feedstock hourly, and consume 6 MW of energy from renewable resources.
The project’s development was supported by a €14.8 million ($15.8 million) grant from the German Federal Ministry for Economic Affairs and Climate Action under its “Decarbonization in Industry” funding program. The program is supporting energy-intensive industries in Germany that are working to achieve carbon neutrality.
“With the development of electrically operated steam cracking furnaces, we are getting our hands on a key technology that will help to significantly reduce greenhouse gas emissions in the chemical industry,” said Dr. Martin Brudermüller, chairman of the board of executive directors of BASF SE. “It fills me with pride and joy that we have achieved this success together with our partners SABIC and Linde. The demonstration plant here in Ludwigshafen will provide us with valuable experience on the final step towards the industrial application of this technology.”
SABIC CEO Abdulrahman Al-Fageeh said, “The e-furnace’s technology holds huge potential for the sustainability of the global petrochemical industry. It can demonstrate the role that renewable electricity can play in higher efficiency and low-emission chemical processing. Through close collaboration, teamwork, intellectual property development, and advancing the best technical solutions holistically, the teams at SABIC, BASF and Linde have brought this project to this key stage. We are proud to be here together today to celebrate the power of collective action on our journey toward a circular carbon economy.” SABIC is headquartered in Saudi Arabia.
The Ludwigshafen demonstration plant will be operated by BASF. Linde, based in Dublin, Ireland, was responsible for the engineering, procurement, and construction of the plant. Linde will commercialize the developed technologies at the facility under the new trademark STARBRIDGE, which is designed to help the petrochemical industry decarbonize by replacing conventional-fired technologies that have been supported by fossil fuels.
“It is our common goal to demonstrate that it is possible to electrify the petrochemical industry and to operate a steam cracker with sustainably generated electricity,” said Jürgen Nowicki, CEO of Linde Engineering. “This outstanding joint project is a significant proof of how together we can develop groundbreaking technologies that will advance us on the journey towards net-zero CO2 emissions and climate-neutral industry. The STARBRIDGE technology brings the vision of an emission-free petrochemical industry a step closer.”
Decarbonize Brazilian Ethylene Facility
The project at the plant in Brazil, using the SRT-e electric cracking heater, “leverages Lummus’ proven Short Residence Time (SRT) technology modified to operate using electricity and incorporates a modular unit-cell design that can be replicated for plants to accommodate any commercial capacity,” according to a news release. Lummus and Braskem officials said the technology “uses all commercially demonstrated components, plus an optimum heat flux profile leading to a longer radiant coil life and longer run length. In addition, decoking can be carried out on a unit-cell basis so maintaining a spare heater is not required.”
“The selection of Lummus’ SRT-e electric cracking heater as a means to decarbonize Braskem’s ethylene plants are founded on a shared commitment to develop and implement profitable sustainable technologies and solutions,” said Jose de Barros, vice president and managing director of ethylene for Houston, Texas-based Lummus Technology. “We look forward to demonstrating our breakthrough electrification technology that drastically reduces greenhouse gas emissions.”
Braskem, headquartered in São Paulo, Brazil, has a goal to reduce its greenhouse gas emissions by 15% percent by 2030. The company wants to be carbon-neutral by 2050. Braskem operates 40 industrial units in Brazil, the U.S., Mexico, and Germany, and exports its products to more than 70 countries.
“Our ambition is to considerably reduce CO2 emissions and increase the sustainability of our products through innovation, in-house developments, and important partnerships. Lummus’ SRT-e technology will help Braskem achieve its goal of carbon neutrality by 2050, which will help increase energy efficiency at our crackers,” said Antonio Queiroz, Braskem VP for Innovation, Technology and Sustainable Development. “Expanding the use of renewable electricity and renewable materials will enable Braskem to reduce its carbon footprint in the production of ethylene, propylene and other chemicals.”
—Darrell Proctor is a senior associate editor for POWER (@POWERmagazine).
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