PNW ENERGY

PNW ENERGY
1. What are the sources of energy for and
in the PNW?
2. What are the uses, the pros, and the
cons of each source?
3. What is the outlook for non-hydrorenewables?
4. What are the current and future roles of
the PNW in the North American energy
economy?
A few concepts…
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Fossil fuels
Solar-based energy sources
Stocks
Flows
Criteria for energy resource analysis:
• Market price
• Regional sourcing autonomy: helps local job and tax base. Foreign
supply is strategic issue.
• Social and environmental externalities when production/utilization of
a resource reduces social utility or environmental health of the
general population (subjective) total cost = market price +
externalities
examples: health impacts, habitat degradation, crop injury, climate
change
• Reliability & stability of supply
• Market price predictability, stability
• Decentralization of production/generation superior to centralized
production (security, terrorism)
• Projected reserves/long-term supply limitations
• other
What are the sources of energy for the PNW?
• Hydroelectricity: ~37-43% of energy use., and ~83% of electricity
generated. Exported to US SW in spring, summer, imports
electricity in winter.
Pros: locally produced, no air pollution, low “cost”, some flex. in
timing of gen. to blend with intermittent renewable sources
(“firming”)
Cons: little growth likely, anadromous fish impacts, centralized
production
• Petroleum: ~38-42% of consumption, dom. for transportation.
Pros: was “cheapest” source for transportation, excluding
externalities
Cons: sourced outside of region, US strategic issues, air pollutant
• Natural Gas: >15% of cons., dominantly in industrial, home
heating, electricity. Recent hydraulic fracturing breakthroughs have
expanded N. American reserves, supply. Price down since 2009
Cons: ~70-80% from Alberta. LNG becoming globalized
commodity. Low autonomy, security - US consumes 25% global
supply, has 3%? global reserves; air pollutant, price highly volatile
(note red ink material was current in 2007, not now)
Pros: cleaner than coal, cogeneration practical, can be
decentralized for electricity generation, but generally isn’t, used for
firming intermittent power streams from wind, solar. (the bridge fuel)
PNW Sources of Energy (cont)
• Coal: ~3% PNW energy, most from MT, WY. Mostly used to fire
electricity plants (baseload). Plant in Boardman, OR
Pros: High stability of price, low market cost ~3-4 cents/kw-hr, US
projected reserves > 100 yrs.
Cons: bad air pollutant, limited regional supply
• Nuclear: ~2% regional energy cons., centralized production, high
predictability of supply, used for baseload, no theoretical supply
limitation, pollution/externalities??? Uses large amounts of water.
• Conservation: reduces need to develop new supplies
Pros: in theory, can be integrated quickly, non-polluting, lowest cost
way to meet energy needs
Cons: Jevon’s paradox
• Non-hydro renewables (con’t)
Non-Hydro Renewables
• Biomass
– wood and waste
– biodiesel
– ethanol
• Local potential for poplar trees is large
• Wind –
Pros: 4-5 cents/kw-hr., could become ~20+% of average NW grid
load, some sold in fixed price future contracts, clean, improves rural
employment & tax base, no fuel cost
Cons: intermittent, considered visual nuisance by some, large
investment up front, bird mortality
• Geothermal (baseload electricity & heating)
• Solar Thermal, Photovoltaic (PV), Passive Solar
– PV ~14-25 cents/kw-hr. & ↓
• Oceanic (Wave and Tidal)
Wave Energy (con’t.)
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high energy density
higher energy availability (80-90% of the time)
higher predictability
seasonal cycle is good fit with current PNW
supply and demand (has winter max., while
natural hydroelectric is winter minimum)
• most of US pop. lives <50 miles from coasts