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DENVER BUSINESS JOURNAL FOR ENERGY ISSUE
Future electric power must come from Blue Watts,
A mixture of fossil, nuclear and renewable sources
By Don Hurd
CEO, E3 Consulting LLC
Twenty-five
years ago, our energy crisis began. We found ourselves on the threshold of
a new doorway, through which we have now passed, that has led us to an era
in which there are no more cheap and easy energy solutions. And now, we must
learn how to deploy several innovative technological solutions to keep up with
surging demand. New sources, new technology, new laws – it’s a
much more complex equation than it was 25 years ago. That’s why we need
Blue Watts.
Although 18 states in addition to Colorado have mandated that a percentage
of their overall electric power generation be derived from renewable
sources in years to come, it’s pretty much generally understood
that green energy will never have the capacity to generate a significant
portion of the vast amounts of electricity we consume daily. We, as
a nation, have an absolutely voracious appetite for the stuff, and
we are only getting hungrier.
Most estimates
predict green sources will generate only about three percent of all electricity
produced in the U.S. by the year 2020, and demand for electric power is predicted
to grow by 30 percent by then.
Consider
these facts:
- Over 100 new coal-fired power plants are in planning or development
across the U.S. The New York Times recently reported that energy
companies in the U.S. have announced plans in the past 12 months
to build more coal-fired plants than they’ve announced in
the last 12 years.
- Although it is in widespread use as an energy source for power
generation, clean burning natural gas is expensive and should never
have been put to that task. It is much better suited for residential
consumption and industrial feed-stocks.
- The hydrogen economy is still very far away. In order of priority,
there are several other areas far more important and promising on
which to spend time and money.
- There are just over 100 operating nuclear plants in the U.S. today;
since the year 2000, 30 more nuclear plants have been licensed and
16 new licenses are now pending. A resurgence of reliance on nuclear
power for electric generation is inevitable.
- Also since 2000, nuclear capacity has increased significantly
(and quietly) through plant upgrades; 90 percent of existing nuclear
plants are expected to be relicensed.
- The nuclear power industry is playing what we call “the
CO2 game,” reassuring the public that nuclear reaction is
the only source of heat for electric power generation that doesn’t
give off the greenhouse gas, carbon dioxide. (They forget to mention
generation of nuclear waste, however. A problem with a solution? Perhaps).
- Wind is gaining favor, but even some zealous environmentalists
don’t like the look of those huge propeller blades in pristine
environments where wind is plentiful (especially off tony Cape Cod).
And, it’s a challenge to transport wind-generated electricity
to population centers, often many miles away from the wind farms
themselves.
- Power from sources such as the sun, wind and fuel cells has grown
from a $9.5 billion global industry in 2002 to $12.9 billion in
2003, according the research consultancy Clean Edge, as reported
in BusinessWeek magazine. The firm expects the renewable power market
to reach $92 billion by 2013. (Did you know the earth receives more
energy from the sun in just one hour than the world uses in a whole
year?)
- In fact, there now exist a dozen or more different types of renewable
energy sources that have merit and could be deployed within one
to five years, most of which you’ve probably never heard of,
such as:
- Anaerobic digester gas
- Biomass co-firing
- Crystalline silicon PV
- Dish Stirling
- Parabolic trough
- Offshore wind
- Tidal
- Landfill gas
- Thin film PV
- Power Tower
- Wave power
- Nano solar cells
- Low impact hydro
- Organic Rankine
As their technology and markets mature, all of them hold some promise.
In short, nature has provided mankind with a very generous array of
usable fossil, nuclear and renewable sources of energy for electric
power generation. It is our contention at E3 Consulting that the
wisest course of action for the inhabitants of Planet Earth would
be to embrace development of an electric power grid that relies
on the use of all of them. That won’t mean focusing totally
on green power, nuclear power, fossil fuels or renewables, but on
a mixture of the whole lot we are calling Blue Watts – a different
shade of green.
To that end, governments must pass appropriate legislation to create
the right mix of generation resources and expedite the deployment
of renewable solutions to spur investment and keep consumer costs
low. At the same time, we must promote development of a new generation
of ultra-clean-burning coal-fired plants of the future that scientists
say will have nearly zero emissions.
We now estimate the known reserves of coal and natural gas in the
world will last about another two centuries, and known crude oil reserves
are already running low. So, it’s obvious that embracing a Blue
Watts future that spreads around the demand for electric power over
this wonderfully rich family of generation sources will provide a
longer life for our finite fossil fuel reserves. And, Blue Watts will
certainly result in cleaner air, land and water for us and for our
children’s children.
(E3 Consulting (http://www.e3co.com/),
with offices in Denver and Houston, is an experienced
team of experts with backgrounds in engineering, the environment,
science and finance. E3’s consultants provide objective oversight,
critical analysis and solutions for businesses building, optimizing
or restructuring energy projects.)
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