Clean and Affordable Energy

Future in Northwest U.S.

Nancy HirshNW Energy Coalitionwww.nwenergy.org

nancy@nwenergy.org

October 1, 2014

NW Energy CoalitionA coalition of more than 110 organizations in

Washington, Oregon, Idaho, Montana and British

Columbia that believe in clean and affordable

energy:

• civic, consumer, low-income, environmental, faith

based, and labor organizations, electric and natural

gas utilities, clean energy (efficiency and

renewables) and fishing businesses

EPA Clean Power RuleCleaning up power plants

Power plants are the largest source of carbon dioxide emissions in the United States, making up roughly one-third of all domestic greenhouse gas emissions.

The EPA rule puts the US on track to cut carbon pollution from the power sector by 30 percent by 2030, approximately 730 million metric tonnes of carbon pollution. Big public health and climate benefits

Public health and climate benefits = about $55 billion to $93 billion per year in 2030, far outweighing the costs of $7.3 billion to $8.8 billion.

EPA Clean Power RuleNumber of power plants covered by the Clean Power Plan

1,000 fossil fuel fired power plants with 3,000 units covered by this rule.  

The average age of fossil generators:coal units = 42 years oil units = 36 years natural gas combined cycle units = 14 years

NW Emissions Reductions

Starting Interim Final

(2012) (2020) (2030)

Idaho 339 244 228(33% reduction)

Montana 2,245 1,882 1,771(21% reduction)

Oregon 717 407 372(48% reduction)

Wash. 763 264 215(72% reduction)

(output weighted ave lbs/MWh for EGU’s)

Building Blocks 1 & 2

Fossil fuel power plant efficiency

Average heat rate improvement of 6% for coal steam electric generating units (EGUs) Equipment and process

improvements Co-firing

Increase use of existing gas plants

Dispatch to existing and under-construction natural gas combined cycle (NGCC) units to up to 70% capacity factor

Building Blocks 3 & 4

Zero- and low-emitting power sources

Dispatch to new clean generation, including new nuclear generation under construction, moderate deployment of new renewable generation(consistent with current trends), and continued use of existing nuclear generation

Energy Efficiency

Increase demand-side energy efficiency to 1.5% annually

Focused on utility programmatic savings

Columbia River Treaty

NWPCC - Energy Efficiency is Still the Cheapest Option

Assumptions : Efficiency Cost = Average Cost of All Conservation in Draft 6th Power Plan Under $100 MWhTransmission cost & losses to point of LSE wholesale delivery2020 service - no federal investment or production tax creditsBaseload operation (CC - 85%CF, Nuclear 87.5% CF, SCPC 85%)Medium NG and coal price forecast (6th Plan draft)6th Plan draft mean value CO2 cost (escalating, $8 in 2012 to $47 in 2029).

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Sixth Plan Resource Portfolio*

*Expected Value Build Out. Actual build out schedule depends on future conditions