Central Station, Nuclear, Coal, Gas Distributed Supply, Managed Demand

A Pragmatic, Progressive Approach to Energy Justice Distributive Justice Principles and Practice Principles Extensions Measurement & Policy Use Availability Devote attention surplus & least well-off 1 People deserve no less energy than the median household consumes2,a Affordability Balance fiscal viabilityb and hierarchy Living wage level, c Rates should be no higher than the median and people should of needs2,d pay no more than 2x median as a % of incomee, 3 Quality Service not supply, f Extensity and intensity Ensure adequacy, reliability and timeliness, 4, g Recognize and promote movement up the of use5,h hierarchy of needs, 6,j Attend to strong complementary goods, skills7,k Responsibility Individual Households must take some responsibility for cost8,l Steadily increasing share of cost recovery as income and usage rises9,m Social Externalities, 10,n Optimization, Robustness11 Least-cost, 12 Conservationo Equity Intragenerational Primary goods,13 Capacitiesp All the way, q Hierarchy of uses, r reflect local needs (conformity, convenience, adequacy) s Some inequality if socially beneficial14,t Open for all15 Intergenerational Sustainability Depletion, 16 environmental harm17,u Incentives to create recoverable/valuable resources, 18 renewable resources, 19,v Preserving resources, 20,w to the maximum extent consistent with technology that maximizes use of local resources benefit21,x Transactional Due Process Technocracy & Exclusion22 Information, 23 Subsidiarity, 24 Participatory governance25, y Capitalist Challenges for Implementing Distributive Justice Effectiveness of Subsidies Dumb subsidies Confusion of means-ends, z leakage, aa Smart subsidies, ab,26 Recognize relatively small sums needed when targeted to promote access and exaggeration of cost and impacts27 adoption, Targeting with means testing, 28, ad Reflect value of externalities (positive and negative) 29,ae Monopoly bias Incumbent biasaf Competitive neutrality in funding of subsidies (Uniform tax rate for all potential suppliers, general revenue); Competition in supply to minimize cost (Reverse Auctions) Competition in demand to maximize utility (consumer sovereignty through Vouchers. Administration Chronic inefficiency, rigidity, corruption Adaptive, flexible, effective, quality control, monitoring & evaluation Market Structure Excess Cost: Failure to require least cost & over recovery Competition & regulation (IRP) to eliminate abuse of market power & unnecessary supply-side subsidies Centralization Concentration of wealth & power Promotion of decentralized alternatives: Employment of local resources, Diseconomies of scale Improving fit between supply & demand, Autonomy Inefficiency Waste, excess cost Promoting efficiency lowers bills, reduces subsidies, strengthens finance Efficiency in Cost Recovery Cost causers Misplaced subsidies Marginal cost, Capture economies of scale, Social allocation of common costs to maximize users, not usage do not bear cost favoring small users (equal benefit, equal burden, standalone cost rules at the top) Shared responsibility Consumer/subsidy, public/private, microfinance of amortized fixed cost  

THE DECLINING COST OF SOLAR INPUTS

1st Industrial Revolution 2nd Industrial Revolution 3rd Industrial Revolution

INFORMATION, COMMUNICATIONS & CONTROL TECHNOLIGIES DYNAMIC SYSTEM MANAGEMENT UTILIZING INFORMATION, COMMUNICATIONS & CONTROL TECHNOLIGIES DEMAND Efficiency Target peaks Aggressive demand response Manage water heating Smart controllers Rates Target fixed cost recovery Time of use Grid Management Expand balance area Improve forecasting Integrated power transactions Import/export SUPPLY Dispatchable Storage Solar thermal Utility strategic Distributed Storage Community and Individual Air conditioning & Water Electric vehicles Generation Geographic Diversity Technological Diversity Peak Targeted Solar Quick start/rapid ramp