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CAISO Expansion: A Western Market
The Independent Energy Producers Association 35th Annual Meeting Sept. 20, 2016 Travis Ritchie, Sierra Club Staff Attorney Small talk
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SB 350 Studies Source: Brattle, Clean Energy and Pollution Reduction Act Senate Bill 350 Study: Preliminary Results May 24, 2016 at p.153. Available at:
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SB 350 Studies Pac Coal Increase
Source: Brattle, Clean Energy and Pollution Reduction Act Senate Bill 350 Study: Preliminary Results May 24, 2016 at p.153. Available at:
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SB 350 Studies Source: Brattle, Clean Energy and Pollution Reduction Act Senate Bill 350 Study: Preliminary Results May 24, 2016 at p.155. Available at:
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SB 350 Studies No coal displacement
Source: Brattle, Clean Energy and Pollution Reduction Act Senate Bill 350 Study: Preliminary Results May 24, 2016 at p.155. Available at:
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SB 350 Studies Source: Brattle, Clean Energy and Pollution Reduction Act Senate Bill 350 Study: Preliminary Results May 24, 2016 at p.148. Available at:
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Regional Haze Requirements
Unit Location Size (MW) CO2 (tons/year)1 SCR Deadline Jim Bridger 1 WY 608 3,673,605 2021 Jim Bridger 2 617 4,086,673 2022 Wyodak 402 3,406,657 TBD2 Dave Johnston 3 255 1,757,772 Huntington 1 UT 541 3,285,650 Huntington 2 496 3,451,638 Hunter 1 525 3,344,103 Hunter 2 3,478,945 Total = 26,485,043 CO2 tons/yr Higher of 2014 and 2015 emissions data. SCR requirement stayed pending WY litigation
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Risk of Prolonging Coal Plants
SB 350 Studies Predicted 9.8 million tons of CO2 reductions per year (tpy) by 2030 in Regional 3 Scenario. Study assumed 5,000 MW of “Beyond RPS Wind” would be enticed onto the system. Without the 5,000 MW of additional wind, 87% of predicted CO2 reductions in 2030 Regional 3 Scenario do not occur, leaving decrease of only approximately 1.3 million tpy. Compare to just one coal unit: Huntington Unit 1 = 3.3 million tpy Compare to eight units facing SCRs: 26.5 million tpy.
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Solutions? Start Cleaner: PacifiCorp addresses plan for transition of its coal plants. Start Smaller: Begin regionalization with states that are more closely aligned with power mix and climate goals. GHG Rules: Develop robust GHG mechanism in regional RSO that will account for GHGs in the region and will ensure that California’s consumption does not result in increased GHG emissions to the atmosphere. Consider impact to out-of-state energy clearing price Consider impact to in-state thermal generation Consider complexity of single market with differently priced products
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