1. Filling the Generation Gap Sustainably Both From an Economic and Environmental Perspective Michelle Lau ‘12 Environmental Defense Fund, Summer 2011

2. Environmental Defense Fund (EDF)  This summer:  EDF’s NYC Office in the Office of Economic Policy and Analysis  Non-profit, advocacy organization  Focus on environmental issues in areas of climate, oceans, ecosystems, and health  Solutions combine science, economics, and law

3. Generation Gap Study  Characterize the current generation capacity  Use a model to determine the composition of the power system over the next 30 years  Understand the potential technology choices to fill the gap  Use a model to see how the power system should evolve  Research and determine which policies to pursue to achieve the desired output

4. Current Capacity and Generation  Capacity vs. Generation

5. Part I – Characterize Existing Generation Capacity: Base Case  Base Case – Gap appears in 2020  By 2030, the percentage of coal generation capacity is less than capacity of natural gas generation Baseline Retirement Settings Coal Retirement Age50 Oil Retirement Age40 Natural Gas Retirement Age40 Nuclear Retirement Age40 Peak Demand Growth Rate1.5% EPA RegulationsModerate Efficiency/DR Peak Reduction (2010, 2020, 2030, 2040) 18 GW; 79 GW; 157 GW; 157 GW;

6. Part II – Technology Choices  Biomass  Coal  Geothermal Power  Hydropower  Natural Gas  Nuclear  Solar Power  Storage/Transmission  Wind Power  Technology Background  Technical Potential  Costs and Emissions  Barriers to Implementation

8. Part III – Policy  Second Capacity Model  EPA Regulations  Industry reports vs. Congressional reports  Still in progress!

9. Reflections  Worked both independently and as a member of a team  Participated in many intern events  Broadened knowledge about various environmental and energy issues  Gained experience in the non-profit sector  Explored New York City

10. Thank You!  Gernot Wagner, Economist, Environmental Defense Fund  Pearl Donohoo, Graduate Student, MIT  Environmental Defense Fund  Grand Challenges Internship Program