To Put Today’s EV News in Perspective, It Helps to Take the Long View

In recent months, EV headlines have been dire. Tesla layoffs, Ford and Rivian losses, and GM stumbling raise concerns. EV opponents are crowing, claiming that EVs are inferior products, foisted on customers by inept governments before their time.

Some of that is true – EVs aren’t as good as they could be, are currently too expensive, and our charging networks are inadequate and often poorly maintained. The previously torrid growth of EVs has flatlined, as early adopter markets appears sated and masses haven’t yet seen affordable and attractive models.

But to write off electric vehicles is premature and also mistaken. EVs will eventually prove to be the superior technology, and dominate future markets. To understand why, you have to drop the short-term snapshot view, adopt a long view, and look at the evolution in technology. And you have to look at China.

The electric propulsion system is so much more efficient. U.S. DOE data shows that EVs are 4.4 times more efficient than ICE vehicles.

EV and battery technology is still young. And so is the accompanying charging infrastructure.

But the tech is inevitably going to get better; it’s still in its infancy. Battery companies are making new announcements near daily, with respect to battery chemistries, energy densities, charging speeds, and duration.

That should not be a surprise. Battery technology is all about materials science, and with human brains yoked to supercomputers, there’s no doubt as to the direction battery chemistry is going.

Example 1) China’s CATL is warranteeing a battery to take a car over one million miles.

Example 2) The Lucid Air’s battery can charge about 300 miles in 15 minutes. 

That rate of technological change is only likely going to accelerate.

Meanwhile, ICE technology doesn’t get much better - Nissan recently stated it took the industry nearly three decades to increase motor efficiency by 10%.

Focus on the trends and the underlying technology. They will lead you to the inevitable conclusion: today’s bloodletting will be forgotten as electric vehicles - once they are mature - are destined to be recognized as superior. Better efficiency, far better acceleration, and with lower centers of gravity, more fun to drive.

The question ultimately won’t be “Are EVs better?” Instead, it will be “who makes the best vehicle, which happens to be electric?” That’s where the problem lies for anybody who cares about the future of the U.S. auto industry.

In the West, we haven’t yet embraced an electric future. But China has. A report last week from Inside EVs, in which the reporter spent a week in the country, visiting Shanghai and the Beijing Auto Show commented, “the showroom floor was filled to the gills with new electrified models from every single domestic automaker. They all had something to prove, and by god, they were trying… And no matter the price point, they all had responsive, integrated vehicle interfaces that were quick, pretty, and ubiquitous.”

So, while we let our ideological rivalries get in the way of developing national economic strategies, we run the risk of letting yet another industry that we once mastered slip away. China has intentionally become a world leader in battery innovation and production. It is also the leading maker and consumer of electric vehicles. 43% of cars sold in March had a plug, a total of 743,000. The U.S.?  135,000.

We need to dispense with the short-sighted and politically driven views as to what is occurring today, understand what’s really happening here, and adopt the long view suggesting that the electric drive is inevitably a superior technology. We need to recognize this for what it is: A global competition for the future of mobility – one of the planet’s most important industries. Then we need to get behind a national policy – irrespective of which party is in power – to develop better battery tech and lower cost vehicles.

The effort to win this game and remain competitive won’t be comfortable. It won’t be easy. And mistakes will be made along the way. A leading industry is at stake, supporting millions of well-paying jobs. Do or do not, there is no try

1.) Amid declining sales, Tesla slashes costs and plans to cut 10% of its workforce.

2.) Ford reports steep losses on its EVs – to the tune of $1.3 bn for the quarter – as it struggles to cut costs.

3.) Hertz to sell of yet another 10,000 EVs, adding to the 20,000 it'ss already working to dispose of.

4.) Honda announces plans to develop an $11bn EV manufacturing capability in Ontario, involving JV investments from South Korea’s Posco and Japan’s Asahi Kasei.

5.) Toyota puts down an additional $1.4 bn into its Indiana EV plant for a three-row electric SUV, and battery pack assembly line using batteries from its North Carolina facility.

6.) Japan’s NGK insulators receives order for over 230 MWh of sodium-sulfur batteries from BASF’s stationary storage business unit.

7.) Texas load growth forecasts soar, increasing 40,000 MW in a single year, reflecting load growth and a change in the way it forecasts future demand. Total potential load by 2030 could be as high as 152,000 MW. For context, ERCOT record peak demand was 85,435 MW set last August.

Strap in for a rollercoaster ride through the electric vehicle market as we unpack the highs and lows facing industry titans like Tesla and Ford. Witness the strange paradox where EV sales dip and automakers cut costs, yet the horizon glows with promise as Asian manufacturers like Honda and Toyota rev up their investment engines in North America. Explore the complexities of Hertz's EV fleet sell-offs and the bold steps forward in battery innovation that could redefine energy storage and electric mobility.

Cruise with us to the renewable energy front in Germany, where sodium-sulfur batteries are emerging as game-changers, and zoom over to Texas where ERCOT's grid load forecasts signal a power-hungry future. As we dissect these electrifying developments, you'll gain a deeper understanding of the rapidly shifting landscape of the EV industry and what it means for consumers, companies, and the global push toward green energy. Tune in and power up your knowledge on the latest energy trends that are shaping our world.

Transcript:
Speaker 1: 0:00

Hi, this is your energy video for the last week of April 2024. Well, there's so much contradictory news coming out of the EV space these days. It'll make your head spin. Tesla's decline in sales and recently announced layoffs, combined with Ford's continuing losses and Hertz's decision to sell off another 10,000 rental EVs, would have you think that maybe EVs have hit their high watermark. Yet at the same time, a number of Asian car companies are announcing new battery and EV investments in North America, and battery tech keeps getting better. Let's jump in and look at some of those announcements, and then we'll talk about taxes.

Speaker 1: 0:35

This past week, tesla announced it would lay off nearly 700 workers at its Nevada plant as part of its plan to cut 10% of its total workforce. Meanwhile, it announced it was slashing EV prices in a bid to boost sales, which fell significantly. Q4 2023 saw deliveries of 387,000 cars, 20% lower than Q4 of last year. Then Ford reported steep losses on its EVs, to the tune of $1.3 billion per quarter. Sales were down 10% as well, but revenue was off by 84%. Ouch, ford is working to cut costs, but has a long way to go as it plans lower-cost EVs in the future, and CEO Jim Farley now cautions that EVs might not see price parity with gas-powered vehicles until 2030. Then there's Hertz. During its earning call, it noted that it would sell off yet another 10,000 EVs, adding to the 20,000 it was already working to dispose of, essentially cutting its existing electric fleet by 50%, while recognizing $195 million of EV-related depreciation charges. It's a far cry from late 2021, when Hertz had trumpeted plans to buy 100,000 Teslas and as many as 65,000 Polestars, while also looking to GM for significant future volumes. Repair costs and low resale values have clearly put the hurt on Hertz and it would appear the future of EVs is pretty grim, but not so fast.

Speaker 1: 2:01

Other announcements push in the other direction so fast. Other announcements push in the other direction. Last week, honda announced plans to develop an $11 billion EV manufacturing capability in Ontario, involving JV investments from South Korea's POSCO and Japan's Asahi Kasai. Honda's stake would include a standalone battery facility and separate EV plant, starting in 2028 and capable of churning out 240,000 EVs annually. Associated supply chain investments would involve Posco's Cathode Active Material plant and Asahi Kahaya Separator plant. Meanwhile, toyota is putting down an additional $1.5 billion into its Indiana EV plant that will enable it to build a three-row electric SUV, as well as a battery-packed assembly line that will use batteries made in North Carolina from its facility there. The Indiana investment now stands at $8 billion, while North Carolina's $13.9 billion.

Speaker 1: 2:56

In separate battery-related news, japan's NDK insulators received an order for over 230 megawatt-hours of sodium sulfur batteries from BASF's stationary storage business unit. These will be used in a large German hydrogen plant being developed in northern Germany by HH2E to smooth out renewable energy supplies and run electrolyzers at higher capacity factors. Sodium-sulfur batteries are relatively new on the storage scene at large scale, but given their high capacity and long duration discharge, they're good for shifting renewable energy over somewhat longer periods than lithium-ion batteries typically do. Ngk says it has installed sodium sulfur batteries in over 250 locations to date.

Speaker 1: 3:38

And finally, texas low growth forecasts just jumped enormously, increasing 40,000 megawatts from last year. Part of that is simply lots of new load from factories, data centers and the oil patch that's all coming to Texas. But another artifact is simply that ERCOT, the grid operator, has changed the way that it forecasts future demand. Previously, ercot could not factor in demand that was not financially committed, but 2023 legislation now obligates ERCOT to consider future loads that transmission operators have identified. Total potential load by 2030 could now be as high as 152,000 megawatts. Putting that in perspective, ercot's all-time peak demand record from last August was just over 85,000 megawatts, set on August 10, 2023. Well, that's all for this week from Maui. Thanks for watching and we'll see you again next week.

1.) NYISO launches pioneering program to integrate DERs into wholesale electric markets, requiring minimum size of only 10 kW. Move is in line with FERC Order 2222 but far lower than FERC minimum of 100 kW aggregations.

2.) New York cancels contracts with three offshore wind projects totaling almost 4,000 MW, blaming GE for not delivering 18 MW turbine all three projects were planning to use and sticking w/14-15 MW platform. 

3.) For developers, smaller machines equals higher developments costs, including more foundations, turbines, and connecting transmission cables. Offshore wind project costs have soared 60 percent between 2021 and 2024. 

4.) Data center company Equinix will work with modular nuclear start-up Oklo to develop multiple 15-MW reactors to supply hundreds of megawatts of energy to power future data centers. Per an SEC filing for Okolo’s SPAC company AltC, Equinix has pre-paid $25 million, as described in an LOI to buy between 100 and 500 MW from Oklo.

5.) Nissan accelerating all-solid-state EV battery, kicking off a pilot production line at Yokohama plant. The company plans to include the new tech in multiple models y 2028, offering twice the range for the same volume and weight, and charging in one-third the time.

6.) GM offers bi-directional charging with Silverado pick-up that can supply home with power. GM Energy’s V2H bundle includes equipment for bi-directional flows, with stationary energy storage and solar integration to be added later in 2024. First up in GM’s vehicle line-up will be the 2024 Chevrolet Silverado, with additional Ultium-based EVs added through 2026.

Prepare to be electrified by the future of energy that's unfolding right before our eyes, as New York takes a leap with a game-changing program that could power up the city skyline with solar arrays. From the breezy shores of Maui, we bring you a session bubbling with innovation, where we unravel how a simple tweak by the New York ISO is set to revolutionize the energy markets, inviting smaller players to the big league. And while the winds may have temporarily calmed with New York's offshore wind projects taking a hit, we shine a light on the ripple effects this could have on the state's renewable ambitions.

Then, hold onto your seats as we zoom into the fast lane with Nissan's bold stride into the all-solid-state EV battery race, teasing a future where long trips without the angst of frequent stops to recharge could be our new reality. Not to be outdone, GM throws its hat into the ring with a bidirectional charging offering that's more than just a lifeline during power outages—it's a peek into a grid-smart future. As we discuss these electrifying developments, we don't just tell you what's happening—we connect the dots to show you how these advancements interlace with the grand tapestry of tomorrow's energy landscape. Join us and fuel your curiosity about the technologies that are not just powering our homes and cars, but also shaping our world.

Transcript:

Speaker 1: 0:00

Greetings for this, your energy video for week four of April 2024. I apologize for the noise of the birds in the background, but what can I say? Maui's simply not being cooperative this week. Well, in our first story, the New York Independent System Operator, new York ISO, just launched a pioneering program to integrate distributed energy resources DERs aggregations into the wholesale electric markets. The move is in line with FERC Order 2222, which requires grid operators to compensate aggregated DERs like any other wholesale asset. However, order 2222 stipulates that such aggregations must total at least 100 kW. New York ISO's rules cut this to 10 kilowatts. Among other resources, this should help stimulate development of more rooftop solar, and the state's going to need more renewable resources if its flagship offshore wind resource continues to take torpedoes to the bow.

Speaker 1: 0:51

Last week, new York canceled power contracts with three offshore wind projects totaling almost 4,000 megawatts of its total 9,000 megawatt target. New York blames GE, which pulled back from a commitment to make an 18-megawatt turbine that all three projects were planning to use. Instead of pursuing bigger and more powerful machines that were also somewhat more risky, ge Venova decided to pull back its horns and focus on developing and standardizing its 14 to 15-megawatt Halyard workhorse. For the developers. Smaller machines equate to having to buy and install more turbines as well as related infrastructure such as connecting transmission cables. The offshore wind industry projects have been bifurcated into pre and post-COVID phases, with Bloomberg NEF estimating that offshore wind project costs have soared 60% between 2021 and 2024, a victim of increased supply chain costs and rising interest rates. Well, data center company Equinix is looking to small modular nuclear startup Oklo to supply hundreds of megawatts of energy to future data centers. Oklo's small reactors will be sized to yield about 15 megawatts of power for over 10 years without refueling. According to a financial filing with Oklo's SPAC company ALTC at the SEC, equinix has ponied up a prepaid $25 million, as described in a letter of intent to buy between 100 megawatts and 500 megawatts from future Oklo plants.

Speaker 1: 2:15

Nissan is apparently accelerating development of its all-solid-state EV battery, kicking off a pilot production line at its Yokohama factory. Kicking off a pilot production line at its Yokohama factory. The company plans to include the battery technology in a wide variety of future models, which will allow them to offer twice the range for the same volume and weight, while charging in one-third of the time. Nissan currently plans to launch EVs with solid-state batteries manufactured in its own plants by 2028. That's still a long way out, so a lot can happen.

Speaker 1: 2:44

Gm is getting into the bidirectional game with a residential offering that will allow customers to engage in vehicle-to-home charging. The goal is to help customers better cope with power outages and integrate with future clean energy products. Buyers can choose from a set of options online, but will be supported by a GM team who will connect customers with installers and deal with needed permits team who will connect customers with installers and deal with needed permits. Gm Energy's V2H bundle already includes necessary equipment for bidirectional flows, with stationary energy storage and solar integration to be added later in 2024. First up in the vehicle lineup will be the 2024 Chevy Silverado, with additional Altium-based EVs added through 2026. Well, that's all for this short session from Maui. Thanks for watching and we'll see you again next week.

1.) The Indiana Department of Transportation, Purdue University, and Cummins will install wireless charging technology on a quarter mile state highway in a pilot project.

2.) The Biden administration OK’s two large Avangrid offshore wind projects off Massachusetts totaling 1,871 MW.

3.) CAISO eyes $6.1 bn of new transmission projects in PG&E service territory, with $4.6 billion earmarked to connect 4,700 MW of offshore wind and $1.5 bn for reliability. CAISO’s draft plan will also potentially tap over 38,000 MW of new solar, largely in NV and AZ, as well as 21,000 of geothermal capacity from the Imperial Valley and southern NV, and 5,600 MW of wind from ID, WY and NM.

4.) CAISO’s plan may be affected by SPP’s new Markets+ tariff filed with the FERC, a “a significant milestone” in developing its western day-ahead electricity market starting as early as 2027. Stakeholders include multiple utilities from states including Arizona, Nevada, and Washington. Some observers are concerned CAISO’s proposed Day-Ahead market and SPP’s initiative may create potential friction, and are arguing for a single large and efficient western market.

5.) Lawrence Berkeley National Lab interconnection analysis notes 2.6 TW of planned power projects are looking to connect to transmission, w/backlog up 27% from 2022. Solar, battery and wind projects comprise 95% of queue capacity.

6.) Two recent studies find re-conductoring (adding high-efficiency wire to new or existing projects) could boost new transmission capacity at relatively low cost. One report estimates reconductoring could add 64,000 GW-miles of new transmission by 2035, versus about 16,000 GW-miles using standard technologies and boost total costs by only 20%. A separate February report from Berkeley’s Haas School of Business modeled U.S. grid with similar results.

Discover the electrifying future of highways as we discuss Indiana's revolutionary wireless charging technology with experts from the Indiana Department of Transportation, Purdue University, and Cummins. Imagine the possibilities of EVs charging on the go, potentially minimizing battery sizes and redefining road trips. Meanwhile, the winds of change are blowing off Massachusetts' coast, where the Biden administration's approval of two colossal offshore wind projects signals a turning tide in America's energy saga. These ventures, once ensnared in financial woes, have resurged, promising a combined 1,870 megawatts of renewable power to the grid after a competitive rebidding process.

Strap in for a comprehensive look at California ISO's massive $6.1 billion plan to bolster the grid and harness a windfall of offshore wind, solar, and geothermal energy waiting in the wings of Western states. We're not just theorizing; Lawrence Berkeley National Lab's recent report illuminates the dire need for enhanced transmission to accommodate a burgeoning 2.6 terawatts of planned power projects. The conversation gets technical yet thrilling as we explore reconductoring, a method that could quadruple our transmission capacity with a modest cost hike. This episode isn't just about the current state of energy—it's a peek into the grid of tomorrow, made possible by visionary collaborations and the relentless pursuit of innovation.

Transcript:

Speaker 1: 0:00

Hi, I've got your energy stories for this the second week of April 2024. And in the first one, the Indiana Department of Transportation, purdue University and Cummins will install wireless charging technology on a quarter mile state highway in a pilot project. If the tech ever takes off, batteries could be a whole lot smaller in EVs, as they could sip whilst driving rather than carrying the whole range in the battery. But that's a long way off. In offshore wind, the Biden administration okayed two large projects off of Massachusetts last week, with New England one and two projects totaling 1,870 megawatts. These were formerly known as the Park City Wind and Commonwealth Wind projects. These two projects faced past financial straits, terminating initial contracts with Connecticut and Massachusetts. Last year, owner OvenCrit rebid these renamed projects into the combined solicitation from Connecticut, massachusetts and Rhode Island, and in late March the states announced that three other companies had submitted bids as well. These include Orsted's 1,184 megawatt starboard wind project that could serve either Connecticut or Rhode Island, vineyard Offshore's 1,200 megawatt Vineyard Wind 2, and South Coast Wind, a JV between Anji and Energias de Portugal, about which few details are known. Pricing was not made public on any of these projects and awards are expected this summer. Pricing was not made public on any of these projects and awards are expected this summer.

Speaker 1: 1:33

The California independent system operator, kiso, is eyeing $6.1 billion worth of new transmission projects in PG&E service territory, with $4.6 billion of that earmarked for two projects to connect 4,700 megawatts of offshore wind to the grid. Reliability-related projects will add another $1.5 billion to the grid. Reliability-related projects will add another $1.5 billion. Kaiso's draft transmission plan will potentially tap over 38,000 megawatts of new solar, largely in Nevada and Arizona, as well as 2,100 megawatts of geothermal capacity from the Imperial Valley and southern Nevada and 5,600 megawatts of wind from Idaho, wyoming and New Mexico. That plan may be affected, though, by a new Markets Plus tariff.

Speaker 1: 2:07

The Southwest Power Pool just filed with the Federal Energy Regulatory Commission what it terms a quote significant milestone unquote in developing its Western day-ahead electricity market that may start as early as 2027. Stakeholders include multiple utilities from states including Arizona, nevada and Washington. But there have been some concerns that Kaiso's proposed day ahead market and SPP's initiative may create some potential friction, with some observers arguing that eventually we should see a single large western market for the most efficiency. What's clear is that more transmission is desperately needed in either case. A report last week from Lawrence Berkeley National Lab underscores that thesis, noting that already clogged interconnection queues got even lengthier in 2023. 2.6 terawatts of planned power projects are looking to connect to transmission, up 27% from 2022, and equal twice the country's existing installed capacity.

Speaker 1: 3:06

Overwhelmed analysts, outdated processes and the sheer volume of new and generally smaller projects have all led to these delays. Solar, battery and wind projects comprise 95% of the capacity and weighting. Even if the process is improved, there's simply insufficient physical transmission capability, with new lines taking as long as 15 years to permit and build. However, two recent studies suggest a significant portion of this shortage could be addressed by deploying somewhat more expensive but far more efficient lines on new or existing infrastructure.

Speaker 1: 3:39

An early April report from GridLab and Berkeley's Goldman School of Public Policy suggests that this approach, called reconductoring, could significantly boost new transmission capacity at a relatively low cost. The report estimates that with reconductoring, 64,000 gigawatt miles of new transmission could be added to the US, versus about 16,000 gigawatt miles using standard technologies. That 4x capacity would come at only a 20% cost increase. Replacing existing conventional lines with advanced conductors can boost power by 2x for about half the price, since you can use existing poles and avoid a long and costly permitting process. This falls on the heels of a separate February report from Berkeley's Haas School of Business that modeled the US grid and found that reconductoring could significantly improve prospects for interconnection of future clean electricity resources through 2035, which is especially important given the current lamentably slow process of new transmission build-out. Here's hoping this approach, widely used in Europe and Asia, picks up speed here in the United States. Well, that's all for this week. Thanks for watching and we'll see you again next week.

Prepare to have your mind energized as we navigate the latest trends reshaping the electric grid, with a special focus on the policy revolutions in California and Maryland. These aren't just changes; they're seismic shifts at the grid's edge that promise a smarter, more sustainable future. As your host, I've seen firsthand in my course on distributed energy resources the costly overbuild of our grid for peak demand—a problem these policies are directly addressing. I guarantee, by the end of our discussion, you'll see the electric grid in a whole new light, understanding the intricacies of solar and storage interconnection and the transformative potential of electric vehicle-to-grid technologies.

The conversation heats up as we dissect the California Public Utilities Commission's groundbreaking ruling and Maryland's DRIVE Act, unpacking their implications for everything from power quality to peak demand. With insights gleaned from industry experts and my own classroom experiences, we examine the challenges and opportunities these changes herald for utility companies and consumers alike. As we analyze the drive towards more distributed, low-carbon assets, we'll reveal how bidirectional energy flows could lead to a more efficient and resilient grid. Tune in for a power-packed session that will electrify your understanding of the energy landscape.

Transcript:

Speaker 1: 0:01

Two recent policy stories in late March and early April suggest an unfolding future on the grid edge. First, on March 21, 2024, the California Public Utilities Commission issued a ruling permitting renewable energy assets really meaning solar and storage to be approved for interconnection to the electric grid by means of an energy export schedule, referred to as a Limited Generation generation profile, or LGP. This approach is meant to avoid impacts to the distribution grid that can occur with unscheduled bidirectional flows, while accommodating more distributed low-carbon assets on the grid. Second, the Maryland legislature passed a bill on April 4th. The Distributed Renewable Integration and Vehicle Electrification Act, or DRIVE. Drive, will require utilities to compensate customers for providing grid services through virtual power plants, while specifically calling for utilities to speed up electric vehicle-to-grid V2G bidirectional charging. Utilities must submit V2G plans by April of next year and the virtual power plant plans three months later. Having already cleared the Senate, the bill now goes to the governor for signature. What do these activities mean and why are they so important?

Speaker 1: 1:14

Well, I teach a three-day course on distributed energy resources for the Smart Electric Power Alliance and one of the points I consistently hammer home is that today's grid is woefully inefficient. Points I consistently hammer home is that today's grid is woefully inefficient. It's designed to serve peak demand without skipping a beat, and that peak demand may vary considerably from year to year. There are relatively few hours or days when the grid is stressed, but it's built to handle that. And since it's built to handle max demand, it's overbuilt. In fact it runs at around a 41% average annual capacity factor. If we ran our airlines like that, it would mean anybody could get on a plane on Thanksgiving weekend and fly anywhere in the country pretty cheaply. Nobody would be turned away, even if they showed up to the airport at the last moment. It'd be great for me, with my 6'4 frame as the rest of the year, I'd have plenty of free seats to stretch out on and planes less than half full. But we'd all pay for it in the form of higher ticket prices. Well, the grid's no different. We pay a lot for that ability to always get what we want, and it shows up in the form of higher distribution rates. In fact, if we could cut our demand by just 1%, we could reduce our capital expenditures by roughly 8%, and if we could cut peak demand by 10%, we'd cut total costs by roughly a quarter.

Speaker 1: 2:29

Another point I make in my workshops is that solutions providers on the grid edge often have a difficult time interconnecting their assets to the distribution grid. In large part, it's because they cannot see where the constraints and opportunities are on a system that's quite opaque. Few utilities have up-to-date and transparent hosting maps or interconnection policies, so it can take a long time for developers to cite and connect certain assets. Talk to a community solar developer in Massachusetts and many other states and they'll tell you stories. To be fair, there's a legitimate concern on the part of the utilities. Millions of rooftop solar arrays have been installed across the country, with concentrations in certain states, and they typically produce much more energy during the middle of the day than the hosting facilities consume, with the net exported to the grid, resulting in bidirectional flows of power. The country also now has over 5 million electric vehicles, also concentrated in certain states, largely on both coasts. They have large batteries, up to almost 10 times the size of a typical home battery storage system. If and when they start to go bidirectional, like Maryland is calling for, they can store and release significant energy and capacity, and while they can flatten those peaky and costly demand curves, they need to be coordinated. What we're doing now on our distribution grid is converting what were one-way cart paths into bidirectional roads. This has implications for operations and local power quality that could in fact be greatly aided by these distributed energy resources, if the planning has taken place and the right systems have been installed to create the requisite situational awareness.

Speaker 1: 4:07

So back to the California ruling. There are limited times, especially when demand is low and when the grid is so chock full of rooftop solar-generated electrons that parts of the grid simply cannot accept any more exported power. In dealing with this scenario and in establishing rules for hosting new projects, utilities have typically assumed that each project is at maximum output, while at the same time they assume customer demand is at its lowest point. They've required developers wanting to be connected to pay for system upgrades under this paradigm. While this generally doesn't affect smaller energy projects, it can be quite painful for megawatt-scale commercial rooftop solar or community projects, with associated upgrades being lengthy, time-consuming and often destroying the project economics.

Speaker 1: 4:53

The reality is that this combination of circumstances rarely occurs and the approach overstates the challenge to local circuits. Thus the overbuilding continues, even as the grade misses out on a chance to further decarbonize and inject more clean energy for most of the year. Recognizing this, the California Public Utilities Commission has issued a new ruling that requires clean energy for most of the year. Recognizing this, the california public utilities commission has issued a new ruling that requires utilities to make available hourly hosting capacity information for each circuit. That allows asset developers to design projects that stay within predefined limits. Export levels can vary 24 times per year, so, for example, solar assets are simply not allowed to export to the grid during specified periods when there is zero ability to absorb that energy, and then it's either curtailed by smart inverters or used to charge an affiliated battery.

Speaker 1: 5:41

This first-of-its-kind regulatory approach has the effect of avoiding unnecessary grid upgrades while allowing distributed solar and batteries to reduce potential strains on the grid and flow more electrons across the same infrastructure. It still gives the utilities control, allowing them to curtail projects during emergency situations or if the supply-demand balance on a local circuit rapidly changes. Moving to Maryland, the development of virtual power plants and bidirectional V2G capabilities specifically adds flexibility, creating the conditions that can increase system capacity utilization factors, making the grid more efficient and reducing costs per kilowatt hour delivered. If these models work successfully in California and Maryland, each system should see significant economic gains. But if the two models were combined so that one had both better transparency and hosting capacity and explicit commitments to virtual power plants and V2G capabilities, then we'd really have something. Utilities elsewhere would do well to begin planning for these eventualities, as many other states will likely be making similar decisions in the very near future.

Two recent policy actions suggest an evolving future for DERs.

1) On March 21, 2024, the California PUC issued ruling permitting distributed renewables to be interconnected to the grid through an energy export schedule (referred to as a Limited Generation Profile or LGP). The ruling requires utilities to furnish hourly hosting capacity information for each circuit and lets asset developers design projects that stay within pre-defined limits - export levels can vary 24 times per year - instead of paying for upgrades such as new transformers.This provides a more realistic and cost-effective approach to renewable exports to the grid.

2) On April 4, 2024, the Maryland legislature passed the Distributed Renewable Integration and Vehicle Electrification Act, or DRIVE, that ow goes to the governor for signature. DRIVE requires utilities to compensate customers for providing grid services through virtual power plants, while specifically calling for utilities to accelerate vehicle to grid (V2G) bidirectional charging systems. Utilities must submit V2G plans by next April and virtual power plant plans 3 months later. 

3.) These actions matter. Today’s grid runs at around a 41% average annual capacity factor and it’s getting peakier. However, if we could cut demand by just 1%, we could reduce capital costs by roughly 8%. If we could cut peak demand by 10%, we’d reduce total expenditures by roughly a quarter. With a growing population of rooftop solar, home batteries, and EVs, we may soon have the tools to address this opportunity.

4.) California’s first-of-its-kind approach helps avoid unnecessary grid upgrades, while Maryland’s future virtual power plants and bi-directional EVs will add flexibility, while increasing capacity utilization factors –reducing costs per kilowatthour delivered.

5.) Charging EVs at the right times, combined with solar assets, rooftop batteries, and optimized bi-directional flows could deliver more clean power to the right locations, when we need it, while flattening those costly demand curves.

6.) If the two models were combined, then we’d really have something. Utilities elsewhere should be paying attention.

https://irecusa.org/blog/irec-news/milestone-decision-by-california-regulators-approves-the-use-of-der-schedules-to-avoid-interconnection-upgrades/

https://www.canarymedia.com/articles/distributed-energy-resources/californias-new-rules-allow-solar-and-batteries-to-help-out-the-grid

Embark on a harrowing journey through the smoldering consequences of utility mismanagement as Wall Street Journal's Catherine Blunt exposes the stark reality behind California's wildfires. In her eye-opening book, "California Burning," Catherine artfully dissects the catastrophic intersection of natural disasters and the energy sector's aging infrastructure, revealing how the negligence of companies like Pacific Gas and Electric has sparked more than just flames—it's ignited a legal inferno.

With Catherine's expert guidance, we traverse the charred landscapes of Oregon, Maui, and Texas, where utility companies are facing the music—with tune of millions in legal recompense. The conversation takes a turn from tragedy to prevention, as we discuss the urgent adoption of wildfire mitigation strategies such as vegetation management and infrastructure upgrades. This episode isn't just a recount of past disasters; it's a clarion call to utility companies nationwide, demonstrating that without immediate and decisive action, the next headline tragedy could be just a spark away.

Transcript:

Speaker 1: 0:01

If you've read California Burning by Wall Street Journal reporter Catherine Blunt, you're certainly acquainted with the danger that energized power lines represent in a drought-stricken and windy landscape. In her book, blunt chronicles the rise and mismanagement of California utility, pacific Gas and Electric, with a regulatory landscape that rewards new capital investment and ignores maintenance. Perhaps it was inevitable that something as mundane as the failure of a rusted hook, originally purchased in 1921 for 56 cents, could ignite the Butte Camp fire that killed 85 people. In arid locations such as California, utility equipment has been the cause of fire over many decades. In fact, pg&e admitted that its equipment was responsible for more than one fire a day between 2014 and 2017. But the culprit's not always faulty equipment.

Speaker 1: 0:51

Utility systems are huge, with wires running for thousands of energized miles. In rough weather or high winds, things break, so utilities have to be more proactive about de-energizing lines during periods of drought and high winds. California utilities now routinely practice public safety power shutoffs, blacking out huge areas of service territories when the winds come whipping. Pacific Corp apparently didn't learn those lessons and has been battered by jury awards related to the 2020 Labor Day fires in Oregon that burned over 1.2 million acres, destroyed over 5,000 homes and buildings and killed nine people. On the heels of two months of drought, and despite repeated warnings from emergency officials to de-energize their lines, pacific Corp refused at that time to shut down power to any of its 600,000 customers during a high wind event. Juries have now recently ruled against Pacific Corp in numerous cases and according to the Financial Times, the utility has already paid out $735 million. Parent company Berkshire Hathaway now estimates the utility could face up to $8 billion in claims already filed, and in late February the federal government piled on saying it would seek an additional $1 billion in wildfire-related costs. Berkshire estimates wildfire mitigation expenditures will total roughly $1.1 billion over the coming three years to insulate wires, bury some power lines and trim vegetation. The utility may find help from some governments. For example, on March 1, 2024, utah Senate Bill 224 passed out of the legislature and was sent to the governor for signature. Among other things, sb 224 creates a fund for supplemental wildfire coverage and caps damages for related claims.

Speaker 1: 2:37

The extent of the Oregon Blaze complex was extreme, but it did not shock the public the way the raging August 2023 inferno that destroyed Lahaina on Maui did there. Videos showed Hawaiian electric companies' live wires sparking vegetation that likely led to the fire that killed 100 people, destroyed 1,200 buildings and displaced 11,000 residents. While the results of a formal investigation have not yet been released, hiko did acknowledge that the initial fire was caused by equipment failure and hurricane force winds after an intense micro-drought. The utility now faces a dozen different legal actions that, if the experiences of PG&E and Pacific Corp hold any lessons, could lead to hundreds of millions of dollars or more in fines.

Speaker 1: 3:23

Then last month in Texas, fires struck again, with two fires totaling well over a million acres scorching northern Texas during a February heat wave with temperatures reaching the mid-80s, as much as 25 degrees above average for those dates. Add to that decades of fire suppression allowed for the buildup of more flammable brush and low vegetation, and the recipe for trouble was brewing as the front brought high winds to northern Texas and southern Oklahoma. Local utility XL Energy acknowledged the role of its equipment in igniting the larger Smokehouse Creek fire after it received a legal request to examine a wooden pole near the area of initial ignition, and its stock took a big hit. There's a lesson here, and not just for the West Drought and fire is inevitable If you're in a utility C-suite. It doesn't matter where your service territory is If you don't have a top-notch vegetation management program, a plan to harden your infrastructure to make it less fire-prone and proactive, public safety, power shut-off plans, then you're playing with fire.

1.) Oak Ridge National Laboratory achieves “the world’s highest power density for a wireless charging system” for a passenger EV, sending 100 kW to a Hyundai Kona.

2.) California Energy Commission awards $3 mn to BorgWarner and project partners Fermata Energy and Lion Electric Company to support a 20-vehicle electric school bus fleet V2G project. Among other scenarios considered, V2G-enabled buses might power during Public Safety Power Shutoff events.

3.) Mondelez Deutschland Snacks Production receives permit from the State Office of Mining, Energy and Geology of Lower Saxony, Germany to explore locally for geothermal energy within 100 square km area. Mondelez is exploring potential of deep geothermal to supply carbon free heat that can support various industrial processes.

4.) Small-scale nuclear reactor company TerraPower plans to start building sodium-cooled modular nuclear reactor in Wyoming as early as June, irrespective of whether it has a Nuclear Regulatory Commission permit by then.

5.) Google, Microsoft, and Nucor combine demand for advanced clean electricity technologies, to accelerate development of new business models advancing early commercial-stage projects, such as advanced nuclear, next-generation geothermal, clean hydrogen, and long-duration energy storage.

6.) Following a successful pilot, Heimdall Power and Great River Energy announce the largest Dynamic Line Rating project in the U.S. to date, planning to install 52 of Heimdall’s Neurons across Great River grid, boosting transmission capacity.

Prepare to be electrified as we reveal how Oak Ridge National Laboratory is wirelessly supercharging the future of electric vehicles with an unprecedented power density breakthrough, and how California's school buses are driving into the future with vehicle-to-grid technology. These innovations aren't just about convenience; they're game changers that could send ripples through our energy infrastructure and economy. We're also unpacking Mondelez Deutschland's leap into geothermal exploration and TerraPower's vision for modular nuclear reactors. With sustainability as the star, we'll examine how these advancements could redefine industrial processes and power generation.

This week's journey through the energy landscape doesn't stop there. We're examining the collaborative might of Google, Microsoft, and Nucor as they forge the path for early-stage clean electricity technologies. Plus, we're showcasing the largest dynamic line rating project in the US, courtesy of Heimdall Power and Great River Energy. This partnership could unlock the true potential of our existing transmission capacity, heralding a new era of efficiency. So, strap in for an episode that promises a thrilling ride through the cutting-edge of energy innovation, where the stakes are high, and the opportunities are boundless.

Transcript

Speaker 1: 0:00

I've got your energy stories for this, the fourth week of March 2024. And in the first one, oak Ridge National Laboratory says it's achieved quote the world's highest power density for a wireless charging system. Unquote for a passenger EV sending 100 kilowatts of juice five inches through the air with its polyphase electromagnetic coupling coil via electromagnetic fields to a Hyundai Kona EV. Also in the EV space, the California Energy Commission, cec, has awarded $3 million to BorgWarner and project partners Fermata Energy and the Lion Electric Company to support an electric school bus fleet vehicle-to-grid V2G project. The aim is to yoke a fleet of school buses with AI-powered V2G technology and strengthen the grid during emergency events when buses are parked, while also generating revenues through participation in demand response programs and other value creation opportunities. Among other scenarios, v2g-enabled buses might be able to provide power during public safety power shutoff events when power lines are intentionally de-energized in the face of high wildfire risk. The grant will support installation of 21 BorgWarner 125 KW bidirectionally enabled chargers, joined with at least 20 Lion D electric school buses. Fermata Energy will optimize and manage the charging and discharging of the buses to maximize grid benefits and revenue through its Veh-to-everything vehicle-to-X platform.

Speaker 1: 1:29

Well advanced geothermal isn't just limited to startup companies like Evoor Vervo and Sage Energy. Mondelez Deutschland Snacks Production just got a permit from the State Office of Mining, energy and Geology of Lower Saxony Germany to explore locally for geothermal energy within a 100 square kilometer area. Mondele, like many companies, seeks to lower its carbon footprint and is thus exploring the potential of deep geothermal projects to supply carbon-free heat that can support various industrial processes besides power generation. The mining office has thus far issued 26 permits for the exploration of geothermal energy. Terrapower, the small-scale nuclear reactor development company backed by Bill Gates, plans to start construction on a sodium-cooled modular nuclear reactor in Wyoming as early as June. Terrapower will apply with US regulators this month for a construction permit to start building a demonstration plant near a retiring coal facility, irrespective of whether it has a nuclear regulatory commission permit by then. The company currently plans to commission a facility in 2030, and TerraPower is one of two companies that have received initial funding through Department of Energy's Advanced Reactor Demonstration Program to support the next generation of advanced US nuclear reactors.

Speaker 1: 2:47

Google, microsoft and Nucor, the steel company, are combining their demand for advanced clean electricity technologies, hoping to accelerate development of new business models that advance early commercial-stage projects such as advanced nuclear, next-generation geothermal, clean hydrogen and long-duration energy storage. The group intends to issue RFIs in various areas of the US, helping potential project developers that are seeking energy off-takers. While wind and solar can frequently deliver electrons cost-effectively, those resources are not dispatchable, able to follow load, offer resource adequacy and keep the lights on by themselves. If carbon-intensive coal and gas are to be effectively displaced, other new applications will have to do the job. But new tech must also cross the valley of death between demonstrated technology and viable commerciality, a risky venture for both companies and supporting investors, for both companies and supporting investors. With this commitment, this troika intends to help de-risk that process and accelerate the path of new technologies to commerciality.

Speaker 1: 3:51

And finally, heimdall Power and Great River Energy. The forward-leaning upper Midwest power cooperative that was also the first to commit to form energy's 100-hour long-duration ion-air battery just announced the largest dynamic line rating project in the US thus far. Dynamic line rating technologies allow utilities to boost existing transmission capacity that is currently limited by static seasonal ratings rather than actual carrying capacity, which varies greatly depending upon factors such as ambient temperatures and wind speeds. In this instance, great River will install 52 of Heimdall Power's neurons, known as magic balls, across its grid, following a successful pilot using four power neurons that increased Great River's transmission capacity on average by nearly 43%. Well, that's all for this week. Thanks for watching and we'll see you again next week.

1.) The Biden Administration lays out its National Zero-Emission Freight Corridor Strategy – a plan for EV charging and hydrogen dispensing stations along major U.S. freight corridors to support increased deployment of medium-duty and heavy-duty zero-emission commercial vehicles over the next couple decades.

2.) Volvo will focus on software to shorten EV charging times, partnering with U.K.-based Breathe Battery Technologies to do so. Testing shows that Breathe’s charging software and battery management systems may reduce charging times by 15% to 30%.

3.) Sulfur battery company Lyten says it has successfully automated its lithium-sulfur battery production line, converting standard lithium-ion manufacturing equipment and processes in only 6 weeks, at less than 2% of the total capital cost. Thus, Lyten could rapidly scale production by converting existing Li-ion gigafactories. Its low-cost sulfur-based battery has no nickel, cobalt, manganese, or graphite, with potentially twice the energy density of conventional lithium-ion batteries (though battery life is currently at 300 cycles).

4.) The Ørsted and Eversource 12-turbine 130-MW offshore South Fork Wind project is fully commissioned and delivering energy to New York – the first 100+ MW offshore facility to do so.

5.) Washington state legislators allocate $25 million for development of small modular reactors, supporting utility Energy Northwest’s DOE loan application. Energy Northwest plans to develop up to 12 SMRs generating up to 960 MW of power as early as 2030.

6.) Advanced nuclear company Oklo successfully completes second phase of its Thermal Hydraulic Experimental Test Article testing campaign with Argonne National Laboratory. Testing intended to optimize future reactor design.

7.) Analyst Wood Mackenzie says the SMR pipeline has increased, to a current 22 GW in Q1 2024, with global investment nearing US$176 billion. The US has over twice as many projects as the nearest competitor, with a 30% share of the global pipeline.

8.) Advanced deep geothermal startup Quaise Energy closes $21 Million financing round. Instead of traditional drilling approach,  Quaise plans to vaporize rock with high-powered microwaves. Field demonstrations will start this year, and Quaise will conduct magnetic and seismic surveys to identify advantageous areas for initial commercial pilots.

Get ready to supercharge your knowledge on the future of EV charging, as we discuss Gravity Mobility's groundbreaking 500 kilowatt station in Manhattan that's resetting expectations on how quickly we can juice up our rides. You'll be on the edge of your seat as we reveal Samsung SDI's cutting-edge battery plans that are not just a step but a leap towards ultra-fast charging and unprecedented energy density. Buckle up for a thrilling ride through the world of energy innovation, where geothermal giants like Vervo Energy and grid operators such as MISO are making big-dollar moves to fuel our future, while the legal system reminds us of the fiery consequences of neglecting climate change risks.

Amidst these electrifying developments, we keep you grounded with a reality check on the US's dominant streak in crude oil production, proving that traditional energy sources aren't stepping aside just yet. We're here to connect you with the latest energy achievements that are transforming how we power our lives, from the streets of New York to the courtrooms of the West. Tune in for a charged conversation that's as potent as the technology we're discussing, with industry experts and insiders guiding us through each innovation and its implications on our daily lives and the planet we call home.

Transcript:

Speaker 1: 0:00

I've got your energy stories for this the second week of March 2024. Well, it seems like EV charging may get a bit faster, as EV charging startup Gravity Mobility just cut the ribbon on the fastest public charging station in the US. This midtown Manhattan station is in a parking garage and it's designed for EV owners and fleet operators such as Uber and Lyft. These things are fast. At 500 kilowatts they can offer 200 miles of range in five minutes If your car can take that level of speed. That is, and few can. A December 2023 Motor Trend charging survey put the Hyundai Ioniq 6 at the top of the fast charging class, with 193 miles after 15 minutes of charging.

Speaker 1: 0:41

Most battery systems today can't absorb that much power that quickly. The cells and management systems simply aren't designed for it. But that will change as battery companies continue to tweak their chemistries and, to that end, samsung SDI just rolled out a roadmap to commercialize its battery tech to accommodate ultra-fast charging by 2026, going from 8 to 80% state of charge in about nine minutes. It also plans to offer an all-solid state mass-produced battery by 2027, increasing density by 40% over its current model and boasting 900 watt-hours per liter, which would give it the industry's highest density. For context, batteries have increased in density considerably, from about 55 watt-hours per liter in 2008 to 450 watt-hours per liter, for the best ones, by 2020. Samsung also plans to mass produce a battery by 2029 that will offer up to 20 years of cycle. Life company that supplies 3.5 megawatts of energy to a Google data center in Nevada and is currently drilling boreholes to support a 400 megawatt geothermal project in Utah, just raised $244 million in new funding. Vervo's recent technical paper demonstrated growing efficiencies and falling costs as new boreholes are completed, exceeding initial DOE projections.

Speaker 1: 2:03

The Midwest grid operator, miso, announced launchanche 2 of its four-part effort to bolster infrastructure to improve reliability and reduce curtailments. Tranche 1 cost $10.4 billion and Tranche 2 will further up that ante at an estimated price tag of between $17 and $23 billion. It includes several planned 765 kV high-voltage transmission lines traversing Minnesota, iowa, wisconsin, illinois, indiana, michigan, north Dakota, missouri. In MISO West, which includes Minnesota, iowa, north Dakota, wisconsin and Michigan's Upper Peninsula, 20% of facilities are overloaded, with annual curtailments reaching north of 15%. Facilities are overloaded with annual curtailments reaching north of 15 percent.

Speaker 1: 2:48

Miso may also need to think more about fire risk as utilities. High winds and dry undergrowth create an increasingly volatile and potentially costly mix in a changing climate. An Oregon jury just ordered Pacific Corp to fork over $42 million to victims of wildfires on Labor Day 2020, and last year another jury found it negligent for not preemptively cutting power to customers, despite warnings from fire officials, penalizing it for about $90 million. Then we come to Texas. Last week I noted that Xcel Energy had received a legal notice suggesting its equipment ignited the state-record 1 million acre smokehouse Creek Fire. Since then, a Texas A&M Forest Service investigation found that power lines ignited that fire, as well as the 140,000 acre Windy Deuce fire. Xcel acknowledged its equipment was involved in the first blaze but was not aware of allegations related to Windy Deuce. The language of the A&M report suggests trouble for Xcel, commenting that the pole quote appeared to be decayed at the base, unquote toppling into a grassy area. Further, a&m said the Windy Deuce fire was caused by a power line. That quote ran directly through the top of a small tree. Unquote made contact with limbs and with that contact led to the blaze.

Speaker 1: 4:00

And finally, the Energy Information Administration reports that the US produced more crude oil than any nation at any time. For the past six years in a row, crude oil production in the US, including condensate, averaged 12.9 million barrels per day in 2023, breaking the previous US and global record of 12.3 million barrels per day set in 2019. The EIA commented that the 2023 record is unlikely to be broken in the near term. Saudi Arabia's state-owned Saudi Aramco recently scrapped its plans to increase production capacity and they'd be the closest contender. If the Biden administration is set on crippling the domestic oil and gas industry, as some have alleged, it surely is doing a very poor job. Well, that's all for this week. Thanks for watching and we'll see you again next week.

1.) EV charging startup Gravity Mobility cuts ribbon on the fastest public charging station in the U.S.  The mid-town Manhattan station - designed for EV owners and fleet operators - boasts 500 kW chargers offering 200 miles of range in five minutes.

2.) Samsung SDI unveils battery tech roadmap with ultra-fast charging batteries by 2026 that can go from 8 to 80% state-of charge in 9 minutes.  All solid-state mass-produced battery eyed for 2027, increasing density by 40% over current model. Samsung also plans to mass-produce a battery by 2029 that will offer 20 years of cycle life.

3.) Enhanced geothermal company Fervo Energy raises $244 mn to support its 400 MW Cape Station project in Utah.

4.) Midwest grid operator MISO announces Tranche 2 of effort to bolster infrastructure to improve reliability and reduce curtailments, at an estimated price tag of between $17 billion and $23 billion.It includes several planned 765 kv high-voltage transmission lines to create a transmission highway.

5.) Oregon jury orders PacifiCorp to pay $42 mn to victims of Labor Day 2020wildfires. That follows previous jury awards of $90 million and $85 mn in other fire-related cases.

6.) Texas A&M Forest Service investigation finds Xcel Energy power lines responsible for record Smokehouse Creek blaze, noting a utility pole “appeared to be decayed at the base,” and fell into a grassy area. A&M also finds a second (Windy Deuce) fire also caused by power line.

7.) The Energy Information Administration reports the U.S produced more crude oil than any nation at any time in history, for the past six years in a row. 

1.) The Washington state Legislature votes along party lines to adjust its carbon pricing system to make it compatible with California’s and Quebec’s cap-and-trade systems. The earliest any alliance could occur is 2025, assuming the cap-and-invest program survives a November referendum on its existence.

2.) International Airlines Group commits to its largest sustainable alternative fuel purchase agreement to date. Producer Twelve will deliver 785,000 tons of electrically derived sustainable aviation fuel, or e-SAF, using power-to-liquid technology and captured CO2 emissions.

3.) New York state approves offshore wind contracts for Equinor’s 810-MW Empire Wind 1 and Ørsted’s 924-MW Sunrise Wind. These projects re-bid at new price points. They had pulled back from previous commitments, claiming economics were no longer viable in the face of supply chain issues and other constraints. Other states - including New Jersey, Massachusetts, Rhode Island and Connecticut - are taking similar re-bid approaches.

4.) The IRS/Biden Adminstration rules affecting eligibility for clean hydrogen tax credits are coming under pressure, with criticism coming from the seven regional hydrogen hubs designated by the DOE late last year to accelerate the hydrogen industry. In a letter, the hubs commented the current approach “may have far-reaching negative consequences for the entire domestic clean hydrogen industry.”

5.) Stellantis brings back its Fiat 500e back to the U.S. with a price tag of just over $34K and low range of 149 miles. It may be a pretty good bellweather as to whether the American market will support a low-cost, low-range urban EV.

6.) Excel Energy files an 8K less than a week after the million-acre Smokehouse Creek fire, notifying the SEC that as of February 26th, fires were burning in or near the service territory of its Southwestern Public Service Company. Two days later, it received a letter from a law firm representing parties allegedly affected, providing Xcel Energy “with notice of potential exposure for damages” and requesting that a fallen SPS utility pole near the fire’s potential area of origin be preserved. Utilities are at increasing risk of this nature in a changing climate.

1.) Grid operator ISO-New England says substantial investments in grid infrastructure – up to $1 billion annually through 2050 - will be necessary to accommodate supply side renewables as well as end-use technologies such as EVs and heat pumps.

2.) New England’s offshore Vineyard Wind project is delivering 68 MW from its first 5 turbines, up from 5 MW in January, with another 738 MW still to come on-line. Nine of its planned 62 turbines in the water, while the 10th is currently being installed.

3.) The Bureau of Ocean Energy Management approves Equinor’s Construction and Operations Plan for 810 MW Empire Wind project to serve New York. Construction is set for later this year, with first power deliveries by 2026.

4.) The Orsted/Eversource JV’s 132 MW South Fork Wind installed the last of its 11 turbines on February 20, and should be fully commissioned in coming months.

5.) California’s Public Utilities Commission adopts a plan for development of over 56,000 MW of renewable generation by 2035, as part of effort to cut carbon emissions.  The plan includes a broad range of renewable and storage resources.

6.) New York City adds 7,532 EVs to Lyft and Uber fleet since last October, when its Green Rides effort was initiated. Current total exceeds 10,090 EVs, roughly 12% of the city’s Lyft and Uber population. 

7.) A total 105,258 plug-ins hit U.S. streets in January 2024, up 18.9% from January 2023, and representing 9.78% of total light duty vehicles sold. The U.S. EV total now stands at 4.8 million since 2010. U.S. battery manufacturers announced projects can supply around 10 million new plug-ins each year by 2030.

8.) WhileFord and GM slow their EV roll somewhat, Stellantis charges ahead, recording positive EV margins in the midst of record-breaking 2023 corporate profits. EV margins are not yet in line with conventional vehicles, but inching closer.

1.) Shell will immediately close all of its hydrogen refilling stations in California. Now, only seven hydrogen fueling stations – all in northern California remain open. The 3,143 California drivers who registered hydrogen cars in 2023 now own very nice-looking paperweights, until somebody else steps in.

2.) Koloma, a startup focused on drilling for hydrogen from natural underground deposits, raises $245.7 million, bringing its total funding to over $300 mn. In related news, the discovery of the largest deposit of naturally occurring H2 to date – in a chromium mine in Albania - was announced last week.

3.) Leading solar panel manufacturer and project developer QCells partners with solar recycling company SolarCYCLE to recycle QCells decommissioned panels. SOLARCYCLE says its tech can recover over 95% of the value in a solar panel module, and it just announced an investment of $344 mn into a new solar glass facilityin Georgia, capable of 5 to 6 GW of solar glass annually.

4.) The U.S. Bureau of Ocean Energy Management designates two final Wind Energy Areas off Oregon’s coast, totaling approximately 195,012 acres.

5.) Volt Lithium Corp successfully produces 99.5 per cent battery-grade lithium carbonate from oilfield brine at a demonstration plant in Calgary in the Athabasca Oil Sands.

6.) The Chief Operating Officer of Ford’s EV unit warns that China’s EV automakers plan to target North American markets with low cost EVs, saying “we’d better get fit now and better get going on EVs or we don’t have a future as a company.’” 

7.) Microsoft contracts with Swiss company Neustark to have 27,600 tons of carbon dioxide directly removed from the atmosphere and stored in waste concrete over the next six years. 

1.) Ontario’s grid operator, IESO, has teamed up with DER aggregator Energy Hub to develop a 90 MW virtual power plant, controlling enrolled thermostats in 100,000 homes.  All of this was accomplished since just the middle of last year.

2.) The North American Energy Standards Board has started work on a standardized services contract making it easier to aggregate DERs into virtual power plants, improve data sharing practices, and strengthen cyber-security.

3.) Citing high collision and damage costs and challenges to operational efficiency Hertz said it may further cut its EV fleet. Hertz’s CEO commented that customers in certain areas of U.S. are less familiar with EVs and more likely to get into accidents.

4.) Ford CEO Jim Farley commented the company is re-thinking its EV strategy after incurring a 2023 loss of $4.7 billion in its EV business.  Ford is working to better match supply with existing demand, while a formerly secret ‘skunkworks’ team is focused on developing a smaller and more affordable EV platform.

5.) Toyota will invest $1.3 billion in its Kentucky plant to support EVs, including a battery pack assembly line and ability to manufacture its electric SUV. Total electric investments now stand at $10 billion.

6.) Octopus Energy subsidiary Octopus Electric Vehicles has launched a used EV leasing program in the Houston Texas area, including unlimited free home charging. Leases range from $249 to 699 per month, and cover seven types of used EVs, and include the Chevy Bolt, to the Tesla Model 3, and the Audi e-Tron.

7.) NASA is completing phase one of an initiative to put nukes on the moon, with a concept design for a small reactor weighing less than six metric tons and generating 40 kilowatts, without direct human intervention. Target date is sometime in the 2030s.

1.) FBI Director Chris Wray told House lawmakers that his agency had identified and disrupted a Chinese state-backed initiative to plant malware in civilian infrastructure including water treatment plants, the power grid, and transportation systems. The FBI operation disrupted a botnet consisting of hundreds of small office and home routers that had been hijacked by the Chinese hackers to cover their tracks as they planted the malware in targets.

2.) Chinese manufacturers reportedly have 10 GWh of annual solid state battery production capacity, with over 128 GWh of additional capacity planned through 2025.

3.) Battery recycling company Redwood has started building its $3.5 bn South Carolina 'Battery Materials Campus' that will eventually yield up to 100 GWh worth of reclaimed battery materials, with the potential for more expansion if markets warrant. 

4.) Daimler Truck North America, Navistar, and Volvo Group North America, together accounting for an estimated 70 percent of all new medium-duty and heavy-duty truck sales in the U.S. have formed PACT, a coalition to advocate for accelerating the build-out of nationwide infrastructure to support medium- and heavy-duty zero-emission vehicles.

5.) In reporting to Texas regulators recently on lessons from Winter Storm Uri, an official from NERC advised increased collaboration between electric and gas sectors, as well as investigating new ways of providing black-start capability, including batteries.

6.) Germany’s market for on-site storage increased 150% last year with over 1 million cumulative country-wide installations, storing an estimated 12,000 megawatthours.