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PROJECT NEWS
1) Inventory of NYC Particulate Matter
2) Economic Analysis of Proposed IGCC Coal Plant
3) Avoided Energy Supply Costs in New England
4) Displaced Carbon Emissions Conference Coordination
5) Commission Rules Coal Uneconomic Following Carbon Cost Analysis
6) Commision Mandates Carbon Consideration
7) Chris James Joins Synapse

Inventory of New York City Particulate Matter
Synapse collaborated with researchers from Harvard and Columbia Universities to investigate the sources of fine particulate (i.e., PM2.5) emissions, both stationary and mobile, that affect New York City, and the impact of these PM2.5 emissions on air quality and health. Our report presents an inventory of the city's PM2.5 emissions, revised to reflect local economic and demographic conditions, and an indicative forecast of future emissions. The report further explores a wide range of tools that state or local policymakers can use to reduce New York City's contribution to the pressing health concern these emissions create. Potential policy options are evaluated on the basis of cost, political feasibility, benefits for reducing other pollutants and increasing efficiency, and other considerations. Six key policies for achieving much-needed emissions reductions are identified. [ Download Report ]
Economic Analysis of Proposed IGCC Coal Plant and Alternatives
Synapse was hired by a coalition of public interest organizations to review the proposal by Duke Energy Indiana and Vectren to invest approximately $2 billion in a new integrated gasification combined cycle (IGCC) coal power plant at Edwardsport. Synapse provided analysis and testimony on computer modeling and resource planning, levelized cost comparisons, ratemaking issues, renewable resource potential and costs, carbon dioxide regulations, and power plant construction costs. In addition, Phil Mosenthal of Optimal Energy contributed analysis of demand-side management potential and costs.

The project team found that the Companies' planning for Edwardsport was inadequate, that the IGCC plant would increase dependence upon coal for electricity generation and would subject the Companies' shareholders and customers to unnecessary costs and increased risks. Synapse witnesses recommended that the Commission reject the Companies' request for approval of the proposal to construct and own the Edwardsport IGCC project, and instead require the Companies to do complete and proper planning which should include:

1. up-to-date construction cost estimates for IGCC and other resources;
2. analysis of the cost impacts on customers;
3. use of a realistic range of low, mid, and high case projections for future carbon dioxide prices;
4. full consideration of cost-effective demand-side management, combined heat and power, and renewable resources, and
5. a proper risk analysis that recognizes a range of risks including but not limited to construction cost overruns and project delays as well as fuel prices and environmental compliance requirements.
[ Download Testimony ]


Commission Rules Proposed Coal Plant Uneconomic After Carbon Cost Analysis
Synapse was asked to evaluate Florida Light & Power Company’s justification for its proposed 2000 MW coal-fired Glades Park Power plant. The specific subjects addressed by Synapse in testimony included likely future CO2 emission costs resulting from federal greenhouse gas regulations; the Company’s resource planning; and the results of the Company’s economic analyses of the proposed Glades Project.

Synapse found that the proposed Project would be the more economic resource option only if the potential costs of CO2 regulations were not considered or if a very high difference was assumed between natural gas and coal prices. Synapse also found that the Company had not fully reflected the risk of increases in the actual capital cost of completing the proposed Project and placing the generating units in commercial operation.

As a result, Synapse recommended that the Commission deny Florida Light & Power Company’s need request because the Company had failed to demonstrate that the proposed Project was the least cost, least risk addition to its system. The Florida Public Service Commission agreed with the conclusion that the proposed Glades Project was not the most cost-effective option and, therefore, denied the request for a certificate to build the plant.

[ Download Testimony ]
[ Download Public Service Commission Order ]
Report Release: Avoided Energy Supply Costs in New England
This 2007 Avoided-Energy-Supply-Component (AESC) report provides projections of marginal energy supply costs which will be avoided due to savings in electricity, natural gas, and other fuels resulting from energy efficiency programs offered to customers throughout New England. The report provides detailed projections for an initial fifteen year period beginning in 2007 and escalation rates for another fifteen years from 2022 through 2037. It includes a detailed simulation of the electric energy market in New England over the study period.

In addition to projecting the costs of energy and capacity avoided directly by program participants, the report provides estimates of the Demand-Reduction-Induced Price Effect (“DRIPE”) of efficiency programs on market prices for electric energy and capacity.

Finally, AESC 2007 provides a projection of annual additional environmental costs associated with emissions of CO2 in New England. The estimates are based upon the cost of limiting CO2 emissions to a “sustainability target” level, estimated to be a control cost of $60/ton.

The 2007 AESC Study was sponsored by a group representing all of the major electric and gas utilities in New England as well efficiency program administrators, state energy offices and regulators.

[ Download Report ]


Displaced Carbon Dioxide Emissions Conference Coordination
Residential, commercial, and industrial buildings represent roughly one-third of total global greenhouse gas emissions, but improved energy design has the potential to reduce the emissions contribution of new buildings by 50 - 80% over the next few decades. In April Synapse assisted the American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE) with coordination and documentation of a workshop on calculating carbon emissions displacement.

The ultimate goal of the process initiated through this workshop is to design a tool with which heating, cooling, and ventilation engineers can estimate the carbon “footprint” of a building during the design phase to improve building performance and reduce greenhouse gas emissions and energy costs over the lifetime of the facility.

The short term goal of the April 18 workshop was to begin to identify the key questions and uncertainties that must be addressed in designing and producing such tools, and to begin to identify the steps and resources that will be required to make a more advanced tool a reality.

[ Download Report ]




New Mexico Mandates Carbon Consideration in Electric Resource Planning
On the basis of Synapse's analysis of likely future CO2 prices and a presentation by Synapse staff at a March 2007 workshop, the New Mexico Commission adopted a range of projected levelized CO2 emission allowance costs of between $8 and $40 that electric utilities will have to use in their future resource planning.

[ Download Presentation ]
[ Download Public Regulation Commission Order ]
 
 
Chris James Joins Synapse Staff
Synapse Energy Economics is pleased to announce that Chris James has joined us as a senior associate. Chris was most recently the Manager for Climate Change and Energy Programs at the Connecticut Department of Environmental Protection (CT DEP). There he was responsible for implementing the state's climate change action plan, one of the first comprehensive plans to be completed, and worked closely with the Department of Public Utility Control on electricity planning, energy efficiency and demand response issues.

While at the DEP, Chris was the staff lead on the regional greenhouse gas initiative (RGGI), and represented the DEP on the state's Energy Conservation Management Board (ECMB), in the New England Demand Response Initiative (NEDRI), and in various ISO-NE meetings and proceedings, including the long-term scenario planning effort. The ECMB was recently ranked in a tie for #1 (by ACEEE)
among all state efficiency funds. Chris also co-chaired the Distributed Resources collaborative, which developed a model rule for distributed resources, and the New England Governors/ Eastern Canadian Premiers climate change steering committee. In addition, he was co-chair of the Global Warming Committee for the National Association of Clean Air Agencies (NACAA, formerly known as STAPPA/ALAPCO) and represented the DEP on the National Action Plan for Energy Efficiency.

Chris brings 23 years of state and federal public service, including experience in all facets of air quality and energy programs. He was actively involved in the enforcement actions against several midwestern power plants, and has also testified in air quality and utility related contested cases and dockets.

Chris received a bachelor's degree in mechanical engineering from Worcester Polytechnic Institute and a master's in environmental studies from Brown University. Chris is an avid bicyclist, frequently commuting 28 miles round trip to his Hartford office (faster than both cars and the bus, he says), cross country and telemark skier and hiker. He enjoys monthly polar bear swims all winter and makes his own hard cider from local Connecticut apples. He lives with his wife and daughter in a passive solar, partially bermed house in northwestern Connecticut.


Chris can be reached by calling 617-861-7684 or emailing him at cjames@synapse-energy.com.
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