The future for renewable energy in the Northeast was under a microscope at the 50th annual Eastern Regional Conference of the Council of State Governments, in Portland, Maine.
In a Monday afternoon session, a panel of experts including the President and CEO of ISO New England, Gordon van Welie, discussed the direction of state and federal policy on renewables. The panelists encouraged states to coordinate and innovate in order to continue promoting renewable energy development in the Northeast and to support transmission capacity to carry the energy to demand centers.
There has been $4 billion of transmission investment in New England since 2002, with another $5 billion on the horizon, van Welie reported. As a result, the U.S. Department of Energy recently removed New England from its list of “Congestion Areas of Concern.”
Maine is the region’s leader in renewables, with around 40% of New England’s queued-up renewable energy projects located here; the bulk of investment (over 80%) is in wind. Because high-wind areas do not overlap with high-demand areas, “you’ve got to connect these two areas in order to make [wind] viable,” van Welie said. To that end, in October 2010, ISO-NE will release its Wind Integration Study (PDF), which will include recommended technical interconnection requirements and a plan for integrating wind into the regional grid.
A significant challenge is that there is no agreement as to how to pay for transmission for renewable energy. Van Welie suggested that the New England states could come up with a coordinated competitive procurement process, which would resolve any regional transmission cost allocation issues. “This is doable as a region,” van Welie said. But “because of the scale involved, we have to position the region for the long term.”
The panel also included Habib Dagher, Director of the Advanced Structures and Composites Laboratory at the University of Maine; David Littell, DEP Commissioner and presumptive PUC Commissioner; and Paul Hibbard, Vice President of Analysis Group, Inc. and former Chair of the Massachusetts DPU. Maine Senate Majority Leader Phil Bartlett moderated the panel.
All of the panelists agreed on the need for the New England states to coordinate with respect to transmission planning and procurement.
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