Renewable energy is the source of much controversy and media
coverage in rural America
and all of America
today. Right now, most of the controversy surrounds biofuels. But another form
of renewable energy enjoys near-universal support in rural America – wind
power. In fact, a recent University of
Nebraska poll found 89 percent of
rural Nebraska
residents believe wind energy is an important part of our energy future.
When it comes to wind energy, there are optimists and
pessimists. Optimists tend to overlook some of the major obstacles to wind
energy growth, while pessimists often dismiss wind out of hand, refusing to
believe it will ever play a major role in generating electricity in this
country.
As usual, both sides cite their facts and figures to make
their arguments, and if you only listen to one side you can easily find plenty
to fit your preconceived notions. Often lacking in wind energy discussions are
a serious overview of what it will take to generate a significant fraction of
our electricity from wind – what the obstacles and opportunities are, what the
benefits would be, how much would it actually cost, etc.
Fortunately, the federal government, in their wisdom, has
published a report detailing a scenario in which 20 percent of our electricity
is provided by wind in the year 2030. And they go to great lengths to explain
what it will take to make that happen.
The Department of Energy (DOE) full report – 20% Wind Energy by 2030: Increasing Wind
Energy’s Contribution to U.S.
Electricity Supply – is available online at http://www.20percentwind.org/.
Topping out at 226 pages, it isn’t for the faint of heart or those with busy
lives. Fortunately, a summary is also available on their website.
Today, wind energy provides about .8 percent of our nation’s
electricity. Given that we have enough wind energy potential to power the
entire country, this is a somewhat pitiful number. But we obviously have a long
history of relying on fossil fuels.
The DOE report makes clear that significant expenditures
will be required to vastly increase wind power electricity generation in the United States.
However, the report also makes clear that generating 20 percent of our
electricity from wind is entirely possible. The challenge to meeting that goal
is not primarily economic or technical in nature, but rather a matter of
political will.
As of 2006, the United States produced about 12
gigawatts (GW) of electricity from wind (today that number has increased to
about 18 GW). To generate enough electricity to provide 20 percent of our
electricity from wind power in 2030 will require a little more than 300 GW – a
steep increase, to be sure.
However, this number pales in comparison to the estimated
total potential wind energy electricity generation in the U.S. – 8,000
GW, which is far more than the total electrical demand forecasted for 2030. And
that 8,000 GW number is only for potential wind generation that is currently
viewed as “economically feasible” to capture, a calculation that can always
change.
Can it be done? Can we actually reach 300 GW? Absolutely. It
will cost approximately $197 billion in capital costs to build the wind
turbines and transmission network to create a 20 percent wind reality. But that
$197 billion is largely offset by $155 billion in savings from decreased fuel
expenditures, and we all know how quick those prices are increasing. It’s not
hard to imagine that decreased fuel expenditures could offset the entire cost
of the increase in wind energy generation.
This basic cost/benefit analysis does not take into account
the reduction in greenhouse gases and other pollutants associated with a
decrease in fossil fuel production – the classic market externalities that have
allowed fossil fuels to be priced artificially low for so long. Nor does the
study examine whether wind energy actually creates more jobs and economic
benefits for the communities in which it is located than fossil fuel power
plants.
But there are serious obstacles to reaching a 20 percent
goal, and it will take political courage to overcome them. Perhaps first and
foremost, coal power remains cheaper than wind power if environmental concerns
are not taken into account. A serious program to reduce carbon dioxide
emissions could do much to make wind power economically competitive, if not the
low-cost option. Without such a program (or other initiatives to encourage wind
power) wind power will remain economically disadvantaged in areas without
strong state support for wind power and renewable energy.
Outside of the political arena, the primary obstacles to a
20 percent wind scenario involve the transmission of power from windy areas to
the cities/suburbs where most electricity is used. Major new power transmission
lines will be needed to deliver the electricity. Investment in the power grid
has fallen dramatically since the 1990s (often due to the deregulation schemes
that led to Enron). Major investments are needed simply to maintain the power
grid we have today. Yet those needs also point to an opportunity. If the U.S. needs to
seriously upgrade its electrical power grid anyway, why don’t we do it in a way
that supports wind energy?
Upgrading existing power lines and building new ones is an
expensive project, and once they’re built you can’t move them. So we have a
choice – either we build multi-billion dollar power lines to existing and newly
constructed fossil fuel power plants, or we build them to take advantage of
wind power. If the U.S.
chooses to go with the fossil fuel direction, it is highly unlikely those power
lines will ever carry electricity generated from wind power.
Moreover, wind power does vary to some degree, though not to
the extent skeptics claim, and the report notes that the variability is easily
manageable at the local level. That overall variability will require that the
grid be much more “balanced” if we want to take advantage of wind power. In
short, the grid will have to be managed at the national level, instead of
managed as a series of semi-autonomous states and regions.
These obstacles, while serious, can be overcome. And to
translate this into real world numbers, the DOE report estimates that achieving
the 20 percent wind scenario will add 50 cents per month to the electricity
bill of each U.S.
household. 50 cents. A pittance when
compared to the benefits wind power can provide.
To top it all off, the DOE report assumes a 39 percent
increase in electrical demand by 2030. The goal of receiving 20 percent of our
electricity from wind power is not based on the electrical demand of today, not
at all. As we’ve said before, any serious plan to encourage renewable energy
must start with conservation – a topic not even covered in this particular DOE
report.
When you start figuring conservation in, you begin to wonder
why the goal is a measly 20 percent. With a real plan for conservation, it’s
not hard to imagine that 20 percent goal should actually be 30, 40, or even 50
percent.
As usual, the danger is our short-sighted political system,
and greedy corporations will fight to preserve the status quo – one that
benefits their bottom lines and campaign chests while leaving the rest of us to
bear the costs of their inaction. The 20 percent wind scenario is easily within
our reach. It is simply a matter of politicians, businesses, and citizens
joining together to make serious efforts to secure a more sustainable energy
future for our country.
Contact: Dan Owens, dano@cfra.org or 402.687.2103 x 1017 for more
information.