Show me the Money: $12.9 million available for Geologic Sequestration Training and Research
The Department of Energy ("DOE") has released $12.93 million to fund geologic sequestration training and research. $7.93 million is available for awards to all universities, colleges, and college-affiliated research institutes and $5 million is available for awards to historically black colleges and universities or other minority institutes listed on the Office of Civil Rights's accredited post secondary minorities institution list.
Individual awards will be made across five areas of interest:
- Simulation and Risk Assessment
- Monitoring, Verification, and Accounting
- Well Completion, stimulation, and Integrity
- Capture and Transport- including pipeline transport and pre-combustion capture
- Post-Combustion capture- including oxy-combustion capture
DOE anticipates awarding 42 awards ranging from $100,000 to $300,000 to fund research projects involving field projects for hands-on training opportunities.
SHOW ME THE MONEY: $4.15 Billion Available for Smart Grid Projects
On June 25, 2009, the Department of Energy (“DOE”) issued a Funding Opportunity Announcement (“FOA”) to deploy over $4.15 billion from the American Recovery and Reinvestment Act (“Recovery Act”) to be used to fund smart grid projects. These funds are being deployed through two FOAs. The first FOA provides $3.4 billion to support the Smart Grid Investment Grant (“SGIG”) program and is related to projects that further one or more smart grid functions as listed in Section 1306(d) of the Energy Independence and Security Act of 2007 (“EISA”). The second FOA provides $615 million to support the Smart Grid Demonstration Program (“SGDP”) and is related to projects that demonstrate new and more cost-effective smart grid technologies.
For more information, see our latest client alert available by clicking here.
San Diego Gas & Electric Issues RFO for Renewable Resources
Today, San Diego Gas & Electric (SDG&E) issued a Request for Offers seeking eligible renewable resources that the utility will use to meet its California Renewable Portfolio Standard requirements. Respondents may submit one or more of three alternative proposals:
- Power Purchase Agreement (PPA). Respondents are asked to propose a 10, 15, or 20-year PPA for capacity and/or energy, but SDG&E will nevertheless consider proposals with shorter or longer durations. Eligible Resources must be delivered to a point within California and must be begin deliveries sometime between 2010 and 2013.
- PPA with Buyout. Respondents offering PPAs may also submit an option price that SDG&E may exercise to purchase the resource as well as associated environmental attributes, land rights, permits, and other licenses upon conclusion of the PPA term. This alternative is limited to resources located in San Diego County, parts of Orange County within SDG&E's service territory, or Imperial Valley areas. Like respondents offering under the PPA alternative, respondents interested in offering resources under the PPA with Buyout alternative must begin delivering energy and/or capacity between 2010 and 2013.
- Turnkey Facilities. Respondents to the RFO may also propose to develop and construct a new renewable energy generation facility that SDG&E will acquire. SDG&E is proposing the same locational requirements that apply to PPA with Buyout projects.
A limitation that applies to all respondents is that resources located in SDG&E's service territory must be no smaller than 1.5 MW, and resources outside of SDG&E's service territory must be no smaller than 5 MW.
This RFO may be a great opportunity to transact with SDG&E as it endeavors to comply with California's ever-increasing RPS standards. SDG&E will hold two pre-bid conferences: one in San Diego on August 5, 2009, and the other in El Centro on August 12, 2009. Those interested in attending a pre-bid conference should register by July 31.
For more information, click here: SDG&E 2009 RFO Info
Interior Issues Limited Leases for Offshore Wind Projects
On June 23, 2009, the Minerals Management Service, a division within the U.S. Department of Interior, issued five limited leases to offshore wind energy developers for wind data collection on the Outer Continental Shelf. These leases will allow for the construction of meteorological towers to collect site-specific data on wind speed, intensity, and direction. The data collected under these leases will be shared with the MMS, and "used to inform and support future commercial renewable energy projects, such as wind turbine farms, to help coastal States meet mandated renewable energy portfolio standards."
The leases were issued to Deepwater Wind (two locations off the coast of New Jersey), Bluewater Wind (one location off New Jersey, one location off Delaware), and Fishermen's Energy (one location off New Jersey).
Show Me the Money: $304 Million Allocated to Three States for Weatherization Assistance Programs
On Friday, June 25, 2009, the Department of Energy ("DOE") announced more than $304 million in Recovery Act funding to three states for their weatherization assistance programs. The DOE’s Weatherization Assistance Program will enable families making up to 200% of the federal poverty level – about $44,000 a year for a family of four – to save on energy costs by increasing the energy efficiency of their homes.
Here is a summary of how the funds will be used in Georgia, Illinois, and New York:
Georgia will use its funds to weatherize more than 13,600 homes over three years, with priority given to homes occupied by elderly residents and elderly residents with disabilities. After demonstrating success in the execution of its plan, Georgia will receive $62 million in additional funds, for a total of almost $125 million.
Illinois will use its funds to weatherize nearly 27,000 homes over three years. The state will provide sub-grants to existing local agencies that have effectively provided energy audits and home weatherization in the past, followed by final inspections of weatherized homes. In addition, Illinois will expand its training and certification program to prepare its workforce for the weatherization assistance program. After demonstrating success in the execution of its plan, Illinois will receive over $121 million in additional funds, for a total of more than $242.5 million.
New York will use its funds to weatherize more than 45,000 homes over three years. The state plans to coordinate its weatherization program with other state agencies to maximize benefits to low-income clients. The state will also encourage weatherization assistance to be rendered along with services provided by non-federal sources, like utilities and the Red Cross. After demonstrating success in the execution of its plan, New York will receive $197 million in additional funds, for a total of more than $394 million.
DOE Announces $154 million in Funding for State Energy Programs
Yesterday, the Department of Energy (“DOE”) announced more than $154 million in Recovery Act funding to four states for their State Energy Programs (“SEPs”). The funds were awarded to California, Missouri, New Hampshire, and North Carolina. The funding is to be provided in two stages to the four states with the second stage requiring successful performance at the first level. The funding is to be utilized in the areas of energy efficiency, workforce training, education and related programs.
Continue Reading...U.S. Department of Labor Announces US $500M For Green Job Training
U.S. Dept of Labor announced five grant competitions this week, totaling US $500 million, to fund projects out of Recovery funds that prepare workers for green jobs in the energy efficiency and renewable energy industries. Four of the competitions are designed to serve workers in need of training through various national, state and community outlets. These include Energy Training Partnership Grants, Pathways Out of Poverty Grants, State Energy Sector Partnership and Green Capacity Building Grants. The fifth competition, for State Labor Market Information Improvement Grants, will fund state workforce agencies that will collect, analyze and disseminate labor market information and develop labor exchange infrastructure to direct individuals to careers in green industries. See: link to DOL page: http://www.doleta.gov/grants/find_grants.cfm
Green Trademarks and Eco-Friendly Claims
Jere Webb, a partner in our Trademarks and Intellecutal Property Group, recently wrote the following interesting piece about green marketing claims:
It is evident that virtually every business now is trying to position itself as being “green”. For a discussion of restrictions on “green advertising”, particularly the FTC’s green ad guidelines (the “Green Guides”), and similar efforts at the state level, see “Green Claims Advertising – What You Can Say and What You Can’t”. The FTC is reviewing the Green Guides and likely will amend them in the near future. For comments submitted in the review process and additional information, see Green Guides.
The newer arena is green trademarks. The United States Patent and Trademark Office is now routinely rejecting, based on descriptiveness, multiword trademarks, that start with or contain the word GREEN. An example is the mark GREEN JOURNEY for hybrid cars. But in the same application, the applicant sought to register for clothing, and the Trademark Office accepted the mark, but with a disclaimer of the word GREEN. It found that the two word mark was merely “suggestive” of clothing, not “descriptive”. See "Green" Trademarks Face Hostile Climate in USPTO.
For an example of a green mark that passed muster, the Trademark Trial and Appeal Board (TTAB) recently reversed an examining attorney’s descriptiveness refusal for the mark GREEN INDIGO for clothing, finding it to be an “incongruous” term for clothing and therefore merely suggestive and not descriptive. The case is In re Jones Investment, Inc. (TTAB Jan. 21, 2009.)
The lesson is: If you want to include the word “GREEN” in a trademark, some careful review and advice from a trademark lawyer is in order.
Want to read more? See “Eco-Friendly Claims Go Unchecked” (USA Today June 22, 2009). The FTC’s brochure “Sorting Out Green Advertising Claims” can be found here: http://www.ftc.gov/bcp/edu/pubs/consumer/general/gen02.pdf
Show Me the Money: Minnesota, South Carolina, and South Dakota State Energy Programs Received $51.4 Million from the American Recovery and Reinvestment Act (ARRA)
On June 24, 2009, the Department of Energy (“DOE”) announced more than $204 million in ARRA funding to ten states for their State Energy Programs (“SEPs”).
Here is a summary of how the monies will be used in Minnesota, South Carolina and South Dakota:
Minnesota has been awarded $21.7 million in federal stimulus funds for retrofitting existing public buildings and homes, renewable energy and energy efficiency programs and to develop new training opportunities. Minnesota’s SEP will award grants to small, medium, and large businesses to help provide for the design, financing and installation of various energy efficiency improvements and retrofits. The state will also administer grants to work with utilities to develop programs that leverage ARRA funds to promote energy efficiency with customers, such as low-interest loans and grants. After demonstrating successful implementation of its plan, Minnesota will receive more than $27 million in additional funding, for a total of more than $54 million. This money is in addition to the $132 million the state will receive for weatherization grants for low-income households.
South Carolina has been awarded $20.2 million in federal stimulus funds. South Carolina’s SEP will utilize the funding to provide grants and loans to improve energy efficiency in public school districts, public colleges and universities, and state agencies to reduce the burden of energy bills for taxpayers, while creating jobs and reducing greenhouse gas emissions. South Carolina also intends to provide financial assistance to various industrial, commercial and small business entities to support energy efficiency and renewable energy projects. This financial assistance, along with education and training programs included in the SEP, will help create clean energy jobs in the state and make business and industry more economically stable. After demonstrating successful implementation of its plan, the state will receive more than $25 million in additional funding, for a total of over $50 million.
South Dakota has been awarded $9.5 million in federal stimulus funds. South Dakota’s SEP will use its funding to support the Energy Efficient Government program and to provide revolving energy loans to state institutions. The programs will promote energy efficiency efforts while reducing energy costs in state owned buildings, which will directly benefit state residents. The state’s energy office will administer the funds, provide technical guidance, and assure accountability and transparency for the state institutions who apply for the two programs. These programs coordinate with South Dakota’s energy goals to promote and encourage energy conservation, energy efficiency, renewable energy and alternative fuels. After demonstrating successful implementation of its plan, the state will receive more than $11 million in additional funding, for a total of more than $23 million.
My colleagues have blogged on the other seven states that received funds including: Florida, Idaho, Kansas, Utah, Connecticut, Washington and Arizona.
Show me the Money: Florida, Idaho, and Kansas State Energy Programs Received $77.1 Million from the Recovery Act
On June 24, 2009, the Department of Energy (“DOE”) announced more than $204 million in Recovery Act funding to ten states for their State Energy Programs ("SEPs").
Here is a summary of how the monies will be used in Florida, Idaho, and Kansas:
Florida's SEP will fund energy efficiency, renewable energy, and alternative fuels projects in the state. Florida will deploy these funds through several loan and grant programs to promote the commercialization of new clean technologies. Florida was awarded $50.4 million, and will receive an additional $63 million after demonstrating successful implementation of its SEP.
Idaho's SEP will launch a set up new programs, including the Renewable Energy Business Development Program, to further renewable energy development in the state while creating new jobs and stimulating the economy. Further, new zoning regulations will be created to attract renewable energy developers and projects. Idaho received $11.4 million and will receive more than $14 million in additional funding after demonstrating successful implementation of its SEP.
Kansas's SEP will launch several initiatives to boost energy efficiency in commercial buildings, increase financial options for renewable energy, and increase cost savings for individual homeowners in its state. A portion of the money will also be deployed to create a new utility rate price plan and to fund an energy audit rebate plan. Kansas received $15.3 million and expects to receive an additional $19 million after demonstrating successful implementation of its SEP.
My colleagues are blogging on the other states that received funds.
NEW HOPE FOR SHUTTERED MINN. BIODIESEL PLANT
A Minnesota biodiesel plant that has been shuttered for more than one year was approved for a $25 million loan from the U.S. Department of Agriculture (“USDA”). This loan is the second made by its Rural Development division under Section 9003 of the Farm Bill (the Biorefinery Assistance Program).
The loan is to help SoyMor Biodiesel, a 30-million gal/yr plant in Albert Lea "diversify its operations." The old plant could only process soy bean oil and the feedstock costs effectively put it out of business. The USDA Rural Development loan will allow SoyMor to process multiple types of feedstocks for the production of biodiesel. Construction will begin once the plant has secured debt financing and will last approximately six months. The plant employed about 32 people in its heyday.
SoyMor will use Renewable Energy Group (REG) proprietary technology for the upgrades and once the plant is up and running, REG will market the plant's biodiesel.
Labor Unions Target Renewable Energy Development
My partner Dennis Westlind recently posted this article to our sister blog, the Labor & Employment Group's World of Work:
Labor unions are seeing a rare growth opportunity in green power. Despite the recession, there has been a building boom in green energy, in particular solar and wind projects. As reported recently in the New York Times, labor unions see something in green energy for them as well, and they're using intense political pressure to get it.
When a new solar or wind project is being built, a union will approach the builder and demand that it use only union labor on the project. If the builder agrees, the union then urges local regulators to quickly approve the project; if the builder refuses, however, the union then raises myriad environmental concerns with regulators in an attempt to stall or even completely derail the project. Apparently, a union-built solar installation won't have the same impact on the habitat of the short-nosed kangaroo rat or the ferruginous hawk as a non-union one. Right.
These tactics aren't new; labor unions have made aggressive use of the environmental laws for years to put pressure on traditional energy producers to use union labor. But, with union membership in an overall decline, unions are desperate to maintain relevance in the growing green economy.
Show Me the Money: $204 Million for State Energy Programs in 10 States
U.S. Department of Energy (“DOE”) Secretary Steven Chu today announced more than $204 million in Recovery Act funding to support energy efficiency and renewable energy projects in ten states, including Washington and Arizona. Under DOE's State Energy Program (“SEP”), states have proposed plans that promote energy savings, create or retain renewable energy jobs, increase the use of renewable energy, and reduce greenhouse gas emissions. These ten states have now received 50% of their total SEP funds and will get the remaining 50% provided that they meet reporting, oversight, and accountability milestones.
The Recovery Act appropriates a total of $3.1 billion to the SEP. Eligible categories include energy audits, building retrofits, education and training programs, increased use of alternative fuels and hybrid vehicles, among others. Besides encouraging technology innovation, DOE intends that the funds be used for activities that promote new jobs and stimulate the local economy.
My colleagues are blogging on the other 8 states that received funds today. Here is a summary of how the monies will be used in Arizona and Washington:
Arizona plans to initiate a series of novel programs aimed at providing support for local renewable energy manufacturers and products. Arizona plans to create a revolving loan program for small business owners who are looking for funds to improve the use of energy or install solar projects at their facilities, and to manufacturers of renewable energy or energy efficiency equipment and technologies. After demonstrating successful implementation of its plan, Arizona will be granted an additional $27 million, for a total of $55 million.
Washington will use its Recovery Act funds for two major programs: the Community-Wide Urban Residential and Commercial Energy Efficiency Program and the Energy Efficiency and Renewable Energy Loans and Grants Program Fund. Under these programs, Washington funds will be allocated to energy efficiency improvements and home weatherization, agricultural energy assessments, green job creation and to the development of a clean energy state policy. After demonstrating successful implementation of its plan, Washington will receive the other 50% of SEP monies of $30 million for a total of over $60 million.
Show me the Money: Conneticut and Utah State Energy Programs
Today, the Department of Energy (“DOE”) announced more than $204 million in Recovery Act funding to ten states for their State Energy Programs ("SEPs").
Here is a summary of how the monies will be used in Connecticut and Utah:
Connecticut will use its SEP funding to further a variety of programs. Examples include the deployment of alternative-fuel vehicles and in-home energy audits. In-home energy audits involve a specialist performing an energy assessment, weatherizing the home, and installing energy conservation devices. After demonstrating successful implementation of its plan, the state will receive an additional $19 million, for a total of $38 million.
Utah will use its SEP funding to collect data about potential renewable energy resources in the state and to improve energy efficiency. The energy efficiency program will provide financial incentives to upgrade residential, commercial, public education, and government buildings. New construction developments will also qualify for rebates if they meet specific energy efficiency goals. After demonstrating successful implementation of its plan, the state will receive an additional $17 million, for a total of $35 million.
My colleagues are blogging on the other 8 states that received funds today.
Show me the Money: Mandatory Registrations to be Eligible for Stimulus Funding
In general, parties that are considering applying for Stimulus Act funding for their project must preregister at the following websites:
- Applicants must obtain a Dun and Bradstreet Universal Numbering System number (DUNS)
DUNS website: http://www.dnb.com/US/duns_update/ - Applicants must register with the Central Contractor Registration (CCR)
CCR website: http://www.ccr.gov/ - Applicants must register with FedConnect to submit their application.
FedConnect website: www.fedconnect.net
Numerous parties have reported that these websites may take several days to process registration requests. As such, I recommend that you register immediately if you are considering federal funding as a component of your project.
If you have trouble completing your registration in time for an application deadline, please use the following phone numbers to inquire about your registration status:
- DUNS Customer Assistance: 1-800-234-3867
- CCR Assistance Center: 1-888-227-2423
- FedConnect Support: 1-800-899-6665
Energy Efficiency and Conservation Block Grants - Formula Grants
The American Recovery and Reinvestment Act of 2009, provides over $2.7 billion in formula-based grants to states, U.S. territories, units of local government, and Indian tribes under the Energy Efficiency and Conservation Block Grant (EECBG) Program.
The purpose of the EECBG Program is to assist eligible entities in creating and implementing strategies to:
- reduce fossil fuel emissions in a manner that is environmentally sustainable and, to the maximum extent practicable, maximizes benefits for local and regional communities;
- reduce the total energy use of the eligible entities; and
- improve energy efficiency in the building sector, the transportation sector, and other appropriate sectors.
The funding opportunity announcement (FOA) related to the EECBG has been recently amended. Originally, all applications had to be submitted through the FedConnect website, www.fedconnect.net. The most recent announcement to the FOA allows for applications to be submitted via email to eecbg@netl.doe.gov with the subject line "EECBG Application (Unique Identification Code)."
Renewable / Alternative Energy Compensation Survey Released
The renewable energy industry (including biomass, geothermal, hydropower, solar, wind, tidal, and wave) is expected to employ 6.3 million people globally by 2030. Currently wind energy alone employs more than 400,000 people globally and 85,000 in the U.S. In 2008, the U.S. added 35,000 wind energy jobs. The increase in renewable energy employment needs has placed a greater emphasis on attracting, retaining, and engaging key talent.
In order to help companies meet their employment needs, Towers Perrin has released an expanded Renewable/Alternative Energy Compensation Survey. The survey offers data regarding competitive compensation levels and pay program design. Towers Perrin has found that the top ten attraction drivers are:
- Competitive base pay,
- Career advancement opportunities,
- Challenging work,
- Convenient work location,
- Flexible schedule
- Learning and development opportunities,
- Vacation time,
- Reputation of the organization as a good employer,
- Reasonable workload, and
- The Organization's financial health
Future renewable energy compensation surveys will be conducted in Canada, China, France, Germany, the Netherlands, Spain, the United Kingdom, and the U.S. Participants in the survey receive data regarding competitive compensation levels and pay program design as well as access to biannual Web seminars (which will include industry briefings).
To participate in the survey visit www.towersperrin.com or contact brian.reidy@towersperrin.com
Advanced Technology Vehicles Manufacturing Loan Program Update
June 23, 2009: the Obama Administration announced $8 billion in conditional loan commitments for Ford, Nissan and Tesla to support the development of innovative, advanced vehicle technologies. Ford Motor Company received a commitment of $5.9 billion to retool several to produce more fuel efficient models; Nissan received a commitment of $1.6 billion to retool their Tennessee factory to build advanced electric automobiles and an advanced battery manufacturing facility; and a commitment of $465 million was made to Tesla Motors to manufacture electric drive trains and electric vehicles in California.
These are the first conditional loan commitments reached as part of the Department of Energy's Advanced Technology Vehicles Manufacturing program. The Department plans to make additional loans under this program over the next several months to large and small auto manufacturers and parts suppliers up and down the production chain with fuel-efficient technologies
Cowlitz and Klickitat PUDs Share DOE Public Power Wind Pioneer Award
The U.S. Department of Energy Wind Powering America Program today announced that two Washington state public utility districts, Cowlitz County PUD and Klickitat PUD, are the co-winners of the 2009 Public Power Wind Pioneer Award for their outstanding teamwork and innovation in the development of the White Creek Wind Farm. The annual award was created in conjunction with American Public Power Association (APPA) and the Demonstration of Energy-Efficient Developments (DEED) Program to recognize pioneers in wind power.
A panel of wind, government, national laboratory, and public power experts from across the United States selected Cowlitz and Klickitat from sixteen public power utilities nominated for the award.
Show me the Money: $57 million Deployed to 30 Biomass Projects
On June 11, 2009, the Department of Agriculture ("USDA") announced that thirty projects, located in fourteen states, would receive $57 million in Recovery Act funding. Of these funds, $49 million will be for wood-to-energy grants and $8 million is for biomass utilization.
These funds will serve two important objectives. First, the funds will promote the development of biofuels from wood and stimulate renewable energy infrastructure. Second, the projects will create a market for low value woody biomass that would otherwise constitute fuel for wildfires.
For information about specific projects, please call the United States Forest Service or go to http://fs.usda.gov
Show me the Money: $10 million for Climate Showcase Communities
On June 16, 2009, the Environmental Protection Agency ("EPA") issued a request for applications ("RFA") for its Climate Showcase Communities Grant Program. The RFA provides $10 million for programs to help lower green house gas ("GHG") emissions through energy and resource management.
Eligible activities are those that reduce GHG emissions in the following priority areas:
- Use or supply of green power products, on-site renewables, and other clean energy supply options;
- Energy performance in municipal operations (including municipal energy, water, and waste-water utilities);
- Energy performance in residential, commercial, agricultural, aqua-culture, and/or industrial buildings;
- Land use, transportation, or community master planning;
- Reduction of vehicle miles traveled;
- Solid waste management;
- Agricultural, aqua-cultural, and natural resource management;
- Heat island management;
- Removal of barriers for greenhouse gas management, through the development of effective programs, policies, or outreach; or
- Other innovative activities which generate measurable reductions of greenhouse gases
The EPA expects to award up to 30 cooperative agreements. Individual awards can be as high as $500,000, but most awards will range in value from $300,000 to $500,000. Eligible entities include local governments, Indian tribes, and intertribal consortiums.
Applicants must submit an informal notice of Intent to Apply by July 1, 2009 and full applications are due July 22, 2009 at 4:00 p.m. EDT.
Stanford Sees Results in Geothermal Reservoir Characterization
In October 2008, the Department of Energy (“DOE”) agreed to provide $43.1 million for 21 research projects to research, develop and demonstrate enhanced Geothermal Systems (“EGS”) which are next-generation geothermal energy technologies capable of producing baseload electricity across the United States. DOE's geothermal technologies program works in partnership with U.S. industry to establish geothermal energy as an economically competitive contributor to the U.S. energy supply. With cost share by the applicants, the public-private investments came to approximately $78 million.
One of the recipients selected by the DOE was Stanford University in California whose proposal included the development of reservoir engineering approaches including nanotechnology. This week Stanford announced that it had developed a method to learn more about the fracture systems in geothermal reservoirs by using tiny particles (nanoparticles) as tracers to characterize fractured rocks. The ultimate goal of the Stanford project is to utilize the nanoparticles as sensors to characterize subsurface fractures.
You can learn more about the DOE’s geothermal program at http://www1.eere.energy.gov/geothermal/
Show me the Money: $6.97 Million for Sequestration Training
The Department of Energy is requesting proposals for regional sequestration technology training. The funding is available to develop regional training that promotes the transfer of knowledge and technologies related to carbon capture and sequestration technologies.
Up to $6.97 million in Recovery Act Funding as available for up to 7 individual awards.
Proposals must be submitted by July 22, 2009.
Air Force Seeking Biomass Plant on Texas Base
The Air Force has announced a presolicitation related to biomass project on Dyess Air Force Base in Texas. A request for proposals is expected to be issued on July 15, 2009.
The Air Force is seeking proposals from private contractors to fund, design, construct, operate, and maintain the biomass energy plant. Feedstocks will be municipal solid waste and/or biomass.
The Air Force will enter into a power purchase agreement for the renewable energy generated from the plant. The contractor is free to sell the renewable energy credits to others.
For more information on this project, contact ronald.miller@dyess.af.mil and reference Solicitation # Dyess-Biomass-Plant-0900001
Navy Seeking Proposals for Geothermal Investigations
The Naval Air Warfare Center has issued a presolicitation for geothermal investigations at Eastern Lava Mountains, Almond Mountain, and Southern Slate Range Naval Air Weapons Station China Lake, California.
The investigations shall be conducted in two phases. The first phase consists of a geologic field study, fault trenching, thermochonologic sampling and analysis, and geologic modeling. The second phase will be for resource refinement, drilling support, and other exploration.
The final request for proposal is expected to be issued on June 22, 2009. For more information, contact sue.casey@navy.mil and reference solicitation # N6893609R0076
Show me the Money: USDA funded Research for Small Businesses
The Department of Agriculture ("USDA") is now accepting proposals for its Small Business Innovation Research Program ("SBIR"). SBIR has $18.5 million available to fund research projects that address important problems facing American agriculture. Research areas include, but are not limited to:
- Biofuels and biobased products;
- Air, water, and soils;
- Rural development;
- Aquaculture; and
- Animal Manure management
Individual awards can be as high as $90,000 and proposals are due September 3, 2009. For more information click here.
Click here for more information on USDA funding opportunities.
Biomass Crop Assistance Program
The USDA has released a proposed Notification for Funds Availability (NOFA) for the Collection, Harvest, Storage and Transportation (CHST) of eligible biomass material. CHST is one of the programs under the Biomass Crop Assistance Program, which was created by the 2008 Farm Bill.
The purpose of CHST is to provide matching funds to eligible persons or entities for the collection, harvest, storage and transportation of eligible material delivered to qualified biomass conversion facilities. Through this program, the Commodity Credit Corporation will provide matching payments on a dollar for dollar basis for each dry ton of eligible biomass delivered to a qualified biomass conversion facility, up to a maximum of $45 per ton. The matching payments are available to eligible persons or entities delivering the biomass to the facility who have the right to collect or harvest the biomass and are considered the owners of it.
The NOFA, once finalized, will be used to administer payments for CHST in advance of the rule on the Biomass Crop Assistance Program. Comments on the NOFA are being requested through August 10, 2009.
For more information on USDA funding opportunities, please see our recent alert.
Show me the Money: Government Requests for Solar Systems
Numerous federal agencies are actively seeking services and materials related to solar power. For example, the following opportunities are currently open:
- The Department of Defense is seeking a ten year photovoltaic (PV) solar power purchase agreement related to its Defense Distribution Depot in Tracy, California. The total contract quantity is 12,200,000 kWh. Responses are due July 28, 2009.
- Federal Prison Industries is seeking integrator and financing services for PV panel systems. The work includes, but is not limited to, the design, construction, supplies, and financing for turnkey PV systems. Responses are due July 6, 2009.
- The Fish and Wildlife Service is requesting proposals for the equipment, labor, and material necessary to install a grid tied 20KW nominal PV system at a site in Southwest Montana. Responses are due July 10, 2009.
- The Western Montana Acquisition Zone is requesting proposals to generate power at a site in Missoula, Montana. Responses are due July 1, 2009.
General Services Adminstration Requests Proposals for Renewable Energy Certificates
The U.S. General Services Administration ("GSA") has issued a request for proposal for renewable energy certificates ("RECs") for GSA Regions and other federal agencies. GSA seeks pricing for between 150,000 to 400,000 MWhs of RECs produced from renewable resources.
Responses are due 7/9/09.
Western Governors Consider Regional and National Polices Regarding Global Climate Change
At the Western Governors' Association Annual Meeting on June 15, 2009, the Western Governors heard a sobering and candid report from Secretary of Energy Steven Chu, which, at its core, indicated that climate change is real and happening faster than scientists previously warned. According to Secretary Chu, "the news is getting scary . . . but the most scary thing in my mind is the [scientific] observations. People can be entitled to their own opinions, but they are not entitled to their own facts." A few of the observations cited by Secretary Chu included the following:
- Loss of 1/2 of the Northern polar ice cap in the last 10 years
- Sea level rise
- 40% of the British Columbia pine is dead
- Extreme water stress in the Western United States (with exception to the Pacific Northwest) as a result of decreased snow pack and changing weather patterns
Secretary Chu was particularly concerned with the continued melting of the permafrost in the Northern Hemisphere, which he predicted could have "runaway effects" due to the massive release of CO2 and methane from the biomass that has accumulated over time.
President of the World Bank, Robert B. Zoellick, also participated in the discussion on climate change, indicating that the rule making that will be necessary for implementing climate change policies will stay with us for decades and will be some of the "toughest negotiations" he has ever seen. Mr. Zoellick stressed the importance of having the Governors plugged into the rule making process since this will be the framework that the states will have to live with. There was also an acknowledgment among the group that the farmers and ranchers are skeptical about climate change, but that this is a key stakeholder group that needs to be part of the equation. Governor Bill Richardson commented that the key will be the creation of a carbon offset market that will work. Secretary of Agriculture, Tom Vilsack, concurred indicating that a carbon offset market will be critical to the survival of rural communities.
Continue Reading...Show me the Money: Net-Zero Energy Commercial Building
The Department of Energy ("DOE") expects to establish net-zero energy performance for all U.S. commercial buildings by 2050. DOE has issued a funding opportunity announcement ("FOA") to support this goal. $1 million will be awarded to fund the collection of information on technologies for individual components and systems to support this goal.
Nebraska Passes Legislation Governing Wind Leases
The Nebraska legislature recently passed a bill amending existing state law governing wind easements, wind options, or wind leases or lease options entered into in the state for the purpose of wind energy development. Substantive terms of the legislation include a limitation on the initial term of the agreement of not more than 40 years, and an automatic termination of the agreement if development of a wind energy facility has not commenced within ten years (although this may be extended by the parties).
For more information, please contact my colleague Kevin Prohaska.
President Creates Interagency Task Force to Develop Marine Policy and Spatial Planning Framework
President Obama has issued a memorandum calling for the creation of a temporary Interagency Ocean Policy Task Force led by the Chair of the Council on Environmental Quality (CEQ) to develop a unifying framework for responsible development and ecosystem management for the nation’s oceans, coasts and the Great Lakes. Specifically, within 90 days the Task Force must develop recommendations for a national ocean, coastal and Great Lakes policy that addresses coastal economies, climate change and adaptive management while prioritizing resource stewardship, as well as a framework for policy coordination and an implementation strategy that identifies and prioritizes policy objectives. Within 180 days, the Task Force must develop a recommended framework for comprehensive, ecosystem-based coastal and marine spatial planning that addresses “conservation, economic activity, user conflict, and sustainable use of ocean, coastal and Great Lakes resources....”
In addition to the Chair of CEQ, the Task Force will be composed of senior officials from the Departments of State, Defense, the Interior, Agriculture, Health and Human Services, Commerce, Labor, Transportation, Energy, and Homeland Security and Justice, the Environmental Protection Agency, Office of Management and Budget, National Aeronautics and Space Administration, National Intelligence, Office of Science and Technology Policy, National Science Foundation, and Joint Chiefs of Staff, as well as several Presidential assistants and an employee designated by the Vice President.
For additional information, please contact my colleague Cherise Oram.
Strategies for Tapping the West's Renewable Energy Potential
The Western Governors' Association ("WGA") gathered in Park City, Utah for its annual meeting, which was held on June 14-16, 2009. Attendees at the meeting included Governors Bill Ritter (Colo.); C.L. "Butch" Otter (Idaho); Brian Schweitzer (Mont.); Dave Heineman (Neb.); Bill Richardson (N.M.); Benigno Fitial, Northern Mariana Islands; Ted Kulongoski (Ore.); Mike Rounds (S.D.); Dave Freudenthal (Wyo.); and Jon Huntsman, Jr. and Lieutenant Governor Gary Herbert (Utah) , along with Canadian Premiers Ed Stelmach, Alberta; Gary Doer, Manitoba; and Brad Wall, Saskatchewan.
The morning session on Monday, June 15, 2009, was kicked off with the unveiling of the Western Renewable Energy Zones-Phase 1 Report, which was a product of a joint initiative between the WGA and the U.S. Department of Energy (the "WREZ Initiative"). The intention of the WREZ Initiative is twofold: (1) to identify Western Renewable Energy Zones in the Western Interconnection and (2) to facilitate the development of high voltage transmission to those areas with abundant high-quality renewable resources and low environmental impacts. Governor Schweitzer provided an overview of the WREZ Phase I report, which included a summary of the process for obtaining feedback from a diverse group of stakeholders to provide the analysis and tools for constructing a plan to facilitate the construction of new, utility scale renewable energy facilities and any needed transmission to deliver that energy across the Western Interconnection. The WREZ Initiative has developed a modeling tool for evaluating the relative economic attractiveness of costs of delivered renewable energy, including transmission costs, from specific renewable resource areas delivered to specific load centers.
Continue Reading...Rhode Island Legislation Proposed to Move Offshore Wind Forward
Rhode Island has introduced legislation to encourage offshore wind development. Under the draft bill, the state's largest electricity supplier, National Grid, would be required to purchase the energy output from an offshore wind project proposed by the state's selected preferred offshore wind developer, Deepwater Wind. National Grid has said that it supports the proposal, under which it would be permitted to collect a payment from its customers equal to around 3 percent of the value of the renewable energy contracts it signs.
SHOW ME THE MONEY: Clean Coal Power Initiative Round 3
On June 9, 2009, the Department of Energy (“DOE”) re-opened a Funding Opportunity Announcement (“FOA”) related to the Clean Coal Power Initiative (“CCPI”). The CCPI is a cost-shared collaboration between government and industry to advance clean coal technologies in accordance with the Energy Policy Act of 2005. CCPI goals include advancing clean coal technologies for commercial development.
This FOA provides $1.4 billion for CCPI projects, of which sum $800,000 is being made available under the American Recovery and Reinvestment Act (the “Recovery Act”). The funding can be directed at the following types of projects:
- Demonstration of a commercial technology that achieves a 50% CO2 capture efficiency and makes progress toward a target CO2 capture efficiency of 90% in a gas stream containing at least 10% CO2 by volume;
- Capture and sequestration goals of less than 10% increase in the cost of electricity for gasification systems and less than 35% for combustion and oxycombustion systems as compared to 2008 practice; and
- Capture and sequester or put to beneficial use a minimum of 300,000 tons per year of CO2 emissions.
DOE Funds Seven Advanced Battery Projects for Electric Drive Vehicles
On June 16, 2009, the Department of Energy ("DOE") announced the funding of seven research projects for the development of advanced batteries for electric drive vehicles. The projects focus on improving performance and decreasing the cost of batteries for plug-in hybrid electric vehicles ("PHEVs"). PHEVs are designed to be driven in electric-only mode and can be recharged from a standard electric outlet.
These research projects were selected under a Funding Opportunity Announcement ("FOA") released on February 29, 2008. So far, a total of ten projects have been awarded under this FOA. The most recent awardees include:
| Company | Award | Project Description |
| A123Systems, Inc. | $1.1 million | High throughput electrode fabrication process for lithium ion battery technology |
| Angstron Materials LLC, K2 Energy Solutions, General Motors Corp., and HST Auto | up to $3.2 million | Hybrid nano carbon fiber/graphene platelet-based high-capacity anodes for lithium batteries |
| EnerDel Inc. | up to $3.3 million | Chemical shuttle agent that will eliminate the danger of overcharging lithium ion batteries |
| MaxPower Inc. | up to $500,000 | Adapt MaxPower's present battery management systems for lithium-ion batteries to recognize the imminent appearance of an internal short circuit |
| North Carolina State University and American Lithium Energy LLC | up to $1.35 million | High-energy composite nanofiber anodes for materials for lithium ion batteries |
| SION Power Corp | up to $800,000 | Lithium sulfur (Li-S) rechargeable battery chemistry |
| TIAX LLC | up to $2.36 million | Understanding and preventing internal short circuits in lithium ion cells |
Show me the Money: Carbon Capture and Benficial Carbon Dioxide Use
On June 8, 2009, the Department of Energy (“DOE”) issued a Funding Opportunity Announcement (“FOA”) to deploy over $1.4 billion from the American Recovery and Reinvestment Act (“Recovery Act”) to be used to lower our nation’s carbon emissions. The FOA will support projects in two areas: (1) the capture and sequestration of carbon dioxide emissions from industrial sources, and (2) demonstration of innovative concepts for beneficial CO2 use.
Applications under this FOA are Due August 7, 2009.
Show me the Money: Seminar for Identifying Funding for Renewable Energy Projects
The American Recovery and Reinvestment Act provides almost $94 billion dollars in direct and indirect spending to clean energy company and projects. See Show me the Money: A Guide to Sources of Funding through the American Recovery and Reinvestment Act.
On June 17, 2009, I will be speaking in Cle Elum, Washington about how to get your project "shovel ready" for Stimulus Funding. The seminar will also include sessions on identifying sources of funding and application mechanics.
Commercial Scale Carbon Sequestration
On June 12, 2009, the Department of Energy ("DOE") announced that an agreement has been entered to develop the nation's first commercial scale, fully integrated, carbon capture and sequestration project in the country.
The Project will be constructed by the FutureGen Alliance and will serve as a flagship facility to demonstrate commercial scale carbon capture and storage. DOE will issue a Record of Decision on the project by the middle of July. Funding will be phased and conditioned based on completion of NEPA review.
The Project will receive funding from the following sources:
- $1 billion from Recovery Act funds for carbon capture and storage research
- $73 million from other federal funding
- $400-600 million cost share from the FutureGen Alliance (based on 20 member companies contributing $20-30 million each over a four to six year period)
Show me the Money: $256 Million Investment to Improve Energy Efficiency
On June 1, 2009, the Department of Energy ("DOE") announced plans to deploy $256 million from the American Recovery and Reinvestment Act ("Recovery Act") to be used to improve the energy efficiency of the American economy. Three recent DOE Funding Opportunity Announcements ("FOAs") have been issued in conjunction with this Recovery Act announcement. Additionally, a related FOA has been announced using funds appropriated outside of the Recovery Act. The recently announced funding will support projects in three areas: (1) sustainable energy infrastructure and energy efficient industrial technologies, (2) improved energy efficiency for information and communication technology and (3) advanced materials in support of clean energy technologies and energy-intensive processes.
Click here for more complete details.
Stimulus funds for Washington Tech
Washington Technology Center has been awarded $136,000 in funding from the U.S. Department of Energy Photovoltaic Supply Chain and Cross-Cutting Technologies program (the "EPSCCCT Program"), to develop nano-scale imprinting methods* for thin-film silicon solar cells. The funding comes out of the $22 million allocated by the DOE for the EPSCCCT Program, which funds unique PV products or processes through a competitive award process. Washington Tech partnered with Oregon State University and the National Renewable Energy Laboratory and this award is one of 24 projects receiving funding through the EPSCCCT Program. The total cost of the project is $184,000: $136,000 from the DOE and $48,000 in cost-matching and in-kind contributions from Washington Tech and OSU.
* Nano-scale imprinting methods entail “bending” the light hitting a silicon thin film solar cell, which increases the amount of light that can then be converted into electricity.
Annual Meeting of the Western Governors' Association: June 14-16, 2009, Park City, Utah
The Western Governors' Association ("WGA") will hold its annual meeting in Park City, Utah on June 14-16, 2009. Based on a review of the Agenda posted to the WGA's website, the focus of the meeting will be on developing regional and global strategies for addressing important issues related to energy resources, climate change and water. I will be attending the annual meeting this year and reporting on the outcome of discussions on the following topics:
On June 14, 2009, there will be a panel discussion on policies and technologies to address water use in an era of declining water supplies due to climate change. Panelists include: Dr. Peter H. Gleick, co-founder and president of the Pacific Institute; Professor Eilon Adar, Zuckerberg Institute for Water Resources, Ben-Gurion University of the Negev; Doug Miell, Principal, Miell Consulting; Cameron J. Brooks, Ph.D., Director of Solutions and Business Development for IBM Corporation's Big Green Innovations initiative.
On June 15, 2009, Secretary of Agriculture Tom Vilsack, Secretary of the Interior Ken Salazar, Secretary of Energy Steven Chu and FERC Chairman Jon Wellinghoff will provide their perspectives on developing large amounts of clean energy in the West and the transmission lines needed to bring it to market. Following their remarks, they and the Governors will have the opportunity to discuss what cooperation is needed between states and the federal government to accelerate progress. An outline of discussion points that might be expected from the Governors during this session could include topics addressed in the letter dated May 1, 2009 from the WGA to the Senate Energy & Natural Resources Committee.
Continue Reading...Show me the Money: $24 million Funding Opportunity for Wind Energy Research and Development
On June 2, 2009, the Department of Energy ("DOE") issued a Funding Opportunity Announcement ("FOA") providing $24 million for the development of consortia between universities and industry to focus on critical wind energy challenges.
DOE intends on awarding two to three grants of $8-12 million. The grants will be used to address two areas:
- Partnerships for Wind Research and Turbine Reliability. Universities in wind resource areas are encouraged to apply with industry partners to study major challenges facing today's wind industry. DOE is highly encouraging research in turbine reliability, but projects are eligible if they meet one or more challenges described in the 20% Wind Energy by 2030 report.
- Wind Energy Research & Development. Universities are encouraged to apply with industry partners for grants to fund R&D to advance material design, performance measurements, and analytical models related to wind energy development. The goals of this research shall be to improve power systems operations, wind turbine and/or component manufacturing, and interdisciplinary systems integration.
Applicants interested in either area must file a letter of intent by June 16, 2009 and FOA applications are due by July 29, 2009.
*****UPDATE******
On June 19, 2009, DOE announced an extension to the deadline for submittal of a letter of intent for this program. Letters of intent must now be submitted by June 29, 2009. Applications are due on July 29, 2009.
FERC and Washington Sign MOU on Hydrokinetic Projects
Late last week, the Federal Energy Regulatory Commission (“FERC”) and the State of Washington signed a Memorandum of Understanding (“MOU”) to coordinate their review of hydrokinetic energy projects in Washington state waters. The MOU is intended to reduce some of the regulatory barriers associated with siting and permitting such projects, while also ensuring that projects are undertaken in an environmentally and culturally sensitive manner.
As described in the MOU, FERC and Washington have pledged to collaborate in the following ways: (1) notifying each other of potential applicants for a preliminary permit, pilot project license, or license; (2) agreeing upon a schedule for processing license applications that will include milestones and encourage collaboration among various stakeholders; (3) coordinating the environmental reviews of projects proposed in Washington state waters and consulting with stakeholders on the design of applicable studies; and (4) agreeing that if Washington prepares a comprehensive plan with respect to the siting of hydrokinetic projects, in determining whether to approve a project license, FERC will consider whether the project is consistent with the state plan. Notably, the MOU recognizes that Washington may submit an amendment to its coastal zone management plan to the National Oceanic and Atmospheric Administration (“NOAA”) for approval, and that such a plan may identify a limited number of areas within Washington state waters where hydrokinetic projects may be initially located. Whether NOAA would approve such a plan is unclear.
Show me the Money: DOE Delivers $80 Million to Four States for Weatherization
On June 8, 2009, the Department of Energy ("DOE") announced the transfer of approximately $80 million in funding from the American Recovery and Reinvestment Act ("Recovery Act") to Arizona, Kansas, Mississippi, and Oregon to expand state weatherization assistance programs. These four states have now received 50% of their Recovery Act funds for the Weatherization Program.
Arizona received an award of $22.8 million for the Arizona Weatherization Assistance Program ("AZ WAP"). The AZ WAP will use the Recovery Act funds to weatherize 6,409 homes over the next three years, provide training for technicians to perform such weatherization, and work with local utilities to review energy consumption for weatherized homes. After demonstration of successful implementation of this plan, Arizona will receive more than $28 million in additional funding.
Kansas received an award of $22.6 million for the Kansas Weatherization Assistance Program ("K-WAP"). K-WAP will use the Recovery Act funds to weatherize 5,820 new homes through a collection of public and private nonprofit agencies. K-WAP has also increased the number of trainings it runs to meet the increased demand for weatherization workers. After demonstration of successful implementation of this plan, Kansas will receive $28 million in additional funding.
Mississippi received an award of $19.8 million for its weatherization program. The Mississippi weatherization program will use the Recovery Act funds to weatherize 5,467 homes through the Community Services Division at the Mississippi Department of Human Services. After demonstration of successful implementation of this plan, Mississippi will receive $24 million in additional funding.
Oregon received an award of $15.4 million for its weatherization program. The Oregon weatherization program will use the Recovery Act funds to weatherize 4,635 homes through a network of 22 subgrantees (including community action agencies, housing authorities, area agencies on aging, senior centers, a development corporation and Native American tribes). After demonstration of successful implementation of this plan, Oregon will receive $28 million in additional funding.
Show me the Money: $350 million in Stimulus Funds Available Now for Geothermal Projects
On May 27, 2009, President Obama announced that the Department of Energy ("DOE") would deploy $350 million from the American Recovery and Reinvestment Act ("Recovery Act") to be used to expand development, deployment, and use of geothermal energy throughout the United States. Four recent DOE Funding Opportunity Announcements ("FOAs") have been issued in conjunction with this announcement. The recently announced Recovery Act funding will support projects in five areas: (1) geothermal demonstration projects, (2) enhanced geothermal systems ("EGS") research and development, (3) innovative exploration techniques, (4) the creation of a national geothermal data system and a resource assessment and classification system, and (5) ground source heat pumps.
For more specific information, see this alert
Show Me the Money: $117.6 million in Stimulus Funds Available Now for Solar Energy
On May 27, 2009, President Obama announced that the Department of Energy ("DOE") is to provide $117.6 million to support the widespread commercialization of clean solar technologies and to scale up U.S. solar manufacturing and production. The funds are intended to promote partnerships between DOE's national laboratories, universities, local government, and the private sector to promote and improve the U.S. solar industry. The DOE issued two funding opportunity announcements ("FOA") for high-penetration solar deployment and market transformation and one program announcement related to concentrated solar power research and foundational photovoltaics.
For more specific information, see this recent alert.
Show Me the Money: Renewable Energy Financing in the Farm Bill
In an earlier blog, my colleague, Debra Frimerman reported about the Rural Energy for America Program (REAP). REAP provides grants and loan guarantees to agricultural producers and rural small businesses to purchase renewable energy systems, make energy efficiency improvements and conduct feasibility studies for renewable energy systems.
REAP is a program under the Food, Conservation, and Energy Act of 2008 (the "2008 Farm Bill"). The 2008 Farm Bill also includes numerous other programs to help develop renewable energy in rural areas and promote the production of sustainable feedstocks for renewable energy production. Please see this recent alert for specifics.
Evaluating Climate Change Impacts under the California Environmental Quality Act: Center for Biological Diversity v. Town of Yucca Valley
Query this: the California legislature has passed the California Global Warming Solutions Act (AB 32) and Senate Bill 97, making it clear that the impact of a project’s greenhouse gas (GHG) emissions has to analyzed under the California Environmental Quality Act (CEQA). Your project is one GHG source among literally thousands of sources in California contributing to global climate change. There is no recognized CEQA threshold of significance for GHG emissions. We’re months away from having new CEQA Guidelines adopted under SB 97, but, in any case, the proposed draft amendments to the CEQA Guidelines do not establish a threshold of significance. And yet, you, as a project developer, need to analyze and reach a definitive (and defensible) conclusion on the cumulative impact of your project on climate change. What do you do?
Continue Reading...IRS Provides Guidance on Electing ITC in Lieu of PTC
On Friday, June 5, the Internal Revenue Service issued Notice 2009-52, which provides guidance informing taxpayers how to elect to claim the Investment Tax Credit under IRC § 48 in lieu of the Production Tax Credit under IRC § 45 with respect to qualifying projects. This election was provided for as part of the American Recovery and Reinvestment Act of 2009 (ARRA”).The election to claim the ITC in lieu of the PTC applies to the following types of renewable energy facilities:
Wind; Biomass (both closed- and open-loop); Geothermal; Landfill gas; Trash facilities; Qualified hydropower; and Marine and hydrokinetic.
Notice 2009-52 appears to provide the exclusive means by which taxpayers may make the election. To qualify, a taxpayer must claim the ITC with respect to qualified property that is an integral part of the facility on a completed Form 3468. Form 3468 must be filed with the taxpayer’s income tax return for the year in which the property is placed in service.
A separate election must be made for each qualifying facility.
Observation:This requirement may be very important if the Service defines “qualifying facility” very narrowly. For example, if the qualifying facility for a wind farm is each turbine, the election procedure will be extremely onerous. There is no indication in Notice 2009-52 of how the Service will define a facility for this purpose.
The following information must be provided with each election:
1. Name, address, taxpayer ID number, and telephone number of the taxpayer.
2. For each qualified investment credit facility:
(i) A detailed technical description of the facility, including generating capacity.
(ii) A detailed technical description of the energy property placed in service during the taxable year as an integral part of the facility, including a statement that the property is an integral part of such facility.
(iii) The date that the energy property was placed in service.
(iv) An accounting of the taxpayer’s basis in the energy property.
(v) A depreciation schedule reflecting the taxpayer’s remaining basis in the energy property after the energy credit is claimed.
3. A statement that the taxpayer has not and will not claim a grant under Section 1603 of ARRA for property for which the taxpayer is claiming the energy credit.
4. A declaration, applicable to the statement and any accompanying documents,
signed by the taxpayer, or signed by a person currently authorized to bind the taxpayer
in such matters, in the following form:
Under penalties of perjury, I declare that I have examined this statement, including accompanying documents, and to the best of my knowledge and belief, the facts presented in support of this statement are true, correct, and complete.
Observation: The Notice does not address what constitutes what property will be considered “integral” to a qualified facility. Presumably, this will be addressed in subsequent guidance.
Finally, the Notice requires that the taxpayer making the election retain adequate books and records, including the information required to be provided by the Notice and all supporting documentation.
Observation: The Notice is focuses on the procedural aspects of the PTC to ITC election. It provides virtually no guidance on grants in lieu of the ITC under Section 1603 of ARRA, and offers little in the way of substantive guidance. Treasury is expected to issue such substantive guidance on these and other issues in the coming months.
Please contact your favorite Stoel Rives attorney with any questions.
New Minnesota Solar Power Incentives
Minnesota politicians held a news conference yesterday on the state capitol mall to provide an overview of recent legislation relating to solar energy projects. Minnesota has allocated $14.5 million in stimulus money for renewable energy projects, with a portion flagged for solar projects to encourage the installation and use of solar-powered systems. Another piece of legislation gives utilities the opportunity to double their commitments to solar energy projects under the Conservation Improvement Program currently in place. Representatives from Xcel Energy Inc. (Xcel), which serves more than 1.2 million customers in Minnesota, announced yesterday that they filed a $280 million plan with regulators to offer incentives for Minnesota customers to conserve energy, which could include installation of solar panels on homes and businesses. Under Xcel’s proposed “Solar Rewards Program,” Xcel would provide rebates to customers who install solar photovoltaic systems of up to 40 kilowatts on their premises.
National Algal Biofuels Technology Roadmap
The Department of Energy ("DOE") has issued a Request for Information ("RFI") to solicit feedback on the DOE's draft "National Algal Biofuels Technology Roadmap" (the "Roadmap").
The Roadmap was prepared by a working group commissioned by DOE. The working group was commissioned to assess the current state of algae technology and to determine the next steps toward commercialization.
DOE is specifically seeking feedback related to the following questions:
- What areas omitted by the Roadmap would be important in defining R&D needs as they pertain to the following topics?
a. Algae biology
b. Algae cultivation
c. Algae processing (harvesting and dewatering)
d. Extraction
e. Fuel conversion
f. Fuel end-use - Are there any additional, key areas that should be included or any areas that need further elaboration?
- Are there errors or misrepresentations of any information that need to be addressed?
- Is there over-representation of certain barrier areas relative to other areas that warrant editing?
To submit comments, complete the "Algal Road-Mapping: Request for Information (RFI) Response Form" and submit it as an attachment to an e-mail message addressed to algaeRFI@go.doe.gov
Comments must be provided by no later than 11:59 PM EDT on August 3, 2009.
Vermont Passes Renewable Energy Feed-in Tariff
Vermont has enacted into law legislation that establishes minimum rates to be paid by electric customers for certain renewable energy sources in long-term fixed-price contracts.
Key elements of the bill include a project size cap of 2.2 MW, for a total program cap of 50 MW, a specified contract term of 20 years (except solar contracts, which will be 25 years), and tariffs in the following amounts: wind energy projects less than 15 kW, $0.20/kWh; landfill and biogas, $0.12/kWh; solar, $0.30/kWh; and wind projects greater than 15 kW, hydropower, or other biomass, a formula using the state's average residential electricity rate. A regulatory examination of the tariffs will begin by September 15, 2009, with new rates to be set by January 15, 2010.
