MAC Posts 2016
December – Energy Storage Economics
November – The Benefits of Growth
October – Renewable Energy Data
The US Energy Information Administration has recently released renewable electricity generation data for 2015. Click here for details: https://www.eia.gov/electricity/monthly/epm_table_grapher.cfm?t=epmt_1_1
The data can be presented in many different ways: installed capacity, BTUs, growth rates, etc. In this post, the data is presented as a percentage of total electric energy generated (measured in kWh).
The national renewable percentages show a consistent increase in renewable energy generation, particularly wind and solar. Overall, the U.S. gets 13% of its electric energy from renewable sources.
6.0% comes from hydro-electric generation, primarily at the older dams in the Pacific Northwest.
Washington, Oregon, northern California, Nevada, Colorado, and New York (Niagara Falls)
4.5% comes from relatively new large wind turbines, primarily in the Great Plains.
Texas, Oklahoma, Kansas, Nebraska, Iowa, North Dakota, and South Dakota
0.8 % comes from relatively new solar (photo-voltaic) panels, primarily in the Desert Southwest.
Southern California, Arizona, Nevada, and New Mexico
Early data indicates that North Carolina gets about 4% of its electric energy from renewable sources. 3.8% comes from older hydro-electric generation, primarily along the Roanoke and Catawba Rivers. 0.2 % comes from solar (photo-voltaic) panels. This percentage more than doubled from 2014. Almost all NC solar generation comes from large-scale solar farms.
In earlier posts, we have discussed Wake Electric’s compliance strategy with the NC Renewable Portfolio Standard that requires 10% of our energy resources to be renewable by 2018. Wake Electric has signed 20 year contracts for over 100 million kWh per year of NC solar renewable energy certificates (RECs) or the equivalent of more than 15,000 residential scale rooftop installations.
Questions about renewable energy or any other topic? Please let us know at mac@wemc.com
September – Growing and Growing
For 2015, the third straight year, Wake Electric was the fastest growing of the 26 electric cooperatives in North Carolina.
Founded 75 years ago as a primarily rural electric cooperative to provide electricity in the parts of seven counties where there was none, Wake Electric still serves the same area it always has.
Much of the new growth is due to the expansion of Raleigh and its suburbs. It is also focused near previously small towns like Wake Forest, Rolesville and Knightdale. As the cities and towns have expanded geographically, now more than 12,500 (more than 30 percent) of Wake Electric’s members live inside the city or town limits.
Rather than slowing down, we think that growth could accelerate in the coming years. Looking at the experience of other similar electric cooperatives across the country, those near cities like Atlanta, Dallas and Denver, it appears likely that we will keep growing and growing.
Of course, there will be challenges associated with rapid growth. Providing needed electric generation capacity and energy will require strategic investments. Long-term planning and investments will also be required for adequate backbone transmission, substation and distribution facilities.
We also know that members’ energy needs will change over time. Energy efficiency, renewable energy, and energy storage could drive changes. Widespread adoption of electric vehicles would be a significant new challenge and opportunity.
Throughout our history, Wake Electric has always dealt with the challenges and higher costs of serving a predominately rural area. Our electric rates have always reflected those higher costs. As parts of our service area become less rural, we expect our electric rates to become closer to those of the “big city” power companies.
Questions about Wake Electric’s growth or any other topic? Please let us know at mac@wemc.com.
August – Wind Power for Your Electric Vehicle
In past articles, we’ve discussed Wake Electric’s compliance strategy with the NC Renewable Portfolio Standard that requires 10 percent of our energy resources be renewable by 2018.
Part of that strategy includes signing 20-year contracts for over 100 million kWh per year of NC solar renewable energy certificated (RECs) or the equivalent of more than 15,000 residential scale rooftop installations.
Wake Electric also has contracted for a smaller number of renewable energy certifcates (RECs) from wind power resources in places like west Texas, Oklahoma and Iowa. The number of wind RECs is smaller since we are limited to using out-of-state renewables for up to 25 percent of our compliance strategy.
For additional information about RECs, the following link to an EPA video provides a good explanation:
Thanks to favorable wind conditions in the West and Midwest and generous federal tax credits, wind power turbines have become relatively common in that part of the country. As a result, both the actual electric energy produced and the renewable attributes (wind RECS) for this resource have become relatively inexpensive.
Wake Electric is pleased to offer a new feature to our residential electric vehicle rate at no additional cost. (See the actual rate schedule – called “R-EV” for detail at wemc.com.) In addition to the 2 cents discount for usage between 10 p.m and 6 a.m, Wake Electric will purchase and retire the renewable attributes (wind RECS) associated with 5,000 kWh for each year on the R-EV rate. That amount of renewable energy should be more than enough to cover recharging your electric vehicle for the year.
Of course, the wind RECs purchased and retired for this program are in addiotn to those purchased and retired for our REPS compliance strategy. So, while you “ride like the wind” in your electic vechile, you know your rid is “wind powered” as well.
If you have questions about wind RECs or the residential electric vehicle rate, contact us at: 919.863.6300 or 800.474.6300 or information@wemc.com.
If you have questions about wind RECs or the residential electric vehicle rate, contact us at: 919.863.6300 or 800.474.6300 or information@wemc.com. Questions about RECs or any other topic? Please let us know at mac@wemc.com.
July – Solar Renewable Energy Certificates (Wake Electric will purchase solar RECs on members’ behalf)
In earlier news, Wake Electric has often discussed with our members the co-op’s compliance strategy with the NC Renewable Portfolio Standard. This standard requires 10 percent of Wake Electric’s energy resources to be renewable by 2018.
In implementing that strategy, Wake Electric has signed 20-year contracts for over 100 million kWh per year of NC solar renewable energy certificates (RECs) or the equivalent of more than 15,000 residential scale rooftop installations.
While Wake Electric has contracted with more than 25 large solar farms across eastern NC, none are directly connected to Wake Electric’s distribution system.
This is the same approach primarily used by companies like Apple, Google, and Amazon in meeting their sustainability goals. Of course, the difference for us in that our compliance is not optional but is required by state law.
For additional information about RECs, the following link to an EPA video provides a good explanation:
While Wake Electric has 10 percent of your energy use covered with renewables (primarily solar RECs), a number of members have asked how they might cover some or all of the other 90 percent.
Wake Electric is pleased to offer a new program where members can sign up for Wake Electric to purchase and retire additional solar RECS on their behalf. One solar REC represents the renewable attributes associated with 1,000 kWh and will be priced at $10. That’s an extra 1 cent per kWh.
No long term commitment is required, so feel free to cancel your additional solar REC request at any time if you change your mind. To sign up for additional solar RECs, please contact customer service during regular business hours, M-F, 8 a.m. – 6 p.m., at 919.863.6300 or 800.474.6300 or at information@wemc.com.
Questions about solar RECs or any other topic? Please let us know at mac@wemc.com.
June – Time-of-Use Program: Save up to 25% on Your Electric Rate
Would you like to save up to 25% on your electric rate?
Wake Electric’s regular residential rate is 10.944 cents per kWh. Wake Electric’s residential “time of use” off-peak rate is 8 cents per kWh, a 26.9% discount.
The off-peak rate applies for 22 hours per day (Monday-Friday) and all day on weekends and holidays. The on-peak rate period is 6 a.m. to 8 a.m. in winter and 5 pm to 7 p.m. in summer. Said another way, the off-peak rate applies to 94% of the hours in a year. See rate schedule for details and rates are always subject to change.
What’s the catch? The ”time of use” on-peak rate is really expensive at 40 cents per kWh. In order to save money, you really need to avoid using as much electricity as possible during that two hour on-peak period. Many members use a water heater timer and thermostat set-backs to do this automatically. Of course, avoid doing laundry or running the dishwasher as well.
How can we offer such a deep discount for 94% of the time? Because much of our variable cost is determined during the other 6% of the time when members usually use the most electricity and electric loads are the highest. The electric distribution system is designed and built to operate during that 6% of the time. New electric generation facilities are built to provide power during that 6% of the time. Wholesale electricity is much more expensive during that 6% of the time.
Not sure if the “time-of-use” rate will work for you? No problem. Try it out for a year at no risk. As a pilot program limited to 250 participants and for a limited time only, Wake Electric will offer a “money back guarantee”. Click here to see more details.
If you don’t save money during the first year, Wake Electric will refund the difference between what you paid under the “time of use” rate and the amount you would have paid under the regular residential rate.
Questions about “time of use rates” or any other topic? Please let us know at MAC@wemc.com.
May – Traffic Lights That Stay on During Power Outages
LED lighting technology has the potential to be a “game changer” in many ways. Some are expected as the technology matures, such as the new LED area lights that Wake Electric has installed, but some benefits are completely unexpected.
One example is that since nearly all traffic signals now use LED technology and use much less electricity to operate, it is now practical to consider installing battery back-up systems to operate traffic signals during a power outage.
While the average annual outage time for any Wake Electric service location is only about two hours per year, even a short outage affecting a traffic signal at a busy intersection can cause a serious problem.
In addition to the obvious public safety issues, inoperable traffic signals can cause traffic jams that make it difficult for Wake Electric’s service vehicles to move from place to place to restore electric service.
As a result, Wake Electric has installed battery back-up systems on all the traffic signals in our service area. These systems provide about 4 hours of normal operation.
We have also installed an extra “smart meter” to monitor the output of the battery back-up system and report any problems or if the battery power had been depleted.
While we are not aware of any other electric utility in North Carolina that provides this service, we think that it is a great opportunity that other electric utilities should consider.
Do you have a question or comment about Wake Electric providing battery back-up power to traffic signals? Suggestions for future topics? Please submit them to MAC@wemc.com.
April – Last Year in Review
It’s been three years since we introduced the Member Advisory Community, an on-line extension of our in-person Member Advisory Committee. Our intent was to briefly discuss a single topic each month that Wake Electric members would find interesting and relevant.
The following topics were covered last year:
25) Energy Trends – Electrification
26) Energy Trends – Energy Conservation & Energy Efficiency
27) Energy Trends – Renewables
28) Voltage Optimization – Its 120 Volts, right?
29) EPA Carbon Dioxide Rules
30) China is Booming
31) The World’s Biggest Environmental Problem
32) How to Avoid Late Fees, Service Charges, Deposits, Etc.
33) Energy Policy and Electric Rates – Wide Range Across the U.S.
34) Energy Policy and Electric Rates – Moving Away from Low Cost Coal
35) Applied Technology – Talking to Electric Meters
36) Applied Technology – Talking to Circuit Breakers
While some of these topics are somewhat controversial, we understand that Wake Electric serves a diverse membership with many diverse viewpoints. While we certainly have our own perspective as well, we try to present the topics with a balanced approach that leaves room for other opinions.
We also wanted to provide an opportunity for feedback, just as with our in-person meetings. We have received dozens of your questions and comments. We find this exchange of ideas and viewpoints very helpful in developing and refining Wake Electric’s position on these issues.
Have you found these posts to be helpful? What topics would you like to see covered in the future? Is there a better way to present these topics?
You can contact us by e-mail us at MAC@wemc.com.
March – Applied Technology: Talking to Electric Meters
Several years ago, using newly available technology, nearly every meter on the Wake Electric system started talking to us. So what kind of conversations do you have with your electric meter?
As you might expect, much of the conversation is about electricity usage. Rather than one meter reading per month used for billing, electric meters now report hourly usage. You can see your hourly consumption data online or with the free SmartHub app. Looking at your hourly usage can help spot opportunities for energy conservation. Meters tell us all kinds of things: if it sense high or low voltage, high temperature and if there is a power outage. Or if an outage has been restored. Outage data is automatically displayed on Wake Electric’s online outage map. So, if your power goes out, wait a couple of minutes and then check the outage map with your smart phone or tablet. Individual outages show as small dots and larger outages as larger dots. As our crews restore a larger outage, the dots get smaller and eventually disappear.
Many of our new electric meters have a remote connect/disconnect function. For pre-pay accounts, the meter will disconnect when the balance reaches zero and reconnect when money is added to the account. More than 1,400 members have switched to pre-pay. No late fees, service charges or deposits. For other accounts, such as apartments with folks frequently moving in and out, the remote control function is faster and avoids sending field personnel to the location for each connect or disconnect.
Communication with your electric meter enables several new ways for you to be more informed. If you need help using any of these new tools, please let us know.
Do you have questions or comments about our new meter communications technology? If so, please contact us at mac@wemc.com Thanks.
February – Energy Policy and Electric Rates – Part 2
In last month’s post, we discussed the detailed information published by the US Energy Information Administration on average rates for electricity by state. Many states that currently have some of the lowest average electric rates in the country use coal to generate most of the state’s electricity (Kentucky, West Virginia, North Dakota, Montana, Utah and Wyoming, for example). These states boast low electric rates in spite of having rural, sparsely populated service areas with high distribution costs. As the US considers the energy policy changes (in the context of carbon dioxide emissions limits proposed by the EPA), we think that many of these states will see very significant cost increases as they replace much of their coal-fired generation. Some studies indicate that they may see electric rate increases of over 50 percent. As a result, many of these states could move from the low cost end to the high cost end of the rate list.
As discussed previously, North Carolina began the transition away from coal-fired generation more than 10 years ago and should see more modest rate increases as the transition continues. Hopefully, we will continue to see North Carolina’s electric rates at or below the national median in the coming years.
Average Price of Electricity by State – August 2015 – Cents per kWh
Washington 9.36
Louisiana 9.60
Oklahoma 10.11
Kentucky 10.29
Tennessee 10.29
Idaho 10.29
Arkansas 10.39
West Virginia 10.63
Oregon 10.68
Mississippi 10.96
North Dakota 11.16
Indiana 11.18
Montana 11.31
Utah 11.45
Wyoming 11.50
Texas 11.51
North Carolina 11.63
Virginia 11.69
South Dakota 11.72
Florida 11.77
Alabama 12.05
Nebraska 12.19
Georgia 12.20
Nevada 12.36
Missouri 12.38
Illinois 12.41
Kansas 12.44
Colorado 12.47
South Carolina 12.59
Arizona 12.64
District of Columbia 12.94
Minnesota 12.97
Ohio 13.08
New Mexico 13.35
Delaware 13.55
Iowa 13.92
Maryland 13.93
Pennsylvania 14.22
Wisconsin 14.64
Michigan 15.43
Maine 15.49
New Jersey 16.65
Vermont 17.12
New Hampshire 17.15
Massachusetts 17.99
California 18.24
New York 18.44
Rhode Island 18.86
Connecticut 19.20
Alaska 21.01
Hawaii 29.87
Do you have questions or comments about state energy policies and average electric rates? If so, please contact us at mac@wemc.com Thanks.
January – Energy Policy and Electric Rates
The US Energy Information Administration (EIA) publishes detailed information on average rates for electricity by state.
The average residential rates for August 2015 by state range from a low of 9.36 cents per kWh for Washington to a high of 29.87 cents per kWh for Hawaii. The average rate for North Carolina is 11.63 cents per kWh, currently somewhat lower than the national median of 12.41 cents per kWh.
The extremes are driven by geography, from low cost hydroelectric resources in Washington, Oregon & Idaho to the high cost of oil-fired generation in Alaska and Hawaii. Many other states’ average rates are driven primarily by state energy policy. New York and California, with average electric rates above 18 cents per kWh, are examples where the state’s energy policies have resulted in higher costs and electricity rates more than 50% higher than NC.
Looking to Europe, electric rates are generally much higher. Denmark, Germany, Ireland and Italy all have average residential electric rates of more than 30 cents per kWh.
As we consider changes to energy policy both nationally and in North Carolina, we think it is helpful to compare our policy options to those already adopted by other states (and countries). For example, if we were considering energy policy revisions similar to those made by New York and California (or Europe), we think it is reasonable to expect that our state’s electric rates would increase significantly.
Average Price of Electricity by State – August 2015 – Cents per kWh
Washington 9.36
Louisiana 9.60
Oklahoma 10.11
Kentucky 10.29
Tennessee 10.29
Idaho 10.29
Arkansas 10.39
West Virginia 10.63
Oregon 10.68
Mississippi 10.96
North Dakota 11.16
Indiana 11.18
Montana 11.31
Utah 11.45
Wyoming 11.50
Texas 11.51
North Carolina 11.63
Virginia 11.69
South Dakota 11.72
Florida 11.77
Alabama 12.05
Nebraska 12.19
Georgia 12.20
Nevada 12.36
Missouri 12.38
Illinois 12.41
Kansas 12.44
Colorado 12.47
South Carolina 12.59
Arizona 12.64
District of Columbia 12.94
Minnesota 12.97
Ohio 13.08
New Mexico 13.35
Delaware 13.55
Iowa 13.92
Maryland 13.93
Pennsylvania 14.22
Wisconsin 14.64
Michigan 15.43
Maine 15.49
New Jersey 16.65
Vermont 17.12
New Hampshire 17.15
Massachusetts 17.99
California 18.24
New York 18.44
Rhode Island 18.86
Connecticut 19.20
Alaska 21.01
Hawaii 29.87
Do you have questions or comments about state energy policies and average electric rates? If so, please contact us at mac@wemc.com Thanks.