Subsidizing Solar Power

  • John Wakeman of SUR Energy says government and utility incentives have lowered the costs of a solar installation for consumers.(Photo courtesy of Mark Brush)

Sources of renewable energy like wind, solar, and hydroelectric are still just tiny players in a world powered by fossil fuels. Most of the power for your light switch comes from burning coal and natural gas. Mark Brush reports the government is trying to change that. There are state and federal programs that will pay you to put solar panels on your house:

Transcript

Sources of renewable energy like wind, solar, and hydroelectric are still just tiny players in a world powered by fossil fuels. Most of the power for your light switch comes from burning coal and natural gas. Mark Brush reports the government is trying to change that. There are state and federal programs that will pay you to put solar panels on your house:

John Wakeman was laid off from his factory job eight years ago. So, for him it was, “well… Now what?” He’d always been interested in solar panels and wind turbines. So he decided to go into business helping homeowners put these things up. It’s been eight years, business was slow at first, but he says these days, business for solar panels is picking up.

“There are a lot of people that have always just dreamed of it. You know, they thought it was really cool, they looked into it in the ‘70s. In the 70’s it cost, you know, ten times as much for the same energy. The costs have really come down.”

But it’s still really expensive for a lot of people. Wakeman says a typical solar job costs around sixteen thousand dollars these days.

But now – you can get help from the government.

There’s a federal tax credit that will pay for 30% of the cost of new solar panels on your house. So you spend sixteen grand – you get $4,800 off your next tax bill. And on top of that, there are a bunch of state and utility operated programs that will help pay for the up-front costs.

In fact, more than half the states in the country are forcing utilities to make more renewable power.

So more utilities are paying people to install things like solar panels, wind turbines, and geothermal heat pumps.

In many places, it costs less to install these things than it ever has.

Wakeman says these incentives have been good for his business.

“I can actually build a business somewhat on that. I can hire some people and get them trained. You know we can go out and sell some systems.”

But some say these subsidies are not a good idea:

“The sunlight may be free, but solar energy is extremely expensive.”

Robert Bryce analyzes the energy business for the Manhattan Institute. It’s a conservative think tank. Bryce says solar power is enjoying big subsidies from the government right now, but it’s not translating into a lot of power going onto the grid:

“Solar energy received 97 times as much in subsidies per megawatt hour produced as natural gas fired electricity; even though the gas-fired electric sector produced 900 times as much electricity as solar. So how much subsidy are we going to have to give them to make them competitive. And I think the answer is going to be… It’s going to have to be a whole, whole lot.”

Bryce agrees – there are some big environmental costs to traditional fossil fuel sources. Costs that are not always paid for. But in the end – he says renewable energy sources like solar just can’t compete with traditional fossil fuels.

But others say the subsidies for renewable power are boosting an industry that is trying to get a start.

Rhone Resch is the president of the Solar Energy Industries Association. He says the subsidies renewables are getting today just make the game fair:

“We’re starting to get the same kinds of support from the federal government that the fossil industry has enjoyed for the last 75 to 100 years. And when you do that, the cost of wind comes down, the cost of solar comes down, the cost of geothermal becomes more cost competitive.”

If you look at the numbers, traditional power sources have always gotten more money from the government. In 2007, the federal government gave out 6.7 billion dollars in subsidies to support electricity production. Most of it went to coal, natural gas, and nuclear.

Today, renewable energy sources, like solar, are getting a little more help. And supporters hope that help doesn’t disappear – like it has in the past – when the political winds change.

For The Environment Report, I’m Mark Brush.

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A New Look at Old Dams

  • There are approximately 80,000 dams in the United States - among them is the Hoover Dam in Nevada. (Photo by Shawn Allee)

There’s been a lot of talk about climate change in Washington D.C. lately. Whether it’s a new law, or tighter regulations, the cost of burning dirty fossil fuels for energy is likely to go up. As Mark Brush reports that has some people taking a second look at old dams:

Transcript

There’s been a lot of talk about climate change in Washington D.C. lately. Whether it’s a new law, or tighter regulations, the cost of burning dirty fossil fuels for energy is likely to go up. As Mark Brush reports that has some people taking a second look at old dams:

There are about 80,000 dams around the country. A lot of them were built a long time ago. And, as they get old, communities have to decide whether to spruce them up – or tear them down.

But some experts are saying these smaller, old dams might be worth keeping.

Ron Corso is with the United States Society on Dams.

“There’s enough sites out there to dramatically increase the amount of hydropower that exists today, and the FERC has more applications in front of it than it has in twenty years.”

The FERC is the Federal Energy Regulatory Commission. It’s the government agency that oversees dams.

Corso says communities are weighing the economic costs before repairing or retro-fitting an old dam.

And if the dam is small – say under 20 feet tall – Corso says it often is not worth the cost.

For The Environment Report, I’m Mark Brush.

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Using Dams to Make Hydrogen

  • The Adirondack Trail. (Photo courtesy of the Adirondack Regional Tourism Council)

Across rural America, there are old dams and
millponds sitting unused. A century ago, they provided
vital hydro-power for local industry. But many of them
were shut down as big power companies offered more and
cheaper power. Now, one community wants to use its
hydro-dam to power a hydrogen making facility. Jacob
Resneck reports:

Transcript

Across rural America, there are old dams and
millponds sitting unused. A century ago, they provided
vital hydro-power for local industry. But many of them
were shut down as big power companies offered more and
cheaper power. Now, one community wants to use its
hydro-dam to power a hydrogen making facility. Jacob
Resneck reports:

(rushing water noise)

We’re standing beside an old dam next to a public area still known as Power Station Park.

“Back in the 1800s, where we’re standing now was a sawmill.”

Mayor Jamie Rogers is the mayor of Lake Placid, New York.

Two dams on this river create Mill Pond.

“As you look to your left, that was the old turbine house. It was one of two
turbines in the community that generated power for the village.”

After the massive hydro development in the late 1950s, Lake Placid’s hydro-electric turbines were
removed in favor of cheaper imported power.

Now the village is working on a project to again harness this local energy source. But this time it won’t
be for conventional electricity.

“We’d be generating power to start electrolyzing water to create hydrogen.”

Electricity from the dam would be used to extract hydrogen from the water. The hydrogen would then
be stored in high pressure tanks. The fuel could be used to operate vehicles without emitting any
greenhouse gases.

The researcher behind the Lake Placid proposal is Richard Greeley. He’s a former professor who’s
worked on other cutting edge energy projects.

“You use air from the atmosphere on one side and hydrogen on the other and they combine on the
electrode and it forms water and electricity.”

Greeley’s founded a company called Aqua Green Electric Energy. He hopes to develop local sources
for powering hydrogen fuel cells.

“This turbine set up I have could fit on any dam. Why you can renew it and generate electric power again from any number of dams, big, small,
little – any size. So, I’m thinking this whole feature can be duplicated once we show everyone that this thing works.”

The project is expected to cost $1.5 million dollars. The Village of Lake Placid won’t spend local tax money,
but plans to try to get state and federal dollars to pay for the project.

It’s expected to take at least 18 months to build. If it is built, it’s believed to be the first of its kind in the
country.

This project won’t be a money maker. The amount of hydrogen that could be produced would be at
most, about 25 kilograms a day – the equivelant of about 25 gallons of gasoline.

Eventually, local production facilities could spring up all over the country. Daniel Sperling is director
of the Institute of Transportation Studies at the University of California, Davis. He says as the sun sets
on the era of cheap oil, the nation and the world will have to start making other arrangements.

“It’s becoming increasingly urgent to reduce the amount of oil we use and to reduce the amount of
greenhouse uses. And in both cases hydrogen has great potential. Many people think that in 30 or 40
years it will be the dominant fuel source for vehicles, and for other uses as well.”

A 1998 survey by the U.S. Department of Energy found 212 untapped sites with significant hydro-
electric potential. That’s in the state of New York alone.

Lake Placid Mayor Jamie Rogers says all that unused power could eventually add up, cutting total
greenhouse emissions.

“If you look at small dams like this across the Northeast, across this state and probably across this
country, there’s a lot of potential to generate hydrogen fuel on sites from existing dams that are already in place.”

And he hopes his town is the first to show that it can be done.

For The Environment Report, I’m Jacob Resneck.

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