Featured Research

from universities, journals, and other organizations

Costs and benefits of compliance with renewable portfolio standards estimated

Date:
June 10, 2014
Source:
DOE/National Renewable Energy Laboratory
Summary:
A new report reviews estimates of the costs and benefits of compliance with Renewable Portfolio Standards in the United States and explores how costs and benefits may evolve over time. Based on a review and analysis of data from state compliance filings and other sources, the report finds that the estimated incremental RPS cost over the 2010-2012 period -- the cost above and beyond what would have been incurred absent the RPS -- was less than 1 percent of retail electricity rates on average.

A new report, prepared by analysts from the Energy Department's National Renewable Energy Laboratory (NREL) and Lawrence Berkeley National Laboratory (LBNL), reviews estimates of the costs and benefits of compliance with Renewable Portfolio Standards (RPS) in the United States and explores how costs and benefits may evolve over time.

"A Survey of State-Level Cost and Benefit Estimates of Renewable Portfolio Standards," reviews recent estimated RPS costs for most states, but finds that a lack of benefits estimates and methodological differences limit the ability to directly compare benefits and costs. Such estimates can inform policymaker assessments of existing RPS policies, modifications to existing policies, and potential new policies.

"With RPS policies in 29 states and with most policies in effect for more than five years, we now have a sufficient experience base with which to examine policy impacts," said NREL's Lori Bird. States that have implemented RPS policies have collectively deployed approximately 46,000 MW of new renewable energy capacity through 2012.

Based on a review and analysis of data from state compliance filings and other sources, the report finds that the estimated incremental RPS cost over the 2010-2012 period -- the cost above and beyond what would have been incurred absent the RPS -- was less than 1 percent of retail electricity rates on average. This is well below the cost caps that most state legislatures have adopted as part of their RPS.

The report includes a review of published quantitative assessments of RPS benefits. A limited number of states have developed quantitative benefits estimates, which vary widely in both methodology and magnitude.

Approaches to calculating RPS costs and benefits vary within and across states, which limits the ability to make comparisons. "Differences in methodologies and assumptions used by utilities to estimate RPS costs are leading some states to engage in processes to develop standardized methods," said NREL's Jenny Heeter.

"In future years, the costs as well as the benefits of RPS compliance will be influenced by a variety of factors including technology costs, fuel costs, and increasing RPS target levels, but RPS costs are generally limited by existing policy mechanisms that cap costs, typically at less than 10 percent, and in many cases less than 5 percent, of retail rates," said LBNL's Galen Barbose.

NREL is the U.S. Department of Energy's primary national laboratory for renewable energy and energy efficiency research and development. NREL is operated for the Energy Department by The Alliance for Sustainable Energy, LLC.

Report: http://www.nrel.gov/docs/fy14osti/61042.pdf


Story Source:

The above story is based on materials provided by DOE/National Renewable Energy Laboratory. Note: Materials may be edited for content and length.


Cite This Page:

DOE/National Renewable Energy Laboratory. "Costs and benefits of compliance with renewable portfolio standards estimated." ScienceDaily. ScienceDaily, 10 June 2014. <www.sciencedaily.com/releases/2014/06/140610205522.htm>.
DOE/National Renewable Energy Laboratory. (2014, June 10). Costs and benefits of compliance with renewable portfolio standards estimated. ScienceDaily. Retrieved August 22, 2014 from www.sciencedaily.com/releases/2014/06/140610205522.htm
DOE/National Renewable Energy Laboratory. "Costs and benefits of compliance with renewable portfolio standards estimated." ScienceDaily. www.sciencedaily.com/releases/2014/06/140610205522.htm (accessed August 22, 2014).

Share This




More Earth & Climate News

Friday, August 22, 2014

Featured Research

from universities, journals, and other organizations


Featured Videos

from AP, Reuters, AFP, and other news services

California Drought Stings Honeybees, Beekeepers

California Drought Stings Honeybees, Beekeepers

AP (Aug. 21, 2014) — California's record drought is hurting honey supplies and raising prices for consumers. The lack of rainfall means fewer crops and wildflowers that provide the nectar bees need to make honey. (Aug. 21) Video provided by AP
Powered by NewsLook.com
Thousands Of Species Found In Lake Under Antarctic Ice

Thousands Of Species Found In Lake Under Antarctic Ice

Newsy (Aug. 20, 2014) — A U.S. team found nearly 4,000 species in a subglacial lake that hasn't seen sunlight in millennia, showing life can thrive even under the ice. Video provided by Newsy
Powered by NewsLook.com
Unsustainable Elephant Poaching Killed 100K In 3 Years

Unsustainable Elephant Poaching Killed 100K In 3 Years

Newsy (Aug. 20, 2014) — Poachers have killed 100,000 elephants between 2010 and 2012, as the booming ivory trade takes its toll on the animals in Africa. Video provided by Newsy
Powered by NewsLook.com
Charter Schools Alter Post-Katrina Landscape

Charter Schools Alter Post-Katrina Landscape

AP (Aug. 20, 2014) — Nine years after Hurricane Katrina, charter schools are the new reality of public education in New Orleans. The state of Louisiana took over most of the city's public schools after the killer storm in 2005. (Aug. 20) Video provided by AP
Powered by NewsLook.com

Search ScienceDaily

Number of stories in archives: 140,361

Find with keyword(s):
 
Enter a keyword or phrase to search ScienceDaily for related topics and research stories.

Save/Print:
Share:  

Breaking News:
from the past week

In Other News

... from NewsDaily.com

Science News

Health News

Environment News

Technology News



Save/Print:
Share:  

Free Subscriptions


Get the latest science news with ScienceDaily's free email newsletters, updated daily and weekly. Or view hourly updated newsfeeds in your RSS reader:

Get Social & Mobile


Keep up to date with the latest news from ScienceDaily via social networks and mobile apps:

Have Feedback?


Tell us what you think of ScienceDaily -- we welcome both positive and negative comments. Have any problems using the site? Questions?
Mobile iPhone Android Web
Follow Facebook Twitter Google+
Subscribe RSS Feeds Email Newsletters
Latest Headlines Health & Medicine Mind & Brain Space & Time Matter & Energy Computers & Math Plants & Animals Earth & Climate Fossils & Ruins