by Bruce Goodman

One of Michigan’s alternative energy challenges is whether and how to use its best and most abundant natural resource – our water. The strongest Michigan wind resources are on the Great Lakes. Offshore wind turbines can be bigger than those erected on land. The cranes developed for offshore oil and gas platforms are larger than anything on land, and can lift the bigger wind turbines. Constraints on the diameter of towers imposed by road limits do not apply. Taller offshore wind towers can catch the stronger winds to drive the larger turbines. New York, New Jersey, Rhode Island, and Maine are heavily promoting offshore wind projects. Michigan has yet to move aggressively in pushing its obvious offshore advantages. There is a committee looking at the issues.  Is it time for us to play our best hand in promoting wind-energy development and the manufacturing base to support it?

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by Bruce Goodman

Last weekend I was in San Francisco visiting my daughter. Even the casual observer cannot ignore signs that this city takes environmental issues far more seriously than elsewhere. The number of Prius vehicles on the streets is astounding and, in fact, they look like giants compared to the vast majority of small cars on the San Francisco streets. Then there is the three-container trash disposal areas: one for composting, one for recycling, and one for whatever is left over. I could not help but notice that the leftover bin always seemed to contain the smallest amount of material.

I found myself riding public transportation frequently and the use of GPS technology to make a less uncertain experience. Knowing when the next bus or packed train was arriving at least gives a sense of control for planning one’s trips and arrival times. Cell phones gave access to the same information that appeared on numerous bus stops and train kiosks. Isn’t this a kind of “smart grid” for transportation?

Finally, the ZipCar availability within the city made the idea of private automobile ownership “almost” obsolete. We used one to visit the San Francisco dump, not a typical tourist attraction. It was well organized and consistent with the reduce, recycle, reuse (reinvent?) aspect of this green California city.

No wind turbines in San Francisco Bay or on Angel Island, yet.

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by Bruce Goodman

Last week I visited a canola test farm in central Michigan. Michigan State University is working with local farmers in an effort to establish a canola growing industry and is currently determining which variety of canola grows best in the local soils.

The draw of this effort is that canola can be grown both as a food crop and as a fuel crop. Thus, local farmers would have the opportunity to sell either into the food industry or into the bio-diesel marketplace. Having this option (in theory) provides greater price stability/options for a farmer growing the crop. This program highlights the role Michigan State University is playing in bringing to market ideas and strategies to assist the Michigan economy, particularly its second largest industry - agriculture.

My takeaway from my visit is that farming is a very difficult and uncertain business which in some respects is akin to going to Las Vegas. For example, on the day of my canola farm tour, all the farmers in attendance were in agreement that unless rains came within a day or two, the canola crop - as well as their own crops - would suffer and there would be direct consequences to their bottom lines.  Interestingly, three people from Kellogg were also on this canola tour scoping out the opportunity to buy canola locally.

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by Bruce Goodman

Energetx Composites of Holland has announced it is entering the wind turbine blade business and has been granted a MEGA Tax Credit from the State of Michigan. The company will draw on its composite experience in the marine industry to supply advanced composites for a variety of green industries, focusing on making turbine blades and housings for wind turbines, as well as other composites for the transportation and aerospace sectors. From its West Michigan location, it intends to supply the Great Lakes, national and international wind markets. Grand Rapids Community College will be involved in the workforce training effort.

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by Bruce Goodman

While most of the alternative energy stimulus discussion has been focused on the American Recovery and Reinvestment Act, there are very similar benefits in Title IX of the Farm Bill (Sections 9004-9012). Michigan farmers and other interested suppliers need to pay attention to this unique opportunity to advance the alternative effort. There are many promising provisions, for example:

• Repower Assistance Program – payments to encourage biorefineries;
• Bioenergy Program for Advanced Biofuels – payments to support advanced biofuels, meaning renewable biomass other than corn-kernel starch;
• Rural Energy for America Program – promotes energy efficiency and renewable energy development for agricultural producers and rural small business with grants and loan guarantees [applications are due July 31];
• Biomass Research and Development Initiative – competitive grants, contracts and financial assistance for research on biofuels and biobased products;
• Biomass Crop Assistance – support to establish and produce crops for conversion to bioenergy; and
• Forest Biomass for Energy – funds to the Forest Service for research and development on forest biomass for energy

See http://www.rurdev.usda.gov/id/EnergyFactSheet.pdf for additional summary information.

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by Bruce Goodman

The MPSC has approved the Experimental Advanced Renewable Program for solar energy proposed by Consumers Power Company. The AR tariff has rates for solar generated electricity ranging from $0.375/kWh to $0.65/kWh depending of the year of service and whether the electricity is from residential or nonresidential solar energy systems. No system can be larger than 150 kW; all electricity and RECs must be delivered to the utility, and; systems must be manufactured in Michigan or constructed by a Michigan work force. The EARP is limited to 2000 kW of capacity. I have been “schooled” by an experienced solar developer that this size project is too small to make even this feed in tariff attactive to anyone except someone wanting a “show” project. Real solar development must allow for a much larger single site project.

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 by Bruce Goodman

There is little doubt that the energy resources to be developed in Michigan are dependent on the state and national response to climate change and global warming.  Energy and greenhouse gases are inextricably linked.  It is disapointing to see that the international community is unable to coalesce around targets and strategies on glabal warming which is turn would provide direction and guidance for energy policies around the world. 

Meanwhile, in the vacuum that currently exists, the U.S. and the State of Michigan need to take the lead in this challenge.  Author Tom Friedman’s clarion call in his recent writings has correctly linked energy policy and climate change when he calls for a global energy technology revolution to address supply and demand of energy, the decline of natural resources, climate change, energy poverty and biodiversity.  The solution he suggests is abundant, cheap, clean, reliable electrons, with the admonition – “invent, baby, invent.”  Michigan’s contribution to the development of low emission vehicles is the right thing to be doing at the right time.  R&D on electric generation and other transportation components (e.g. jet engines) that will provided by Michigan research (such as the new GE facility) will put Michigan in the middle of the innovation that is needed.

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 by Bruce Goodman

There is a lot to be excited about regarding Michigan’s alternative energy future. In the last 18 months, I have become energized by the activity and enthusiasm generated by developers, innovators, manufacturers, and various quasi-governmental agencies (such as NextEnergy, The Right Place, Michigan Economic Development Corporation, and Energy Michigan) who have shown considerable passion and creativity in developing Michigan’s alternative energy industry. There clearly are many in Michigan who are working to make this green energy commitment a reality. It just makes good environmental and business sense to move forward as quickly as possible.

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