Managers Message - Winston Howell

Electricity and the fuels used to generate it have become a popular topic. Across the nation, there’s a growing dependence on renewable energy sources like wind and solar power. The graphic at right shows the power diversity of the cooperatives of North Carolina. The largest portion of our electricity comes from emission-free nuclear generation. Natural gas generation is next because of its availability to be dispatched quickly when needed. Next is the purchased part of our portfolio, which is power we purchase through wholesale energy suppliers. Roughly eight percent of our fuel mix is currently from renewable energy, along with an additional two percent from hydropower. Coal is at only seven percent. We utilize a diverse mix of generating resources to meet the demand of our members. However, the electric grid faces increasing reliability pressures due to heightened electricity demands driven by population growth, and the proliferation of electronic devices and electric vehicles.


We’re all familiar with the saying, “Don’t place all your eggs in one basket.” This well-known proverb is typically invoked when someone is about to take a risky or unwise course of action. Adhering to this counsel implies that we are not putting all our resources into a single endeavor but rather diversifying our options. This approach mirrors what I consider a prudent strategy amid the ongoing energy transition, especially as interest in renewable energy gains momentum. 


Recently, the Environmental Protection Agency (EPA) introduced regulations  in Washington, D.C. This proposed bill could lead to the premature closure of consistently available fossil fuel power plants and impose stricter regulations on permitting, siting, and constructing new power facilities.
The EPA’s proposed rule to regulate greenhouse gas emissions from coal and natural gas-fired power plants has raised concerns about its impact on electric cooperatives’ ability to provide reliable, affordable electricity to our members. These regulations set ambitious goals that rely on emerging technologies like carbon capture and storage and hydrogen as a fuel source. This poses a potential risk to electric reliability and could increase costs for our members.


These new EPA regulations are expected to place additional strain on the electric grid, heightening the risk of rolling outages and potentially making reliable energy less affordable for many.


Nine states experienced rolling blackouts last December as the demand for electricity exceeded the available supply. Those situations will become even more frequent if the EPA continues without any apparent consideration of impacts on electric grid reliability. American families and businesses rightfully expect the lights to stay on at a price they can afford. the EPA needs to recognize the impact this proposal will have on the future of reliable energy before it’s too late.


Now, how do we address the dual challenges of grid stress and transitioning our energy sources? While solar and wind energy are environmentally beneficial, they are intermittent and non-dispatchable resources since the sun doesn’t shine continuously, and the wind isn’t always blowing. For example, during our peak demand in January, solar energy couldn’t contribute due to the timing of the peak occured before sunrise, a critical period. In August, our peak demand coincided with full production time for solar, but the presence of clouds limited its output to 7.7 megawatts. Considering commercial solar system’s full capacity is 10.5 megawatts, this highlights a challenge in harnessing solar energy during less-than-ideal weather conditions. Our primary duty is to deliver uninterrupted electricity to you and our community. To accomplish this, we rely on dependable power sources such as nuclear and natural gas generating facilities capable of meeting the varying demands of our interconnected world.


While the utilization of renewables is expanding, we must incorporate other energy forms into our mix to ensure uninterrupted service. This is why we diversify our energy sources. Maintaining a diverse range of fuel sources, including fossil fuels and renewables, is essential for ensuring reliability, resilience, and meeting the surging electricity demand.


As we strive to reduce our overall carbon footprint and electrify more sectors of our economy, solar and wind power remain integral components of a broader energy portfolio. However, they aren’t available round-the-clock. In today’s interconnected world, a constant and reliable power supply is a necessity.


Cooperatively,
 Winston Howell