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Record attendance heats up 2009 geothermal conference

People walking around an exhibit hall filled with booths.

Geothermal professional take in the Geothermal Energy Association trade show, the companion event to the GRC annual meeting. (Photo by Geothermal Resource Council)

It was a sign of the times—and of growing interest in all forms of renewable energy—when more than 2,000 people gathered in Reno, Nev., to discuss the technology, policy, development and challenges of geothermal energy.

The Geothermal Resource Council (GRC) hosted its 33rd annual meeting, Making Renewable Energy Hot, at the Peppermill Resort and Casino Oct. 4 through 7. "Attendance at this year's annual meeting is up by 23 percent over last year, and by more than 400 percent since 2003," said GRC Executive Director Curt Robinson.  "It seems that utilities and power producers are finally recognizing that geothermal energy's base-load capacity provides an important component of their energy portfolio."

Conference General Chair Randy Manion, manager of Western's Renewable Energy Program, agreed. "It's encouraging to see the power industry giving geothermal energy the attention it deserves," he said. "More than 400 cities and counties across the United States can immediately benefit from low-temperature geothermal technologies; and practically every city and state in the country can benefit from ground-source heat pumps. 

Praising the meeting planning committee for raising the bar of success this year, Manion added that he looked forward to assisting the 2010 committee in planning another record-breaking meeting.

Opening strong

Many attendees arrived early to take field trips to nearby geothermal powerplants or to play in the first GRC Charity Golf Tournament which raised $1,400 for the Children's Miracle Network of Reno. The event kicked into high gear with the opening session Monday morning. City Councilman David Aiazzi read a proclamation from Reno Mayor Bob Cashell declaring Oct. 5, 2009, Geothermal Day. "Nevada is the Gulf of Mexico of geothermal energy," Aiazzi told the crowd, "and Reno is Houston, 1920."

Dr. Subir Sanyal, president of GeothermEx and speaker chairman for the meeting, followed Aiazzi with a welcome message from Sen. Harry Reid and acted as emcee for the session. The roster of international speakers came from government, business and industry associations to discuss topics ranging from scientific to practical to political.

Those who were new to the industry quickly realized that while geothermal energy shares many challenges with other renewables, some issues are unique to this resource.  

Private side

Lucien Bronicki, CEO of Ormat Technologies, and Richard Clayton, CEO of Raser Technologies, covered some of those issues from the corporate side. Bronicki spoke of the need for better exploration strategies, lower drilling costs and improved technologies for producing power from low-temperature resources.

While geothermal projects are subject to many of the same financing challenges as other renewables, Clayton noted that the resource's base-load status improves its attraction for investors. He pointed to a New York University study that found geothermal to be the fastest improving renewable energy technology. "With investment in research and development, it could be cheaper than fossil fuels," he said.

Public concerns

Bureau of Land Management (BLM) Director Robert Abbey observed that a complex permitting process—four stages requiring separate permissions—makes development difficult. The BLM is currently reviewing applications for projects totaling 1,300 MW.

The assessment of the underground resource has a lot more in common with mining than wind, solar or biomass, which adds layers of environmental safeguards. This will pose a serious challenge, Abbey acknowledged, to developing the potential 9,000 MW of geothermal power on public land in Western states. "It will be necessary to exploit those resources to reach the goal of 25 percent renewable energy by 2025."

The Recovery Act is helping private development move forward, however, said DOE Deputy Assistant Secretary Jacques Beaudry-Losique. The Office of Energy Efficiency and Renewable Energy (EERE) is reviewing applications for $32 million in ARRA funding for geothermal projects by small businesses. The announcement for the first phase of awards will come in November.

Marketing power, image

Brian Brady, general manager of Western customer Imperial Irrigation District (IID), talked about the many interests the utility is juggling in an effort to develop more of the Imperial Valley's geothermal resources. IID already receives 600 MW from the Salton Sea powerplant, and estimates that another 200,000 MW could be tapped. The largely agricultural utility is building a new 230-kV line right through the center of the resource, and is about to finalize the sale of land for project development.

On one hand, Brady noted, Imperial County, which ranks at the bottom of economic indicators in California, is enthusiastic about the potential economic development. On the other, IID faces "water anxiety"—many types of geothermal powerplants require significant amounts of water for cooling. Agriculture uses 90 percent of the 3 million acre/feet under the irrigation district's control. "That is going to have to shift, but industry must employ the most advanced technologies and best practices to prove best use of water resources," he said.

Overcoming valid community concerns and "not-in-my-backyard" opposition cannot be done with technology and best practices alone, said Alison Thompson, executive director of the Canadian Geothermal Energy Association (CanGEA). Thompson admitted that she was jealous of the wind industry's success with telling its story to the public. Canada has a goal of installing 5,000 MW of geothermal power by 2015. For that to happen, she said, the industry needs to step up its marketing game, educate government and build relationships with consumers. During her remarks to the opening session, Thompson showed a video CanGEA produced (at the bottom of the CanGEA home page) promoting geothermal energy to consumers.

Utilities purchase, develop geothermal

IID is just one of the Western customers that showed up at the conference to talk about actively pursuing geothermal power. Sacramento Municipal Utility District (SMUD) and Navopache Electric Cooperative in Arizona both gave presentations as part of the utility track sessions.

Elaine Sison-Lebrilla, senior project manager for SMUD's Advanced, Renewable and Distributed Generation Program, talked about how geothermal power fits into the utility's goal of 37 percent renewable energy by 2020. Geothermal represents 21 percent of SMUD's renewable portfolio, ranking behind wind and biomass holdings. Sison-Lebrilla pointed to the usual suspects—transmission, high production costs, permitting and financing—as barriers to increasing geothermal generation. The municipal utility is studying the option of developing green resources within its balancing area, which includes only a small amount of geothermal resource.

Navopache Electric, which explored geothermal generation as far back as 1982, is now moving forward on building Arizona's first geothermal facility, CEO Dennis Hughes said in his presentation. The state renewable energy standard of 15 percent by 2025, passed in 2006, helped revive the project. Enhanced geothermal system (EGS) technology will make it possible to generate power from the 174-degree well, and the resource's location on private land served by an existing transmission line makes development feasible for the co-op. "The plant won't even be visible from the closest road," Hughes noted proudly.

The proposed 5-MW project will cost $25 million and is expected to be online in three years. The EGS plant will produce cheaper power than a similar-sized photovoltaic installation, said Hughes.

Direct use utilities' best bet

The conference agenda did not neglect perhaps the greatest opportunity for utilities in geothermal development—direct-use applications.

The town of Akutan, Alaska, in the Aleutian Islands, is evaluating plans to harness nearby geothermal resources to reduce total reliance on diesel generators and provide economic development. The combined heat-and-power system envisioned by town officials could not only power the fish processing plants, but also warm homes, businesses and greenhouses, and create a spa to attract tourists.

Towns and utilities don't need nearby generation-quality resources to reap the benefits of geothermal energy. Entire session tracks were dedicated to ground-source heat pumps (GSHP), a form of direct use that is available virtually anywhere. 

In spite of that flexibility, U.S. contractors install only half the GSHP systems annually that their European counterparts do. This is partly because Europe's government-controlled utilities can more easily set up programs that offset the high first cost of installation to the customer.  Only cooperatives in the United States offer similar programs, such as Delta-Montrose Energy Association's (DMEA) ground loop tariff and Plumas-Sierra Rural Electric Cooperative's loop lease.  Paul Bony, formerly of DMEA, said such programs provide the utility with a steady source of revenue, better load management and loyal customers.

While many utilities have not yet recognized the benefits of GSHP systems, John Kelly of the Geothermal Heat Pump Consortium saw positive developments in the market.  When consumers see incentives for a technology like the rebates offered in the Recovery Act, it increases their confidence in the system. More confidence would lead to more installations which would encourage greater infrastructure for installation. He added, however, that the industry needs to do more training and quality control to ensure that the systems deliver on their promise—both to customers and power providers.

 

November 2009
Energy Services Bulletin home Record attendance heats up 2009 geothermal conference Report points communities toward geothermal development Equipment Loan tools star in 'The Great Refrigerator Robbery' Ask the Energy Experts: Desuperheaters can improve heat pump efficiency Web site of the month: Solar America Cities Calendar of events

Previous issues

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Resources

Geothermal Resource Council

GeothermEx

Ormat Technologies

Raser Technologies

Bureau of Land Management

Phase I SBIR/STTR Grants Annual Phase I Small Business Innovation Research

Imperial Irrigation District

Canadian Geothermal Energy Association

Resources (cont.)

Sacramento Municipal Utility District

Navopache Electric Cooperative

Delta-Montrose Energy Association ground loop tariff

Plumas-Sierra Rural Electric Cooperative loop lease program

Geothermal Heat Pump Consortium

People

Curt Robinson

Randy Manion

 

Related articles

DOE EERE Geothermal Technologies Program
How an Enhanced Geothermal System Works

Energy Services Bulletin, November 2009
Report points communities toward geothermal development

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