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week of Nov. 5, 2018

Get ready for a busy November with the EnerKnol Week Ahead, powered by the EnerKnol Platform. Coming up, major energy and climate issues will be on the ballot next week as the battle for Congress rages across the nation. Among the top measures to watch out for are Washington's pioneering carbon fee, Nevada's controversial energy choice initiative and Arizona's ambitious renewable portfolio standard.

Featured Entities


Arizona

CAISO

Colorado

IEA

FERC

Florida

Illinois CC

Nevada

Washington

Federal Agencies

Tuesday,
November 6
FERC PJM 2019 Capacity Auction Overhaul Deadline

The Federal Energy Regulatory Commission is scheduled to receive comments on developing replacement rules for PJM Interconnection LLC’s capacity market. The federal regulator pushed back the start of next year’s annual auction, used for locking in future power supplies, by three months to Aug. 14-28, 2019, to provide extra time for the operator of the nation’s largest power grid to make sweeping changes to the market. FERC ordered PJM to shore up its annual capacity auction to head off a growing influx of state-subsidized generation that threatens to depress prices and squeeze revenues for competing power plants. (ER18-2222-000)

Tuesday,
November 6
IEA U.S. Energy Outlook

The U.S. Energy Information Administration will issue its Short-Term Energy Outlook report, providing a forecast of energy supply, demand, and prices. Among other recent trends, the U.S. crude oil production reached 11.3 million barrels per day in August 2018, according to EIA’s latest Petroleum Supply Monthly, up from 10.9 million, surpassing 11 million for the first time, making the United States the leading crude oil producer in the world.(Previous Report)

Eastern Region

Tuesday,
November 6
Florida Offshore Drilling Ban Vote

Florida voters to consider an amendment to the state constitution that would ban offshore oil and natural gas drilling in state waters. Supporters of the amendment argue that enshrining the ban would make it significantly more difficult to repeal in the future. The oil and gas industry say it will have little practical impact.

Friday,
November 9
IL CC Electric Vehicle Policy Deadline

The Illinois Commerce Commission is scheduled to receive comments on the benefits and challenges of electric vehicles on the grid, covering impacts on power demand, lack of charging stations, and rate designs to improve accessibility. Widespread adoption of electric vehicles is expected to reap $43 billion in benefits to the state by 2050. Illinois ranks sixth in the nation for the number of registered electric vehicles.

Western Region

Tuesday,
November 6
Colorado Fracking Minimum Distance Vote

Colorado voters to consider proposition 112, which aims to increase the distance new oil and gas wells need to be from homes and schools. Critics of the measure say it will exclude more than 80 percent of non-federal land in the state from drilling. Backers argue that drilling operations need to be subject to setback rules for safety. Earlier this year the Colorado Oil and Gas Conservation Commission issued stricter regulations for installing, testing and shutting down oil and natural gas flow lines following a fatal accident last spring caused by a leaking pipe. Oil and gas drilling in Colorado is at the highest pace in several years.

Tuesday,
November 6
Nevada Energy Choice Initiative Vote

Nevada voters to consider question 3, a state constitutional amendment that would allow consumers to pick their own power provider by 2023. The Energy Choice Initiative was approved by over 70 percent of Nevada voters in 2016, but must now pass another round of voting to become part of the constitution. The change has been strongly opposed by NV Energy Inc., the state’s major regulated utility, which would be forced to divest its generating assets and assign power purchase contracts to new owners. In April, state regulators warned that the move could leave ratepayers vulnerable to the utility’s financial losses from stranded costs and would likely raise electric bills of Nevadans. Large commercial customers, such as casinos, would benefit from immediate savings. Environmentalists have also opposed the measure, arguing that it will adversely impact net metering and other solar policies that have steadily progressed in the sunny state.

Tuesday,
November 6
Nevada Renewable Portfolio Standard Vote

Nevada will vote on question 6, a constitutional amendment that would boost the state’s renewable portfolio standard, a mandate that electric utilities acquire a minimum amount of electricity from renewable energy sources, from the current 25 percent by 2025 to 50 percent by 2030. The proposition broadly describes renewables to include solar, geothermal, wind, biomass, and hydroelectric. In 2017, Governor Brian Sandoval, a Republican, vetoed a bill calling for a 40 percent renewable portfolio standard by 2030, leading supporters to send the bill’s original target to the ballot. The measure has faced little organized opposition and is widely expected to pass.

Tuesday,
November 6
Arizona Renewable Portfolio Standard Vote

Arizonans will vote on proposition 127, Renewable Energy Standards Initiative, which seeks to boost the state’s renewable energy standard from the current 5 percent by 2025 to 50 percent by 2030. The proposition defines renewable energy to include resources such as solar, wind, biomass, some hydropower, geothermal and landfill gas energies, but excludes nuclear power. Arizona Public Service Company and its parent Pinnacle West Capital have strongly opposed the measure arguing it would undermine system reliability and jeopardize the operation of its massive 3.9 gigawatts Palo Verde nuclear plant, the country’s largest nuclear facility.

Tuesday,
November 6
Carbon Fee Vote Washington

Washington will vote on initiative 1631, the Carbon Emissions Fee Measure, which would create the nation’s first carbon emissions fee on large emitters. The charge would be $15 per metric ton of carbon beginning on January 1, 2020, and would increase by $2 per metric ton each year until the state’s greenhouse gas reduction goals of 2035 are met and the 2050 goals are on track to be met. Supporters, including Microsoft’s co-founder Bill Gates, several environmental groups and Native American tribes, argue that the fee will create jobs and minimize pollution, resulting in cleaner air and water. The opposition, largely made up of petroleum companies, says the measure would not impact carbon emissions, only leading to higher gas prices and utility bills.

Tuesday,
November 6
CAISO Energy Storage Transmission Services Deadline

The California Independent System Operator Corp. is scheduled to receive comments on an initiative to allow battery storage that’s paid for transmission services to also be eligible to sell into the energy and ancillary services markets. The proposal was revised in June following feedback from stakeholders and now includes more details on contractual arrangement between the grid operator and the resource owner, new cost recovery mechanisms and market participation rules. The grid manager’s move to allow energy storage to sell into multiple markets is the latest in its ongoing efforts to remove regulatory barriers for the emerging technology.