U.S. coal region could compete in renewables

PIKEVILLE, Kentucky, US, October 25, 2006 (Refocus Weekly)

A famous coal region in the United States should develop its potential for renewable energies, according to a federal report.

Appalachia is best known for its coal resources, but “wind power is significantly underdeveloped in the region, and has the greatest potential for development along the ridge lines of the Appalachian Mountains,” explains ‘Energizing Appalachia: A Regional Blueprint for Economic & Energy Development’ produced by the Appalachian Regional Commission. “There are 528 MW of installed wind power capacity in the Appalachian states, nearly 1,000 MW of planned capacity, and the potential for over 11,000 MW of additional capacity.”

“Significant renewable energy opportunities can also be found in the development of energy from biomass, biofuels, solar power and hydropower,” it adds. The total biomass resource for Appalachian states is estimated at 108 million tons a year, with the potential for biofuels at 500 million gallons annually.

“Solar power’s best potential in the eastern U.S., including Appalachia, is likely to be for residential or commercial application,” it explains. “In the Appalachian Region, production of residential and commercial photovoltaic power is currently viable in southern Appalachia, and several PV manufacturing plants are located throughout northern Appalachia.”

“Passive solar installations such as day-lighting, solar ventilation air preheating, hot water heaters, and pool heating may give the best return on current investment in solar technology,” it continues. “Small and low-impact hydroelectric capability is another largely undeveloped energy resource in Appalachia” although the region has several major rivers that create “numerous opportunities for small-scale and low-flow hydropower installations” and a potential of 5,700 MW of dam-less capacity.

In addition to the potential energy resources, the Appalachian region possesses “an extensive industrial manufacturing base that is already engaged in the production of some of these emerging energy technologies, particularly wind turbine components, solar components and photovoltaic panels, and biofuel plants,” the report explains. “Appalachia’s industrial base has numerous potential supplier chain links that could be cultivated within these alternative energy sectors and that promise additional job creation for the region’s manufacturing base.”

Anne Pope of ARC and Kentucky governor Ernie Fletcher released the energy blueprint that was developed through a process that included research, regional roundtables and the creation of an Energy Advisory Council comprising representatives from the energy offices of each of the 13 Appalachian states. The document focuses on increasing the use of renewables, promoting energy efficiency and developing conventional energy resources, especially advanced clean coal.

ARC is a regional economic development agency established by Congress in 1965 to promote the 200,000 square mile region that follows the Appalachian Mountains from southern New York to northern Mississippi. It includes all of West Virginia and parts of Alabama, Georgia, Kentucky, Maryland, Mississippi, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee and Virginia.

“The Appalachian Region is rich in energy resources – conventional fossil fuels, as well as renewable and alternative energy fuels.” The region produces one third of the U.S. coal and its electrical utilities provide 15% of the nation’s electricity. “The development of alternative and renewable energy in the region is growing rapidly,” and the blueprint was created to provide “a strategic framework for the promotion of new energy-related job opportunities through the stimulation of sustainable energy production, efficiency measures, and innovation efforts.”

Increasing the use of renewable energy resources, especially biomass, to produce green fuels, green power and green heat is the second strategic objective, and the report notes that “production incentives can be effective tools to spur production of energy sources or efficient products, particularly where there is underused production capacity or existing capacity can be redeployed to make new products.” It adds that a wide array of incentives has been legislated by states for developing renewable energy production credits and energy-related manufacturing tax credits.

Appalachia’s energy consumption patterns differ from the rest of the U.S. because the region exports electrical power. The region’s share of high-cost natural gas is lower than the nation’s, while its share of renewables is lower, “even though the region possesses considerable potential in renewable energy sources,” it adds.

“Each renewable energy source faces its own challenges,” it explains. “Biomass energy generation requires appropriate feedstock, and presents policy issues; the development of biofuels will require widespread infrastructure improvements to transport, blend, and sell the fuels on a large scale.”

“Areas in Appalachia most valuable for wind development are often protected from development, and can face opposition due to a real or perceived impact on wildlife, habitat and views,” it continues. “Solar power is dependant on access to sufficient sunlight. Landfill gas projects face knowledge and policy barriers, and, as described above, development of new hydroelectric power is complicated by local issues.”

“Appalachia’s renewable energy resource base contains considerable untapped potential that could be readily used to produce alternative sources of power and fuels,” it concludes. It should “promote business development in renewable energy by encouraging the use of energy incubators, entrepreneurship programs, industrial clustering, and similar tools” and “support research and analysis to identify the best regional job growth opportunities in the renewable energy sectors, including developing supplier chains and clustering value-added activities, and assess the net effects of renewable development on the Region’s economy, particularly the existing energy base.”


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