The New Energy Ethic

Sandy Reisky, CEOApex Clean Energy

Tom Tom Founders FestivalCharlottesville, VirginiaApril 11, 2014

This is a talk about energy ethics.

It is not about bashing fossil fuels or our utilities or the hard work done by the industry every day.

I love what energy does for us, I have benefited from fossil fuels all my life.

However the current energy system is not healthy for our air, water, soils and bodies.

So now that we can do better, we should.

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TOPICS

CLEAN ENERGY INDUSTRY & APPLIANCES

NEW ENERGY ETHIC

WHY IT MATTERS

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CLEAN ENERGY INDUSTRY

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5 Source: Bloomberg New Energy Finance data query

Global Wind And Solar Investment in 2013 was

$195 Billion

4.5% of U.S. electricity comes from wind energy

Source: AWEA

U.S. Wind Market Share

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Wind Market ShareTop 15 states

Source: AWEA

Cheap power: $0.03 kWh in windiest statesHedge against volatile fossil fuel costs(Fixed pricing - no fuel cost, no depletion risk)

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MidAmerican EnergyLargest clean energy utility owner, over $12 billion invested

Berkshire Hathaway’s MidAmerican Energy began building clean energy in 2004.They now own 6% of wind energy capacity and 14% of solar capacity in the United States.

Source: Bloomberg New Energy Finance14

MidAmerican Energy owns 14% of US solar capacity

Source: Bloomberg New Energy Finance15

CLEANENERGYAPPLIANCES

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Solar

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Typical cost, home solar: 10 years ago:$40,000 Today: $14,000

Lease for $0 upfront and Start saving right away

Pay Less for Energy

Lower your energy bills with clean energy

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President Barack ObamaState of the Union Address, January 28, 2014

“Every four minutes, another American home or business goes solar”

Growth in Solar LeasingCompelling economics are driving change

Installations exceed $100 million per month in California

Source: California Solar Initiative http://www.californiasolarstatistics.ca.gov/reports/monthly_stats/

Meg

aw

att

s

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Jon WellinghoffFormer Chairman, FERC

“Solar is growing so fast it is going to overtake everything”

SOLAR CITY (NASDAQ:SCTY)

565%Gain(since January 2013)

Solar City: Residential Solar Installation Company

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SunEdison: Utility-Scale Solar Energy Company

543%Gain(since January 2013)

SUNEDISON (NASDAQ:SUNE)

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Solar

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Why do most major car brands have electric

models?

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Electricity is four times cheaper than gasoline

26 Source: US Department of Energy

Solar

$9,100 savings estimated over 5 years

27 Source: US EPA, car window sticker

“Battery electric vehicle emissions are estimated to be 75% lower than the average gasoline powered vehicle” Source: Electric Drive Transportation Association

Electric vehicles have 75% lower emissions

Source: Union of Concerned Scientists: “State of Charge: Electric Vehicles’ Global Warming Emissions and Fuel-Cost Savings Across the United States”

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EV’s simplify your life. The average driver makes 1,944 trips to the gas station (assumes 54 years of driving)

RelaxQuit your part-time job pumping gas

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Cleaner Faster Smoother Quieter Save on fuel cost Costs less to operate More convenient

Better.

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No Compromises

1Source: US EPA

265 mile range

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The power industry will embrace the opportunity to capture market share in the transportation sector.

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599%Gain(since January 2013)

TESLA MOTORS (NASDAQ:TSLA)

Tesla Motors: Electric Car Manufacturer

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Cumulative U.S. Electric Vehicle SalesIncludes Electric and Plug-In Electric Vehicles

2011 2012 2013

Source: Electric Drive Transportation Association 37

100% CleanConvergence of Solar with EV’s

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Electric Car Batteries could be the Storage Solution for Clean Energy

Once electric cars are widespread, wind and solar intermittency can be supported with electric car batteries using vehicle to grid technologyThis technology is available today, it just needs to be scaled up.

There are no problems in the path of 100% clean energy that cannot be solved with todays technologies.

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EfficiencyA great way to save energy and save money, and the quickest path to massive reductions in carbon emissions

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LED light bulbs lowest energy usage and last longer

Now affordable: price per bulb has Dropped to $10 or less

Use 84% less energyExcellent return on investmentQuick payback

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Efficiency standardsHelp us understand options Help us make better choicesThat save money

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Smart Thermostats – Save energy, money. Smart.

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INDIVIDUALS INDUSTRIES Save money More Convenient Useful, fills a need

Low cost energy source Proven technology Utility scale

In Summary, we can do better with clean energy:

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THE NEW ENERGY ETHIC

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92%of Americans think that the president and the Congress should make clean energy a priority

Source: Yale Project on Climate Change Communication, November 2012

The “New” Energy Ethic is not new…

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Energy Ethic at Work:

new coal facilities have been stopped over the past decade

157

Source: Sierra Club press release47

Coal facilities have been shut down or announced retirement in the past 24 months

(42 Gigawatts of capacity)

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Source: Sierra Club press release

Energy Ethic at Work:

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92%of Americans think that the president and the Congress should make clean energy a priority

Source: Yale Project on Climate Change Communication, November 2012

Support non-profit? Become an activist? Changing the system is not easy

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92%

What is “new” about our ENERGY ETHIC

Empowered by Direct action

enabled by new options

of Americans think that the president and the Congress should make clean energy a priority

Source: Yale Project on Climate Change Communication, November 201250

Support non-profit? Become an activist? Changing the system is not easy

?

Now that we have viable solutions to serious issues that must be addressed,

we should act quickly to deploy these technologies

and create our clean energy future.

ENERGY ETHIC

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Today’s Energy Ethic:

Is building momentum as it empowers individuals and taps our core values As people adopt clean energy, the energy ethic strengthens. It is empowering, built on foundational values we share like independence, self-reliance, personal initiative, and personal responsibility.

Restores confidence in the futureWith new energy technologies we can see a viable path to a clean energy future. We refuse to be demoralized by climate change, and we reach for the solutions we can implement today, in our own lives, to address carbon pollution.

WHY IT MATTERS…

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“Ethics are foundational, they determine how everything turns out”

Carl Popeformer president of the Sierra Club

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Clean energy is an attractive goal:

Domestic EnergyEnergy SecurityJob Growth

But we’ll have to give up a few things…

What Would 100% Clean Energy Look Like?

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ZeroMountaintopRemovals

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ZeroParticulate Emissions

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ZeroSmog

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ZeroNuclearMeltdowns

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ZeroRadioactiveToxic Waste

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ZeroFracking Water Usage

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ZeroFracking Water Pollution

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ZeroFracking Seismic Issues

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ZeroMercury Emissions

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ZeroOil Wars

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ZeroOil Imports

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ZeroCommodity Price Swings

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ZeroTar Sands

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ZeroTailpipe Emissions

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ZeroGallons of Water used

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47%

47%Power Plants

33%Agriculture

11%Public Supply

9%Other

Source: Torcellini, P., Long, N., & Judkoff, R. (December 2003). Consumptive Water Use for U.S. Power Production

Thermal energy production draws more water than any other use

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Scaling Up Now and Changing the way Power is Made

Clean,Cheap,DomesticEnergy

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ACTInsulate your house

Turn out the lights

Choose energy star

And please… ask stores on the downtown mall to close their doors to keep the air conditioning and heat inside

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“All of the above” is a weak energy policy statement.

Instead, we should: “Tax what we burn, not what we earn”, for a carbon tax that can be revenue neutral by lowering our income taxes.

VOTE

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VOTEwith your wallet:

buy solar panels buy an electric car and save money.

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NEXT STEPS

We need to share our energy ethic.

The success and viability of clean energy is a story worth telling.

How we talk and think about energy is important.

Politics and policy will follow.

www.newenergyethic.com/blog

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THANK YOU

www.newenergyethic.com/blog

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