Office of Energy Independence

Achieving Energy Independence by 2025 April, 2009 John Baldus

Wisconsin

Road Map To Energy Independence Start With: #1.

State as a Leader

Act 141

Governor’s Task Force on Energy Efficiency & Renewable Energy (October 2004)  10% by 2015  Government agencies buy energy efficient equipment  State buys xx of renewable energy for 6 state agencies

Executive Orders

#141 (March 2006) State fleet #145 (April 2005) Green Buildings requirement for state buildings #191 (April 2007) Global Warming TF #192 (April 2007) Create OEI

Cabinet Collaboration

 Agriculture, Trade & CP  Commerce  Financial Institutions  Natural Resources  Public Service Commission

Governor’s Goals

 25% of electricity & fuels from renewable resources by 2025  10% of the emerging bio industry & renewable energy market by 2030  Become national leader in groundbreaking energy research

BioFuels…BioPower…BioProducts

BioFuels Transportation

2025 Goal = 1 billion gallons End of 2007 Capacity – 390 million gallons of ethanol/corn – 52 million gallons of biodiesel 2025 BioFuels Projection – 905 million gallons with current biofuels • 732 million of ethanol/corn • 173 million of biodiesel • ??? Million of ethanol/cellulosic

BioFuels Other Considerations

BioPower Renewable Resources

25 x 25 Goal – 21,000 gWh

Current Production - 2,313 gWh in 2005 - 4,305 gWh by 2010 (Mostly wind) - 7,770 gWh by 2015 (Wind/biomass) 2025 Renewable Portfolio   Greatest challenge for the state Greatest opportunity for agriculture & forestry

#2.

ID Advantage

Wisconsin Road Map To Energy Independence

BioMass & BioGas

Wisconsin Renewables Consumption 2006

BioSolid Waste 4% Solar 5% Wind 1% Hydro 8% Cellulosic/advanced alcohols 0% Hydrogen/Alt Fuels 0% Non-wood biomass fuel 0% Biogas 8% Wood 60% Corn Ethanol 14%

Actual Renewables Consumption: 79.2 trillon BTU Percent of Total Consumption: 4.56 %

Hydrogen/Alt Fuels 4% Cellulosic/advanced alcohols 7% Non-wood biomass fuel 6%

Wisconsin Renewables Potential 2025

Wind 7% Solar 5% BioSolid Waste 2% Hydro 2% Biogas 7% Wood 53% Corn Ethanol 7%

Renewables Consumption: 403.5 trillon BTU Percent of Total Consumption: 25.22 %

Biomass in WI

14,963,398 tons of biomass available annually in Wisconsin

The Big Cheese

A Sector Example • Waste to Energy • Whey to Ethanol • Milk Haulers = – Create Demand for Biodiesel – 12 million gallon biodiesel market – Farm to Market Opportunities

Biogas potential from Wisconsin Dairy Farms

: 5 kWh per day per cow X 1,252,000 cows = 6 million kWh x 365 days= 2.19 billion kWh 3% of state’s electricity

Count Your Cows!

County #Cows Kilowatts Chippewa 33,000 Marathon 61,000 Brown 40,000 Grant 48,000 165,000 305,000 200,000 240,000 Source: www.nass.usda.gov/wi

The Paper Industry

A sector example • Single large kraft paper mill could produce - up to 14 million gallons of ethanol a year - 4.5 million gallons of acetic acid (chemical used in bottles, film and wood glue) • 8 mills could produce about 40 million gallons of ethanol per year by 2020(ECW) - $3 billion value-added for a $18 billion industry • Biorefining processes feasible in industry : (1) value prior to pulping

(ethanol/acid)

(2) black liquor gasification

(ethanol/acid)

(3) biomass gasification

(natural gas substitute)

(4) anaerobic digestion of wastewater

(biogas)

# 3.

Develop the plan

Governor Doyle’s Clean Energy Wisconsin  Promote an Affordable, Renewable, and Diverse Energy Supply  Target Investments in Job Creation and New Business Opportunities  Improve Our Environment http://cleanenergy.wi.gov/

4.

Invest in the plan

 $68 million Focus on Energy  $11 million new production capacity (Paper & Soybeans)  Tax incentives for infrastructure  $150 million, 10-year Wisconsin Energy Independence Fund (WEIF)

WEIF

21 awards totaling $7,161,000 -  17 Research & Development  3 Commercialization  1 Supply Chain Development

WEIF

Project types:  11 biofuel  3 biogas  3 solar  3 battery technology  1 solar & wind power

Energy Independent Communities

•Partners in achieving 25x25 •Access to state & federal funds •Technical Assistance •Savings for local operating budgets

EI Communities Update

• • • • $400,000 for energy independence planning (January 2009) 10 EI Pilot Communities were selected to create 25X25 Plans.

80 communities have passed 25X25 resolution or publicly support it.

Over 300 communities are interested in participating.

EI Communities Pilots:

1) Brown County, Oneida Tribe 2) City of Washburn, City of Ashland, City of Bayfield, Town of La Pointe, Town of Bayfield, Ashland County, Bayfield County, Red Cliff Band of Lake Superior Chippewa 3) Village of Osceola, Osceola School District 4) City of Marshfield 5) City of Columbus 6) City of Evansville 7)City of Platteville 8) City of Lancaster 9) City of Oconomowoc 10)Town of Fairfield, Village of Spring Green, Town of Spring Green, and the River Valley School District.

EI Communities OEI Collaborators

• UW-Extension • Local Government Institute (WI Towns, WI Counties, League of Municipalities, Alliance of Cities) • Wisconsin Energy Conservation Corporation (Focus on Energy) • Energy Center of WI.

Recovery: Formula Funds for Energy  Weatherization Assistance  State Energy Program (SEP)  Energy Efficiency & Conservation Block Grants  Energy Star Rebates

Recovery: Other Funds for Energy    Competitive Grants  Guarantee Loans for Technology  Research & Development Smart Grid Bonds

Recovery: Tax Credits for Energy For Business  Renewable Energy Production  Eliminate limits on certain credits  Alternative Refueling Property  CO2 Capture

Recovery: Energy Efficiency & Conservation Block Grants Wisconsin Communities County Tribes Total $11.7 million $16.9 million $ 8.5 million $ 1.4 million $38.5 million

Jobs &Manufacturing Sector (SEP Funds)  Clean Technology  Clean Energy  Green Jobs

Wisconsin Wins..

• Saving energy with weatherization • Renewable energy with our signature waste streams •Green jobs through clean technology • Greenhouse gas reduction

$$ for Renewable Energy • BioMass & Organic Biogas • Wind & Solar • Signature Waste Streams

Achieving 25x25

Producing clean energy from renewable sources and creating jobs at the same time is as good as it gets

. -- Governor Jim Doyle Judy Ziewacz, Director Office of Energy Independence http://power.wisconsin.gov