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	<title>Parity Point</title>
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	<link>http://paritypoint.com</link>
	<description>The Bottom Line on Cleantech</description>
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		<title>My New Home Energy Pig, The Dehumidifier!</title>
		<link>http://paritypoint.com/2010/08/31/my-new-home-energy-pig-the-dehumidifier/</link>
		<comments>http://paritypoint.com/2010/08/31/my-new-home-energy-pig-the-dehumidifier/#comments</comments>
		<pubDate>Wed, 01 Sep 2010 01:05:30 +0000</pubDate>
		<dc:creator>Chet Geschickter</dc:creator>
				<category><![CDATA[SmartGrid]]></category>
		<category><![CDATA[energy efficiency]]></category>
		<category><![CDATA[home energy management]]></category>
		<category><![CDATA[kill-a-watt]]></category>

		<guid isPermaLink="false">http://paritypoint.com/?p=53</guid>
		<description><![CDATA[What sits in your basement buzzing away all by its lonesome, night and day, chewing up hundreds of kilowatt hours of energy each month?
Trying to figure out why your energy bill is so high?
Look no further than this post&#8230;answer&#8230;drumroll please.
How about your dehumidifier (if you have one)!  Another culprit in my ongoing Kill-a-Watt energy pig [...]]]></description>
			<content:encoded><![CDATA[<p>What sits in your basement buzzing away all by its lonesome, night and day, chewing up hundreds of kilowatt hours of energy each month?</p>
<p>Trying to figure out why your energy bill is so high?</p>
<p>Look no further than this post&#8230;answer&#8230;drumroll please.</p>
<p>How about your dehumidifier (if you have one)!  Another culprit in my ongoing Kill-a-Watt energy pig scavenger hunt (along with my phantom cable TV box).</p>
<div id="attachment_54" class="wp-caption alignleft" style="width: 489px"><a href="http://paritypoint.com/wp-content/uploads/2010/08/Piggy.jpg"><img class="size-large wp-image-54 " title="Piggy the Dehumidifier" src="http://paritypoint.com/wp-content/uploads/2010/08/Piggy-685x1024.jpg" alt="Electricity Hog Dehumidifier" width="479" height="717" /></a><p class="wp-caption-text">Piggy, the Dehumidifier by Whirlpool</p></div>
<p>Now admittedly, mine is rather old.  I&#8217;d give you the model number &#8211; but there isn&#8217;t one on the unit (no really, there isn&#8217;t).  Even the owners manual doesn&#8217;t have one.  So this unit is probably circa the late 90&#8217;s.  All I can really tell you is that Whirlpool made it. </p>
<p>But I can tell you how much juice this puppy uses when it&#8217;s doing its job on the &#8220;low&#8221; setting.</p>
<p>750 watts</p>
<p>That&#8217;s .75 kilowatts.  I won&#8217;t bother to discuss the high setting.  Hopefully I&#8217;ve got your attention.  Fortunately, after a few days on low the 1.5 gallon (or so) bucket fills up and the unit shuts off; so we can ratchet back the coal bonfire needed to keep this pig rooting in its trough.  Of course you can set it to perpetually &#8220;dehumidify&#8221; by attaching a hose to it.  You could also burn a pile of one dollar bills in your basement each night to dry things up a little. </p>
<p>Not that we actually wanted to send any of our kids to college anyways.</p>
<p>So here&#8217;s the cost of owning this pig and feeding it day and night:</p>
<p>8760 hours (per year) x .75 kilowatts = 6,570 kilowatt hours.  Which, for our neck of the woods (Brookline, MA, NSTAR) at a rate of $.163 per kWh (July, 2010) works out to exactly $1,427.88 per year.</p>
<p>Now, to be fair, it doesn&#8217;t run 7&#215;24x365, at least mine doesn&#8217;t.  There&#8217;s &#8220;wet season&#8221; and &#8220;dry season,&#8221; which pretty much sorts out to above freezing, or wet(March through November) and below freezing (the months when I don&#8217;t care because I&#8217;m off skiing and skating).  So figure 2/3&#8217;s wet, 1/3 dry.</p>
<p>Phew, we&#8217;re down to $942 per year.</p>
<p>Now in fairness again, it probably runs, or has been running, 50% of the time or so during our swampy New England spring summer and fall.  Still, I can think of a lot better things to do with $470 and I&#8217;m sure you can too.</p>
<p>Time to bring this little piggy to slaughter.  But the damp basement still remains.  What&#8217;s an energy farm owner to do? </p>
<p>A quick trundle through cyber space tells me that calcium chloride (CaCl) is a non-electric alternative.  Damp rid type commercial formulations feature this compound prominently.   Key challenges include corrosion and a process for drying the moist crystals back out so they can be reused.  Worth it, in my book.  So off I go to find my valuable crystals. </p>
<p>There&#8217;s also the old fashioned practice of increasing fresh air circulation to the basement.  Turns out, pigs like moist, damp spaces for rooting.  So a nice 20 watt fan and an open cellar door a few hours a week on dry days sure helps.  And it&#8217;s a lot cheaper.</p>
<p>My pigs cute and I&#8217;ve owned it longer than any of my cars.  But it&#8217;s gotta go!</p>
<p>My advice to you?  Ditch that dehumidifier.  Put it on the curb, cut the cord and figure out a better way.</p>
<p>Of course we could all heat the planet up to the point where we don&#8217;t need dehumidifiers any more. </p>
<p>Nah, cut the cord!</p>
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		<title>Maryland PSC Gives BG&amp;E Smart Grid Plan a Second Look</title>
		<link>http://paritypoint.com/2010/07/14/maryland-smart-grid-consumer-engagement/</link>
		<comments>http://paritypoint.com/2010/07/14/maryland-smart-grid-consumer-engagement/#comments</comments>
		<pubDate>Thu, 15 Jul 2010 01:22:32 +0000</pubDate>
		<dc:creator>Chet Geschickter</dc:creator>
				<category><![CDATA[SmartGrid]]></category>

		<guid isPermaLink="false">http://paritypoint.com/?p=50</guid>
		<description><![CDATA[Electricity is a commodity.  To the consumer, it's like water.  You pull the cold faucet, out comes cold water.  You turn on the shower, out comes the hot water.  You flush the toilet...You get the picture.

]]></description>
			<content:encoded><![CDATA[<p>The national smart grid movement got a major black eye when the Maryland Public Service Commission turned down <a title="BG&amp;E Smart Grid Plan Rejected!" href="http://www.greentechmedia.com/articles/read/baltimore-gas-electrics-smart-meter-plan-is-rejected/" target="_blank">Baltimore Gas &amp; Electric&#8217;s (BG&amp;E) smart grid plan </a>back in June.  Maryland PSC gave the plan a solid drubbing.  Not only did the commission slam BG&amp;E for submitting a plan that did not enhance the electrical grid, it also dismissed the plan as wholly lacking in consumer education and messaging to change behavior.</p>
<p>They nailed it.</p>
<p>The implicit assumption behind advanced metering infrastructures (aka smart meters) and a smart grid is that consumers will change their behavior.  Demand response, critical peak pricing, time of use pricing.  These are all just internal industry catch phrases for getting consumers to change how and when they consume electricity.  Good luck.</p>
<p>Electricity is a commodity.  To the consumer, it&#8217;s like water.  You pull the cold faucet, out comes cold water.  You turn on the shower, out comes the hot water.  You flush the toilet&#8230;You get the picture.</p>
<p>It&#8217;s time to start talking about the empowered energy consumer, to make the implicit assumption explicit.  For any of this grand experiment in energy distribution to work, the consumer must become engaged.  It&#8217;s all well and good to put a few solar panels on every 100&#8242;th house, but if we want to make a meaningful impact, we must curb our energy thirst, sip electricity in moderation, as opposed to continuously drowning ourselves in electrons and the distractions they bring. </p>
<p>Yesterday, <a title="BG&amp;E Files Ammended Smart Grid Plan" href="http://www.greentechmedia.com/articles/read/maryland-psc-reconsiders-bge-smart-grid-proposal/" target="_blank">BG&amp;E filed an ammended smart grid plan</a>, in an effort to hold onto smart grid investment grant monies, eliminating mandatory time of use plans, replacing them with peak consumption rebates (a smart smart grid plan).  This makes good business sense, people want to save money, they don&#8217;t want to worry about how they&#8217;re spending it.  They are also accelerating the rollout of a consumer energy portal &#8211; aka smart grid website.  Very smart.  If the smart grid depends on consumer participation, then maybe it should start with consumers, not drag them along as an afterthought.</p>
<p>The BG&amp;E &#8211; Maryland Public Service Commission saga has yet to play out.  But hopefully it provides a wake up call to the industry.  It&#8217;s about the consumer, not the grid.  The grid is merely a conduit, it&#8217;s what happens at the other side of the plug that matters.</p>
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		<title>Intermittent Wind Power, Smart Grid to the Rescue?</title>
		<link>http://paritypoint.com/2010/05/12/intermittent-wind-power-smart-grid-to-the-rescue/</link>
		<comments>http://paritypoint.com/2010/05/12/intermittent-wind-power-smart-grid-to-the-rescue/#comments</comments>
		<pubDate>Wed, 12 May 2010 18:16:24 +0000</pubDate>
		<dc:creator>Chet Geschickter</dc:creator>
				<category><![CDATA[SmartGrid]]></category>
		<category><![CDATA[Wind Power]]></category>
		<category><![CDATA[load balancing]]></category>
		<category><![CDATA[operations]]></category>
		<category><![CDATA[smart grid]]></category>
		<category><![CDATA[wind energy]]></category>

		<guid isPermaLink="false">http://paritypoint.com/?p=34</guid>
		<description><![CDATA[wind energy is all over the place. This is a big problem for grid operators trying to balance power supply and energy demand - especially if they rely heavily on so-called "base load" power plants, like coal plants, hydro or nuclear. A very expensive solution is to have fleet of expensive natural gas peaking power plants - rapid response natural gas fired turbines - standing by to kick-in on a moments notice. Another choice is to keep baseload turbines spinning (so-called "spinning reserve") without generating electricity. But this is waste.]]></description>
			<content:encoded><![CDATA[<p>What&#8217;s wrong with this picture of daily electricity output from wind power in Ontario (note: each day is a different color and all the days  are overlaid on each other using a standard clock (i.e. 1 = 1 a.m., 12 = noon, etc.)</p>
<div id="attachment_36" class="wp-caption alignnone" style="width: 729px"><a href="http://paritypoint.com/wp-content/uploads/2010/05/Thirty-Day-Wind-Output1.jpg"><img class="size-full wp-image-36" title="Thirty Day Wind Output" src="http://paritypoint.com/wp-content/uploads/2010/05/Thirty-Day-Wind-Output1.jpg" alt="Wind Energy Daily Power Output " width="719" height="583" /></a><p class="wp-caption-text">Thirty Day View of Hourly Wind Power Output</p></div>
<p>If you happen to be a utility forced to implement a renewable portfolio standard for renewable energy, a lot<br />
Imagine having thirty pre-schoolers, each with a different color crayon, with one art teacher saying draw a squiggly line, this will be your wind energy output for your day&#8230;</p>
<p>Not only is this bad art, it&#8217;s bad energy (from a load balancing perspective that is).</p>
<p>Now don&#8217;t get me wrong, I love wind energy, but&#8230;.</p>
<p>This beauty depicts the hourly output of wind energy coming onto the Ontario power grid &#8211; courtesy of Ken Kozlik, Chief Operating Officer of Indpendent Electricity System Operator, as presented at GridWeek, 2009 (conference presentation: <a href="http://www.pointview.com/data/2009/09/31/pdf/Ken-Kozlik-4806.pdf">Getting Renewables into the Home: Enabling Consumer Choice</a>). It shows the volatile nature of electricity generation from wind. Month by month, day by day, hour by hour, even minute by minute, you can clearly see that wind energy is all over the place. This is a big problem for grid operators trying to balance power supply and energy demand &#8211; especially if they rely heavily on so-called &#8220;base load&#8221; power plants, like coal plants, hydro or nuclear. A very expensive solution is to have a fleet of expensive natural gas peaking power plants &#8211; rapid response natural gas fired turbines &#8211; standing by to kick-in on a moments notice. Another choice is to keep baseload turbines spinning (so-called &#8220;spinning reserve&#8221;) without generating electricity. But this is waste.<br />
In reality, most utilities need to do both &#8211; in increasing amounts &#8211; as they are forced to take on more and more wind in an effort, ironically, to save the environment.<br />
There&#8217;s another interesting twist to wind turbines &#8211; as wind velocity picks up, they come up the power generation curve relatively quickly, but suddenly cut-out when the wind blows too fast. Cut-off protects rotor motors from burning out, and blades from torsional stress. Check this beauty out, courtesy of Ali Ipakchi and Farrokh Albuyeh in their March, 2009 <a href="http://www.ieee-pes.org/images/pdf/2010pe-SmartGrid-all.pdf">Grid of the Future </a>article in Power &amp; Energy Magazine (see page 7).  Note how power comes up a nice curve at low wind speeds, then suddenly cuts out. </p>
<div id="attachment_44" class="wp-caption alignleft" style="width: 759px"><a href="http://paritypoint.com/wp-content/uploads/2010/05/Wind-Output-Curve2.jpg"><img class="size-large wp-image-44" title="Wind Output Curve" src="http://paritypoint.com/wp-content/uploads/2010/05/Wind-Output-Curve2-1024x405.jpg" alt="wind electricity generation at different wind speeds" width="749" height="327" /></a><p class="wp-caption-text">Wind Power Comes on Strong, but then Cuts Out in High Wind Conditions</p></div>
<p>Imagine that you&#8217;re the owner of a horse in the Kentucky Derby - it&#8217;s sprinting along in first place, you&#8217;re on the road to riches, then bonk, the horse just stops running right there, in the middle of the track.  Sounds kind of unlikely huh?  Not with wind.</p>
<p>At this point, a wind energy expert is likely to jump up, raise their hand and say, &#8220;wait a minute, that&#8217;s why we have sophisticated weather equipment (read anemometers in strategic locations in points a couple miles each direction from a wind farm).  Right, but where does that data go?  To a smart digital grid where load smoothly glides up and down thanks to a lovely power balancing algorithm that takes in data from points asunder?  This digitally enabled intelligent power grid future is just that, a future, that will take a lot of time, money, brilliant technologists and forward-thinking utilities a long time to get to.  More likely, the data will be just one more confusing source of noise for a roomful of grid operators frantically working to balance load and demand signals coming from a cacophony of inconsistent digital and analog devices, substations, commercial customers, distributed energy sources and whatnot. </p>
<p>Yes, the smart grid will help, but energy storage needs to be part of the picture too. </p>
<p>My point here is not to shred wind power, wind energy is a good thing.  It doesn&#8217;t pollute &#8211; at a turbine level.  The problem is that, at a system level, wind is not a panacea, it&#8217;s a challenge.  An incredibly complicated challenge &#8211; to harness in a way that actually reduces pollution and fossil fuel consumption to a significant degree.</p>
<p>Some would argue that putting up turbines and connecting them into the grid is the cheap part.  The expensive part is going to be integrating those assets seamlessly into an intelligent grid infrastructure that will make maximum advantage of the good clean energy that wind provides.</p>
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		<title>Amyris and Codexis in New Biofuel IPO Wave</title>
		<link>http://paritypoint.com/2010/04/21/amyris-and-codexis-in-new-biofuel-ipo-wave/</link>
		<comments>http://paritypoint.com/2010/04/21/amyris-and-codexis-in-new-biofuel-ipo-wave/#comments</comments>
		<pubDate>Wed, 21 Apr 2010 20:40:55 +0000</pubDate>
		<dc:creator>Chet Geschickter</dc:creator>
				<category><![CDATA[Biofuel]]></category>
		<category><![CDATA[IPO]]></category>

		<guid isPermaLink="false">http://paritypoint.com/?p=10</guid>
		<description><![CDATA[A longstanding logjam in biofuel finance may be about to break, owing to the recent filing of IPO shelf registrations by Amyris and Codexis.  These companies look a lot more like traditional biotech plays than their pipes and steel biorefinery project cousins.  ]]></description>
			<content:encoded><![CDATA[<p>Are investors ready to buy into a vision for a biofuel planet?<br />
<div id="attachment_19" class="wp-caption alignnone" style="width: 377px"><a href="http://paritypoint.com/wp-content/uploads/2010/04/Amyris2.jpg"><img src="http://paritypoint.com/wp-content/uploads/2010/04/Amyris2.jpg" alt="Amyris Biofuels" title="Amyris" width="367" height="431" class="size-full wp-image-19" /></a><p class="wp-caption-text">The Amyris globe logo</p></div><br />
<div id="attachment_18" class="wp-caption alignnone" style="width: 767px"><a href="http://www.codexis.com/"><img src="http://paritypoint.com/wp-content/uploads/2010/04/Codexis2.jpg" alt="Codexis Biofuels" title="Codexis" width="757" height="428" class="size-full wp-image-18" /></a><p class="wp-caption-text">Codexis Globe Logo</p></div><br />
A longstanding logjam in biofuel finance may be about to break, owing to the recent filing of IPO shelf registrations by <a href="http://www.amyris.com/">Amyris </a>and <a href="http://www.codexis.com/">Codexis</a>.  These companies look a lot more like traditional biotech plays than their pipes and steel biorefinery project cousins.  They both seek to sidestep the brutal project finance environment in the U.S., where only the most predictable, profitable and low-risk energy projects can raise debt and equity, through partnerships that leverage up their renewable energy intellectual property held in their bioenergy patent portfolios.<br />
It&#8217;s looking right now like the future of the biofuels gold rush lies in life science engineers sporting white lab coats and working with sophisticated biotech lab equipment than in engineers with hard hats and project blueprints.<br />
Codexis uses genetic engineering methods to create what it calls &#8220;super microbes&#8221; capable of withstanding extremes in pH and temperature.<br />
Amyris is also a microbe play, designing enhanced yeast strains for converting sugars into biofuels.<br />
But Greentech Media points out in an article today (<a href="http://www.greentechmedia.com/articles/read/these-arent-the-greentech-ipos-were-looking-for">These Aren&#8217;t the Greentech IPOs We&#8217;re Waiting For</a>) that both are riding into the IPO waters with revenues from other &#8220;bridge&#8221; sources that do not fully reflect the business models they are touting, namely to rake in monies from royalties on the sale of fuel from their intellectual property, in other words their patented microbes.  Most of Codexis&#8217; revenues are from contract R&#038;D work for Shell, while Amyris is selling ethanol from third-parties to distributors in the southeastern U.S.<br />
It will be interesting to see whether these offerings can get the institutional support to go public.  Whether they do will be a lead indicator of whether people are willing to put their capital on future hopes as opposed to proven profits.  Both are yet to achieve profitability, both could be big winners if their technology scales in the market, something that won&#8217;t happen for a while, or may never happen at all.<br />
Here are links to the shelf registrations for <a href="http://www.sec.gov/Archives/edgar/data/1200375/000119312510085617/ds1a.htm">Codexis</a> and <a href="http://xml.10kwizard.com/filing_raw.php?repo=tenk&#038;ipage=6894525#rom67354_13">Amyris</a>.</p>
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		<item>
		<title>A Blog About Biofuel, Bioenergy and Industrial Biotech Economics</title>
		<link>http://paritypoint.com/2010/04/16/hello-world/</link>
		<comments>http://paritypoint.com/2010/04/16/hello-world/#comments</comments>
		<pubDate>Fri, 16 Apr 2010 18:49:19 +0000</pubDate>
		<dc:creator>Chet Geschickter</dc:creator>
				<category><![CDATA[Uncategorized]]></category>

		<guid isPermaLink="false">http:/?p=1</guid>
		<description><![CDATA[The Parity Point blog focuses on the economics of biofuel, bioenergy and industrial biotech.]]></description>
			<content:encoded><![CDATA[<p>Hi, I&#8217;m Chet Geschickter and this is my blog, Parity Point.  The Parity Point blog focuses on the economics of biofuel, bioenergy and industrial biotech.  Believe it or not, my focus on economics, financial valuation and profitability is a little bit unique in the world of bioenergy.  Most cleantech media sites focus on churning out a steady stream of renewable energy news.  Wall Street equity firms focus on covering publicly-help biofuel and bioenergy companies, and upcoming renewable energy IPO&#8217;s.  Cleantech blogs tend to focus on one or more green industries, but broadly.  While you will find some treatment of green business profitability and economics, it is usually in passing, but not as a focal point.  The focus of the Parity Point blog is cleantech financial health, renewable bioenergy and biomaterial company profitability, and bio-based business profitability. </p>
<p>What it is not.  Parity Point is not about wind or solar or the smart grid.  These are all great topics and worthy of in-depth coverage, but you will find that coverage elsewhere. </p>
<p>Read on, enjoy, stay and browse, comment and make suggestions.  Thank you for visiting Parity Point.</p>
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