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By Robert Rapier on Sep 11, 2014 with 9 responses

Another Record Year for CO2

Introduction

This is the 4th installment in a series that examines data from the recently released Statistical Review of World Energy 2014. The previous posts covered the world’s growing fossil fuel consumption:

Today I examine the implications of that growing fossil fuel consumption by looking at carbon dioxide emission trends. The key points in the report include: CONTINUE»

By Russ Finley on Sep 3, 2014 with 103 responses

Why Ethanol Free Gas is More Popular than E85

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Sign at a gas station that sells only ethanol free gasoline

Sam Avro, Energy Trends Insider editor, recently received an inquiry from a reader about the popularity of ethanol free gasoline in the Midwest. Coincidentally, I recently visited Indianapolis and had noticed a large billboard advertising ethanol free gasoline.

I thought I’d share what I found. Much to my surprise, there are about 8,000 gas stations offering ethanol free gasoline and only about 1,200 offering  E85 (85 percent ethanol). There are about ten million flex fuel cars on the road designed to burn E85. Assuming a cost of about $100 per car to make it flex fuel, and assuming that about 10% of flex fuel cars actually use E85, this would mean that consumers have paid about nine billion dollars for nothing.

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By Robert Rapier on with 38 responses

Guest Post: U.S. Renewable Energy Industry Dominated By Monopolism and Cronyism

This week we have a guest post for readers. The following article was written by S. Michael Holly, the Chairman of Sorgo Fuels & Chemicals, Inc. Sorgo has developed technology for the production of ethanol, electricity and protein from sweet sorghum. Mike was formerly an alternative energy engineer and business analyst with the Minnesota Department of Energy and Economic Development. He holds masters degrees in chemical engineering and business administration from the University of Minnesota.

My standard disclaimer applies: Publication of a guest post does not imply endorsement. Rather it indicates that I think the subject matter is worthy of debate and discussion. However it is clear the the US government discriminates against various energy sources. Among renewable electricity producers, some receive higher tax credits and subsidies than others. This has long been the case with biofuels as well. Governments preferentially subsidize certain pathways that in many cases have little chance of commercial success, yet they have allowed themselves to be fooled by vested interests. CONTINUE»

By Robert Rapier on Aug 28, 2014 with 29 responses

Global Biofuels Status Update

Introduction to the GSR

Today I want to take a deep look at the global biofuels picture, drawing mainly from the Renewables 2014 Global Status Report (GSR) that was released in June by REN21, the Renewable Energy Policy Network for the 21st Century. I had intended to draw data primarily from the recently released Statistical Review of World Energy 2014, but I believe that the GSR is the most comprehensive report available when it comes to the global renewable energy picture. The GSR has more complete renewable energy data than the BP Statistical Review, but both reports complement each other. Full disclosure, however, I have been a contributor to the GSR for the past five years.

Before I begin, let me introduce REN21 and what are they trying to achieve. From the foreword to the 215-page report: CONTINUE»

By Russ Finley on Aug 14, 2014 with 16 responses

Update on the Tesla Model S

Has anyone else noticed how much a Tesla Model S looks like a Jaguar XF (pictured below)? One of my neighbors drives a Tesla Model S. I was following him down the street a few weeks ago and heard his tires squeak three times in two blocks. Adequate acceleration to maneuver in traffic can enhance overall safety but too much acceleration potential can be dangerous, especially in the wrong hands. Not sure I’d want that temptation.

TeslaModelS

Tesla Model S Photo courtesy of Gareth James via Flickr

 JaguarXF

Jaguar XF Photo courtesy of Jimmy Smith via Flickr

Fast Chargers

Tesla is dead on with their promotion of fast charging stations. The ubiquitous 240 volt chargers are next to worthless simply because they take too long. A high voltage fast charger can provide a significant charge in a matter of minutes. I recently deliberately drove my Leaf beyond its range because we needed two cars to get supplies to a wedding. My plan was to stop at a charge station on the way home for a few hours to get enough charge to finish the trip. The rest of the family came home in our Prius.

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By Robert Rapier on Aug 13, 2014 with 31 responses

Why Natural Gas Prices Collapsed

Over the course of the next two columns, I plan to finish up the recent look at BP’s Statistical Review of World Energy 2014. The final two columns will focus on renewable energy, and carbon dioxide emissions.

Today I want to provide an update on the natural gas picture, as prices declined sharply at the end of July. I have laid out the argument since last winter that because of the deep inventory hole that developed over the course of the exceptionally cold winter, natural gas prices would remain high relative to last year, and that as a result natural gas producers would likely report higher year-over-year profits. (For background on the inventory picture, see my February column Natural Gas Inventories are Headed Toward Zero). CONTINUE»

By Elias Hinckley on Aug 7, 2014 with 3 responses

Cracking the Code on the Business of Energy Management

By Elias Hinckley and Therese Miranda-Blackney

Energy management is one of the most important parts of our changing energy landscape. It is a market made up of part energy efficiency, part Big Data solution and part Internet of Things. Energy management will be a multi-trillion dollar industry that will reverberate across industrialized economies.  The competitive advantage in virtually every economic sector will be redefined by companies’ ability to manage volatile energy prices. It will change how we consume energy. Significant reductions in energy use are an obvious outcome (with corresponding pressure on energy companies), but even more exciting are the social and economic benefits of being able to preform significantly more work with our existing energy resources.

With the trends towards corporate resilience, sustainability, and social responsibility, energy management has evolved beyond the realm of engineers and energy nerds. The growth of Big Data and promise of the Internet of Things is giving rise to exciting, easily used, and powerful energy management tools. The energy management industry is poised to explode in size over the coming years –affecting every aspect of the economy.

If this is going to be so big, why is the market so small today?

Historically, only facility managers of commercial and industrial facilities, and a handful of individuals that were exceptionally excited about energy use or its environmental impact purchased energy management tools. As a result, the tools were developed by engineers, for engineers – they provided only data, and that was typically raw and unmanageable, as the target audience was assumed to have the necessary knowledge and capability to effectively make use of, and act on, the raw data. Not only was the audience tiny, but also existing technology did not provide a viable way to bridge the gap between data and useful information or, more importantly, action. As a result, the market for energy management tools has been had only a handful of success stories.

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By Robert Rapier on Jul 30, 2014 with 31 responses

King Coal Deposed in West, but Reigns in East

Introduction

This is the 3rd installment in a series that examines data from the recently released Statistical Review of World Energy 2014. The previous posts – World Sets New Oil Production and Consumption Records and The US and Russia are Gas Giants – delved into world oil and natural gas production and consumption figures. Today’s post looks at the global coal picture.

Coal Consumption

In the US, coal consumption has been flat to declining for the past 20 years. Just since 2007, US coal consumption has fallen by more than 20%. This is the primary reason the US leads all countries in reducing carbon dioxide emissions over that same time period. (This will be covered in an upcoming article). Still, the US accounted for 11.9% of the global demand of coal in 2013. This was good for 2nd place globally among countries for coal consumption, but the 455.7 million metric tons of oil equivalent (Mtoe) that the US consumed in 2013 was roughly the amount we consumed in 1987.

The declining demand story is the same in the European Union (EU). Since 2007, coal consumption in the EU has fallen by 12%. While the consumption decline since 2007 is not as dramatic as that in the US, the decline in EU coal consumption since the late 1980s has been greater. In 1989, US and EU coal consumption were almost identical (480.5 Mtoe for the US versus 487.6 Mtoe for the EU), but then consumption in the EU fell sharply during the 1990s. Today the EU share of the world’s coal consumption is 7.5%.
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By Robert Rapier on Jul 24, 2014 with 7 responses

The US and Russia are Gas Giants

Introduction

This is the 2nd installment in a series that examines data from the recently released Statistical Review of World Energy 2014. The previous post – World Sets New Oil Production and Consumption Records – delved into world oil production and consumption figures. Today’s post looks at the global natural gas picture.

In 2013 global natural gas production advanced 1.1% to a new all-time high of 328 billion cubic feet per day (Bcfd). Except for a one-year decline in 2008-2009, global gas production has risen fairly steadily for about three decades, and production has more than doubled during that time span:

Global Gas Production 1970 through 2013

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By Elias Hinckley on Jul 14, 2014 with 9 responses

The Greatest Growth Opportunity for Electric Companies: Devour Oil’s Market

Energy use in the US can be split into two large (very, very large) pies. One is electricity for use in homes, buildings, and industry and the other is transportation, which is powered primarily by liquid fuels (gasoline and diesel) from oil. There are some exceptions, and small overlapping fuel uses – direct industrial use of liquid fuel (a fairly significant quantity), some liquids burned to make electricity (this used to be a significant amount, but is now only a very small amount), and now a very small amount of electricity used to power electric vehicles (“EVs”).

American consumers spend, on average more than $1 billion every day on each of these energy uses.

Daily U.S. Consumer Energy Spending

pies 1

Electric utilities have never made a serious effort to attack the transportation market at scale.  Historically this made sense.  Transportation infrastructure was built around liquid fuels and virtually the entire fleet of U.S. cars and trucks run on liquid fuels and there was no viable electric-drive alternative and fueling infrastructure was non-existent.

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