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PG&E’s bankruptcy will slow California’s climate efforts

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What happens when a state’s major partner in its green makeover suddenly goes bankrupt? California is about to find out because Pacific Gas & Electric Company, the largest power utility in the state, has said it will file for Chapter 11 by the end of the month.

Some environmentalists said that a collapse of PG&E will impede California’s pioneering climate efforts. Without PG&E, the state’s energy efficiency programs, renewable power investments, and rooftop solar initiatives are all at risk, according to Ralph Cavanagh, co-director of Natural Resources Defense Council’s energy program. In a blog post, he pointed out that the company is investing over $1 billion a year in clean energy infrastructure and warned against reflexively punishing the company.

“Climate change is the real villain here,” Cavanagh told Grist.

The recent run of wildfires are part of the story. Electrical wires owned by the utility are a primary suspect in several wildfires that killed more than 90 people and destroyed some 20,000 homes over the past two years. PG&E faces an estimated $30 billion liability for the fires.

A former PG&E employee told the Wall Street Journal that it was blindsided by California’s historic drought, which turned much of the state into tinder. “It’s hard to believe that anybody would have predicted that it would have been like this,” Stephen Tankersley, who oversaw PG&E’s vegetation-management program between 1999 and 2015, told the Journal. “I’ve never seen anything like it.”

The landscape was so unusually parched that electrical equipment sparked one fire a day, according to the Journal’s analysis.

This isn’t the first trip through bankruptcy court for PG&E. The first time came in 2001, after Enron-era electricity price spikes drove it into the ground. Cavanaugh and other NRDC lawyers went to court back then to protect the utility’s clean energy investments.

Still, bankruptcy is sure to slow down the state’s initiatives and draw attention away from programs that might slash emissions further.

Cavanagh thinks California needs to change things if it wants to meet its climate goals. The state is unusual in that it holds utilities liable for fires regardless of whether they did a good job of maintaining lines and clearing nearby trees. The state should reform its liability rules, he said, while also doubling down on efforts to stem climate change.

“The clean energy transition well underway remains our best long-term defense,” Cavanagh told Grist. “But that transition is in danger of going up in smoke if the state persists in making electricity providers bear the costs of ever-more-destructive wildfires.”

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PG&E’s bankruptcy will slow California’s climate efforts

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California is shattering renewable records. So why are greenhouse emissions creeping up?

The green beacon that is the state of California is making clean-energy strides, according to new stats out this week. It’s harnessing a record amount of solar power, building more turbines to capture wind power records, and closing in on the moment when the grid goes 100 percent carbon free.

And yet it’s also starting to generate more greenhouse gases. WTF?

Every month California’s electricity managers put out a report showing what that climate-conscious state is up to. And this one brings sunny signs of progress, unheralded achievements, and fun factoids. Earlier this month, for instance, California set a new record for solar power generated.

And on April 28, at precisely 1:25 p.m., renewables provided 72.7 percent of California’s electricity needs. That’s also a record, but not an aberration. It’s consistent with a longstanding trend as California’s policies connect more solar panels and wind turbines to the grid. As you can see in the next graph, California keeps hitting new records — usually around noon — when renewables provide the majority of the electricity for a few hours.

California Independent System Operator

Since 2015, renewables have helped California decrease the amount of greenhouse gases its power plants released into the atmosphere. But this past February, the state’s electricity was more carbon intensive than it was in 2017, and in March it was even worse:

California Independent System Operator

What’s that all about? There’s a hint in the report. California had to dump about 95,000 megawatt hours of renewable power in April, because all that power would otherwise have flooded onto the grid when people didn’t need it — blowing fuses, igniting fires, and melting every computer without a surge protector. That’s a lot of energy, enough to provide all of Guatemala’s electricity for the month.

Transporting electricity and storing it is expensive, so the people managing the electrical system ask power companies to stop putting power on the grid, to curtail their production. It’s called “curtailment” in electric-system jargon. As the number of solar panels feeding the grid increases, so do curtailments.

The thing is, every new panel sending electricity to the grid is still displacing fossil fuel electricity. So that can’t explain why California is burning more fossil fuels than in the last couple of years.

What’s the real problem, then? It’s almost certainly the lack of water. When wind and sun stop generating electrons, we’d like to have other low-carbon source of electricity that we could turn to — what some energy wonks call a “flexible base” of power generation.

California’s big source of reliable low-carbon electricity has been hydropower. But the state is bracing for a drought after a warm, dry winter. So California is hoarding water behind dams, rather than letting the water run through turbines to generate electricity. As a result, hydropower generation is down. And the state’s nuclear, geothermal and biomass plants are already running at capacity. As a result California is replacing the missing waterpower with fossil-fuel generation, namely natural gas.

All this serves as a good reminder that renewables can’t provide us with all of our electricity needs alone. We’ve also got to create bigger and better batteries, string up international transmission lines and build more low-carbon power plants that we can ramp up and down to complement those renewables. If California gets that done, its power grid will be cleaner and more energizing than a $5 shot of wheatgrass juice sold from a food truck by a man with a well-conditioned beard.

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California is shattering renewable records. So why are greenhouse emissions creeping up?

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