This document summarizes the existing energy conditions in the GroWNC region. It outlines that most energy is generated from coal, hydroelectric, and natural gas power plants owned by Duke Energy and Progress Energy. Residential and commercial sectors consume the most energy. The costs of energy, especially electricity, have been rising. The document also identifies opportunities to develop renewable energy and energy efficiency to reduce costs and dependence on imported fuels while growing clean energy jobs. The workgroup will evaluate goals and objectives around increasing renewable energy usage, improving building and transportation efficiency, and expanding the clean energy industry in the region.

1. GroWNC Energy WG‐1
www.gro‐wnc.org

2. Existing Conditions

3. Outline
• Energy Plan and Report Evaluation
– Local (GroWNC): County Plans, Comprehensive Economic
Development Strategy (CEDS)
– Regional: Western North Carolina (AdvantageWest,
EvolveEnergy Partnership, MRC)
– State
• Current Energy Conditions/Trends
• Issues
• Opportunities
• Goals

4. Energy Baseline
• How and where is energy consumed in the GroWNC
region produced (fuel type, location)?
• How much energy is consumed by sector (residential,
commercial, industrial, government, transportation)?
• How much does energy cost the consumer?
• What are the trends?

5. Energy Generation
• Duke Energy and Progress Energy generate 96% of state's electricity
– Considerable amount sold to munis and EMCs via wholesale electricity markets
• Western NC (MRC 27‐county region) in 2008:
– 2,435 megawatts of electricity generation capacity (8.3% of state’s total)
– 50% powered by coal, about 31% by hydroelectric, and 17.4% natural gas
Sources: 2011 North Carolina Clean Energy Data Book, NC Sustainable Energy Association, June 2011; Understanding the Impact of Electric Generation
Choices on North Carolina Residential Electricity Rates, NC Sustainable Energy Association, November 2011; Western North Carolina Vitality Index, 2012

6. Energy Consumption
• NC has over 9.5 million residents
• NC has no local deposits of coal, petroleum, or natural gas – vast
majority of energy resources for the state must be imported
Source: Western North Carolina Vitality Index, 2012

7. Energy Consumption in NC
Sources: North Carolina State Energy Report, March 2010; Western North Carolina Vitality Index, 2012

8. Energy Costs
• Residential electric bill increases mainly attributable to cost recovery for
new conventional power plants, air pollution control retrofits, and for
increasingly expensive fuels
7% rate increase for
Duke Energy approved
by NC Utilities
Commission in
January 2012 (15%
requested initially)
Source: Understanding the Impact of Electric Generation Choices on North Carolina Residential Electricity Rates, NC
Sustainable Energy Association, November 2011

9. Installed Green Power Systems
Source: NC GreenPower, http://www.ncgreenpower.org, last updated March 9, 2012

10. Current Energy Trends
• Clear shift in focus to clean and efficient energy and energy
conservation nationally as well as locally
• Number of firms in North Carolina’s clean energy sector by
reported year entering the sector, 2011:
Source: North Carolina Renewable Energy & Energy Efficiency Industries Census, NC Sustainable Energy Association, November 2011

11. Clean Energy Cluster & Growth
• A cluster of renewable energy and energy efficiency‐focused businesses
has formed in Henderson & Buncombe counties – 3rd largest in the state
• Renewable energy industry employment is growing
Source: 2011 North Carolina Clean Energy Data Book, NC Sustainable Energy Source: Western North Carolina Clean Energy Cluster Analysis,
Association, June 2011 September 2011

12. Codes & Ordinance Review
• Remove Barriers
Geothermal
Definitions
Create Incentives
Biomass
•
Building
Lighting
Hydro
Other
Wind
Solar
• Enact Standards
Locality
Asheville     
• Range of use
Brevard 
classifications and
Buncombe Co.    definitions
Haywood Co.  
Hendersonville
Madison Co.  •  = direct
Marshall  •  = indirect
Transylvania Co. 
Waynesville 

13. Plan Evaluation Issues
Issue Region
Increasing energy prices (electricity, gasoline, natural gas) All
Air quality impacts due to conventional electricity production, GroWNC,
transportation – effects on resident health, appeal to visitors Western NC
Energy security & reliability Western NC,
– WNC fuel shortages following Hurricanes Katrina & Rita in 2005 State‐wide
– NC imports all of its energy supply, except for a small amount of
wood, hydro and solar energy
National recession affecting markets for clean energy sector GroWNC,
products, most exported to other states or countries Western NC
Shortage of engineers, lack of opportunities to retain young Western NC
professionals
Energy baseline for GroWNC counties/municipalities?
Local Codes/Ordinances?

14. Identified Opportunities
Opportunity Region
Cost avoidance/limiting costs by changing energy demand GroWNC
Alternative/clean energy industry growth = jobs GroWNC
Large biomass resource, strong wind resources, solar and GroWNC,
geothermal firm expansions, expansion of electricity production Western NC
from landfill gases
Residential energy efficiency – 35% of homes in region built prior Western NC
to 1970

15. Workgroup Identified
Issues & Opportunities

16. Energy Workgroup Issues
Issues
Access to Financing
• Key obstacle to continued development of multiple clean energy sectors; interrelated to
other key issues (finance stakeholders, data); educating finance professionals
Documented Data on Energy Savings
• Lack of data on documented energy savings; information gap with regard to direct financial
savings from investments; communication is key to reaching wider audience
Uncertain Regulatory Environment
• Ensure local decision makers aware of relevant state & federal regulatory issues (market
barriers); concerns regarding weakened state and federal support; opportunities to
streamline public performance contracting should be identified and explored
Limited Resources and Capacity
• Issue common to many smaller localities and organizations; need to clearly communicate
local government’s need for policy & supporting resources & the benefits of investments
Aging (residential) Infrastructure
• Older and low‐income residential structures present energy challenges, direct and
immediate need for energy upfits
Others?

17. Energy Workgroup Opportunities
Opportunities
Cross‐sector collaborations & leading‐by example
• Educational Institutions – Unique opportunity to implement projects and lead‐by‐
example; resources for partnerships
• Local Government – Lead‐by‐example through demonstration projects, innovative
deployments, and public‐private partnerships
• Agriculture – Decline of farming presents opportunities (biomass, biofuels)
• Finance – Continue to push financial sector
Public outreach and awareness campaign
• Outreach should start at educational level and emphasize local community; key to
catalyzing regional shift
More effectively addressing rural‐urban gap
• Opportunity to more effective address rural‐urban gap
• Recognizing differences and developing programs that leverage unique resources of both
Others?

18. Goals and Objectives

19. Plan Evaluation Goals & Objectives
• Implement greater % of renewable energy sources (utility‐scale and
distributed generation) to improve environmental performance and reduce
dependence on outside sources of energy and fuels
• Continue to attract clean energy sector businesses and retain existing jobs
• Improve the energy efficiency of existing buildings (all sectors) and construct
new buildings using sustainable design, e.g. LEED standards
• Improve energy conservation and energy efficiency measures outreach to
residents and businesses
• Implement energy conservation plans and policies for local governments
• Reduce vehicle miles traveled and promote alternative transportation fuels to
improve environmental performance of energy use in the transportation
sector and reduce costs
• Double avg. fuel efficiency of the region’s transportation fleet by 2025
Adopt, modify, remove, add, set specific targets?

20. Wrap‐up/Next Steps
• Nominate Steering Committee representative
• Next Steps
– Explanation of Reality Check #1
– Preview of WG‐2 meeting
• Keypad polling to assess Energy Workgroup
composition

21. QUESTIONS?