Energy sector under scrutiny

2012-03-28 22:46:19
  • These CNX Gas water tanks hold up to 250 barels of water each after it has been separated from natural methane gas at this Marcellus Shale well in Rogersville, which taps roughly 8,000 feet down into the ground and 2,700 feet laterally to draw from a shale of natural gas. This well recovers roughly 1.4 million cubic feet of natural gas per day.
    These CNX Gas water tanks hold up to 250 barels of water each after it has been separated from natural methane gas at this Marcellus Shale well in Rogersville, which taps roughly 8,000 feet down into the ground and 2,700 feet laterally to draw from a shale of natural gas. This well recovers roughly 1.4 million cubic feet of natural gas per day.

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Perhaps no business sector is such an obvious candidate for going green as energy. After all, fossil fuels often are villainized as public enemy number one.

In response, the multinational conglomerates that dominate the sector are not simply walking away from their GDP-sized investments in fossil fuels. But they are responding to the growing concern.

Petroleum giant BP, for instance, launched its Alternative Energy division in 2005, with a commitment to invest $8 billion in "low-carbon energy" by 2015, including wind power, solar power and biofuels, as well as research in carbon capture and storage. Tellingly, it also has launched a rebranding campaign that ties its name to the slogan, "Beyond Petroleum."

Closer to home, every watt of electricity, every cubic foot of natural gas, every gallon of gasoline comes from companies that themselves are major users of energy.

Most Pittsburghers receive their electricity from Duquesne Light. Like other electric utilities, the company has a mandate from the state Public Utility Commission to develop programs to help their customers use less electricity. Duquesne Light's customer program, called Watt Choices, offers incentives for actions ranging from replacing light bulbs to recycling refrigerators.

But what about its own energy use? Spokesman Joseph H. Vallarian said the company is taking measures similar to those that it encourages customers to take. In its Downtown offices, Duquesne Light has replaced incandescent bulbs with compact fluorescent bulbs. At its scattered facilities, "we use energy-efficient lighting outdoors where possible." The company also has recycling policies in place for employees.

Mr. Vallarian said the company also has purchased "a couple of hybrid bucket trucks" for field work. "We're trying those out on an interim basis to see how they do."

Still, the key question for an electric utility may be, how much, if any, of the company's electricity comes from renewable sources?

In Pennsylvania, the answer has been mandated by the PUC. In 2004, lawmakers passed Act 213, requiring that an increasing percentage of electricity sold to retail customers be derived from alternative energy resources, such as wind or solar. The commission then fleshed out that requirement with yearly benchmarks, beginning with a target of 5.6 percent renewables in 2006-07, and concluding with 18 percent in 2020-21. The current requirement is 6.7 percent.

Elwin Green: egreen@post-gazette.com or 412-263-1969.
First Published March 16, 2010 12:00 am
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