The majority of the new renewable energy projects take the form of massive or massive solar farms. Ann Arbor, Michigan, is trying something different: a new utility owned by the city is building a local energy network within the boundaries of the city, composed of solar microredes and geothermal energy installed in homes and businesses.
“They are creating a completely new energy delivery model for a city,” says Mike Shibeldes, professor at the School of Environment and Sustainability at the University of Michigan who lives in Ann Arbor.
The new utility won to replace the existing electricity company, DTE Energy. But it will help the city to move much faster towards the zero carbon power.
When Ann Arbor, a 122,000 city, with an annual budget of $ 550 million, established the objective of becoming a neutral carbon by 2030, knew that the electricity grid would be a challenge. Dte Energy does not plan to reach 100% clean power until 2050, and the “clean” definition of the company still includes some fossil gas.
As the city investigated options to accelerate the transition from the network to renewable energy, it recognized the value of a distributed network with more solar ramp. But the existing electricity company was not interested in moving in that direction.
“When we came up with a concept, we communicated with the utility and said:” Would you be interested in doing so? “, Says Missy Stults, director of sustainability and innovations for the city.” And the answer was no. And our response was okay, well, then we will. “
The advantage of a distributed local system
The first advantage of the construction locally: if the energy comes from its own roof or the roof of its neighbor instead of traveling long distances, the system is more resistant.
“The most vulnerable part of our energy system is the distribution network: poles and cables,” says Stults. “That is what a stick and takes a generation is not a generation. So, in which it trusts in generating our energy in a racing place that has to move through vulnerable distribution networks, why not concentrate on generating it in its own release? This is more?” “
The construction of large -scale solar and wind farms is also a long process. Obtaining permits can take years. The wait to connect to the grid, called interconnection tail, can also take five years or more. The Trump administration is also trying to slow down clean energy. And just finding the earth can also be difficult.
“We have more and more challenges to find places to make on a large scale,” says Stults. “We need to start thinking about all the assets we already have.”
Traditional public service companies owned by investors do not have many incentives to build distributed renewable energy. “They earn more money when they build a larger centralized energy plant,” says Shiberg. Regulated public services obtain profits based on a rate of performance of their capital investments. “The incentive structure for a city is completely different because you are looking for sustainability and [consumer] Costs and reliability as a driver, “he says.
Whether for the course, trying to expand solar energy in tens or thousands or tissues is also a challenge. But because there is no cost to the owners, the city will own the solar panels and other teams, the city already has a long list of residents who want to participate.
A new type of utility
Ann Arbor calls the new system a “sustainable energy utility” or seu. Some other cities use the same name in different ways: DC, for example, it has a sustainable energy utility that focuses on helping to improve efficiency. Ann Arbor will also help residents and companies to be more efficient. But your approach to add a new generation of energy is new.
The city also considered the idea of a public utility that could replace the existing electricity company. But that approach would have a slower and more expensive bone. The city would have to invest in the aging and unreliable distribution system of the public services company.
With the old system, “we have frequent blackouts,” says Shibelt. “It is a distribution system that does not work very well. And Ann Arboreterminó that they want to build the energy grid of the future. They do not want to acquire the energy grid of the past and that there are responsibilities to maintain it. The responsibilities of caressing the outddde one.”
Residents will still have access to the old utility, but they can register to be part of the sustainable energy utility. The city has calculated that the switch will save money from the invoices.
If some already have solar panels, they can start selling energy to the new utility and will have the option to allow the city to add a new equipment, such as a battery or more panels. (The monthly electrical bill for people with battery storage will be greater, but even less than invest in a generator).
Others can register to obtain solar energy for the first time. The city will build micro -redes in the neighborhoods. As more local energy is added, shorter distances will travel: a cable could go from a house to the next. “You could sell to the SEU and literally go to your neighbor,” says Stults.
The race until 2030
In November 2024, citizens voted to create the new sustainable energy utility, approving the measure with almost 80% support. (Michigan’s law helped to facilitate change: the constitution of the State allows cities to create their own profits). In April, the organization was formally established, and last week the city welcomed its first executive director to lead it.
Now, the new utility is increasing fines to start building its infrastructure. At this time, residents who want to participate can register in a waiting list. The city expects to start installing new solar energy next year. A geothermal network is also planning.
For those who do not want to wait for solar energy, the city is exploring the idea of editing specific equipment that the owners could now buy, with the expectation that they could sell it to the city next year that the complete system unfolds.
The municipal buildings of Ann Arbor currently operate with around 70% renewable electricity; The city as a whole has about 30% of renewable energies. As the new utility is compared to add a new renewable energy, it is unlikely to reach 100% renewable electricity at the end of the decade. (The gap will be filled by buying compensations that are carefully selected to add new renewable energies in other barley that particularly need it). But it is a way of drastically accelerating the transition.
The current anti-corpus federal policy is not helping. But renewable energy remains the cheapest option for new energy. And Stults says that the city has no choice but to move as quickly as possible.
“Humans are doing the biggest experiment we have done, in terms of what we do with our climate,” she says. “There is simply no other alternative than moving towards the future of clean energy. We will have to solve this. It is an annoyance that we have another obstacle on our way, but it is never easy.