Greening of IT
March 03, 2010 |
A High-Tech Entrepreneur On the Front Lines of Solar
by Todd Woody Bill Gross is not your typical solar energy entrepreneur. In a business dominated by Silicon Valley technologists and veterans of the fossil fuel industry, Gross is a Southern Californian who made his name in software. His Idealab startup incubator led to the creation of companies such as eToys, CitySearch, and GoTo.com. The latter pioneered search advertising — think Google — and was acquired by Yahoo for $1.6 billion in 2003.
That payday has allowed Gross to pursue his green dreams. (As a teenager, he started a company to sell plans for a parabolic solar dish he had designed.) Over the past decade, Gross has launched a slew of green tech startups, including solar power plant builder eSolar, electric car company Aptera, and Energy Innovations, which is developing advanced photovoltaic technology.
But it has been eSolar, backed by Google and other investors, that has been Idealab’s brightest light. In January, the company signed one of the world’s largest green-energy deals when it agreed to provide the technology to build solar farms in China that would generate 2,000 megawatts of electricity — at peak output the equivalent of two large nuclear power plants. And last week, eSolar licensed its technology to German industrial giant Ferrostaal to build solar power plants in Europe, the Middle East, and South Africa. Those deals followed eSolar partnerships in India and the U.S.
ESolar’s power plants deploy thousands of mirrors called heliostats to focus the sun’s rays on a water-filled boiler that sits atop a slender tower. The heat creates steam that drives an electricity-generating turbine. Last year, eSolar built its first project, a five-megawatt demonstration power plant, called Sierra, in the desert near Los Angeles.
This “power tower” technology is not new, but what sets the company apart is Gross’ use of sophisticated software and imaging technology to control the 176,000 mirrors that form a standard, 46-megawatt eSolar power plant. That computing firepower precisely positions the mirrors to create a virtual parabola that focuses the sun on the tower. That allows the company to place small, inexpensive mirrors close together, which dramatically reduces the land needed for the power plant and cuts manufacturing and installation costs.
“We use Moore’s law rather than more steel,” Gross likes to quip, referring to Intel co-founder Gordon Moore’s maxim that computing power doubles every two years.
Now 51, Gross retains his teenage enthusiasm for all things solar. In an interview with journalist Todd Woody, Gross talks about the future of solar energy, his relationship with Google, and how to avoid battles over building large solar farms in the deserts of the Southwest.
Yale Environment 360: You’ve spent much of your career in software and digital technology. What was the transition like going into power plant building?
Bill Gross: It was an amazing transition to go, first, from a company that deals mostly in bytes to one that deals with atoms.
You’ve been to the [Sierra] plant, but to get 24,000 mirrors covering 50 acres — that’s a whole new scale of operation because you’re not just shipping things out the door, you’re actually going on the ground in the desert, working in hot conditions and getting them installed.
e360: Were there any particular lessons you were able bring from the Internet industry to the solar industry?
Gross: The biggest lesson that we brought was — I don’t know if it was a lesson, but it was a philosophy — which is Internet-enable everything and put monitoring into everything.
So we have a microprocessor in every mirror and we have statistics second-by-second on the status, position, reliability, pointing accuracy — everything — of every single mirror. We structured ourselves almost like an Internet company from the beginning to have logs of everything — every revolution of the turbine, every control from the control room, every Web cam image captured — so we could do data mining and data analysis on everything.
We want the ability to make software upgrades and impact every power plant around the world. That’s probably one of the biggest differences between our technology and all other solar technology. If you [have] a big field of [photovoltaic] panels, those PV panels are there for 25 years. They’ll have that same performance, and there’s nothing you can do to change that.
We can make a software upgrade and every power plant in the world can suddenly put out 3 percent more power potentially. And we found already a number of software improvements that we can make even over the past six months, which significantly boosts performance of an already-constructed power plant. There’s new improvements we can make to the actual hardware, too, but even without changing the hardware there are software changes that can make more power, so we’re really excited about that.
e360: What have you found to be the most challenging aspect of the solar power business?
Gross: The most challenging aspect is the capital required. Here’s the unique thing about renewable energy, but it’s true of the power plant business in general: When you make a coal plant you still have to pay for the [capital expenditure] upfront, even though it’s going to make power for 20 years. But for a coal plant the [capital expenditure] is only about 20 percent of the lifetime cost of the plant because most of the cost of the plant — 80 percent — is the cost of coal over 20 years.
For renewable energy, about 80 percent, maybe 90 percent, of the cost is upfront and there’s no fuel costs and the only cost over the years is operation and maintenance, which is small. The biggest bottleneck is that these things cost big dollars, and you’re limited how fast you can grow by how much money you can raise to build plants.
Our particular strategy to deal with that is to not have us be the bottleneck for raising that money. Our customers raise that money. If we want to renewably power this planet, it’s going to take a lot of capital, and that capital has to be spent upfront.
e360: In fact, you just announced a deal with [German] power plant builder Ferrostaal to deploy eSolar’s technology around the world.
Gross: They have access to capital and they have enough of a balance sheet that they can put a guarantee on a plant that a bank will trust and come up with the money. We’re looking for partners all over that have that kind of strength to make these plants go forward. So [Ferrostaal] can take the experience they have being in the field, in the desert building these kind of plants, and apply it to our [technology].
e360: It was just two months ago that you signed a deal with China for 2,000 megawatts of solar power plants.
Gross: That deal is a big landmark for the company because of the magnitude of the deal, the speed at which they want to deploy, and the fact that they have the capital to do it. That they don’t need to beg, borrow and steal to get the money is what makes it exciting.
Our deal in China is not exclusive so there’s many, many other people who have come to us from China since then who would like to build similarly large plants in China. We think China is an enormous opportunity. China right now is sitting on top of the world. They have lots of money, lots of growth rate, lots of demand for power. They’re not doing this out of altruism, they’re doing this out of necessity. They realize their cities are going to be too polluted and their power is going to be too spotty if they keep going the way they’ve been going.
e360: Are you seeing the international market eclipse the U.S. at the present time given capital constraints?
Gross: We do. The international market is much stronger than the United States, and we hope the United States will catch up soon. But right now the international market is incredible. We are building in the United States also, just not anywhere near the pace we’re building internationally. I’m hoping that will change. The [U.S. Department of Energy] will start giving out loan guarantees for solar thermal plants later this year. We think there might even be announcements coming up soon. We’re applying for some of our plants, and we hope that we and other solar thermal players can be beneficiaries of that.
The other factor is the economy just has to get better and banks have to start lending again and they’re just not doing that here. They are doing that in some other places. And finally, if there is any carbon legislation of any kind — which is not looking great at this moment but might in the future — that will make the plants even more economical. So it actually makes this market — even though we have great sunshine — a little more challenging than other markets.
e360: At a time when some big solar power plant projects are bogged down in disputes over their environmental impact on desert ecosystems and their water consumption, eSolar so far has avoided such controversies.
Gross: We have a strategy at eSolar to never impact pristine land. And the way we address that is several-fold. First, we have a higher output per acre, so we take a smaller footprint. Second, we’re economical at a smaller size. We can be fully economical at our 46-megawatt size. Those two things combined let us use a small enough footprint that we can locate on private land closer to population centers.
So rather than needing 2,000 acres contiguous to make the economics work — which you almost only can find far away on pristine land or [federal] land — we can locate on only 200 acres very close to a city and we can buy previously disturbed farmland or other properties that’s already been developed so we’re not causing any disturbance to natural habitat. And that’s an important part of our philosophy. It gives us an economic advantage because we’re locating closer to transmission. That’s probably even a bigger factor.
It takes years and years to build the transmission out to the pristine lands. [But] the power plant, for example, in Lancaster [California], is across the street from a transmission line. We didn’t have to build miles and miles of transmission, which takes years and years to get people to approve.
e360: Some environmentalists argue that there’s no need to put big solar farms in the desert because there’s plenty of disturbed land available for such plants. What’s your view? Is there still a need for these plants in the desert?
Gross: I think you can build enough solar thermal without going into the pristine desert. There’s enough private land close to population centers, and it’s not that much a percentage of the cost of a project. That land is not the expensive thing. The solar field and the power plant dwarfs the cost of the land. There’s no reason why you can’t locate on disturbed land and not have to deal with affecting wildlife habitat.
e360: Where do you see the next big innovations in solar thermal technology coming from?
Gross: I feel we still need to get almost another factor of two in the reduction of energy costs to potentially compete with coal. We’re already close to competing with natural gas. It depends on the sunshine and the region. Another factor of two is going to require two things to make that happen: Approximately 25 percent of that can be gotten by adding [energy] storage, and 25 percent can be gotten by increasing efficiency and lowering costs by volume production.
We produced 500 mirrors two years ago, 24,000 last year, and this year we’ll produce a million. So we’re going to get a quantity break just by going to a million mirrors from 24,000.
And everything gets more efficient in the supply chains as you get up to those volumes. Anything that we buy in our lives that has dramatic cost reduction has seen a million — a million cars, or a million iPhones, or a million laptops. So far there’s only been thousands of heliostats. So finally this year we’ll cross the million number and that’s when we can get the price reduction to really be competitive with fossil fuels.
e360: Idealab has experimented with a number of solar technologies over the years. What non-solar thermal technologies do you think have the most potential?
Gross: I do feel that thin-film [which prints solar cells on flexible materials] is a great solar product and it won’t power the whole planet because it will never have storage. But for distributed power in under 10 megawatt installations, and even under one megawatt installations, it’s really hard to beat.
What I’m saying is that there are many solar markets — in different markets, different technologies will win. ESolar is going after the large, utility-scale market and I think we can be a big winner in that. But in other markets outside the large utility scale, I think there are going to be many other winners.
e360: Google is an investor in eSolar. How has that relationship gone?
Gross: Google has been a great investor. I think Google has been a big supporter for a few reasons. First, they have a renewable energy-less-than-coal-initiative [to develop technologies to make the cost of renewable energy cheaper than coal]. They’re a huge electricity user with their data centers, and they’d like to power that renewably some day. And some day maybe we can locate data centers in sunny locations and have solar power to provide for them. But most importantly, they really believe in software and algorithms, so when they saw our technique and technology, they specifically endorsed the idea of throwing more software and less steel at the problem. And if you can do that, that can be a great victorious solution.
After their investment in us, that changed our profile as a company and opened up some of these opportunities. I don’t think Acme in India would have heard about us or NRG would have heard of us had it not been for Google’s investment.
e360: I met with Dan Reicher, Google’s climate change and energy director, recently and he talked about Google’s work on building a better heliostat. Will that be something that will potentially benefit eSolar?
Gross: Oh, absolutely. Google is doing research and development and it’s amazing that a company like Google is doing this because you’d think that’s not their core mission, but they believe in this so strongly. Not only have they invested in us, because they want to see us do R&D to keep driving things, they’re doing their own R&D. Not only for heliostats, but they’re working on other technologies to improve receiver designs, and improve the steam turbine — all kinds of work to make the power plant more efficient.
They want to work on things that are even more far-fetched than we can work on. I don’t think Google is ever going to make power plants, but their intent is to help advance the state of the art.
e360: What other green technologies are you interested in beyond solar?
Gross: I’m really interested in [energy] storage, and both storage for solar and storage in general, because storage can be a big factor in making renewables have a bigger impact on the world. I’m really interested in more efficient transportation. We have a company called Aptera that is making a super-streamlined vehicle. One way to need less energy is not to burn it up in the first place with aerodynamic drag. With that car we can achieve the equivalent of well more than 200 miles a gallon.
I’m also excited about solar energy for the developing world and ways to make solar power and other energy just cheaper and more distributed even on a small scale. We have a small company working on that in India called Distributed World Power. They make a small village-sized unit, or a family-sized unit. I’d love to find a way to drive the price of that down to make it really, really affordable for people, because I think that could really impact the standard of living for a lot of people on the planet and drive the cost of solar down even on a small scale.
e360: What metric do you use that will indicate when eSolar has been a success?
Gross: Well, I want eSolar to be a dominant form of solar energy, and my feeling of more immediate success is we want to get this next group of plants built and have hundreds of megawatts in the ground in 2010 and 2011 to show the world that this technology can work really at scale. We’ve shown people that we can make our demonstration facility work and it produces commercial power for Southern California Edison. But to show that it really works at scale and people are continuing to deploy it, that would be one great measure of success.
The other one is we want to get the company profitable as soon as possible so it has a long-term sustainability that it will have the chance to continue to iterate the technology and drive the price down to someday compete with coal. I want to compete against fossil fuels with no subsidies, whether those fossil fuels have a carbon tax or not.
If we can do that in three to five years, then eSolar will be the company of my dreams, and the thing I sort of feel I worked my whole life to achieve.
Reprinted with permission from Yale Environment 360
The 16 People You Must Follow on Twitter for Green Business
by Timothy B. Hurst From sharing news or quality content, to communicating with friends and communities of interest, the micro-blogging platform Twitter has something for everybody. And there are few communities of interest that have swarmed around Twitter with more fury than the business community. Granted, maybe ‘business community’ is too large a group to even classify as a community, but ‘green business community’ isn’t. On that note, we bring you the Earth & Industry 16 must-follows on Twitter.
Now, this is not exactly scientific, but it’s not arbitrary either. It should also be noted that we left out companies and focused on individuals unless they are in the business of writing about green business. And, of course, this is by no means the definitive list, so please leave your suggestions in the comments below to help make it one. Without further ado and in alphabetical order:
@adamwerbach Named the youngest-ever national president of the Sierra Club in 1996, Adam Werbach is now a business strategist tweeting tips for running a sustainable business. Author of new Harvard Biz book, Strategy for Sustainability.
@AlexSteffen While not strictly a ‘green business’ guy Alex Steffen of World Changing delves deep into the underlying problems at the root of sustainability. This undoubtedly means he approaches the world of business at multiple levels, but from a different perspective than most ‘business people.’
@britesprite Chris Milton is a UK sustainability journalist and writer. Chris says he’s never met the opportunity to write a feature he didn’t like: “The thing is everyone, every business, is a feature waiting to happen. Because everyone, every business, is in some way unique and ground breaking.”
@DavidCoethica David Conor’s bio tells us that he knows a thing or two about CSR and ethical business. Conor is a sustainable business strategist, environment specialist, speaker and now blogger, using Coethica “to make the world a better place to live and work.”
@DCarli Don Carli’s Twitter bio says he’s into sustainability, CSR, green, advertising, media, design, marketing and tech. If that weren’t enough, Carli is Senior Research Fellow at the Institute for Sustainable Communication, a nonprofit working to develop “the next generation of communication and media leaders required to create green jobs, foster environmental restoration and improve quality of life in the communities they touch.”
@fabianpattberg Blogging at FabianPattberg.com, among other places, Fabian Pattberg writes prolifically on the topics of sustainability, corporate social Responsibility and the use of social networking for business and individuals.
@gfriend Gil Friend is an engaging speaker, strategic sustainability thought leader and consultant. Gil is the CEO of Natural Logic Inc. and author The Truth About Green Business.
@GreenBizTweets The man operating the switches of the the official and informal source of green business news and conversation from GreenBiz.com is Hugh Byrne. The GreenBiz social media machine is much more than a twitterfeed of the network’s wide-ranging content, Hugh has made curation and promotion of others’ good content just as important.
@greenskeptic Blogging the new green economy as The Green Skeptic since 2004, Scott Anderson lends his expertise on cleantech and social-entrepreneurial ventures. When he’s not busy trying to win converts on Fox Business News, Scott likes to spend some of his time shooting hoops and following the Boston Red Sox.
@GreenSmith Paul Smith describes himself as a “Sustainable/Green Biz Consultant. Digital PR. Blogger for Triple Pundit. Ghost Writer for ____. Social Media Demystifier. Brain for hire.” Check out some of Paul’s work at Greensmith Consulting.
@jetsongreen Preston Koerner at Jetson Green covers green building, sustainable architecture and small-scale renewable energy better than pretty much anyone in the space.
@Makower Joel Makower describes himself as “Founder of GreenBiz.com; bestselling author; speaker, adviser, entrepreneur in green business, green marketing, clean tech, blah blah blah.” We couldn’t have said it better, Joel.
@MarcGunther Writer, speaker and consultant on business and sustainability, Mark Gunther is a regular contributor at GreenBiz and a leading voice in the sustainable business. You can find some of Mark’s work at MarkGunther.com.
@sustainablog Jeff McIntire-Strasburg is no stranger to green social media. Writing about sustainability and green business at Sustainablog since 2004, Jeff still finds time to teach college students how to write in sentences longer than 140 characters.
@TriplePundit No, not a person, but I couldn’t omit TriplePundit from this list as it. Led by founder, Nick Aster, Triple Pundit has grown into one of the most insightful and reliable sources of green business news and featured content on the Web.
@WillSarni Will Sarni is Founder and CEO of DOMANI Sustainability Consulting and a regular contributor here at Earth & Industry. Will’s expertise on water issues, brownfields remediation and sustainability reporting strategy.
Of course, you can also follow @earthindustry on Twitter. Earth & Industry focuses on the intersection of people, planet and profit, leading the discussion on how companies can maximize profits while being responsible citizens of this earth. Tweets from the Earth & Industry writing team, anchored by editor Tim Hurst (@ecopolitologist)
Reprinted with permission from Earth & Industry
IBM Using World's Fastest Supercomputers to Develop Lithium Air Batteries

by Nick Chambers
With a theoretical storage capacity more than 10 times higher than today’s best lithium-ion batteries, it’s no wonder lithium-air batteries are being touted as one of the types of batteries that could make electric cars truly mainstream.
Now, as part of a US Department of Energy program to provide large amounts of supercomputer time to advance cutting edge, real world research, IBM scientists are partnering with government scientists from both Argonne and Oak Ridge National Laboratories to model and develop the materials needed to make lithium-air batteries a reality.
The award provides up to 24 million hours of computer time on two of the world’s fastest supercomputers–which, you guessed it, are housed at the two national labs. To give you some perspective, this only represents about 1.5% of the total time available on both computers, but considering how many other scientists use these computers, the fact that one project got 1.5% of the total time is pretty amazing.
IBM has been researching lithium-air batteries for some time. In the past they’ve indicated they’re not interested in building their own batteries, but want to partner with other players. The major stumbling blocks to building a consumer grade lithium-air battery have thus far been related to safety and recharging. Lithium can be extremely flammable and using air as a reactant instead of forms of cobalt or iron greatly increases the danger for the battery to catch fire.
The researchers hope that with the huge amount of computing time made available to them, they’ll be able to develop materials and methods to deal with some of these issues.
Given that recent reports clearly show lithium-ion batteries are coming up far too short in certain areas, the world can’t get next generation batteries soon enough.
Reprinted with permission from Gas 2.0
Are We On the Cusp of Dramatically More Efficient Computing?

By Timothy B. Hurst of EarthandIndustry.com
There have been several quiet revolutions in the history of the computer chip industry, but as news filtered out of the scientific world of materials science this summer, we learned that we may just be on the cusp of a revolution that could not only have a dramatic effect on superconducter speed, it could make silicon wafers a thing of the past.
Physicists at DOE’s SLAC National Accelerator Laboratory and Stanford University have confirmed the existence of a type of material that could one day provide dramatically faster, more efficient computer chips. And some companies are betting that bismuth telluride (Bi2Te3) could even become the bedrock of an entirely new kind of computing industry — one based on “spintronics“. Spintronic devices use the spin, rather than the charge, of materials to store information.
Theoretical and experimental physicists led by Yulin Chen and Zhi-Xun Shen at the Stanford Institute for Materials & Energy Science tested the behavior of electrons in the compound bismuth telluride. The results, published in June at Science Express, show a clear signature of a material that enables the free flow of electrons across its surface with no loss of energy.
One of the most important facets of the bismuth telluride discovery is that the material is fairly simple to grow and develop with the current mature semiconductor technology. “It’s a three-dimensional material, so it’s easy to fabricate with the current mature semiconductor technology,” said Stanford physicist Chen. “This is already a very exciting thing,” he said, adding that the material “could let us make a device with new operating principles.”
Long hypothesized, but now confirmed as a viable material for the much faster spintronic computing, computer chips made with Bi2Te3 may be on the scene faster than one might expect. Stuart Fox writes at Popular Science: “So far, monetary and energy costs have significantly complicated the process of developing quantum computers, two hurdles this new discovery may help clear.”
Companies making significant investments or otherwise well positioned for growth in the bismuth telluride market include American Elements, Noah Technologies, Cerac and Alfa Chem.
Photo: barnoid via flickr/Creative Commons
Originally published at EarthandIndustry.com
300 Million-Year-Old Limestone Cave to Cool Data

By Susan Kraemer
After a good 20,000 years out of caves, we are heading back to them - and just like your worst fears, it’s the damn global warmers and Al Gore-ists leading the way, because it saves so much energy.
It turns out that limestone caverns might be the cheapest and best option for carbon neutral data-center cooling, because by nature limestone can absorb 1.5 BTUs per square foot for free. And data centers need lots of energy for cooling.
So this time we’re taking computers back in there with us. Or rather we’re leaving them down there. At least the data centers, that is.
An experiment in data center energy efficiency has been going on for six months to find the best way to use the natural conditions and engineering designs to make the perfect environment for electronic documents at Iron Mountain.
The goal of Iron Mountain CEO Charles Doughty is to create low cost and energy-efficient data centers in Room 48, 22 stories down inside Iron Mountain, in a 145 acre space in a 1,000-acre abandoned limestone mine.
Rectangular metal containers covering the rows of server racks trap electrical heat and force it up through perforated ceiling tiles, where the limestone roof absorbs the heat buildup. Simple tech. Energy use is 15% lower than traditional data centers. The hope is to get to the point where no energy is used for cooling.
Four hundred million years ago, a teeming ocean covered this area. And over a hundred million years, as billions of tiny crustaceans died, their skeletons settled to the ocean floor, fossilizing and creating layer upon layer of limestone.
This data center would be the oldest building that could qualify for an energy efficiency LEED certification!
Image and Source: Computerworld
Reprinted with permission from November 20, 2009 |
If Internet companies and some utilities have their way, the smart grid will rely on the existing infrastructure of the information superhighway in order to function. They argue that by relying on existing standards like Internet Protocol (IP), the smart grid will grow faster and more organically than if utilities adopt an assortment of proprietary methods. Issues like security become easier to address too because the Internet manages exceptionally sensitive data quite well with existing technologies. To that end, the players dominating in the Internet arena including Google, Microsoft, and Cisco are all banking on the Internet’s role in the future of electricity management. Connecting the smart grid and the Internet is a thoughtful union of two sophisticated systems. As a result, issues like net neutrality that were previously limited to high-tech circles are now relevant in the energy arena. While these new issues add complexity to the creation of the smart grid, the benefits of this union far outweigh the costs. The integration of the Internet and electricity management will help progress the development of renewable energy immensely. Software products that rely on the Internet can play a significant role in managing the problems associated with renewable energy on the grid including intermittency, distributed generation, and demand-response. In order to roll out these major software advances, it is important to consider what already exists. The Internet provides a stable, fast, and secure medium to transport vital energy data. One might think a major source of opposition is from those operating the existing electricity grid. On the contrary, utilities like PG&E have pushed for existing standards to drive the development of the smart grid because they need help to reach the ambitious goals for renewable energy in California. At the Berkeley-Standford CleanTech Conference Series last week, PG&E’s Andrew Tang opined the backbone of the smart grid would operate in a similar way to the Internet. This idea is not without its problems, however. Electricity management is outside the comfort zone of Internet companies. From 120-degree heat in Arizona to below freezing temperatures in Ohio, Cisco will need to design hardware that operates in uncontrolled weather conditions. The outrage due to outages with Gmail will be nothing compared to the response due to blackouts caused by the company’s software. The Internet culture in Silicon Valley does not lend itself well to the boring (and reliable) products required by the utilities, but cultural shifts are not unheard of in Silicon Valley. Google has more than 10,000 employees and there can be little doubt that the company undertook changes in operations and even culture during their massive growth period. Internet companies are poised to tackle this problem. Google aims to organize the world’s information; it is clear that organizing principles will be necessary for the smart grid. The transition of electricity from traditional to renewable sources is a transition that lines up well with Cisco’s strategy. What the Internet does above all is allow small players to shake up the market. Companies like OPOWER [view some of their current clean tech job openings on the CleanTechies Job Board] are looking to become a big player on the smart grid by using software that incorporates behavioral science. Ultimately, software that relies on the Internet is the critical component required to add renewable energy to the grid. Reprinted with permission from Cleantechies
The IT leaders have re-entered your home and business in a whole new way. Companies like Google and Cisco are providing the tools to help consumers and businesses monitor and manage their energy use to reduce carbon emissions. So, how did this trend come about? And what does it mean for energy consumption in the U.S. and throughout the world? The IT sector and energy management Let’s start at the beginning. A report published in 2008 by The Global e-Sustainability Initiative (GeSI) called SMART 2020 (pdf) provided a clear picture as to how the IT sector has a major role to play in reducing energy use, and as a result, reducing carbon emissions. This report is key in understanding the global business opportunity of the IT sector in transforming energy use and carbon mitigation. The report had two major components; it quantified the direct emissions from IT products and services based on expected growth in the sector and it quantified where IT could “enable significant reductions of emissions” in terms of carbon emissions and cost savings. One of the conclusions of the report was to identify (no real surprise) that the IT sector had a major role to play in improving energy efficiency in power transmission and distribution (T&D) in buildings and factories that demand power and in the use of transportation to deliver goods. The GeSI report estimates that the entire IT sector could reduce approximately 7.8 gigatons of CO2 of emissions savings by 2020 or about 15 percent of emissions project by 2020. So, the IT sector has a significant role to play in reducing energy use and carbon emissions, presenting an enormous business opportunity. Companies such as Google, Cisco and others are now focused on smart grid and smart buildings; your home and your office. Smart grid and smart buildings refer to the ability to monitor energy use and adjust based upon real time data, a two way exchange of energy information. For now, Google is focused on home energy management and Cisco on commercial energy management. However, considering the blurring of market boundaries, this may separation may change over time. The new energy management products The two most interesting developments currently are from Google and Cisco (full disclosure, Cisco is a client of DOMANI). Google has essentially bypassed the need for a smart meter by partnering with Energy Inc. to provide a home energy meter, which works with Google’s energy management software. The Google PowerMeter and Energy Inc.’s TED 5000 (The Energy Detective) monitor energy use from a web browser or smart phone. The information from the system includes real time energy use and approximate cost, trends and comparisons to previous use. Google is “everywhere” and now may become your trusted source for home energy management, in particular with Android entering the Smartphone market. Now let’s take a look at Cisco and their EnergyWise product (Cisco also has an Energywise calculator to quantify projected performance). According to Cisco, EnergyWise can: --Monitor the power of all Cisco network-connected devices, from Power over Ethernet (PoE) devices to IP-enabled building controllers; Just like Google, Cisco is using the Internet to monitor and manage energy use. We are quickly moving towards the ability to effectively manage energy use (and reduce carbon emissions) through the web or your smart phone (we still have a way to go before it is mainstream). What will be next? Managing water resources (which we are also notoriously good at wasting)? Perhaps this is not very far off in the future. Will Sarni is CEO of Domani Photo: Eimantas Buzas/Dreamstime Reprinted with permission from EarthandIndustry
The importance of doing nothing well will play a big role in the conservation of energy and the fight against climate change. According to a 2007 study by the Institute of Electrical & Electronics Engineers, an energy-efficient computer server consumes 50 percent of its peak power when idle. The article pushed for energy-proportional computing, in other words, to consume more power as you compute more. This may sound intuitive, but it is not how designers of many computers and more importantly, computer networks implement their systems today. The relevance to climate change becomes apparent when one considers that computers contribute the same amount of greenhouse gas emissions as aviation according to a report published by the Climate Group, and overall percentage from computers will grow by 2020 if business as usual continues.Engineers will have to undertake both monotonous and revolutionary projects to arrive at energy-proportional computing. The largest consumers of energy in the IT space (e.g., Google and Microsoft) are working to solve this problem at brisk pace, but even Google’s servers sit idly 30 to 40 percent of the time, according to Professor Randy Katz of the University California at Berkeley. A group he is spearheading at Berkeley called LoCal is attempting to define and implement the steps to progress this herculean effort. To “do nothing well,” LoCal says the following must happen: Engineers must architect networks that wake up and go to sleep faster. Network designers must challenge the “always on” assumption for desktops and appliances. Engineers must look beyond the computer network and consider the operation of the building housing the system and the electricity grid itself. The first goal is a typical design problem for engineers: make the system faster and more efficient. However, accomplishing this goal will require designers to go beyond the typical constraints under which they operate. Networks will require significant improvements in scheduling and forecasting of work to allow more machines to go to sleep at any given moment. The second goal builds off the first and is a challenge to a fundamental principle that exists in many networks today. A dynamic network capable of adapting to a changing topology and one that consumes energy proportional to the current demand is necessary. The last goal highlights an opportunity rather than a problem for computer networks. LoCal is looking at the Internet as a model for the U.S. energy infrastructure. They incorporate many new energy concepts in their work including distributed generation, the smart grid, and demand response. Unleashing computer scientists on the energy infrastructure in the United States could yield swift changes in how energy is distributed and consumed. Developments in this field could induce the changes in personal habits related to energy consumption that policymakers have struggled with for decades. Reprinted with permission from Cleantechies
Produced by the Commerce Department’s National Institute of Standards and Technology (NIST), the 90-page document identifies about 80 initial standards that will enable the vast number of interconnected devices and systems that will make up the nationwide Smart Grid to communicate and work with each other. These standards will support interoperability of all the various pieces of the system--ranging from large utility companies down to individual homes and electronic devices. The report also lists a set of 14 “priority action plans” that address the most important gaps in the initial standard set. “To use an analogy from the construction world, this report is like a designer’s first detailed drawing of a complex structure,” Commerce Secretary Gary Locke said. “It presents a high-level conceptual model to ensure that everyone is on the same page before moving forward to develop more detailed, formal Smart Grid architectures. This high-level model is critical to help plan where to go next.” The draft will be posted for a 30-day period of public comment and review. According to George Arnold, NIST’s National Coordinator for Smart Grid Interoperability, finalizing the standards will ensure that the grid transformation goes both smoothly and rapidly--a priority of the Obama Administration. About $4.5 billion of American Recovery and Reinvestment Act of 2009 (ARRA) funds to the Department of Energy also are slated for Smart Grid demonstration projects. “Because of the urgent need to remake the grid into a modern power distribution system, we have set a timetable that is much swifter than usual for establishing these standards,” said Arnold. “But at the same time, we also want to be certain that the initial standards we establish will hold up in the future so that investments in the Smart Grid will not become prematurely obsolete.” When completed, the Smart Grid will employ real-time, two-way digital information and communication technologies in the operation of the nation’s electricity grid. The system would allow consumers to better manage and control their energy use and costs, reduce America’s dependence on foreign oil and create clean-energy jobs. The draft report, entitled NIST Framework and Roadmap for Smart Grid Interoperability Standards, Release 1.0, incorporates input from more than 1,500 industry, government and other stakeholders who have participated in the NIST framework development process. Following the 30-day public review and comment on the draft, NIST will finalize the Framework document, which is the culmination of the first phase of NIST’s three-phase approach to develop Smart Grid standards. Phase 1, the engagement of stakeholders in a participatory public process to identify applicable standards and gaps in currently available standards and priorities for new standardization activities, ends with the final publication of the Framework report after public comments have been incorporated. Phase 2 will establish a private-public partnership and forum--a Smart Grid Interoperability Panel--to drive longer-term progress. NIST is using ARRA funds to establish the panel by the end of 2009. Phase 3 will develop and implement a framework for testing and certification of how standards are implemented in Smart Grid devices, systems and processes. NIST is consulting with industry, government and other stakeholders to develop a plan for a testing and certification framework by the end of 2009 and take steps toward implementation in 2010. The results of NIST’s ongoing work on standards for the Smart Grid also provides input to the Federal Energy Regulatory Commission, which under the 2007 Energy Independence and Security Act is charged with instituting, once sufficient consensus is achieved, rulemaking proceedings to adopt the standards and protocols necessary to ensure Smart Grid functionality and interoperability in interstate transmission of electric power, and in regional and wholesale electricity markets. The NIST report is available at the link below. Website: http://www.nist.gov/public_affairs/releases/smartgrid_interoperability.pdf Reprinted with permission from SustainableBusiness.com
The smart grid attempts to bring order and compatibility to the billions of proprietary devices enabling power to flow from utilities to commercial and consumer customers. Progress towards standardization is slowly being made, as 16 of potentially hundreds of standards to get equipment to talk a common language have been published. The Association of Home Appliance Manufacturers released a list of recommended guidelines for smart grid standards this week, emphasizing a need for change in rate structures. The Smart Grid Task Force's recommendations had already been supplied to the National Institute of Standards and Technology, who recently released 16 standards, at the beginning of June. Working under provisions established by the 2007 Energy Independence and Security Act, NIST is coordinating the development of smart grid interoperability standards that will work to integrate home networks to the electrical grid. In a statement, AHAM expressed concern over a perceived lack of incentives and consumer education in understanding the impact of changes in utility rate structures. Without incentives or support, "consumers may not be inclined to utilize smart products" and without that, smart grid success could be slowed. As the smart grid is implemented, the rates that customers pay for peak power may increase, while off-peak rates would be heavily discounted to encourage changes in energy use behavior. Without understanding how these rates can save customers money by allowing smart grid equipment to automate power consumption, equipment may linger on store shelves. While open smart grid standards are the most efficient path to implementation, industry interests still lie in defining how and where proprietary technologies can intersect with the open source smart grid. AHAM concerns reflected this, looking for breathing room for smart appliances to work as two-way communicators that function within in-home networks. These in-home networks would then communicate with the grid's demand response equipment, allowing proprietary systems to work independently alongside, the smart grid. Smart appliances would also have control over responses to grid messages, such as signals to lower consumption. Smart appliances should be able to respond not only through consumer control, but also through in-home systems, according to AHAM. A call for open standards has been echoed in many sectors, suggesting options such as ZigBee or Trilliant -- Cisco (and others members of the GridWise Alliance) recently contacted NIST looking to raise support for IP use in smart grid standards. This effort by AHAM is well timed --just after the Smart Grid Public Workshop ended. The recent Smart Grid Public Workshop focused on engaging standards development organizations to address priorities for future standards and developing timelines. Though the Obama administration has placed a priority on the nationwide smart grid, there are many technical hurdles yet to be addressed.
Smart Grid Riding On The Information Superhighway
By Nick Nigro Why Google and Cisco Will Soon Manage All Your Energy Use
By Will Sarni
--Report aggregated power consumption to provide a clearer understanding of an organization’s power-consumption habits;
--Optimize overall power usage based on user-created policies across the entire corporate infrastructure;
--Provide reports of current power conditions and suggest potential changes and;
--Regulate companywide energy consumption using scalable domain approach which brings IT and facility networks together Energy-Proportional Computing and Climate Change
By Nick Nigro Commerce Dept. Unveils Plan for Smart Grid Interoperability
The U.S. Commerce Department last week unveiled a plan for developing standards for the creation of smart grids. Standards Put the Smart Grid in Motion

