In 2008, Solar Austin partnered with Austin Energy and the Lyndon B. Johnson (LBJ) School of Public Affairs at the University of Texas (UT) at Austin to determine the steps needed for Austin Energy to become a sustainable and carbon neutral utility by 2020. The research project, which spanned an entire academic year, began in August 2008 with a team of 22 UT graduate and undergraduate students, LBJ School Professor David Eaton, Solar Austin’s Cary Ferchill and Chip Wolfe, and Austin Energy’s Roger Duncan and Jeff Vice.

The purpose of the project was to evaluate energy generation technologies, as well as demand-side management investment options, and provide recommendations to Austin Energy on how to achieve sustainable energy generation and carbon neutrality by 2020. Through research, weekly class meetings and an Excel-based modeling tool, the research team began to determine the possible investment options for Austin Energy. The simulation tool created by members of the class allows users to select an energy generation mix by adding or subtracting potential power generation and energy storage technology from Austin Energy’s proposed resource plan. Once the new resource mix is entered, the simulator quickly produces a series of graphs and charts that allows users to compare different generation mixes based on the following criteria: system reliability; costs and economic impacts; carbon reductions; and risks and uncertainties.

With the help of the simulation tool, the research team identified eight different investment scenarios: (1) expansion of Austin’s participation in the South Texas Nuclear Project; (2) significant investment in various new renewable energy resources to meet all increased future needs; (3) moderate investment in new renewable energy resources to meet some of the future needs along with continued growth of traditional generation resources; (4) significant investment in renewable energy resources, combined with investment in developing energy storage technologies to enhance the availability of renewable resources; (5) expansion of Austin’s natural gas generating facilities; (6) addition of an integrated gasification/combined cycle coal-fired facility enabled with carbon capture and sequestration technology to replace existing coal-fired facilities at Fayette Power Plant (FPP); (7) significant investment in new renewable energy resources to replace existing coal and nuclear generation facilities; and (8) Austin Energy’s currently proposed energy resource plan.

In order to compare the eight scenarios, the research team created a ranking system based on system reliability, costs and economic impacts, carbon reductions and risks and uncertainties. Although Austin Energy’s proposed energy resource plan ranked highest overall, it also achieved the lowest reduction in carbon emissions of the scenarios considered. By exploring the other seven scenarios, it is clear that Austin Energy must invest more heavily in renewable energy and technologies with lower carbon emissions in order to become sustainable and carbon neutral by 2020. In its report, the research team recommended that Austin Energy consider greater amounts of investment in solar, wind and biomass energy generation, while also considering reducing its reliance on FPP. Additionally, the research team recognized energy conservation and demand-side management as the best electric sector investments and encouraged Austin Energy to work with the Texas Legislature, the Public Utility Commission of Texas and the Electric Reliability Council of Texas to make real-time or time-of-day pricing a reality.

In March 2009, the class presented its findings and recommendations to the public at the “Steps Toward a Sustainable Austin Energy” Symposium at the University of Texas at Austin. The symposium included a simulator training session, four panel discussions and a public forum. The morning simulator training session showed attendees how to use the simulator to evaluate different energy generation mixes for Austin Energy. The four afternoon panel discussions included: “Austin Energy’s Coal, Gas and Nuclear Future,” “Austin Energy’s Solar, Wind and Geothermal Future, “ “Regulatory Issues for Austin Energy,” and “Customer and Community Preferences for Austin Energy.” The symposium concluded with a public forum on Austin Energy’s future that included a student presentation on the research project.

In addition to the symposium, the students began to interview energy experts in the community during the spring of 2009 to get their feedback on the future of Austin Energy. These interviews were video recorded and are in the process of being edited and compiled to make a documentary that will be available to Austin Energy and the public by the fall of 2009.

To view the full and summary reports on the project, Click Here. The reports are in PDF format on the site under “Documents.”