Renewable Energy:AHedge Againstan Uncertain Energy Future

摘要

Energy consumers, especially large industrial consumers, more and more are looking to reduce risk their businesses face from price and supply uncertainties in energy derived from fossil fuels. Energy efficiency provides a proven resource to reduce overall risk impacts from future energy prices. In addition, with incentives provided by federal and state governments, renewable energy is growing as an option to hedge against energy price spikes. Further, renewable energy alternatives can provide competitive, fixed energy rates over future decades. However, company energy managers often have little experience with renewable energy. Researching technical options and economic issues can be time consuming. In some cases, "sexy" project concepts dominate discussions, with little thought devoted to their feasibility. This paper provides a decision-making framework for plant energy managers to begin investigating the potential for renewable energy. It discusses both on-site and purchase options, and walk-through goals, such as energy security, price stability, public relations and green enhancement. Pertinent examples will be provided based on the authors' experience in performing feasibility studies and advising industrial, commercial, and public entities on options right for them, with a goal of reducing due diligence work required to explore options.