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Natural Resources
The strength of our country is supported by the abundance of natural resources. The Appalachian Mountains contains the majority of the United States reserves in coal and natural gas as displayed to the right. We depend greatly on our natural gas and coal for our power supply needs. MEADE GUNNELL can assist energy companies with the exploration and development of coal mining and natural gas fields.
The United States currently develops its energy from 51% coal fired plants. Over the next decade, the Electric Power Research Institute predicts the United States coal energy supply to increase to 58%. Although renewal resources will take a role in our future, coal supply and natural gas will serve as our energy security and dependence from foreign oil.
The electricity costs in the United States is less expensive from our natural resources as shown below.
Electricity Production Costs
Energy Source ¢/Kw-Hr
Nuclear 1.76
Coal 2.47
Gas 6.78
Petro. 10.26
Hydro <1.5 |
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Although the cost of electricity is important, nevertheless, the location of each power source is equally important for the delivery of the power supply to the population. Coal fired and natural gas plants are the most versatile of all energy sources and can be placed in many locations.
Renewable Energy and Energy Efficiency
On August 20, 2007, with the signing of Session Law 2007-397 (Senate Bill 3), North Carolina became the first state in the Southeast to adopt a Renewable Energy and Energy Efficiency Portfolio Standard (REPS).
Under this new law, investor-owned utilities in North Carolina will be required to meet up to 12.5% of their energy needs through renewable energy resources or energy efficiency measures. Implementation of Senate Bill 3 will have economic and operational impacts to utility systems. Utilities face economic and operational considerations with the new law. Duke Energy Carolinas' compliance efforts are currently underway.
Managing Our Carbon Footprint
The large scale carbon reductions envisioned to stabilize, and ultimately reverse, global atmospheric carbon concentrations present major technical, economic, regulatory and policy challenges. Reconciling these challenges with continued growth in energy demand highlights the need for a diverse, economy-wide approach.
The source of our carbon output currently stems from 33% of automobiles and 30% utilities.
The Electric Power Research Institute conducted a three part analysis focused on assessment of the technical feasibility of substantial carbon emissions reductions from the U.S. Electricity sector; identification of the technology development pathways and associated research, development and demonstration funding needed to achieve this potential; and evaluation of the economic impact of realizing emissions reduction targets. Three major conclusions emerge in this study:
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The strategy for reducing electricity sector emissions will be technology-based. A technology based strategy is sustainable, minimizes costs to the U.S. economy, and creates opportunities for decarbonization beyond the electricity sector.
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A diverse portfolio of advanced technologies will be required. No single technological "silver bullet" will suffice. Rather, a full portfolio is needed that includes efficiency, renewable energy resources, nuclear, coal with carbon capture and sequestration, and other technologies enabled by expanded transmission and distribution system capabilities.
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Significant RD&D will be needed over a sustained period, and technology development lead times demand immediate action. Early and sustained investment in public and private RD&D could lower the cost of emissions reductions on the order of $1 trillion, and significantly limit increases in wholesale electricity costs.
Conservation of Energy
One of the most important laws of the universe can be applied to energy management. The carbon output can be most effectively controlled by limitation of consumption. Although research is primarily focusing on carbon sequestration to capture carbon from coal fired plants, the law of conservation of energy suggests consumer conservation will play the most important role. The use of electric automobiles will offset carbon output. |
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