City of Virginia Beach Mayor'S Alternative Energy Task Force Final Report MARCH 30, 2010

Fourth Draft: Mayor’s Alternative Energy Task Force Report
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March 30, 2010
CITY OF VIRGINIA BEACH
MAYOR’S ALTERNATIVE
ENERGY TASK FORCE
FINAL REPORT
MARCH 30, 2010
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March 30, 2010
TABLE OF CONTENTS
I. Executive Summary
Mayoral Charge and Meeting Schedule
AETF Goal
Membership
Goals
Recommendations
General
Short Term (0‐2 years)
Mid Term (2‐5 years)
Long Term (5+ years)
II. Other Plans that Influence the AETF Recommendations
Purpose of AETF
Definition of Alternative Energy
Federal Energy Independence and Security Act of 2007
Virginia Energy Plan
Virginia Beach Energy Goals and Recommendations
Dominion Power
Virginia Natural Gas
III. Alternative Energy Recommendations by Sector
Onshore Wind
Offshore Wind
Solar
Geothermal
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Nearshore Tidal / Wave
Offshore Tidal / Wave
Algal Biodiesel
IV. Energy and Natural Resource Implications
Land
Energy Infrastructure Support Requirements
Transmission Line Corridors
Transformer Stations
Smart Grid
Siting Requirements
City Composting Facility
City and Private Landfills Methane Recovery & Utilization
Biodiesel Facility
Onshore Wind
Wind Farms and Rural Area
Wind Generation in Urban and Suburban Areas
Shoreline Applications
Water
Water Quality
Aquatic Habitat
Beaches
Wetlands
V. Energy Conservation
VI. Economic Development and Green Jobs
Education and Training Programs
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Tax Incentives for Energy Retrofits
Regional Strategies to Promote Growth
Port and Maritime Infrastructure
Green Jobs Alliance
Military Energy Needs and Mandates
Tourism
Seafood Industry
Agriculture
Marketing
VII. Appendices
Offshore Drilling for Oil and Natural Gas
Coal
Nuclear Power
Partners
Energy Star
ICLEI
Energy References
City of Virginia Beach EECBG Activities
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I. Executive Summary
Mayoral Charge and Meeting Schedule
AETF Goal
Membership
Goals
Recommendations
General
Short Term (0‐2 years)
Mid Term (2‐5 years)
Long Term (5+ years)
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MAYORAL CHARGE AND MEETING SCHEDULE
On April 28, 2009, Mayor William D. Sessoms, Jr. created the Alternative Energy Task Force (AETF). The
charge to the AETF was to review existing needs for energy in Hampton Roads and the Commonwealth
in general, and to evaluate alternative sources of energy to satisfy these needs now and in the future.
The AETF has had six meetings in pursuit of this goal. The first five meetings were to become informed
by various subject matter experts on the need for energy, opportunities for other alternatives, and what
alternatives had the most promise for Virginia Beach, Hampton Roads, and the Commonwealth. The
meeting dates and general topics were as follows:
June 3, 2009
o Dominion Power‐Current Capabilities and Future Needs
o Virginia Natural Gas‐Current Capabilities and Future Needs
June 29, 2009
o Wind Energy
July 27, 2009
o Algae Research Initiatives in Producing Biodiesel Fuel
o Ocean Wave and Tidal Current Energy Resources and Technology
September 3, 2009
o Offshore Oil and Gas Exploration
o Opposing Points to Offshore Drilling
October 7, 2009
o Climate Change and How it Will Affect Virginia Beach
o Solar Energy (Formal presentation not given, Power Point presentation posted to Virginia
Beach website and distributed to AETF)
On October 26, 2009 a sixth meeting ‐ a public hearing – was held to obtain input from the public.
Although there was substantial effort made to get as much public input as possible, there were only
three speakers at the public hearing.
AETF GOAL
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The overarching goal of the AETF was to develop goals, strategies, and objectives to reduce Virginia
Beach’s, the Commonwealth’s, and the nation’s reliance on foreign sources of energy. To this end, the
AETF was particularly interested in receiving information from Dominion Power and Virginia Natural
Gas, who provide the end user power from the electricity and natural gas perspective for all of eastern
Virginia. Both of these utilities are State Corporation Commission (SCC) regulated and, as responsible
corporations, have produced extensive planning documents for the future needs of their customers and
how to provide for those needs. Dominion Power and Virginia Natural Gas both recognized that Virginia
was the second largest importer of power in the nation behind California. Both energy utilities
identified the need to increase in‐state energy production, diversify the supply, and look for real energy
efficiency that can help manage demand and reduce carbon emissions.
MEMBERSHIP
The membership of the AETF was as follows:
NAME REPRESENTING
Mayor Will Sessoms Task Force Chair
Gary Arnold Virginia Beach Vision
Max Bartholomew Hampton Roads Chamber of Commerce
Clay Bernick Virginia Beach Planning
Captain David Boone Navy Mid‐Atlantic
Delegate Joe Bouchard 83rd District
Tuck Bowie Tidewater Builders Association
Sarah Cosby Dominion Power
Captain Bill Crow Joint Expeditionary Base Little Creek‐Fort Story
Marc Davis Virginia Beach Media and Communications
Councilmember Bill DeSteph Virginia Beach Councilmember
Jim Diangio Old Dominion University
Dana Dickens Hampton Roads Partnership
Admiral Dick Dunleavy Military Economic Development Advisory c
Committee
Jeanne Evans Senator Jim Webb’s Office
Andy Fine Green Ribbon Committee
Cathie France Virginia Natural Gas
Mary Hancock Virginia Beach Media and Communications
Warren Harris Virginia Beach Economic Development
Dr. Pat Hatcher Old Dominion University
Steve Herbert Virginia Beach Deputy City Manager
Bob Matthias Virginia Beach Assistant to the City Manager
Tom McAfee Valspar Corporation
Kaitlin Parker Congressman Glenn Nye’s office
Frank Roberts Hampton Roads Military & Federal Facilities
Alliance
Neil Rondorf Virginia Coastal Energy Research Consortium
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Jim Spore Virginia Beach City Manager
David Trimmer Virginia Beach Agriculture
Councilmember John Uhrin Hotel Motel Association
Senator Frank Wagner 7th District
Skip Zobel Senator Mark Warner’s Office
GOALS
The City should adopt the following broad goals as the framework for its energy strategy:
‐ GOAL 1 Increase energy independence, with an emphasis on conservation and clean fuel
technologies.
‐ GOAL 2 Reduce current municipal government energy consumption by fifteen percent by
2025.
‐ GOAL 3 Expand residential/business energy education to overcome barriers to implementing
energy‐efficiency and conservation actions.
- GOAL 4 Reduce greenhouse gas emissions by thirty percent by 2025.
- GOAL 5 Capitalize on economic development opportunities through business expansion and
increased research and development in areas of strength, including alternative energy
development.

RECOMMENDATIONS

General:

‐ Dominion Power and Virginia Natural Gas should better meld their strategies with the
comprehensive plans of the local communities. This would involve the planning for transmission
and other power conveyances, including the integration of intermittent renewable energy
resources, in concert with planned development and projected local growth.
‐ Continue to pursue installation of natural gas infrastructure to areas not currently served in the
City.
Short Term (0‐2 years):
‐ Create an energy focus within the City Organization, to consist of staffing and resources to
support and oversee City energy policy and administration of grant funds to help accomplish
energy retrofit, conservation and implementation efforts, and to provide support to the City’s
Joint Energy Committee (comprised of City and Schools departments, programs and staff related
to energy)
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Mid Term (2‐5 years):
‐ Establish City energy conservation and efficiency goals designed to help achieve the
recommendations of the 2007 Virginia energy Plan
‐ Promote the development of offshore wind energy potential by partnering with the Virginia
Coastal Energy Research Consortium, the Virginia Offshore Wind xxx, and the Department of
defense and the Department of the Interior’s Minerals Management Service.
Long Term (5+ years):
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II. Other Plans that Influence the AETF
Recommendations
Purpose of AETF
Definition of Alternative Energy
Federal Energy Independence and
Security Act of 2007
Virginia Energy Plan
Virginia Beach Energy Goals and
Recommendations
Dominion Power
Virginia Natural Gas
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PURPOSE OF THE AETF
The purpose of the AETF was explained in Mayor Sessoms’ April 28, 2009 letter to the City Council –
‐ to “analyze the current reality of energy demand in Virginia Beach and explore potential
sources of supply to satisfy that demand”;
‐ to “consider how those possible supply sources might impact our community both economically
and environmentally”;
‐ to “look forward in time to identify areas where supply may not keep pace with demand”;
‐ to “develop potential options to close that gap as well as to reduce our dependence on foreign
sources” thorough identifying future sources which “must be environmentally sustainable and
independent of foreign sources”;
‐ to “ideally and proactively position Virginia Beach to be an active leader in the essential
movement toward a more sustainable and intelligent energy future for our nation,
commonwealth and community”
DEFINITION OF ALTERNATIVE ENERGY
It is paramount that this report at the outset has adopted the most universally accepted definition of
what defines “alternative energy”. Alternative energy is henceforth used in this report to refer to
energy that is derived from non‐fossil fuel origins‐ no oil, coal, natural gas or their derivatives. Instead, it
is derived from are often considered as renewable energy sources, such as wind, solar, geothermal,
biological or hydrologic resources.
It is equally paramount that the purpose of the AETF be considered in the context of existing and
emerging federal, state and industry plans, policies and legislation.
TRANSITIONING TO ALTERNATIVE ENERGY
Definition:
The US Department of Energy defines renewable energy as “electric energy generated from solar, wind,
biomass, landfill gas, ocean (including tidal, wave, current, and thermal), geothermal, municipal solid
waste, or new hydroelectric generation capacity achieved from increased efficiency or additions of new
capacity at an existing hydroelectric project.”
Background:
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As a matter of energy policy directed toward national security and operational cost savings, the Federal
government has been leading the way in development of environmental and energy policy, for well over
a decade. These policies have been implemented at an increasing pace since their establishment, and
continue to evolve toward greater reduction of overall energy use, with increased use of alternative
energy sources.
The Federal government established goals in its Energy Policy Act (EPACT) of 1995 for renewable energy
sources to provide 5% or more of energy consumed in fiscal years 2010‐2012, and increase that to 7.5%
in FY 2013. Beyond that, the Department of Defense has established a goal of 25% of total energy
consumed originating from renewable energy sources by 2025. Additionally, the Federal government
adopted the following goals in the Energy Independence and Security Act of 2007 (EISA 2007), and
Executive Order (E.O.) 13423:
 Requires 30% of the hot water demand in new Federal buildings (and major renovations) be met
with solar hot water equipment provided it is life‐cycle cost‐effective.
 Requires new buildings and major renovations of Federal buildings to reduce fossil fuel
consumption relative to 2003 by:
o 55% by 2010
o 65% by 2015
o 80% by 2020
o 90% by 2025
o 100% by 2030
The US Congress is currently reviewing incorporating these policy requirements into the building code
for all buildings constructed in the US through HR 2454: American Clean Energy and Security Act of
2009. The current goals establish reducing energy consumption by 30% in 2010, baselined against 2003
design standards, followed by increases in the reduction to 50% in 2014‐2015, and 5% per year out to
2030. These goals align with the American Institute of Architects’ (AIA) 2030 Challenge, and US Green
Building Council (USGBC) guidelines for various levels of environmentally sustainable design in buildings.
Yet, these requirements are not yet law. While there are limited financial incentives and credits
available, environmentally responsible design is largely voluntary. Reduction of energy consumption
also provides significant paybacks in terms of reduced energy costs. The City of Virginia Beach has
already taken voluntary steps toward reducing energy consumption in recent construction of facilities in
compliance with USGBC’s Leadership in Energy and Environmental Design (LEED) standards. The
Convention Center, Hermitage Elementary and Renaissance Academy are all in the process of being
designated at various levels of sustainable design achievement.
The City’s Green Ribbon Committee has been completed its report and is implementing guidelines for
design criteria that address environmental sustainability. These include City Staff initiatives for new city‐
funded construction to meet LEED Certified criteria. Additionally, the Joint Energy Committee has been
established with the Virginia Beach school system to study ways to reduce energy consumption, take
advantage of improved technology and increase energy efficiency.
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The increasingly required use of environmentally sustainable principles in Federal, State and Municipal
facilities and transportation have sparked the development of new technologies and a multi‐billion
dollar market for renewable, low‐impact and recycled building and site development materials, along
with lower‐emitting and consuming vehicles. Coordinated implementation of Federal, State, Regional
and Municipal energy policies that require increased utilization of alternative energy resources will have
a similar impact on the development of new technologies and their availability to meet the expanding
demands of new customers.
It is important that the City of Virginia Beach anticipate and promote the development of improved
technologies in alternative energy, and maximize their impacts to City Planning, Economic Development,
and contribution toward energy independence.
Policy Recommendations:
It is broadly recognized that alternative energy is in its infancy, and incorporating those technologies
into mainstream energy consumption in a meaningful way will take 15 to 20 years. It is therefore
important to establish intermediate milestones to achieve the long‐term goals of the City of Virginia
Beach in using renewable energy technologies. These milestones must reduce the overall energy
requirements of the City while increasing its use of renewable energy resources. The convergence of
these goals would result in a higher percentage of renewable energy contribution, and greater energy
independence.
FEDERAL ENERGY INDEPENDENCE AND SECURITY ACT OF 2007
The Energy Independence and Security Act of 2007 (Public Law 110‐140), originally named the CLEAN
Energy Act of 2007, is an Act of Congress concerning the energy policy of the United States . President
Bush signed it into law on December 19, 2007, which responded to his "Twenty in Ten" challenge in the
State of the Union Address to improve vehicle fuel economy and increase alternative fuels use by 20
percent in ten years.
The stated purpose of the act is “to move the United States toward greater energy independence and
security, to increase the production of clean renewable fuels, to protect consumers, to increase the
efficiency of products, buildings, and vehicles, to promote research on and deploy greenhouse gas
capture and storage options, and to improve the energy performance of the Federal Government, and
for other purposes.” The bill originally sought to cut subsidies to the petroleum industry in order to
promote petroleum independence and different forms of alternative energy. These tax changes were
ultimately dropped after opposition in the Senate, and the final bill focused on automobile fuel
economy, development of biofuels, and energy efficiency in public buildings and lighting.
The bill signed into law in December 2007 was an 822‐page document changing U.S. energy policy in
many areas.http://en.wikipedia.org/wiki/Energy_Independence_and_Security_Act_of_2007 ‐ cite_note‐
6 Key provisions were:
 Energy security
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o Increased CAFE standards. Automakers are required to boost fleetwide gas mileage to
35 mpg (14.8 km/l) by 2020. This applies to all passenger automobiles, including light
trucks.
o Required vehicle technology and transportation electrification. Incentives for the
development of plug‐in hybrids.
o New conservation requirements for federal vehicle fleets.
o Taxpayer funding for increased production of biofuels. The total amount of biofuels
added to gasoline is required to increase to 36 billion gallons by 2022, from 4.7 billion
gallons in 2007. The Energy Act further specifies that 21 billion gallons of the 2022 total
must be derived from non‐cornstarch products (e.g. sugar or cellulose).
 Energy savings
o Revised standards for appliances and lighting.
 Requires roughly 25 percent greater efficiency for light bulbs, phased in from
2012 through 2014. This effectively bans the sale of most current incandescent
light bulbs.
 Various specialty bulbs, including appliance bulbs, colored lights, and 3‐way
bulbs, are exempt from these requirements.
 Requires roughly 200 percent greater efficiency for light bulbs, or similar energy
savings, by 2020.
o New initiatives for promoting conservation in buildings and industry.
o Requires all lighting in Federal buildings to use Energy Star products.
o New standards and grants for promoting efficiency in government and public
institutions. New and renovated federal buildings must reduce fossil fuel use by 55%
(from 2003 levels) by 2010, and 80% by 2020. All new federal buildings must be carbon‐
neutral by 2030.
 Taxpayer funding of research and development of solar energy, geothermal energy, and marine
and hydrokinetic renewable energy technologies.
 Expanded federal research on carbon sequestration technologies.
 Green jobs ‐ creation of a training program for "Energy efficiency and renewable energy
workers".
 Energy transportation and infrastructure. New initiatives for highway, sea and railroad
infrastructure. Creation of the Office of Climate Change and Environment in the Department of
Transportation.
 Small business energy programs, offering small businesses loans toward energy efficiency
improvements.
 Smart grid ‐ modernization of the electricity grid to improve reliability and efficiency.
 Pool safety ‐ new federal standards for drain covers and pool barriers.
VIRGINIA ENERGY PLAN
The Office of the Governor adopted the current Virginia Energy Plan in 2007. The full text of this
document is available at http://www.dmme.virginia.gov/DE/VAEnergyPlan/2007VEP‐Full.pdf.
The General Assembly set out broad state energy policy statements and objectives, and called for
development of a 10‐year energy plan. The resulting Virginia Energy Plan sets out four broad goals that
will help Virginians use energy more wisely by expanding conservation and efficiency practices,
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providing needed energy resources to support our economy, and beginning to address the challenges
we face from greenhouse gas emissions. The four goals include:
• Increase energy independence, with an emphasis on conservation and clean fuel
technologies, by:
‐ Reducing the rate of growth of energy use by 40 percent. This will reverse the projected growth
in per capita energy use and result in a nearly level per capita energy use per year.
‐ Increasing Virginia’s indigenous energy production by 20 percent.
• Expand consumer energy education to overcome barriers to implementing energy efficiency and
conservation actions.
• Reduce greenhouse gas emissions by 30 percent by 2025, bringing emissions back to 2000 levels.
• Capitalize on economic development opportunities through business expansion and increased research
and development in areas of strength, including alternate transportation fuels, nuclear technology,
coastal energy production, and carbon capture and storage.
The Plan assesses where energy used in Virginia comes from and where it is used.
• Virginia is a net importer of energy. The state produces coal, using about half in state for electric
generation and exporting the other half for steel production and electric generation. Virginia produces
natural gas equal amount to about 35 percent of total instate use, and a small amount of renewable
energy, principally from biomass and hydro power. All other sources of energy are imported from other
states or countries.
• The transportation sector accounts for 43 percent of the amount of energy consumed in Virginia
measured at its end use. The residential sector is responsible for 17%, commercial sector for 15%, and
the industrial sector for 25%. Energy efficiency and conservation provide the least costly and most
readily deployable energy resource options available to Virginia. The Plan calls for state, local and
federal policy actions such as expanding the Energy Star sales tax holiday, addressing the need for
stronger building energy codes, and increasing federal CAFE and appliance standards. The Plan notes
that all individuals and businesses have a role in reducing energy use. Many small, easy steps will
together have a substantial effect on reducing energy use in Virginia.
• Legislation enacted in 2007 set a conservation and efficiency goal to reduce electric use 10 percent (of
2006 consumption) by 2022.
‐ Reaching the 10 percent goal would defer or postpone the need for four to five generation
stations. Virginia consumers would save in the range of $200 to $700 million (net savings after
costs) through 2022 (average $15 to $50 million per year) savings.
‐ The Commonwealth’s electric utilities will need to invest in the range of $100 to $120 million
per year to support energy conservation programs. This would include costs of incentives,
consumer education, and administration of energy efficiency and conservation programs. Utility
customers will have to match this investment with $180 to $200 million per year to cover their
share of up‐front energy‐efficiency costs.
• Through aggressive programming and with a concerted investment in efficiency and conservation,
Virginia could realize natural gas savings of approximately 7.5 percent over the next ten years. This
would lower Virginian’s natural gas costs by an average of approximately $125 million annually (net
savings after program expenses based on 2007 natural gas costs).
• A national estimate of fuel oil conservation opportunities found that use could be reduced 13 percent
by 2015 through an aggressive program.
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• Transportation measures should be targeted at reducing vehicle miles traveled, increasing
transportation efficiency, and increasing use of alternate transportation fuels. Reducing transportation
fuel use by 5 percent through these measures would save 260 million gallons of gasoline per year,
equivalent to the energy used by 300,000 cars in Virginia each year.
Virginia is home to significant electric generation and transmission, natural gas and petroleum pipeline
and storage, petroleum refining, rail and road, and marine import infrastructure. Virginia will need to
add energy infrastructure over the next ten years to continue to provide reliable, lower‐cost energy to
its consumers and decrease the potential risk that consumers face from disruptions in energy supplies.
• Virginia’s electric utilities will need to build new electric generation and transmission infrastructure to
serve growing electric loads, particularly in the Northern Virginia and Hampton Roads areas.
• Virginia natural gas utilities will need to build additional pipeline and fuel supply capacity such as the
third pipeline crossing in Hampton Roads. Offshore natural gas should only be advanced consistent with
Virginia policy calling for exploration only no closer than 50 miles from the coastline.
• Petroleum supply infrastructure will need to be enhanced to provide alternative supplies such as
ethanol and biodiesel fuels to Virginia consumers. The state’s refinery in Yorktown should be expanded.
• Virginia’s energy suppliers must ensure that the state’s energy infrastructure is secure from natural
and human‐made disasters.
Energy use and production can affect Virginia’s land, air, and water quality as well as wildlife
and wildlife habitat. Energy production and consumption are significant factors in Virginia’s air
quality challenges. Fuel consumption accounts for the overwhelming majority of Virginia’s
sulfur dioxide, nitrogen oxides, mercury, and carbon emissions to the atmosphere. To meet the
target of bringing carbon emissions back to 2000 levels by 2025, the Plan recommends the
following:
• Create a Commission on Climate Change to make a more comprehensive assessment of greenhouse
gas issues and develop a plan for how to reach a greenhouse gas emission reduction goal.
• Require reporting of greenhouse gas emissions using The Climate Registry protocol. Virginia’s colleges
and universities, federal laboratories, and businesses undertake a broad range of world‐class energy
research and development (R&D). These have the potential to lead to substantial new business activity
in Virginia.
• Virginia should increase investment in energy R&D by $10 million per year, with half from state
resources and half from private and federal resources, targeted in four strategic areas of strength.
• Virginia should establish public‐private governance of energy R&D, named the Virginia Energy Research
and Development Organization (VERDO), to set priorities for public energy R&D funding.
• Virginia should host energy research showcases to connect technologies developed by Virginia’s
energy R&D organizations with venture capital firms and businesses with the resources to bring the
ideas to market.
Virginia should support businesses wishing to make substantial new investments in energy activities in
the four energy areas where Virginia has strategic advantages.
• Virginia should target its business development actions to those energy businesses that produce real
employment and capital investment gains, with a focus on the four strategic areas of strength.
• Virginia should support development of two to three energy technology business parks.
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• Virginia should provide workforce services that support development of adequate numbers of trained
workers for energy businesses.
Taken together, these recommendations will result in a substantial investment in new energy activities
in Virginia. By heeding these calls to action, government, individual citizens, and businesses will use
energy more wisely, have increased security from energy‐driven disruptions, help ensure the availability
of needed energy supplies to support the state’s economy, and reduce the future impacts of climate
change.
VIRGINIA BEACH ENERGY GOALS AND RECOMMENDATIONS
The 2007 Virginia’s Energy Plan has requested that the local governments establish policies to increase
the energy efficiency of their citizens. As a result, the City of Virginia Beach’s has drafted the following
energy goals ‐ which are aligned with the Commonwealth of Virginia’s goals:
GOAL 1. Increase energy independence, with an emphasis on conservation and clean fuel
technologies.
GOAL 2. Reduce current municipal government energy consumption by fifteen percent by 2025.
GOAL 3. Expand residential/business energy education to overcome barriers to implementing
GOAL 4. Reduce greenhouse gas emissions by thirty percent by 2025.
GOAL 5. Capitalize on economic development opportunities through business expansion and
increased research and development in areas of strength, including alternative energy
development.
In December of 2009, the City of Virginia Beach was awarded $4,042,000 in EECBG funds from the
Department of Energy. The EECBG project activities support our existing energy goals to reduce energy
use, expand energy education, promote renewable energy production, and reduce greenhouse gas
emissions.
In March of 2010, the City of Virginia Beach was also awarded a $200,000 grant to develop and
implement a Local Energy Assurance Plan.
The City has identified the following preliminary recommendations to help accomplish these goals:

GOAL 1 ‐ Increase energy independence, with an emphasis on conservation and clean fuel
technologies.
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GOAL 2 ‐ Reduce current municipal government energy consumption by fifteen percent by
2025.
Strategy 1 – Track and model Energy Costs
The City of Virginia Beach monitors, on a monthly basis, all energy consumption. This includes the use of
fuel, electricity, and natural gas.
Improved energy tracking is aiding in the collection of the following:
 Dollars spent on energy by each property location in the city;
 Energy unit of measure for each location in the city (i.e. gallon, BTU, Kilowatt);
 Current carbon footprint; and,
 Other areas as identified by the JEC.
Various reports and presentations have been created to provide energy usage information to
departments and divisions.
Strategy 2 ‐ Data and Billing Review
In addition, without changing our energy usage, savings are also being sought by reviewing our current
payments schedules and energy providers. A few areas have been identified that may require additional
review:
1. Review billing information for all energy providers to ensure we are on the correct payment
schedule.
2. Review the electric billing to identify multiple meters at the same property address to negotiate
meter totalization.
3. Determine if there are sufficient energy provider contracts in place (city or state) that will allow for
savings – or if Requests for Proposals need to be pursued.
4. Identify and explore other areas of savings such as consolidated electronic energy billing to reduce
the amount of paper being used and processing times and aid in the ease of tracking.
Strategy 3 ‐ Creation of an Expanded Energy Improvement Plan
The City will be creating an Energy Improvement Plan (EIP). This plan will contain all of the city’s
pertinent energy information collected to date for both the schools and the city. It should include:
 A list of all of the energy improvements completed to date including the property address, the
improvement and the date of the improvement;
 A list of all of the Leadership in Energy and Environmental Design (LEED) buildings certified or
underway;
 A list of all of the energy audits conducted and their findings;
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 The current energy improvement review process for funding improvements for the both city and
the schools (including the cost/benefit testing methods)
 All of the planned improvements; and,
 The Energy Improvement Funding Plan.
Other areas to draft and include in the plan:
1. “Green Fleet” policy that incorporates, at a minimum, the purchase of low emitting fuel efficient
vehicles for vehicle fleet replacement and the use of alternative fuels (biodiesel, natural gas,
ethanol) in fleet operations;
2. LEED certification requirement on all new city buildings;
3. “Green Contracting” with our city contractors (Built into contracts);
4. A policy to utilize energy efficient and/or dark sky compliant outdoor light fixtures;
5. Adopt a Team Cleaning Policy; whereas buildings are cleaned and maintained during normal
working hours rather than at night (requiring lighting and heating/cooling).
6. “Green Technology” Energy Management Programs;
7. A “no idle policy “for school and government vehicles;
Strategy 4 ‐ Member Communications
Create a Communication Subcommittee of the JEC to develop a communication plan to educate city
members (employees) on how they can contribute to energy conservation. This subcommittee should
include staff members from Communications, Human Resources, ComIT and Energy Coordinator(s)
(including the schools). The subcommittee is tasked with developing a detailed energy reduction
communications strategy that will:
Allow communication to be two‐way and be designed to communicate energy savings for the member
both at home and at work, such as:
1. Weekly Energy Saving Tips for home and work;
2. Member feedback via email or interoffice mail;
3. Member Energy Committees within the departments/divisions that will allow employees to take
the lead for their departments/divisions and, as a group, make recommendations to the JEC and act
as “Energy Champions” for their teams;
4. Creation of an energy message approval process to ensure energy messages do NOT conflict with
currently city policy. Energy tips must be reviewed by the JEC before release;
5. Creation of a logo and slogan that members can relate to;
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6. Review and update policies (when possible) that do not currently allow for energy conservation.
Communicate the new policies; and,
7. Create a reward/award recognition system.
Strategy 5 – Identification and funding of Energy Improvement Projects
1. Current Energy Improvement Review Process
2. The City will continue to do energy audits:
a. City staff identifies facilities in need of an energy audit;
b. Vendor is selected and performs an energy audit;
c. Proposed improvement and payback period is calculated;
d. The project is approved or denied based on funding;
e. If approved, the improvement(s) are made to the buildings;
f. Energy costs are evaluated before and after the improvement and compared to the
projected payback period; and,
g. Over a set period of time, the improvement “pays back” the upgrade costs in energy
savings.
3. Implement an evaluation process of all proposed energy conservation activities for cost effectiveness.
The Virginia Energy Plan recommends the use of the following tools:
a. Total Resources Cost Test
b. Societal Test
c. Utility/Program Administrator Test
d. Participation Test
e. Rate Impact Measurement Test
Additional information and training will be needed for any tools chosen.
Possible methods of funding energy improvements:
1. Capital Improvement Projects (CIP) (typically for large projects)
2. General Fund (typically very small projects)
3. Energy Performance Contracts (Debt) ‐ Per the “POLICY REPORT: Debt Policy for Energy Performance
Contracting”, the city could consider passing an ordinance that would exempt performance bonds
from four debt limits since there is guaranteed revenue for these bonds.
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GOAL 3 ‐ Expand residential/business energy education to overcome barriers to implementing
Due to increasing demand, our energy providers may have to make significant infrastructure
investments. As a result, the 2007 Virginia’s Energy Plan is requesting that the local governments should
establish policies to increase the energy efficiency of their citizens. To do this, a Virginia Beach City‐
Wide Action Plan will need to be created. Proposed strategies are as follows:
Strategy 1 ‐ Data Collection and Analysis
Working with our energy providers, we need to quantify the City of Virginia Beach’s total energy use by
sector/business to include:
 City Costs
 Commercial Businesses
 Residential Costs
Tracking this information and comparing annually is essential to this goal.
Strategy 2 ‐ Community Incentives
The City will be evaluating and implementing community energy reduction incentives. Possible
incentives include:
1. Permit Preferences ‐ Reduced permitting time and costs for:
A. LEED Building Permits
B. Energy Efficiency Upgrade Permits
C. Other Permitting Incentives
2. Tax Incentives
A. Personal property tax breaks for low emitting fuel efficient vehicles; and,
B. A new real estate classification and lower tax rate for energy efficient building permits (Code
of Va. §58.1‐3321.2).
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Strategy 3 ‐ Community Wide Communication Program
The opportunity to provide an energy reduction communications program to the residents and
businesses is a long‐term commitment that these funds will allow us to make. Development of
communication material that will provide long term benefits includes:
 The airing of television material for our local cable channel that conveys the importance
of energy audits and step‐by‐step information, and,
 The development of a website that reinforces the televised information and provides
EECBG project highlights and results to our community.
1. Energy reduction messages to reach our community may include:
 Vehicle Tips: Reduce gas usage
 Energy Star (Program promotion)
 Electric Tips (to include electronics and cooling)
 Gas/Heating Tips
2. Communications Methods:
 A new website such as www.virginiabeachgreen.com
 Weekly Emails
 VBTV and/or WHRO
 TV and Radio Spots
 Publications
 Seek out and join existing organizations to partner with on community activities
3. Outreach Programs may include:
A. Virginia Beach Commercial Business Outreach Program
 With the help of our energy providers, identify and reach out to high energy users;
 Meet one on one to gain understanding of their business and the energy conservation and other
green initiatives that have been completed to date;
 Publish/promote energy efficient businesses in Virginia Beach
 Provide monthly/quarterly energy educational meetings and invite the businesses; and,
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March 30, 2010
 Provide facilitation to sponsors, guest speakers and partners; (to include university partners,
energy providers, and programs which may include Energy Star, Virginia Municipal League and
Virginia Green).
B. Multifamily Outreach Program
Many multifamily housing units are not implementing green initiatives. Steps should be identified
and taken with this group to encourage energy conservation and other initiatives.
C. Residential Outreach Program
Many homes/neighborhoods are not implementing green initiatives. Steps should be identified and
taken with this group to encourage energy conservation and other initiatives.
D. School Outreach Program
This program is currently underway and includes:
 The Safe Routes to School program, which encourages walking and bicycling to neighborhood
schools; and,
 In the schools, clubs dealing with the environment and energy conservation.
E. Other Areas of possible Community Partnership and Education
 Alternative Fueling Stations (such as Hydrogen)
 ENERGY STAR – Change a Light Program
 Green Roof Program
 Methane Gas Recovery Program
 Solar Photovoltaics (PV) Program
 Solar Water Heater Program
 Zero Energy Home Project as Affordable Housing
 2030 Challenge – elimination of all Fossil Fuels in buildings by 2030
GOAL 4 ‐ Reduce greenhouse gas emissions by thirty percent by 2025.
The City of Virginia Beach is working with the Hampton Roads Planning District Commission (HRPDC) on
greenhouse gas emissions. HRPDC is a regional organization representing the Cities of Chesapeake,
Franklin, Hampton, Newport News, Norfolk, Poquoson, Portsmouth, Suffolk, Virginia Beach, and
Williamsburg, and the Counties of Gloucester, Isle of Wight, James City, Southampton, Surry, and York.
The HRPDC has a history of cooperative regional initiatives dealing with a broad range of urban and
environmental planning topics. The HRPDC member localities are working within a new energy
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March 30, 2010
committee to share information on energy conservation efforts as well as implementation plans and
activities associated with the Energy and Conservation Block Grants (EECBG).
Specific areas of cooperation include a regional greenhouse gas inventory. To date, the Cities of Virginia
Beach, Norfolk and Chesapeake have committed 1% of their EECBG dollars to fund a regional
greenhouse gas inventory study. This will provide the needed benchmarking and identification of the
largest greenhouse gas sources in Hampton Roads and assist in the development of the plan to reduce
these gases.
GOAL 5 ‐ Capitalize on economic development opportunities through business expansion and
increased research and development in areas of strength, including alternate energy development.
DOMINION POWER
Dominion Power, as the Commonwealth’s largest provider of electric power, has an “overarching
goal…to position itself to meet the energy needs of its customers in the Commonwealth over the near
term and long term at the lowest reasonable cost through a comprehensive approach that combines
conservation and Energy Efficiency programs with renewable energy sources and new, economic and
environmentally sound base‐load generation.” Dominion Power proposed a number of goals which are
included here:
1. Fuel Diversity‐maintain a generation fleet that incorporates a mix of traditional and alternative
fuel sources:
a. Nuclear
b. Clean Coals (Virginia City Hybrid Energy Center)
c. Natural Gas
d. Renewable Sources (wind, solar, biomass)‐distributed and utility scale
2. Grid Reliability and Efficiency
a. Innovative distribution and transmission technologies, including Smart Grid
b. Upgrades to the power grid‐investment in critical transmission infrastructure
3. Promotion of Alternative Energy Sources and Conservation/Energy Efficiency Programs
a. Conduct technical research into renewable, conservation, and load management
b. Evaluate new and emerging energy technology and alternative energy sources for feasibility
and viability
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March 30, 2010
c. Maintain a solid base of knowledge across the entire emerging energy technology and
alternative energy spectrum
4. Fostering Sound and Responsible Federal and State Energy Policy
a. Closely track energy policy
b. Provide a voice to shape policy that will best position the Company to meet the energy
needs of its customers
I. Objective:
As the Commonwealth’s largest provider of electric power, Dominion’s overarching goal is to position
itself to meet the energy needs of its customers in the Commonwealth over the near term and long term
at the lowest reasonable cost through a comprehensive approach that combines conservation and
Energy Efficiency programs with renewable energy sources and new, economic and environmentally
sound base‐load generation.
Virginia currently imports more power from outside its borders than any state except California. To
meet the projected electric customer demand and reserve requirement for the long term (through
2024) for its service territory in Virginia and northeast North Carolina, the Company will need additional
resources that total approximately 8,900 MW, consisting of a mix of supply‐side resources totaling
approximately 7,900 MW of capacity and nearly 950 MW of demand‐side resources by 2024.
II. Goals:
1. Fuel Diversity – maintain a generation fleet that incorporates a mix of traditional and
alternative fuel sources.
a. Nuclear
b. Clean coal (Virginia City Hybrid Energy Center)
c. Natural Gas
d. Renewable sources (wind, solar, biomass) – distributed and utility scale
2. Grid reliability and efficiency –
a. Innovative distribution and transmission technologies, including Smart Grid
b. Upgrades to the power grid – investment in critical transmission infrastructure
3. Promotion of alternative energy sources and conservation / energy efficiency programs
a. Conduct technical research into renewable, conservation, and load management
b. Evaluate new and emerging energy technology and alternative energy sources for
feasibility and viability
c. Maintain a solid base of knowledge across the entire emerging energy technology
and alternative energy spectrum
4. Fostering sound and responsible federal and state energy policy
a. Closely track energy policy
b. Provide a voice to shape policy that will best position the Company to meet the
energy needs of its customers.
III. Action Plan:
Ongoing Activities
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March 30, 2010
Continue to work with the Mayor of Virginia Beach and constituents of Hampton Roads to
achieve the goals detailed above in Section II.
Continue to assess federal and state renewable energy and efficiency targets and mandates
Participate in energy policy development at federal and state levels and assess the technical,
commercial and financial viability of a growing number of new energy technologies that may be
considered in both the near‐term and long‐term planning of demand‐side and supply‐side
resources for the Company.
Evaluate opportunities for the development or acquisition of all types of renewable
generation and emerging energy technologies (based on overall feasibility and costs)
o Solar
o Onshore Wind
o Offshore Wind
o Biomass
o Energy Storage
o Tidal
o Plug‐in Hybrid Electric Vehicles (PHEVs)
o Continued transmission and distribution innovation
o Carbon capture and storage research
Evaluate opportunities for existing power plan unit upgrades
Present and Short Term Activities
Seek federal matching funds for the following alternative and innovative energy initiatives
under the American Recovery and Reinvestment Act of 2009. Applications currently pending
with the U.S. Department of Energy:
o Smart Grid Investment Grant – applied for $200 million grant to accelerate system‐
wide deployment of Smart Grid (equivalent to DOE cost share of 34% of project costs
totaling approximately $583 million)
o Smart Grid Demonstration Project at Naval Station Norfolk – in collaboration with
Science Applications International Corporation (SAIC), Old Dominion University, and the
U.S. Department of the Navy, applied for $6.78 million grant (equivalent to DOE cost
share of 50% of project costs totaling approximately $13.5 million). The purpose of this
project is to demonstrate how to reduce electrical energy usage and to enhance
cybersecurity through technology, alternative energy sources, and use of an advanced
micro‐grid system.
o Chesapeake Crescent Initiative – funding application submitted by the Mid‐Atlantic
Alliance, organized by the Chesapeake Crescent Initiative, which brings together three
major utilities, including Dominion, and nine universities. The purpose of this project is
to optimize the impact of Smart Grid investments through advanced innovative
technologies and world‐class interdisciplinary expertise. Dominion’s cost portion of this
project totals $9.5 million of which the Company has requested a 50% cost share of
$4.75 million, with a portion of the funds to be allocated to advanced technologies
initiatives at Virginia universities that are part of the Chesapeake Crescent Initiative.
The project will include the demonstration of the application of a community battery
storage technology and integration of plug‐in hybrid electric vehicles (PHEV) loads to the
distribution network. As part of the PHEV initiative, the Company and its partners also
propose deploying PHEV charging stations at seven rest areas along Virginia interstates
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March 30, 2010
as a part of the preparation for PHEV usage. The project will also include deployment of
two rooftop solar application at schools with the intent to coordinate solar energy
storage at remote locations.
o Carbon Capture and Storage Project – Dominion partnered with Virginia Tech, the
Southern States Energy Board and Marshall, Miller and Associates on a carbon capture
and storage project that proposes to demonstrate carbon capture and storage at
Dominion’s coal‐fired power plant currently under construction in Wise County, Virginia.
Costs of the project total $580 million, half of which would be provided through the
federal grant.
Begin deployment of Advanced Metering Infrastructure (Smart Grid) throughout the
Company’s Virginia service territory.
Continue to evaluate wind projects in Tazewell County, VA and Wise County, VA in joint
venture between Dominion and BP (size and scope of projects to be determined)
Seek approval before the Virginia State Corporation Commission of Demand‐Side
Management (DSM) Programs that will reduce energy consumption, and promote conservation,
load management, and energy efficiency. Several DSM programs have been proposed, including
but not limited to:
o Voltage Conservation
o Commercial and Residential Lighting
o Curtailment Service Program
o Residential Heat Pump Tune Up and Upgrade Programs
o Air Condition Cycling
Seek approval before the Virginia State Corporation Commission of Renewable Energy
Portfolio Standards (RPS) Program in Virginia for participation beginning in 2010
By 2022 and 2025 the company will need approximately 5.2 million MWh and 6.5 million MWh
of renewable energy annually to meet the corresponding 12% and 15% base year electricity
sales targets as described in the Commonwealth of Virginia Renewable Energy Portfolio
Standard (RPS) legislation. In 2022 and 2025, the Company anticipates applying approximately
1.5 million and 1.3 million MWh, respectively, of existing renewable energy generation,
including that provided by non‐utility generators to meet the RPS goals. The remaining MWh
will be met by applying renewable energy from new generation facilities where feasible, and
with the purchase of renewable energy certificates. RPS Program will be subject to change as
the company’s Integrated Resource Plan develops over time.
Comply with North Carolina Renewable Energy and Energy Efficiency Portfolio Standard (REPS)
requirements beginning in 2010, as applicable.
Offer “next generation” dynamic pricing rate options to Virginia customers allowing customers
to respond on short notice to price signals based on the company’s changing costs of
production. (Pending approval before the Virginia State Corporation Commission)
Develop new gas powered generation (Bear Garden Power Station currently under
construction)
Midterm Activities
Assess viability of offshore wind generation (economic and technical feasibility)
Assess power plant conversion to renewable resources
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March 30, 2010
Implement planned transmission upgrades (approx. 11 major projects underway in VA and
NC), nearly $900 million investment. Central, Northern, and Eastern Virginia. Critical Projects in
the Hampton Roads area include:
o Carson – Suffolk 500 kV Transmission Line and Suffolk‐Thrasher 230 kV Transmission
Line (approved by VA SCC in October 2008) – to be in service by May 2011
o Hayes‐Yorktown 230 kV Transmission Line – (pending approval at VA SCC)
Continue deployment of Smart Grid (deployment in Hampton Roads/Virginia Beach region to
begin in 2011)
Prepare for integration of Plug‐In Hybrid Electric Vehicles (PHEVs) into grid network.
Evaluate potential for expansion of Fowler Ridge Wind Farm in Indiana (potential to expand
existing 400 MW facility to a total of 750 MW).
Develop Prairie Fork Wind Farm in Central Illinois (300 MW expected to be online in 2011 –
Partnership with BP Alternative Energy).
Long Term Activities
Complete Virginia City Hybrid Energy Center (VCHEC ) clean coal plant (585 MW – will be able
to burn up to 20% biomass when in service beginning 2012)
Assess Advanced Nuclear Power Plant – North Anna 3
Continue to promote initiatives to achieve Virginia Energy Plan Conservation goal – Reduce
the
Commonwealth’s electric consumption by 2022 by 10% of the amount consumed in 2006.
Complete deployment of Smart Grid (entire Virginia Service Territory)
Continue to monitor the development of light‐rail in Hampton Roads
VIRGINIA NATURAL GAS
Virginia Natural Gas outlined an extensive process to ensure a “reliable, diverse, competitively priced
supply through the construction of three major projects…” These are:
1. A new transmission pipeline to connect with Dominion Transmission was constructed in the
early 1990’s which allowed continued growth of gas utility service in the region and provided
capacity to several new natural gas‐fired electric generating facilities
2. A propane‐air facility in Chesapeake to augment peak day supplies for the region in 2005
3. HRX and expansion of transmission pipeline to provide natural gas growth capacity for the
region and additional capacity for natural gas‐fired electric generating facilities in 2009
In addition, Virginia Natural Gas suggested short‐term, near‐term and long‐term initiatives for the AETF
to support. The recommendations for these initiatives are as follows:
Short term (0‐6 months)
1. Encourage the U.S. Department of the Interior to move forward with Lease Sale 220 for
exploration off the coast of Virginia for natural gas
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March 30, 2010
2. Support use of a portion of the City of Virginia Beach’s Energy Efficiency and Conservation Block
Grant funding made available through the American Recovery and Reinvestment Act to conduct
a feasibility study of converting portions of the City fleet to natural gas vehicles
3. Participate in a regional summit on the potential for natural gas vehicles and natural gas
refueling infrastructure with Hampton Roads Transit, other local municipalities and potential
commercial users in the region
4. Support legislative initiatives that provide incentives and tax credits for the use of natural gas
vehicles
5. Support legislative initiatives that provide for the timely cost recovery of prudently incurred
investments in infrastructure
6. Increase efficiency in permitting natural gas infrastructure projects by: allowing utilities to
access a “Read Only” version of the City’s GIS system online similar to the Tax ID maps currently
provided, allowing utilities to mark facilities only on the side of the street where work is being
done unless the mains or services cross over a street or intersection, and by allowing blanket
permits with identified test holes for large pressure improvement or renewal projects
7. Collaborate and partner where appropriate to educate consumers about efficiency
opportunities available through the Virginia Natural Gas energySMART program
Near term (6 months‐2 years)
1. Support Lease Sale 220 as the process moves forward through testimony or written comment

when the opportunity is available
2. Encourage the Department of Economic Development to work with companies who would like
to locate in this region for the purpose of exploring for and/or producing natural gas off the
coast of Virginia
3. Continue to support legislative initiatives that provide incentives and tax credits for the use of
natural gas vehicles
4. Consider the incremental conversion or replacement of fleet vehicles with natural gas vehicles
5. Consider working with HRT and other regional entities to build a natural gas vehicle refueling
station
6. Continue to support legislative and regulatory initiatives that provide for the timely cost
recovery of prudently incurred investments in infrastructure
7. Support legislative and regulatory proposals that ensure continued natural gas supply and
capacity diversity and reliability
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March 30, 2010
8. Continue to collaborate with natural gas utilities to best implement efficient processes for
planning and permitting of necessary infrastructure additions/improvements
9. Consult natural gas utilities during reviews and planning for the City’s comp plan
10. Encourage the Department of Economic Development and/or the Industrial Development
Authority to work with the Natural gas and other utilities to identify potential parcels for
prospective businesses, define and pre‐approve utility corridors/capacity for those parcels to
ease and expedite the permitting process for the incoming business
11. Continue to collaborate and partner where appropriate to educate consumers about efficiency
opportunities available through the Virginia Natural Gas energySMART program
Long term (2 years and beyond)
1. Continue to support investment and job creation associated with exploring for and/or producing
natural gas off the coast of Virginia
2. Continue to support the incremental conversion or replacement of fleet vehicles with natural
gas vehicles
3. Continue to support legislative and regulatory initiatives that provide for the timely cost
recovery of prudently incurred investments in infrastructure
4. Continue to support legislative and regulatory proposals that ensure continued supply and
capacity diversity and reliability
5. Continue to collaborate with natural gas utilities to best implement efficient processes for
planning and permitting of necessary infrastructure additions/improvements
6. Support renewal of the energySMART program
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March 30, 2010
III. Alternative Energy Recommendations by
Sector
Onshore Wind
Offshore Wind
Solar
Geothermal
Nearshore Tidal / Wave
Offshore Tidal / Wave
Algal Biodiesel
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March 30, 2010
ONSHORE WIND
The City recently adopted amendments to its zoning ordinance which set forth specific requirements for
onshore wind generating capacity in all zoning districts, both by-right and where planned production
exceeds by‐right requirements, through a Conditional Use Permit provision. This City ordinance
provides a progressive framework for the implementation of onshore wind generation capacity to meet
individual and wind farm demands.
OFFSHORE WIND
Neil Rondorf made a presentation on offshore wind. This included a statement on the need for
the US Government to identify that it has significant infrastructure in Hampton Roads and is a
large energy consumer; however, the federal government through the Federal Aviation
Administration (FAA), the United States Navy, the United States Air Force, etc. presents
obstacles for the development of new and innovative technologies and energies such as
renewable energy. Specifically, these include the potential interference at radar installations for
wind turbines. There is a need for a long range development of coordinated energy solutions.
Each energy technology is fueled independently but there is a strong need to look at energy as
system of systems. This includes:

1. The future grid has to account for significant influence of distributed generation and
renewable influences‐impact on Dominion Power

2. The impact of integrating different renewable generation and traditional power generation
into a more efficient solution

3. The impact of efficiency, distributed generation and the desire for many customers to be “off
the grid” creates an economic dilemma for the utility industry which will need to remold itself
for the future market. The consumer cannot have cheaper or free energy and the services of a
utility at the same time

4. All of these factors need to be part of a new view of energy and an education program that
prepares for the future

5. The State / local / Federal governments need a coordinated approach on
a. Policy
b. Investment for R&D
c. Taxes
SOLAR
(UNDER DEVELOPMENT)
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March 30, 2010
GEOTHERMAL
While Virginia Beach is not positioned to take advantage of high temperature geothermal capacity due
to its geological foundations, the City does have the potential to more fully develop and exploit
geothermal properties that accrue from shallow water aquifers that maintain constant year‐round
temperatures. Provisions to better utilize this resource while safeguarding groundwater quantity and
quality are needed.
NEARSHORE AND OFFSHORE TIDAL / WAVE
Current research activities indicate that potential exists to more fully utilize energy from tidal currents
and wave patterns. While still in its infancy, this research should be encouraged and promoted through
the Virginia Coastal Energy Research Consortium for long‐term application in both nearshore and
offshore locations.
ALGAL BIODIESEL
The nation is facing a major challenge in the area of fuel utilization brought on by
Global climate change, National security, and the realization that most of our fuel
needs are controlled in part by countries that have little interest in the sustenance of
our National economy. The Obama administration has made it clear that alternative
fuels from a variety of sources that include biomass and nuclear are the vision for
the future of transportation needs. Algae have been targeted as a leading candidate
for the production of diesel and jet fuels.

The Virginia Coastal Energy Research Consortium (VCERC) made a conscious
decision to focus their research efforts on algae as a source of biodiesel for at least 2
years, now, and much of the current effort by VCERC members is to conduct
research that will demonstrate the feasibility of this source of biodiesel that has the
highest potential for all biomass to produce such a fuel. Led by ODU, a team of
VCERC researchers has been examining the various aspects of growing, harvesting,
and converting the algae to biodiesel and advanced diesel fuels.

The ultimate goal of this research is to provide the backdrop of information that will
facilitate commercial development of algae to biodiesel and more advanced fuels.
For this to happen, the various processes involved need to be demonstrated as being
economic such that risks to business interests are minimized. VCERC has operated a
1‐acre research site for over 1 year in Spring Grove, VA. Much has been learned
about open‐pond growth of algae and VCERC researchers are prepared to scale up
to a larger site where the economics of growing, harvesting, and conversion can be
demonstrated. With this site in place we can establish a working “biorefinery” that
can convince the following stakeholders that the process is commercially feasible:
1. Local farmers who can dedicate 100+ acres to algae ponds where they can
generate biodiesel and convert their liquid fertilizer into organic fertilizer
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March 30, 2010
2. The military who can capitalize upon algae farming to gain access to biodiesel and
jet fuel for their needs
3. Municipalities who can provide for their biodiesel needs
4. Organizations like the Norfolk Port Authority or the Hampton Roads
Sanitation District who can utilize the biodiesel to lower their operating costs
(NPA) or mitigate nitrogen in their effluent streams (HRSD).
Specific Goals:

1. Establish a demonstration facility on the scale of 10 acres where commercial
feasibility for growing algae to produce biofuels, organic fertilizers, and other
value‐added by‐products can be shown. ODU has had substantial discussions
with the City of Virginia Beach, including a joint proposal to DOE, to establish
such a facility on City‐owned land.

2. Evaluate the feasibility of coupling other renewable technologies with algae
farming. These include wind turbines and biomass incinerators. Both of these
technologies are readily coupled to algae farming for the purpose of
providing electricity and thermal energy for the farming and conversion
process. Solar PV technology, while expensive, is also another possible
source for electricity.

3. Couple nitrogen‐removal from municipal sewage waste streams with algae farming.
The HRSD is under pressure to reduce discharge of nitrogen and phosphorus to Chesapeake
Bay waters. The algae are able to mitigate these nutrients in the growing
process, thereby providing HRSD with an alternative to more expensive nitrogen removal
technology. The nutrients taken up by the algae are returned to
farmers in the form of organically‐bound and slow‐release fertilizer. The
algae also produce biodiesel that can be used to operate power‐generation
equipment or fleet vehicles.

4. Couple algae farming with carbon dioxide mitigation from coal‐ or gas‐fired
power plants. Algae require carbon dioxide which becomes sequestered
within algal biomass. Use of flue‐gas carbon dioxide for this purpose
effectively mitigates this greenhouse gas, allowing power suppliers to claim
carbon capture and sequestration credits.

5. Work with the military to help them meet their strategic goals of achieving
significant independence from conventional fossil fuels within the next 10‐20
years.
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March 30, 2010
IV.Energy and Natural Resource Implications
Land
Energy Infrastructure Support
Requirements
Transmission Line Corridors
Transformer Stations
Smart Grid
Siting Requirements
City Composting Facility
City and Private Landfills Methane
Recovery & Utilization
Biodiesel Facility
Onshore Wind
Wind Farms and Rural Area
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March 30, 2010
Wind Generation in Urban and
Suburban Areas
Shoreline Applications
Water
Water Quality
Aquatic Habitat
Beaches
Wetlands
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March 30, 2010
This section is still under development
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March 30, 2010
V. Energy Conservation
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March 30, 2010
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March 30, 2010
VI. Economic Development and Green Jobs
Education and Training Programs
Tax Incentives for Energy Retrofits
Regional Strategies to Promote Growth
Port and Maritime Infrastructure
Green Jobs Alliance
Military Energy Needs and Mandates
Tourism
Seafood Industry
Agriculture
Marketing
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March 30, 2010
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March 30, 2010
VII. Appendices
Offshore Drilling for Oil and Natural Gas
Coal
Nuclear Power
Partners
Energy Star
ICLEI
Energy References
City of Virginia Beach EECBG Activities
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March 30, 2010
OFFSHORE DRILLING FOR OIL AND NATURAL GAS
Senator Frank Wagner made a presentation on offshore oil drilling. His proposed strategies are as
follows:
Short Term
1. Resolution from Virginia Beach supporting the Department of the Interior’s Minerals
Management Service’s five‐year plan to open drilling off the coast of Virginia
2. Contact Virginia’s United States Senators and Congressmen to ensure that they are all fully
aware of our support of offshore projects
3. Virginia Beach Department of Economic Development must interface with offshore drilling
interests to:
a. Provide information on the excellent work environment in the City
b. Point out the advantages of a well‐trained local workforce and existing infrastructure to
support offshore
c. Ensure that those interests, especially the two entities that already have proposals in to
perform surveys on the OCS at no cost to the government are aware of the City’s desire to
develop these industries
Mid Term
1. Monitor progress of the OCS five‐year plan
2. Encourage the Department of the Interior to move forward in approving project applications
involving Virginia OCS
3. Provide input/assessment of available infrastructure and any additional information on the
desirability of developing projects off Virginia’s coast
4. Emphasize the positive synergies between wind and drilling interests.
Long Term Goals (following MMS lease auction)

1. Firms that are successful should be encouraged to locate infrastructure and offices in Virginia
Beach
2. Develop a strategy to position the Hampton Roads area as a hub for exploration and
development of oil/gas fields off the Virginia coast
COAL

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March 30, 2010
NUCLEAR POWER

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March 30, 2010
PARTNERS
The City of Virginia Beach considers its energy providers to be critical partners in its long‐term energy
plan. In addition, the City has identified other key partners and activities to date to include:
1. REGIONAL PARTNERSHIPS ‐ The City of Virginia Beach will participate in regional energy
negotiation and conservation programs through its membership with HRPDC.
2. PARTNERS IN EDUCATION ‐ In addition, we will partner with universities for research, energy
audits, internships, and other critical areas of support needed.
3. PUCHASING PARTNERSHIPS ‐ Through our representation on the Virginia Energy Purchasing
Governmental Association (“VEPGA”), we will continue to push for alternative energy and
incentized[kd1] costs.
4. STATE PROGRAMS ‐ We will expand our communications with the Commonwealth to include
the Virginia Department of Mines, Minerals and Energy and the Center of Innovative
Technology.
5. U.S. GREEN BUILDING COUNCIL ‐ The City of Virginia Beach is a member of and participates in
both the national and regional U.S. Green Building Council.
6. OTHER PARTNERS ‐ We will continue to identify and evaluate other partners such as the
Environmental Protection Agency’s Energy Star Program and ICLEI (ICLEI was established as the
International Council on Local Environmental Initiatives ‐ now officially ICLEI‐Local Governments for
Sustainability. Local government for Sustainability ‐ to measure and report on our carbon footprint).
ENERGY STAR
What is the ENERGY STAR Challenge?
The ENERGY STAR Challenge is a national call‐to‐action to improve the energy efficiency of America's
commercial and industrial buildings by 10 percent or more.
Who Can Take the Challenge?
Whether you're associated with a small school or a large corporation, a local government or a national
association, a community hospital or a hotel group, a manufacturing plant or an architecture firm — you
can be part of the ENERGY STAR Challenge and help improve the energy efficiency of America's
commercial and industrial buildings by 10 percent or more.
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March 30, 2010
More and more people are taking the ENERGY STAR Challenge every day. Visit our on‐line sign up and
join schools, auto dealers, Girl Scout troops, town councils, hospitals, churches, and more in the fight
against global warming.
What You Can Do
Challenge participants and their members are encouraged to take as many of these actions as possible:
 Design commercial buildings to be energy efficient.
 Measure and track energy use
 Develop a plan for energy improvements
 Make energy efficiency upgrades
 Help spread the energy efficiency word to others.
 Become an ENERGY STAR Partner
Now is the time to help build a better world and take many of the same steps at work that you are
taking at home to protect our environment. The ENERGY STAR Challenge Toolkit can show you how.
Build a Better World 10% at a Time.
Source: http://www.energystar.gov/index.cfm?c=challenge.learn_challenge
ICLEI
What does the ICLEI name mean?
ICLEI was established as the International Council on Local Environmental Initiatives. The organization is
now officially ICLEI‐Local Governments for Sustainability.
ICLEI members receive access to:
 Clean Air Climate Protection (CACP) Software and training
 Tools, publications and other resources
 Performance‐based campaigns and initiatives
 State, Regional, National and International Peer Networking
 Technical, policy and communications expertise and assistance
 Annual training and leadership events
 Recognition and Awards
 Representation at international meetings
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March 30, 2010
“Embarking on an environmental program sounds like a great idea. But if you’re a mayor trying to cut
greenhouse gases, where do you begin? Do you know how to measure your current levels? That’s
where an organization called ICLEI‐Local Governments for Sustainability can help.”
ENERGY REFERENCES
British Thermal Unit (BTU)
The British thermal unit (BTU or Btu) is a unit of energy used in the power, steam generation, and
heating and air conditioning industries. Although it is still used 'unofficially' in metric English‐speaking
countries (such as Canada, the United Kingdom, and sometimes in New Zealand), it is increasingly an
outmoded and outdated unit of measure. Elsewhere (and always in scientific use) the BTU has been
replaced by the SI unit of energy, the joule (J).
In North America, the term "BTU" is used to describe the heat value (energy content) of fuels, and also
to describe the power of heating and cooling systems, such as furnaces, stoves, barbecue grills, and air
conditioners. When used as a unit of power, BTU per hour (BTU/h) is understood, though this is often
confusingly abbreviated to just "BTU". In the United Kingdom and other parts of the world it is written
BTU.
The unit MBTU was defined as one thousand BTU presumably from the Roman numeral system where
"M" stands for one thousand (1,000). This is easily confused with the SI mega (M) prefix, which adds a
factor of one million (1,000,000). To avoid confusion many companies and engineers use MMBTU to
represent one million BTU. Alternatively a therm is used representing 100,000 or 105 BTU, and a quad as
1015 BTU.
Source: wikipedia.org
Kilowatt
The kilowatt (symbol: kW), equal to one thousand watts, is typically used to state the power output of
engines and the power consumption of tools and machines. A kilowatt is roughly equivalent to 1.34
horsepower. A one bar electric fire (heater) might use 1 kilowatt.
Megawatt
The megawatt (symbol: MW) is equal to one million (106) watts.
Many things can sustain the transfer or consumption of energy on this scale; some of these events or
entities include: lightning strikes, large electric motors, naval craft (such as aircraft carriers and
submarines), engineering hardware, and some scientific research equipment (such as the supercollider
and large lasers). A large residential or retail building may consume several megawatts in electric power
and heating energy.
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March 30, 2010
The productive capacity of electrical generators operated by utility companies is often measured in MW.
Modern high‐powered diesel‐electric railroad locomotives typically have a peak power output of 3 to 5
MW, whereas U.S. nuclear power plants have net summer capacities between about 500 and 1300
MW.[2]
According to the Oxford English Dictionary, the earliest citing for "megawatt" is a reference in the 1900
Webster's International Dictionary of English Language. The OED also says "megawatt" appeared in a 28
November 1847, article in Science (506:2).
Photovoltaics
Photovoltaics, or PV for short, is a technology that converts light directly into electricity. Also,
photovoltaics can be built into the structure of a building; this is called Building Integrated Photovoltaics
or BIPV for short. Photovoltaics is also the field of study relating to this technology and there are many
research institutes devoted to work on photovoltaics. Due to the growing need for solar energy, the
manufacture of solar cells and solar photovoltaic array has expanded dramatically in recent years.
Photovoltaic production has been doubling every two years, increasing by an average of 48 percent each
year since 2002, making it the world’s fastest‐growing energy technology. At the end of 2007, according
to preliminary data, cumulative global production was 12,400 megawatts. Roughly 90% of this
generating capacity consists of grid‐tied electrical systems. Such installations may be ground‐mounted
(and sometimes integrated with farming and grazing) or building integrated.
Financial incentives, such as preferential feed‐in tariffs for solar‐generated electricity and net metering,
have supported solar PV installations in many countries including Germany, Japan, and the United
States.[9]
Source: wikipedia.org
CITY OF VIRGINIA BEACH EECBG ACTIVITIES
An outline of the proposed activities is as follows:
1. Energy Tracking and Communications Program – this program will provide staff that will
work with the community, regional and State entities for a comprehensive approach to
coordinate energy reduction efforts. Using Administrative funds, this funding will also
provide a website and local cable television programming to promote Residential and
Commercial Building Energy Audits and other energy saving initiatives.
2. Technical Consultant Services Studies – this funding will provide three (3) studies to
assist both the City of Virginia Beach and its region. One study will explore a composting
facility in the City of Virginia Beach. One study will review the need and requirements
for vehicles fueled by natural gas. The other study will be a part of a regional
Greenhouse Gas Emission Assessment.
3. Energy Efficiency Retrofits – in an effort to reduce the City of Virginia Beach’s carbon
footprint and provide projects in the local economy for green jobs, the City of Virginia
Beach will be performing lighting and HVAC upgrades in eleven (11) City buildings. This
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March 30, 2010
project will enable the City to implement projects as a result of previous investments in
energy audits.
4. Renewable Energy Technologies on Government Buildings – this wind project will be
located at the City of Virginia Beach’s Advanced Technology Center. This project will
promote renewable wind energy in a learning environment.
5. Hybrid Vehicle Purchase‐ this funding will provide the additional funding needed to
upgrade our purchases of 32 vehicles to hybrids.
6. Data Center Energy Reducing Upgrades – the funding will implement technology
upgrades to effect a seventy‐five percent reduction in energy use related to data
center’s energy consumption.

City of Virginia Beach Mayor'S Alternative Energy Task Force Final Report MARCH 30, 2010

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Fourth Draft: Mayor’s Alternative Energy Task Force Report

1. Support Lease Sale 220 as the process moves forward through testimony or written comment

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