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Farm America. Power America.

Together, we are returning economic independence to the Heartland.

In our rural communities, being dependent on a future, steady income from farming and ranching would also lead to “betting the farm” in the volatile market of commodities.

The rural areas of the Midwest do not always benefit from economic diversification like its metro counterparts.

All too often, a rural economy is subject to severe loss. From tornadoes and droughts to the high price of hay to the low price of beef. Manufacturers shut down and jobs disappear.

Investments from the wind and solar energy industry are a boon to a stagnate, rural economy.

Farming communities are now home to multiple district operating offices employing technicians, construction workers, and district managers. Employees are living in these communities, buying homes, raising families and paying taxes.

Additionally, landowners are now the recipients of millions of dollars in land lease payments every year and growing. In turn, farmers have expanded operations, acquired more land, bought more equipment, raised more cattle, planted more seed, hired more hands and exported more commodities on behalf of the Midwest.

Thanks to the wind and solar industry, farmers and ranchers are able to save their legacy of land for their children and grandchildren.


Let us know you want to be a part of America’s energy transformation!

Struggling Farmers See Bright Spot in Solar

Panels take land out of crop production but generate energy revenue. ‘Solar becomes a good way to diversify.’

Wall Street Journal, By Kirk Maltais Updated Sept. 23, 2019 10:52 pm ET

U.S. farmers are embracing an alternative means of turning sunlight into revenue during a sharp downturn in crop prices: solar power.

Solar panels are being installed across the Farm Belt for personal and external use on land where growers are struggling to make ends meet. The tit-for-tat tariffs applied by the U.S. and China to each other’s goods have cut demand for American crops. Futures prices for corn, soybeans and wheat are all trading around their lowest levels since 2010. Making matters worse, record spring rainfall left many farmers no time to plant a decent crop. 

The revenue that Dick and Jane Nielsen earn from the corn and soybeans they grow on 3,500 acres outside St. Paul, Minn., has dropped by about 30% over the past six years. The Nielsens are planning to make up some of the shortfall with the roughly $14,000 that a local utility has agreed to pay them annually for the next 22 years to operate an array of solar panels on 15 acres of their land.

“It’s something to live on until we’re gone,” said Mr. Nielsen, 77 years old. 

Farmers have two options for adding solar power on their farms: lease land for energy companies to generate power to funnel electricity into the grid, as the Nielsens are doing; or install their own solar panels to cut their electricity bills. Both methods can amount to more than $1,000 a month in improved margins, according to farmers and renewable-energy advocates. 

“There’s absolutely growing interest in farmers improving their income streams,” said Rob Davis, a director with Fresh Energy, a St. Paul nonprofit that has worked with a few hundred farmers in 30 states to add solar power with environmental benefits to their operations. 

Some farmers say they are hesitant to sign control over their land to power companies for years at a time. If crop prices rebound, they say, rent from power companies could fall behind what they could make growing crops on that land.

But the worst downturn in decades is leading others to take that risk. Farm bankruptcies, known as chapter 12 filings, increased 13% in the first half of this year to the highest level since 2012, according to the American Farm Bureau Federation.

“There’s been very little profit at the end of the year,” said Dan Adams, a corn and soybean farmer who this year leased all of the 322 acres he owns in Iowa County, Wis., to a solar-power cooperative at a rate of $700 an acre annually. He plans to continue farming on 420 rented acres nearby. 

“Solar becomes a good way to diversify your income,” he said. 

The advance of solar installations on farms follows the installation of huge wind turbines across the Farm Belt over the past decade. About 15,000 of the roughly two million U.S. farms contained wind turbines in 2017, the most recent year for which data is available, up from about 9,054 in 2012, according to the U.S. Department of Agriculture.

Solar power—in some cases from small installations used to heat buildings or run equipment—is more widespread. Some 90,000 farms used solar equipment as of 2017, according to the USDA, three times the number using solar panels in 2012.

The National Renewable Energy Laboratory, a division of the U.S. Department of Energy, estimates that solar panels will cover three million acres by 2030. That compares with almost 258,000 acres generating solar power in 2018, according to Wall Street Journal calculations based on data from the U.S. Energy Information Administration.

The way farmers incorporate solar power into their operations depends on how favorable a state is in offering benefits. 

States that encourage funneling locally produced solar power to utility companies are seeing more instances of landowners leasing their acres, said Autumn Long, a regional director with Solar United Neighbors, a nonprofit in Washington, D.C. “But in places that do not incentivize large-scale solar development, farmers are constricted to installing solar to help meet their own energy needs.”

The average cost to install solar is $2.99 per watt, according to online solar marketplace EnergySage. The average home system is 6 kilowatts, which costs homeowners nearly $18,000 before tax credits; but for farmers who need much more power, these costs can range from $40,000 to over $100,000.

Steve Nightingale, a corn and soybean farmer in Henry County, Ill., who recently installed solar panels on one of his fields, said his monthly electricity bill used to rise to $1,000 during harvest. This spring and summer, power from the panels covered his bill for four straight months.

He has also earned credit for 8.5 megawatt hours of future use that his panels have fed back into the local power grid. That is enough to power roughly 1,190 homes in Illinois for a year, according to data from the Solar Energy Industries Association.

“You’re always looking for a return on investment in tougher times like these,” Mr. Nightingale said.

Leading the Nation’s energy revolution

The Advanced Power Alliance is a member-led, non-profit trade association formed to encourage the development of the vast clean energy resources of the south central United States.

Collective strength through a collective voice. That’s the role of The Advanced Power Alliance’s advocacy programs. These are designed to allow participants to leverage their own regulatory and governmental affairs investments by providing assets in states where Alliance members have interests.

Focused on issues that affect our members’ bottom lines, we work to deliver timely and actionable information from legislatures and regulatory agencies.  We also aggressively lobby on the key issues affecting the future of advanced power, ensuring that the voices of our industries are resoundingly heard within our region.

The Alliance is active in two regions: the Southwest Power Pool (“SPP”) and the Electric Reliability Council of Texas (“ERCOT”) regional transmission organizations, which cover all or part of 8 states (Texas, Oklahoma, Kansas, Nebraska, Missouri, Arkansas, New Mexico, Louisiana, Wyoming, Colorado, South Dakota and North Dakota).

Alliance members include energy project developers, owners and operators of wind farms, turbine and component part manufacturers, and consumers of the energy these projects produce.

For information about membership, please contact:

Jeff Clark, president, Advanced Power Alliance at Jeff@PowerAlliance.org or at 512-651-0291.

Toyota To Reduce Emissions From North American Operations By Up To Forty Percent

  • Company will enter Virtual Power Purchase Agreements to fund production of solar and wind energy
  • Launching later this year, agreements will reduce emissions from Toyota’s carbon footprint in North America

PLANO, Texas, July 24, 2019 /PRNewswire/ — Toyota Motor North America (TMNA) is committing to aggressively reduce its carbon output in the United States by entering into Virtual Power Purchase Agreements (VPPAs). It will use them to reduce emissions from its North American operations by up to forty percent over the next 3 years. 

The move represents another major step towards Toyota’s Environmental Challenge 2050 goal of cutting global emissions from plant operations to zero by the year 2050. 

Toyota To Reduce Emissions From North American Operations By Up To Forty Percent
Toyota To Reduce Emissions From North American Operations By Up To Forty Percent

Under the VPPAs, which the company expects to commence later this year, TMNA will contract with renewable energy providers to generate wind and solar power that will be provided directly to regional electric grids. The supply of renewable power is expected to reduce use of fossil fuels while improving the sustainability of the electric grid in the area. 

By powering its operations from the enhanced grid and applying Renewable Energy Credits earned by funding the generation of renewable electricity, Toyota expects to substantially offset emissions from its facilities in North America. 

“Toyota has long been defined by its commitment to responsible environmental practices, and we’re proud to build upon that great legacy today,” said Kevin Butt, General Manager and Regional Environmental Sustainability Director for Toyota Motor North America. “We are committed to setting an example of sustainability that goes beyond vehicles to show how a company can significantly reduce the environmental impact of its operations. By cutting our U.S. emissions by forty percent, we will be that much closer to our goal of having a net positive impact on the environment by the middle of this century.”

Toyota’s VPPA program is the result of more than six years of research into how best to reduce and offset emissions from the company’s operations, working in partnership with MIT, the National Renewable Energy Lab, the Rocky Mountain Institute, and others. It is part of a wider effort across the company to reduce the environmental impact of enterprise operations as it also works to limit vehicle emissions. 

This endeavor supports Toyota’s Environmental Challenge 2050. Launched in 2015, the Challenge sets out six objectives for the company’s global operations, including:

  1. A ninety percent reduction in global average CO2 emissions from new vehicles vs. 2010 levels; 
  2. The complete elimination of CO2 emissions from the entire vehicle life cycle; zero emissions at all manufacturing plants worldwide; 
  3. Minimizing water usage and implementing water discharge management protocols; 
  4. Promoting global deployment of end-of-life vehicle treatment and recycling, and; 
  5. Connecting and promoting nature conservation activities outside of the Toyota Group in the communities where we operate. 

About Toyota 

Toyota (NYSE:TM) has been a part of the cultural fabric in the U.S. and North America for more than 60 years, and is committed to advancing sustainable, next-generation mobility through our Toyota and Lexus brands. During that time, Toyota has created a tremendous value chain as our teams have contributed to world-class design, engineering, and assembly of more than 38 million cars and trucks in North America, where we operate 14 manufacturing plants (10 in the U.S.) and directly employ more than 47,000 people (more than 37,000 in the U.S.). Our 1,800 North American dealerships (nearly 1,500 in the U.S.) sold 2.8 million cars and trucks (2.4 million in the U.S.) in 2018 – and about 87 percent of all Toyota vehicles sold over the past 16 years are still on the road today.  

Through the Start Your Impossible campaign, Toyota highlights the way it partners with community, civic, academic and governmental organizations to address our society’s most pressing mobility challenges. We believe that when people are free to move, anything is possible. For more information about Toyota, visit www.toyotanewsroom.com.

Duke Energy Renewables Acquires 200-MW Holstein Solar Project in Texas from 8minute Solar Energy

  • Once complete, it will be the largest solar project in Duke Energy Renewables’ fleet
  • Project will power the equivalent of 40,000 homes

Duke Energy Renewables, a subsidiary of Duke Energy (NYSE: DUK), is expanding its solar energy portfolio by acquiring the 200-MW Holstein solar project from 8minute Solar Energy. The project, located in Nolan County, Texas, will be the largest in Duke Energy Renewables’ fleet once complete. 

“We’re pleased to add another Texas project to our growing renewables portfolio,” said Rob Caldwell, president of Duke Energy Renewables. “The state has some of the best solar resources in the nation, making it a cost-efficient way to meet the energy needs of Texans. Besides clean energy, the project will also bring significant economic benefits to the state.”

The Holstein solar project will be Duke Energy Renewables’ third solar generation facility in Texas.

“There is no question in our mind that solar PV will be the dominant form of energy in Texas in the near future,” said Tom Buttgenbach, president and CEO of 8minute Solar Energy. “We’re proud to be working with Duke Energy and our other partners on this innovative project to deliver low-cost clean power to Texas’ residents and businesses.”  

The 200-MW project will contain over 709,000 solar panels across approximately 1,300 acres in Wingate, Texas. Construction began in the summer of 2019 and is expected to be complete in the summer of 2020. The Holstein solar project will power the equivalent of 40,000 homes. 

The project will employ up to 400 workers during peak construction.

Duke Energy Renewables acquired the project from 8minute Solar Energy, a leading developer of utility-scale solar projects. 8minute Solar Energy led the development of the project and brought the EPC, operation and maintenance (O&M), hedge, tax equity and debt counterparties to the project.  

Much of the energy generated from the Holstein solar project will be sold through a 12-year term hedge agreement to J. Aron & Company LLC., a subsidiary of Goldman Sachs. This is the first Duke Energy Renewables solar project to utilize a hedge agreement. 

SunTrust is providing a tax equity investment in the project. CIT Group and a consortium of banks are providing a construction loan, letter of credit and term loan facility for the project.

8minute Solar Energy engaged several advisory firms to close the transaction, including Snapper Creek Energy Advisors as the hedge advisor, CCA Capital providing tax equity and M&A advisory, and Norton Rose Fulbright, Orrick, Herrington & Sutcliffe, and Stahl, Davies, Sewell, Chavarria & Friend as legal counsel. The lenders were represented by Winston & Strawn, SunTrust was represented Akin Gump Strauss Hauer & Feld LLP, and Duke Energy Renewables was represented by Troutman Sanders and Duggins Wren Mann & Romero.

The facility’s design, procurement of inverters, balance of plant systems and construction of the project are being performed by Blattner Energy. First Solar will provide O&M services for the project for five years beginning when the project has reached substantial completion, which is estimated to be in the summer of 2020. 

Duke Energy is one of the nation’s top renewable energy providers – on track to own or purchase 8,000 megawatts of wind, solar and biomass energy by 2020.

Duke Energy Renewables

Duke Energy Renewables, a nonregulated unit of Duke Energy, operates wind and solar generation facilities across the U.S., with a total electric capacity of 3,000 megawatts. The power is sold to electric utilities, electric cooperatives, municipalities, and commercial and industrial customers. The unit also operates energy storage and microgrid projects. Visit Duke Energy Renewables for more information. 

Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of the largest energy holding companies in the U.S. It employs 30,000 people and has an electric generating capacity of 51,000 megawatts through its regulated utilities, in addition to Duke Energy Renewables’ capacity.

Duke Energy is transforming its customers’ experience, modernizing the energy grid, generating cleaner energy and expanding natural gas infrastructure to create a smarter energy future for the people and communities it serves.

Duke Energy was named to Fortune’s 2019 “World’s Most Admired Companies” list, and Forbes’ 2019 “America’s Best Employers” list. More information about the company is available at duke-energy.com. The Duke Energy News Center contains news releases, fact sheets, photos, videos and other materials. Duke Energy’s illumination features stories about people, innovations, community topics and environmental issues. Follow Duke Energy on TwitterLinkedInInstagram and Facebook.     

8minute Solar Energy

8minute Solar Energy (“8minute”) is the largest independent developer of solar PV and storage projects in the United States. Founded a decade ago by President and CEO Tom Buttgenbach, 8minute has over 15 GW of solar and storage under development in California, the Southwest, Texas and the Southeast, with more than 2 GW of solar power plants now in operation. The company has also developed the largest solar plant in the nation, the 800-MW Mount Signal solar farm in California. 8minute has one of the best development teams in the industry with a track record of delivering above-market profitability and strong financial returns on utility-scale solar and storage projects. For more information, please visit www.8minute.com.

Enel Green Power Will Fuel Oreo-Maker Mondelēz International with Green Energy in the United States

  • Enel Green Power signed with Mondelēz International a 12-year power purchase agreement under which the food company will buy the energy delivered to the grid by a 65 MW portion of the Roadrunner PV plant. 
  • The renewable energy purchased from Enel Green Power is enough to produce over 50% of all the Oreos consumed in the US annually, equivalent to around 10 billion cookies.

America’s favorite cookie is getting a little sweeter.

Advanced Power Alliance member Enel Green Power today signed a 12-year power purchase agreement (PPA) with food and beverage company Mondelēz International (“Mondelēz”) under which the latter will purchase the energy delivered to the electricity grid from a 65 MW portion of EGPNA’s Roadrunner solar photovoltaic (PV) project in Upton County, Texas. Mondelēz International is present in approximately 150 countries around the world with iconic global and local brands such as Oreo, Cadbury Dairy Milk, Milka and Toblerone chocolate.

The energy supplied by EGPNA’s Roadrunner PV project is enough to produce over 50% of all the Oreos consumed in the US annually, equivalent to around 10 billion cookies, and will reduce Mondelēz International’s annual COemissions by 80,000 metric tons. The agreement is Mondelēz International’s largest renewable energy partnership at global level and their first renewable energy PPA signed in the US. Moreover, it enables the food and beverage company to make substantial progress against the company’s new 2025 Impact Goals which provide a clear roadmap to reduce the company’s environmental footprint.

Roadrunner, which is currently being built, will have a total capacity of 497 MW and, once completed, will be able to generate approximately 1.2 TWh annually, while avoiding the emission of over 800,000 tons of CO2 per year. The first phase of Roadrunner has a capacity of 252 MW and is expected to be completed by the end of 2019; the second 245 MW phase is expected to be completed the following year. Roadrunner is set to be the largest solar facility in Enel’s US portfolio.

EGPNA, part of the Enel Group’s global renewable energy business line Enel Green Power, has projects operating and under development in 24 US states and two Canadian provinces. The company operates around 100 plants with a managed capacity of around 5 GW powered by renewable hydropower, wind, geothermal and solar energy. In Texas, it currently operates the 63 MW Snyder wind farm, located in Scurry County and is constructing the 450 MW High Lonesome wind project, a portion of which is also located in Upton County, Texas.

More information about Enel Green Power is available here.

Advanced Power Alliance Board of Directors Selects 2019-2020 Officers

At its annual meeting in Austin, Texas today, the board of directors of the Advanced Power Alliance elected officers to lead the organization in its important work during the 2019-2020 Strategic Year ahead.

Officers were elected unanimously and reflect the diverse geographic, industry, and policy priorities of the APA members. The APA is the leading renewable and advanced energy advocacy organization in the Electric Reliability Council of Texas (ERCOT) and the Southwest Power Pool (SPP) regions. Members of the organization are developing wind energy, solar power, and energy storage projects across the ERCOT and SPP footprints. Membership of the APA also includes major corporate power purchasers, utilities, and investors in advanced energy projects.

Officers for the 2019-2020 Strategic Year are:

  • Chairman – Philip Moore, Lincoln Clean Energy
  • Vice Chairman – Spencer Hanes, Duke Energy
  • Secretary – Vanessa Tutos, EDP Renewables
  • Treasurer – Kevin Gresham, E.On Climate and Renewables
  • SPP Chair – Jack Clark, NextEra Energy Resources
  • ERCOT Chair – Thresa Allen, Avangrid

Advanced Power Alliance Recognizes Texas State Representative Jim Murphy as “Texas Energy Champion”

June 25, 2019 – Advanced Power Alliance President Jeff Clark and American Wind Energy Association (AWEA) Vice President Susan Sloan presented the “Texas Energy Champion” award to Texas State Representative Jim Murphy (District 133 – West Houston) at a meeting in Houston this morning.

The award was presented by the APA and AWEA in recognition of Murphy’s policy work to support economic development in the state, and for his commitment to promoting all of Texas’ diverse energy industries. Representative Murphy is serving his sixth term in the Texas House where he chairs the Committee on Pensions, Investments, and Financial Services and serves as a member of the Committee on Ways and Means.

In presenting the award to Chairman Murphy, Clark cited the Chairman’s willingness to make economic development a priority for the state:

“Because of his expertise in important business and economic development issues, his commitment to growing our state’s economy, and his willingness to work with all stakeholders, Chairman Murphy is a respected and effective member of the Texas House of Representatives.

“He is a lawmaker who wants to see Texas to achieve its incredible economic potential and he is working to enact free market policies to promote prosperity and ensure that our state remains internationally competitive.

“His work to promote all of Texas’ diverse energy industries is paying dividends by creating a business climate that attracts capital investment and creates job opportunities for workers across the state. That translates into a better quality of life for all Texans.

“This Texas Energy Champion award represents the appreciation of our many energy industries and their employees, from the Panhandle to the Rio Grande and from the Rockies to the Piney Woods. Chairman Murphy’s visionary work is helping to create jobs and keep Texas in the forefront as America’s energy leader.”

Jeff Clark, President
Advanced Power Alliance

Free Markets and Infrastructure Give Texas a Cleaner Power Grid

For many years, policymakers in Washington have struggled to manufacture a workable policy that addresses the serious challenges we face from our changing climate without raising Americans’ energy bills. They could learn a few things from Texas.

The Lone Star State has demonstrated how to increase production of affordable and reliable power by embracing markets, technology, infrastructure development, and all of its energy resources. 

In 1999, Texas deregulated much of its power grid. Since then, clean energy has taken off. 

Since deregulation, wind power output in Texas has grown more than 1,600%, and today provides nearly 20% of our state’s generation capacity. Texas is not only the largest wind producing state; if it were its own country, it would be the fourth largest producer in the world.

Texas is also known for natural gas production, and we are the largest natural gas consuming state as well. Since 2002, Texas power generators have increased their use of natural gas by approximately 30%,and today the fuel accounts for half of our total generation capacity.

The simultaneous growth of wind and natural gas was no accident. In 2017, researchers from the National Bureau of Economic Researchconcluded that renewables and natural gas are “highly complementary,” and they “should be jointly installed to meet the goals of cutting emissions and ensuring a stable supply.”

That’s exactly what has happened in Texas.

Our residential electricity rates are lower than the national average. The Baker Institute at Rice University found that since deregulation, average power prices declined in all competitive markets in the state. These savings can be attributed to the shale gas revolution and the growth of renewable energy that occurred over roughly the same period. 

Wind and natural gas helped Texas slash energy prices, and at the same time, they have cut air pollution. Over the same period covered by the Baker Institute report, per capita energy-related carbon dioxide emissions in Texas declined by 27%. Nitrogen oxide emissions declinedby 26%, and sulfur dioxide emissions declined by nearly 60%.

But is the electricity grid any less reliable? No. According to a study from the U.S. Department of Energy, the increased use of renewable energy is not a threat to grid reliability. Statements from the Electric Reliability Council of Texas (ERCOT), the Texas Reliability Entity, and the ERCOT Independent Market Monitor are in agreement with the study. The bigger threat is inadequate infrastructure, which is where Texas has also been ahead of the curve.

Texas has the country’s most extensive pipeline network, with 466,000 miles of pipeline crisscrossing the state. We understand infrastructure’s role in facilitating energy development, including the shale energy revolution. Amid the current energy boom, we’re seeing a wave of new pipeline projectscome online, and for good reason: if we want reliable energy, we need the infrastructure to bring it to market. 

But it’s not just pipelines. Texans recognized nearly two decades ago there was massive potential for wind energy in West Texas and the Panhandle. Governors George W. Bush and Rick Perry both championed the installation of transmission lines to connect our large cities to these areas that were ripe for renewable energy development, which became known as Competitive Renewable Energy Zones (CREZ).

The U.S. Department of Energy’s aforementioned grid study highlighted the success story of the Texas CREZ projects, holding them out as “an example of an approach to quickly develop generation and transmission” to expand access to clean energy.

ERCOT has observedthat the CREZ infrastructure investments “combined economic development, development of in-state energy resources, and development of green energy.” ERCOT also cited the “large fleet of flexible natural gas” that has helped integrate increasing amounts of wind energy into the Texas grid, reinforcing the symbiotic relationship between these two clean energy options. CREZ has helped to power the Permian Basin, and this Texas infrastructure has helped to meet the power needs of our growing state.

There is a policy current running through the Legislature in 2019 that would harm the ability of Texas to continue to push forward on the successful vision laid out by Republican leaders in 1999 and during subsequent sessions. That would be most unfortunate. The combination of our infinite wind energy resources, growing solar resources, and our near infinite reserves of natural gas has delivered lower power prices, less pollution, and a stronger electric grid – and we did it with markets and innovation, not taxes and regulation. We need to stay the course now more than ever.

Jeff Clark is president of the Advanced Power Coalition in Austin. Steve Everley is spokesman for Texans for Natural Gas in Houston.

Original Publication: https://www.mrt.com/opinion/article/Free-markets-infrastructure-give-Texas-cleaner-13920301.php

Honda Conducting Research with American Electric Power to Develop 2nd Life for Used EV Batteries

  • Automaker and utility will study the integration of renewable energy, energy storage, and electric vehicles
  • Project seeks to provide 2nd life for used EV batteries, critical to future expansion of EVs

As part of its ongoing effort to reduce CO2emissions from its vehicles and operations, Honda is conducting research with Ohio-based electric utility American Electric Power to develop a network of used electric vehicle (EV) batteries that could be integrated into AEP’s electricity system. 

Honda will provide used Fit EV batteries to America Electric Power, which will study integrating the batteries into the utility’s electricity grid.
Honda will provide used Fit EV batteries to America Electric Power, which will study integrating the batteries into the utility’s electricity grid.

The project seeks to address multiple challenges related to the expansion of EVs, including the repurposing of used EV batteries, the expected impact of EV demand and renewable energy on the nation’s utility operators and the integration of EV batteries as a storage solution for the electric grid.

The increasing volume of EVs has the potential to strain the power grid, including spikes in demand during early evening hours when drivers plug in their EVs after work. Storing additional power in used EV batteries can help utilities meet demand by using renewable energy resources.            

“Together with AEP, we are exploring opportunities to use the 2nd life battery to improve energy security, reduce CO2and prepare for broad scale electrification of the transportation ecosystem,” said Ryan Harty, manager of Connected and Environmental Business, American Honda Motor Co., Inc. “Neither automakers nor utilities can address these complex technical, policy and business issues alone.” 

Honda will provide used Fit EV batteries to AEP, which will study integrating the batteries into the utility’s electricity grid. 

“AEP is focused on building a smarter, cleaner energy grid and putting in place new technologies that will benefit our customers. We are excited about the possibilities of this collaboration as we work to create the energy system for the future,” said Ram Sastry, AEP’s vice president of Innovation and Technology. 

AEP and Honda will jointly gain knowledge and expertise from the pilot project that will help both companies to develop technology and standards for future vehicle grid integration, as well as new business models to improve the value of EVs. 

The Honda Fit EV launched in 2012 with a fuel economy of 118 MPGe. The lease-only vehicle gained a loyal following among passionate EV customers. Although replaced by the Honda Clarity family of electrified vehicles, including the Clarity Electric, the Fit EV’s durable battery will continue to support Honda’s efforts to reduce CO2 emissions through its 2nd life in the vehicle grid integration project. 

Honda has set a voluntary goal to reduce CO2 emissions from its vehicles and operations by 50 percent by 2050 compared to the year 2000, and toward this goal has announced plans to electrify two-thirds of its fleet by 2030. In addition to producing zero emission vehicles, the company is developing vehicle grid integration solutions, including the beta Honda SmartChargeTM program, which incentivizes Honda EV customers to charge their vehicles when more renewable energy resources are online. At CES 2019, Honda introduced its prototype Wireless Vehicle-to-Grid (V2G) bi-directional energy management system that has the potential to reduce CO2 and create new value for Honda customers.

About Honda 
Based on its vision of “Blue Skies for Our Children,” Honda is working to advance technologies that address society’s environmental and energy concerns. In North America, the Honda Electrification Initiative will see Honda’s electrified powertrain technologies applied to an expanding portfolio of cars and light trucks in the years ahead. Honda’s electrified vehicle lineup today includes the Clarity series of vehicles, featuring fuel cell, battery electric and plug-in hybrid powertrains, along with the new Accord Hybrid and Honda Insight.

Honda is focused on reducing the environmental impact of its products throughout their life cycle, including reducing waste, emissions and further improving the energy efficiency of producing, distributing and selling Honda and Acura products in North America. This includes a 93 percent reduction in waste sent to landfills from Honda plants in North America. Seeking to further minimize its carbon footprint, Honda is actively deploying renewable energy throughout its operations, including wind and solar.

Through its “green purchasing” and “green dealer” initiatives, the company also is committed to promoting more environmentally responsible business practices with its more than 650 original equipment suppliers and 1,300 retail dealer partners.

About AEP
American Electric Power, based in Columbus, Ohio, is focused on building a smarter energy infrastructure and delivering new technologies and custom energy solutions to our customers. AEP’s approximately 18,000 employees operate and maintain the nation’s largest electricity transmission system and more than 219,000 miles of distribution lines to efficiently deliver safe, reliable power to nearly 5.4 million regulated customers in 11 states. AEP also is one of the nation’s largest electricity producers with more than 32,000 megawatts of diverse generating capacity, including more than 5,000 megawatts of renewable energy. AEP’s family of companies includes utilities AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texasand the Texas Panhandle). AEP also owns AEP Energy, AEP Energy Partners, AEP OnSite Partners, and AEP Renewables, which provide innovative competitive energy solutions nationwide. For more information, visit aep.com.