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Nov 25, 2014

Solar Power for Ivory Towers: Universities Are Making Big Commitments to Renewable Energy


Colleges and universities have always been focal points of change. The mixture of academic research, student activism, and institutional clout has allowed campus communities to promote widespread technical and social transformations. During the last few years, a few of these institutions have begun to lead in an entirely new area—renewable energy. Just last September, the University of California system announced an 80 megawatt (MW) procurement contract for off-site solar photovoltaic (PV) electricity, enough to power almost 13,000 homes.

While this is the largest PPA on record for a university, it was not the first. Back in 2008, the University of Oklahoma signed an agreement with Oklahoma Gas & Electric to purchase 100 percent renewable electricity, spurring the development of a 44-turbine wind farm. Then, in 2012, Ohio State signed a 20-year power purchase agreement (PPA) for 50 MW of wind power. This year, George Washington University and American University teamed up, along with George Washington University Hospital, to secure 52 MW of solar PV from Duke Energy Renewables. Meanwhile, many campuses have installed significant on-site resources. Three universities in particular—Arizona State, Rutgers, and Mount Saint Mary’s—have installed over 57 MW of solar PV combined; enough to power over 9,000 U.S. homes.

Three Reasons Why Universities are Buying Renewables

1. Renewables are a Good Deal

Recent transactions highlight just how competitive renewable power can be. Ohio State University estimated its wind transaction would save the university $1 million dollars in the first year alone. Similarly, American University says that its renewable energy contract “provides fixed pricing for solar energy at a lower total price than current power solutions.” When you start to look at the recent, all-time-low wind and solar prices per kilowatt-hour (kWh), it’s easy to see how these deals can be cost-effective.

In 2013, new wind projects in the U.S. had an average wholesale price of just $0.025/kWh. Meanwhile, recent wholesale solar PPAs have reached $0.05/kWh or lower. Add in the fact that these deals allow buyers to lock in low prices for 20 years or more, and the savings really start to add up. Ultimately, you don’t need an Ivy League endowment to buy a lot of renewable energy—many of the leaders are public universities that have discovered it’s a sound economic investment.

2. Top-Down Leadership

Since 2007, the American Colleges and Universities Presidents’ Climate Commitment has encouraged almost 700 institutions of higher education to commit to achieving carbon neutrality within a defined timeframe. These commitments to reach carbon neutrality, sometimes by 2025 or earlier, are frequently cited as key components of a university’s decision to purchase renewable energy. In fact, a few small colleges have already achieved carbon neutrality, most recently Colby College in Maine.

3. Bottom-Up Demand

Colleges and universities are also responding to a growing demand from their key stakeholders. Students and faculty around the country are already campaigning for increasing university sustainability programs, and these topics are also on the minds of prospective students. In a 2014 Princeton Review survey of student applicants, “61% said having information about a college’s commitment to the environment would impact their decision to apply to or attend a school.” Information about campuses’ sustainability track records, provided through programs such as AASHE's STARS initiative, have brought additional transparency to these efforts and allowed for holistic sustainability rankings. Moreover, for both faculty and students, these renewables projects open up research opportunities. This was particularly true for Ohio State University, which employed over 400 energy researchers in 2013.

Creating Social Change

At RMI, we’ve shown time and again that renewable energy is held back not by technical limitations but rather by societal inertia, outdated regulations, and institutional barriers. Universities, by design, are hubs for experimentation and pushing beyond the norms of the day. As Dr. George Basile from Arizona State University observed, “When society doesn’t know how to do something, universities are where you go to solve those problems.” In addition, universities’ relatively stable growth, long-term ownership of facilities, and intellectual atmosphere provide an ideal testing ground for new approaches.

For these reasons, RMI is engaging with universities through a number of programs, including:

However, more importantly, universities matter because they are educating the future leaders and members of our society. Integrating energy efficiency and renewables into a school’s culture exposes each wave of students to more efficient and sustainable processes, systems and behaviors. That’s social change. That’s legacy. That’s scale.

At the end of the day, whether you’re a student, professor or alumnus, it looks as though universities still have plenty left to teach us.

Image courtesy of Shutterstock.com


Showing 1-2 of 2 comments

December 4, 2014

The other important factor affecting universities' and colleges' uptake of sustainability initiatives is that their campus structure allow them to act as integrated microcosms with centralized decision-making authority that spans energy sourcing, food sourcing, building and grounds construction and maintenance, transportation, water usage and treatment, and various other influential sustainability decisions. With sole-source contracts for food services, lawn and grounds maintenance, etc., targeted influence of a few decision-makers can affect widespread change throughout the entire campus more easily than similarly widespread results could be achieved in the broader community, where each individual property owner / manager must be convinced and brought on board.

For that reason, it's great to see the work that RMI is doing with large real estate holders: There is a great return on the effort invested to convince the decision-makers in those organizations.

March 3, 2015

What ever changes we are going to make, we need to hurry up and make them. I think where possible, Colleges and Universities should adopt the use of solar power and other renewable energy sources. I know you're not dummies, so I'm sure you have had these debates, but time is running out.

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