By DON MCINTOSH, Associate Editor
A worldwide shift toward renewable energy is under way, fueled by
rising gas prices and growing concern about global warming. And
far from the job-killer that people once feared, the conversion
is generating good-paying construction, manufacturing and utility
jobs. Skilled union workers, in many cases, are part of the cutting
edge.
“The Northwest is blessed with a generous endowment of all
the renewables,” said Rachel Shimshak, director of Renewable
Northwest Project, which promotes development of wind, solar,
and geothermal for producing electricity.
Those three, plus “wave” energy from the ocean, are
the “new renewables.” Add them to the old renewables
— hydroelectric and biomass — and the region is sure
to remain tops in the nation for clean energy.
Oregon, for example, gets about 47 percent of its electricity from
renewable sources, compared to six percent for the United States
as a whole. Most of that — 43 percent — is hydroelectric,
but about 4 percent is biomass. Just 1 percent is wind and geothermal.
But investment in new renewables is ramping up tremendously now
in Oregon, driven for the most part by government mandates and tax
incentives.
This year, the Oregon Legislature increased the state’s Business
Energy Tax Credit from 35 percent to 50 percent, doubled the maximum
to $20 million, and changed the rules to allow companies to take
both the state credit and a similar 30 percent federal tax credit.
That means when a business installs a renewable energy system in
Oregon, the state and federal governments will pay out 80 percent
of the cost over a five-year period. Expect to see an explosion
of renewables in Oregon. An 80 percent subsidy makes it pretty affordable
to put a photovoltaic panel on a roof or a methane digester next
to a feedlot.
Multnomah County is about to make creative use of the tax credit.
At the instigation of Commissioner Jeff Cogen, the county is seeking
bids for investors to lease a parking lot and and four county building
rooftops, install photovoltaic panels, and sell the electricity
back to the County at the same rate it’s currently paying.
Proposals are due Nov. 12.
Starting next January, 1.5 percent of the budget of all state or
local government construction or remodeling projects in Oregon will
have to go toward solar technology, thanks to another bill introduced
this year by State Rep. (and union Carpenter) Paul Holvey (D-Eugene.)
There’s no guarantee the installation will be done by union
workers, but the International Brotherhood of Electrical Workers
(IBEW) has been working to get ahead of the curve. Since 2002, the
NECA-IBEW Electrical
Training Center on Northeast Airport Way in Portland has trained
over 400 journeymen in how to properly install photovoltaic panels.
It’s a popular subject at the training center. A class in
Photo-Voltaic Energy Generation Systems that begins in January had
just one spot remaining as of press time.
“The market is increasing, and we want to capture as much
of it as we can,” said the training center’s solar specialist,
Brian Crise, who helped revise the Solar Photovoltaic Systems chapter
of the National Electrical Code.
IBEW’s market share in residential solar installation is
pretty small. But several well-known union commercial-industrial
contractors now have solar divisions and a growing business, including
EC Company and Dynalectric.
Solar installation employs electricians, but there are also jobs
on the manufacturing side, like the workers at the Solarworld AG
facility in Vancouver, Wash., who are represented by the Machinists
Union. In February, Solarworld bought the former Komatsu silicon
chip plant in Hillsboro, and announced plans to invest $400 million
to remake it as a solar silicon wafer and solar cell production
facility. When it reaches full capacity by 2009, the German-owned
plant is expected to be the largest solar factory in North America,
with around 1,000 workers.
And California-headquartered Solaicx, a manufacturer of silicon
ingots and wafers used in the solar energy industry, announced in
June that it will be locating a solar chip factory in Portland’s
Rivergate Industrial District, employing around 100 workers.
Meanwhile, other skilled trades are reaping the wind. Wind turbines
aren’t manufactured locally (yet), but Danish turbine maker
Vestas employs about 200 people at its North American headquarters
in Portland. Ships bearing Vestas wind turbines made in Europe and
towers made in Vietnam are being unloaded by union longshore workers
at the Port of Vancouver using a special $23 million crane installed
for that purpose. The windmill components head up I-84 aboard Wilhelm
Trucking and Rigging trucks driven by members of Teamsters Local
162. Then union Iron Workers, Operating Engineers Laborers and Electricians
install them.
The Columbia Gorge east of the Cascades is fast becoming a giant
wind farm, with 438 megawatts of currently-installed peak capacity
from wind turbines, 919 megawatts approved for construction within
the next year or so, and 1,847 megawatts more under review. [As
it’s commonly described, a megawatt is enough electricity
to power 1,000 homes; wind turbines typically operate at about a
third of peak capacity, because the wind doesn’t always blow
at top speed.]
D.H. Blattner & Sons, the general contractor on the wind farms,
started out open shop on the Stateline Wind Project, but unions
worked to build a relationship, and now the company signs project
labor agreements pledging to use all-union crews.
Blattner is currently overseeing the construction of two wind
farms — PGE’s 450 megawatt Biglow Canyon and the 285
megawatt Klondike III; both are in Sherman County. Also in the works
are the Leaning Juniper II wind farm in Gilliam County (279 megawatts)
and and expansion of the Stateline farm in Umatilla County. Four
more wind farms — in Wasco Sherman, Gilliam, and Morrow counties
— are at earlier stages in site review process.
That pace is likely to continue under another new law approved
by the Oregon Legislature this year — it requires the state’s
investor owned utilities (PGE and Pacificorp) to get 25 percent
of the electricity they sell in Oregon from new renewable sources
by 2025.
Then there’s biomass, a catchall term — basically
organic material which is burned to create energy. That can mean
cowpies — like methane digesters on a feedlot or dairy farm
— or it can mean wood products.
Denny Scott, assistant director of the Carpenters Industrial Council,
said his union has been calling on the U.S. Forest Service to award
long-term stewardship contracts to thin overcrowded forests —
to reduce catastrophic forest fires and provide biomass fuel. Currently
several mills use sawdust or woodchips to generate energy for consumption
in the mill, turning a waste product into a renewable fuel source.
To expand, Scott said, companies would need to know they would have
a steady supply of new material.
Another underexploited source of energy is geothermal: Oregon
is geologically active, with hot springs and volcanic activity under
the surface, particularly in the central part of the state. In Klamath
Falls, with the help of federal money, the Oregon Institute of Technology
is planning to drill a mile-deep geothermal well and use the steam
to generate about one megawatt of electricity, enough to power the
campus.
The final frontier, perhaps, is wave energy from Oregon’s
300-mile coastline. Several technologies are being tested. Oregon
Iron Works in Clackamas, which employs members of Iron Workers Shopmens
Local 516, has signed contracts with New Jersey-based Ocean Power
Technology and the Canadian company Finavera Renewables to build
prototype wave energy buoys. And in April, Australian-headquartered
Oceanlinx Limited announced plans to build a “wave park”
one to three miles off the Oregon coast near Florence. At least
10 floating wave energy buoys would be anchored to the seabed, generating
up to 15 megawatts, with the potential for more to be added.
Taken together, says Shimshak of Renewable Energy Northwest, the
region’s new renewables could supply the region’s energy
needs, and supply energy-hungry California as well.