The Greening of Utility Customers

Deck: 

A survey finds that consumers would support higher costs of “clean coal” and alternative fuels.

Fortnightly Magazine - September 2007
This full article is only accessible by current license holders. Please login to view the full content.
Don't have a license yet? Click here to sign up for Public Utilities Fortnightly, and gain access to the entire Fortnightly article database online.

Climate-change concerns and escalating energy costs have caused many states to introduce voluntary or mandatory programs to support “renewable” or “alternative” energy frequently along with consumer efficiency and conservation measures. Most renewable energy sources have costs exceeding the current production costs of conventional fossil-fuel generation or nuclear power as calculated for utility ratemaking purposes. This means that, absent conservation or efficiency measures, consumers’ bills will increase if the switch is made to renewable energy supply.

How willing are consumers to accept such increases? To answer that question Deloitte surveyed residential consumers a few months ago on the subject. Consumer acceptance of mandatory renewable purchases in spite of an expected price increase in electricity would be critical to continuation or expansion of state programs and such acceptance also would support Senate and House proposals for federally mandated renewable portfolio supply (RPS) programs.

This full article is only accessible by current license holders. Please login to view the full content.
Don't have a license yet? Click here to sign up for Public Utilities Fortnightly, and gain access to the entire Fortnightly article database online.