Delivering value in a zero-growth market.
Kelly P. Gallant, Timothy P. Porter, Jack Azagury
Disruptive technologies and resource shifts are changing the utility business model. Market factors are driving companies toward four possible paths.
Barriers and breakthroughs to a smarter grid.
Technology is quickly making energy storage more economical and effective than ever before. But companies that wish to invest in storage capacity face a journey through a frustrating regulatory no-man’s land. Opening the gateway for storage to deliver smart grid benefits will require a more streamlined and coherent approach to regulating storage as utility infrastructure.
(April 2012) MidAmerican Energy awarded a contract to Siemens Energy to supply wind turbines for its 407-MW project expansion. American Electric Power began operating the 580-MW Dresden natural gas-fired combined-cycle power plant. Duke Energy and ChinaHuaneng Group signed a three-year agreement expanding their research cooperation to include coal and carbon capture and sequestration technologies. And others...
(March 2012) DTE Energy awards contract to URS; Exelon and Constellation reach an agreement with Electricite de France; Dominion and Lockheed Martin enter a joint marketing and development alliance; plus deals involving Nissan North America, CenterPoint Energy Field Services, Honeywell, Silver Spring Networks, and others.
The United States is the superpower of cyber warfare, but we aren’t alone in possessing these capabilities. Sophisticated attacks raise new concerns about utility vulnerabilities -- SCADA systems in particular.
The year 2011 may have forever changed the way we think about the security of networks and systems. Following a year many are calling the “year of the hack,” security professionals have fundamentally changed their outlook when it comes to the threat of a network breach. Whereas previously, many considered a breach unlikely and more of an “if” scenario, many have shifted to a mindset of “when.”
Engineering and construction firms adapt to a changing market.
Engineering, procurement and construction (EPC) contracts are evolving as utilities seek to spread risks, contain costs, and execute their business strategies. As a result, turnkey contractors are adapting their capabilities to meet the industry’s changing needs. Leading EPC firms share their vision for a 21st century energy industry—and their role in building it.
Clean energy jobs will be gone soon, if America fails to commit.
America needs an energy policy today that will bring together our best and brightest, harness the limitless capabilities of our research institutions, and invest whatever it takes to ensure America’s leadership in clean energy technologies. The result will be to create billion-dollar industries and millions of new jobs.
Renewing public support after Fukushima Daiichi.
The Fukushima disaster has fallen off the headlines, but fear of nuclear energy remains a potent barrier to new development—as well as continued operation of the current reactor fleet. Building the foundation for a stable industry will require a sustained and strategic approach to restoring and securing the public trust.
Business models are evolving to suit a shifting industry landscape.
Andre Begosso, Jack Azagury and Tim Porter
The next decade will bring serious disruption to the utility industry. But with cooperation from regulators and legislators, utility companies will be able to shift their business models to capture significant value—both in existing businesses and emerging ones.
Shaping system transformation.
New technologies—and new expectations—require taking a fresh look at the institutions and practices that have provided reliable electricity for the past century. Collective action is needed to define the key attributes of a future grid and then to take the more difficult next step—adapting our processes and institutions to align with that future vision. A thoughtful approach will allow America to capture the potential value that’s offered by sweeping changes in technologies and policies.