PUCs are concerned that a rapid shutdown of coal-fired plants will start a full-tilt dash to gas—similar to the one that caused bankruptcies among independent power producers in the late 1990s and early 2000s. But this time around, ratepayers and not IPP investors will be stuck with the risk, if utilities rush to add all that new gas-fired capacity to rate base.

As federal policy makers push for GHG regulation and transparent markets, the California experience shows what works and what doesn’t work.

Economic uncertainties are raising doubts over utility returns. Will regulators feel the need to consider broader economic effects when engaging in ratemaking? While reporting on this year’s rate cases, the author provides insight on what to expect as stock prices fall.

Severe upward pressure on electric rates after a decade of stability has regulators, legislators, utility executives, consumer advocates, and myriad other stakeholders searching for solutions. Revenue-backed financing can mitigate many of these mandate-driven rate increases significantly. These programs must, however, be designed to eliminate the inefficiencies and inequities that can be associated with revenue set-aside programs.

Goodbye to All That?

 

 

Some want a tighter grip on generators, but FERC should steer clear.

Electric Executives' Forum
Summer 2001: Are You Ready?

 

Demand-side programs are all the rage as utilities scramble to find power to serve peak loads.

Be prepared. Power interruptions are not necessarily expected -nevertheless, be prepared-but by God, line up all the weapons you can to prevent blackouts in the first place.

 

e-Commerce is consolidating, but there's room for the little guys too.

Thomas Edison built the electric utility industry virtually from scratch out of his workshop, so can Internet mavericks do the same for e-commerce? Or has the moment passed for the garage startups, leaving it to the big utilities—or better yet, the large conglomerates and multi-company joint ventures—to attract capital and introduce the new ideas?