Lessons from New England on electric-gas market coordination.
Despite the hype about cheap gas, pipeline constraints are creating new risks. New England’s wholesale power prices ran three times as high this past February compared to the same month in 2012.
A regulatory model for resource parity between supply and demand.
Brian Hedman and Jill Steiner
Integrated resource planning must level the field for both supply- and demand-side resources. Commissions in several states are showing the way.
How suppliers and generators can each gain from today’s historic low prices.
Gregory C. Staple & Patrick Bean
Gas-fired generators and suppliers alike can each share risk and reward from historic low prices with contracts that blend market and fixed prices
Calculating the implied value of CO2 abatement in green energy policies.
Philip Q Hanser and Mariko Geronimo
Renewable portfolio standards and other green energy rules put a price on environmental benefits. Calculating this price can help clarify the social value of GHG reductions.
Making room on the local grid for small-scale PV.
For the first time, perhaps, the electric utility industry may need to keep track not only of peak load, but also of minimum load, as the Federal Energy Regulatory Commission reviews a proposal by the Solar Energy Industries Association to employ a new definition of minimum load under a new, relaxed threshold test that would govern eligibility for fast-tracking of applications by generation developers to interconnect new, small-scale solar energy projects to the local utility distribution grid.
Earnings erosion in a more competitive world.
Paul R. Carpenter, et al.
Recent years have seen fundamental changes in the supply and competitive landscape of the North American natural gas market. In response to high natural gas prices that prevailed during most of the last decade, gas producers in the lower 48 now have developed new sources of supply and technology, particularly to access new shale gas formations. These new supplies have encouraged a substantial expansion of the natural gas pipeline network in North America to allow the producers to reach end-use markets.
Second thoughts on transmission’s golden egg.
The electric utility industry offers up a wealth of ideas on how the Federal Energy Regulatory Commission might reform its policy, adopted under FERC Order 679 in 2006, of granting financial incentives for investments in transmission line projects that ensure reliability or mitigate line congestion so as to reduce the cost of delivered power. Fortnightly’s Bruce W. Radford reports.
Unforeseen consequences of dedicated renewable energy transmission.
Roger H. Bezdek and Robert M. Wendling
Achieving aggressive renewable energy goals will require building thousands of miles of new transmission lines, and these so-called “green-power superhighways” could bring major new sources of low-cost electricity into the market. But will those sources be renewables? Analysts Roger Bezdek and Robert Wendling argue that with new access to distant wholesale markets, coal-fired generation would become more competitive than ever.
Are merchant power assets overpriced?
By some measures, merchant power assets look like a bargain, selling for well below their replacement cost. But whether low prices signal a buying opportunity or a value trap depends on the outlook for electricity demand growth—not just in the long term, but also in the fairly immediate future.
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.