Of Blackouts and Belief
Hopes and dreams sag and fail, like an overheated power line.
New policies never come without risk. But energy policy always seems at risk of becoming entranced with the prospects of a single controlling idea.
Combined-Cycle Profitability as a Market Barometer
A hypothetical look at moneymakers across regions.
Given the high degree of ongoing electric market uncertainty, it can be challenging to get a reading on the current and future health of power markets. One way to gauge the health of the generation segment of the electric sector is to simulate the financial performance of a new gas-fired, combined-cycle unit. To perform this analysis, we start with the cost and performance characteristics of a new combined-cycle unit.
People
People for November 1, 2003
New opportunities at the Nuclear Energy Institute, the Analysis Group, Southwest Gas Corp., and others.
Letters to the Editor
Two letters, one correction
Jonathan Jacobs, Managing Consultant at PA Consulting Group, responds to a letter to the editor in the Oct. 1, 2003 issue from Lewis Evans and Kevin Counsell. And former FERC commissioner Matthew Holden Jr. disagrees with John Sillin's commentary in "The Blackout of 2003: Why We Fell Into the Heart of Darkness" in the Sept. 15, 2003 issue.
AEP's Gutsy Gambit
It would join an RTO but dictate the terms — a dangerous game that has the industry talking.
When I talked a few months ago with AEP President and CEO Linn Draper Jr., he discussed how his company would have joined the PJM RTO in March were it not for the backlash he was getting from certain state regulators.
The Smart Grid
Has the Aug. 14 blackout finally made it more than a pipe dream?
While debate continues about the causes of the Northeast blackout, there’s no arguing that the majority of transmission and distribution in this country is controlled via mechanical technology largely developed in the 1950s.
Energy Technology: Winner Take All
A review of which technologies and companies stand to win and lose as a result of the 2003 blackout.
After the blackout, the electric industry once again finds itself at a crossroads, confronting it with three basic choices. The authors observe which technologies and companies will win and lose as a result.
The Dividend Bust?
A close look at the effect of the dividend tax cut reveals a disappointing investor reaction.
Utilities have been thought of as income stocks, providing among the highest levels of dividend payout in the U.S. economy. Therefore, in theory, utility investors would have much to gain from a substantial dividend tax reduction. But utility investors have not responded as one might have expected.
21st Century ROEs: What Is Reasonable?
How to benchmark return on equity (ROE) and depreciation expense in utility rate cases.
Opposing estimates of investors’ required rates of return and determining appropriate depreciation rates could translate into disagreements worth tens of millions of dollars in a utility’s annual revenue requirement.
The Finance Forum: Growth in a Back-to-Basics World
Financial experts discuss the ongoing recovery in the power industry, and whether better times will live up to investor expectations.
Chief financial officers from Southern Co., FPL, TXU, and Northeast Utilities, and the chief executive officer of Aquila discuss their corporate growth strategies in the context of a more conservative utility environment, and an improvement in the economy.