Aquila: Better Off Dead?
Bankruptcy may not be better for ratepayers.
In an ironic twist, Aquila now looks more and more like a traditional, stick-to-the-knitting electric utility. There is no longer any unregulated operation to worry about.
A Thousand Maine Customers See the Light
In this Fortnightly parody, Interfaith Power & Light employees and users gather to celebrate a milestone.
Zealous disciples of the gospel of "green energy" gathered in Maine recently, rejoicing that Maine Interfaith Power & Light (IPL) had achieved its goal of 1,000 customers for its environmentally friendly renewable energy program.
The Economics of Wind: Looking at MidAmerican Energy
How the wind farm capacity factor and a tax subsidy can beef up a utility's bottom line.
These analyses illustrate the economics of wind farming, the importance of the wind farm capacity factor, and that a tax subsidy can generate much cash to the bottom line of a utility in a specific and properly chosen wind-farm site.
Gas Crisis Forum: Is It Real, or Is It Hype?
Chicken Little has cornered the market on gas price doom and gloom, but the data is inconsistent on whether high gas prices are here to stay.
“Crisis” makes for good business to an interesting assortment of players in the energy industry, but such talk could lead to unnecessary and untimely legislative and regulatory intercession. Investment, not government intervention, could be the answer.
Gas Crisis Forum: Prices Pointing Skyward!
Gas prices are likely to remain high in the near term.
The prospects aren’t good for a dip in natural gas prices. An overview of Canadian imports, Mexican exports, LNG, the Rockies, and the overall demand for gas points to higher prices for gas in the near term.
The Carbon Conundrum
Technology exists to sequester carbon-but will utilities ever buy in?
Is carbon sequestration part of the vision of inexpensive, secure power? The current economics of capturing carbon don’t lend themselves to an affirmative answer, but projects backed by federal dollars could provide crucial information.
Economic Dispatch Redux
The venerated process may get a makeover.
While issues involving ratemaking treatment and stranded assets might prove challenging, the simple logic of expanding economic dispatch processes is difficult to fault. Now, if the industry and its regulators can accept the notion of interim measures on the road to market reform, expanded economic dispatch seems like a bankable policy trend for the near term.
Commission Watch
The commission nails companies, but orders payments.
Nora Mead Brownell, FERC: This case more than any other makes it clear when you have as part of your business plan systemic market manipulation, you will not have market-based rate authority.
People
People for August 2003.
New positions at the Nuclear Regulatory Commission, the Organization of MISO States Inc., FPL Group Inc., and others.
Butterfly Nets and Crystal Balls
Forecasters seem at odds over timing for recovery of power prices and earnings.
Certainly, the future outlook of the industry looks uncertain, at best. Exelon CEO John W. Rowe told Fortnightly recently, “if you can see two to five years ahead [you’re] doing pretty well.” Given the discord in industry forecasts, by that standard we could do worse.