Beyond-the-meter technologies challenge the utility monopoly.
Smart metering and beyond-the-meter technologies are challenging the utility monopoly model. Now, regulated utilities must re-think their customer relationships as a revitalized retail sector provides growth opportunities.
When DTE Energy divested its transmission business back in 2003, the future of independent transmission companies (transcos) looked uncertain. A few transcos persevered, however, and this year for the first time the F40 survey includes one of them.
Performance standards are a valid idea—if targets are achievable.
Performance standards are a valid and necessary idea to drive conservation, but only if targets are realistic and achievable. So far, success has been determined by program rationality. A uniform, market-based approach would give retailers flexibility to spur innovation.
State regulators face mandates without consensus.
New federal and state policy mandates are pulling state regulators in many directions. The patchwork of regulations has created a new level of complexity for utility investment decisions and political risk for utilities and state regulators alike.
Beacon Power delivers flywheel electronics; PPL awards dry sorbent injection contract to United Conveyor.
In July 2010, ComEd brought $500 million worth of 10-year notes to market; Massey Energy acquired Marmet Dock from Kanawha River Terminals; Beacon Power raised $25 million in equity from Aspire Capital; other transactions involved Plains All-American Pipeline and Black Hills Corp.
Wall Street reform hits the utility business.
Utilities, long accustomed to regulation by FERC and state PUCs, now face extensive regulation of their energy trading activities by the Commodity Futures Trading Commission (CFTC). Under the Wall Street Reform and Consumer Protection Act—commonly known as Dodd-Frank—signed into law July 21, 2010, energy swap contracts may be subject to new capital, margin, reporting, business conduct, and other requirements that likely will increase their trading costs and create new compliance concerns.
Engaging the consumer takes on new meaning.
Customer backlash over dynamic pricing and the smart-grid caught the industry unprepared. CIOs and top customer specialists share their strategies for engagement and attaining consumer satisfaction.
A renewable incentive expires with the Treasury grant program.
With incentives under the Treasury grant program set to expire at the end of the year, green-power development once again seems to be entering the bust phase of its perennial boom-bust cycle. Statutory deadlines presage a surge in new construction beginning between now and the end of the year. What happens after that depends on Congress.
Funds collected for cost-of-removal liabilities could finance capital spending.
The industry might be overlooking a source of capital for smart-grid and similar investments. Funds collected in depreciation accounts for cost-of-removal liabilities could finance capital spending projects.