California Public Utilities Commission

California Public Utilities Commission Approves Flexible Capacity Framework

Citing changes in the regional electric market related to the mandated addition of renewable generating facilities, and alluding to such other factors as tightened water resource regulations and the possibility of merchant power plant shut-downs, the California Public Utilities Commission has approved an interim “flexible capacity” framework as a further component of its annual Resource Adequacy (RA) requirements process.

California Orders SCE to Procure Energy Storage

The California Public Utilities Commission (CPUC) unanimously approved a decision ordering Southern California Edison (SCE) to procure between 1,400 and 1,800 MW of energy capacity in the Los Angeles basin to meet long-term local requirements by 2021. Of this amount, at least 50 MW is required by the CPUC to be procured by SCE from energy storage resources, as well as up to an additional total of 600 MW of capacity required to be procured from preferred resources – including energy storage. “Preferred resources” also include energy efficiency, demand respon

People (June 2012)

Exelon Generation named Ron DeGregorio president of Exelon Power. Most recently he was chief integration officer working on the Exelon-Constellation merger. Former NSTAR president, chairman and CEO Thomas J. May was elected president and CEO of Northeast Utilities (NU) following the completion of the merger of the two companies. He succeeds Charles W. Shivery, who retired from his position and assumed a new role as the non-executive chairman of the board of NU.

People (May 2012)

Lewis “Lew” Hay III intends to retire from NextEra Energy at the end of 2013 as part of a planned leadership succession process. Hay will serve as executive chairman from July 1, 2012, until his retirement, and James L. Robo, currently president and CEO of NextEra Energy, will succeed Hay as CEO, effective July 1.

Vendor Neutral

(May 2012) Entergy Louisiana starts construction on gas-fired power project; Virginia Commonwealth University and Dominion partner on a test site for efficient energy technologies; Burlington Electric Department selects Siemens for meter data management platform; IKEA commissions four Blink electric vehicle charging stations; Edison Mission Energy, TIAA-CREF and Cook Inlet Region Inc. form partnership, and others.

Energy Storage Solutions

Barriers and breakthroughs to a smarter grid.

Technology is quickly making energy storage more economical and effective than ever before. But companies that wish to invest in storage capacity face a journey through a frustrating regulatory no-man’s land. Opening the gateway for storage to deliver smart grid benefits will require a more streamlined and coherent approach to regulating storage as utility infrastructure.

Smart Decoupling

Dealing with unfunded mandates in performance-based ratemaking.

Many states have implemented decoupled rate regimes to avoid penalizing utilities for conservation efforts. But ensuring appropriate recovery of costs involved with conservation and green energy requires a careful approach. Cost sharing mechanisms balance the interests of utilities and customers — and provide incentives to invest.

Keeping Your Kilowatts Private

A survey of state policies on release of customer data.

The advent of smart grid technology has raised new and challenging issues concerning data privacy. Of course, data privacy isn’t a new concern for the energy industry, as utilities have always collected customer data, some of which is common to any business, such as contact and credit information, and some of which is unique to the energy industry, such as usage and demand data.

The Trouble with Freeriders

The debate about freeridership in energy efficiency isn’t wrong, but it is wrongheaded.

In any conservation or efficiency program, some market participants will reap benefits without paying their share of the costs—i.e., the “freerider” problem. Some freeriders are unavoidable and generally not a problem. But as Cadmus Group analysts Hossein Haeri and M. Sami Khawaja explain, avoiding excessive freeridership requires careful program structuring, as well as ongoing measurement to accurately evaluate outcomes.