Department of Energy

The Coming Conflict

Predicting discord in power plant property tax assessments.

At a time when many states and municipalities are facing budget deficits of historic proportions, many power generators are struggling against declining demand, the lowest electricity prices in many years, and looming carbon legislation. As a result, tax authorities might be seeking to raise property tax receipts at the exact same time that many generators are looking to lower their assessments. Conflict appears to be on the horizon, but where will it emerge? An examination of state budgets, as well as the expected changes in generator gross margins, reveals how tax collectors and taxpayers are most likely to respond.

Federal-State Partnership

Transforming DR and smart-grid policies into reality.

Regulatory policies are evolving to make demand response and smart-grid planning a reality across the country. Cooperation between federal and state lawmakers will allow local flexibility within a uniform national framework.

Greening Connecticut

Aligning renewable energy incentives with RPS compliance.

States’ green energy policies are being used to serve multiple agendas. Lawmakers should revisit their renewable incentive programs to better align them with policy goals. A regional approach will yield a more efficient portfolio.

Green Energy Outlook

Realizing the benefits of a modernized system requires an integrated strategy.

The U.S. power market consistently has displayed cyclical characteristics of boom and bust over the last two decades. Today’s market environment has been directly and significantly impacted by the recent economic recession. Decreases in load growth, declining commodity prices, and lack of accessible financing have caused challenges for the industry.

Rethinking Prices

The changing architecture of demand response in America.

Pilot projects are demonstrating the potential of smart metering and smart rates to make the most of supply and demand resources. But as empirical studies show, not all pricing designs are equally suited to every region.

Not So Fast

Proving market performance requires detailed analysis.

Now that fuel prices have fallen recently from the highs seen in 2008 and wholesale electricity prices also have decreased, it might be tempting to attribute the lower prices to the restructuring of the wholesale electricity markets. Unfortunately, it’s a little more complicated than that.

New Day for Prudence

Pre-approvals demand a new approach to managing risks and costs.

Proving the need for new infrastructure construction for energy purchases has become more complicated for utilities. State commissions reserve the right to revisit rate-base investments after the fact, even when they’ve been pre-approved.

Carbon Solutions

Capture and storage tech developments secure coal’s future.

Capture and sequestration will help ensure the future of coal-fired power plants. Demonstration projects are allowing utilities to kick the tires on the latest technologies, and to learn how CCS will affect operations and economics at state-of-the-art plants.

Subsidy Addiction

Government incentives are smothering free enterprise.

When Sen. Lamar Alexander (R-Tenn.) announced legislation in November 2009 aimed at doubling America’s nuclear power capacity within 20 years, he compared the clean-energy challenge to fighting a war. “If we were going to war, we wouldn’t mothball our nuclear navy and start subsidizing sailboats,” he told attendees at the American Nuclear Society’s winter meeting. “If addressing climate change and creating low-cost, reliable energy are national imperatives, we shouldn’t stop building nuclear plants and start subsidizing windmills.”

Integrating New England Renewables

How to manage the green revolution.

Dramatic changes are coming to the electric industry, sparked by a surge of renewable energy and related transmission. Growth in demand-side resources, conservation and smart technologies will add integration dilemmas to an already complex power system.