Leadership

Recently an acquaintance of mine, who shall remain nameless, gave a diamond engagement ring to his girlfriend. She joyfully accepted the ring. But soon her joy turned to disgust when she learned that her lovely “diamond” actually was a cubic zirconium. Last I heard, she’d broken off the engagement and was dating her ex-fiancé’s former boss.

El Paso Electric (EPE) selected David W. Stevens as CEO. DPL Inc. promoted Frederick J. Boyle to senior vice president, CFO and treasurer of DPL and its principal subsidiary, The Dayton Power and Light Co. Great Plains Energy named Todd Kobayashi v.p., strategy and risk management. Consumers Energy promoted Richard J. Ford to vice president of energy delivery. And others...

‘Capture readiness’ hasn’t helped coal projects move forward, but a firm commitment might make the difference.

IBM compiled a comprehensive report, The Enterprise of the Future, which describes traits that the leading companies across all industries will share. Key industries—including utilities—also were evaluated individually to see how these traits might emerge as industries reshape and evolve in the face of customer demands, environmental pressures, global integration, workforce changes, and other challenges.

Can new nuclear power plants get approved? Will wind generators get production tax credits? Will West Coast companies be allowed to re-permit their hydro plants? Will cap-and-trade legislation endanger the coal industry? And who will pay for the transmission of renewable energy? These critical questions still remain unanswered, but utility companies must forge a business strategy through the murk.

True story: At the dinner table recently, my 11 year-old son—who’s running for 6th grade student council—bemoaned the arguments he’s having with other candidates. I asked what they’re arguing about, and he said “Everything.” “Oh really? What’s your position on the mortgage bailout.” “It sucks!” he blurted. I countered, “But if we don’t do it, the financial system will collapse.”

Thanks to the Internet, consumers expect 21st century companies to bring a sophisticated online presence. Utilities that leverage the interactive power of Web 2.0 will strengthen their positions in regulatory and competitive arenas.

As market forces transform the IOU business model, Apple’s iPhone provides a metaphor and possible example for the industry to follow. The iUtility will emerge as companies renegotiate the regulatory compact and reinterpret the traditional rate formula.

The U.S. nuclear power industry faces a yawning talent gap. Half of the industry’s employees are over 47 years old, and more than a quarter of nuclear workers already are eligible to stop working. Meanwhile, as the baby boomers retire, there will be far fewer available replacements with nuclear knowledge.

Clean-energy R&D needs better funding and leadership to meet aggressive greenhouse-gas emissions reduction targets. But how does the industry get there, and what management model best suits achieving such lofty goals? A new ‘clean-energy institute’ might be the answer.