Energy Exchange

EDF Weighs In on New York’s Bold Effort to Build a New Electric Utility Business Model

By John Finnigan / Published: July 21, 2014
New York Skyline

Source: iStock

The U.S. electric grid has not been updated since World War II when telephones, dishwashers, and air conditioning were the cutting-edge technology innovations of the century. Today, this same grid is struggling to cope with the technological advances of the last decade, a reality that hit home for New Yorkers in the wake of Superstorm Sandy when millions of people lost power for days and even weeks.

But New York is taking steps to change this, first by initiating a proceeding in April to overhaul the state’s utility business model, and now by opening the proceeding to comments. EDF filed our comments (Track 1 and Track 2) in this case last Friday, July 18th, and commends the New York Public Service Commission for the opportunity to provide our input on this exceedingly important policy that will have national implications.

Humble beginnings

New York played a leading role in establishing today’s utility business model. Thomas Edison developed the first power plant on Pearl Street in Manhattan in 1882, serving 85 lighting customers. Read More »

Also posted in Clean Energy, Electricity Pricing, Energy Efficiency, Grid Modernization, New York, Utility Business Models / Comments are closed

Enough Drama, Texas has a Roadmap to Cut Pollution and Grow its Economy

By Marita Mirzatuny / Published: July 17, 2014
Source: Nicholas Henderson Flickr

Paramount Theater in Austin, TX. Source: Nicholas Henderson Flickr

They say everything is bigger in Texas and often that’s true, especially when it comes to big hair and the bravado of politicians. This amounts to a lot of drama and theatrics. I mean, as someone who grew up in Dallas, I can tell you that the soap opera by the same name wasn’t too far off the mark.

Being a mighty oil and gas (and wind!) state, this drama often translates into fights with the US Environmental Protection Agency (EPA) and other environmental regulators over pollution reduction. Texas is the number one emitter of carbon emissions and second biggest water-polluter in the nation. Texas doesn’t really have solid ground to stand on.

Yet as of 2012, Texas Attorney General Greg Abbott (current GOP and Koch-brothers backed candidate for Governor) has sued the federal government over environmental regulations sixteen times. And of the 25 total lawsuits pending against the federal government, Texas has only prevailed five times. Exemplified yet again in June when the Supreme Court ruled seven to two that yes, in fact, EPA is allowed to regulate greenhouse gas emissions from most large industrial facilities, like power plants and factories, despite Texas’ arguments. Read More »

Also posted in Clean Energy, Climate, Demand Response, Energy Efficiency / Read 2 Responses

Dear Utilities, Change or Get Dumped

By Paul Stinson / Published: July 9, 2014
Source: Paul Cross, https://flic.kr/p/7AU7PK

Source: Paul Cross, https://flic.kr/p/7AU7PK

Like many relationships, the one between utilities and their customers can be complicated. Sure, they’ve been together for decades, but no longer are customers satisfied with a distant, disengaged power company selling them more and more megawatts.

As the utility business model evolves into one based on diverse energy services, utilities must find ways to prioritize and improve their customer relationships if they hope to thrive in the new energy economy.

What do customers really want?

It doesn’t take years of market research to discover that utility customers enjoy saving money. But just as important as a low price for power – if not more so – is a genuine feeling of power.  Just ask Dr. Philip Lewis of global energy think-tank VassaETT, who has researched the subject for years. His findings show that customers want to be in control of their energy behavior. They want market transparency and predictable rewards for their choices. The bottom line, says Lewis, is that customers want to feel like equals with their electricity suppliers, not captives. Read More »

Also posted in Clean Energy, Demand Response, Energy Efficiency, Grid Modernization, Utility Business Models / Read 3 Responses

New Rules, Energy Innovations will Build a Clean Energy Economy

By EDF Blogs / Published: July 9, 2014
Source: Nick Cross/Gurit

Source: Nick Cross/Gurit

By: Karin Rives, EDF Editorial Manager

The United States is expected to spend some $2 trillion over the next two decades upgrading its aging power grid. That spells opportunity for a nation that has always chosen innovation over business as usual.

In a recent op-ed piece in Power Magazine, Environmental Defense Fund President Fred Krupp describes how the United States is now laying the groundwork for a clean energy economy through policies and market forces that are beginning to work in tandem to accelerate change.

The landmark Clean Power Plan that the U.S. Environmental Protection Agency proposed in June places the first-ever limits on carbon dioxide emissions from power plants, giving states the incentive to shift to cleaner energy sources and the freedom to design their own paths to compliance. Read More »

Also posted in Clean Energy / Tagged | Comments are closed

This Smart Energy Experiment in Texas will Benefit You, Too

By Marita Mirzatuny / Published: July 1, 2014
Workers install solar panels on a home in Austin's Mueller neighborhood, a project of Pecan Street Inc.

Workers install solar panels on a home in Austin’s Mueller neighborhood, a project of Pecan Street Inc.

As I stroll through the Mueller neighborhood in Austin, TX, I see parks, fountains, two-door garage homes – absolutely nothing out of the ordinary – just your average suburban neighborhood. But I know better.

Under the surface of this community lives the most “connected” network of energy customers in the country. Mueller is the launching site for Pecan Street Inc.’s living smart-grid research project and, according to a recent issue of Time Magazine, America’s Smartest City.

The Time article features homeowners who generate and make money on their solar panels, while enjoying access to minute-by-minute energy use data. It shows their sense of stewardship and empowerment.

The story does a good job summarizing the mission of Pecan Street, of which Environmental Defense Fund is a founding member and environmental partner. But the author misses one important point when he writes: “The rest of America may never realize Mueller’s vision for the future.”

The truth is, we have cause for a lot more optimism than that. We believe that the Mueller model is scalable and EDF is working hard to make sure the rest of the country can also enjoy the benefits of a smarter, cleaner home. Read More »

Also posted in Clean Energy, Electric Vehicles, Energy Efficiency, Grid Modernization, Texas / Comments are closed

Resiliency+: Demand Response Can Help Prevent Blackouts in the Northeast

By Michael Panfil / Published: June 30, 2014

Resiliency+ is a new blog series, which highlights the ways in which different clean energy resources and technologies can play an important part in increasing energy resiliency in New Jersey and around the country. Check back every two weeks, or sign up to receive Energy Exchange blog posts via email.

Source: http://aroundaworld.net/

Source: http://aroundaworld.net/

The Federal Energy Regulatory Commission (FERC) describes demand response as “changes in electric usage by end-use customers from their normal consumption patterns in response to changes in the price of electricity over time, or to incentive payments designed to induce lower electricity use at times of high wholesale market prices or when system reliability is jeopardized.”

There is quite a bit to unpack in that definition, but put simply, demand response is little more than a way of financially motivating customers to reduce their energy use when electricity is particularly scarce and expensive or when the wires are overburdened (check out EDF’s other blog posts and resources that go into more detail). The end result is a more efficient electric grid which is less overbuilt and less dependent on inefficient fossil-fuel plants that are often uneconomic to operate and highly polluting, but may be called upon when all else fails. Read More »

Also posted in Clean Energy, Demand Response, Energy Efficiency, Grid Modernization / Tagged , | Comments are closed