Fortnightly Magazine - April 2008

Selling the Smart Grid

Special report on public support for smart metering and demand response.

Smart metering is entering the public consciousness. But gaining support from consumers is tricky business, as evidenced by the recent backlash in California. Customers will accept dynamic pricing and demand-response capabilities only if regulators and utilities take a soft-sell approach.

Selling the Smart Grid - The Backlash

California learns painful lessons from its proposal to mandate demand response.

When the California Energy Commission (CEC) proposed to include programmable communicating thermostats in the state’s new building codes, it expected some push-back from home builders. It didn’t expect what it got: a major public outcry.

Selling the Smart Grid - The Policy

Why many state regulators still have qualms about endorsing smart meters.

A year ago, in its formal investigation of state policy on smart meters, the Florida Public Service Commission conceded that while three of the state’s five major investor-owned electric utilities offered an optional time-of-use rate to residential customers, participation in fact remained “typically quite small,” averaging only about 1 percent.

Selling the Smart Grid - The Pitch

Two utilities win customer support for dynamic pricing and demand response.

If the recent backlash against California’s proposed new building codes proves anything, it’s that ratepayers won’t buy into the smart-metering concept by themselves. The industry will have to sell it. How then should electric utilities, municipals and cooperatives go about introducing smart grid technologies? Two major utilities—Public Service Electric & Gas (PSE&G) and Southern California Edison—are in the early stages of doing just that

The Late Great Gas Utility

By abandoning R&D and marketing, the gas industry may have sealed its own fate.

Gas producers and utilities have all but abandoned R&D and marketing. Is it too late to reverse the death spiral, or can the industry learn from other check-off marketing successes?

Storm of the Decade

Process changes prepare ComEd to recover quickly from disastrous storm and flood.

Sometimes a bad storm provides the best training ground for a truly terrible storm. An outage in 2006 taught ComEd lessons that helped it recover quickly from the floods of 2007.

Snake Oil & Smart Meters

Customers deserve the straight truth about electricity costs.

The utility industry faces the difficult task of trying to educate the general public about the realities of delivering electricity service in the 21st century. California’s recent experience trying to put smart thermostats into the state’s building code provides a cautionary example.

Making Peace With Nuclear

When Patrick Moore left Greenpeace—the environmental advocacy group that he helped to create in the early 1970s—some activists labeled him a traitor and a corporate shill. It didn’t stop him, however, from becoming one of the environmental community’s most outspoken advocates for nuclear power development—and one of the harshest critics of anti-nuclear activists. Fortnightly caught up with Moore in February to discuss the state of anti-nuclear advocacy in America.

People

Southern Company named Ronnie Labrato vice president, internal auditing. FirstEnergy’s board of directors elected Gary R. Leidich executive vice president and president of FirstEnergy Generation, and Richard R. Grigg executive vice president and president of FirstEnergy Utilities. Exelon named Ian P. McLean to lead its finance and markets organization. And others...

Letters to the Editor

Taming the Wind is a pleasure to read. The article captures just about perfectly the value of forecasting in cost-effectively and reliably integrating wind power, of balancing in large markets, of geographical spread, and more. It also looks at what the future could hold.

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