Network intelligence yields green returns.
Fred Wellington (fred.wellington@navigantconsulting.com) is a managing consultant and Forrest Small (forrest.small@navigantconsulting.com) is a director in Navigant Consulting’s energy practice.
Mounting political pressure to reduce greenhouse gas (GHG) emissions is prompting legislative bodies at the state and federal level to act, including 23 states that are moving forward with GHG legislation. These and other forces are driving America’s electricity infrastructure toward greater efficiency and reliability, and the integration of a diverse mix of energy resources, including renewables.
Smart-grid systems that now are being developed and deployed will play a fundamental role in addressing the country’s energy challenges over the coming years. Smart-grid technology can lead to both carbon reduction and a more sophisticated delivery network—presenting utilities with new opportunities to create value for themselves and their customers.
Creating Carbon Value
“Carbon value” can be defined as minimizing future financial liabilities associated with carbon emissions, combined with maximizing opportunities associated with renewable energy generation and other low-carbon products and services.