Realizing the benefits of a modernized system requires an integrated strategy.
Todd Filsinger is global head of PA Consulting Group’s energy integrated sector team. He acknowledges the contributions of Keturah Nelson, Charles Tooman and Ethan Paterno.
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.
Despite these challenges, policy makers have put an emphasis on three objectives for the energy industry: reduce carbon dioxide (CO2) emissions; expand and enhance the transmission and distribution (T&D) infrastructure; and develop higher levels of renewable generation. Although pursuit of these objectives represents a significant challenge to policymakers, regulators and executives alike, success in these three areas has the potential to fundamentally change the course of the electric power industry.