The PJM complaint and the rising cost of electric reliability.
Who says ratepayers must accept the traditional measure of electric reliability—a single one-hour outage every ten years? If shown the bill ahead of time, might they decide otherwise; that such luxury is no longer affordable? Consumers are making similar decisions about gasoline and mortgages. Why not electricity?
FirstEnergy Corp. named Dennis L. Dabney its vice-president of human resources. Northeast Utilities announced Johnny D. Magwood as its first chief customer officer. AES appointed Ned Hall its executive vice president and president of its wind generation division. Intrepid Technology and Resources named Jack Haffey as its chief executive officer. And others...
A new theory on capacity markets and the missing money.
On Wednesday May 7, FERC will host a conference in Washington, D.C. that might prove extraordinary. The commission staff promises not only to review the forward capacity markets now operating in New England and PJM—each a story unto itself—but also to discuss a new rate-making theory that has come virtually out of nowhere and which proposes to help solve the notorious “missing money” problem.
The New York ISO named Mary McGarvey its vice president and chief financial officer. Pacific Gas and Electric Co. announced that its board of directors elected Barbara Barcon as vice president, finance and chief financial officer. Henry B. “Brew” Barron was appointed president, chief executive officer and chief nuclear offer of Constellation Energy Nuclear Group. MidAmerican Energy Holdings Co. announced that Gregory E. Abel became the chief executive officer. And others...
Volatile markets are causing delays, but most deals are moving forward.
Although problems in the power business grabbed the headlines early this decade, the industry now seems fundamentally strong. In contrast to their ratings of banks, rating agencies appear to have recently upgraded more of the electric sector than they have downgraded. It remains a strong investment grade, usually BB or BBB. For an index of 68 electric utilities, the debt-to-equity ratio averaged only 55:45 and return on equity exceeded over 13 percent through January.
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...
David L. Goodin became president of Montana-Dakota Utilities and Great Plains Natural Gas. ONEOK announced three new officer appointments. Duke Energy named Bruce H. Hamilton as vice president of McGuire Nuclear Station. PJM named W. Terry Boston its new president and CEO. And others...
Low-carbon strategies are yielding rewards for shareholders.
Low-carbon and “green” strategies have begun delivering returns for utility shareholders. Whether a company ultimately wins or loses depends on how markets are pricing the risks of possible carbon-control regimes.
Federal loan guarantees raise hopes for new reactors planned by affiliates of Constellation and NRG.
Federal loan guarantees have been unleashed to support new nuclear plant construction. Will this be the watershed event that finally gets nuclear moving forward in the United States?
Duke Energy named Lynn J. Good group executive and president – commercial businesses. AGL Resources announced John W. Somerhalder II, the company’s president and CEO, has been named chairman of the board. Energy West announced several changes in its management team. And others...