If truth is the first casualty of war, as we learned from author Mark Krebs ("It's a War Out There: A Gas Man Questions Electric 'Efficiency,'" December 1996, p. 24), then certainly the truth has been mutilated beyond recognition.
His article, which suggests that electric utilities have used conservation and demand-side programs improperly (to build electric load at the expense of natural gas!) is full of inaccuracies, misleading charts and other errors.
I was amused and concerned by the allegations of marketing warfare that Mr. Krebs felt compelled to address in his December 1996 article.
The electric industry hasn't seen so much upheaval since Thomas Edison threw the switch at the Pearl Street Station. Full retail access to competitive markets in generation and supply will challenge traditional ways of doing business. But no change will prove more dramatic for electric utilities than setting a competitive price (em that most fundamental of business decisions.
In anticipation of competition, utilities have been experimenting to discern what forms of the "product" (em electric power (em customers might want, and at what prices. One such experiment is real-time pricing.
Sears, Roebuck and Co. selected Enova Energy as a partner in a "regional energy alliance." Enova Energy, an Enova Corp. subsidiary, will design and install a technical learning center at Sears' Tucson, AZ department store. The company also will provide energy services at other Sears stores in several western states. The learning center will be one of a nationwide system of energy-efficient stores used as models and for the testing and training of facility operations equipment. All of the store's services will be aimed at improving energy efficiency and reducing costs.
Southern Communications Services, Inc., which recently entered the wireless communications market, has begun to market products and services under the name of its parent, Southern Company. Southern also is parent to Alabama Power, Georgia Power, Gulf Power, Mississippi Power, and Savannah Electric.
Gulf Power, meanwhile, signed a contract with Scientific-Atlanta, Inc. for two-way energy management applications. Some 40,000 homes will be fitted with the interactive systems over eight years.
American National Power announced three executive changes: Joseph E. Cofelice, senior v.p., was given the added post of COO; Jim Murray, senior v.p., was given additional duties of CFO; and David L. Coke, director-asset optimization, was promoted to operations v.p.
Peter W. Delaney, a cost-cutting commissioner in the New York Office of General Services, was appointed senior v.p.-business services at the New York Power Authority. The Authority also promoted Gerard V. Loughran, a principal attorney, to v.p.-human resources.
The Institute of Gas Technology (IGT) elected Roger A.
How the electric industry uses DSM and IRP to build load, ignoring basic truths found in fuel-cycle analysis.It was during the early 19th century that General von Clausewitz announced his nine principles of warfare.
The Federal Energy Regulatory Commission's Donald F. Santa, Jr. looked beyond Order 888 electric restructuring when he addressed the second annual DOE/EPRI Executive Conference in Washington, DC, on May 21. According to Santa, the post-Order 888 electric agenda will be marked by three cross-cutting issues.
First, the FERC will grapple with market power in an open-access environment. While open access will mitigate the market power of transmission-owning utilities, the FERC needs to consider market power stemming from generation concentration.
William A. Fox was named president of The Peoples Natural Gas Co. and Hope Gas, Inc. (em both subsidiaries of Consolidated Natural Gas Co. Fox comes from Virginia Natural Gas, another subsidiary. Succeeding him is Jerry L. Causey, VNG's operations v.p. Francis J. Corbett, formerly g.m. of VNG's northern division office, steps into Causey's post. Jose M. Simon was made controller at the corporate office. Joseph R.
Or can utilities use them offensively?The electric power industry stands poised to move to a fully competitive market. Business realities already imply a broadening of customer choice.