Tag Archives: Electricity

Electric Demand Charges: A Lesson from the Telephone Industry

The only ad with prices that I remember from 50 years ago was AT&T’s offering of a three minute coast to coast telephone call for $1.00.  With the inflation that we have seen over the last 50 years, one would … Continue reading

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Net Metering–Morphing Customers Who Self Generate

The U.S. Public Utilities Regulatory Policy Act of 1978 started a flood of non-utility generation, initially a few very large cogeneration plants and recently a large number of small roof top solar generation.[1]  The rapid growth in the number of … Continue reading

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Utility 2.0 or Just Utility 1.X

On Tuesday, 2013 October 29, I attended a discussion of the report “Utility 2.0: Building the Next-Gen Electric Grid through Innovation.”  I left feeling that the innovations discussed are just more of the same, just as I have often described … Continue reading

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A Romp Through Restructuring

Today I presided over the monthly lunch of the National Capital Area Chapter (NCAC) of the U.S. Association for Energy Economics, with Craig Glazer, Vice President-Federal Government Policy, PJM Interconnection.  Besides announcing future events and talking about the successful NCAC … Continue reading

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The Electric Transmission Grid and Economics

Tuesday, 2013 October 8, I went to the MIT Club of Washington Seminar Series dinner with Anjan Bose of Washington State University talking about Intelligent Control of the Grid.  Anjan began with giving two reasons for the transmission grid but … Continue reading

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Price Pressure on Input Capital Costs

We all know about the high cost of building nuclear power plants.  However, the operating costs are so low that the total cost of power out of a new nuclear power plant is just about competitive in the US electricity … Continue reading

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Energy Interchange Markets–Often Designed to Fail

I participated on the NAESB IIPTF[1] while it met during 2003-2005.  I argued then that there should be a cash payment for inadvertent interchange and that the cash payment should be differentiated over time and across geography.[2]  About the same … Continue reading

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FERC, Barclays, and Formulary Arbitrage

On 2013 July 16, FERC ordered Barclays bank to pay a half billion dollars for market manipulation.[1]  The next day Barclays responded by suing FERC in federal district court, forcing FERC to prove the allegations in a venue that Barclays … Continue reading

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System of Governance

On 2013 February 27 & 28, I attended the National Research Council’s workshop on “Terrorism and the Electric Power Delivery System.” Though “terrorism” was in the title of the report issued November 2012, the issues were as applicable to natural … Continue reading

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Storage/Pricing — Chicken/Egg

On Tuesday, 2012 November 27, I attended the Heritage Foundation’s discussion of Jonathan Lesser’s 2012 October paper “Let Wind Compete: End the Production Tax Credit.” The only philosophical statement on which there seemed to be agreement was that improved storage … Continue reading

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