Business

What’s on the agenda for the utility industry today and into the future? Platts and Capgemini asked the industry leadership in their latest survey. The answers revolve around regulation, finance, and human resources.

Uncertainty about China’s role in world trade and its current monopoly over critical rare earth minerals continues to roil supply chains in energy technology markets. Will the World Trade Organization bring China into the fold, or will China ignore the international forum that it lobbied hard to join several years ago?

The Tide Turns for Marine Energy Devices. Siemens Energy recently secured a 10% stake in Marine Current Turbines, the UK company that owns SeaGen, a 1.2-MW tidal power plant, which was commissioned in 2008 on the Irish Sea. Marine Current Turbines is planning to build a larger, 8-MW plant off the coast of Scotland by […]

CTG Universidad is a two-unit combustion turbine plant commissioned in late 1970 by the Comisión Federal de Electricidad (CFE) on the north side of Monterrey, Mexico’s third-largest city and an important industrial center. By the 1990s, the two 14-MW turbines were obsolete, used sparingly, and slated for demolition in 2010. However, by 2002, portions of Monterrey began experiencing power restrictions caused by a lack of sufficient reactive power production, and that situation presented an opportunity for the plant. By repurposing an old combustion turbine for use as a synchronous condenser to provide local reactive power, CFE significantly reduced local power supply limitations. For that savvy plant repurposing, CFE’s CTG Universidad Unit 2 is the winner of POWER’s 2011 Marmaduke Award for excellence in power plant problem-solving. The award is named for Marmaduke Surfaceblow, the fictional marine engineer and plant troubleshooter par excellence.

Cycling your steam power plant is inevitable, so now is the time to learn how to minimize equipment damage and assess the true costs of cycling. Whether cycling is required by the grid operator because of renewable integration or other factors, you must be proactive about updating operating processes and upgrade equipment so the transition to cycling operation goes smoothly.

As coal-fired power plants increasingly operate in cycling modes, many plants are confronting the potential for higher levels of component damage and degraded performance of environmental control equipment. Generators and EPRI are working together to find ways to mitigate the effects of cycling operation and to manage the transition of formerly baseload plants to flexible operation.

A number of automotive manufacturers, electric utilities, electric power associations, and research groups are working to develop and evaluate technical approaches to integrating plug-in electric vehicles (PEVs) into the U.S. electrical grid system. This is a key requirement of facilitating widespread, near-term adoption of PEVs by the American public.

David K. Owens, executive vice president, Business Operations Group for the Edison Electric Institute, comments on the progress U.S. utilities are making toward a smarter electrical power grid.

In a surprising decision, a federal agency surrendered some of its regulatory authority—and parts of the industry don’t approve. The Federal Energy Regulatory Commission declined to defend its jurisdiction over station power in the California power market, potentially giving an economic advantage to utility generators nationwide and putting merchant generators at a disadvantage.

If you needed additional proof that the power industry is changing, the ELECTRIC POWER keynote and panel discussions over the past few years have provided it—top-of-mind issues have been significantly different each year. For the 2011 keynote speaker and panelists, the challenges of reliability, regulatory compliance, financing, and getting the fuel mix right took center stage. In the wake of Japan’s nuclear crisis, safety also featured prominently.

Both the 1979 Three Mile Island accident and the Chernobyl catastrophe prompted worldwide retreats away from nuclear electric generating technologies. Despite brave rhetoric from nuclear supporters around the world, a number of countries with a large number of nuclear plants are having second thoughts about the future of nuclear power.

How easy is it to hack a generator’s SCADA system? It’s so easy it scares the heck out of the guy who used to run network security for the Bonneville Power Administration. It’s so easy he can’t tell us any details, for security reasons. That’s why we should all be scared.

The Federal Energy Regulatory Commission is starting to sort out the often mysterious and vexing issues surrounding reliability penalties as the federal agency and the North American Electric Reliability Corp. work through their evolving relationship. The case involves an outage at the Turlock Irrigation District in California.

It’s the middle managers, not the charismatic strategists in the executive suite or the creative propeller-heads in R&D, who really make organizations run, according to a new study from the University of Pennsylvania’s Wharton School.

In the last issue of MANAGING POWER we looked at some of the important points to keep in mind when writing an employee handbook to ensure that employees will actually will read it and adhere to its policies. This concluding article covers 10 of the most important policies that should be included.

FERC has surrendered jurisdiction over station power in California, putting merchant generators nationwide at risk of disadvantage to utility generators.

Enterprise resource planning software has swept the power industry, promising to improve coordination and management. Has it lived up to the hype? One ERP vendor says the programs often underperform.

Indonesia Sees Surge in Contracts for New Power Plants. Indonesia is Southeast Asia’s largest economy, but because it is stricken by chronic power shortages that limit economic growth, the nation’s government is pushing for massive infrastructure improvements. A consortium of Japan’s Electric Power Development (J-Power), Itochu Corp., and Adaro Energy, an Indonesian coal miner, on […]

A record 400 attendees participated in KEMA’s 22nd annual Executive Forum in San Antonio, Texas, in late April to debate and discuss the “retail resurgence” of competitive electricity sweeping America.

Following the conclusion of the KEMA conference (see previous story), Mark Axford had the opportunity to talk with Phillip Tonge, recently appointed president of Spark Energy LP. Spark Energy is a retail energy provider (REP) of electricity and natural gas in 16 states that have opened their markets to competition for industrial, commercial, or residential customers.

Italian Firm Wins Contract to Build Massive African Hydropower Plant. Italian construction firm Salini Costruttori said on March 31 it has signed a €3.35 billion contract with Ethiopia state-owned Ethiopia Electric Power Corp. to build a 5,250-MW hydropower plant on the Blue Nile, a tributary of the Nile River. The project, slated to be completed […]

The North American Electric Reliability Corp. (NERC) Reliability Standards are under constant revision even while new requirements are under active development. Three important regulatory definitions are currently being contested.

Spain has served as both exemplar and scapegoat when it comes to renewable energy policy. Though power policy must necessarily accommodate specific national resources and goals, Spain’s experience as an early and eager adopter of renewable energy technologies and subsidies is a cautionary tale of how the best intentions can have unintended consequences.

Utility mergers and acquisitions are on the upswing again. When faced with flat load growth, pervasive regulatory uncertainty, and the rising cost of doing business, larger companies are better able to afford expensive new plants while maintaining shareholder dividends.

With natural gas serving as the fuel de jour, many utilities and merchant generators will be considering the purchase of new combustion turbines in the near future. If you are in the market for a gas turbine, here are some key design features you should discuss with turbine vendors prior to your next purchase.

Life-cycle cost of ownership is a common metric used to compare power plant system alternatives. However, the familiar formula for calculating the cost of generating electricity omits factors that are becoming increasingly important to business decisions. A new formula addresses those blind spots by estimating the value of the part-load performance of cycling combined-cycle plants.

While China seems determined to exploit its current control over the market for rare earths and other minerals critical to high-tech and green energy technologies, and while governments engage in conventional hand-wringing and head-scratching, markets appear to be reacting in the ways that markets are supposed to react.

For many energy analysts and policy makers, efficiency is the Holy Grail, the universal solvent, the way to effortlessly reconcile supply and demand while simultaneously serving the needs of the environment. Don’t build new power plants, says policy guru Amory Lovins; gather "negawatts" instead. President Obama says that Americans "can save as much as 30% of our current energy usage without changing our quality of life."

ABB, BHEL to Deliver $1.1B Multi-Terminal UHVDC Line in India. Zurich-based ABB and Indian state-owned company Bharat Heavy Electricals Ltd. (BHEL) said on March 23 that they had been selected by Power Grid Corp. of India Ltd. (PGCIL) to deliver an ultrahigh-voltage direct current (UHVDC) transmission system to convey hydropower from northeastern India to the […]

U.S. Supreme Court rulings in two recent cases further advance the rights of employees in disputes with employers, continuing a long-term trend in federal law on employment discrimination.