In a new report, the SAFE Grid Security Project warns the US grid faces increasing risks from extreme weather, cyberattacks, and inadequate infrastructure as energy demands grow more complex.
This is not a remotely accurate assessment of demand side management programs. Such programs are overwhelmingly required of IOUs by states since they tend to be cheaper than infrastructure upgrades for everyone. Utilities on the other hand tend to prefer infrastructure upgrades because they get a guaranteed rate of return typically. You have this completely backwards.
Interesting. Do you have any sources on this or more reading material behind it? I have yet to really see any things suggesting utilities are asking to do CapEx on infrastructure improvements but are being told no.
I think I gave off the wrong impression that these are more linked than they are, sorry. Many states require cost effective EE because it’s generally good policy (benefits outweigh costs), and some of those benefits include not having to build new capacity. PUCs generally also support infrastructure investments, and with guaranteed rates of return on most T&D for example, it’s a no brainer. So states are often doing both, and there are varying options about the merits of each. To your question though, one notable recent example is the gas pipeline that Gov Cuomo vetoed, which led to more gas efficiency programs in downstate NY.
I’m also embarrassed to report I can’t think of a good source for you since I’m in the industry, other than primary sources like utility financial statements, rate cases, state regulations, etc. Hope this was helpful - it’s a fascinating industry.
This is not a remotely accurate assessment of demand side management programs. Such programs are overwhelmingly required of IOUs by states since they tend to be cheaper than infrastructure upgrades for everyone. Utilities on the other hand tend to prefer infrastructure upgrades because they get a guaranteed rate of return typically. You have this completely backwards.
Interesting. Do you have any sources on this or more reading material behind it? I have yet to really see any things suggesting utilities are asking to do CapEx on infrastructure improvements but are being told no.
I think I gave off the wrong impression that these are more linked than they are, sorry. Many states require cost effective EE because it’s generally good policy (benefits outweigh costs), and some of those benefits include not having to build new capacity. PUCs generally also support infrastructure investments, and with guaranteed rates of return on most T&D for example, it’s a no brainer. So states are often doing both, and there are varying options about the merits of each. To your question though, one notable recent example is the gas pipeline that Gov Cuomo vetoed, which led to more gas efficiency programs in downstate NY.
I’m also embarrassed to report I can’t think of a good source for you since I’m in the industry, other than primary sources like utility financial statements, rate cases, state regulations, etc. Hope this was helpful - it’s a fascinating industry.