Byline:
Ahmad Faruqui and Eric Shultz
It’s tempting to attribute the recent slowdown in electricity demand growth entirely to the Great Recession, but consumption growth rates have been declining for at least 50 years. The new normal rate of demand growth likely will be about half of its historic value, with demand rising by less than 1 percent per year. This market plateau calls for a new utility strategy.
Author Bio:
Ahmad Faruqui is a principal at The Brattle Group, and Eric Shultz is a research analyst. This article was revised from Faruqui’s presentation at the Goldman Sachs Power & Utility Conference on Aug. 14, 2012. The authors acknowledge research assistance by Jennifer Palmer.
Five forces are putting the squeeze on electricity consumption.
Byline:
Hossein Haeri, Heidi Ochsner and Jim Stewart
As efficiency programs mature, utilities and regulators will be challenged to keep producing demand-side resources. A systems-oriented approach can yield cost-effective results.
Author Bio:
Hossein Haeri, Ph.D., is an executive director, Heidi Ochsner an associate and Jim Stewart, Ph.D., a senior associate at The Cadmus Group, Inc.
Continuous improvement requires changing practices and cultural norms.
State commissions can select from a toolkit of regulatory approaches to promote desired utility cybersecurity behavior. One approach is to allow the industry to selfregulate, and another approach is to leave the job to the federal government. But sofar, neither the industry nor the federal government have developed and implemented adequate standards for securing the smart grid. States can play a constructive role—albeit perhaps not in the form of traditional regulation.
Author Bio:
Nancy Brockway is the principal of independent consultancy NBrockway & Associates. Previously she was a commissioner with the New Hampshire Public Utilities Commission, and served on commission staffs in Massachusetts and Maine before that. Brockway acknowledges the insightful help of Alison Silverstein, but retains sole responsibility for errors and opinions.
The regulator’s role in promoting cybersecurity for the smart grid.
Ahmad Faruqui and Doug Mitarotonda
A new survey of energy industry experts reveals a surprising consensus on the size of the energy efficiency resource. Overall, energy efficiency is expected to lower electricity consumption by 5 to 15 percent, and natural gas consumption by 5 to 10 percent. These results debunk the notion that conservation is a fad. On the contrary, they herald a new beginning for energy efficiency.
