We note that the stability of a
regulated utility business model means that the company can safely operate with a lower interest coverage ratio than its peers in other sectors.
The historical
energy utility business model is breaking up, and the challenge for policy makers is to be midwives for the birth of a new energy sector.
Of course, making the most of renewable energy's strengths will require continued cost reductions, an evolution
of utility business models, and changes in how electricity is managed and traded.
The utility interacts directly with the customer, opening the way for a new utility business relationship that could be part of the
next utility business model.
CCAs offer local governments the opportunity to aggregate regional energy demand, set local energy goals, develop energy efficiency and demand reduction programs, and negotiate directly with energy suppliers and developers rather than the
traditional utility business model that relies more heavily on fossil fuels.
among stakeholders over whether the investor -
owned utility business model best serves Hawaii's needs or whether an electric cooperative, a municipal utility, or a system operator might be better.
It highlighted a long - standing dissatisfaction with HEI (often referred to as the Hawaiian Electric Company (HECO), the name of its largest subsidiary) and provoked a rich debate among stakeholders over whether the investor - owned
utility business model best serves Hawaii's needs or whether an electric cooperative, a municipal utility, or a system operator might be better.
Commentary:
Changing utility business models and electricity investment in Europe Technology, market and policy changes are transforming European utilities and new creating strategic opportunities 15 December 2017
That's why, even as New York tests out
new utility business models (pdf), market designs, technologies, and scales up innovative distributed energy resources under Governor Cuomo's groundbreaking Reforming the Energy Vision initiative, it's essential we rely on some tried - and - true models that can guarantee energy efficiency savings across New York.
We'll stop this game now; I hope I've made my point — there is a certain logic to the
conventional utility business model, and those expressing schadenfreude about RWE would hardly have navigated the firm better.
PDF] The report illustrates that «threats posed to the electric utility industry from disruptive forces, particularly distributed resources, have serious long - term implications for the traditional
electric utility business model and investor.»
The traditional regulated
utility business model allows for generation and distribution, but as more grid - connected rooftop solar (and other Distributed Energy Generation (DEG) sources) come on line, the utility will not be getting as much revenue for generation, yet still has to maintain and upgrade on the grid distribution side.
I usually appreciate the steady component in
any utility business model.
Audrey Zibelman has said from the outset that Reforming the Energy Vision will not only shake up
the utility business model, but will begin implementation faster than the normal glacial pace of regulatory proceedings.
As the REV initiative opens up
utility business models to more DER deployment, NYISO expects the current 250 MW of distributed solar in its territory to triple by 2026.
That's because
the utility business models, technologies, relative costs, and customer values are constantly in a state of flux.