RMEL Electric Energy Issue 2 2017

SPOTLIGHT ON CRITICAL ENERGY ISSUES ISSUE 2 / 2017 www.RMEL.org

TAKING CHARGE OF

POWER INDUSTRY

CHANGE Trump Energy Policy

A Journey of Natural Gas Fundamentals

Distributed Energy Future

Integrated Energy Network

Xcel Energy’s “Turnkey” Customer Service

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CONTENTS

14

What a Trump Presidency Means for Energy Policy

22

A Journey of Natural Gas Fundamentals

By Rob Trinnear,

By Thomas J. Pyle,

Managing Director,

President, Institute for

East, The Energy

Energy Research

Authority

Planning the Moving Distributed the Project Energy Future Management

By Obadiah Maturity Model Bartholomy, Manager, Forward Distributed Energy

By Deborah Knudtzon, Strategy, Sacramento Sr. Project Coordinator, Municipal Utility HDR, & Bryan Cook, District & Dan Wilson, Sr. Project Manager, Manager, Distributed HDR Energy, Black and Veatch Management Consulting, LLC

35

41

By Chris Warren, Contributing Writer, EPRI Journal

By Kevin Graham, Senior Communications Consultant, Xcel Energy

EPRI Charts Path to an ‘Integrated Energy Network’

06 Message from the

39 RMEL Membership Listings

44 Index to Advertisers

Executive Director

08 Board of Directors and

Foundation Board of Directors

10 Attend RMEL’s Fall Convention 13

4

28 24

2017 Calendar of Events

ELECTRIC ENERGY | SUMMER 2017

Xcel Energy’s “Turnkey” Customer Service

45 Section Takeaways OPINIONS EXPRESSED IN ELECTRIC ENERGY MAGAZINE DO NOT NECESSARILY REFLECT THE OPINIONS OF RMEL OR HUNGRY EYE MEDIA.

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RMEL INFORMATION

Letter From the Executive Director

E

ELECTRIC UTILITIES ARE revolutionizing the power industry - designing new programs and expanding customer service offerings and demands, redesigning rate structures, integrating regulatory compliance within operational processes and working with unique resources through partnerships to solve challenges and maximize on new revenue opportunities.

In this issue, we’ll look at specific ways that utilities are driving and controlling the evolution of electric energy.

Thomas J. Pyle, President, Institute for Energy Research and head of President Trump’s Department of Energy transition team, provides a unique perspective on what the administration has accomplished so far and what steps it may take to address the most important energy issues facing America.

Rob Trinnear, Client Services Manager, The Energy Authority, outlines the journey of natural gas prices through a short-term and long-term market outlook.

Obadiah Bartholomy, Manager, Distributed Energy Strategy, Sacramento Municipal Utility District (SMUD), and Dan Wilson, Manager, Distributed Energy, Black and Veatch Management Consulting, LLC, will break down how SMUD is conducting proactive Distributed Energy Resource planning that other utilities will need to adopt as DER growth accelerates.

Chris Warren, Contributing Writer, EPRI Journal, shows how an integrated

6

ELECTRIC ENERGY | SUMMER 2017

“system of systems” for electricity, water, natural gas and transportation will help mitigate increasing complexities as customers install solar panels, battery storage, electric vehicle charging and digital energy management systems.

Kevin Graham, Senior Communications Consultant, Xcel Energy, discusses the company’s Turnkey Services - a full-service effort that provides customers with both onsite assessments and free implementation support for various energy-savings improvements.

The proactive, resilient and innovative people in this industry continue to amaze me with their ability to keep this dynamic industry moving forward under any circumstances.

It is my privilege to serve as RMEL’s Executive Director and be part of the sharing of strategies in this magazine and at RMEL events. Thank you to everyone who participates in the association. You all are inspiring, and I look forward to seeing what RMEL members tackle together next!

Sincerely,

Rick Putnicki Executive Director at RMEL

We’re keeping Denver plugged in.

Our integrated team partners with you to provide powerful connections, generating success in this changing industry.

Learn more at burnsmcd.com/RMEL17.

RMEL INFORMATION

RMEL Board of Directors OFFICERS. PRESIDENT Jon Hansen Omaha Public Power District VP, Energy Production & Marketing PRESIDENT ELECT Tom Kent Nebraska Public Power District VP & COO PAST PRESIDENT Anthony Montoya Western Area Power Administration COO VICE PRESIDENT, FINANCE Paul Barham CPS Energy Sr. VP, of Engineering, Integrated Planning, Substation & Transmission VICE PRESIDENT, EDUCATION Joel Bladow Tri State Generation and Transmission Assn.

Sr. VP, Transmission VICE PRESIDENT, VITAL ISSUES Neal Walker Texas New Mexico Power President, TNMP VICE PRESIDENT, MEMBERSHIP Scott Fry Mycoff, Fry & Prouse LLC Managing Director VICE PRESIDENT, MEMBER SERVICES Kelly Harrison Westar Energy VP, Transmission

DIRECTORS. Elaina Ball Austin Energy Deputy General Manager, COO Stuart Wevik Black Hills Corporation Group VP, Electric Utilities Doug Bennion PacifiCorp VP, Engineering Services & Asset Management Tim Brossart Xcel Energy VP, Enterprise Transformation Office John Coggins SRP Sr. Director, Power Delivery Susan Gray UNS Energy Corporation VP, T&D Operations/ Engineering Diane Johnson Yampa Valley Electric Association, Inc. President & CEO

OFFICERS.

DIRECTORS.

PRESIDENT Paul Compton Kiewit Sr. VP, Business Development VICE PRESIDENT, FINANCE Barry Ingold Tri-State Generation and Transmission Assn.

Sr. VP, Generation CHAIR, FUNDRAISING Tom Haensel Burns & McDonnell Project Manager

Bob Gresham Zachry Group VP, Engineering Development Kelly Harrison Westar Energy VP, Transmission Gary Hellard Babcock & Wilcox Company Director, Sales & Business Development John Johnson Black & Veatch Corp.

VP, Power Generation Services

CHAIR, MEMBER DEVELOPMENT Mike Jones SRP Director

Rick Putnicki RMEL Executive Director

CHAIR, SCHOLARSHIP Karin Hollohan Platte River Power Authority Chief Administrative Services Officer

Hoss Tabrizi Power, Ulteig Engineers, Inc. Sr. Market Director Bruce Akin Westar Energy Sr. VP, Power Delivery

Mike Kotara Zachry Group VP, Business Development, Power Tammy McLeod Arizona Public Service VP, Resource Management Kevin Noblet Kansas City Power & Light VP, Delivery Andy Ramirez El Paso Electric Company VP, Power Generation Dan Schmidt Black & Veatch Corp.

Sr. VP, Power Generation Services Ken Wilmot Associated Electric Cooperative, Inc. VP, Power Production SECRETARY Rick Putnicki RMEL Executive Director

8

Foundation Board of Directors

ELECTRIC ENERGY | SUMMER 2017

www.RMEL.org Published Summer 2017 PUBLISHED FOR: RMEL 6855 S. Havana St, Ste 430 Centennial, CO 80112 P: (303) 865-5544 F: (303) 865-5548 www.RMEL.org

Kathryn Hail EDITOR (303) 865-5544 kathrynhail@rmel.org Electric Energy is the official magazine of RMEL. Published three times a year, the publication discusses critical issues in the electric energy industry. Subscribe to Electric Energy by contacting RMEL. Editorial content and feedback can also be directed to RMEL. Advertising in the magazine supports RMEL education programs and activities. For advertising opportunities, please contact Susan Wist from HungryEye Media, LLC at (303) 378-1626.

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2017 FALL CONVENTION

EXPLORE THE POWER INDUSTRY'S NEW FRONTIER AT RMEL'S 114TH FALL CONVENTION CEO Panel is Now on Tuesday!

TUCSON, AZ

J

JOIN ELECTRIC ENERGY INDUSTRY senior executives for RMEL’s 2017 Fall Executive Leadership and Management Convention Sept. 17-19 in Tucson, AZ. The theme of this year’s Fall Convention is Ingenuity and Innovation: The Power Industry’s New Frontier. This is the premier event for power industry executives to collectively transition to a revolutionized electric energy business model. It’s an opportunity-rich environment to take charge of the change you want to see. This event provides a trusted venue to discuss new ways to leverage existing technology to

10

ELECTRIC ENERGY | SUMMER 2017

minimize costs and maximize operations while delivering solutions that are more aligned with changing customer expectations. It’s time for a refreshed approach to find talent and encourage ideas from non-traditional resources, and this is the place to spark those ideas and seize the power of invention.

The RMEL Fall Convention attracts over 300 senior-level utility managers and executives. Find chief executives, company officers, vice presidents, general managers, decision makers and senior management of energy companies at this event. Attendees represent the

many utility ownerships including IOU, G&T, municipalities, cooperative and government agencies.

The keynote speaker is Mark Kelly, Commander of Space Shuttle Endeavour’s Final Mission & Space and Aviation Contributor for NBC News/ MSNBC. NASA space mission commander and American hero Captain Mark Kelly demonstrates how focus, dedication and persistence can help you tap into your potential to succeed in any competitive setting. With an extraordinary career of service to our military, our nation and humanity,

Mark has secured his place in history as a role model, modern-day pioneer, and leader of distinction. Together with his identical twin brother, Scott, he has laid the groundwork for the future of space exploration as the subjects of an unprecedented NASA study on how space affects the human body.

Day 2 keynote speaker Rob Talley, Talley & Associates, will give a Washington insider perspective on the changing political landscape for electric utilities.

Attendees will have a unique opportunity to hear from multiple CEOs from various types of electric utilities as they share their insights and vision for the future. Panelists include Mark Bonsall, CEO & General Manager, SRP; Cindy Crane, President & CEO, Rocky Mountain Power; David Hutchens, President & CEO, UNS Energy; Patrick Ledger, CEO, Arizona Electric Power Cooperative. The CEO Panel will be held on Tuesday, September 23, and

will be moderated by Tom Kent, VP & COO, Nebraska Public Power District.

NASA has recently put in place a number of contracts with companies that provide crowd-sourced challenges as a means to solve difficult problems and access hard to find expertise and specialty skills. Steve Rader, Deputy Manager, Center of Excellence for Collaborative Innovation (CoECI), NASA, Johnson Space Center, will provide information about these tools that are available for all NASA projects along with some compelling reasons that these tools are a must for the future of space exploration.

Greg Starheim, Sr. Vice President, National Rural Utilities Cooperative Finance Corp; Darren Hodge, PFM and Matthew Johansen, PFM will participate in a panel to discuss the investor viewpoint of utilities. They will identify key trends affecting the electric utility industry and how rating agencies and the capital markets are responding.

Efficient electrification is a central pillar of EPRI’s vision of an Integrated Energy Network. Economic and environmental factors will increasingly reward and drive the application of electric technologies to boost energy efficiency, increase productivity and improve product quality while reducing emissions and water consumption.

Arshad Mansour, Senior Vice President, R&D, EPRI, will discuss how maximizing the potential of these electric technologies will require a modernized, robust and cleaner electricity grid that will enable increased customer choice and flexibility.

Jim Marston, VP, Clean Environmental Defense, will provide the environmentalist perspective on climate change in the time of Trump and the response from the country and the rest of the world.

Electric utilities are considered one of the most critical components of infrastructure in the country for the support

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2017 FALL CONVENTION

of our economy, health and quality of life. They also face an ever growing number of evolving threats…ranging from more frequent and severe natural weather events…to more sophisticated cyber-attacks and adversaries. Kevin Wailes, Chief Executive Officer, Lincoln Electric System and Co-Chair of the Electricity Subsector Coordinating Council, will discuss what the electric utility industry is doing to address

these threats and the associated unique partnership that has been forged with the Departments of Energy and Homeland Security to support this effort.

Kelly Fuhlman, Regional Account Manager, Disney Institute, will give insight on how the Disney Institute thinks about customer service. Walt Disney said “You can design and create, and build the most wonderful place in the world. But it takes people to make the dream a reality.” People ask us all of the time what the secret is to our world-class service and happy Cast Members (employees) around the globe. The foundation of our service culture is a shared Service Framework of a single Common Purpose, Service Standards, and Behavioral Guidelines, and ongoing training and development of our Cast to role model the culture,

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recognize, coach, and empower employees to go above and beyond in service. We shift perspectives by showcasing key business insights and real-world illustrations from our operations that showcase what success looks like.

The Fall Executive Leadership and Management Convention is a three-day event that begins on a Sunday with a golf outing followed by an evening reception hosted by the RMEL Champions. Monday is a full-day of educational presentations ending with an RMEL Champions reception, dinner and the RMEL Foundation Silent Auction and the RMEL annual meeting. A guest program, awards presentation and plenty of time to relax and network are also part of the tradition.

Go to www.RMEL.org for more information and registration.

CALENDAR OF EVENTS

2017 Calendar of Events As 2018 events are being finalized, look for these core events with brand new topics in 2018, plus 10-15 more brand new elective events.

JANUARY 2018

JULY 2018

Introduction to the Electric Utility Workshop

Plant Management, Engineering and Operations Conference & Vital Issues Roundtable

FEBRUARY 2018

AUGUST

OCTOBER

16-17

11-12

Leaders Developing Future Leaders Workshop

Distribution Engineers Workshop Lone Tree, CO

Lone Tree, CO

25

Golden, CO

SEPTEMBER

MARCH 2018

Safety Roundtable

Power Supply Planning and Projects Conference & Roundtable

SEPTEMBER 2018

Transmission Planning and Operations Conference & Roundtable

Fall Executive Leadership and Management Convention

MAY 2018

17-19 Tuscon, AZ

AUGUST 2018

Distribution Overhead and Underground Operations and Maintenance Conference

Safety Roundtable August 2017

Fall Executive Leadership and Management Convention

Safety Roundtable

20-22 18

Renewable Planning and Operations Conference

Spring Management, Engineering and Operations Conference Keystone, CO

Lone Tree, CO

JUNE 2018

NOVEMBER

RMEL Foundation Golf Tournament

16-18

San Antonio, TX

OCTOBER 2018 Planning Session: 2019 Spring Management, Engineering and Operations Conference

NOVEMBER 2018 Safety Roundtable Plus 10-15 more brand new elective events to be announced…

3

Safety Roundtable November 2017 Fort Collins, CO

CONTINUING EDUCATION CERTIFICATES Continuing education certificates awarding Professional Development Hours are provided to attendees at all RMEL education events. Check the event brochure for details on the number of hours offered at each event.

W W W. R M EL .O R G

13

WHAT A TRUMP PRESIDENCY MEANS FOR ENERGY POLICY

BY THOMAS J. PYLE, PRESIDENT, INSTITUTE FOR ENERGY RESEARCH

>>

I

f any doubt remained that a fundamental shift was underway in America’s approach to energy policy, President Donald J. Trump put it to rest by pulling the United States out of the U.N. climate agreement and declaring he was elected to represent “Pittsburgh, not Paris.” Trump’s proenergy stance is radically different from not only his predecessor’s, but from the bipartisan mainstream of the last quarter century.

To understand the opportunities presented by the Trump Administration with respect to energy we first must establish the industry-hostile context that reached its zenith during the final years of the Barack Obama presidency. Along with healthcare and the Iran nuclear agreement, Obama’s initiatives responding to the perceived threat of climate change stand out as the core priorities of his administration.

THE OBAMA CLIMATE AGENDA

Obama’s climate agenda was largely rooted in the good-versus-evil dichotomy of the keep-it-in-the-ground movement. This movement portrayed coal, oil, and natural gas as harmful vestiges of the past that should only be accepted as energy sources as a matter of last resort. In contrast, the keep-it-in-the-grounders presented solar and wind energy as viable, forward-thinking alternatives. The influence of this movement on Obama-era policy was manifested in the form of subsidies to bolster politically-preferred wind and solar power and regulations to hinder the production and use of coal, oil, and natural gas. Coal in particular was targeted by the EPA as public enemy number one. Regulations such as the Mercury and Air Toxics Standards (MATS), Cross-State Air Pollution Rule (CSAPR), and the Clean Power Plan (CPP) typify this era.

According to the Energy Information Agency (EIA) coal’s share of U.S. central station electricity generation has fallen from around 50 percent in 2008 to around 30 percent this year.

The chart below illustrates the current fuel mix for central station electricity.

Perhaps the crowning element of

16 E L E C T R I C E N E R G Y | S U M M E R 2 0 1 7

HIGH RES CHART?

GRAPH

Obama’s energy-related initiatives, however, was his administration’s executive decision to sign the U.S. onto the Paris climate agreement, which served to add further entrenchment to his other policies.

As the Obama era came to a close last year, the political class expected a Hillary Clinton victory and a continuation (or acceleration) of the subsidizeand-regulate approach of the previous administration. But, on November 8, the script was flipped.

TRUMP’S ASCENDANCE

On the campaign trail, candidate Trump charted a course more brazenly pro-energy than any major candidate in recent memory, announcing publicly his opposition to nearly the entire suite of Obama initiatives aimed at curtailing the production and use of natural resources. On Trump’s list for repeal were big-ticket items like the CPP and the Paris Agreement and more obscure, yet critical, issues such as the use of the so-called social cost of carbon in rulemaking, which masked the true cost of the Obama climate agenda.

In the period between the election and his inauguration, Trump instructed his transition team, on which I served, to be bold in its recommendations. As we have seen in the six months since his inauguration, he clearly meant it.

To date, Trump has delivered on

his campaign dialogue by reducing regulatory friction, rescinding the social cost of carbon, streamlining the pipeline permitting process, and, in spite of an intense lobbying effort (including by some in his own administration), withdrawing from the Paris Agreement.

Trump’s orientation toward the energy industry differs fundamentally from that of his predecessor. Whereas Obama sought to place a bridle on coal, natural gas, and oil in deference to environmental concerns, Trump views these energy sources as an endowment that should be put to use for economic benefit. Obama touted his policy as an all-of-the-above energy approach, but in reality it was really an all-of-the above ground approach, leveraging the government’s resources and regulatory authority to favor renewables above all others.

Trump, on the other hand, is promoting a policy that will allow the most competitive, efficient sources to rise to the top. The Trump administration is aiming to transform public discourse on energy from a scarcity mindset to an abundance mindset. Gone are the days, the Trump administration now asserts, of conservation and a desire for mere energy independence; we’re now embarking on a project of what Trump has deemed energy dominance.

The animus for this shift is our evolving knowledge of both the sheer

volume of energy resources we possess and our increasing ability to access it. As Trump moves deeper into his four-year term, two once-unthinkable energy initiatives that may be on the horizon are the opening of portions of Alaska’s North Slope to oil and gas exploration and major investment in liquefied natural gas (LNG) export.

FEDERAL LANDS

Over the years, Alaska has seen a decline in its role as America’s energy powerhouse. President Trump is looking to change that by pursuing policies that allow Alaska to utilize its vast energy and mineral resources once again.

In the western half of Alaska’s North Slope lies the National Petroleum Reserve-Alaska (NPR-A)—an area the size of Indiana administered by the Bureau of Land Management and established specifically for oil development. This is the territory for which Secretary of the Interior Ryan Zinke ordered a rewrite

of the Obama administration’s restricAvenue and its legal basis is the Alaska tive 2013 oil and gas plan while visiting National Interest Lands Conservation the state in May. NPR-A is known to Act (ANILCA). hold about 895 million barrels of ecoANWR, unlike NPR-A, was estabnomically-recoverable oil. In a statelished for the purpose of conservation ment announcing the and is administered by order, Zinke said, “This the Fish and Wildlife As the Trump is land that was set up Service. But Congress administration’s with the sole intention charted a course in 1980 of oil and gas producfor a specific portion of early decisions tion; however, years the land to be opened have shown, of politics over policy to energy exploration embracing our put roughly half of the by a future act. This energy potential is NPR-A off-limits.” Inparticular piece of land the new paradigm deed it was and indeed is known as the 1002 in federal energy politics have. area—named after the policy.

The real prize—and germane ANILCA secthe hotter controvertion. The 1002 area is sy—is the Arctic Nationbut a sliver of ANWR’s al Wildlife Refuge (ANWR), a piece of enormous total area—1.5 million acres land about as big as South Carolina out of 19 million total—yet contains that borders Canada and the Arctic market-altering volumes of petroOcean in Alaska’s northeast. ANWR leum. A United States Geological Serwas created in 1980 during Jimmy vice survey published in the 1990s Carter’s final year at 1600 Pennsylvania estimated a mean value of 7.7 billion

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barrels of technically-recoverable oil.

The Alaskan regions are but some of the myriad federal lands that are ripe for development. A study published by my organization and cited

by Trump on the campaign trail—The Economic Effects of Immediately Opening Federal Lands to Oil, Gas, and Coal Leasing—shows that open-

$10 billion annually for state and local governments and $24 billion for the federal government.

In the long term2, we could expect $663 billion in annual output, $163 billion in annual wages, and over 2.7 million jobs. The long-term federal tax revenue would be over $120 billion annually.

INCREASED OUTPUT FROM OPENING FEDERAL LANDS ($ MILLIONS ANNUALLY) REGION

SHORT-RUN

LONG-RUN

ATLANTIC OCS

$7,588

$23,994

EASTERN GULF

$7,122

$31,325

PACIFIC OCS

$24,727

$58,445

GRAPH $17,747 N/A

$39,807

ANWR PRB COAL

$87,871

TOTAL FROM REGIONAL ANALYSIS

$57,184

$241,445

ADDITIONAL OIL AND GAS NON-ANWR (INTERIOR STATES) AND SPILLOVER EFFECTS

$69,725

$421,593

TOTAL U.S (ONSHORE & OFFSHORE)

$69,725

$126,909

$663,038

SOURCE: BUREAU OF ECONOMIC ANALYSIS: DEPARTMENT OF COMMERCE

ing federal lands would be a stunning boon to our economy. According to our estimates this could generate short-run1 benefits of $127 billion in annual economic output, $32 billion in annual wages, and over 552,000 jobs.

The short-run tax revenue would be

18 E L E C T R I C E N E R G Y | S U M M E R 2 0 1 7

LNG EXPORT

A second pillar of the Trump energy dominance platform will be the facilitation of LNG exporting through streamlined permit approval and the promotion of LNG exports. With domestic natural gas prices hovering at around

$3.00-per-million British thermal units (mmbtu) in the U.S., producers are increasingly interested in finding foreign markets to drive up revenues. According to an Energy Information Administration study published in 2012, LNG exports could generate revenues of between $14 billion and $32 billion annually for gas producers over a 20 year period. The shift would alleviate the glut of supply on the domestic market, allow gas prices to rise, and resultantly spur new demand for coal. According to the study, coal could see as much as a 6.2 percent increase in revenue.

The prime international market for natural gas rests on the other side of the Pacific in China, Japan, and South Korea. While natural gas prices remain low here in the U.S. the price in Japan and South Korea is still high despite a considerable drop—from over $16-per-mmbtu in 2014 to under $8 today—and consumers are beckoning for more competitors to enter the market. China, as the world’s largest consumer of energy, has drawn the most discussion as a trading partner. China imported its first cargo of American LNG last September and is a key candidate for long-term export contracts. Shipments have also recently gone to Eastern Europe, where LNG can serve as a geopolitical tool to erode Russian dominance.

The LNG export pioneer has been

W W W. R M EL .O R G

19

Cheniere Energy Inc., which has reportedly shipped gas to 18 countries since it began exporting in 2016 from its three terminals on the Gulf coast, while no other company has yet launched operations.

AN ENERGY POLICY RESET

As the Trump administration’s early decisions have shown, embracing our energy potential is the new paradigm in federal energy policy. Trump is seeking to level the playing field and prioritize growth. For American energy producers and users the reward will come in the form of simplified approval procedures, less red tape, and the removal of the political target that had been on their backs for the past eight years.

This means markets, not mandates, will drive future energy production, consumption, and use. For the American public the reset will be just as beneficial—the end of the subsidizeand-regulate era will mean lower energy costs and more money in their pockets. After decades of a federal government stranglehold that reached its peak with the previous administration, a Trump presidency represents a welcome unleashing of our energy potential.

ABOUT THE AUTHOR Thomas J. Pyle is the president of the Institute for Energy Research (IER) and the American Energy Alliance (AEA). In this capacity, Pyle brings a unique backdrop of public and private sector experience to help manage IER and AEA’s Washington, DC-based staff and operations. He also helps to develop the organization’s free-market policy positions and implement educational efforts.

Previously, Pyle was the founder of his own consulting firm, Pyle Consulting, Inc., an active public affairs consulting firm with a wide range of private and not-for-profit customers. Additionally, he also served as director of federal affairs for a major integrated manufacturing and services company focusing on energy, environment, regulatory and transportation issues.

Before coming to the private sector, Pyle held numerous positions on Capitol Hill including serving a policy analyst for the Majority Whip of the U.S. House of Representatives and as staff director for the Congressional Western Caucus, as well as other legislative staff positions.

Short-run effects are those provided annually during the first years of the

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investment (pre-production) phase, which is estimated to be seven years.

Long-term, or long-run, effects are those provided annually during the

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wReplicates control room of a power plant, including realistic time delays and equipment responses to prepare our students for real-life experiences. wStudents can actually change conditions that will respond in the control room and the VR-simulated power plant in real time. wCan simulate virtually any abnormal or emergency condition that can occur at two types of power plants: Combined Cycle (jet engine) powered and coal-fired electric generating. wSimulator could benefit employees of power plants in SCC’s area, such as Lincoln Electric System and Nebraska Public Power District, as they do not have a training facility like this and are considering using it to train their employees. wThe goal of this simulator: To prepare students for real-life experiences in a control room at two different types of power plants currently operating in North America.

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A JOURNEY OF NATURAL GAS FUNDAMENTALS

BY ROB TRINNEAR, MANAGING DIRECTOR, EAST, THE ENERGY AUTHORITY

The information in this article is not for the purpose of providing legal or financial advice. The opinions expressed in this article are the opinions of the individual author and may not reflect the opinions of the corporation. The author does not warrant or represent that the information is appropriate for any purposes. The Energy Authority, Inc. disclaims all liability for any consequences due to the use of the information contained in this article.

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ELECTRIC ENERGY | SUMMER 2017

T

HE HISTORICAL NATURAL GAS PRICE JOURNEY HAS BEEN MARKED with bouts of volatility coupled with structural change. Over the last few years we have entered a period of price stability driven by an ample supply of inexpensive shale gas. Continuous innovation from producers has allowed natural gas break evens to continue declining—but are we on a consistent trajectory of decline?

In this article, I will outline the journey of natural gas prices through a short-term and long-term market outlook.

Price Upside Risk in the Short Term

In the short term, the fundamentals through October of 2017 are supportive of higher prices. As shown in Figure 1 below, supply reached its nadir in February of 2016 and has shown little impetus to rise during 2017.

FIGURE 1: Production bcf/d Source: Bloomberg, TEA Research

Demand has continued to grow with very high capacity utilization of the current LNG export facility, Sabine Pass. This robust LNG growth is illustrated in Figure 2.

FIGURE 2: LNG Gas Demand bcf/d

Source: Bloomberg, TEA Research

Additional trains are coming on line in the near future, and we expect annual LNG demand to reach 3.0 bcf/d by the end of year. To put this in context, consider that between 2011 and 2015 the annual total demand growth averaged only 2.09 bcf/d.

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Mexican exports continue to accelerate as more pipelines come on line to serve the Mexican demand for natural gas to fuel their combined cycle power plants. Pemex, the Mexican oil and gas company, has seen its natural gas production continue to decline. Mexico is looking to the cheap U.S. supply on its doorstep to meet its increasing demand, and this trend is expected to continue into the foreseeable future.

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FIGURE 3: NG Exports to Mexico bcf/d Source: Bloomberg, TEA Research

The fundamental tightness in the natural gas market has been camouflaged by a mild East Coast winter and a mild start to the summer. Should we see a shift towards warmer weather in the East Coast, we would expect that veil to fall and the true fundamental picture to gain prominence.

A SUPPLY RESPONSE BEGINS IN Q4 2017

Starting in Q4 2017 we should begin to see natural gas supply increasing. In Figure 4, we aggregate production expectations for 18 of the top 25 natural gas producers based on estimates provided to investors.

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FIGURE 4: Natural Gas Producer Production Expectations

Source: Bloomberg, TEA Research

The supply increase will occur as natural gas pipeline takeaway capacity increases out of the low-cost Marcellus and Utica shale plays. An example of this is the 3.25 bcf/d Rover pipeline, which is expected to be substantially completed in the fourth

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quarter of 2017. Into 2018 we will see a ramp up in pipeline takeaway capacity as illustrated below.

As would be expected, the majority of supply growth over the next 5 years will be emanating from Marcellus. The pipeline takeaway capacity that we mentioned earlier is key to providing better pricing for producers and thereby enabling the growth. Another key area related to the growth of supply is associated gas; this is gas that is associated with crude oil drilling. The Permian Basin in western Texas has seen increasing investment and is seen as a major crude oil growth play. As drilling ramps up, there will be greater associated gas growth. We project 7 bcf/d of growth between 2018 and 2022. There is a great deal of volatility associated with the potential growth as is illustrated in the chart below.

Year-Over-Year Associated Gas Growth (Bcf/d)

FIGURE 5: Marcellus/Utica Incremental Takeaway Pipeline Capacity Source: TEA Research

The lack of pipeline takeaway capacity has been constraining supply growth of late. Once this capacity comes online, the expectation is that producer pricing will improve and therefore production will increase.

In addition to that, low-cost shale from the Montney region of Canada has found a cost effective way to access the Midwestern U.S. Starting in November, 1.4 bcf/d of TransCanada capacity has been reserved with an expected landed price into the Midwest in the $2.50 - $2.75/MMBtu range.

LONG-TERM PRICE EQUILIBRIUM

Regarding the long-term availability of shale resources, the expectation is that low-cost shale resources will remain available in the foreseeable future. Therefore, the matter of focus is how much it will cost producers to extract the shale gas. Today it is a manufacturing process rather than an exploration process. We know where the gas is, it is plentiful, and the marginal cost of supply will be the key driver of the long-term equilibrium price moving forward.

The lowest cost shale plays are Marcellus and Utica as evidenced in the diagram below.

FIGURE 6: Shale Play Resource Break Evens

Source: Wood MacKenzie

$40.00

$45.00

$50.00

$60.00

FIGURE 7: Permian Basin Associated Gas Growth bcf/d Source: TEA Research

The difference in associated gas growth when the WTI oil price is $50/bbl and $60/bbl is significant. We must understand not only natural gas fundamentals, but also crude oil fundamentals when establishing a long-term equilibrium price.

So what is the long-term equilibrium price of crude oil?

Does the $60/bbl or $50/bbl scenario make more sense?

The United States is the marginal supplier of crude due to its available shale oil resources. We have already seen breakeven prices in parts of the Permian in the $45 area.

With continued efficiency gains expected, the $50 crude oil price scenario looks much more probable than the $60 price scenario.

On the demand side, LNG will be the big driver of demand growth over the next five years. LNG exports will be the largest long-term demand driver. The LNG export facilities that are under construction will be built. There are currently multiple projects that are at various stages of the approval process but are yet to start construction. Asia is projected to be the largest future source of LNG demand.

Currently, the three largest consumers of LNG are Japan, South Korea, and China. Between 2017 & 2022, close to two thirds of demand growth will come from China and India. In order to justify a large capital investment in an LNG export facility, we can use the current pricing methodology of Asian LNG long-term contracts to predict the likelihood of multiple LNG facilities being built in the U.S. after the initial batch that are under construction.

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Back in 2005, in the aftermath of Hurricane Rita and Katrina, with gas prices over $15/MMBtu, natural gas-intensive manufacturing, such as fertilizer and methanol, was leaving U.S. shores. With the advent of shale gas, we are seeing a turnaround in natural gas-intensive manufacturing as low gas prices are now a competitive advantage for the U.S. compared to global peers.

The movement of a methanol plant from Chile to Louisiana by Methanex is illustrative of this trend. The U.S. is projected to become a net exporter of fertilizer and methanol by the end FIGURE 8: U.S. LNG/Asian Price Comparison of the decade. This is supportive of Source: TEA Research increased natural gas demand from Looking at the figure above, there is little incentive for inthe industrial sector moving forward. cremental LNG projects based on the current forward There has been a lot of rhetoric regarding the balance of curve. Long-term contractual LNG is based on the Brent payments deficit; however, the shale revolution is contribcrude oil price. Since the crude oil price has dropped signifiuting to reducing that negative balance and supporting the cantly over the last few years, potential long-term contraccreation of industrial jobs in the U.S. tual pricing is not currently attractive for incremental U.S. Producer innovation has caused a decline in natural gas LNG plant construction. To put this is context, the Asia spot break evens and the long-term price equilibrium. This is illusmarket was $15.50/MMBtu on September 2011. trated in the Production to Rig Ratio shown in Figure 9.

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FIGURE 9: Marcellus Production and Rig Counts

Source: Bloomberg, TEA Research

Producer innovations have included longer laterals and changes to the fracturing fluid mixture. However, even if this trend continues, we should expect to see a long-term equilibrium of $3/MMBtu. Transportation and gathering costs have also increased over the last few years. Pipeline reservation fees have increased due to more lengthy and cost-intensive approval procedures for new construction prompted by environmental opposition. A major Marcellus producer has seen transportation and gathering costs increase by 69% from 2011 – 2016. Transportation and gathering costs’ share of total costs

increased from 14% in 2011 to 37% in 2016. With the risk of higher costs moving forward, a long-term equilibrium price of $3/MMBtu seems justified. The biggest upside price risk to the equilibrium would be possible increased regulations due to an environmental disaster that would increase production costs.

The downside price risk to the equilibrium is technological innovations that would drive the production costs even lower.

In summary, higher natural gas prices are expected in Q3 2017, supported by strong demand fundamentals. We will then enter a transition phase where supply increases as incremental pipeline takeaway capacity comes online. The long-term equilibrium price (where supply growth meets demand growth) will be driven by the marginal cost of supply, estimated to be $3/MMBtu, with a larger proportion being transportation and gathering costs.

ABOUT THE AUTHOR Robert Trinnear is an expert in risk management and financial derivatives with two decades of industry experience. He leads trading services across all commodity types at The Energy Authority.

Mr. Trinnear holds a master’s degree in finance from Georgia State University, and a bachelor’s degree in management from Trinity College, Dublin.

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PLANNING THE DISTRIBUTED ENERGY FUTURE A CASE STUDY OF INTEGRATED DER PLANNING BY THE SACRAMENTO MUNICIPAL UTILITY DISTRICT

BY DAN WILSON, MANAGER, DISTRIBUTED ENERGY, BL ACK & VEATCH MANAGEMENT CONSULTING, LLC AND OBADIAH BARTHOLOMY, MANAGER, DISTRIBUTED ENERGY STRATEGY, SACRAMENTO MUNICIPAL UTILITY DISTRICT

UNDERSTANDING THE CHALLENGE

Only a few years ago, most experts in the electric utility industry considered a target of 10 to 20 percent renewable energy generation on the grid to be highly ambitious; but oh, how times have changed. Today, Hawaii has a legal mandate to achieve 100-percent renewable energy by 2045, with California (the world’s sixth largest economy) considering a similar policy. From Portland to Atlanta1, almost 30 U.S. cities have committed to 100-percent renewable energy,

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ELECTRIC ENERGY | SUMMER 2017

along with almost 100 corporations.2 Cumulative U.S. solar photovoltaic installations have grown from under 4,000 MW in late 2011 to 45,000 MW in early 2017—more than a tenfold increase in just over five years—and in 2016, more solar was installed than any other type of generation resource.3 The grid is also becoming more distributed; a large portion of installed solar is behind the customer meter, and plugin electric vehicles have grown from a few hundred in 2010 to over 630,000 nationwide today.4 It is fair to say that the industry is now seeing the most

rapid pace of change in 100 years, and the change is still accelerating.

As these trends continue, some electric utilities are beginning to proactively plan for a future in which distributed energy resources (DERs) will play a much larger role in balancing supply and demand on the grid. This article focuses on the case study of how one utility, the Sacramento Municipal Utility District (SMUD) in California, is conducting the type of proactive DER planning that other utilities will need to adopt as DER growth accelerates.

Like many other utilities, SMUD is

seeing increasing adoption of customer-owned and third party-owned DERs in its territory, which is putting pressure on its traditional business model. SMUD estimates its customers and third parties (on behalf of their customers) are currently spending or financing around $150 million to $200 million per year on DERs; more than the utility spends on utility-scale renewables to meet California’s current 50-percent Renewable Portfolio Standard (RPS). The proliferation of DER risks stranding past investments in utility infrastructure and changing

the amount and type of future asset investments. However, it also creates opportunities for utilities to improve customer engagement, maximize the net benefits of DERs, and offer new products and services that can lead to new revenue streams.

AN INTEGRATED DER PLANNING PROCESS

To address both the risks and opportunities presented by DERs, SMUD conducted a study to understand the holistic impact of DERs across its system through 2030. The effort

integrated previous work from across the utility with new methods developed in conjunction with the global engineering/consulting firm Black & Veatch. This integrated DER planning study (abbreviated as “iDER”) followed a five-step process shown in Figure 1 below and described thereafter.

Technologies included in the analysis were combined heat and power (CHP), distributed solar photovoltaics (PV), energy efficiency (EE), dispatchable and non-dispatchable demand response (DR), distributed energy storage (ES), and electric vehicles (EV).

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STEP 1: FORECASTING DER POTENTIAL AND CUSTOMER ADOPTION P URPOSE: Quantify total DER potential and forecast likely customer adoption through 2030.

M ETHODOLOGY: Estimated technical potential (physical constraints) and economic potential (payback constraints) for each DER technology at each of SMUD’s 600,000 customers; identified which customers are likely to adopt which DERs when (based on site/demographic characteristics and real hourly load data); and forecast total DER adoption through 2030.

FIGURE 1: Five-Step Integrated DER Planning Process Followed by SMUD

KEY FINDINGS: DER adoption will be widespread, but unevenly distributed across the service territory. This will create potential hotspots of distribution impacts but also opportunities to guide DER deployment to locations and times that maximize net benefits. Overall, customer-sited DERs will have a major impact on SMUD’s future grid investments.

Figure 2 shows a map of the DER adoption forecast for a representative section of SMUD’s territory, with hourly DER profiles for a representative customer.

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FIGURE 2: Map of Residential and Commercial DER Adoption Forecast for Section of SMUD Territory, with Example Hourly DER Profiles Shown

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STEP 2: DISTRIBUTION GRID IMPACT MODELING URPOSE: Analyze impacts and potential costs of DER P growth on the distribution grid through 2030, and determine appropriate mitigation solutions.

METHODOLOGY: Used DER adoption forecast to model distribution grid impacts of DER growth in 2030 using Landis & Gyr’s GRIDiant tool, based on a representative sample of substations/feeders, and modeled mitigation solutions on four sample feeders.

K EY FINDINGS: Most important impacts are transformer overloads due to EV charging (shown in Figure 3 below) and voltage violations due to fluctuation in PV output; mitigation solutions are transformer replacements and voltage regulators; total cumulative estimated mitigation costs through 2030 are $50-100+ million for unmanaged DERs.5 Smart inverters could play a role in reducing this total cost and are being investigated.

However, on a per-unit basis, these costs are fairly low (about $0.08 per watt of PV installed).

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FIGURE 3: Distribution Modeling Results: Projected Transformer Overloads Due to EV Charging Under High EV Scenario in 2030 (~25% Penetration)

STEP 3: BULK LEVEL IMPACT MODELING P URPOSE: Model aggregate impacts of DER growth on bulk power system through 2030.

METHODOLOGY: Ran a production cost model using PLEXOS to determine impact of each DER technology on energy, capacity, dispatch, emissions and load profile vs. a base case with no DERs. Most EVs were assumed to charge between 12 am and 6 am because SMUD offers an EV rate discount at night.

K EY FINDINGS: High DER scenarios result in 10- to 20-percent reductions in annual retail sales and peak load, reduced carbon emissions and power purchases, a flatter net load profile (from combined technologies)6 , and shifted peak load from afternoon toward the evening/night hours, as shown in the hourly load profiles in Figure 4 below. Concentrated EV charging at night led to transformer overloads during what are traditionally off-peak hours, indicating that managed EV charging could bring value in addition to time-ofuse rates.7

STEP 4: FINANCIAL IMPACT MODELING P URPOSE: Estimate financial costs and benefits of DERs to the utility.

M ETHODOLOGY: Used production cost model runs

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SMUD Gross Load

Net load - DER

FIGURE 4: Projected SMUD Hourly Load & DER Profiles on June 25, 2030 – Date of Maximum DER Penetration (52%)

from Step 3 to estimate net value of each DER technology to SMUD, according to the following formula: Net Value = (Production Cost Savings, compared to base case) – (Program Administrative Costs) – (Lost Revenue).

K EY FINDINGS: Most unmanaged DERs have a negative net value to SMUD based on current bundled rate structures and also on the limited set of factors considered8; DR is generally cost-effective; energy storage is generally not cost-effective without additional revenue streams or lower costs than those modeled.

Modified rates could change these results, and SMUD is actively exploring new rate designs to mitigate revenue impacts to the utility while still allowing customers to install and operate DERs cost-effectively.

STEP 5: RECOMMENDATIONS AND NEXT STEPS After the analysis in Steps 1-4 was completed, Black & Veatch and SMUD together developed several key recommendations for improving future analysis.

These include: Incorporate iDER analysis into regular utility planning processes like the Integrated Resource Plan (IRP).

Clearly assign timetables and key responsibilities for each iDER analysis step, and form a core multi-disciplinary analysis team.

Develop a robust DER customer database to track

adoption and research customer tradeoffs between

multiple DER technologies as well as DER payback periods.

Model the entire distribution system (rather than a

subset of feeders) and include more types of grid impacts and advanced device functionality, specifically smart inverter functions.

Test the mutual relationship between rate structures and customer DER adoption through sensitivity cases or multiple study iterations.

Ensure consistent assumptions and data are used

across all portions of the iDER process (e.g., financing assumptions, DER targets and analysis periods).

Going forward, SMUD is also pursuing a number of next steps to proactively manage future DER growth, which other utilities can learn from: Use DER adoption forecasts for customer program

targeting and development of new products and services.

Identify economic thresholds for future grid defection

by SMUD customers.

Demonstrate locational value of DERs in real-world

settings, such as deferral of distribution upgrades or ability to provide targeted ancillary services.

Reconsider previous expectations about necessity of new distribution, transmission and bulk generation infrastructure.

Implement better software tools for DER planning and operations; e.g., automated DER adoption forecasting and a DER Management System (DERMS).

Deploy an online customer engagement portal to assist them in considering DER options.

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ABOUT THE AUTHORS xplore new rate structures and targeted incentives E to guide DER deployment so customers install them in the right places, and operate them at the right times, to provide grid benefits.

PREPARING FOR THE DISTRIBUTED ENERGY FUTURE

Although the proactive DER planning conducted by SMUD offers a model for other electricity providers, each utility faces a unique set of circumstances and will have to tailor its DER planning approach accordingly. Some are seeing rapid DER growth today, while others may not see much growth for years. However, all utilities should begin early to implement an integrated DER planning process so they understand the complex set of risks and opportunities that come with rapidly increasing DER penetration, and avoid being the victim of unexpected market shifts.

Those that begin early will be able to: 1) forecast customer adoption and assess the locational value of DERs to avoid unnecessary physical infrastructure upgrades; 2) determine necessary investments in software and human resources required for proactive DER planning and operations; 3) evaluate appropriate changes in organizational structures to effectively manage DER growth; 4) dramatically improve the utility-customer relationship; and 5) proactively decide the utility’s role in the grid of the future, and which business model(s) it will pursue.9 Though DER growth is unevenly distributed from one utility service territory to another, the pace of change within the utility industry as a whole is only accelerating. Utility leaders who recognize this—and position their organizations to benefit from the transition to a highly distributed grid—are likely to reap significant rewards from their early efforts to plan for the distributed energy future.

Dan Wilson is a Manager at Black & Veatch Management Consulting LLC, focusing on the intersection of the electric utility sector with renewable and distributed energy resources. He has led numerous studies for utilities and other clients related to grid integration of renewable and distributed resources, quantifying cost of service and the value of solar, Integrated Resource Plans, distributed solar PV potential assessments, distributed solar policy design, customer-facing solar and demand response program management, implementation of new software to manage DER programs and interconnection, solar PV and battery storage feasibility analysis, electric vehicle market assessments, and distributed energy planning for smart cities. He has dual Master’s degrees in Energy Systems Engineering and Sustainable Systems from the University of Michigan, and is based in the greater Los Angeles area.

Obadiah Bartholomy is a Manager of Distributed Energy Strategy at Sacramento Municipal Utility District. His team is responsible for developing enterprise strategy for DERs as well as developing new business models to participate in this area. He has worked at SMUD for 15 years in the areas of Distributed Energy Resources, Customer Strategy, Solar Resources and PV Performance, Climate Change Policy and Emerging Technologies. He graduated with an MS from UC Davis inTransportation Technology & Policy and a BS from Cal Poly in Mechanical Engineering.

Thank you to the Smart Electric Power Alliance (SEPA) for their collaboration on the white paper on which this article is based.10

http://www.utilitydive.com/news/atlanta-pledges-100-renewables-by-2035/441850/ http://there100.org/companies 3 http://www.seia.org/research-resourcesus-solar-market-insight 4http://www.pevcollaborative.org/sites/all/themes/pev/files/5_MAY_ PEV_2017_0.pdf 1

2

Unmanaged DERs” means that customers deploy and operate the DER technologies to maximize their own cost savings under existing rate

5

structures, without guidance or incentives from SMUD to provide grid benefits.

While PV alone might create a more variable net load, the combination of PV with EE, DR, ES, and EV profiles served to flatten the overall

6

utility net load profile.

At the same time, care must be taken not to over-invest in a managed charging solution, as the lifetime cost of transformer overloads was

7

only $100 per vehicle, a small fraction of the value each vehicle brings to the utility.

For instance, no T&D deferral value was attributed to DER technologies as SMUD is still developing demonstration pilots to better assess this

8

value. This calculation does not account for any distribution level costs or benefits, nor any societal costs or benefits.

It is important to keep in mind that there is a range of options in defining business models and analyzing the needs of utilities, not a “one size

9

fits all” method. See SEPA's “Blueprints for Electricity Market Reform” for a discussion on options to build collaborative support from diverse stakeholders, varying from incremental to transformative.

10

34

The white paper is available at: https://sepapower.org/resource/beyond-meter-planning-distributed-energy-future-volume-ii/

ELECTRIC ENERGY | SUMMER 2017

EPRI CHARTS PATH TO AN ‘INTEGRATED ENERGY NETWORK’

BY CHRIS WARREN, CONTRIBUTING WRITER, EPRI JOURNAL

D

avid Owens has seen it all in the electricity industry. For 36 years at the Edison Electric Institute, he has helped guide the utility trade group’s efforts in rates, regulation, energy supply, advancement of new technologies, climate change, and more.

ARTICLE COURTESY OF THE ELECTRIC POWER RESEARCH INSTITUTE (EPRI) AND THE EPRI JOURNAL.

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As an industry veteran, Owens has stations to make the transportation observed dramatic changes as utility sector cleaner. They’re looking at recustomers embrace new technologies building the aging water infrastrucin the Internet of Things. “The industure. They’re saying, ‘Let’s make all of try is in a transformation driven by this infrastructure and these systems technology and changing customer smarter and more integrated.'” needs and expectations,” he said.

The vision of an integrated “system “Surrounding that is a deof systems” for electricity, sire for cleaner energy.” water, natural gas, and “We need to look As customers install solar transportation is at the at regulatory panels, battery storage, core of EPRI’s Integrated models that electric vehicle charging, Energy Network, unmake sure that and digital energy manveiled at the February customers get agement systems, the meeting of the National the right price grid’s power flows and Association of Regulatory system operations are Utility Commissioners signals and that becoming more dynamic (NARUC). encourage the and complex.

“It was exciting to have efficient use According to Owens, EPRI present its findings of energy.” the boundaries that have on this topic at NARUC. - David Owens long divided various In this era of changing parts of the energy sectechnology and unprector are beginning to blur, which has edented interconnectedness, the days major implications for business, conof utilities operating in silos are long sumers, and natural resources. “Cities gone,” said NARUC President Robert are trying to improve their street Powelson. “Communication across utillighting, and they’re supporting inity sectors is an essential component to vestment to make buildings smarter,” integrating new technology and prohe said. “They’re trying to accelerate tecting reliability.” the development of electric charging The result of research and

collaboration with energy industry leaders, the Integrated Energy Network describes both a future and a path to get there.

“There is a cacophony of voices out there with future perspectives,” said Anda Ray, EPRI’s senior vice president, external relations and technical resources, and chief sustainability officer.

“What makes this different is that EPRI is not prescribing specific results, but we are pointing to a broad outcome.

We’ve identified a common pathway

INTEGRATED ENERGY NETWORK— WHAT DO WE NEED TO ACCOMPLISH? Manage energy and natural resources as an integrated system; Guide an efficient transition to much more digital, dynamic, and networked energy systems; Accelerate the development of cleaner energy technologies— supply, demand, delivery, and storage technologies—that can operate more flexibly; Unleash and promote opportunities for efficient electrification; and Create new business models that build on the strengths of today’s energy infrastructure while taking advantage of new technological possibilities.

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• Integrating energy resources— through new control technologies, communications, standards, and markets: Natural gas exemplifies the interdependence of energy systems.

During winters in the U.S., Midwest natural gas supplies are constrained, which could result in simultaneous, downstream constraints on power if those supplies are not integrated to serve both heat and power generation. The Integrated Energy Network points our thinking far beyond a given winter’s supply and demand scenario.

Better integration of planning, dispatch, and markets presents an important opportunity to improve flexibility and efficiency for customers and system operators. Other interconnections among electricity, natural gas, transportation, and water systems point to additional opportunity (or need) for integration through smart technologies, communications systems, and secure cyber networks. Near term, the electricity sector’s progress in integrating utility systems with diverse, distributed resources makes the “Integrated Grid” an instrumental milestone in the Integrated Energy Network. and actions to move forward through collaborative consultation and R&D, creating the opportunity for discussion.”

THE THREE PILLARS

The Integrated Energy Network is an invitation to contribute new ideas and approaches to plan from three perspectives: • Using affordable, cleaner energy—through efficiency and electrification: The world’s rapidly growing and dramatically more urban populations share common needs for cleaner, affordable energy. This can be provided through electrification and the more efficient use of electricity. There are clearer, more reliable options for cleaning electricity than there are for cleaning direct use of fossil fuels. Examples of electrification include advanced manufacturing processes, high-efficiency heat pumps, and electric transportation. EPRI’s report points out that in many regions today electrifying vehicles can cut carbon dioxide emissions by 75% and reduce fuel costs by 70%.

• Producing cleaner energy— through more efficient, environmentally sustainable, flexible generation: Whether it’s wind, solar, nuclear, or fossil-fueled generation with carbon capture, the potential for affordable, clean electricity has been clearly established, but it requires substantial investment and progress in the power production portfolio. The electricity sector must develop and deploy “next gen” versions of both workhorse technologies (such as nuclear plants) and the newer contributors (such as photovoltaics). Intermittent renewables must be deployed in portfolios that make effective use of geographic diversity and storage technologies in both utilityscale and distributed applications. New technologies, regulations, and business models are needed to support the deployment of utility power portfolios and extensive distributed energy sources.

Capital will be needed also to link larger, more diverse power production assets through inter-regional high-voltage transmission networks.

INTEGRATION IS NOT INEVITABLE

Given the electricity sector’s progress in achieving the Integrated Grid, will the Integrated Energy Network follow, as night follows day? Even assuming that integration can enhance efficiency, affordability, security, flexibility, and customer choice, it cannot happen on its own.

Today’s business models, markets, policies, and regulations are configured for a world in which energy and natural resource sectors connect their respective resources and consumers through separately managed and operated systems. “These siloed systems were created as these industries and technologies developed independently,” said Ray. “Without taking deliberate steps to achieve integration, we will delay that time at which we make optimal use of these resources. We have to start this conversation today.”

Edison Electric Institute’s Owens highlights the need for regulatory reform. “Our regulatory structure has to

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keep pace,” he said. “We need to look at regulatory models that make sure that customers get the right price signals and that encourage the efficient use of energy.”

The Integrated Energy Network is a call for broader innovation and collaboration—and sooner—and EPRI is supporting that by: • Refocusing research to look beyond electricity to the interconnections among gas, water, transport, other energy systems, and natural resources. As part of that effort, EPRI will examine new customer expectations and opportunities presented by interconnected industries.

• Expanding membership to enable more diverse institutions to participate in EPRI’s collaborative research.

• Increasing communication and

38 E L E C T R I C E N E R G Y | S U M M E R 2 0 1 7

outreach to bolster collaboration with stakeholders across various sectors.

• Engaging more international stakeholders to widen the diversity of ideas and perspectives, and to support collaborative research.

While new ways of thinking and operating are needed to move forward, EPRI’s mission remains the same. “Our charter is to help shape the future of the electricity industry,” said Ray. “When we look ahead, we see that the

electric power industry’s limitations, challenges, opportunities, and potential will be profoundly intertwined with other systems and resources. If we believe this to be true, then we owe it to energy providers, consumers and society to say, ‘the sooner the better’ for thinking and acting more collaboratively. And specifically, EPRI has an obligation to examine and accelerate innovations to help advance efficient, cost-effective use of energy.”

ABOUT THE AUTHOR Chris Warren is a Contributing Writer for EPRI Journal. His work has also appeared in publications ranging from Greentech Media to Oxford American to National Geographic Traveler and The Los Angeles Times. Warren was formerly a writer and editor at the solar industry trade publication Photon.

MEMBER LISTINGS

Member Listings 1

ABB, Inc.

48 City of Gallup Electric Department

95 Greer CPW

2

ADA Carbon Solutions, LLC

49 City of Garden City

96 GSW Integrated Services

3 Advanced Electrical & Motor Controls, Inc.

50 City of Gillette

97 Gunnison County Electric Association, Inc.

4 AECOM

52 City of Imperial

98 Hamilton Associates, Inc.

5

Alexander Publications

53 City of Yuma

99 Harris Group, Inc.

6

Altec Industries, Inc.

54 Co-Mo Electric Cooperative

7

American Coal Council

55 Colorado Highlands Wind LLC

100 Hartigan Power Equipment Company

8

American Public Power Association

56 Colorado Rural Electric Association

51

City of Glenwood Springs

9 Arizona Electric Power Cooperative, Inc.

57 Colorado Springs Utilities

10 Arizona Public Service

59 Commonwealth Associates, Inc.

11

Arkansas River Power Authority

12

Asplundh Tree Expert Co.

13

Associated Electric Cooperative, Inc.

14 Atwell, LLC 15

Austin Energy

16

AZCO INC.

17

Babcock & Wilcox Company

18 Babcock Power, Inc. 19

Barton Malow Company

20 Basin Electric Power Cooperative 21

Beckwith Electric

22 Beta Engineering 23 Black & Veatch Corp.

24 Black Hills Corporation 25 Black Hills Electric Cooperative 26 Boilermakers Local #101

58 Colorado State University 60 ComRent 61

CPS Energy

62 Culture Change Consultants 63 D.C. Langley Energy Consulting, LLC 64 Day & Zimmermann 65 Delta Montrose Electric Assn.

66 DIS-TRAN Packaged Substations, LLC 67 DMC Power Inc. 68 E & T Equipment, LLC 69 E3 Consulting 70 El Paso Electric Company 71

Electrical Consultants, Inc.

72 ElectroTech, Inc. 73 Emerson Process Management Power & Water Solutions

101 HDR 102 High Energy Inc. (HEI) 103 Highline Electric Assn.

104 Holy Cross Energy 105 Hubbell Power Systems 106 Hughes Brothers, Inc. 107 IBEW, Local Union 111 108 IEC Rocky Mountain 109 IMCORP 110 Incorporated County of Los Alamos Department of Public Utilities 111 Independence Power & Light 112 Innova Global, Inc. 113 Integrated Security Corporation 114 Intercounty Electric Coop Association 115 Intermountain Rural Electric Assn.

116 ION Consulting 117 Irby 118 Irwin Power Services

27 Boone Electric Cooperative

74 The Empire District Electric Company

28 Border States Electric

75 Empire Electric Association, Inc.

120 Kansas City Board of Public Utilities

29 Bowman Consulting Group

121 Kansas City Power & Light

30 Brink Constructors, Inc.

76 Energy & Resource Consulting Group, LLC

122 KD Johnson, Inc.

31

77 Energy Education Council

123 Kiewit

78 Energy Providers Coalition for Education (EPCE)

124 Kit Carson Electric Cooperative

79 Energy Reps

126 Klute Inc. Steel Fabrication

80 ESCÂ engineering

127 L. Keeley Construction

81

128 La Junta Municipal Utilities

Brooks Manufacturing Company

32 Burns & McDonnell 33 Butler Public Power District 34 Carbon Power & Light, Inc. 35 Cargill Industrial Specialties 36 Casey Industrial, Inc.

Evans, Lipka and Associates, Inc.

119 James Industries, Inc.

125 Kleinfelder

82 Evapco - BLCT Dry Cooling, Inc.

129 La Plata Electric Association, Inc.

38 CDG Engineers, Inc.

83 Exponential Engineering Company

130 Lake Region Electric Coop Inc.

39 Center Electric Light & Power System

84 Fairbanks Morse Engine

131 Lamar Utilities Board

85 Foothills Energy Services Inc.

132 Lampson International LLC

40 Central Nebraska Public Power and Irrigation District

86 Fort Collins Utilities

133 Las Animas Municipal Light & Power

87 Fuel Tech, Inc.

134 Leidos

41 Chimney Rock Public Power District

88 Gamber-Johnson LLC

135 Lewis Associates, Inc.

42 City Light & Power, Inc.

89 GE Power

136 Lincoln Electric System

43 City of Alliance Electric Department

90 Genscape, Inc.

137 Llewellyn Consulting

44 City of Aztec Electric Department

91

138 Longmont Power & Communications

45 City of Cody

92 Grand Island Utilities

139 Loup River Public Power District

46 City of Farmington

93 Grand Valley Rural Power Lines, Inc.

140 Loveland Water & Power

47 City of Fountain

94 Great Southwestern Construction, Inc.

141 Magna IV Engineering Inc.

37 CB&I

Golder Associates, Inc.

W W W. R M EL .O R G

39

MEMBER LISTINGS

142 Marsulex Environmental Technologies 143 MasTec Power Corp.

192 Safety One Training International, Inc.

241 University of Idaho Utility Executive Course College of Business and Economics

144 Merrick & Company

193 San Isabel Electric Association, Inc.

242 UNS Energy Corporation

145 Midwest Energy, Inc.

194 San Marcos Electric Utility

146 Missouri River Energy Services

195 San Miguel Power Assn.

243 Utility Telecom Consulting Group, Inc.

147 Mitsubishi Hitachi Power Systems Americas, Inc.

196 Sangre De Cristo Electric Assn.

148 Morgan County Rural Electric Assn.

198 Savage

149 Morgan Schaffer Inc.

199 Schweitzer Engineering Laboratories

150 Mountain Parks Electric, Inc.

200 Sega Inc.

151 Mountain States Utility Sales

201 Sellon Forensics Inc.

152 Mountain View Electric Association, Inc.

202 Siemens Energy Inc.

153 Mycoff, Fry & Prouse LLC

204 Solomon Associates

154 NAES Corp.

155 Navopache Electric Cooperative, Inc. 156 Nebraska Public Power District 157 NEI Electric Power Engineering, Inc. 158 New Mexico State University 159 Nooter/Eriksen, Inc. 160 Norris Public Power District 161 Northeast Community College 162 Northwest Rural Public Power District 163 Novinium 164 Olsson Associates 165 Omaha Public Power District 166 Osmose Utilities Services, Inc. 167 PacifiCorp 168 Panhandle Rural Electric Membership Assn.

169 PAR Electrical Contractors, Inc. 170 Peterson Company 171 Pioneer Electric Cooperative, Inc. 172 Pipefitters Local Union #208 173 Platte River Power Authority 174 PNM Resources 175 Poudre Valley Rural Electric Assn.

176 Powder River Energy Corp.

177 Power Contracting, LLC 178 POWER Engineers, Inc. 179 Power Equipment Specialists, Inc. 180 Power Pole Inspections 181 Power Product Services

40

191 Reliable Power Consultants, Inc.

197 Sargent & Lundy

203 Sierra Electric Cooperative, Inc. 205 South Central PPD 206 Southeast Colorado Power Assn.

207 Southeast Community College 208 Southern Pioneer Electric Company 209 Southwest Generation 210 Southwest Public Power District 211 Southwire Company 212 Springfield Municipal Light & Power 213 SPX Transformer Solutions, Inc. 214 SRP 215 St. George Energy Services Department 216 Stanley Consultants, Inc. 217 Sturgeon Electric Co., Inc. 218 Sulphur Springs Valley Electric Cooperative 219 Sundt Construction 220 Sunflower Electric Power Corporation 221 Surveying And Mapping, LLC 222 Switchgear Solutions, Inc. 223 System One 224 T & R Electric Supply Co., Inc. 225 Technically Speaking, Inc. 226 Tenaska Marketing Ventures 227 TIC - The Industrial Company 228 Towill, Inc. 229 Trans American Power Products, Inc. 230 TRC Engineers, Inc. 231 Trees, Inc.

182 PowerQuip Corporation

232 Tri-State Generation and Transmission Assn.

183 PR Engineering

233 Trinidad Municipal Light & Power

184 Preferred Sales Agency, Ltd

234 TurbinePROS

185 Primary Energy

235 U.S. Water

186 PSM (Power Systems Mfg., LLC)

236 UC Synergetic

187 QuakeWrap, Inc.

237 Ulteig Engineers, Inc.

188 Quanta Services

238 Underground Consulting Solutions

189 REC Associates

239 United Power, Inc.

190 Reliability Management Group (RMG)

240 Universal Field Services, Inc.

ELECTRIC ENERGY | SUMMER 2017

244 Valmont Utility, Valmont Industries, Inc. 245 Vertiv - Electrical Reliability Services 246 Verve Industrial Protection 247 Victaulic 248 Volkert, Inc. 249 Wärtsilä North America, Inc. 250 West Peak Energy, LLC 251 Westar Energy 252 Western Area Power Administration 253 Western Line Constructors Chapter, Inc. NECA 254 Westmark Partners LLC 255 Westwood Professional Services 256 Wheat Belt Public Power District 257 Wheatland Electric Cooperative 258 Wheatland Rural Electric Assn.

259 White River Electric Assn., Inc. 260 Wichita State University 261 Wilson & Company, Engineers & Architects 262 WSP/Parsons Brinckerhoff 263 WSU Energy Systems Innovation Center 264 Wyoming Municipal Power Agency 265 Xcel Energy 266 Y-W Electric Association, Inc. 267 Yampa Valley Electric Association, Inc. 268 Zachry Group TOTAL NUMBER OF MEMBERS: 268

XCEL ENERGY’S “TURNKEY” CUSTOMER SERVICE

ST. PAUL PROJECT XCEL ENERGY’S TURNKEY SERVICES PROGRAM RECENTLY PLAYED A MAJOR ROLE IN ONE OF MINNESOTA’S LARGEST ENERGY-EFFICIENCY EFFORTS IN 30 OR 40 YEARS. THE PROJECT CENTERED ON THE HISTORIC FIRST NATIONAL BANK BUILDING IN DOWNTOWN ST. PAUL.

BY KEVIN GRAHAM, SENIOR COMMUNICATIONS CONSULTANT, XCEL ENERGY

W W W. R M EL .O R G

41

A POSTCARD MAILED IN 1951 DEPICTS THE HISTORIC FIRST NATIONAL BANK BUILDING

A

COMPLETE SERVICE THAT LEAVES the end result ready for immediate use: The definition of “turnkey” is the essence of Xcel Energy’s energy- efficiency program by the same name.

Turnkey Services is a full-service effort that provides customers with both onsite assessments and free

42 E L E C T R I C E N E R G Y | S U M M E R 2 0 1 7

implementation support for various energy-savings improvements. The company has been offering the program since 2012, and more than 1,100 assessments and projects have been completed since then.

Recently, the program played a major role in Minnesota’s largest energyefficiency effort ever – saving in one project the energy used by 1,200 average households, which resulted in an

energy- efficiency rebate of approximately $1.5 million.

Xcel Energy worked with Madison Equities on the project, owners of three major buildings grouped together in downtown St. Paul – the First National Bank Building, US Bank Center and the 375 Jackson Building. The First National Bank Building, in particular, is an iconic St. Paul structure, recognized for its giant red “1st” sign emblazoned on the top.

The buildings’ systems, however, were still operating with old, outdated equipment. Old as in manual pushbuttons from the 1960s, needed to physically turn fans and pumps on and off every morning and evening.

Madison Equities’ goal through the Turnkey Services program aimed at retrofi¬tting lighting, heating, cooling and other systems with modern electronic controls to create completely intelligent buildings.

To create a priority list, they turned to Xcel Energy and a third-party contractor to develop a comprehensive plan.

“This was one of the largest energysaving endeavors Xcel Energy has been involved with in terms of a comprehensive holistic project in the off¬icebuilding segment,” said Michael Hepfler, a DSM representative with

HIGH-QUALITY ACADEMICS WITH HIGH-IMPACT EXPERIENCES

LOBBY OF THE FIRST NATIONAL BANK BUILDING

the Business Solutions Center. “It was beyond ambitious and impressive for the customer to do all three of these buildings back-to-back-to-back within a year.

“Overhauling the mechanical infrastructure serving more than 1.8 million square feet of facility space is a monumental undertaking,” he added.

“It certainly posed many interesting logistical challenges. But a steadfast determination by the customer and all entities involved helped complete

starts with an onsite assessment and follows that with free implementation services. Most projects identified in an assessment also qualify for a 30 percent bonus rebate, if completed within a year of the assessment.

“We review their systems to fi¬nd the best options for the building’s specific needs,” Volkert said. “We then generate a report that outlines all of the potential measures and savings –and go through the numbers with the customer to ensure

“This was one of the largest energy-saving endeavors Xcel Energy has been involved with in terms of a comprehensive holistic project in the office-building segment” - Michael Hepfler this massive project.”

The Turnkey program is a great place to start when a building owner wants to identify and undertake energy- efficiency measures for an entire building, said Sherryl Volkert, senior product portfolio manager with Customer Solutions. The program

they have a good understanding of the recommendations.”

Financing was a key factor for Madison Equities. In addition to Xcel Energy rebates to help offset the cost, the St. Paul Port Authority provided fi¬nancing through its Trillion BTU Energy Conservation Program

Come visit us! See how our innovative programs and new facilities foster hands-on learning.

Norfolk, Nebraska 402-371-2020 | northeast.edu W W W. R M EL .O R G

43

and the Property Assessed Clean Energy (PACE) program.

“The Turnkey program provides benefits regardless of building size, but this project was the result of a perfect storm,” he said. “We had the right customer, the right building, the right timing, the right resources and a commitment to get it done.”

In all, Madison Equities completed the following efficiency measures over the months-long process: A fully integrated Building Automation System/Energy Manage–ment System, controlling and monit–oring lighting schedules, chiller plants, cooling towers, heating systems, air-handling units and more. The systems also are capable of controlling temperature set points and humidity levels for individual rooms, allowing for detailed control of tenant spaces and increased occupant comfort.

More than 15,000 light ¬fixtures in common areas and tenant spaces were retro¬fitted with approximately 45,000 LED lamps and 1,400 occupancy sensors.

All fan and pump motors were replaced with premium efficiency motors and ¬fitted with efficient variablefrequency drives, totaling approximately 2,100 horsepower.

Two existing chiller units installed in the early 1960s and two existing chillers from the 1970’s were replaced by three high- efficiency, magnetic-bearing chillers. Those

upgrades required delivering the new HVAC systems via a crane dozens of stories up at the top of the buildings.

“More and more customers are realizing that we can provide a comprehensive plan and assistance so they don’t feel overwhelmed by the size of a project,” Volkert said. “For instance, Madison knew we would help them, so they decided to take on the effort. It’s that partnership that provided the foundation for this successful project.”

“Working through these projects together as a team strengthened the relationships between Madison Equities, Xcel Energy, the Saint Paul Port Authority and the contractors,” Hepfler added. “The resulting energy savings shows Madison and Xcel Energy’s commitment to bettering its community and its commitment to the environment.”

ABOUT THE AUTHOR Kevin Graham is a senior communications consultant at Xcel Energy and the editor of Xtra, the company's employee/retiree publication. He worked in newspapers early in his career and has since been in corporate communications, working as an editor, writer and photographer.

ADVERTISER’S INDEX Black & Veatch

32

www.bv.com

Border States Electric

20

www.borderstates.com

(701) 293-5834

www.burnsmcd.com/RMEL17

(816) 333-9400

Burns McDonnell

7

Casey Industrial

30

www.caseyind.com

(303) 460-1274

DIS-TRAN Packaged Substations

19

www.distran.com

(318) 448-0274

Great Southwestern Construction

46

www.gswc.us

(303) 688-5816

HDR Corporate Engineering

9

www.hdrinc.com

MasTec Power Corp

26

www.mastecpower.com

(888) 419-6432

Merrick & Company

26

www.merrick.com

(303) 751-0741

Mitsubishi Hitachi Power Systems

5

www.mhpowersystems.com

(908) 605-280

Nebraska Public Power District

17

www.nppd.com

(402) 564-8561

Northeast Community College

(402) 399-1000

43

www.northeast.edu

(402) 371-2020

Pike Enterprises, LLC

3

www.pike.comC12

POWER Engineers

12

www.powereng.com

(303) 287-4275

Inside Back Cover

www.siemens.com

(303) 696-8446

21

www.southeast.edu

Siemens Southeast Community College Stanley Consulting

44

(913) 458-2000

Inside Front Cover

(336) 789-2171

(402) 761-8394

www.stanleyconsultants.com

(800) 878-6806 (303) 286-8000

Sturgeon Electric Co.

27

www.sturgeonelectric.com

T & R Electric Supply Co, Inc.

19

www.t-r.com

(800) 843-7994

TIC - The Industrial Company

Back Cover

www.ticus.com

(303) 325-0300

TRC

11

www.trcsolutions.com

Trees Inc.

20

www.treesinc.com

(866) 865-9617

Washington State University

27

www.esic.wsu.edu

(509) 335-6456

ELECTRIC ENERGY | SUMMER 2017

(505) 342-6369

SECTION TAKEAWAYS

A JOURNEY OF NATURAL GAS FUNDAMENTALS (Get details on page 22)

➔ In the short term, the fundamentals through October of 2017 are supportive of higher prices. ➔ Starting in Q4 2017 we should begin to see natural gas supply increasing. ➔ Into 2018 we will see a ramp up in pipeline takeaway capacity. ➔ On the demand side, LNG will be the big driver of demand growth over the next five years. LNG exports will be the largest long-term demand driver. ➔ The U.S. is projected to become a net exporter of fertilizer and methanol by the end of the decade. This is supportive of increased natural gas demand from the industrial sector moving forward.

➔ The Integrated Energy Network is an invitation to contribute new ideas and approaches to plan from three perspectives: Using affordable, cleaner energy—through efficiency and electrification Producing cleaner energy — through more efficient, environmentally sustainable, flexible generation Integrating energy resources—through new control technologies, communications, standards, and markets

WHAT A TRUMP PRESIDENCY MEANS FOR ENERGY POLICY (Get details on page 14)

PLANNING THE DISTRIBUTED ENERGY FUTURE

➔ The Trump administration is aiming to transform public discourse on energy from a scarcity mindset to an abundance mindset.

➔ This article focuses on the case study of how the Sacramento Municipal Utility District (SMUD) in California, is conducting the type of proactive DER planning that other utilities will need to adopt as DER growth accelerates.

➔ As Trump moves deeper into his four-year term, two once-unthinkable energy initiatives that may be on the horizon are the opening of portions of Alaska’s North Slope to oil and gas exploration and major investment in liquefied natural gas (LNG) export.

(Get details on page 28)

tep 1: Forecasting DER Potential and Customer S Adoption Step 2: Distribution Grid Impact Modeling Step 3: Bulk Level Impact Modeling Step 4: Financial Impact Modeling ➔ Though DER growth is unevenly distributed from one utility service territory to another, the pace of change within the utility industry as a whole is only accelerating. Utility leaders who recognize this— and position their organizations to benefit from the transition to a highly distributed grid—are likely to reap significant rewards from their early efforts to plan for the distributed energy future.

EPRI CHARTS PATH TO AN ‘INTEGRATED ENERGY NETWORK’ (Get details on page 35)

➔ As customers install solar panels, battery storage, electric vehicle charging, and digital energy management systems, the grid’s power flows and system operations are becoming more dynamic and complex. ➔ The vision of an integrated “system of systems” for electricity, water, natural gas, and transportation is at the core of EPRI’s Integrated Energy Network.

➔ For American energy producers the reward will come in the form of simplified approval procedures and less red tape. This means markets, not mandates, will drive future energy production, consumption, and use. ➔ For the American public—the end of the subsidizeand-regulate era will mean lower energy costs and more money in their pockets.

XCEL ENERGY’S “TURNKEY” CUSTOMER SERVICE (Get details on page 41)

➔ Xcel Energy’s Turnkey Services is a full-service effort that provides customers with both onsite assessments and free implementation support for various energysavings improvements. ➔ The company has been offering the program since 2012, and more than 1,100 assessments and projects have been completed since then. ➔ Recently, the program played a major role in Minnesota’s largest energy- efficiency effort ever – saving in one project the energy used by 1,200 average households, which resulted in an energyefficiency rebate of approximately $1.5 million. ➔ Financing was a key factor. In addition to Xcel Energy rebates to help offset the cost, the St. Paul Port Authority provided financing through its Trillion BTU Energy Conservation Program and the Property Assessed Clean Energy (PACE) program.

W W W. R M EL .O R G

45

MEMBERS: TAP INTO YOUR RMEL NETWORK

CONNECTING

POWER TO

PEOPLE.

You’re a Member if Your Company is a Member!

SINCE 1977.

RMEL is Where Electric Energy Leaders Gather

TRANSMISSION LINES DISTRIBUTION SYSTEMS

RMEL is a diverse community of utilities and service companies you’ll recognize. The association’s reach extends throughout the United States and internationally.

RMEL’s community is comprised of companies and individuals that are leaders of the industry.

SUBSTATIONS/SWITCHYARDS

Your RMEL member community is comprised of 300 electric energy organizations you know and respect.

Everyone can work side by side in a cooperative manner to better the industry and improve service for utility customers. For more than 110 years, these key principles have proven successful and more importantly are tried and true methods for building strong business relationships.

Everyone at your company is set up with a knowledge bank of contacts presentations created by thousands of RMEL participants – along with direct access to all RMEL members.

LOG ON TO THE INTERACTIVE e-DIRECTORY Visit www.RMEL.org to access the RMEL e-Directory, which is constantly updated to ensure you receive the latest information. The e-Directory provides a detailed network of members and contacts RMEL interacts with. Find RMEL Representatives (primary contacts) or Advocates (secondary contacts) at member companies, along with additional company contacts. Look up email addresses or phone numbers. Only members have access to the online directory.

46

ELECTRIC ENERGY | SUMMER 2017

303.688.5816 gswc.us MYR Group Inc. is an Equal Opportunity Employer M/F/Disabled/Veteran. ©2017MYRGROUPINC.

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Petra Nova Carbon-Capture Project Thompsons, Texas

Founded in 1974, TIC – The Industrial Company is a direct-hire general contractor serving a wide range of heavy industrial markets throughout North America.

Through our network of local operating centers, access to vast resources and focus on self-performing work, we deliver safe and high-quality results on projects of virtually any size.

48

A Kiewit Corporation Subsidiary

ELECTRIC ENERGY | SPRING 2017

TICUS.COM