Tag Archives: Connecticut Power and Energy

CPES Policy Committee Update: June 27, 2017

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by the CPES New Energy Professionals Team. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Kathryn Dube, CPES Executive Director, via email: kdube@ctpower.org.

This week’s feature:

  • ISO New England Releases Latest Version of Wholesale Markets Project Plan
  • Two Legislative Updates Concerning PURA Administrative Hearings and Audit Reports

REGIONAL AND INDUSTRY DEVELOPMENTS

ISO New England Releases Latest Version of Wholesale Markets Project Plan
The June update to ISO New England’s Wholesale Markets Project Plan (WMPP) is now online. The WMPP provides a biannual update on the market-related activities described in the ISO’s Annual Work Plan (AWP), as well as updates on additional market-related activities pursued by the ISO.

To view the updated WMPP, visit the ISO New England website.

 

CONNECTICUT LEGISLATIVE UPDATE

The 2017 Regular Session adjourned on June 7, 2017.  Information about the Energy and Technology Committee, including committee meetings and public hearings, is available at: https://www.cga.ct.gov/et/

The following legislation has been signed by the Governor that may be of interest to our members:

CPES does not take a position on these legislative proposals; this is provided for informational purposes only to CPES members.

CPES Policy Committee Update: June 20, 2017

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by the CPES New Energy Professionals Team. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Kathryn Dube, CPES Executive Director, via email: kdube@ctpower.org.

This week’s feature:

  • FERC Staff Issues 2017 Summer Seasonal Assessment Report
  • PURA Established a Docket Regarding Joint Application for Approval of a Change of Control
  • Connecticut Legislation Adjourned for the Regular Session on June 7, 2017

REGIONAL AND INDUSTRY DEVELOPMENTS

FERC Staff Issues 2017 Summer Seasonal Assessment Report

On June 15, 2017, Federal Energy Regulatory Commission (FERC) staff issued the Summer 2017 Energy Market and Reliability Assessment Report. The report is FERC staff’s annual opportunity to share its summer outlook on the electricity and natural gas markets, as well as reliability matters, to better inform the Commission’s understanding of current and future trends.

The report touches on the possibility of tight supply margins should forecasted summer peak conditions occur in New England. The report states that “ISO-NE may be required to rely on additional imports from neighboring regions as well as implementing operating procedures to maintain reliability during possible periods of supply deficiencies.”

To access the entire report, click here.

PUBLIC UTILITIES REGULATORY AUTHORITY NEW DOCKET:

On June 16, 2017, PURA established the following docket:

 

CONNECTICUT LEGISLATIVE UPDATE

The 2017 Regular Session adjourned on June 7, 2017.  A special session has been called to deal with the biennial budget and the current budget deficit. If a budget agreement can not be reached by July 1st, the beginning of the new fiscal year, the Governor will run the state without a budget through Executive Order or the Legislature may pass a continuing resolution until a budget is in place.

See the June 13 Policy Update for a list of bills that passed during the regular session that may be of interest to our members.

 CPES does not take a position on these legislative proposals; this is provided for informational purposes only to CPES members.

CPES Policy Committee Update: June 6, 2017

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by the CPES New Energy Professionals Team. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Kathryn Dube, CPES Executive Director, via email: kdube@ctpower.org.

This week’s feature:

  • New England’s Wholesale Electricity Markets Were Competitive in 2016
  • Drift Is a New Startup Applying Peer-to-Peer Trading to Retail Electricity Markets
  • Eversource Energy to Buy Aquarion in $1.68 Billion Deal
  • PURA established a docket for the Application of The Southern Connecticut Gas Company to Increase Its Rates and Charges
  • Sub. Sen. Bill 900 passed in both chambers over the weekend

STATE AND INDUSTRY DEVELOPMENTS

New England’s Wholesale Electricity Markets Were Competitive in 2016

The 2016 Annual Markets Report (AMR), issued by ISO New England’s Internal Market Monitor (IMM), concluded that New England’s wholesale power markets were competitive in 2016. The 2016 AMR covers the period from January 1 to December 31, 2016, and contains the IMM’s analyses of market operations and results.

The total value of the region’s wholesale electricity markets, including the cost of electric energy, capacity, ancillary services, and the cost of transmission services and upgrades, fell by about $1.7 billion, or 18%, from roughly $9.3 billion in 2015 to roughly $7.6 billion in 2016.

The total value of the region’s wholesale electric energy market in 2016 was $4.1 billion, which is 30% lower than the 2015 value of $5.9 billion. The 2016 electric energy market value was the lowest since 2003, when New England’s wholesale energy markets were launched in their current form. Over that same time period, the previous record-low market value was $5.2 billion in 2012

The decline in wholesale power prices mirrored a 34% year-over-year decline in the average price of natural gas, which is the fuel used most often to generate electricity in New England. Natural-gas-fired power plants produced 49% of the power generated in New England last year.

The full report is available on ISO New England’s website.

Drift Is a New Startup Applying Peer-to-Peer Trading to Retail Electricity Markets
The company is taking all the hottest tech in Silicon Valley and bringing it to New York’s retail energy market.

A Seattle-based startup is taking some of the most talked-about technology applications — machine learning, high-frequency trading, and peer-to-peer selling — and applying them to retail energy markets.

The 15-person company, called Drift, is attempting to change electricity delivery in deregulated markets by connecting consumers directly to energy producers on a cryptographically secure system (think blockchain), allowing it to granularly match a customer’s environmental or cost preferences.

Drift is made up of engineers who’ve worked at Amazon, Google and Microsoft; a data scientist from Argonne National Laboratory; a head of marketing from Uber; and a former FERC attorney.

Greg Robinson, the co-founder and CEO, said the platform was designed to “ruthlessly lower costs in the supply chain” and provide a more customized experience for people looking for energy choice.

https://www.greentechmedia.com/articles/read/drift-is-a-startup-applying-peer-to-peer-trading-to-retail-electricity

Eversource Energy to Buy Aquarion in $1.68 Billion Deal
On June 2nd, The Hartford Courant reported that Eversource Energy had announced they had reached an agreement to buy Aquarion Water Co. for $1.68 billion, combining New England’s largest electric and gas utility with a dominant water company in Connecticut. MORE INFO

PUBLIC UTILITIES REGULATORY AUTHORITY NEW DOCKET:

On May 26, 2017, PURA established the following docket:

 

CONNECTICUT LEGISLATIVE UPDATE

Information about the Energy and Technology Committee, including committee meetings and public hearings, is available at: https://www.cga.ct.gov/et/

The Energy and Technology Committee’s JF deadline was March 23, 2017.  The list of bills reported out of the Energy and Technology Committee is available at:  https://www.cga.ct.gov/asp/menu/CommJFList.asp?comm_code=et and additional information about the status of these bills is available at: https://www.cga.ct.gov/2017/etdata/cbr/et.asp

Sub. Sen. Bill 900 passed in both chambers over the weekend.  Below is the title of the bill and two links to find the language.

AN ACT CONCERNING MINOR REVISIONS TO ELECTRIC SUPPLIER COMPLIANCE REQUIREMENTS REGARDING ENVIRONMENTAL LAWS, RENEWABLE PORTFOLIO STANDARDS AND ADVERTISING AND CONTRACT PROVISIONS AND THE PUBLIC UTILITIES REGULATORY AUTHORITY’S REPORTING OF ELECTRIC RATES. https://www.cga.ct.gov/2017/FC/pdf/2017SB-00900-R000344-FC.pdf and https://www.cga.ct.gov/2017/amd/S/pdf/2017SB-00900-R00SA-AMD.pdf

CPES does not take a position on these legislative proposals; this is provided for informational purposes only to CPES members.

CPES Policy Committee Update: May 23, 2017

This update features policy, regulatory, legislative, and regional developments in Connecticut and New England. The policy updates are compiled by the CPES New Energy Professionals Team. If you are interested in learning more about the New Energy Professionals, the Policy Committee, or if you have ideas for future policy updates, we would welcome your input and feedback. Please send comments to Kathryn Dube, CPES Executive Director, via email: kdube@ctpower.org.

This week’s feature:

  • Integrating Markets and Public Policy (IMAPP) Discussions Continue on Potential Market Rule Changes

REGIONAL AND INDUSTRY DEVELOPMENTS

Integrating Markets and Public Policy (IMAPP) Discussions Continue

On May 17, 2017, market participants, state regulators, and other stakeholders continued discussions on potential market rule changes to integrate the region’s wholesale electricity markets with the public policy goals of the New England states (the IMAPP initiative). The meeting featured a presentation by ISO New England on a proposed approach that could be implemented in the near term. Conceptually, the ISO’s approach seeks to coordinate the entry of new subsidized clean energy resources with the retirement of existing capacity resources through the Forward Capacity Market (FCM). By doing so, the FCM can accommodate the entry of significant subsidized resources over time while maintaining competitively-based capacity prices for non-subsidized resources. The ISO’s approach is being referred to as Competitive Auctions with Subsidized Policy Resources or “CASPR.” A detailed discussion paper and highlights from the CASPR design approach are available on the ISO New England website. 

For additional information, visit NEPOOL’s Integrating Markets and Public Policy website.

CONNECTICUT LEGISLATIVE UPDATE:

Information about the Energy and Technology Committee, including committee meetings and public hearings, is available at: https://www.cga.ct.gov/et/

The Energy and Technology Committee’s JF deadline was March 23, 2017.  The list of bills reported out of the Energy and Technology Committee is available here and additional information about the status of these bills is available at this link.

CPES does not take a position on these legislative proposals; this is provided for informational purposes only to CPES members.

Natural Gas Representatives Share Latest Information on Infrastructure Projects Progressing in Connecticut and New England

Wrap Up: Natural Gas Infrastructure Project Updates: Transmission and LDCs
Courtyard Marriott Hotel, Cromwell, CT
Presentations

On June 14, 2017, the Connecticut Power and Energy Society (CPES) hosted representatives from Connecticut-based gas utilities and an interstate pipeline company to provide an update on the natural gas expansion projects progressing in Connecticut and the larger New England region.  Gregg Therrien, Assistant Vice President of Concentric Energy Advisors and member of the CPES Board of Directors, moderated the panel discussion, which included remarks by:

  • Michael J. Dirrane, Director of Marketing, Enbridge
  • Erik Robie, Manager for Commercial Sales, Connecticut Natural Gas and The Southern Connecticut Gas Company
  • Chris Luca, Program Manager for Gas Expansion, Eversource

 
Michael Dirrane provided an update on the interstate pipeline expansion projects completed and advancing in New England. Enbridge, a leader in the gathering, transportation, processing and storage of natural gas, merged with Spectra Energy on March 1, 2017, creating one of the largest energy infrastructure companies in North America. Dirrane is responsible for managing the commercial relationships between Enbridge pipelines in the Northeast, including the Algonquin Gas Transmission (AGT) pipeline system, and gas utilities in the region. He said that natural gas supplies from the Marcellus and Utica shale plays have been a “game changer” for the industry since they came on line in the 2010 timeframe. Today, six billion cubic feet of natural gas per day is supplied by the Marcellus and Utica shale formations, and this gas, he said, is being transported all across the country. Dirrane provided an update on the Algonquin Incremental Market (AIM) and Atlantic Bridge expansion projects. The AIM project, completed in January 2017, expanded the pipeline capacity of the existing AGT pipeline system by roughly 342,000 dekatherms of natural gas per day. The Atlantic Bridge project, scheduled for completion in 2018, is designed to provide additional capacity on both the AGT and Maritimes & Northeast pipeline systems.
 
Erik Robie discussed the key role the 2013 Comprehensive Energy Strategy (CES) has played in the expansion of the natural gas distribution system in Connecticut, calling it the “playbook” for gas utilities in the state. The CES, issued by the Connecticut Department of Energy and Environmental Protection in February 2013, made several recommendations to advance to the state’s vision for a cheaper, cleaner, and more reliable energy future. One of the central goals of the 2013 CES, Robie explained, was to increase customer choice by providing residents and businesses greater access to natural gas. The 2013 CES, and its enabling legislation passed in 2014, established new rate and cost-recovery mechanisms, among other tools, to help move natural gas expansion projects forward in Connecticut. Since the 2013 CES was issued, Connecticut Natural Gas and The Southern Connecticut Gas Company have added 153 miles of new main and supplied more than 34,000 new customers with natural gas. Their goal is to install 180 miles of new main by the end of 2017.
 
Chris Luca underscored the importance of the 2013 CES in the expansion of the natural gas distribution system in Connecticut. Luca also discussed the importance of working with municipalities to minimize the costs associated with permitting, policing the construction site, and restoring the site to its original condition after installing new pipeline. Luca highlighted the Ansonia residential expansion project, one of three major gas expansion projects for Eversource in 2016. The project involved 4.25 miles of new pipe and provided access to natural gas for more than 294 residential properties. Eversource’s communications strategy with the municipality and residents was key to the project’s success, Luca said.           
 
All of the panelists’ presentations are available on the CPES website.