Duke installs smart meters

By Knight Ridder Tribune


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Imagine receiving a break on your power bill if you wait until after 10 p.m. to wash your clothes. Or being able to see what it cost to iron your shirt.

Duke Energy Corp. is taking a first step toward that reality as it installs thousands of special power-saving meters in homes in several South Charlotte neighborhoods. Duke is also placing special communication boxes on poles in the neighborhoods. The meters and boxes work together to collect and transmit data to a central computer uptown.

There, numbers are crunched that Duke hopes will reveal useful trends about consumer power use. Someday, Duke wants to use the information and two-way communication to cycle appliances on and off during peak demand and to chart when customers use appliances that would be equipped with special sensors.

Using power-heavy appliances, such as dryers, during off-peak hours takes stress off the system and saves the company money. If you choose not to participate in some of the programs, you might receive an extra charge. It's all part of Duke's plans to cut power demand as it moves forward with aggressive energy efficiency plans called save-a-watt.

The N.C. Utilities Commission this year plans to review the proposal, which would allow the company to recoup profits lost from selling less electricity. Duke says efficiency programs mean it will build fewer expensive power plants in the future. Coal-fired plants, which provide 52 percent of Duke's power in the Carolinas, emit carbon dioxide - blamed as a cause of global warming.

But the company says it wants to be compensated. So-called smart meters cut power bills by 10 percent in a study of 112 households released Jan. 9 by the U.S. Energy Department.

Recently, a Duke crew traveled to homes on All Saints Lane in South Charlotte and replaced old General Electric meters with new ones, manufactured by Echelon, based in San Jose, Calif. Inside of 10 seconds, a Duke-hired technician popped out the old meter on the outside of the house and replaced it with the new meter - the same size and shape as the old round glass meters and built to Duke's specifications. The family inside wouldn't notice the seconds-long power outage - other than having to reset some clocks.

More than 250 meters have been installed and more are coming online each day. The company plans to install 5,000 in Charlotte and 2,500 north of Greenville, S.C. The utility wants its 4 million customers in the Carolinas and three Midwest states to have the new meters inside five years, said David Staggs, a Duke project manager.

Widespread adoption of the systems by the nation's utilities would save $70 billion in costs for new power plants and lines over 20 years, says a recent study from the U.S. Department of Energy. As many as 45 million smart meters may be ordered by 2011, said Sam Lucero, a consultant for ABI Research in Scottsdale, Ariz.

The number of smart meters installed in North America rose 26 percent last year to 15.8 million, Lucero said. That will surge o 61 million by 2013, he forecast. Duke's phasing in of new efficiency programs, which has begun with the meter installation, would remove consumer choice for some.

For example, about 185,000 residential Carolinas customers are signed up for a program that gives an $8 break on summer bills if they allow Duke to cycle their air conditioning on and off during peak demand. Under save-a-watt, Duke would use the meters to automatically enroll customers in that efficiency program.

Customers probably would no longer receive the special break, and those that opt out might have to pay something extra, said Duke spokesman Tom Williams. He stressed that the details of save-a-watt and future programs still have to be hammered out by regulators.

In addition to meters, customers might have special terminals in their homes to show real-time power use and cost, such as how much it just cost to cook a meal or iron a shirt, Staggs said. Duke said studies conclude that people who can see their power use on a screen are more likely to conserve.

"They can look at what their stove is costing them," Staggs said.

Duke Energy Corp. is equipping thousands of customers in Charlotte with new smart meters that communicate with a central command computer uptown. Duke says the meters, which would work as part of a broader communication network; can notify it of power outages before customers have to call; restore power quicker after ice storms and cut power usage for customers by analyzing exactly how they can save energy.

The meters would also help Duke cut down on the 7 to 9 percent of electricity lost because some power lines become too hot. For Duke in the Carolinas, that lost power equals nearly 2,000 megawatts, or four medium-sized power plants.

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Rolls-Royce signs MoU with Exelon for compact nuclear power stations

Rolls-Royce and Exelon UKSMR Partnership accelerates factory-built small modular reactors, nuclear power, clean energy, 440MW units, advanced manufacturing, fleet deployment, net zero goals, and resilient, low-cost baseload generation in the UK and globally.

 

Key Points

A partnership to deploy factory-built SMR stations, providing 440MW low-carbon baseload for the UK and export markets.

✅ 440MW factory-built SMR units with rapid modular assembly

✅ Exelon to operate and enhance high capacity factors

✅ Supports UK net zero, jobs, and export-led manufacturing

 

Rolls-Royce and Exelon Generation have signed a Memorandum of Understanding to pursue the potential for Exelon Generation to operate compact nuclear power stations both in the UK and internationally, including markets such as Canada where New Brunswick SMR questions are prompting public debate today.

Exelon Generation will be using their operational experience to assist Rolls Royce in the development and deployment of the UKSMR.

Rolls-Royce is leading a consortium that is designing a low-cost factory built nuclear power station, known as a small modular reactor (SMR), with UK mini-reactor approval anticipated as development progresses. Its standardised, factory-made components and advanced manufacturing processes push costs down, while the rapid assembly of the modules and components inside a weatherproof canopy on the power station site itself avoid costly schedule disruptions.

The consortium is working with its partners and UK Government to secure a commitment for a fleet of factory built nuclear power stations, each providing 440MW of electricity, to be operational within a decade, helping the UK meet its net zero obligations in line with the green industrial revolution policy set out by government. A fleet deployment in the UK will lead to the creation of new factories that will make the components and modules which will help the economy recover from the Covid-19 pandemic and pave the way for significant export opportunities as well.

The consortium members feature the best of nuclear engineering, construction and infrastructure expertise in Assystem, Atkins, BAM Nuttall, Jacobs, Laing O'Rourke, National Nuclear Laboratory, Nuclear Advanced Manufacturing Research Centre, Rolls-Royce and TWI. Exelon will add valuable operational experience to the team.

Tom Samson, interim Chief Executive Officer of the UKSMR consortium, said: 'Nuclear power is central to tackling climate change and economic recovery, but it must be affordable, reliable and investable and the way we manufacture and assemble our power station brings its cost down to be comparable with offshore wind.

'It's a compelling proposition that could draw new players into the UK's power generation landscape, improving choice for consumers and providing uninterrupted low carbon energy to homes and businesses.

'The opportunity to partner with Exelon is a very exciting prospect for our program, complementing our existing Consortium partnerships with one of the world's largest nuclear operator adds an important dimension to our growth ambitions, embodies the strength of the UK and USA alliance on nuclear matters and reflects wider international moves, such as a Canadian premiers' SMR initiative to accelerate technology development, and offers our future customers the ability to achieve the highest performance standards associated with Exelon's outstanding operational track record.'

The power stations will be built by the UKSMR consortium, before being handed over to be operated by power generation companies. Exelon Generation will work closely with the consortium during the pre-operation period. Exelon Nuclear operates 21 nuclear reactors in America, and U.S. regulators recently issued a final safety evaluation for a NuScale SMR that underscores momentum in the sector. The Exelon nuclear fleet is an integral part of the U.S. clean power mix; it produces more than 158 million megawatt-hours of clean electricity every year.

Bryan Hanson, EVP and COO of Exelon Generation said: 'We believe that SMRs are a crucial part of the world's clean energy mix, as projects like Darlington SMRs advance in Ontario. With our experience both in the US and internationally, Exelon is confident that we can help Rolls Royce ensure SMRs play a key role in the UK's energy future. We've had a very strong record of performance for 20 consecutive years, with a 2019 capacity factor of 95.7 percent. We will leverage this experience to achieve sustainably high capacity factors for the UKSMRs.'

Ralph Hunter, Managing Director of Exelon Nuclear Partners, who runs Exelon's international clean energy business, said: 'We have a strong track record of success to be the operator of choice for the UKSMR. We will help develop operational capability, training and human capacity development in the UK, as utilities such as Ontario Power Generation commit to SMRs abroad, ensuring localisation of skills and a strong culture of safety, performance and efficiency.'

By 2050 a full UK programme of a fleet of factory built nuclear power stations in the UK could create:

Up to 40,000 jobs GBP52BN of value to the UK economy GBP250BN of exports

The current phase of the programme has been jointly funded by all consortium members and UK Research and Innovation.

 

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Global Energy War Escalates: Price Hikes and Instability

Russia-Ukraine Energy War disrupts infrastructure, oil, gas, and electricity, triggering supply shocks, price spikes, and inflation. Global markets face volatility, import risks, and cybersecurity threats, underscoring energy security, grid resilience, and diversified supply.

 

Key Points

It is Russia's strategic targeting of Ukraine's energy system to disrupt supplies, raise prices, and hit global markets.

✅ Attacks weaponize energy to strain Ukraine and allies

✅ Supply shocks risk oil, gas, and electricity price spikes

✅ Urgent need for cybersecurity, grid resilience, diversification

 

Russia's targeting of Ukraine's energy infrastructure has unleashed an "energy war" that could lead to widespread price increases, supply disruptions, and ripple effects throughout the global energy market, felt across the continent, with warnings of Europe's energy nightmare taking shape.

This highlights the unprecedented scale and severity of the attacks on Ukrainian energy infrastructure. These attacks have disrupted power supplies, prompting increased electricity imports to keep the lights on, hindered oil and gas production, and damaged refineries, impacting Ukraine and the broader global energy system.


Energy as a Weapon

Experts claim that Russia's deliberate attacks on Ukraine's energy infrastructure represent a strategic escalation, amid energy ceasefire violations alleged by both sides, demonstrating the Kremlin's willingness to weaponize energy as part of its war effort. By crippling Ukraine's energy system, Russia aims to destabilize the country, inflict suffering on civilians, and undermine Western support for Ukraine.


Impacts on Global Oil and Gas Markets

The ongoing attacks on Ukraine's energy infrastructure could significantly impact global oil and gas markets, leading to supply shortages and dramatic price increases, even as European gas prices briefly returned to pre-war levels earlier this year, underscoring extreme volatility. Ukraine's oil and gas production, while not massive in global terms, is still significant, and its disruption feeds into existing anxieties about global energy supplies already affected by the war.


Ripple Effects Beyond Ukraine

The impacts of the "energy war" won't be limited to Ukraine or its immediate neighbours. Price increases for oil, gas, and electricity are expected worldwide, further fueling inflation and exacerbating the global cost of living crisis.  Additionally, supply disruptions could disproportionately affect developing nations and regions heavily dependent on energy imports, making targeted energy security support to Ukraine and other vulnerable importers vital.


Vulnerability of Energy Infrastructure

The attacks on Ukraine highlight the vulnerability of critical energy infrastructure worldwide, as the country prepares for winter under persistent threats. The potential for other state or non-state actors to use similar tactics raises concerns about security and long-term stability in the global energy sector.


Strengthening Resilience

Experts emphasize the urgent need for global cooperation in strengthening the resilience of energy infrastructure. Investments in cybersecurity, diverse energy sources, and decentralized grids are crucial for mitigating the risks of future attacks, with some arguing that stepping away from fossil fuels would improve US energy security over time. International cooperation will be key in identifying vulnerable areas and providing aid to nations whose infrastructure is under threat.


The Unpredictable Future of Energy

The "energy war" unleashed by Russia has injected a new level of uncertainty into the global energy market. In addition to short-term price fluctuations and supply issues, the conflict could accelerate the long-term transition towards renewable energy sources and reshape how nations approach energy security.

 

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Opinion: Now is the time for a western Canadian electricity grid

Western Canada Electric Grid could deliver interprovincial transmission, reliability, peak-load support, reserve sharing, and wind and solar integration, lowering costs versus new generation while respecting AESO markets and Crown utility structures.

 

Key Points

Interprovincial transmission to share reserves, boost reliability, integrate wind and solar, and cut peak capacity costs.

✅ Cuts reserve margins via diversity of peak loads

✅ Enables wind and solar balancing across provinces

✅ Saves ratepayers vs replacing retiring thermal plants

 

The 2017 Canadian Free Trade Agreement does not do much to encourage provinces to trade electric energy east and west. Would a western Canada electric grid help electricity consumers in the western provinces? Some Alberta officials feel that their electric utilities are investor owned and they perceive the Crown corporations of BC Hydro, SaskPower and Manitoba Hydro to be subsidized by their provincial governments, so an interprovincial electric energy trade would not be on a level playing field.

Because of the limited trade of electric energy between the western provinces, each utility maintains an excessive reserve of thermal and hydroelectric generation greater than their peak loads, to provide a reliable supply during peak load days as grids are increasingly exposed to harsh weather across Canada. This excess does not include variable wind and solar generation, which within a province can’t be guaranteed to be available when needed most.

This attitude must change. Transmission is cheaper than generation, and coordinated macrogrids can further improve reliability and cut costs. By constructing a substantial grid with low profile and aesthetically designed overhead transmission lines, the excess reserve of thermal and hydroelectric generation above the peak electric load can be reduced in each province over time. Detailed assessments will ensure each province retains its required reliability of electric supply.

As the provinces retire aging thermal and coal-fired generators, they only need to replace them to a much lower level, by just enough to meet their future electric loads and Canada's net-zero grid by 2050 goals. Some of the money not spent in replacing retired generation can be profitably invested in the transmission grid across the four western provinces.

But what about Alberta, which does not want to trade electric energy with the other western provinces? It can carry on as usual within the Alberta Electric System Operator’s (AESO) market and will save money by keeping the installed reserve of thermal and hydroelectric generation to a minimum. When Alberta experiences a peak electric load day and some generators are out of service due to unplanned maintenance, it can obtain the needed power from the interprovincial electric grid. None of the other three western provinces will peak at the same time, because of different weather and time zones, so they will have spare capacity to help Alberta over its peak. The peak load in a province only lasts for a few hours, so Alberta will get by with a little help from its friends if needed.

The grid will have no energy flowing on it for this purpose except to assist a province from time to time when it’s unable to meet its peak load. The grid may only carry load five per cent of the time in a year for this purpose. Under such circumstances, the empty grid can then be used for other profitable markets in electric energy. This includes more effective use of variable wind and solar energy, by enabling a province to better balance such intermittent power as well as allowing increased installation of it in every province. This is a challenge for AESO which the grid would substantially ease.

Natural Resources Canada promoted the “Regional Electricity Co-Operative and Strategic Infrastructure” initiative for completion this year and contracted through AESO, alongside an Atlantic grid study to explore regional improvements. This is a first step, but more is needed to achieve the full benefit of a western grid.

In 1970 a study was undertaken to electrically interconnect Britain with France, which was justified based on the ability to reduce reserve generation in both countries. Initially Britain rejected it, but France was partially supportive. In time, a substantial interconnection was built, and being a profitable venture, they are contemplating increasing the grid connections between them.

For the sake of the western consumers of electricity and to keep electricity rates from rising too quickly, as well as allowing productive expansion of wind and solar energy in places like British Columbia's clean energy shift efforts, an electric grid is essential across western Canada.

Dennis Woodford is president of Electranix Corporation in Winnipeg, which studies electric transmission problems, particularly involving renewable energy generators requiring firm connection to the grid.

 

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N.L. premier says Muskrat Falls costs are too great for optimism about benefits

Muskrat Falls financial impact highlights a hydro megaproject's cost overruns, rate mitigation challenges, and inquiry findings in Newfoundland and Labrador, with power exports, Churchill River generation, and subsea cables shaping long-term viability.

 

Key Points

It refers to the project's burden on provincial finances, driven by cost overruns, rate hikes, and debt risks.

✅ Costs rose to $12.7B from $6.2B; inquiry cites suppressed risks.

✅ Rate mitigation needed to offset power bill shocks.

✅ Exports via subsea cables may improve long-term viability.

 

Newfoundland and Labrador's premier says the Muskrat Falls hydro megaproject is currently too much of a massive financial burden for him to be optimistic about its long-term potential.

"I am probably one of the most optimistic people in this room," Liberal Premier Dwight Ball told the inquiry into the project's runaway cost and scheduling issues, echoing challenges at Manitoba Hydro that have raised similar concerns.

"I believe the future is optimistic for Newfoundland Labrador, of course I do. But I'm not going to sit here today and say we have an optimistic future because of the Muskrat Falls project."

Ball, who was re-elected on May 16, has been critical of the project since he was opposition leader around the time it was sanctioned by the former Tory government.

He said Friday that despite his criticism of the Labrador dam, which has seen costs essentially double to more than $12.7 billion, he didn't set out to celebrate a failed project.

He said he still wants to see Muskrat Falls succeed someday through power sales outside the province, but there are immediate challenges -- including mitigating power-rate hikes once the dam starts providing full power and addressing winter reliability risks for households.

"We were told the project would be $6.2 billion, we're at $12.7 (billion). We were never told this project would be nearly 30 per cent of the net debt of this province just six, seven years later," the premier said.

"I wanted this to be successful, and in the long term I still want it to be successful. But we have to deal with the next 10 years."

The nearly complete dam will harness Labrador's lower Churchill River to provide electricity to the province as well as Nova Scotia and potentially beyond through subsea cables, while the legacy of Churchill Falls continues to shape regional power arrangements.

Ball's testimony wraps up a crucial phase of hearings in the extensive public inquiry.

The inquiry has heard from dozens of witnesses, with current and former politicians, bureaucrats, executives and consultants, amid debates over Quebec's electricity ambitions in the region, shedding long-demanded light on what went on behind closed doors that made the project go sideways.

Some witnesses have suggested that estimates were intentionally suppressed, and many high-ranking officials, including former premiers, have denied seeing key information about risk.

On Thursday, Ball testified to his shock when he began to understand the true financial state of the project after he was elected premier in 2015.

On Friday, Ball said he has more faith in future of the offshore oil and gas industry, and emerging options like small nuclear reactors, for example, than a mismanaged project that has put immense pressure on residents already struggling to make ends meet.

After his testimony, Ball said he takes some responsibility for a missed opportunity to mitigate methylmercury risks downstream from the dam through capping the reservoir, in parallel with debates over biomass power in electricity generation, something he had committed to doing before it is fully flooded this summer.

Still to come is a third phase of hearings on future best practices for issues like managing large-scale projects and independent electricity planning, two public feedback sessions and closing submissions from lawyers.

The final report from the inquiry is due before Dec. 31.

 

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Ford's Washington Meeting: Energy Tariffs and Trade Tensions with U.S

Ontario-U.S. Energy Tariff Dispute highlights cross-border trade tensions, retaliatory tariffs, export surcharges, and White House negotiations as Doug Ford meets U.S. officials to de-escalate pressure over steel, aluminum, and energy supplies.

 

Key Points

A trade standoff over energy exports and tariffs, sparked by Ontario's surcharge and U.S. duties on steel and aluminum.

✅ 25% Ontario energy surcharge paused before White House talks

✅ U.S. steel and aluminum tariffs reduced from 50% to 25%

✅ Potential energy supply cutoff remains leverage in negotiations

 

Ontario Premier Doug Ford's recent high-stakes diplomatic trip to Washington, D.C., underscores the delicate trade tensions between Canada and the United States, particularly concerning energy exports and Canada's electricity exports across the border. Ford's potential use of tariffs or even halting U.S. energy supplies, amid Ontario's energy independence considerations, remains a powerful leverage tool, one that could either de-escalate or intensify the ongoing trade conflict between the two neighboring nations.

The meeting in Washington follows a turbulent series of events that began with Ontario's imposition of a 25% surcharge on energy exports to the U.S. This move came in retaliation to what Ontario perceived as unfair treatment in trade agreements, a step that aligned with Canadian support for tariffs at the time. In response, U.S. President Donald Trump's administration threatened its own set of tariffs, specifically targeting Canadian steel and aluminum, which further escalated tensions. U.S. officials labeled Ford's threat to cut off U.S. electricity exports and energy supplies as "egregious and insulting," warning of significant economic retaliation.

However, shortly after these heated exchanges, Trump’s commerce secretary, Howard Lutnick, extended an invitation to Ford for a direct meeting at the White House. Ford described this gesture as an "olive branch," signaling a potential de-escalation of the dispute. In the lead-up to this diplomatic encounter, Ford agreed to pause the energy surcharge, allowing the meeting to proceed, amid concerns tariffs could spike NY energy prices, without further escalating the crisis. Trump's administration responded by lowering its proposed 50% tariff on Canadian steel and aluminum to a more manageable 25%.

The outcome of the meeting, which is set to address these critical issues, could have lasting implications for trade relations between Canada and the U.S. If Ford and Lutnick can reach an agreement, the potential for tariff imposition on energy exports, though experts advise against cutting Quebec's energy exports due to broader risks, could be resolved. However, if the talks fail, it is likely that both countries could face further retaliatory measures, compounding the economic strain on both sides.

As Canada and the U.S. continue to navigate these complex issues, where support for Canadian energy projects has risen, the outcome of Ford's meeting with Lutnick will be closely watched, as it could either defuse the tensions or set the stage for a prolonged trade battle.

 

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Buyer's Remorse: Questions about grid modernization affordability

Grid Modernization drives utilities to integrate DER, AMI, and battery storage while balancing reliability, safety, and affordability; regulators pursue cost-benefit analyses, new rate design, and policy actions to guide investment and protect customer-owned resources.

 

Key Points

Upgrading the grid to manage DER with digital tools, while maintaining reliability, safety, and customer affordability.

✅ Cost-benefit analyses guide prudent grid investments

✅ AMI and storage deployments enable DER visibility and control

✅ Rate design reforms support customer-owned resources

 

Utilities’ pursuit of a modern grid, including the digital grid concept, to maintain the reliability and safety pillars of electricity delivery has raised a lot of questions about the third pillar — affordability.

Utilities are seeing rising penetrations of emerging technologies, highlighted in recent grid edge trends reports, like distributed solar, behind-the-meter battery storage, and electric vehicles. These new distributed energy resources (DER) do not eliminate utilities' need to keep distribution systems safe and reliable.

But the need for modern tools to manage DER imposes costs on utilities, prompting calls to invest in smarter infrastructure even as some regulators, lawmakers and policymakers are concerned those costs could drive up electricity rates.

The result is an increasing number of legislative and regulatory grid modernization actions aimed at identifying what is necessary to serve the coming power sector transformation and address climate change risks across the grid.

 

The rise of grid modernization

Grid modernization, which is supported by both conservatives and distributed energy resources advocates, got a lot of attention last year. According to the 2017 review of grid modernization policy by the North Carolina Clean Energy Technology Center (NCCETC), 288 grid modernization policy actions were proposed, pending or enacted in 39 states.

These numbers from NCCETC's first annual review of policy activity set a benchmark against which future years' activity can be measured.

The most common type of state actions, by far, were those that focused on the deployment of advanced metering infrastructure (AMI) and battery energy storage. Those are two of the 2017 trends identified in NCCETC’s 50 States of Grid Modernization report. But deployment of those technologies, while foundational to an updated grid, only begins to prepare distribution systems for the coming power sector transformation.

Bigger advances, including the newest energy system management tools, are being held back by 2017’s other policy actions requiring more deliberation and fact-finding, even as grid vulnerability report cards underscore the risks that modernization seeks to mitigate.

Utilities’ proposals to more fully prepare their grids to deliver 21st century technologies are being met with questions about completeness and cost.

Utilities are being asked to address these questions in comprehensive, public utility commission-led cost-benefit analyses and studies. This is also one of NCCETC’s top 2017 policy action trends for grid modernization. The outcome to date appears to be an increased, but still incomplete, understanding of what is needed to build a 21st century grid.

Among the top objectives of those driving the policy actions are resolving questions about private sector participation in grid modernizaton buildouts and developing new rate designs to protect and support customer-owned distributed energy resources. Actions on those topics are also on NCCETC’s list of 2017 policy trends.

Altogether, the trend list is dominated by actions that do not lead to completion of grid modernization but to more work on it.

 

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