With electricity demand increasing and available reserve margins declining, the addition of new generation capacity is necessary to meet our increasingly digital lives. In addition, older, less efficient plants will be retired to meet new environmental mandates and that capacity will need to be replaced. The question lies in what type of infrastructure will be built and how much it will cost. This is an issue that will not only be taken up in utility company boardrooms, but also in legislative halls as pending clean energy legislation will play a big role in determining what the answers are.
Electric / Gas Harmonization
As America’s generation fuel mix shifts toward natural gas, electric / gas harmonization is becoming a critical issue that must be addressed. For details on our position, see our white paper, Gas-Electric Harmonization: An AEP Perspective