With a few article behind us, I know you've made the connection that 100-year-old industry that's
obligated to serve everyone. Whose business practices are shaped by its surrounding geography and climate, and is highly regulated, doesn't really lend itself to being an exactly bleeding edge. That's actually good news for us as consumers. We demand and let's face it, pretty much get reliable electricity 24/7. For Smartelectricfuture.blogspot.com web-blog of Electrical Engineering & it's future, I am going to write an article about the Electrical Future's pace of change, its technology and regulation.
Think about when new technology comes out in other areas, there are always some hiccups. Patches on your software and phone apps, you tolerate them. Interruptions in your electricity? I'm pretty sure you're not going to be as generous of spirit, to put it nicely.
I had the opportunity to go across the country and have conversations with various customers,
with various stakeholder groups. And one of the things that I hear quite frequently is well utilities are just so in the past. We're slow, we're large, we're lumbering, it takes us a long time to change. What I would say is that on two levels, one, sometimes that’s a good thing. Because in society when you're
talking about a life essential, you don't want it to change overnight.
You also want it to be a reasonable cost to all of the citizens of the state and of the communities. You have to take into account the fact that everybody is treated as the same when it comes to electricity and provisions. But they don't all have the same incomes. So, you've got to make sure that it's accessible to everyone, or make it as accessible as you possibly can. So, when a utility makes a decision, it's not just to adopt the latest fad. And, you wouldn't want your utility to necessarily adopt the latest fad, because it might be too early in a process, and be too expensive. We look to balance both the new technology that's coming at us and the availability of it and the benefits that it brings
to our customers with the economics of that technology and how it's going to impact the cost in our customer's bills. Finding that balance is what is key when you're adopting new and different things. So while we may be lumbering at times, it's not necessarily always a bad thing.
But there is some movement especially more recently, and it is happening at a pace that industry
insiders agree is pretty quick compared to what they've seen in the past. Even if they don't agree on whether or not the Pace of Change is too slow or too fast, a lot of the Pace of Change is dictated by the regulatory framework And the availability of technology. Utilities, as you know, are subject to a lot of regulation. We dove into how rates are set, but that's just one piece of the puzzle. New technology is being developed, but can it handle the scale of what we require as customers? And are we okay with the potential increased costs and decreased reliability, at least initially? And something else that is very important is whether or not the rules are right to encourage utilities to adopt and integrate new technology given they need to balance environment, cost, and liability. The combination of these really dictates changes and the pace of those changes.
For the upcoming posts, I'm going to focus on the United States regulatory framework primarily. focusing on the regulatory frameworks across the globe is really an enormous scope. And I don't know that it would lend much to our primary goal of helping you understand that for all electricity markets, the underpinning of regulation is a key driver of the pace of change. With that, let's begin our lesson and learn about how technology, customer expectations, and regulation, fit together.
For any query, you cancomment below. Watch this video lecture regarding this article for more clearification.
obligated to serve everyone. Whose business practices are shaped by its surrounding geography and climate, and is highly regulated, doesn't really lend itself to being an exactly bleeding edge. That's actually good news for us as consumers. We demand and let's face it, pretty much get reliable electricity 24/7. For Smartelectricfuture.blogspot.com web-blog of Electrical Engineering & it's future, I am going to write an article about the Electrical Future's pace of change, its technology and regulation.
Think about when new technology comes out in other areas, there are always some hiccups. Patches on your software and phone apps, you tolerate them. Interruptions in your electricity? I'm pretty sure you're not going to be as generous of spirit, to put it nicely.
I had the opportunity to go across the country and have conversations with various customers,
with various stakeholder groups. And one of the things that I hear quite frequently is well utilities are just so in the past. We're slow, we're large, we're lumbering, it takes us a long time to change. What I would say is that on two levels, one, sometimes that’s a good thing. Because in society when you're
talking about a life essential, you don't want it to change overnight.
You also want it to be a reasonable cost to all of the citizens of the state and of the communities. You have to take into account the fact that everybody is treated as the same when it comes to electricity and provisions. But they don't all have the same incomes. So, you've got to make sure that it's accessible to everyone, or make it as accessible as you possibly can. So, when a utility makes a decision, it's not just to adopt the latest fad. And, you wouldn't want your utility to necessarily adopt the latest fad, because it might be too early in a process, and be too expensive. We look to balance both the new technology that's coming at us and the availability of it and the benefits that it brings
to our customers with the economics of that technology and how it's going to impact the cost in our customer's bills. Finding that balance is what is key when you're adopting new and different things. So while we may be lumbering at times, it's not necessarily always a bad thing.
But there is some movement especially more recently, and it is happening at a pace that industry
insiders agree is pretty quick compared to what they've seen in the past. Even if they don't agree on whether or not the Pace of Change is too slow or too fast, a lot of the Pace of Change is dictated by the regulatory framework And the availability of technology. Utilities, as you know, are subject to a lot of regulation. We dove into how rates are set, but that's just one piece of the puzzle. New technology is being developed, but can it handle the scale of what we require as customers? And are we okay with the potential increased costs and decreased reliability, at least initially? And something else that is very important is whether or not the rules are right to encourage utilities to adopt and integrate new technology given they need to balance environment, cost, and liability. The combination of these really dictates changes and the pace of those changes.
For the upcoming posts, I'm going to focus on the United States regulatory framework primarily. focusing on the regulatory frameworks across the globe is really an enormous scope. And I don't know that it would lend much to our primary goal of helping you understand that for all electricity markets, the underpinning of regulation is a key driver of the pace of change. With that, let's begin our lesson and learn about how technology, customer expectations, and regulation, fit together.
For any query, you cancomment below. Watch this video lecture regarding this article for more clearification.
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