Advanced Energy Perspectives

In May 2023, Xcel Energy Colorado filed its inaugural Gas Infrastructure Plan (GIP). Not only was this a first for Colorado, but in a national regulatory landscape light on gas utility oversight, it was also among the first of its kind nationwide. With the gas industry facing unprecedented headwinds – and in light of changing policy, technology, and market conditions – states are looking for new tools to understand and evaluate gas infrastructure investments. Colorado is at the forefront of that change, with state, city, and county emissions reduction policies and programs layered on top of generous state and federal rebates and incentives for clean appliances. In addition, gas commodity and infrastructure costs are rising, and innovation and scale are happening in the cold-climate heating solutions marketplace. All of these beg the question: how do we align long-lived, ratepayer-funded utility infrastructure investments with these long-term trends while still providing for our energy needs in the near term?

Everyone deserves access to home heating that doesn’t burn a hole in their pockets. Yet, a recent study by Strategen conducted for Advanced Energy United sounds the alarm for Consumers Energy customers in Michigan. Monthly home heating bills, an already significant burden for many, are forecasted to rise — from an average of $75 in 2021 to between $114 and $131 in 2030.

In recent years, Maryland has emerged as a frontrunner in clean energy leadership nationally, fueled by ambitious goals for clean energy and clean transportation. Policies like the Climate Solutions Now Act of 2022, the Advanced Clean Trucks (ACT) Rule, the Advanced Clean Cars II (ACCII) Rule, and the Maryland Building Energy Transition Plan prioritize electric vehicles (EVs), clean energy, and building electrification. However, while these policies are vital and the goals in them need to be met, their full implementation is going to require an electric system that we don’t yet have—and now there is groundbreaking legislation being considered in Annapolis that would address this aspect of the clean energy transition as well. 

Electric utility resource and infrastructure planning has been a staple of electricity policy in most U.S. states for decades. Conducted in the public eye, with regulatory oversight and stakeholder participation, integrated resource plans, distribution plans, transmission plans, transportation electrification plans, energy efficiency and demand side management plans, grid modernization plans, and rate cases have all served to guide prudent electric system investments through an increasingly distributed and complex energy and policy landscape.  

According to local legend, in New York, it’s still illegal to put an ice cream cone in one’s back pocket while in public on Sundays. As the story goes, this law was enacted to prevent thieves from subtly luring a horse away from its rightful owner before the dawn of the motor vehicle. Though silly, this example is indicative of a larger trend: old laws from the 19th and 20th centuries often remain on the books because it’s more of a hassle to repeal them than to simply stop enforcing them. This can happen as social norms change, or as new technologies eclipse old ones.