December 29, 2010

The Climax Molybdenum Company, one of Colorado's largest electricity users, spelled out its objections to an initial ruling by the Colorado Public Utilities Commission that approved triple cost overruns by Xcel at SmartGridCity in Boulder. Read this summary or click through to the document itself. In a nutshell: SmartGridCity is a research and development project that should be paid for Xcel shareholders, not 1.4 million Xcel ratepayers in Colorado.

You'll recall I've broken a few pieces of china in this space over the initial ruling by the Colorado Public Utility Commission, via an administrative law judge (ALJ), to grant Xcel full cost recovery of $44.5 million for its SmartGridCity initiative.

December 28, 2010

Senator John Thune had a challenge for renewable energy developers the other day - to work to remove regulatory barriers to clean energy development. The problem would have widespread support in any forum since projects take years to develop and exorbitant costs drive up project prices and delay deployment.

But there's a catch. Thune said those same barriers apply to "traditional" energy sources, though he didn't specifically mention coal, oil and natural gas.

December 27, 2010

Venture Capitalists pursuing smart grid opportunities are so varied in their approaches they might be said to mimic the proliferation of species in the Galapagos Islands.

Success in their endeavor depends on a Darwinian adaptation to the market, as they seek unexploited niches and nascent or overlooked opportunities.

That said, venture capitalists obviously focus on thriving, not merely surviving. Their intent is to fund innovative technologies destined for the mainstream and cash out on relatively short timelines, when a company succeeds in being acquired or launching an initial public offering.

December 23, 2010

The global economy is winding its way out of the long, dark tunnel that has enveloped it for two years. Next year promises to be brighter.

The utility sector will play its part and in doing so, help the nation's overall financial picture. It will be called upon to invest in and to implement to some of the latest and cleanest technologies to hit markets -- everything from smart grids to sustainable energy sources. While conditions in the recent past have been soggy, the same underlying fundamentals that have existed will persist: The push to go greener and to cut emissions.

December 22, 2010

The hoopla over cutting the federal debt is just that - a lot of hot air. Case in point: The country's ethanol industry, which enjoys billions in subsidies and which a bipartisan group of lawmakers are calling for cuts. But the powerful Midwestern farm lobby will prevail, enabling this industry that purports to cut foreign oil consumption to thrive.

Ethanol subsidies, which had been set to expire at year-end, are snuggled well inside of the $858 billion tax law that extends unemployment benefits and provide tax breaks to all Americans. They have been extended for a least another year, which has set up the next round of debates - one that promises to get interesting.