We are pleased to announce our November 2011 issue of THE SCOTTMADDEN ENERGY INDUSTRY UPDATE. This semi-annual publication features our view of recent significant events and emerging trends in the energy industry.
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The energy and utilities industries continue to face challenges as world economic growth remains slow coming out of the Great Recession. Reduced energy demand has staved off the industries’ acute demand for new infrastructure, but aging plants, shifting demand patterns, continued growth of renewable resources, and costly environmental regulations are driving significant investment needs. Highlights include:
View from the Executive Suite (click here) | Selected Stock Indexes: Gas Related Stocks are Strong, Merchants Wither, and Small Diversified Shine
U.S. energy and utility company executives are trying to manage investment needs, while looking for options on growth as well as constructive ways to maintain regulated returns. Across the energy value chain, firms are consolidating to beef up balance sheets and secure sale economies. However, as the Fukushima Daiichi nuclear incident and its after-effects demonstrate, unforseen events can complicate the industry’s best-laid plans for growth. Also: |
Energy Supply, Demand, and Markets (click here) | Portfolio Diversity and the Nation’s Power Supply: Are We About to Be Imbalanced Again?
Continued low natural gas prices and the promise of a shale gas boom have altered the landscape both for gas and power and their markets. The shale gas boom is spurring pipeline expansion and may move the power generation industry into another major gas “build-out,” although industry veterans continue to be aware of the benefits of fuel diversity. Also: |
Climate, Environment, and Efficiency (click here) | Adopting Smart Grid: Smart Grid Integration
Utilities continue to be interested in smart grid and smart grid-enabled behind-the-meter products and services. But the scope of the opportunity and whether customers and regulators will embrace it and pay for it —which will drive utility investment decisions—remain open questions. Also: |
Policy and Regulatory Activity (click here) | Rate Case Activity: No Good News on the Horizon
2011 rate case activity will not likely match 2010’s record number of rate case filings. Also: |
Managing the Energy and Utility Enterprise (click here) | Aging Gas Infrastructure Prompts Increased Industry Focus
About 48% of rural interstate bridges were built during the early years of the interstate system, from 1961 to 1970. By comparison, almost 60% of interstate pipeline was built before 1970. Also: |
We hope you will find THE SCOTTMADDEN ENERGY INDUSTRY UPDATE a useful and informative resource. If you would like to discuss our observations in greater detail or have us present them or our views on other industry or management issues to your executive team, please contact us. View our Energy Practice area. |
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