Welcome!

Agile Computing Authors: Kevin Jackson, Pat Romanski, Elizabeth White, Yeshim Deniz, Derek Weeks

News Feed Item

Con Edison Offers Plans to Protect Customers and Energy Systems From Major Storms

Submits Rate Proposals as Part of Investments in Reliability

NEW YORK, NY -- (Marketwire) -- 01/25/13 -- Con Edison submitted plans today for major investments to protect critical equipment and customers from devastating storms like Superstorm Sandy that have struck Greater New York in recent years.

The company provided the New York State Public Service Commission (PSC) with details on long-term projects -- including putting flood-proof equipment in low-lying areas, building higher flood walls around facilities, reinforcing overhead equipment and/or putting some overhead lines underground to limit outages during storms.

The plans call for $1 billion in investments (click here: http://www.coned.com/documents/2013-rate-filings/$1-Billion-Storm-Investments.pdf) through 2016, some of which could be recovered through federal funding. As part of the $1 billion, Con Edison has already committed to spend $250 million this year and next on storm protection measures. The company said it was also committed to providing customers with more accurate, individual restoration times, as well as offering text messaging and other mobile communications for customers who prefer them.

To provide initial funding for the storm-protection effort, Con Edison proposed one-year delivery rates for electric, gas and steam services. The submission of new rate plans, which was delayed due to the company's focus on recovery from Sandy, reflects Con Edison's cost-control efforts and its obligation to invest in its systems for customers.

Con Edison President Craig S. Ivey said the company has sharpened its focus on controlling costs in recent years. The 13,000 men and women of Con Edison weave cost-consciousness into every task and project, Ivey said.

"Although the economy is improving, we are still working diligently to hold down costs for our customers," Ivey said. "At the same time, the increased frequency and damage of storms assaulting our area presents a major challenge. We must invest in our systems in new ways to maintain the safe, reliable service our customers deserve."

The rate plans, subject to an 11-month review by the PSC and other interested parties, would cover the period January 1, 2014 to December 31, 2014. (To view the filings, click here: http://www.coned.com/publicissues/2013ratefilings.asp.)

Electric Service

The filing seeks an additional $375 million in revenue to run the electric delivery system, the company's smallest electric delivery rate request since 2004, which would represent an overall customer bill increase of 3.3 percent. The typical monthly bill for a New York City resident (300kWhr) would rise from $81.64 to $84.55; for a typical Westchester residential customer (450 kWhr), the monthly bill would rise from $114.41 to $118.00. The typical monthly bill for a small business (600kWhr) would rise from $157.55 to $169.31.

The company expects the increase to be mitigated when certain contracts with non-utility generator units begin to expire in 2014. The expiration of these contracts is expected to save customers an estimated $46 million in 2014, and more in future years.

The filing also includes plans for approximately $800 million of storm-protection capital expenditures through 2016 for the electric system, including projects to place certain overhead distribution lines below ground; increase the height of flood walls for certain facilities; raise critical equipment; install submersible equipment; install additional switches and related smart grid technology; and reconfigure certain distribution networks.

Gas Service

For gas service, the filing seeks an additional $25 million in revenue, the smallest gas rate request by the company since 2000, which would result in an overall customer bill increase of 1.3 percent. The typical monthly gas heating bill for a residential heating customer would rise from $187.68 to $190.35. Businesses would see an increase from $349.24 to $351.88 per month.

The gas revenue increase the company is seeking is due to gas infrastructure needs. These include the connection to a new Spectra gas transmission pipeline in Lower Manhattan, and the construction of a 10-mile gas main from the Bronx to White Plains to improve the safety and reliability of Con Edison's gas distribution system.

Con Edison expects its natural gas infrastructure to grow significantly in the coming years due to the rapidly increasing gas usage resulting from oil-to-gas conversions. The conversions are due to both the declining cost of natural gas and to New York City's Clean Heat program that requires large buildings that burn No. 6 and No. 4 heating oil to discontinue their use over the next 20 years. The company expects that many large buildings will switch their heating systems to natural gas, producing additional revenues that should more than offset the company's investment in gas infrastructure to support these conversions.

The filing also includes plans for approximately $100 million of storm-protection capital expenditures through 2016 for the gas system, including projects for cover plates and remote emergency generators to address possible tunnel flooding and check valves to prevent water infiltration that could lead to over-pressurization of piping and equipment.

Steam Service

For steam service, the company is seeking a decrease of $5 million in revenue. This decrease would come in addition to an estimated $66 million in annual fuel cost savings as a result of the conversion of two Con Edison steam plants from burning fuel oil to burning natural gas.

These delivery rate and fuel cost reductions reflect the company's proactive approach to reduce steam system costs, and their combined effect is equivalent to an overall decrease in customers' bills of approximately 10.1 percent.

The filing also includes plans for approximately $100 million of storm-protection capital expenditures through 2016 for the steam system, including projects to install or increase the height of existing gates or barriers around facilities, seal perimeter walls and doors, and relocate equipment.

While today's submissions are for one-year rate plans, Con Edison said it was open to discussions to develop a multi-year rate plan for each service, with aggregate revenue targets for its electric, gas and steam systems of $272 million in 2015 and $351 million in 2016.

To hold down costs for customers, Con Edison has delayed or replaced new capital investments with targeted demand side management programs and works with customers to reduce their energy usage through energy-efficiency programs. Employees are paying a greater share of their health-insurance premiums, even as health-care costs rise.

The company has also improved how it prioritizes and manages work. An example is a new work management program for Electric Operations that is expected to save $45 million of capital and O&M expenses annually once fully deployed in late 2014.

Further, customers now pay a special charge called the Temporary18-a assessment due to a 2009 law that required the PSC to collect an additional assessment from utilities. The surcharge is scheduled to expire in March 2014. If the surcharge is not extended as recently proposed, customers would save approximately $128 million annually on electric, gas and steam services, reducing the impact of storm hardening costs.

The rate plans also reflect company actions to address new cyber security standards, including additional electronic and physical perimeters around critical cyber assets; upgrading control systems associated with critical infrastructure equipment by enhancing system monitoring; and establishing dedicated cyber security personnel who will be responsible for implementing and monitoring the company's improved cyber security policies and procedures.

The filing marks the first time Con Edison has filed rate plans simultaneously for electric, gas and steam services. The company believes this will produce efficiency in resolving questions and issues that apply to more than one service.

The rate plans and additional information are available at www.conEd.com/publicissues.

Con Edison is a subsidiary of Consolidated Edison, Inc. (NYSE: ED), one of the nation's largest investor-owned energy companies, with approximately $13 billion in annual revenues and $40 billion in assets. The utility provides electric, gas and steam service to more than three million customers in New York City and Westchester County, New York. For additional financial, operations and customer service information, visit conEd.com, our green site, conEd.com/thepowerofgreen, or Facebook at Power of Green.

Contact:
Media Relations
212-460-4111

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend 21st Cloud Expo October 31 - November 2, 2017, at the Santa Clara Convention Center, CA, and June 12-14, 2018, at the Javits Center in New York City, NY, and learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
No hype cycles or predictions of zillions of things here. IoT is big. You get it. You know your business and have great ideas for a business transformation strategy. What comes next? Time to make it happen. In his session at @ThingsExpo, Jay Mason, Associate Partner at M&S Consulting, presented a step-by-step plan to develop your technology implementation strategy. He discussed the evaluation of communication standards and IoT messaging protocols, data analytics considerations, edge-to-cloud tec...
"When we talk about cloud without compromise what we're talking about is that when people think about 'I need the flexibility of the cloud' - it's the ability to create applications and run them in a cloud environment that's far more flexible,” explained Matthew Finnie, CTO of Interoute, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
When growing capacity and power in the data center, the architectural trade-offs between server scale-up vs. scale-out continue to be debated. Both approaches are valid: scale-out adds multiple, smaller servers running in a distributed computing model, while scale-up adds fewer, more powerful servers that are capable of running larger workloads. It’s worth noting that there are additional, unique advantages that scale-up architectures offer. One big advantage is large memory and compute capacity...
New competitors, disruptive technologies, and growing expectations are pushing every business to both adopt and deliver new digital services. This ‘Digital Transformation’ demands rapid delivery and continuous iteration of new competitive services via multiple channels, which in turn demands new service delivery techniques – including DevOps. In this power panel at @DevOpsSummit 20th Cloud Expo, moderated by DevOps Conference Co-Chair Andi Mann, panelists examined how DevOps helps to meet the de...
Amazon started as an online bookseller 20 years ago. Since then, it has evolved into a technology juggernaut that has disrupted multiple markets and industries and touches many aspects of our lives. It is a relentless technology and business model innovator driving disruption throughout numerous ecosystems. Amazon’s AWS revenues alone are approaching $16B a year making it one of the largest IT companies in the world. With dominant offerings in Cloud, IoT, eCommerce, Big Data, AI, Digital Assista...
Artificial intelligence, machine learning, neural networks. We’re in the midst of a wave of excitement around AI such as hasn’t been seen for a few decades. But those previous periods of inflated expectations led to troughs of disappointment. Will this time be different? Most likely. Applications of AI such as predictive analytics are already decreasing costs and improving reliability of industrial machinery. Furthermore, the funding and research going into AI now comes from a wide range of com...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
We build IoT infrastructure products - when you have to integrate different devices, different systems and cloud you have to build an application to do that but we eliminate the need to build an application. Our products can integrate any device, any system, any cloud regardless of protocol," explained Peter Jung, Chief Product Officer at Pulzze Systems, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA
SYS-CON Events announced today that Ayehu will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on October 31 - November 2, 2017 at the Santa Clara Convention Center in Santa Clara California. Ayehu provides IT Process Automation & Orchestration solutions for IT and Security professionals to identify and resolve critical incidents and enable rapid containment, eradication, and recovery from cyber security breaches. Ayehu provides customers greater control over IT infras...
SYS-CON Events announced today that MobiDev, a client-oriented software development company, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex software systems for startups and enterprises. Since 2009 it has grown from a small group of passionate engineers and business...
SYS-CON Events announced today that GrapeUp, the leading provider of rapid product development at the speed of business, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Grape Up is a software company, specialized in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market acr...
SYS-CON Events announced today that Enzu will exhibit at SYS-CON's 21st Int\ernational Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Enzu’s mission is to be the leading provider of enterprise cloud solutions worldwide. Enzu enables online businesses to use its IT infrastructure to their competitive advantage. By offering a suite of proven hosting and management services, Enzu wants companies to focus on the core of their ...
SYS-CON Events announced today that Cloud Academy named "Bronze Sponsor" of 21st International Cloud Expo which will take place October 31 - November 2, 2017 at the Santa Clara Convention Center in Santa Clara, CA. Cloud Academy is the industry’s most innovative, vendor-neutral cloud technology training platform. Cloud Academy provides continuous learning solutions for individuals and enterprise teams for Amazon Web Services, Microsoft Azure, Google Cloud Platform, and the most popular cloud com...
SYS-CON Events announced today that IBM has been named “Diamond Sponsor” of SYS-CON's 21st Cloud Expo, which will take place on October 31 through November 2nd 2017 at the Santa Clara Convention Center in Santa Clara, California.
In his session at Cloud Expo, Alan Winters, an entertainment executive/TV producer turned serial entrepreneur, presented a success story of an entrepreneur who has both suffered through and benefited from offshore development across multiple businesses: The smart choice, or how to select the right offshore development partner Warning signs, or how to minimize chances of making the wrong choice Collaboration, or how to establish the most effective work processes Budget control, or how to ma...
SYS-CON Events announced today that CA Technologies has been named "Platinum Sponsor" of SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business - from apparel to energy - is being rewritten by software. From planning to development to management to security, CA creates software that fuels transformation for companies in the applic...
Multiple data types are pouring into IoT deployments. Data is coming in small packages as well as enormous files and data streams of many sizes. Widespread use of mobile devices adds to the total. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists looked at the tools and environments that are being put to use in IoT deployments, as well as the team skills a modern enterprise IT shop needs to keep things running, get a handle on all this data, and deliver...
In his session at @ThingsExpo, Eric Lachapelle, CEO of the Professional Evaluation and Certification Board (PECB), provided an overview of various initiatives to certify the security of connected devices and future trends in ensuring public trust of IoT. Eric Lachapelle is the Chief Executive Officer of the Professional Evaluation and Certification Board (PECB), an international certification body. His role is to help companies and individuals to achieve professional, accredited and worldwide re...
IoT solutions exploit operational data generated by Internet-connected smart “things” for the purpose of gaining operational insight and producing “better outcomes” (for example, create new business models, eliminate unscheduled maintenance, etc.). The explosive proliferation of IoT solutions will result in an exponential growth in the volume of IoT data, precipitating significant Information Governance issues: who owns the IoT data, what are the rights/duties of IoT solutions adopters towards t...