EIA Publishes Study on High Renewables Growth Impact in WECC Markets using UPLAN

LCG, July 19, 2024 – A working paper published by the U.S. Energy Information Administration (EIA) utilized the UPLAN model to study the impact of high renewables growth in the Western Electric Coordinating Council (WECC) markets.

Read more

LCG Publishes 2024 Annual Outlook for Texas Electricity Market (ERCOT)

LCG, October 10, 2023 – LCG Consulting (LCG) has released its annual outlook of the ERCOT wholesale electricity market for 2024, based on the most likely weather, market, transmission, and generator conditions.

Read more

Industry News

Indian Minister Says 'No Impact' if AES Leaves

LCG, Aug. 21, 2001--An official of the Indian state of Orissa said this morning that it wouldn't matter one way or another if U.S. electric power firm AES Corp. made good on its threat to walk out on its investments in his state.

AES owns a 51 percent interest in Cesco, the electricity distribution monopoly serving Orissa, with the state government owning the remaining 49 percent. AES also owns 49 percent of power plant operator Orissa Power Generation Corp., which sells electricity to the state-owned transmission business Gridco.

Last month, AES said it would sell its interest in Cesco -- perhaps at bargain prices -- unless Orissa improved its regulatory practices and approved higher tariffs. The U.S. company has invested about $175 million in the Orissa power sector.

"(A pullout) will have no impact at all," R. K. Patnaik, Orissa's finance minister, told reporters covering a business conference in Calcutta today.

The imbroglio involves a full circle of non-payment and related accusations. Starting with the electricity where it is generated, Orissa Power Generation says it has not been paid for power sold to Gridco. Gridco says it cannot pay OPG because it has not been paid by Cesco. Cesco says it has not money to pay Gridco because it cannot charge reasonable rates.

Gridco is unable to guarantee that all of the power sold to Cesco gets to the distribution company. The state government's electric transmission business suffers transmission "losses" that are high even by Indian standards.

Patnaik said AES, which has no interest in the transmission business, had not lived up toexpectations in Orissa that it would help with the transmission losses. "Transmission and distribution losses have come down only 1.8 percent from the earlier 43 percent," he complained.

AES' problems in Orissa don't stop with the state government. Yesterday, some 20 angry workers on Monday chased a senior manager out of his office at Cesco in the latest in a series of confrontations between the distribution company and its 8,500 employees who have not been paid wages for the month of July.

Cesco's managing director Roberto Podesta escaped unhurt, Cesco director Venu Nambiar told a news conference in New Delhi. Nambiar also said "We want out. The realization is there that the board has lost total control."

He added "The employees want AES management to go and Gridco to take back the distribution business."

This morning, the Economic Times referred to the Indian electricity sector as "India's loss-making power industry."

Copyright © 2024 LCG Consulting. All rights reserved. Terms and Copyright
The Locational Marginal Price Model (LMP) Network Power Model
Day Ahead and Real Time Market Simulation
The Gas Procurement and Competitive Analysis System
Database of Plants, Loads, Assets, Transmission...
CAISO CRR Auctions
Monthly Price and Congestion Forecasting Service