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PTI Local Government Energy Assurance Guidelines - Metropolitan ...

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<strong>Local</strong> Voices<br />

Asheville, North Carolina<br />

Getting to know and networking with your energy suppliers early in your planning process will help you<br />

understand what your suppliers’ capabilities are, and help you know what you can expect from them<br />

in terms of energy deliveries before an emergency strikes. By incorporating your key energy suppliers’<br />

contact information into your plan, you have information available immediately if an emergency strikes,<br />

and you have a relationship built on mutual trust.<br />

3.6.1 <strong>Local</strong> <strong>Energy</strong> Suppliers/Infrastructure Operators and Contracts<br />

Identifying energy suppliers is not as easy as it once was. It used to be possible to identify the energy supplier by<br />

simply looking at the energy bill. It was most likely that the same company that sent the bill was also the one that<br />

generated, transmitted, distributed, or otherwise delivered energy to the door step of the consumer.<br />

After the utility industry began to restructure (almost 20 years ago), local governments in some States had the option<br />

of opening up their systems to competition. Where they did, many local governments shopped around, comparing<br />

electricity prices and services and buying from the supplier who best met their needs. Services could be bundled or<br />

unbundled depending on how the State restructured. This competition brought new energy suppliers into the market,<br />

and with that came many more players and possible combinations of power suppliers. The upshot is that localities<br />

may now have multiple entities that provide energy, each delivering a different service.<br />

How might this new energy delivery model impact the EAP? The process, as a result, is more difficult. It is more<br />

important than ever to know who the key energy suppliers are, how they operate, what their capabilities and<br />

limitations are, and how they can assist with the EAP.<br />

Some of the energy suppliers to be aware of are: electric generating stations, owners/operators of related transmission<br />

and distribution lines, natural gas pipeline owners/operators and their associated storage and distribution network<br />

managers, and any local petroleum refinery and pipeline operators. Understanding renewable energy resources, smart<br />

grid investments, energy efficiency programs, and other similar initiatives, if present in the local jurisdiction, can<br />

also be an important part of energy assurance planning in an all-hazards environment.<br />

Identifying energy suppliers goes hand-in-hand with the energy profile work referred to in Step Four. Ideally,<br />

pertinent information has been entered into a user-friendly database that the energy assurance coordinator and<br />

working group can access easily. If this information is not already at hand, it should be collected during this phase of<br />

the planning process.<br />

Sources of electricity are usually investor-owned utilities (IOUs) and electric cooperative utilities (co-ops).<br />

Independent Power Producers (IPPs) are also key electricity suppliers to localities in some parts of the U.S. For most<br />

localities these utilities supply electricity from natural gas, coal, nuclear, and in some cases renewable sources (wind,<br />

geothermal, biomass, hydropower, and solar).<br />

As noted earlier, electricity generation and transmission and distribution services are not always performed by the<br />

same company. Electrical distribution is the final stage in the delivery of electricity to the locality. Therefore, getting<br />

<strong>Local</strong> <strong>Government</strong> <strong>Energy</strong> <strong>Assurance</strong> <strong>Guidelines</strong> – Version 2.0 | 47

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