Energy Industry Update: June 2007

The Energy Industry Update (EIU) is a compendium of breaking news, emerging issues, and recent developments in the energy industry.

As we approach mid-year 2007, the energy industry is under increasing pressure to limit its carbon footprint.  This comes as the industry grapples with upgrading both its supply and delivery infrastructure. The ultimate cost of a “de-carbonized” industry, where to place technology bets, and how companies will recover their costs remain key questions that will be studied over the next several years.  This issue of ScottMadden’s Energy Industry Update focuses on these issues.

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The Energy Industry Update - Volume 16 - Issue 2

The energy industry is changing, and its regulatory and financial moorings are shifting. Competitive markets combined with other factors may lead to early nuclear unit retirement. Continuing changes in energy supply and demand patterns create a complex operation environment for electric utilities. Federal and state policy lines are beginning to blur as states have been increasingly intervening in FERC domain seeking favorable outcomes for their citizens and other local constituencies. In our Update, themed “As Yogi Berra Might Say…,” we look at the unusual picture drawn by the juxtaposition of these changes.

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