Public Power - June 2008 - (Page 74)

FOR GOVERNING BOARDS infusion of capital is essential. City Light is faced both with a technology lag and the financial burden of catching up to the 21st Century,” said the report released by the committee in January. “In the parts of town where the old 4-kV system is still in place, the electrical system looks like it belongs in a third world country rather than a modern metropolis. The overall system looks like a typical distribution system from the mid 1970s. The system is more than 30 years out of step with modern electric power practices.” Resource acquisition and risk management: During the energy crisis, City Light had to cut expenses. Some of the capability that it previously had for doing integrated resource planning, as well as conservation, had to be seriously limited. In addition, Washington recently enacted a renewable portfolio standard, which will require City Light to go on the market to purchase renewable resources. “This will be a real challenge because of the competition for these resources, especially on the West Coast,” said Arnold. California, Oregon and Washington are all competing for the same resources. Human resources: With roughly half of the work force slated to retire in the next five years, City Light, like a lot of other public power utilities, is facing a human resource crisis. This is especially a problem in the skilled craft areas, such as line work and dispatching. “People with these skills are hard to come by, and other utilities are also competing for them,” said Arnold. “An important contribution of the committee has been to provide an outside, but knowledgeable, opinion on the operation of the utility,” said Fisken. “These annual reports do influence the decision makers both in the mayor’s office and on the council.” “The work they have done is of tremendous value to the utility,” said Carrasco. The committee will continue to meet monthly and submit another report in 2009. Asset management, risk management (especially hydro risk management, since City Light is 90 percent hydro), financial performance and policies (including liquidity, reserves, and debt load), and human resources are among issued that will be addressed in the committee’s 2009 report. Will such a concept work elsewhere? It depends on how the utility is governed, said Fisken. “There are almost as many different models of governance as there are public utilities,” he said. “I think our committee concept is particularly valuable where you have oversight of the utility by elected officials, such as a city council, because it brings in a layer of expertise that members of a city council probably do not have,” he said. For information on setting up a similar committee, contact Julie Tobin, Seattle City Light’s advisory committee coordinator, 206/684-8859. ❚ MOBILEPAC™ REDEFINING MOBILE POWER MOBILEPAC provides quality, versatility, quick response time and industry-leading value -- all in the smallest, most powerful mobile turbine power plant on the market: • Highest Mobile Output at 25 MW • Fits Inside Just Two Trailers • 50 & 60-Hz Capability • Dual-Fuel Distillate or Gas Capable • Up & Running in 8 Hours • Anywhere in the World in 24 Hours • Synchronous Condenser Operation MOBILEPAC combines the proven Pratt & Whitney Power Systems FT8® Industrial Gas Turbine with an innovative new mobile plant design. Just imagine everything you could accomplish with a MOBILEPAC. Call us at 01-866-POWER-ALL for more information. 74 JUNE 2008 PUBLIC POWER http://www.pw.utc.com

Table of Contents Feed for the Digital Edition of Public Power - June 2008

Public Power - June 2008 Contents Perspective 10 Questions Finding Common Ground on Climate Change Solutions A Patchwork Approach to Renewable Energy Whose Grid Is It Anyway? The Little Utility That Could Benchmarking Customer Service Can Prairie Hay Power Your Town? Storming the Control Room Investing in the Smart Grid Coming of Age: Superconducting Cables Community Broadband Economic Development Customer Service Human Resources For Governing Boards Safety Parting Shot

Public Power - June 2008

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