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MGM Resorts has already hurt utility profits though an ambitious energy conservation effort.
Katie Fehrenbacher of Earth2Tech and Joseph Romm make the convincing case for California's decoupling utility profits and energy efficiency programmes.
Perhaps campaigners are right to be devoting so much of their attention to energy bills and utility profits.
Begun in the 1970s, California's efficiency program implemented appliance standards and building codes and decoupled utility profits from electricity sales.
Decoupling utility profits from the amount of energy sold, as California did in 1983, is a way to fix this problem, and it is a growing trend.
Not only do rooftop solar and other DERs divert customers from the utilities, these innovations defer infrastructure expansion by producing decentralized, renewable energy or by improving energy efficiency, thereby threatening utility profits.
Similar(42)
Utility profit fell 31percentt from a year earlier, to $78 million.
So other American states have gone further, and attempted to "decouple" utilities' profits from their sales.
The obtained results establish the effectiveness of the consideration of data uncertainties in improving the distribution system reliability and maximizing utilities' profits.
Utilities' profits are tightly controlled in general; public service commissions only allow them to recover the costs they incur in providing services, plus a reasonable return on their investments.
The simultaneous dash to renewables and new fossil-fuel power plants resulted in overcapacity and caused wholesale prices to tumble, which has battered the utilities' profits.At the same time, the prices paid by consumers have been rising.
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