Environment & Energy
Related: About this forumDuke CEO confirms threat renewables pose to their business model
By Jim Polson, Bloomberg
March 1, 2013
NEW YORK CITY -- Duke Energy Corp., the largest U.S. utility owner, may expand into rooftop solar as wider use of photovoltaic panels by customers cuts into demand for electricity in states including California, Chief Executive Officer Jim Rogers said.
Rooftop panels are gaining popularity as the industry faces anemic growth in power demand that may redefine the traditional utility business model, as this growth makes it difficult to predict long-term energy demand, Rogers said at an analyst meeting in New York today.
It is obviously a potential threat to us over the long term and an opportunity in the short term, Rogers said in an interview after the meeting.
If the cost of solar panels keeps coming down, installation costs come down and if they combine solar with battery technology and a power management system, then we have someone just using us for backup, he said.
http://www.renewableenergyworld.com/rea/news/article/2013/03/duke-explores-rooftop-solar-as-panels-slow-electricity-demand-ceo-says?cmpid=SolarNL-Saturday-March2-2013
This confirms the statements I've made regarding the different roles that renewables and nuclear play in changing the fossil oriented system. Nuclear preserves the economic model based on large-scale fossil generation, renewable energy destroys it.
immoderate
(20,885 posts)--imm
kristopher
(29,798 posts)handmade34
(22,756 posts)"Duke has capital available to fund an expansion into rooftop solar if the company decides to pursue the market, (CEO) Good said. Our thinking hasnt matured to the point that were actively pursuing anything.
seems the MATURE (and wise) people amongst us understand the need for progressive alternative energies...
DLnyc
(2,479 posts)It seems like the gates might be starting to open on a flood of new solar power.
As you say, the model is quite different from either fossil or nuclear generation: Unlimited supply and very low entry barrier versus limited supply and very high entry barrier.
cprise
(8,445 posts)Its simple:
Centralized generation is like having a toll booth. Its exceedingly hard for a competitor toll booth to spring up where you already are.
Small scale generation is more about manufacturing and buying commodity hardware, similar to computers or hand tools. Competition remains high and profit margins keep going lower as consumers become more attuned to comparison shopping.
kristopher
(29,798 posts)There are actually 5 criteria that determine the degree of openness in any given market. Centralized thermal generation has none of the 5, while distributed generation has the potential to satisfy all 5.