November 2014 Governor, Attorney General, UP Congressmen...

MMEA Currents

Power Transmission REITs

May Be Here Before Long,

Moody’s Says

Holland BPW Receives Award of Excellence for 2013 Annual Report

Governor, Attorney

General, UP

Congressmen Issue

Joint Letter to FERC

November 2014

MMEA Currents

Cover Photo: Mackinaw Bridge between Michigan’s Upper and Lower Peninsulas

CURRENTS contents

Current Developments:

6 BWL Launches New Meter Reading Dog Alert Phone Call Service

6 BWL Names Lansing Assistant Fire Chief as New Emergency Operations Manager

8 Emergency Planning and Release Reporting Workshop

8 Holland BPW Releases Digital 2014 Annual Report and Receives Award of Excellence for 2013 Annual Report

10 MMEA Welcomes New Associate Members

11 DTE Energy’s Monroe Power Plant Among CleanestCoal-iredPlantsintheCountry

Energy and Utility News:

3 Governor Snyder, Michigan Attorney General Schuette, Congressmen Upton and Benishek Issue Joint Letter to FERC

16 Power Transmission REITs May Be Here Before Long, Moody’s Says

20 Calendar of Events

20 Fast Facts

12 Consumers Energy Maximizing Underground Natural Gas Storage to BeneitMichiganResidents

12 DTE Energy Installs 2 Millionth Advanced Meter

13 Barton Malow Honored with Two Supplier Diversity Awards

November 2014

Michigan Attorney General Bill Schuette (left) and Michigan Governor Rick Snyder,

MMEA Currents

Wind Energy

(See, Letter, continued on page 4)

Governor Snyder, Michigan Attorney

General Schuette, Congressmen Upton and

Benishek Issue Joint Letter to FERC

MMEA Currents

Lettercontinued from page 3


MMEA Currents

MMEA Currents

Current Developments

MMEA Member News

BLP Selects Hometown

Helping Hand Art Contest

Winners

The Grand Haven Board of Light & Power (‘BLP’)

concluded their 2nd Annual Hometown Helping

Hand Art Contest with the selection of the top eight

drawings out of 644 student entries. The Art Contest

was launched in 2013 in an effort to help raise

awareness of the BLP’s Hometown Helping Hand

program and how community members can help.

Students attending greater Grand Haven area schools

in grades Kindergarten through 4th were invited to

create a picture that relects the purpose of the BLP’s Hometown Helping Hand program, which provides

assistance to families in need in our community who

are struggling or unable to pay their past due electric

bill. Hometown Helping Hand has provided over

$56,000 in assistance since the program’s inception in

2005.

“Hometown Helping Hand raises money to assist

families in our community who are struggling to pay

their past due electric bills,” stated Annette Allen,

General Manager of the utility. “It’s important to

note that 100% of the money raised stays right here

in our community, and 100% of the money raised is

BWL Names Lansing

Assistant Fire Chief

as New Emergency

Operations Manager

Mayor Virg Bernero and Lansing Board of Water &

Light General Manager J. Peter Lark have announced

that Lansing Fire Department Assistant Chief Trent

Atkins will become the BWL’s irst Emergency Operations Manager. Chief Atkins is a 24-year

veteran of LFD who previously served as Chief of the

department’s Emergency Management Division.

“Although we will greatly miss Chief Atkins and

appreciate his outstanding service to the City of

Lansing, he is the right person at the right time to

take the BWL’s emergency preparations and response

capabilities to the next level,” said Mayor Bernero.

Mr. Lark said that Chief Atkins has expert knowledge

of emergency management, a familiarity with both

the city and the BWL’s infrastructure and utility

operations, and a strong working relationships with

regional emergency management oficials and their counterparts at the state and federal levels.

“Since the December 2013 ice storm, the BWL

has made several communications and operational

improvements to help customers get back power

faster when outages happen. We couldn’t have

selected a stronger candidate than Chief Atkins to

reinforce our commitment and to take the BWL to the

next level of emergency preparedness,” Lark said.

In the course of his career, Chief Atkins has been

closely involved in or charged with managing the

emergency response to numerous incidents in the

Lansing region, including the 2003 cascading power

blackout that began on the East Coast, the 2004

Spartan Oil reinery ire, the 2008 tornado that struck the City of Lansing, and the city’s response to the

December 2013 ice storm.

Lark noted that creating a new Emergency Operations

Manager position adds to the dozens of other

measures already implemented by the utility in

response to the recommendations of the Community

Review Team and the Michigan Public Service

Commission.

MMEA Currents

distributed through the Salvation Army’s assistance

program to local qualifying families who are in need,”

added Allen.

To help supplement the program, the Board of Light

& Power donates a portion of the revenues generated

by its door tag disconnect notice program. The

balance of the Hometown Helping Hand funding is

collected through one-time or monthly donations

from BLP customers.

Participating students were competing for a chance to

WIN a $100 cash prize in each building. Additionally,

one of the top entries is selected as the Art Contest

GRAND WINNER, and their drawing will be

featured on the Hometown Helping Hand donation

form for the next year. Schools were also competing

for an opportunity to win money for art supplies. The

Grand Winner’s school will be awarded $500 and the

school with the highest percentage of participation

will be awarded $250.

Entries were received from Ferry, Grifin, Lake Hills, Mary A. White and Peach Plains elementary schools;

Grand Haven Christian, St. John’s Lutheran, and

West Michigan Academy of Arts and Academics.

This year’s Grand Winner award goes to 4th Grader

Shea Tulloch from West Michigan Academy of Arts

and Academics. St. John’s Lutheran school received

the $250 award for highest participation percentage

with 97.4% of students participating in the Hometown

Helping Hand Art Contest.

“We congratulate our Art Contest winners and thank

all participants for helping the BLP raise awareness

of this important program,” stated Renee Molyneux,

Administrative Services Manager. “There are many

families right here in our community who are

struggling to make ends meet and we are hoping to

increase this year’s Hometown Helping Hand funding

level so we may provide more assistance to qualifying

families,” Molyneux added.

Community members who wish to provide a one-

time, tax-deductible donation for Hometown Helping

Hand may send it to the Board of Light & Power’s

1700 Eaton Drive ofice or contact BLP customer service representatives at 616-846-6250. BLP customers may also donate monthly by having an

amount added directly to their electric bills.

Grand Winner Drawing designed by 4th grade student Shea Tulloch from West Michigan Academy of Arts and Academics.

MMEA Currents


MMEA Member News

Holland BPW Releases

Digital 2014 Annual

Report and Receives

Award of Excellence for

2013 Annual Report

The Holland Board of Public Works (HBPW)

has released its 2014 Annual Report. The report

provides a high level of graphic user interaction

in the form of an online magazine, organized by

stories, facts and community impact. The HBPW

also earned an Award of Excellence from the

American Public Power Association for its 2013

Annual Report.

“We feel that the Annual Report is an excellent

opportunity for us to share the story of our

community owned utility,” said Dave Koster,

general manager at HBPW. “This year’s report

makes our stories and performance information

more accessible and visitor-friendly than ever.”

Visitors to the 2014 Annual Report are presented

with three categories- Stories, The Facts and

Impact. Much like an e-magazine, visitors can

browse bite-sized articles about the design of the

Holland Energy Park, a recap of the ice storms

that swept across Michigan last year, water utility

improvement projects, community impact and

more.

Interactive features of the site include easy-to-

follow diagrams displaying plant production

processes, inances, and a 360° tour of the newly renovated customer service lobby. Visitors and

students can also learn about combined cycle

natural gas technology by engaging with Start it

EMERGENCY PLANNING

AND RELEASE REPORTING

WORKSHOP

DECEMBER 2, 2014 Mt. Pleasant Comfort Inn &

Suites, Mt. Pleasant, MI

DECEMBER 11, 2014 MSU Management

Education Center, Troy, MI

REGISTRATION COST: $90, includes

workshop materials, continental breakfast, and

lunch.

Are you prepared for an environmental emergency

at your facility? Knowing how to plan for and

respond to an environmental emergency is

important for the safety of your employees, the

community and the protection of the environment.

This full-day workshop is designed to help you

understand how to properly assess, report, and

respond to a spill or release at your facility. The

workshop will also include an overview of the

environmental planning requirements your facility

may be subject to and how to prepare necessary

plans to address and environmental emergencies.

This workshop is recommended for owners,

operators, and environmental and safety personnel

of facilities that have hazardous materials on

site. Environmental consultants, local emergency

planning committee (LEPC) representatives, and

ire department personnel will also beneit from this workshop and are encouraged to attend.

For registration questions, contact Alana

Berthold at [email protected].

For mobility, visual, hearing, or other assistance,

contact Matt Tomlinson at 517-335-2784 or [email protected].

MMEA Currents

Up!: An Interactive Diagram, where they take the

operator’s seat in the new power plant.

Over the past four years, HBPW has earned top

honors from the American Public Power Association

(APPA) for their innovation in digital annual

reports. The APPA awarded HBPW with an Award

of Excellence for its 2013 Annual Report. HBPW

earned the award through extensive use of creative

video, background video, interactive maps and

inancial charts.

MMEA Currents


Associate & Afiliate Member News

MMEA Welcomes New

Associate Members

Theka Associates has been providing comprehensive

engineering solutions for power, industrial and

communication clients for more than 30 years.

Theka Engineering is a wholly-owned, professional

engineering subsidiary of Newkirk Electric. As

a strategic partner of Newkirk Electric, Theka

Engineering plays an integral role in the design-

build process, providing customers with one of the

most eficient power and electrical engineering and construction resources available in the industry.

Contact:

Mike Cannady, P.E., Vice President

1875 Roberts Street Muskegon, MI 49442

Phone: 213-722-1691

Fax: 213-722-1690

Email: [email protected]

www.theka-engineering.com

A Star Electric Company has been Representing,

Distributing, and Manufacturing high voltage

electrical products for over 30 years. A Star Electric

can supply a variety of high voltage electrical products

either as manufacturers’ representatives or distributors.

Their sales territory coverage includes: Indiana,

Illinois, Iowa (East), Michigan and Wisconsin.

Contact:

Jeff Carlin, Sales Engineer

756 N. Main St. Suite N

Crown Point, IN 46307

Phone: (219) 661-9733

Fax: (219) 661-9734

Email: [email protected]

www.astareg.com

Ben F. Thomas Sales Company manufacturers

representatives have served Michigan’s electrical

markets since 1972. Ben Thomas started the business

in 1972. Prior to that, Ben worked for Hoffman

Brothers, a distributor in Detroit and to that, he

worked for Rome Cable. Ben Thomas passed away in

2007 leaving his legacy to his daughter.

Contact:

Lisé Dickson, Manufacturer’s Rep

323 N. Main St.

Davison, MI 48423 Phone: 810-653-7497Fax: 810-653-7543 Email: [email protected]

www.BenFThomasSales.com

Performance Electrical Products, Inc. (PEP) began

operations as a sales agency specializing in the electric

utility industry in 1971. Their corporate ofice is located in Pittsburgh, Pennsylvania and they have

satellite sales ofices in Hudson, Ohio; Lexington, Kentucky; Ann Arbor, Michigan; and Allentown PA.

Contact:

Erik Atman, Salesperson

P.O. Box 12868Pittsburgh, PA 15241

Telephone: (412) 835-1508 Fax: (412) 835-6143 Email: [email protected]

www.pepincpower.com

For 70 years, Spicer Group has helped businesses,

municipalities, school systems and healthcare

providers build a stronger infrastructure, provide

safer and stronger products and services and operate

smarter and more eficiently. Spicer Group, Inc. provides professional engineering, land surveying and

community planning services.

Contact:

Donald Scherzer, President

230 S. Washington Ave.

Saginaw, MI 48607 Phone: 989-754-4717 www.spicergroup.com

MMEA Currents

DTE Energy’s Monroe

Power Plant Among

Cleanest Coal-ired Plants in the Country

DTE Energy has completed a project at the Monroe

Power Plant to signiicantly reduce emissions and improve air quality in the region, making the coal-

ired plant one of the cleanest in the country.

The Monroe plant is the irst in Michigan to operate best-in-class systems that reduce nitrogen

oxide emissions by about 90 percent and sulfur

dioxide emissions by about 97 percent. Combined,

the selective catalytic reduction and lue gas desulfurization systems also eliminate 75- to

90-percent of mercury emissions.

“The Monroe Power Plant is a cornerstone of DTE

Energy’s generating leet,” said Frank Warren, DTE Energy vice president of fossil generation. “The start-

up of the last selective catalytic reduction system

helps us reach our goal of making one of the country’s

largest coal-ired plants also one of the cleanest.”

Since 2000, DTE Energy has invested close to $2

billion on environmental upgrades at the plant, which

is the largest generating plant in Michigan and the

ifth-largest in the country. The installation of these systems has been a boost to the local and regional

economies, resulting in more than 900 skilled trades

workers at the peak of construction.

The emissions control equipment is changing the

appearance of the landmark Monroe plant. To support

operation of the lue gas desulfurization systems, two new 580-foot tall chimneys were constructed.

(See Monroe, continued on page 12)

MMEA Currents


Residents and passers-by see a white cloud of water

vapor from them whenever the units are generating

power. The last remaining 800-foot original stack is in the process of being taken down.

“It is an exciting time in the industry, and the

emission controls we have put in place are world

class,” said Skiles Boyd, DTE Energy vice president

of environmental management and resources. “This

allows DTE to continue giving our customers reliable,

affordable energy while minimizing any impact on

the environment. We are proud of DTE’s role in

improving air quality in Michigan, which is better

today than it has been in the last 40 years due in large

part to emissions reductions at our coal-ired power plants.”

MonroeContinued from page 11

Consumers Energy

Maximizing Underground

Natural Gas Storage

to Beneit Michigan Residents

Homes and businesses served with natural gas from

Consumers Energy saved about $295 million during

last winter’s polar vortex due to the energy provider’s

extensive underground storage system.

“Our storage system, one of the largest in the U.S.,

protected homeowners and businesses from higher

heating bills last winter,” said Tim Sparks, Consumers

Energy’s vice president for energy supply operations.

“We buy gas in the summer when it’s less expensive

and inject that into our 15 storage ields. This protects customers because it signiicantly reduces our need

to buy gas in the winter when it’s usually more

expensive.”

Consumers Energy is investing more in its gas

storage system to beneit the 1.7 million homes and businesses it serves. That includes investments to

increase the safety, deliverability and lexibility of the system. Natural gas storage provides over one-half of

Consumers Energy’s gas supply in the winter, and up

to 80 percent on the coldest days.

“Gas prices are still historically low – lower than

they were ive or 10 years ago,” noted Sparks. “The average home spends $3 a day throughout the year

for natural gas. We can help people to manage and

lower their bills through energy eficiency, payment arrangements, and assistance for those in inancial need.”

DTE Energy Installs 2

Millionth Advanced Meter

DTE Energy has reached the 2 million advanced meter

installation mark, putting the energy company ahead

of schedule in bringing the latest meter technology to

its customers.

More than 1.5 million advanced electric meters

have been installed in Oakland, Wayne, Macomb,

Monroe and Washtenaw counties so far. In addition,

nearly 500,000 modules have been installed on gas

meters in Wayne, Oakland, Monroe, Washtenaw,

Alpena, Chippewa, Wexford, Crawford, Emmet,

Delta, Isabella, Grand Traverse, Mecosta, Muskegon,

Dickinson, Iosco and Mason counties.

By the end of 2017, nearly 3.9 million electric and gas

meters will be converted, allowing all DTE Energy

customers to better manage their energy usage and

bills, and gain other beneits from the technology.

MMEA Currents

“Our advanced metering program provides our

customers with new technology that is both safe

and secure,” said Dave Meador, DTE Energy vice

chairman and chief administrative oficer. “This technology allows us to provide energy consumption

information our customers want to better manage and

lower their bills.”

DTE Energy remains conident in the safety, security and beneits provided by the meters. More than 50 million advanced meters have been deployed across

the country as of July, covering more than 43 percent

of U.S. homes.

Advanced meters incorporate technology that allows

meters to provide a wide range of beneits and services to customers. The new technology allows

DTE Energy to:

• Quickly locate and reduce the length of power

outages and other problems.

• Virtually eliminate estimated bills through

automated meter reading.

• Remotely connect and disconnect residential

service which means faster, less intrusive service.

In most cases, customers no longer will have

to wait for a service technician to stop or start

service at their homes.

• Provide real-time energy-use data through the use

of DTE Insight, a mobile energy-eficiency app that is an industry irst. The app, introduced earlier this year, will help customers track, manage and

control their energy usage, saving them money.

Customers can download the app from the App

Store and Google play.

• Reduce operating costs and thereby hold down

future rate increases.

• DTE Energy is working on many innovative

customer service features enabled by advanced

meters. Included are prepaid meters and the ability

to notify customers of outages and restoration

estimates.

• Installers are working in Macomb County and

future installation areas will be announced as

implementation nears.

Barton Malow Honored

with Two Supplier

Diversity Awards

Barton Malow has been awarded two Supplier

Diversity awards - the 2014 “Emerging” - Excellence

in Supplier Diversity award from the Women’s

Business Council Enterprise (WBEC) – Great Lakes,

and the 2014 Corporation of the Year – Construction

award from the Michigan Minority Supplier

Development Council (MMSDC). Both award

programs are designed to identify and recognize those

corporations that have outstanding supplier diversity

programs which result in the inclusion of certiied women business owners and minority business

owners in their supply chain.

Business diversity is an integral part of Barton

Malow’s core values and strategic planning. For

over 30 years, Barton Malow Supplier Diversity

Program has been centered on creating opportunities

for minority irms and ensuring their success through providing resources, educational workshops and

mentoring. We are continually innovating ways

to assist minority irms in growing capacity and expanding their capabilities within the construction

industry.

Barton Malow has been named Corporation of the

Year, Construction Sector by the Michigan Minority

Supplier Development Council for 9 out of the last

10 years. Barton Malow was among the irst of the inaugural recipients to receive the “Emerging” -

Excellence in Supplier Diversity award from the

Women’s Business Council Enterprise (WBEC) –

Great Lakes.

“Our diversity team works tirelessly in our efforts

to reach out to the minority, small and women-

owned businesses to provide partnering and bidding

opportunities,” said Dannis Mitchell, Barton Malow’s

Diversity Manager.

MMEA Currents



MMEA Currents

Utility Financing

Power Transmission REITs May Be Here

Before Long, Moody’s Says

Large U.S. electric transmission utilities are

actively exploring the feasibility of using

the real estate investment trust (REIT)

structure as a inancing vehicle, Moody’s Investors Service said Oct. 30. It is plausible that

utility REITs might emerge as early as the fourth

quarter of 2015, the credit rating agency said.

For utilities with large transmission assets, the

main beneit of a REIT inancing structure is that it eliminates federal taxes, Moody’s said. The credit

rating agency cautioned, however, that using this

type of inancing might, in some cases, have a negative effect on a utility’s credit ratings.

Potential REIT candidates in the utility sector

include Texas-based transmission and distribution

utilities and large transmission-only companies. At

the top of the list, says Moody’s, is Dallas-based

Oncor Electric Delivery Company LLC, whose

parent will soon be auctioned to the highest bidder in

a bankruptcy court administered sales proceeding.

Real estate investment trusts have been around for

half a century, Moody’s noted -- they were created

by Congress to give ordinary individual investors the

ability to invest in commercial real estate.

In 2014, the Internal Revenue Service clariied existing rules that deine what constitutes real estate. As a result, the REIT sector has grown as companies

look to spin off their assets into new companies

that are effectively exempted from corporate taxes

as long as they operate within REIT guidelines,

Moody’s explained.

The 2014 IRS clariications have helped open the REIT structure to non-traditional sectors, such as

electric transmission in the case of utility companies;

or iber optic and copper networks, in the case of telecommunications companies, Moody’s said.

“Many U.S. utilities are taking a look at their

transmission assets to assess whether utilizing a

REIT structure makes sense, given the abundance of

these types of assets that produce steady cash lows,” said Moody’s Associate Managing Director Jim

Hempstead. He is the lead author of the report, “U.S.

Utility Transmission Assets: Power Transmission

REITs Poised to be Sector’s Next Phase of Financial

Engineering.”

A REIT structure would add complexity and, under

certain circumstances, could weaken credit ratings,

the company said. “We think the credit quality of any

potential utility REIT will be closely linked with that

of the existing utility sponsor,” Moody’s said. “In a

REIT structure, rate base and revenue requirements

are still generated under the existing regulatory rate-

making procedures.”

Many U.S. utilities are

taking a look at their

transmission assets to

assess whether utilizing

a REIT structure makes

sense...”

--Moody’s Associate Managing Director Jim Hempstead

MMEA Currents



MMEA Currents

VALUE DELIVERED.

It’s what we do. And it’s what we’ve been doing for more

than 40 years. Solomon Corporation is proud to be a

valuable, full-service partner for your transformer needs.

When it’s on the line, we’re here. Today and tomorrow.

Call us today

Call Bryan Kroeker at 800.234.2867 Ext 134,

[email protected]

MMEA Currents

Michigan Municipal

Electric Association809 Centennial Way

Lansing, MI 48917

PRSRT STD

U.S. POSTAGE

PAID

LANSING, MI

PERMIT # 689

Michigan Municipal

Electric Association

809 Centennial Way

Lansing, MI 48917

517-323-8346e-mail: [email protected]

Board of Directors

Bill Cook, President

Zeeland Board of Public Works

David Koster, Vice President

Holland Board of Public Works

Ray Anderson

City of Norway

Tim Arends

Traverse City Light & Power

Carl Fedders

City of Marshall

Larry Halberstadt

South Haven Dept. Of Public Works

Melanie McCoy

Sebewaing Light & Water Dept.

Greg Pierce

Lowell Light & Power

Dennis Hicks

Currents Editor

[email protected]

Calendar of Events

Fast Facts

Nov 13, 2014 MMEA Board of Directors Meeting

Dec 11, 2014 MMEA Board of Directors Meeting

May 20 – 21, 2015 Great Lakes Electric Utility Show,

Lansing, MI

March 9-11, 2015 APPA Legislative Rally,

Washington, D.C.

Follow these portable generator safely tips to protect

yourself and your family from deadly carbon monoxide

poisoning:

• Only use portable generators outside, far away from

windows, doors and vents.

• Place portable generators outside and downwind, with

the exhaust pointed away from occupied spaces.

• Install a battery-

operated carbon

monoxide

detector/alarm

inside your home

- or one with

battery backup.

Source: Michigan

Department of

Community Health

November 2014 Governor, Attorney General, UP Congressmen...

Documents

Transcript of November 2014 Governor, Attorney General, UP Congressmen...