1、Black&Veatch2022-2023 Electric ReportRethinking theModern GridBLACK&VEATCH 2022-2023 ELECTRIC REPORT|ABOUT THIS REPORT|2About This ReportBased on a survey of roughly 250 U.S.power industry stakeholders,Black&Veatchs 2022-2023 Electric Report explores a sector transforming itself at an undeniably tra

2、nsformative time.This repowering of the power sector is profound in an increasingly complex energy ecosystem involving not only the rapid growth of hydrogen,microgrids and distributed energy,and power generation from the sun,wind and conventional sources but also changes being driven from the custom

3、er space.Aging infrastructure long the industrys chief challenge this year shares the top spot among the list of survey respondents concerns with the need to integrate the surging influx of renewables and distributed energy sources onto the grid.That challenge of accommodating green energy on the gr

4、id last year surpassed aging infrastructure as the industrys foremost challenge for the first time in our reports in more than a decade.Investment and regulatory uncertainty remain headwinds,along with pressures to bolster grid resilience against droughts,floods,hurricanes,wildfires and other extrem

5、e events brought about by climate change the bedrock of global pushes by countries,states,counties and corporations to decarbonize.Amid the migration toward cleaner,greener energy and quests for lower carbon footprints,the proliferation of electric vehicles is stoking pressure on power providers to

6、find ways to meet the expected,sizable charging needs.As electric utilities pursue heightened sustainability,reliability and resiliency,help appears to be coming from federal taxpayers in the form of welcomed,generational spending mechanisms pointing billions of dollars to grid improvements.This rep

7、ort takes the industrys pulse on those issues,the need for more robust cybersecurity positions and more,drawing on survey findings and thoughtful analyses to paint a clear picture of a power sector modernizing with new technologies and improved concepts to keep the power flowing to industry,business

8、es and homes.We welcome your questions and comments regarding this report and Black&Veatch services.You can reach us at MediaInfobv.ContentsExecutive Summary 4Money&Politics 1011Federal Funding and the Grid:Infusion of Investment Stirs Opportunity14Despite New Federal Funding for the Electric Sector

9、,Investment Uncertainty LingersDecarbonization 1718Accelerating Decarbonization:Investments,Trade-offs and Technology Alternatives21Unrelenting Climate Change Presses Need for Grid Modernization,Resilience25Amid Decarbonization Momentum,Renewables Help Drive Electric Utility Sustainability Plans29Cl

10、ean Energy Trends:Renewables,Battery Storage Lead the Way33With Momentum from Federal Funding,Vehicle Electrification Must Stoke Utility Planning,Investments37Energy Storage,Now(But Not Necessarily Here)40The State of Cybersecurity Technology in the Electric SectorAbout the Authors 43BLACK&VEATCH 20

11、22-2023 ELECTRIC REPORT|CONTENTS|3Executive SummaryU.S.Electric Sectors Repowering Hinges on Grid Modernization,Renewable Energy Sources and StorageBy Laszlo von LazarSince its humble roots in the late 1800s,the U.S.electric grid has evolved,dutifully moving the electrons that did everything from po

12、wering the nations industrialization and wartime machines to being the lifeblood of todays factories,computers and appliances.As that infrastructure continues to show its age,a repowering of the power industry through a transformation toward lower-or zero-carbon generation to power a cleaner,even mo

13、re electrified world from the electric vehicle(EV)sector to automation and beyond is afoot,forced by todays complex,diverse and unyielding challenges.Droughts,floods,wildfires,hurricanes and other extreme weather events attributed to climate change increasingly are straining the grid,stoking questio

14、ns about its resilience.In May,Reuters reported that power outages have more than doubled in the past six years compared to the previous six,according to the media outlets examination of federal data.As the global push for decarbonization intensifies,the U.S.clean energy business power from the sun

15、and the wind,both on land and offshore is booming,forcing utilities to sort out the strategy and investment needed to accommodate those green sources of power.Pressure to make that happen is coming from the top of the U.S.political establishment,with President Joe Bidens administration ambitiously w

16、anting a decarbonized grid by 2035 and zero emissions economywide 15 years after that.The electrification of the nations transportation sector is accelerating,prompting the power sector to accommodate the ever-increasing charging demands now rivaling aging infrastructure as a chief concern of electr

17、ic utilities.Regulations continue to shift in fueling uncertainties,and cyber threats havent abated,exposing grid vulnerabilities.All the while,new technologies such as hydrogen widely viewed as an ascending star in tomorrows energy ecosystem and wider use of battery storage and distributed energy s

18、ources are enjoying greater attention,giving utilities even more to think about as pressures mount for them to reimagine tomorrows diversified,balanced energy portfolios.ABOUT THE AUTHORLaszlo von Lazar is president of Black&Veatchs Energy&Process Industries(E&PI)business and serves on the companys

19、board of directors and leadership team.Before being named to head E&PI,he was president of BV Operations and was a key architect in successfully establishing the group as part of a companywide transformation.Von Lazar joined Black&Veatch in 2019 to guide global projects for the companys previous pow

20、er organization,for which he led engineering,procurement,construction,project controls,quality and business excellence.His 33 years of experience,including global project leadership for GE and Bechtel,comprises work in conventional power generation,solar and wind generation,transmission and distribu

21、tion,oil and gas,and industrial markets.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|EXECUTIVE SUMMARY|5Despite the headache-inducing headwinds,opportunity knocks,most notably in the infusion of hundreds of billions of dollars in available federal funding meant to modernize the grid to lower the United St

22、ates carbon footprint.The Black&Veatch 2022-2023 Electric Report based on survey data from roughly 250 U.S.electric sector stakeholders details it all,shining a light on the power sector repowering itself to bolster its reliability,resilience and responsiveness.Grid Integration of Renewables,Aging I

23、nfrastructure Top ChallengesWith ever-widening adoption of renewable energy,it stood to reason that integrating green energy onto the grid last year surpassed aging infrastructure as the industrys top challenge for the first time in our reports in more than a decade.And it was no fluke.Renewable int

24、egration tied aging infrastructure atop the list this year,with roughly three in 10 survey responses citing either as their foremost challenge.Staffing issues continue to be a headwind,with a combined 43 percent either citing the lack of a skilled workforce(22 percent)or the industrys aging workforc

25、e(21 percent)as challenging.Environmental regulations drew one-quarter of the responses in rounding out the top five.Cybersecurity sixth in 2020 before rising to second last year fell to eighth this year at 18 percent,giving way to tightly grouped concerns about reliability(21 percent)and planning a

26、nd forecasting uncertainty(19 percent)(Figure 1).By virtually any metric,the growth of renewable energy remains robust.In August,the U.S.Energy Information Administration(EIA)reported that renewable sources such as wind,solar and hydropower are expected to account for 22 percent of U.S.electrical ge

27、neration,up from 20 percent each of the past two years.The EIA anticipates that figure will rise to 24 percent next year as other generation sources such as coal and nuclear are retired in some parts of the United States.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|EXECUTIVE SUMMARY|628.7%28.7%25.3%Renewa

28、bleintegrationAginginfrastructureEnvironmentalregulationsLack of skilled workforce.21.9%Aging workforce.21.1%Reliability.20.7%Planning/forecasting uncertainty.19.4%Cybersecurity.17.7%Distribution system upgradesand modernization.16.9%Economic regulation(i.e.,rates).15.6%Distributed Energy Resources(

29、DER)integration.13.1%Resiliency.13.1%Energy Storage.12.2%Grid Stability.11.0%Uncertainty of investment.10.1%Grid congestion.5.9%Market structure.5.5%Access to capital investment.3.0%Figure 1What are the top three most challenging issues facing the electric industry in your region today?(Select up to

30、 three)Source:Black&Veatch 53.6%52.7%25.4%Generation mix,with fewer traditionalbase load units and more utility scalerenewable sourcesTie:1.Lack of qualified workers to engineer,maintain andoperate the more complex system2.Regulatory lag in meeting the needs for system changesTalent availability.23.

31、7%Ability to invest in and maintain a more resilient grid.20.5%Lack of sufficient transmission facilities and system control assets.14.3%Increases in DER.12.5%Commodity inflation.12.1%Supporting systems/component availability.9.4%Lack of sufficient levels of investment to maintain and operate(includ

32、ing training of staff).8.0%Firm pricing of equipment.6.7%Other.6.7%Available capital.5.4%Safety for energy professionals and the public with greater dispersed resources.3.1%Supply chain issues for equipmentBLACK&VEATCH 2022-2023 ELECTRIC REPORT|EXECUTIVE SUMMARY|7Longer term,the EIA forecasts in its

33、 2022 Annual Energy Outlook widely considered the gold standard of U.S.energy projections that the share of renewables in the U.S.electricity generation mix will more than double from last year to 2050.This comes as state and federal policies continue to incentivize investment in green energy resour

34、ces for power generation and transportation fuels.New technologies are expected to continue driving down the cost of wind and solar generators,stoking their competitiveness in the electricity market.More than ever,given the robust projections for renewables,utilities will feel added pressure to bols

35、ter the flexibility and resilience of their grids,adding battery storage and advanced inverters to accommodate the rapid transition to a greener energy ecosystem.Promisingly,thats something clearly on the sectors radar.When asked about their top concerns for grid development over the next three to f

36、ive years,more than half of respondents 53 percent pointed to the generation mix,with fewer traditional baseload units and more utility-scale renewable sources.Thats narrowly second only to supply chain issues for equipment(54 percent),a lingering headache from the global COVID-19 pandemic.Workforce

37、 issues again are worrisome to the survey takers.The lack of qualified workers to engineer,maintain and operate the more complex system came in a distant third at 25 percent tied with the regulatory lag in meeting the needs for system changes.Questions about the availability of talent made more acut

38、e by a tight job market and an ever-thinning pool of recruits who enjoy more career options and greater leverage for various reasons drew 24 percent,followed by the ability to invest in and maintain a more resilient grid(21 percent)(Figure 2).Yet when it comes to funding,at this crucial moment,there

39、s reason for optimism,courtesy of federal taxpayers.Figure 2What are the top three biggest concerns for future grid development over the next three to five years?(Select up to three)Source:Black&Veatch Energy storageSolar(ground or roof)Microgrids and other DERsWind(onshore)HydrogenWind(offshore)Sol

40、ar(floating)Gas-fired/LNG to powerNuclearGeothermalCoal-fired%Selecting More Investment Than Today0.5%4.7%11.6%8.9%5.1%16.2%19.2%16.4%20.3%37.4%54.1%Figure 3How do you expect new generation capacity investments to change over the next five years in your region?Source:Black&Veatch BLACK&VEATCH 2022-2

41、023 ELECTRIC REPORT|EXECUTIVE SUMMARY|8Uncle Sams Help Spurs OpportunityDeep worries about the resilience of the U.S.grid,and the imperative to dramatically modernize it to bring about climate-resilient infrastructure while accommodating ever-growing charging needs of electric vehicles,have become a

42、 Capitol Hill priority.Federal lawmakers are aware of the enormous price tag that such long-overdue grid upgrades carry,and they have responded with a generational influx of funding and,by extension,optimism.With taxpayer help already in the pipeline through the$1.2-trillion Infrastructure Investmen

43、t and Jobs Act(IIJA)signed into law by President Joe Biden in late 2021,the Inflation Reduction Act(IRA)enacted in August commits an additional$369 billion over the next decade to energy security and climate change efforts.The goal:reduce carbon emissions by 40 percent by 2030,though current investm

44、ent in electric infrastructure to get there still doesnt match the need.Even so,survey respondents appeared forward-looking and receptive to greener energy sources when asked where theyll be investing more in generation capacity over the next five years in their regions.More than half 54 percent cit

45、ed energy storage,outdistancing solar(37 percent),microgrids and other distributed energy resources(20 percent),onshore wind(16 percent)and hydrogen(19 percent),which has emerged as a rising star in tomorrows energy ecosystem.Nuclear power now accounting for one-fifth of the nations electricity supp

46、ly drew 12 percent of responses amid renewed attention for its potential in helping reduce greenhouse gas emissions blamed for global warming and extreme weather events such as floods and wildfires(Figure 3).The Promise of HydrogenWhen it comes to what methods utilities expect to include in helping

47、meet their clean energy and emissions reduction goals over the next decade and beyond,our survey showed a profound intention to migrate to a cleaner,greener energy landscape.Over the next 10 years,nearly 70 percent of respondents said they planned to make traditional fossil-fuel generation more effi

48、cient,though that approach drew only 16 percent of responses beyond that timeframe.Natural gas,favored by three-quarters of respondents for the next 10 years,slumped to 24 percent longer term.Sixty percent said they looked to retire fossil-fueled generation sites by 2032.Over the next decade,the ene

49、rgy sector expects solar(83 percent)and wind(70 percent)to help meet its clean energy goals or cut their emissions and carbon output,presumably because those options have established,matured technology and competitive costs.Those numbers drop to below 30 percent beyond 10 years,giving way to more de

50、ployments of hydrogen(60 percent)and battery energy storage at 64 percent,the most-cited option beyond the next decade amid expectations that the costs of those technologies at scale will continue to decline,widening adoption.At least for now,while utilities envision hydrogen as tomorrows transcende

51、nt energy source,the technology remains unproven.Still,ambitious projects underway hope to eliminate the uncertainty.A shining example:Black&Veatch announced earlier this year that it has been chosen by Mitsubishi Power Americas and Magnum Development to provide engineering,procurement and construct

52、ion(EPC)services for what will be the worlds largest industrial green hydrogen production and storage facility.As the keystone of the Advanced Clean Energy Storage project in Delta,Utah,the hub will be adjacent to the Intermountain Power Agencys(IPA)IPP Renewal Project and support that 840-MW,hydrog

53、en-capable gas turbine combined cycle power plant being built.That plant initially will run on a blend of 30 percent green hydrogen and 70 percent natural gas starting in 2025 before incrementally expanding to using 100 percent hydrogen two decades later.With a$504-million commitment from the U.S.De

54、partment of Energy,the hydrogen hub initially will be designed to convert more than 220 megawatts(MW)of renewable energy daily to 100 metric tons of green hydrogen that will be stored in two sprawling salt caverns.Storing excess renewable energy as hydrogen yields a long-term,long-duration energy st

55、orage solution,allowing renewable energy to be deployed in times of highest demand,helping balance load and generation across time and space.While the Utah project illustrates the promise of tomorrows energy ecosystem,utilities,regulators and other industry stakeholders must commit to and collaborat

56、e on forward-thinking approaches that virtually are certain to be based on cleaner,greener options,using new strategies,access to technology,proactive investments and aggressive planning.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|EXECUTIVE SUMMARY|9Black&Veatch announced earlier this year that it has be

57、en chosen by Mitsubishi Power Americas and Magnum Development to provide engineering,procurement and construction services for what will be the worlds largest industrial green hydrogen production and storage facility.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|FEDERAL FUNDING|10Money&PoliticsBLACK&VEATCH

58、 2022-2023 ELECTRIC REPORT|FEDERAL FUNDING|11Timing is everything,and the political whipsaw that was the summer of 2022 highlighted this in Technicolor.Each year,as we consider the topics and questions to be addressed in our annual Black&Veatch Electric Report,we understand were capturing a moment i

59、n time in the perspectives of our survey respondents.For a section focused on the potential impact of government funding including the Infrastructure Investment and Jobs Act(IIJA)on the future of the grid,our timing arguably couldnt be worse.How so?After weeks of careful planning,imagine our surpris

60、e as our survey launched to reports that the remaining clean energy elements of the“Build Back Better”framework were dead in the water,only to close it out a few weeks later with late-breaking word the Manchin-Schumer“Inflation Reduction Act”was alive and well,ultimately making its way through Congr

61、ess and being signed into law.With that backdrop in mind,we were struck by several themes emerging in 2022,including that government funding though the IIJA is expected to play a role in underpinning investment decisions for nearly 60 percent of respondents.This includes nearly two-thirds of those s

62、erving less than 2 million customers,demonstrating a favorable outlook on the role of federal funding in their planning.Optimistically,given the broad financial incentives targeting clean energy in the Inflation Reduction Act,and its passage through budget reconciliation,we expect these figures woul

63、d reflect even greater optimism in a follow-up survey(Figures 4&5).Federal Funding and the Grid:Infusion of Investment Stirs OpportunityFigure 4To what extent are you counting on IIJA(or Bipartisan Infrastructure Legislation)grant funding to drive or underpin your investment decisions?(Select one)So

64、urce:Black&Veatch Figure 5What are the main reasons your organization has not taken advantage of some of the Infrastructure Investment and Jobs Act(IIJA)?(Select one)Source:Black&Veatch Administrativelytoo burdensomeToo complicatedPrograms aretoo restrictiveWe dontneed theseprogramsLack of awareness

65、of those programs32%32%20%16%24%40.4%We do not expect funding to driveany of our investment decisions4.3%We expect funding to drive themajority of our investment decisionsWe expect funding to drive someof our investment decisions55.3%BLACK&VEATCH 2022-2023 ELECTRIC REPORT|FEDERAL FUNDING|12For as mu

66、ch as the electric sector seeks to decide its own fate,policy and regulatory uncertainty represent the greatest factors impacting decisions to invest in electric sector infrastructure,followed closely by concerns over technology time horizons.Simply put,political decisions being made to drive decarb

67、onization and evolve the regulatory compact reshape how service providers can look at a range of capital and operational expense planning scenarios.For example,in California,the state acknowledges its need to deploy large-scale natural gas technologies to ensure grid reliability,but its decision to

68、phase out natural gas by 2045 means these technologies are to be taken out of service before the traditional asset lifecycle is complete,disrupting traditional market dynamics(Figure 7).Timing aside,when it comes to expectations of how and where IIJA funding for grid-related projects will be priorit

69、ized,two areas EV charging infrastructure and energy storage were clear winners.This is consistent with the considerable efforts of the Biden Administration to support growth in the electrification of transportation,highlighted by the call to deploy 500,000 charging stations nationwide.The fact that

70、 federal funding will support the millions of EVs entering service and provide a significant business opportunity to a market that experienced years of flat load growth is not lost on industry stakeholders.Similarly,awareness of the critical role energy storage will play in providing grid-balancing

71、support comes as the pace of renewable energy deployment accelerates.Grid resilience to climate impacts,cybersecurity and a series of interconnected elements round out a range of choices reflecting the competing priorities within the broader grid modernization effort(Figure 6).Figure 6What are the t

72、op three priorities for your organization,if IIJA funding is granted?Source:Black&Veatch Figure 7Which factors drive the highest uncertainty in your investment decisions?(Select all that apply)Source:Black&Veatch Grid cybersecurityMicrogrids and distribution infrastructureImproved DER integrationOth

73、erReliability for underserved communitiesFiber network communications technologyEnhance grid physical security measuresDigital transformation for resiliencyNon-wired alternatives22.2%22.2%18.5%18.5%14.8%11.1%3.7%3.7%3.7%EV charginginfrastructureBatteries and long-duration storageGrid resiliency tocl

74、imate impacts63%55.6%29.6%75.7%60%20%11.4%48.6%Policy or regulatoryuncertaintyTechnology readinessor longevityFundingavailabilityClimate riskimpactsUndepreciatedexisting assetsBLACK&VEATCH 2022-2023 ELECTRIC REPORT|FEDERAL FUNDING|13One area where respondents are shedding significant insight relates

75、 to the ongoing challenges the Department of Energy(DOE)faces in streamlining the complex process of securing government funding for energy projects.Fully 35 percent of survey participants indicated their organization would not pursue funding due to factors ranging from lack of awareness to overly r

76、estrictive conditions or administratively burdensome applications.With the passage of the Inflation Reduction Act,the DOE now has roughly$110 billion in loan authority to support innovative clean energy,advanced transportation and tribal energy projects.But to receive funding,the DOE must be comfort

77、able with a project plan that addresses everything from design through commercial operation.The DOEs commitment of$504 million for the Advanced Clean Energy Storage green hydrogen production and storage project in Delta,Utah,reflected their confidence in the comprehensive framework the development p

78、artners and engineering,procurement and construction(EPC)provider developed to meet their standards.Working with stakeholders who understand the DOEs approval processes will be essential to accelerating the flow of capital to worthy programs.Despite the timing of our survey,we find reasons for optim

79、ism abound throughout this report.Efforts to address the digital and advanced infrastructure divide,highlighted during the COVID-19 pandemic,are top of mind for more than three-quarters of 2022 respondents.This reflects the industrys effort to ensure that breakthroughs in clean energy will be deploy

80、ed and benefit low-income communities in both urban and rural parts of the nation.From a funding perspective,which cannot be overlooked as typically the most challenging aspect in developing next-generation infrastructure programs,billions of dollars in investment will be fueled by tax credits,loan

81、programs and direct investment from the American taxpayer.This effort to modernize our grid reflects the type of transformative,Hoover Dam-like project that will reimagine countless sectors and decarbonize the U.S.economy.This effort to modernize our grid reflects the type of transformative,Hoover D

82、am-like project that will reimagine countless sectors and decarbonize the U.S.economy.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|INVESTMENT UNCERTAINTY|14With most capital investments in the power sector typically measured in multi-decade terms,how do service providers balance the necessity for long-ter

83、m planning and the need to achieve near-term goals associated with changing policies,decarbonization objectives and an increasing need for resilience?And with the relentless surge of renewables,how do U.S.electric utilities find ways to integrate it all onto the grid a task that our survey of about

84、250 power sector stakeholders cite for the second consecutive year as their top challenge,along with aging infrastructure?Funding from the Infrastructure Investment and Jobs Act(IIJA),also known as the Bipartisan Infrastructure Law and signed into law in November 2021,certainly helped impact at leas

85、t some of this investment decision-making by virtue of the$107 billion it ultimately will provide in funding and incentives for clean energy,power and electricity grid reliability projects.The more recently enacted Inflation Reduction Act(IRA)approved by Congress and signed into law in August provid

86、es another$369 billion in funding incentives for clean energy,arguably making it the most impactful piece of energy policy ever enacted in the United States.Despite New Federal Funding for the Electric Sector,Investment Uncertainty LingersBLACK&VEATCH 2022-2023 ELECTRIC REPORT|INVESTMENT UNCERTAINTY

87、|15One example highlighting this“power of policy”:Prior to the passage of the IRA,our survey queried respondents on which types of projects they would prioritize if the legislation was approved.Resoundingly,two of the project types featured most prominently in the bill electric vehicle(EV)charging i

88、nfrastructure(63 percent of respondents)and batteries or long-duration storage(56 percent)topped the list(Figure 8).Even though our survey was completed prior to the IRAs enactment,its clear this landmark legislation will have an even greater influence and impact.Yet despite nearly a half-trillion d

89、ollars across both bills in total funding intended to further catalyze the energy transition,uncertainty among decision makers still abounds.Affordability,shifting public perceptions,political instability,stranded asset risks,regulatory jurisdictional differences and technology uncertainty all facto

90、r into play.To wit,three-quarters of respondents said the inability to predict future policy and regulatory changes makes investment decisions difficult.Six in 10 cited concerns about the readiness or longevity of certain technologies as a challenge,and nearly one-half cited lack of clarity around f

91、unding sources as problematic(Figure 9).As one respondent noted,these days it can sometimes feel like 20-year utility resource plans need to be updated every two years.Nevertheless,some broad patterns are emerging.Figure 8What are the top three priorities for your organization,if IIJA funding is gra

92、nted?Source:Black&Veatch Figure 9Which factors drive the highest uncertainty in your investment decisions?(Select all that apply)Source:Black&Veatch Grid cybersecurityMicrogrids and distribution infrastructureImproved DER integrationOtherReliability for underserved communitiesFiber network communica

93、tions technologyEnhance grid physical security measuresDigital transformation for resiliencyNon-wired alternatives22.2%22.2%18.5%18.5%14.8%11.1%3.7%3.7%3.7%EV charginginfrastructureBatteries and long-duration storageGrid resiliency toclimate impacts63%55.6%29.6%75.7%60%20%11.4%48.6%Policy or regulat

94、oryuncertaintyTechnology readinessor longevityFundingavailabilityClimate riskimpactsUndepreciatedexisting assetsBLACK&VEATCH 2022-2023 ELECTRIC REPORT|INVESTMENT UNCERTAINTY|16Over the near term the next five years respondents are particularly bullish about solar and wind projects,as well as fleet e

95、lectrification.Sixty-four percent expect to invest in solar projects,and roughly 40 percent plan to earmark funds for wind and/or EVs(Figure 10).These findings appear to validate predictions by the U.S.Energy Information Administration that solar power generation will outstrip wind power generation

96、by a factor of two by 2040.Solar,wind and EVs remain popular priorities for respondents when asked to look further out into the horizon beyond five years.But the survey shows that other technologies not presently commercially viable stand to garner more investments as time passes.For instance,while

97、only 13 percent of respondents intend to invest in hydrogen over the next five years,more than 22 percent expect to invest in it in the long term.Similarly,only 9 percent of respondents plan to invest in small modular reactors in the short term,but more than 22 percent expect to allocate dollars on

98、that energy source beyond five years from now.Balanced Planning,Decisions EssentialAs the sector transforms at such a dizzying rate,mandates and ambitious decarbonization targets have brought clean energy forces to the forefront as a solution.Integrating that green energy onto the grid and finding w

99、ays to pay for it while hardening infrastructure assets against extreme weather and other threats present some of the industrys most-pressing challenges.Now more than ever,utilities again must balance long-term investments with an open eye on short-term,emerging needs as a continuous process,unlike

100、previous decades of resource planning in this industry.Perhaps by leveraging Black&Veatchs expertise,utilities should embrace the importance of an early,integrated and executable strategy that combines strategic,financial,regulatory,technical and digital considerations.Figure 10Which technologies do

101、 you intend to make investments in in the near term(one to five years),as well as beyond five years?(Select all that apply)Source:Black&Veatch 64.0%40.0%38.7%33.3%29.3%33.3%13.3%17.3%9.3%22.7%17.3%8.0%18.7%21.3%20%16%8.0%64.2%46.3%44.8%40.3%28.4%23.9%22.4%22.4%20.9%17.9%17.9%14.9%14.9%14.9%14.9%13.4

102、%9.0%SolarWindTransportation fleet electrification and/or charging infrastructureDistributed energy storageConventional generationDistributed energy resources management system(DERMS)HydrogenDistributed generationSmall modular reactorsAdvanced distribution management system(ADMS)MicrogridsHydrogen-f

103、ueled combustion turbinesCentral plant efficiency or environmental upgradesFault Location Isolation and Service Restoration(FLISR)Volt/VARDynamic line ratingsFlexible alternating current transmission system(FACTS)Near termLong termDecarbonizationViewed a half century ago as the energy source of the

104、future,hydrogen applications are emerging as a critical and viable solution to help companies across many sectors achieve their decarbonization goals.Some proof:The worlds largest hydrogen energy hub is under construction in Utah,with Black&Veatch supplying its key expertise.The U.S.Department of En

105、ergy has guaranteed a half-billion-dollar conditional loan guarantee for that planned green hydrogen hub meant to convert renewable power to hydrogen,store it underground and use it to generate power.The first customer of that Advanced Clean Energy Storage project will be the Intermountain Power Age

106、ncy(IPA)the power supplier to Utah and Los Angeles.Also underway at IPA is the first power plant conversion to 100 percent hydrogen by 2045.With that as context,we examine the role that hydrogen as well as wind,solar,natural gas and batteries for storage will play as the industry continues to sharpe

107、n its focus on achieving decarbonization at scale.What about other sources?Where does nuclear fit in?And what about carbon capture?Utilities,asset owners and companies across sectors are undertaking concerted efforts to analyze which technologies and low-carbon fuels will allow them to achieve their

108、 emissions reduction goals,and the answers may be different depending on portfolio,risk appetite and geography.But whats undeniable is that the industry finally has reached a consensus understanding that decarbonization must happen and soon.Our survey of some 250 U.S.power sector stakeholders for Bl

109、ack&Veatchs 2022-2023 Electric Report shows that now more than ever,utilities are feeling significant pressure from multiple external sources including policy makers,customers,regulators,and investors(in that order)to get it done.(Figure 11).BLACK&VEATCH 2022-2023 ELECTRIC REPORT|DECARBONIZATION|18A

110、ccelerating Decarbonization:Investments,Trade-offs and Technology Alternatives37.7%24.5%18.9%18.9%PolicymakersCustomersRegulatorsInvestorsFigure 11From which of the following does your organization feel the greatest pressure to be committed to decarbonization?(Select one)Source:Black&Veatch investme

111、nt returns(Figure 12).Promisingly,that number has decreased from past surveys.Hydrogen,as previously mentioned,is one alternative fuel that will be an important consideration as companies look across their portfolio,assets and trade-offs.As a leader in the hydrogen power generation industry,Black&Ve

112、atch is bullish on its potential but also recognizes that adoption of the technology has not yet been demonstrated to be advantageous on technical and economic bases across a wide spectrum of geographies.Perhaps unsurprisingly,many survey respondents are continuing to take a wait-and-see approach,wi

113、th more than 41 percent saying that hydrogen“might or might not”be a viable means of long-duration energy storage compared to more traditional technologies.That said,survey respondents also shared their growing YesNo61.1%38.9%BLACK&VEATCH 2022-2023 ELECTRIC REPORT|DECARBONIZATION|19With the“Inflatio

114、n Reduction Act”signed into law Aug.16 by President Joe Biden and its clean energy provisions now a matter of policy,additional funding and tax credits to allow firms to further accelerate the pursuit of lower-carbon fuels and technologies have been formalized.The Biden administrations goals are amb

115、itious:Get the United States to 100 percent clean electricity by 2035,with net zero emissions by 2050.But how do we get there?Outlook:Renewables Rule,With Hydrogen the Rising StarElectrification increasingly has been a focus to deliver power from a range of renewable energy resources and low-carbon

116、fuel sources.Thats particularly true when considering transitioning fleet and passenger vehicles away from the combustion of fossil fuels.However,substantial reforms are required to address challenges such as aging infrastructure and onerous interconnection queues.Survey respondents view the role of

117、 electrification as complementary to other low-carbon fuels and technologies.However,the timeline and runway to transition to low-carbon fuels and carbon capture solutions,while under review by most companies,vary across different planning horizons.Roughly 40 percent of survey respondents currently

118、are not incorporating non-electric means of decarbonization as complementary to their electrification,due to commercial viability and Figure 12Do you view non-electric means of decarbonization(e.g.,low-carbon fuels,CCUS,etc.)as complementary to your current electrification efforts?(Select one)Source

119、:Black&Veatch The Biden administrations goals are ambitious:Get the United States to 100 percent clean electricity by 2035,with net zero emissions by 2050.But how do we get there?BLACK&VEATCH 2022-2023 ELECTRIC REPORT|DECARBONIZATION|20excitement around hydrogen as an alternative fuel to facilitate

120、low-carbon energy storage and power generation,with another 41 percent saying that hydrogen will“definitely”or“probably”become a viable alternative(Figure 13).Respondents expect that solar(83 percent),natural gas(77 percent)and making traditional fossil-fueled generation more efficient(69 percent)wi

121、ll be the top three methods for meeting clean energy goals over the next decade.Looking further into the future beyond 10 years,however,respondents predict that batteries(51 percent),long-duration energy storage(64 percent),hydrogen(59 percent)and renewable natural gas(31 percent)will emerge as the

122、leading preferred sources.Another alternative nuclear energy resources represents about one-fifth of the United States baseline power and half of its current low-carbon-emissions energy strategy.When asked which technologies they intend to invest in over the next five years,just 9 percent cited smal

123、l modular reactors,well below the top choices of solar(64 percent),wind(40 percent)and fleet electrification(39 percent).But looking beyond five years,those modular reactors were picked by one in five respondents.“The whole world has to lean into getting to net zero and addressing climate change,”En

124、ergy Department Secretary Jennifer Granholm told The Associated Press in August.“Nuclear is such a clear part of that.I meet with my counterparts from all over the world,and everywhere people are looking to us to help them reach their goals with nuclear.”Despite the momentum associated with the Infl

125、ation Reduction Act,significant obstacles exist.Chief among them in addition to the obvious cost-based concerns,cited by 28 percent of respondents is a lack of infrastructure.In fact,more than 43 percent of respondents see these infrastructure inadequacies as a primary barrier.Indeed,for hydrogen to

126、 actually emerge as a scalable energy source,there must be many places to produce,blend and store it.The same,of course,applies to renewable natural gas.While meaningful inertia continues to build around next-generation,low-carbon alternatives,the timing of the deployment of these technologies is in

127、extricably limited by the currently slow pace of the development of the infrastructure that allows that technology to be deployed and monetized.These kinds of technologies are critical for meeting our aggressive decarbonization targets.We are hopeful that new policy enacted by way of the Inflation R

128、eduction Act and other measures will fast-track many of these much-needed infrastructure projects.Figure 13Do you view hydrogen as a viable means of long-duration energy storage in your service territory to more traditional technologies(e.g.,batteries,pumped hydroelectric,etc.)(Select one)Source:Bla

129、ck&Veatch 41.3%Might or might not26.6%Probably yes15.6%Probably not14.7%Definitely yes1.8%Definitely notAlready grappling with wildfires in the West,the unceasing threat of hurricanes along the eastern seaboard and ravaging drought in between,U.S.electric utilities seeing climate change test their g

130、rids cant escape the drumbeat of news warning that the headwinds may only worsen.That latest harbinger came in August,when the nonprofit First Street Foundation research group unveiled a peer-reviewed report suggesting an“extreme heat belt”is forming,stretching from Texas,Louisiana and the Southeast

131、 north to Wisconsin.The corridor covering one-quarter of the countrys land mass reportedly would affect 107 million people over the next three decades,bringing upticks in the number of days with the heat index the combination of air temperature and humidity above 100 degrees,challenging the electric

132、 infrastructures ability to keep air conditioners running,much less withstand the heat itself on an aging grid.On the heels of a July that the National Oceanographic and Atmospheric Administration said was the countrys third-hottest since record-keeping began nearly 130 years ago,the foundations rep

133、ort adds grist to the call for the U.S.power sector to ramp up their resiliency against escalating effects of a warming climate.None of that appears lost on the U.S.electric industry,Black&Veatchs 2022-2023 Electric Report finds.Among roughly 250 power sector stakeholders surveyed,roughly three in 1

134、0 respondents 28 percent point to heat as the climatological event posing the biggest risk for delivering reliable system operations in the next three to five years.Cold and ice drew 19 percent of the responses,followed by wildfires(14 percent)and hurricanes(11 percent).But what are utilities doing

135、long-term to harden their systems against climate change?The findings may be surprising,given the warnings.No Silver BulletNoting that U.S.power outages from extreme weather have doubled over the past two decades,the U.S.Department of Energy warned in July that“as much of the U.S.now braces for hurr

136、icane season,soaring temperatures and wildfires,climate change is threatening the reliability of our current power system.Business-as-usual planning and operations are insufficient to produce resiliency against these threats.”“There is no silver bullet technology to guarantee a reliable system,and e

137、very resource and system is at risk for failure:coal or natural gas fuel supplies can freeze,extended periods of low wind resource can occur,and transmission lines can fail,”the DOE added.“Reliability and resilience of the system stems from a portfolio of technologies and strategies that limits expo

138、sure to common risks and includes forward planning that considers the evolving threats from climate change,extreme weather and other unknown sources.”BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CLIMATE CHANGE|21Unrelenting Climate Change Presses Need for Grid Modernization,ResilienceBLACK&VEATCH 2022-202

139、3 ELECTRIC REPORT|CLIMATE CHANGE|22Such look-ahead approaches could and should start with infusing extreme climatological event mitigation into long-term system strategies;however,just one-third of survey respondents confirm theyre doing this.Twenty-eight percent say theyre not including it,while fo

140、ur in 10 say they simply dont know.Parsing those results shows that those who either are or are not using climatological event mitigation as part of their planning are close to parity perhaps reflecting a lack of regulatory certainty about how such plans might be received.U.S.power utilities are kee

141、nly aware of the impact that weather and the environment can have on their system operations,with many even having onsite meteorologists who prove crucial in helping stage crews at infrastructure vulnerabilities in advance of the storm,hastening response time when disruptions happen.Climate Mitigati

142、on:An Abundance of Options Yet not planning appropriately even aggressively for weather scenarios can exact a steep price.Case in point:The powerful,deadly winter storm in February 2021 that blanketed much of Texas with snow,ice and record low temperatures,disrupting power to 5 million people while

143、wreaking havoc on water service.Such disasters prove to be eye-openers for utilities,awakening them to extreme weathers consequences,the prudency of hardening their systems against it and the need to commit to the sizable investment to make it happen.While the possible scenarios are numbingly countl

144、ess,half of the surveys respondents say their utility does climate-related disaster scenario planning to prepare for potential disruptive events.An additional 23 percent acknowledge they dont perhaps given that storms seldom are the same,and its impossible to account for anything and everything that

145、 might transpire when it comes to climate,which itself can be acutely abstract.Strategies or risk-mitigating techniques being used to address climate change run the gamut,according to the survey.More than half of respondents(53 percent)report adding system redundancy and alternate sources,followed b

146、y those who are adopting demand response and energy-efficient programs(35 percent),those doing more aggressive vegetative management(32 percent),and utilities winterizing their assets against freezing(27 percent)(Figure 14).52.6%34.7%31.6%Add system redundancy/alternate sourcesImplement demand respo

147、nseand energy efficient programsPerform more aggressivevegetation managementImplement freeze protection/winterization upgrades.27.4%Invest in generation sources thatare less dependent on water supply.23.2%Advanced grid control systems.22.1%Enhanced transmission and distributionplanning to the feeder

148、 level.22.1%Harden distribution by increasing sectionalizing/automation schemes.14.7%Harden distribution by undergroundingof overhead circuits.13.7%Harden distribution by strengthening/insulating overhead circuits.12.6%Encourage/develop distributed energyresources as non-wired alternatives.12.6%Figu

149、re 14What are the top three strategies or risk mitigation that you are using to address the impacts of climate change?(Select top three strategies)Source:Black&Veatch BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CLIMATE CHANGE|23Making the Case for Funding,InvestmentWhile many electric utilities see merit

150、 in bolstering their infrastructures climate resilience,getting regulatory signoff for the often-steep price tag and recovering that cost from ratepayers likely to object keeps such projects from being viable,no matter the utilitys commitment to it.More than four in 10 44 percent of respondents cite

151、d regulatory scrutiny or rate case approval as the biggest hurdle to obtaining investment in climate-related mitigation measures,with priorities and internal buy-ins,the difficulty in modeling future weather events,and technology advancements tightly grouped around 31 percent(Figure 15).When it come

152、s to best justifying the expense of climate change and resilience projects,it appears to be all about data.Roughly one-third of respondents cited modeling and risk analysis or cost tracking to show cost recovery or system operational improvements as the top two effective ways to make a case for such

153、 undertakings(Figure 13).One in five pointed to case studies and the precedence of peer utilities,though citing what others have done may hold less sway with regulators or other stakeholders in light of each utilitys varying and sometimes unique local and regional operational nuances.Uncle Sam Steps

154、 In:A Time for Optimism,ActionThe U.S.electric sector,long having wrestled with ever-aging infrastructure without adequate funding to modernize it,is getting some help from federal taxpayers.Figure 15What are the biggest hurdles to obtaining investment in climate-related mitigation measures?(Select

155、all that apply)Source:Black&Veatch Regulatoryscrutiny/rate caseapprovalPriorities/internalbuy-inDifficulty inmodelingfutureweathereventsTechnologyadvancementSupplychainEquipmentConstructionlaborresources44.3%32%30.9%30.9%28.9%16.5%12.4%BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CLIMATE CHANGE|24Signed i

156、nto law by President Joe Biden in November 2021,the$1.2-billion,bipartisan Infrastructure Investment and Jobs Act(IIJA)earmarks$73 billion for grid upgrades,including the buildout of thousands of miles of new,resilient transmission lines to help expand renewable energy ostensibly meant to mitigate c

157、limate change.That single biggest federal investment in power transmission in U.S.history comes at a time of runaway expansion of renewables.Then in August,the“Inflation Reduction Act”became the single biggest climate investment commitment in U.S.history,with$369 billion over 10 years devoted to cli

158、mate and clean energy provisions.That includes some$30 billion in grant and loan programs for electric utilities and states to advance the transition to cleaner,greener energy.All of it is rooted in the premise that climate change is real,and the time to act is now.Forward-thinking utilities can and

159、 should embed climatic modeling into their road-mapping now,appreciating the mantra that“if you cant measure it,you cant manage it.”With a myriad of climate-mitigation approaches at their disposal,utilities also would be wise to rethink their old planning approaches to avoid risk,ensure greater resi

160、lience and prioritize such projects.Granted,climate models still hold uncertainties.The only thing that is clear is that weather stops for nothing and no one.32%32%20.6%8.2%5.2%2.1%Modeling/risk analysisCost tracking to show cost recovery/system operational improvementsApplication of case studies an

161、d precedence from other ownersDemonstration of how projects are prioritizedChanges in insurabilityOtherFigure 16What are some effective ways to justify the expense of climate change/resilience projects?(Select one)Source:Black&Veatch BLACK&VEATCH 2022-2023 ELECTRIC REPORT|SUSTAINABILITY|25Amid Decar

162、bonization Momentum,Renewables Help Drive Electric Utility Sustainability PlansSecond only to transportation as the biggest source of U.S.greenhouse gas emissions,the nations electric utilities are aligning around energy mix adjustments sought by regulators,consumers and shareholders to get greener

163、by infusing more renewables into todays energy ecosystem.In modern lexicon,thats decarbonization.By extension,its sustainability,a noble pursuit requiring thoughtful roadmaps of how to lower carbon footprints while still meeting shifting customer demands,keeping costs in check and embracing innovati

164、on.Black&Veatchs 2022-2023 Electric Report and its survey of about 250 U.S.power sector stakeholders bring such sustainability challenges into focus.A glaring takeaway:as the industry continues to wean itself of fossil fuels largely in the form of coal and natural gas accounting for roughly 60 perce

165、nt of U.S.electricity in 2020 low-carbon energy from the wind and the sun is helping fill the void.All the while,hydrogen and battery storage are enjoying a wider spotlight for their promise in tomorrows energy mix.Left to question,at least for now,is sustainability of the energy transition and what

166、 combination of technologies will support reliable delivery of electricity to consumers.Out with the Old,In With the Re(New)ablesWithout question,sustainability pursuits through decarbonization remain top of mind in the industry.More than three-quarters of respondents to Black&Veatchs survey have go

167、als involving adopting more clean energy and renewables or reducing carbon or greenhouse gas emissions,with roughly half of them saying such aspirations are separate from any regulatory mandate.In other words,theyre commendably proactive.So what energy options do they deem most favored in achieving

168、such goals over the next decade,then beyond?At least until 2032,83 percent of respondents cited solar power,77 percent pointed to natural gas and 70 percent said wind energy as their top methods,followed closely by battery energy storage(66 percent),and combined cycle at 64 percent.BLACK&VEATCH 2022

169、-2023 ELECTRIC REPORT|SUSTAINABILITY|26Looking past a decade from now,according to the survey,fossil fuels are expected to continue falling out of favor.While 69 percent said they look to make traditional fossil-fuel generation more efficient over the next 10 years,that number plummets to just 16 pe

170、rcent after that.Natural gas also shows a 53-point plunge during that span.Six of 10 respondents say their game plan over the next decade includes mothballing traditional fossil-fueled sites(Figure 17).Enter hydrogen and long-duration energy storage,both evolving but rapidly trending upward.Hydrogen

171、,Long-Duration Storage:Jury Still Out For NowUnderscoring optimism about tomorrows cleaner energy mix,47 percent of respondents cited around-the-clock firm dispatchable electricity from renewable resources and storage essential,given the intermittency of solar and wind power as the trend they consid

172、er most exciting.Forty percent pointed to long-term energy storage Making traditional fossil-fueled generation more efficientRetiring traditional fossil-fueled generation sitesHydrogenWindSolarNatural gasRenewable natural gasCombined cycleBattery energy storagePower purchase agreements(PPAs)Long dur

173、ation energy storage(LEDS)Other68.6%59.8%48.0%69.6%83.3%76.5%55.9%63.7%65.7%63.7%32.4%12.7%16.0%39.5%59.3%28.4%28.4%23.5%30.9%23.5%50.6%27.2%64.2%18.5%Next 10Beyond 10Figure 17Which of the following methods do you expect will be included specifically to help meet your carbon/emissions reduction and/

174、or clean energy goals?(Select all that apply for each timeframe)Source:Black&Veatch BLACK&VEATCH 2022-2023 ELECTRIC REPORT|SUSTAINABILITY|27in the form of hydrogen,followed closely by funding availability for long-term energy storage projects(39 percent)and expansion of fuel cell use e.g.hydrogen fu

175、el cells at 36 percent.Like hydrogen,long-duration energy storage remains unproven,tamping down commitments to either for now(Figure 18).But in the western United States,an ambitious effort now underway could sort it all out,offering a peek at what tomorrows energy picture may look like.Earlier this

176、 year,Black&Veatch announced it has been chosen by Mitsubishi Power Americas and Magnum Development co-developers of what will be the worlds largest industrial green hydrogen production and storage facility to provide engineering,procurement and construction(EPC)services for that Advanced Clean Ener

177、gy Storage project in Delta,Utah.That new hydrogen hub initially will be designed to convert more than 220 megawatts(MW)of renewable energy daily to 100 metric tons of green hydrogen that will be stored in two sprawling salt caverns.Storing excess renewable energy as hydrogen yields a long-term,long

178、-duration energy storage solution,allowing renewable energy to be deployed in times of highest demand.That hub will be adjacent to the Intermountain Power Agencys(IPA)IPP Renewed Project and support that 840-MW,hydrogen-capable gas turbine combined cycle power plant being built.That plant initially

179、will run on a blend of 30 percent green hydrogen and 70 percent natural gas starting in 2025,then incrementally expand to using 100 percent hydrogen by 2045.Sustainability Help,from Uncle SamLong having lamented the lack of funding for infrastructure upgrades that would bolster sustainability,U.S.ut

180、ilities are getting welcomed help from federal taxpayers.The“Inflation Reduction Act”the most sweeping climate measure in U.S.history includes$369 billion in climate-and energy-related funding over 10 years,with huge incentives to ramp up carbon-capture Figure 18Do you view hydrogen as a viable mean

181、s of long-duration energy storage in your service territory to more traditional technologies(e.g.,batteries,pumped hydroelectric,etc.)(Select one)Source:Black&Veatch 41.3%Might or might not26.6%Probably yes15.6%Probably not14.7%Definitely yes1.8%Definitely notBLACK&VEATCH 2022-2023 ELECTRIC REPORT|S

182、USTAINABILITY|28sites,urge green hydrogen production and boost U.S.production of solar panels,wind turbines and next-generation batteries.This spending measure follows the bipartisan,$1.2-trillion infrastructure plan signed into law in November 2020,channeling tens of billions of tax dollars into wh

183、at the White House called“our aging electric grid(that)needs urgent modernization,”with wider adoption of renewable energy at its core.Under that legislation,$73 billion the single biggest federal investment in electricity grids in U.S.history would be committed to grid upgrades,including thousands

184、of miles of new,resilient transmission lines to help expand renewable energy.The measure also will invest in research and development for advanced transmission and electricity distribution technologies while promoting smart grid solutions that deliver flexibility and resilience along with sustainabi

185、lity.Electric utilities would be well-served pursuing any of that funding independently or by enlisting guidance from a critical human infrastructure expert such as Black&Veatch to further demonstrate that their understanding that decarbonization and sustainability is critical to them.Sitting idle m

186、eans tragically missing out on a generational opportunity in a rapidly transforming energy landscape propelled by renewables and battery storage unimaginable just a decade ago.Under the IIJA,$73 billion the single biggest federal investment in electricity grids in U.S.history would be committed to g

187、rid upgrades,including thousands of miles of new,resilient transmission lines to help expand renewable energy.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CLEAN ENERGY TRENDS|29As decarbonizing takes a deepening root around the globe,clean energy solutions such as wind and solar power complemented by batt

188、ery storage quickly are becoming more of a fixture in todays energy ecosystem.That landscape cannot continue to evolve without the help of utilities,and its crucial for them and their stakeholders to understand clean energy trends to reach a net-zero future.Decarbonization will require integrating m

189、ore renewable energy onto the grid,which has recently become a significant concern for utilities.In fact,in our 2021 Electric Report,utilities ranked renewable integration as their top challenge above aging infrastructure for the first time ever.Again,that parity remains this year.In our survey of a

190、bout 250 electric industry stakeholders for Black&Veatchs 2022-2023 Electric Report,roughly one in three respondents(29 percent)ranked renewable energy integration as their top challenge,tied with aging infrastructure.While renewable integration remains in the No.1 spot,fewer respondents are concern

191、ed about it than in last years report,where a whopping 34 percent voted for it(Figure 19).The lowered percentage from last year may indicate that there is an increasing migration to an Clean Energy Trends:Renewables,Battery Storage Lead the Way28.7%28.7%25.3%Renewable integrationAging infrastructure

192、Environmental regulationsLack of skilled workforce.21.9%Aging workforce.21.1%Reliability.20.7%Planning/forecasting uncertainty.19.4%Cybersecurity.17.7%Distribution system upgradesand modernization.16.9%Economic regulation(i.e.,rates).15.6%Distributed Energy Resources(DER)integration.13.1%Resiliency.

193、13.1%Energy Storage.12.2%Grid Stability.11.0%Uncertainty of investment.10.1%Grid congestion.5.9%Market structure.5.5%Access to capital investment.3.0%Figure 19What are the top three most challenging issues facing the electric industry in your region today?(Select up to three)Source:Black&Veatch BLAC

194、K&VEATCH 2022-2023 ELECTRIC REPORT|CLEAN ENERGY TRENDS|30awareness of renewables among utilities a promising sign for the future of green energy.However,it should be mentioned that last year,the 2021 Electric Report survey was released last November around the time of hope albeit waning that the mas

195、sive“Build Back Better”spending plan targeting physical infrastructure improvements would get through Congress,and responses may have reflected optimism.At that time,renewables were top of mind for utilities.By comparison,this years report survey was released before a far narrower version of Build B

196、ack Better was hammered out and eventually signed into law by President Joe Biden in August,perhaps negatively skewing survey responses slightly.Nevertheless,the numbers still show utilities growing emphasis on renewable generation capacity.Upgrading the Power GridWhile the future of renewable energ

197、y continues to gain more acceptance among utilities,the power grid needs a major upgrade to accommodate the energy transition.And such grid modernization certainly will present its own challenges.According to survey respondents,the top two concerns for future grid development over the next three to

198、five years are supply chain issues(54 percent)and generation mix(53 percent).These concerns arent minor,considering that their percentages nearly double any other option on the list.With the supply chain crisis ongoing at the time of this report,that number isnt too surprising.Planning for Decarboni

199、zation Across the country,utilities must start strategizing about their decarbonization goals.According to our respondents across the Northeast,Midwest,South and West regions of the United States,the percentage of utilities with a carbon reduction goal apart from any mandate was on average 56 percen

200、t.Among respondents with a carbon-reducing blueprint,41 percent consider it well-defined to meet their goals.When it comes to mapping out investment in new generation capacity over the next five years,BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CLEAN ENERGY TRENDS|31solar,microgrids and energy storage ar

201、e leading the charge in what respondents say theyll spend much more or somewhat more on.These results arent too shocking considering how well solar and battery energy storage work together.Some 60 percent of respondents expect some increase in hydrogen-related investment over the next five years.(Fi

202、gure 20).Investing in Clean EnergyWhen respondents were asked which technologies they intend to invest in the near-term(one to five years)and the long-term(more than five years),solar and wind both remained atop the heap in both categories unsurprising,given their status as relatively established te

203、chnologies.Looking ahead,hydrogen climbed significantly from just Coal-firedGas-fired/LNG to powerSolar(ground mount or rooftop)Solar(floating)Wind(onshore)Wind(offshore)Energy storageMicrogrids and other DERsNuclearGeothermalHydrogenCoal-fired with CCUSGas-fired/LNG to Power with CCUSMuch moreinves

204、tment than todaySomewhat more investment than todayAbout the same investment as todaySomewhat less investment than todayMuch less investment than today 1.5%0.5%15.9%22.9%59.2%8.9%32.7%15.3%38.1%5%2%54.1%34.1%9.3%.5%31.3%10.9%7%9%41.8%32.2%18.3%33.2%13.9%2.5%3.5%5.1%31.3%40.9%19.2%9.8%7.8%17.1%60.6%4

205、.7%9%9.5%47.2%11.6%22.6%5%16.4%35.3%35.8%7.5%16.2%38.6%25.9%7.6%11.7%37.4%38.8%1.9%19.4%2.4%29.7%5.1%47.7%8.7%8.7%2%24.9%20.3%50.3%2.5%Figure 20For each of the following categories,how do you expect new energy generation capacity investments to change over the next five years in your region?Source:B

206、lack&Veatch 14 percent in the short term and 22 percent past five years,while distributed energy storage rose to 40 percent,from 33 percent.(Figure 21).Longer term looking out the next five years to a decade in actual investment spending respondents appear to be prioritizing big investments(those of

207、 more than$10 million)in conventional generation while increasingly aligning behind energy from wind,the sun,hydrogen and small modular nuclear reactors.As is the case for many technologies,they often start out slow and pick up momentum at the drop of a hat.A few decades ago,light-emitting diodes(LE

208、D)took a room full of equipment and tens of thousands of dollars to get a fraction of a lumen of light.Now people can buy a string of 100 for a dollar during Christmas time.The same can be said for clean energy technology,where theres a consistent positivity surrounding renewables that wasnt there j

209、ust 20 years ago.That appears true about hydrogen,a technology prone to skepticism today but poised to become the next big trend a decade or 15 years from now.The fact of the matter is,decarbonization is on the minds of nearly every utility right now.And while utilities may be adopting new technolog

210、ies at different rates,the enthusiasm towards renewable energy is ever-present and building.Energy Storage in PowerAs renewable solar and wind developments continue their rapid growth across the country,energy storage increasingly is viewed as a critical component to decarbonization,given that the i

211、ntermittency of renewables means there are times days or even weeks when there wont be the appropriate amount of generation throughout the day to satisfy load needs.While at first glance it may appear that the two key energy storage technologies battery energy storage systems(BESS)and hydrogen are i

212、n competition,the two technologies in important respects are complementary to each other,particularly suited to addressing hourly and daily shifting versus longer duration and seasonal shifting of energy supplies,respectively.The two can be used in tandem to maximize the value of electrons from gree

213、n energy.The investment tax credits and production tax credits made available to BESS and clean hydrogen in the Inflation Reduction Act would be significant as it would materially reduce the cost of both energy storage technologies and resultingly improve the resiliency of the grid.Investment spendi

214、ng in both technologies could continue to increase in utilities planning budget.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CLEAN ENERGY TRENDS|32Figure 21Which technologies do you intend to make investments in in the near term(one to five years),as well as beyond five years?(Select all that apply)Source

215、:Black&Veatch 64.0%40.0%38.7%33.3%29.3%33.3%13.3%17.3%9.3%22.7%17.3%8.0%18.7%21.3%20%16%8.0%64.2%46.3%44.8%40.3%28.4%23.9%22.4%22.4%20.9%17.9%17.9%14.9%14.9%14.9%14.9%13.4%9.0%SolarWindTransportation fleet electrification and/or charging infrastructureDistributed energy storageConventional generatio

216、nDistributed energy resources management system(DERMS)HydrogenDistributed generationSmall modular reactorsAdvanced distribution management system(ADMS)MicrogridsHydrogen-fueled combustion turbinesCentral plant efficiency or environmental upgradesFault Location Isolation and Service Restoration(FLISR

217、)Volt/VARDynamic line ratingsFlexible alternating current transmission system(FACTS)Near termLong termBLACK&VEATCH 2022-2023 ELECTRIC REPORT|VEHICLE ELECTRIFICATION|33Its no secret that transportation is the leading source of greenhouse gases(GHG)in the United States.Burning fossil fuels such as gas

218、oline and diesel releases carbon dioxide,trapping heat in the atmosphere and causing global warming.From increases in everything from the frequency and severity of wildfires,droughts and other severe weather events,the fallout is inescapable and alarming.As the world pushes to decarbonize,electric v

219、ehicles(EVs)are proving ever more crucial in helping mitigate climate change.And utilities must answer the call in delivering the energy needed for that evolving transportation mix turning cleaner and greener by the day.More electric vehicles are on the road,and companies such as Amazon and FedEx ar

220、e taking action by electrifying their large vehicle fleets.On the funding side,the Infrastructure Investment and Jobs Act(IIJA)included significant funding to support and incentivize the buildout of electric vehicle charging infrastructure,and the newly passed“Inflation Reduction Act”expands tax cre

221、dits for the purchase of new electric vehicles.Black&Veatchs 2022-2023 Electric Report based on expert analysis of a survey of about 250 U.S.electric sector stakeholders illustrates that vehicle and fleet electrification is top of mind.However,more education among utilities and clarity around budget

222、ing and planning are necessary pieces to the puzzle that,when complete,potentially can make significant advances to the industry.As the world pushes to decarbonize,electric vehicles are proving ever more crucial in helping mitigate climate change.And utilities must answer the call in delivering the

223、energy needed for that evolving transportation mix turning cleaner and greener by the day.With Momentum from Federal Funding,Vehicle Electrification Must Stoke Utility Planning,InvestmentsBLACK&VEATCH 2022-2023 ELECTRIC REPORT|VEHICLE ELECTRIFICATION|34New Funds Pave the Way for Lasting Change Utili

224、ties understand that loads are shifting away from fossil fuels towards cleaner forms of energy,and the move to electric vehicles isnt just a trend or a key part of climate change mitigation;its a durable market that must be prioritized to remain relevant and competitive.The United States is at a tip

225、ping point of EV adoption,meaning theres a huge opportunity for utilities to be the Swiss army knife the country needs to meet the Biden Administrations goal that half of all new U.S.vehicle sales be zero-emission by 2030.Electric vehicle and fleet charging infrastructure is imperative to achieving

226、that goal,and with billions of dollars in available funding,utilities want their fair share.When asked about the top three priorities for their organization if IIJA funding is granted,EV charging infrastructure received the highest marks,with 63 percent of respondents noting that it would be a top p

227、riority(Figure 22).Couple that sentiment with the fact that 39 percent of respondents intend to make investments in transportation fleet electrification and/or charging infrastructure in the next one to five years,and its clear this issue is top of mind for utilities,and planning is underway.When as

228、ked how much money their organization is planning to invest in transportation and fleet electrification and/or charging infrastructure over the next one to five years,16 percent said they expect to spend more than$10 million.Other investment amounts range from less than$500,000(24 percent),$500,000

229、to$1 million(20 percent),$1 million to$5 million(16 percent),and$5 million to$10 million(4 percent).One in five respondents reported they arent sure how much money theyll devote to that.While the funds are available and money is earmarked for electrification and charging infrastructure,questions rem

230、ain about how best to budget that money as well as to accurately forecast the load requirements coming down the pike.Figure 22What are the top three priorities for your organization,if IIJA funding is granted?(Select three options)Source:Black&Veatch Grid cybersecurityMicrogrids and distribution inf

231、rastructureImproved DER integrationOtherReliability for underserved communitiesFiber network communications technologyEnhance grid physical security measuresDigital transformation for resiliencyNon-wired alternatives22.2%22.2%18.5%18.5%14.8%11.1%3.7%3.7%3.7%EV charginginfrastructureBatteries and lon

232、g-duration storageGrid resiliency toclimate impacts63%55.6%29.6%BLACK&VEATCH 2022-2023 ELECTRIC REPORT|VEHICLE ELECTRIFICATION|35The Need for Education,Effective Forecasting While the survey demonstrates robust plans for investment in vehicle and fleet electrification and required charging infrastru

233、cture,the data turns murky when respondents weighed in about how much of their forecasting for future load is integrated into the expectation for vehicle electrification.More than four in 10 respondents 44 percent replied that at least some of their forecasting included vehicle electrification and f

234、leets,while 22 percent said none of their forecasting involves vehicle and fleet electrification.Twenty-four percent said they dont know(Figure 23).This begs the question:if utilities are planning to invest in this area,as the survey results clearly illustrate,why arent they planning to accommodate

235、the increased demand for electricity that these investments in EV charging buildout will inevitably require?What might explain this disconnect?One answer is that its hard to predict the future.Load forecasters have a difficult job,and their predictions can drive billions of dollars in investments an

236、d real changes to electricity rates.Estimate too high,and a utility has stranded assets and unnecessarily high rates.Estimate too low,and the utility risks not having enough power to serve its customers.Since the 2008 financial crisis,the usual link between growth in the gross domestic product(GDP)a

237、nd electricity demand has decoupled.This means that even though the economy is growing,a utility shouldnt necessarily assume that this will result in higher electricity demand as our economy has de-industrialized and things have become more efficient.The period of flat load growth has made load fore

238、casters more cautious when forecasting future load.Another answer may be that work is needed to educate the utility sector on effective planning and budgeting as the adoption of EVs continues to pick up speed.Consider this:Just 5 percent of all new car sales today in the United States are electric;i

239、n five years,that number is only expected to increase,especially considering the expanded tax credits for EVs now available through the recently passed“Inflation Reduction Act.”Similarly,the number of electric fleets also is expected to rise,as is the electrification of heavy machinery such as forkl

240、ifts and other equipment.According to the survey,three-quarters of respondents reported an increase in EV charging site requests,spanning both Level 2(38 percent increase)and Level 3(38 percent increase)charging sites requests.Some NoneMajorityDontknow44.2%22.1%24%9.6%Figure 23How much has your fore

241、casting for future load integrated the expectation for the vehicle electrification,including fleet?(Select one)Source:Black&Veatch BLACK&VEATCH 2022-2023 ELECTRIC REPORT|VEHICLE ELECTRIFICATION|36Black&Veatch recently has completed an important project for the strategic planning group at San Diego G

242、as&Electric(SDG&E).SDG&E set out to establish the most viable pathways for economy-wide decarbonization,with Black&Veatch providing technical advising,subject matter expertise and economic and power market modelling services to the utility.This work was published in“The Path to Net-Zero:A Decarboniz

243、ation Roadmap for California,”a comprehensive decarbonization blueprint to meet the states goal of achieving carbon neutrality by 2045.The work showed that electric consumption is expected to double as the economy decarbonizes,and the majority of that additional demand will come from electric vehicl

244、es.The industry cant ignore the increase in demand in the very near term,which is only expected to grow.Growth in electrification also means increases of the load on the grid,making it imperative that utilities properly forecast the load requirements of those vehicles.The inescapable fact is that th

245、at the rising number of EVs and fleets expected to be on the road in coming years wont be sustainable without proper charging infrastructure.No Time to be PassiveWith President Joe Biden having signed an executive order calling for EVs to account for half of all U.S.auto sales by the end of this dec

246、ade and automakers making EVs a bigger part of their inventories in a world increasingly embracing decarbonization its incumbent on electric utilities to respond.Many are,reflected in the survey findings showing attentiveness to the need to invest in and prioritize the required infrastructure.But mo

247、re education around the need for effective planning and investment remains essential,especially considering that only half of respondents to Black&Veatchs survey say theyre ready to enable new EV loads over the next year.Breaking that down further,22 percent say theyre ready now,15 percent say theyl

248、l be good to go in less than six months,and 14 percent saying theyll be ready in six months to a year.When utilities meld that confidence in readiness with more education and effective,thoughtful planning,the vehicle and fleet electrification sector will be on track to make lasting,sustainable chang

249、e.Energy Storage,Now(But Not Necessarily Here)BLACK&VEATCH 2022-2023 ELECTRIC REPORT|ENERGY STORAGE|37In what is a first in the more than 15-year history of Black&Veatchs annual electric report,we begin this preview section with a disclaimer:How were we supposed to know that the most significant ene

250、rgy policy legislation in generations would go from“not happening”to“lets wrap it up before the August recess”by Congress,right in the midst of our survey period?Besides the obvious“its not our fault”elements,we note this for a specific purpose:While many of this years responses regarding energy sto

251、rage reflect a positive sector outlook,we feel our data likely reflects some negative bias later mitigated by the August signing of the Inflation Reduction Act(IRA).The IRA package is critical as electric grids across the United States creak under the strain of excessive heat,droughts,aging infrastr

252、ucture and the challenges of renewable integration.Across respondent groups,energy storage is viewed as having a critical role in supporting decarbonization plans by boosting grid flexibility and reliability,particularly as service providers work to address the issue of renewable generation variabil

253、ity.With greater amounts of generation that varies as its resource varies,and with fewer traditional baseload assets that have a predictable resource supply,a consensus is emerging that reliability cannot be maintained without more energy storage on the power grid.In fact,more than eight in 10 respo

254、ndents 84 percent anticipate a greater risk of load shedding,a last resort for grid operators,as renewable,variable resources play a larger role in power production(Figure 24).The IRAs$369 billion will accelerate the clean energy transition with billions in dedicated funds for energy storage researc

255、h and development.54.7%Definitely yes29.2%Probably yes11.3%Might or might not4.7%Probably notFigure 24As the system becomes more reliant on renewable,variable resources,do you see increasing risk of more load shedding?(Select one)Source:Black&Veatch This is key,given that 89 percent of respondents i

256、ndicate a need for medium-and long-term energy storage,though some disagreement remains on the definition of medium-and long-term storage.With eight hours as the current benchmark for long-term storage,more than 40 percent see a need for capacity of up to or longer than one week(Figure 25).To addres

257、s clean energy pledges within the next 10 years,electricity service providers ranked solar generation No.1,with new natural gas generation a close second and retirements of traditional fossil assets also among the top four.While the respondents view storage among the most critical methods to be depl

258、oyed over the time horizon,it seems only logical that responses to the question would have reflected more optimism for storage had the IRA been passed earlier(Figure 26).Black&Veatchs experts did find it interesting that optimism for long-duration energy storage was the leading method to achieve car

259、bon reductions beyond 10 years.This likely reflects the impact of the technology curve at work as storage is both a mature technology for electrochemical battery technology and one in the early stages of its development for thermal/mechanical/chemical storage technologies.For example,just 10 years a

260、go,the 2013 EPRI Energy Storage handbook did Yes,but no more than 1 weekYes,but no more than 1 dayYes,for longer than 1 weekYes,but no more than 12 hoursYes,but no more than 8 hoursNot sureNo24.8%21.1%17.4%13.8%11.9%9.2%1.8%Figure 25Do you see a need for medium-and long-term energy storage?(Select o

261、ne)Source:Black&Veatch 20222021SolarBatteryenergy storageTop 5 in Next 10 Years83.3%86.2%75.2%68.6%72.5%65.7%68.8%76.5%67.9%69.6%Retiringtraditionalfossil-fueledgeneration sitesNatural gasWindFigure 26Which of the following methods do you expect will be included specifically to help meet your carbon

262、/emissions reduction and/or clean energy goals?(Select all that apply for each timeframe,by year)Source:Black&VeatchBLACK&VEATCH 2022-2023 ELECTRIC REPORT|ENERGY STORAGE|38BLACK&VEATCH 2022-2023 ELECTRIC REPORT|ENERGY STORAGE|39not include lithium-ion battery technologies as(then yet)capable of prov

263、iding utility scale storage solutions;today,gigawatts of battery storage have been deployed nationwide,with the vast majority utilizing lithium ion battery technology.Further reflecting the overall optimism for battery storage is the growing trend in“solar plus”hybrid solar projects that incorporate

264、 energy storage from the outset of their design.In 2021,these projects surpassed pure play solar generation development in terms of the number of interconnection queue requests,a trend likely to continue in 2022 and beyond.We also note that supply chain woes have not hit the battery storage field as

265、 badly as that for certain components of the energy value chain,in particular solar panels and transformers.While no technology combining commodities and semiconductors can emerge unscathed in a period of high inflation,batteries have been fairly insulated to this point.From Black&Veatchs perspectiv

266、e,nearly one-half of the price increases that our experts have observed are tied to increases in the cost of shipping versus other cost factors in the supply chain.Without question,the disruption shaping the future of the electric sector is accelerating,and management of the grid increasingly mirror

267、s the delicate balancing act of circus high-wire performers.For a century,the traditional grid operated like one performer walking the wire,or at most two performers that cross by each other.Yet as renewable generation expands,not only is the load varying,so are the generation sources,thereby creati

268、ng levels of complexity unmatched in the industrys history.Yet it is also an exciting time to be participating in the operation of the worlds most complex machine.When asked to identify the trends survey participants were most excited about,24/7/365 dispatchable power from renewable resources with s

269、torage was selected by nearly half.Inherent in this response is the belief that storage meeting the requirements for both scale and capacity will be available to help balance and shift electricity generation and load(Figure 27).As we look ahead,we see a bright future for the energy storage market fo

270、r the power grid and new opportunities to leverage technology to decarbonize the U.S.economy in commercial and the industrial,manufacturing and process industries sectors.47.1%24/7/365 firm dispatchablepower from renewableresources and storage40.4%Long-term energy storagein the form of hydrogen38.5%

271、Funding availability forlong-term energy storage projects35.6%Expansion of fuel cell use(e.g.hydrogen fuel cells)26%Commercialization of carbon capture,utilization and storage16.3%Commercialization of bi-facialsolar collectorsFigure 27What trends are you most excited about?(Select all that apply)Sou

272、rce:Black&Veatch BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CYBERSECURITY|40Because of the highly dynamic technology and threat environment,cybersecurity has its tentacles in nearly every aspect of the electric industry,from assessing ongoing threats to identifying and mitigating system vulnerabilities,

273、commissioning new devices that monitor air quality,and securing weather stations.As if that werent enough,cybersecurity experts in the electric sphere are responsible for maintaining compliance with the North American Electric Reliability Corporation Critical Infrastructure Protection(NERC-CIP)stand

274、ards.Long story short,the industrys cybersecurity professionals have their hands full.But Black&Veatchs 2022-2023 Electric Report expert analysis of a survey of about 250 U.S.electric sector stakeholders illustrates that these professionals are rising to the occasion,performing regular cybersecurity

275、 assessments,showing awareness of the latest threats,and exploring new technologies and platforms to modernize their organizations.Responding to the threat landscapeWhen asked about the top challenges facing the electric industry today,a relatively low number(18 percent)of respondents selected cyber

276、security a promising sign that the majority of respondents feel they could have cybersecurity under control.This might be due in part to the high number(45 percent)of respondents stating that the last cybersecurity assessment was done in 2022 or is currently being conducted.Cybersecurity assessments

277、 are not a one-size-fits-all endeavor.But this high number of positive responses coupled with that 46 percent of respondents are in the implementation phase of their security plans demonstrates that cybersecurity professionals are cognizant of and responding to the current threat landscape.Phishing(

278、79 percent)and ransomware(67 percent)took the top two spots as the cyber threats drawing the most concern among respondents(Figure 28).The State of Cybersecurity Technology in the Electric SectorPhishingRansomwareHackingData leakageSupply chain vulnerabilitiesDDoS(Distributed Denial of Service)Insid

279、er threatsAccount takeoverACH Fraud78.6%67.1%64.3%38.6%32.9%25.7%18.6%14.3%12.9%Figure 28Which cyber threats is your organization most concerned about?(Select all that apply)Source:Black&Veatch BLACK&VEATCH 2022-2023 ELECTRIC REPORT|CYBERSECURITY|41When asked to assess their confidence in recovering

280、 from a cyberattack,just one-quarter reported they were“extremely confident,”with 47 percent“somewhat confident.”(Figure 29).Low confidence levels may point back to maturing incident response plans using a variety of incidents,including the top cited concerns about phishing and ransomware.Embracing

281、digital transformationIts no secret that cloud computing is here to stay.Organizations of all sizes now understand that cloud technology allows for increased agility,collaboration and ability to scale,among a host of other advantages.The electric industry has taken note;58 percent of respondents are

282、 considering the adoption of cloud environments to modernize their organization(Figure 30).However,questions remain about Supervisory Control and Data Acquisition(SCADA)in the cloud,as well as using the cloud for operational technology(OT)environments.When it comes to modernization,electric sector c

283、ybersecurity professionals also have their sights on the adoption of emerging technologies.One-third 32 percent reported that they are considering the use of the internet of things(IoT)a somewhat high number considering IoT technologies are vastly different from the traditional,regimented structure

284、of the electric utility.On a similar note,47 percent are considering the adoption of software-based platforms for protection equipment.Additionally,the Department of Energy recently published the National Cyber-Informed Engineering(CIE)Strategy to develop reference architecture for electric energy O

285、T,which 58.3%Utilization of assetmanagement platforms58.3%Cloud environmentsfor applicable services46.7%Software-based platformsfor protection equipment41.7%Utilization of gridmanagement systems31.7%Utilization of IoT(Internet of Things)devices30%Utilization of geospatialinformation systemsFigure 30

286、What technologies are you considering to modernize your organization?(Select all that apply)Source:Black&Veatch SomewhatconfidentNeitherconfidentnorunconfidentExtremelyconfidentSomewhatunconfident46.6%27.4%24.7%1.4%Figure 29How confident are you in your utilitys ability to recover from a cybersecuri

287、ty attack?(Select one)Source:Black&VeatchBLACK&VEATCH 2022-2023 ELECTRIC REPORT|CYBERSECURITY|42has the potential to be a game changer for industrial control system cybersecurity in the electric sector.While its clear that utilities are making moves to modernize,72 percent of respondents dont know i

288、f their utility is aware of and considering a Zero Trust architecture.Given that Zero Trust is still an emerging security framework,the uncertainty here may point to the fact that 21 percent of respondents listed an aging workforce as one of their top concerns.Many utility professionals who have bee

289、n in the industry for decades and are nearing retirement simply may not know what Zero Trust is or how to implement it,illustrating the potential for Zero Trust architecture to be adopted more broadly as the sector continues its modernization.Looking aheadAs a traditionally regimented industry,the e

290、lectric sector is showing signs of a digital transformation.Cloud adoption and emerging technologies such as IoT are entering the industry at high rates.With new technology comes new vulnerabilities,and while the sector has security plans and regular assessments in place to mitigate those threats,co

291、nfidence in surmounting attacks remains low.Questions remain about SCADA in the cloud,Zero Trust adoption and the regulatory environment.But opportunity abounds for those who continue to embrace technology in safeguarding their systems and ultimately transforming the electric sector.With new technol

292、ogy comes new vulnerabilities,and while the sector has security plans and regular assessments in place to mitigate those threats,confidence in surmounting attacks remains low.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|ABOUT THE AUTHORS|43Alex Bettencourt is a member of Black&Veatch Global Advisory Consu

293、lting group and leads the advanced transportation and decarbonization practices globally for the company.He and his team are working with many leading organizations around the world looking to meet their decarbonization goals,including through the electrification of their transportation fleets.Befor

294、e coming to Black&Veatch,he led grid-modernization efforts of leading utilities around North America.Shibu Cherian is the global chief information security officer at Black&Veatch.He leads all aspects of the cybersecurity management program and strategy aligned to industry-leading controls and regul

295、atory best practices to ensure that confidentiality,integrity and availability of critical systems are implemented and maintained to enable the business to deliver secure solutions to build and protect critical human infrastructure.The cybersecurity program aims to provide standardized procedures an

296、d capabilities that address enterprise security needs with sustainable cybersecurity controls to detect and defend the infrastructure and business operations against cyber-attack.Cherian has more than 20 years of global experience in cybersecurity strategy and risk management and has led in the area

297、s of cybersecurity program management,security architecture,security engineering,cloud enablement,cyber operations and risk management in various industries,including financial services,retail and ecommerce,consulting,healthcare and telecommunication.Jonathan Cristiani is a Black&Veatch technology m

298、anager and clean fuels specialist with nearly two decades of experience in a host of renewable and alternative energy technologies.His duties include low-carbon fuel technology expertise,front-end project development/consulting,and engineering/project management support.Cristiani has significant exp

299、erience with the conversion of bio-based feedstocks into energy products as well as with the production,storage,and utilization of hydrogen for numerous end use applications.Kristie Deiuliis is a managing director at Black&Veatch,leading decarbonization strategy and planning initiatives.With more th

300、an 25 years in the energy industry,Deiuliis leads strategic initiatives,driving the development of all economic,policy,technology,and feasibility assessments for a broad range of global top-tier clients.Her experience spans energy industry domains,including wholesale and retail(regulated and competi

301、tive)markets,distributed energy resources,market entry and expansion business cases,and investment strategies for companies seeking to pivot or accelerate specific goals.Nigam Desai is a managing director and project management professional in cybersecurity at Black&Veatch,working with utility compa

302、nies on performance improvement,project and program management,IT software integration and solution architecture projects.Desai has a very good understanding of the entire transmission and distribution ecosystem About the AuthorsBLACK&VEATCH 2022-2023 ELECTRIC REPORT|ABOUT THE AUTHORS|44in the utili

303、ties space and provides his expertise in a myriad of projects.He has worked on successful implementations of advanced metering infrastructure(AMI),grid modernization(grid mod),product integrations and implementations,and implementing cyber guidelines for transmission lines.He has 30 years working on

304、 IT projects in India and the United States and has been in the utilities space for 24 years working for meter manufacturing and consulting firms.He has knowledge and experience in meter installations and field operations,integration of AMI,grid mod and related applications,business and IT SDLC proj

305、ects,cybersecurity,consulting and leading teams across various challenging and modern utility projects.Heather Donaldson is managing director of Black&Veatch Management Consulting,where she is responsible for supporting clients through grid modernization,transportation electrification,DER integratio

306、n and other transformations.A recognized expert in the energy industry,Donaldson has served as a special advisor to the California Public Utilities Commission,as a principal with Southern California Edison,and as a director with California ISO.Hua Fang is a managing director,co-leading Black&Veatchs

307、 strategy and planning practice and technical and commercial due diligence practice.As a Ph.D.economist with more than 20 years of experience in integrated energy market modeling and forecasting,asset valuation and commercial strategy,Fang has led several recent projects advising utility clients on

308、economic assessments,investment strategies and customer impacts to meet their decarbonization objectives.She also leads Black&Veatchs economic and market assessments for emerging zero-carbon technologies such as clean hydrogen and green ammonia.She also oversees Black&Veatchs Energy Market Perspecti

309、ve(EMP),a comprehensive long-term projection of North Americas energy market outlook that incorporates technology and policy trends across the energy industry.David Hulinsky is the private networks leader in Black&Veatchs energy and process industries business.He previously served as the companys di

310、rector and business unit lead for telecom,automation and distribution services for electric utilities.Hulinsky has more than 20 years of experience successfully developing and leading some of Black&Veatchs largest utility turnkey communications and smart grid EPC projects for leading utilities.Frank

311、 Jakob is the director for advanced energy storage solutions within the Black&Veatchs energy and process industry business line.Jakob focuses on storage solutions for renewable and conventional power generation in both distributed energy and utility sectors.He also focuses on decarbonized thermal an

312、d electrical solutions for process industries.With more than 40 years of experience,Jakob advises industry,utility,developer,owner operator and government clients,as well as the internal Black&Veatch engineering,procurement and construction(EPC)teams regarding the application,design and uses of ener

313、gy storage systems(ESS)for stationary power generation applications and industrial thermal storage applications.Kyle Kuhn is an engineering manager and grid integration portfolio manager at Black&Veatch.With nearly 10 years of industry experience,Kuhn has been heavily involved with business developm

314、ent and technological solutions for renewable collector and interconnect substations as well as EPC project execution.BLACK&VEATCH 2022-2023 ELECTRIC REPORT|ABOUT THE AUTHORS|45Arron Lewis is a vice president and the energy utility West Region leader at Black&Veatch.With more than 29 years of experi

315、ence,Lewis previously served as Black&Veatchs global power distribution business,heading the global deployment of services for power distribution infrastructure.His focus is on the delivery of solutions to clients needs for the energy transition,digitization and grid modernization,as well as infrast

316、ructure construction and upgrades required to meet the evolving needs of utility clients that deliver energy to customers.Kevin Ludwig is a vice president and grid solutions leader at Black&Veatch.With more than 20 years of experience in the power industry,Ludwig serves as the solution leader for Bl

317、ack&Veatchs offerings in transmission,distribution and private networks across all markets and industries.Ryan Pletka is a vice president of innovation and strategy at Black&Veatch.Pletka also helped found the companys growth accelerator,for which he leads investments in internal and external startu

318、ps,incubation and mentoring of new businesses,advising on corporate strategy,and scouting for new technologies and trends.Deepa Poduval is a senior vice president,leading the global advisory practice within Black&Veatch.In this role,she provides executive leadership for Black&Veatchs strategic and d

319、igital advisory services,including expertise related to transaction due diligence,regulations,business strategy,energy market planning,asset and risk management,operational technologies and infrastructure modernization needs.Poduval and her team partner with a wide variety of clients spanning govern

320、ments,and electric,water,oil and gas,commercial,industrial and financial sectors across the Americas,Europe and Asia who seek strategic,digital and technical expertise related to their critical infrastructure as they pursue goals around sustainability,growth and resilience.Leslie Ponder is the techn

321、ology portfolio director for global distributed energy at Black&Veatch,where she is responsible for evaluating and delivering technology solutions within distribution,asset management and distributed generation.Ponder has more than 30 years of experience and has led systems strategy and planning for

322、 communications,grid analytics,and grid control and security systems.Craig Preuss is a system architect for utility automation at Black&Veatch.Preuss,who is a professional engineer in the states of Illinois and Washington,performs many different tasks since he works in utility integration and automa

323、tion.Preuss is a senior IEEE member who chairs of the Power System Communications and Cybersecurity Committee(PSCCC),providing strategic electric industry direction in the PSCCC for cybersecurity standards and supporting the development of those standards as well as implementing cybersecurity design

324、s on various projects for electric and gas utilities.Algert Prifti leads the carbon capture,sequestration and utilization(CCUS)efforts at Black&Veatch.He focuses on exploring existing and emerging decarbonization technology solutions that contribute directly to new and traditional industry clients s

325、eeking to manage their carbon emissions and generate value-add opportunities.Prifti has experience assessing and implementing CCUS solutions across the value chain,including point-source,carbon capture and sequestration(CCS),CO2 dehydration and compression,CO2 pipeline and storage,and CO2 utilizatio

326、n technologies.In addition to point-source CCS,he also is leading the direct air capture(DAC)technology scale-up and project development efforts at Black&Veatch.He has experience working directly with diverse industry stakeholders and BLACK&VEATCH 2022-2023 ELECTRIC REPORT|ABOUT THE AUTHORS|46utilit

327、y owners to develop and navigate custom decarbonization roadmaps that pave the way to a low-carbon footprint future.As part of the New Energy Solutions team at Black&Veatch,Prifti also is involved with projects focused on implementation of other advanced decarbonization technologies.Ralph Romero is

328、senior managing director at Black&Veatch Management Consulting LLC,leading the independent assessment of novel technologies practice.Romero joined Black&Veatch Management Consulting in 2010 and has been the principal investigator in more than 180 technology assessments in the areas of hydrogen,chemi

329、cal and mechanical energy storage,power conversion systems,photovoltaic cells and modules,mechanical tracking systems and advanced water technologies.He advises domestic and international manufacturers,developers and financial institutions in the areas of technology,manufacturing,product and process

330、 design,among others.Paul Stith is associate vice president of global transportation initiatives for Black&Veatch Strategic Growth.He focusses on building the ecosystems needed to plan,finance,deploy and operate sustainable transportation and distributed clean energy infrastructure at scale.Stiths p

331、rojects support investors,utilities,fleets,energy and transportation providers in electrifying,decarbonizing and automating their ground,aviation and marine fleets.With more than a decade of zero-emission vehicle infrastructure experience he is a member of numerous industry advisory and working grou

332、ps and serves on the Forth and NACFE boards of directors.Sean Tilley is the emerging renewable energy solutions leader within Black&Veatchs Energy&Process Industries power business.He is responsible for the optimization and growth of the companys portfolio of renewable energy project solutions,with

333、the expertise to meet current and future client needs.Tilley leverages more than 20 years of global experience on more than 100 renewable energy projects ranging from 1 MW to 3 GW in capacity.His experience across the lifecycle of projects includes portfolio planning,project development,technology selection,detailed design engineering,major equipment procurement and construction contracting,projec