NSCC EUT 102

Intro to Energy Utility Industry

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Section1INDUSTRY OVERVIEW

• The Energy Sector• History• Frontiers

Sec 1 – Energy Sector

$ 224,247,558,000 That’s 224 Billion Dollars………A Year

Total Annual Industry Revenues from Sales

Sec 1 – Energy Sector

Types of Electric Utility

• Investor Owned Utilities (IOU’s)

• Public (Municipals, Regionals etc.)

• Cooperatives

• Federal

73.7 %

15.6 %

9.2%

1.5%

% of National Sales

Sec 1 – Energy Sector

Types of Electric Utility

• Investor Owned Utilities (IOU’s)

• Public (Municipals, Regionals etc.)

• Cooperatives

• Federal

240

2009

894

9

Number of Utilities

Section 1 - History

BCEGreeks

Thales of Miletus – 600 BCE

Amber takes on charges

Theophrastus – 300BCEOther materials

charge also

1600’s

William GilbertCoins the word ELECTRIC

from “electron” Greek for amber

Otto von Guerickefirst machine to produce electric charge - crank driven sulfur ball

Section 1 - History

1700’sBenjamin Franklin- mid 1700’s

“Leyden Jar”/Lightning• Atmospheric electricity is identical with electrostatic

charge produces in laboratory Leyden jar

• Theory that electricity is a “fluid” contained in all matterand it’s effects are due to an excess or shortage of said “fluid”

Section 1 - History1700’s continued

Joseph Priestly- 1766• experimentally proved force of charge varied inversely with the

square of distance between chargesCharles Augustin de Coulomb• Invented a torsion balance to accurately measure force of electric

chargesFaraday• Theory of electric lines of forceLuigi Galvani• Electric current experiment – frog leg muscle contractionsAlessandro Volta – 1800• First artificial electrochemical source of electric potential difference

an early form of battery

Section 1 - History1800’s

Hans Christian Oersted - 1819• Demonstrated that a magnetic field exists around an electric

current flowFaraday - 1831• Proved a current flowing through a coil can induce

electromagnetically a current in a nearby coilThe principle would lead to the development of the transformer

James Joule and Hermann von Helmholtz – 1840• Electric circuits obey the law of conservation of energy• Electricity is a form of energyJames Clerk Maxwell• Investigated properties of electromagnetic waves and light

and developed theory that the two were identical

Section 1 - History1800 – early 1900’s

Heinrich Rudolph Hertz – 1886• Produced and detected electric waves in the

atmosphereGuglielmo Marconi - 1886• Harness electromagnetic waves to make practical radioHendrick Antoon Lorentz – 1892• Electron theoryRobert Andrews Millikan – 1909• Accurately measured the charge of one electron

Section 1 - HistoryMajor Players

Thomas Alva Edison 1847-1931 (inventor)

• Developed practical light bulb - 1879• Developed electric generating system (DC) - 1882

First large central electric power station in NYCunderground distribution – Pearl St. Station

• Invented the Edison storage battery (alkaline/nickel-iron)high electrical capacity to weight ratio

• Patented over 1000 inventions during lifetime

Section 1 - HistoryMajor Players continued

Nikola Tesla 1856-1943 (physicist- electrical engineer-inventor)

• Rotating magnetic field principle/AC induction motors• AC transmission system• Polyphase AC( alternating current) System

patents bought by George Westinghouse in 1885included dynamos (generators), transformers and motors

• 1893 Westinghouse uses Tesla’s system to light World’s Columbian Exposition in Chicago

• 1896 Tesla’s name and patent numbers on Niagara Falls machinery and power plant to supply Buffalo NY

• 1891 Invented the Tesla Coil (used still in modern electronics)• Worked with primitive x-rays, electrical resonance, radio,

fluorescent lighting and much more• Over 700 patents in his name

Section 1 - HistoryMajor Players continued

Charles Proteus Steinmetz 1865-1923 (electric engineer, mathematician and inventor)

• Invented commercially successful AC electric motor• Developed AC theory ( a new technical language for engineers)

calculate and manage values for AC using “complex” numbers• Advanced the study of magnetism (hysteresis)

applied in the efficient design of electro-mechanical machinery• Study and theory of electrical transients (ex. Lightning, switching

surges )• Developed a generator that could discharge 10,000 Amps and more

than 100,000 voltsequivalent to a million horsepower(hp) for 1/100,000 of a second

• 1922 –Steinmetz Electric Motor Car Co.• Over 200 patents

Section 1 - Frontiers• For years thought of as one of the most powerful monopolistic

enterprises, the electric utility industry since the early 1990’s has been undergoing significant , albeit gradual, structural change

• Changes underway will lead this iconic industry down a path towards an end that cannot yet be seen

• At issue in the restructuring of the industry is an increase in the competition in the generation and retail sales components

• Structurally, this reorganization will change the way electricity is priced, traded and marketed in the USA

• New technologies in generation, transmission and distribution will combine with infrastructure changes needed to comply with the new business model

• The challenge will be maintaining reliability and costs to consumers during this reformation while maintaining the goals of reducing environmental degradation and reducing foreign fuel dependence