EPRI Welcome and Introduction

Transcription

1 EPRI Welcome and Introduction Steve Ambrose Vice President and CIO DTE Energy Who is DTE Energy? DTE Energy is a diversified energy company involved in the development and management of energy-related businesses nationwide Headquartered in Michigan, with operations in 24 states A major employer in many areas, with approximately 10,000 employees Member of the Fortune 500 largest companies, with approx. $9 billion in revenue and $25 billion in assets One of only 20 firms whose stock has traded on the NYSE for over 100 years States with DTE Energy operations 1

2 DTE Energy is an Integrated Energy Company Strong, Stable and Growing Utilities Complementary Non-Utility Businesses ~80% of DTE Energy s 2011 Earnings ~20% of DTE Energy s 2011 Earnings Detroit Edison Electric generation and distribution 2.1 million customers MichCon Natural gas distribution 1.2 million customers Gas Storage and Pipelines Power and Industrial Projects Energy Trading Unconventional Gas Production 2 Profile of Detroit Edison Twelfth largest US electric utility with 2.1 million customers ~$5 billion in revenue, $17 billion in assets Regulated by the Michigan Public Service Commission (MPSC) Contributed nearly 64% of DTE s 2011 earnings Customer Count Load Residential 1,920k 34% Commercial 197k 44% Industrial 1k 22% Service Territory / Generating Facilities Gas/Oil 17.3% Nuclear 10.4% Generation Assets 7 Fossil fuel generating plants 1 Nuclear power plant 1 Hydroelectric pumped storage facility Pumped Storage 8.9% Coal 63.4% Distribution Assets 7,600 square-mile service area 671 distribution substations 12 Service Centers 46,000 miles of power lines Fossil Generation Nuclear Generation Wind Generation Hydro Pumped Storage Generation Capacity by Fuel Type Total Capacity = 10,425MW 3

3 Profile of MichCon Tenth largest US natural gas utility with 1.2 million customers ~$1.5 billion in revenue, $4 billion in assets Regulated by the Michigan Public Service Commission (MPSC) Contributed nearly 16% of DTE s 2011 earnings Service Territory Distribution and Transmission Assets 14,700 square-mile service territory 19,000 miles of distribution mains 2,000 miles of transmission pipeline 1.2 million service pipelines Storage and Transportation ~24% Storage Assets Owns and operates 278 storage wells, ~138 billion cubic feet (Bcf) 34% of the underground capacity in Michigan MichCon Revenue Gas Sales ~76% 4 Regulated Utilities Growth Opportunities Regulated Utilities' Investment Opportunities Support Long-Term Growth Renewable Portfolio Standard (RPS) Investments in renewable generation sources such as Wind, Solar and Biomass to comply with legislative mandates Energy Optimization (EO) Investments in residential, commercial & industrial programs to engage customers to reduce their overall energy consumption Environmental Compliance Investments in environmental equipment to reduce NOx, SO 2 and Mercury emissions at our fossil power plants Smart Grid Investments Advanced metering (AMI), Smart Circuit and Smart Home investments to modernize the out-dated electric and gas grid 5

4 Key Technology Issues Facing DTE Energy and Our Industry 6 Advanced Technology Issues and Long Term Selection The current rate of advanced technology adoption is accelerating The convergence of Information Technology and Operational Technology is upon us Smart Grid Smart Home IT/OT Convergence Smart Circuit AMI Infrastructure 7

5 Data Volume and Big Data Gartner s Hype Cycle for Big Data, The Cybersecurity Landscape has Dramatically Changed over the Last 30 Years 9

6 Changing Role of the CIO The current expectations of the CIO remain: a deep understanding of technology In addition, the CIO must also understand the industry and business dynamics that tie it all together 10 Importance of Collaboration The best way to predict the future is to create it. - Abraham Lincoln Groups like EPRI allow effective collaboration on key technology issues The utility industry has a long history of collaboration and must continue this trend to be successful in the future. 11