The Reality is we are All Connected
Our need for energy is not a local issue, but rather one that is connected with the economy and its demand on a worldwide basis.
The economics of energy have two trends that are making the drive to the smart grid imperative for utilities and their customers. The funny thing is that the impact of these trends on Wall Street and the utilities can be explained by Newton’s laws of motion: a body in motion stays in motion, while a body at rest stays at rest.
Let’s first deal with the cyclical trend we saw during the 2009 recession. Classically, the energy markets on Wall Street have peaks and valleys that lag the decline in demand and lead the growth in demand. In some ways, this balances out because when demand grows it requires additional energy to get over the inertia. However, at a high level we can say that energy and GDP are connected... Read More
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