This is a synthesis (without any links) of the EWPC breakthrough, which brings absolute clarity and direction to enable a cultural shift to the power industry of the third industrial revolution. Demand Integration by 2GRs result in large coordination savings for society as a whole, both in customers' multiyear investments and operation costs. Letting every customer for himself is a weakness in Gridwise that is filled by EWPC.
EWPC Leadership (w/o links)
By José Antonio Vanderhorst-Silverio, Ph.D.
Systemic Consultant: Electricity
First posted in the GMH Blog, on March 26st, 2008.
Copyright © 2008 José Antonio Vanderhorst-Silverio. All rights reserved. No part of this article may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying and recording, without written permission from José Antonio Vanderhorst-Silverio. This article is an unedited, an uncorrected, draft material of The EWPC Textbook. Please write to firstname.lastname@example.org to contact the author for any kind of engagement.
Electricity is a very complex subject, until we uncover its essence. The essence enables the personal side of leadership, which in turns enables a culture for the third industrial revolution to support the strategic side of leadership. Peter Koestenbaum wrote that “Paradoxical as it may seem, the personal [side of leadership] precedes the strategic; good strategy is created by a brilliant mind and implemented by a strong character, not the other way around.”
The articles in the Electricity Without Price Controls (EWPC) Blog can be though of as a holographic image from a different perspective of the whole EWPC market architecture and design paradigm shift. As Koestenbaum suggests in his Leadership Diamond Toolbox, “you do not sell a product or service; you help customers buy leadership in their affairs.”
EWPC emerged for the world of the third industrial revolution, where demand is no longer an externality and there is a need for a power system that should operate at ultraquality, with the help of demand response, in a wholesale, retail, customer value chain.
The essence of EWPC is "the generic market model paradigm: Retail Competition, Active Demand, and Ultraquality Transportation," which includes wholesale competition, as 2GRs link both markets.
Such essence is the basis for a breakthrough, which is the tipping point that shifts paradigms permanently. The breakthrough is … the epitome of the 'AHHA!' moment bringing absolute clarity and direction… that now … comes to the power industry for both the open (retail and wholesale) market (with competitive incentives for the development of business model innovations) and the closed (transportation) market (the new utility, with a responsibility to transport).
The Old utilities paradigm (with a responsibility to serve) comes from demand as an externality (inactive demand and no competition) and has already served its purpose with its obsolete business model of winning rate case to the regulator. Each incremental extension of the Old paradigm results in unnecessary accumulated costs paid by customers and "earned" by utilities.
EWPC comes from - a different place altogether - Demand Integration (which comes from Active Demand and Retail Competition) to power system planning, operation and control by 2GRs, resulting in large coordination savings for society as a whole, both in customers' multiyear investments and operation costs. Letting every customer for himself is a weakness in Gridwise that is filled by EWPC.
EWPC is not just about the need for new data or new systems (the strategic side of leadership), but first and foremost for new health and fresh determination (the personal side of leadership).
Reference: Peter Koestenbaum, “Leadership – The Inner Side of Greatness”