White House Chronicle

News Analysis With a Sense of Humor

Wind of Change Challenging Utilities

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On Feb. 3, 1960 in Cape Town, British Prime Minister Harold Macmillan shook up what was still the British Empire in Africa by telling the Parliament of South Africa that “the wind of change is blowing through this continent.”

His remarks weren’t well received by those who that thought it was premature, and that Britain would rule much of Africa for generations. The British ruling class in Africa – the established order — was shaken.

But Macmillan’s speech was, in fact, a tacit recognition of the inevitable. It was the signaling of a brave new world in which Britain would grant independence to countries from Nigeria to Botswana and Kenya to Malawi. Britain would not attempt to hold the Empire together. His speech was seminal, in that Britain had signaled that things would never ever be the same.

To me, the appearance of investor and entrepreneur Elon Musk at the Edison Electric Institute’s annual convention in New Orleans was a “wind of change” moment for the august electric utility. It was a signal that the industry was coming to terms, or trying to come to terms, with new forces that are challenging it as a business proposition in a way that it hasn’t been challenged in a history of more than 100 years.

But whereas Britain could swallow its pride and start a withdrawal from its former possessions, the electric industry faces quite a different challenge: How can it serve its customers and honor its compact with them when people like Musk, who is the non-executive chairman of the aggressive company SolarCity, and a passionate advocate of solar electricity, and Google are moving into the electric space?

At EEI’s annual convention, Musk didn’t tell his audience what he thought would happen to the utilities as their best customers opted to leave the grid, or to rely on it only in emergencies, while insisting that they should be allowed to sell their own excess generation back to the grid. Musk also didn’t venture an opinion on the future of the grid — and his interlocutor, Ted Craver, chairman and CEO of Rosemead, Calif.-based Edison International, didn’t press him.

Instead Musk talked glowingly about the electrification of transportation, implying — but not saying outright — that the electric pie would grow with new technologies like his Tesla Motors’ electric car.

The CEOs of EEI’s board were ready for the press by the time they held a briefing a day after Musk’s opening appearance. They spoke of “meeting the challenges as we have always met the challenges” and of “evolving” with the new realities. Gone from recent EEI annual meetings was CEO talk of their business model being “broken.”

The great dark cloud hanging over the industry is that of social justice. As the move to renewables becomes a flood, enthusiastically endorsed by such disparate groups as the Tea Party and environmentalists, the Christian right and morally superior homeowners, and companies like SolarCity and First Solar, the poor may have difficulty keeping their heads above water.

The grid, the lifeline of U.S. social cohesion, remains at threat. Utilities are jumping into the solar business, but they have yet to reveal how selling or leasing rooftop units — as the Southern Company is about to do in Georgia — is going to save the grid, or how the poor and city dwellers are going to be saved from having to pay more and more for the grid while suburban fat cats enjoy their sense that they’re saving the planet.

My sense is that in 10 years, things will look worse than they do today; that an ill wind of change will have reduced some utilities to the pitiful state of Amtrak — a transportation necessity that has gobbled up public money but hasn’t restored the glory days of rail travel.

People like myself — I live in an apartment building — have reason to fear the coming solar electric world, for we will be left out in the cold. The sun will not be shining on those of us who still need the grid. It needs to be defended. — This column was previously published in Public Utilities Fortnightly.

The Case for American Knighthoods

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I may have a faded English accent, but I am a true blue American — and I have been for five decades. I do not think that everything that comes across Atlantic from Britain ought to be adopted here.

I do not believe that there is any virtue in driving on the other side of the road. And I do not believe that every British television program is unassailably wonderful.

While I think that the House of Commons is a fabulous entertainment, but it is not necessarily the best way to govern the United Kingdom, particularly in this time of nationalist stress. I have lived in London, but I do not yearn to take up residence there again.

However, there is one feature of British life that I think would benefit the United States substantially: the introduction of an honors system to reward exemplary people in our society.

What titles we have in the United States are clung to. Former senators still call themselves senator; governors, governor; and ambassadors, ambassador. A few Ph.Ds persist in calling themselves Dr., and most people would like to have a title other than Mr., or Ms. in front of their name. Even firmly republican countries in Europe, like France and Italy, have clung to their aristocratic titles.

Well, we do not want an aristocracy here, but it would be grand if we could single out contributions to our well-being with a nifty title. Various eminent Americans have been awarded honorary titles, but they can not use them. What is the point of a title, if you can not call a restaurant and say, “Sir John Doe, here. I would like a table by the window.”

Here are some exceptional people who I would make honorary knights or dames:

Arise, Sir Brian Lamb, creator of C-SPAN and a massive contributor to television and the understanding of American politics.

Arise, Sir David Bell, a dedicated general practitioner, who treats victims of Myalgic Encephalomyelitis, also known as Chronic Fatigue Syndrome, in the northwest corner of New York state. Bell has tended indigent patients since the disease broke out in the village of Lyndonville, NY, in 1985.

Arise, Sir Joe Madison (The Black Eagle), activist and broadcaster, who has championed the cause of justice for African-Americans and has fought modern slavery in Africa.

Arise, Dame Marin Alsop, music director of the Baltimore Symphony, who is a visionary conductor and a great contributor to the public good through her promotion of American music and classical music, her mentorship to young musicians, and her founding of OrchKids, a music education program for inner city Baltimore children.

Much of the British system of honorary titles should be left in Britain. Twice every year, on the Queen’s birthday and at New Year, a list of new honorees is published, and long-serving but unrecognized civil servants and military personnel hope to be on the list. The types of honors include: Knights and Dames, The Order of the Bath, Order of St. Michel and St. George, Order of the Companions Honor, and Orders of the British Empire. Just in case you are getting confused, these honors do not include the ancient titles of duke, marquess, earl or lord. But the monarch does mint a title now an again, like Her Highness Duchess of Cambridge, conferred on Prince William’s wife, Kate.

No, you have to keep the honorary title simple: knight or dame, awarded for exemplary achievement or service. On my honors list I would include distinguished people in the arts and sciences, educators, entrepreneurs and inventors, humanitarians, retired politicians (provided they promise not to run for office again). I think we should have Sir Bob Dole, Lady Olympia Snowe, and, if she were alive today, Lady Barbara Jordan.

On my watch list for recognition are Warren Buffett, Elon Musk, Wynton Marsalis, and Dean Kamen. If you would want to recognize someone in journalism, Sir Llewellyn King has a nice ring.