Several years ago, while working for the federal government, I had the opportunity to spend time aboard the aircraft carrier USS Theodore Roosevelt. The captain explained that aircraft carriers are focused on being a “forward projection of force.” I enjoyed my time with the crew of 4,000 and the leadership command team as they went about the complex duties of operating the finest example of U.S. power in the middle of the ocean.
Part of my experience included a tailhook landing in a COD (carrier onboard delivery) plane that appears way too big to land on anything but a runway, as well as a catapult takeoff. When preparing for takeoff, there is a tremendous amount of noise, confusion, and turmoil. Once hooked onto the catapult, the noise cuts through your body and your vision blurs. The anticipation of the launch is an adrenaline rush. Then a strange thing happens; the noise disappears as the plane clears the runway, dips off the deck, and heads into the air. The flight at that point is quiet and smooth, heading toward its destination. There may be occasional turbulence, but flight plans are executed with great precision.
A year ago, there was a lot of noise as your cooperative awaited takeoff on the catapult to independence. Like the catapult takeoff, silence quickly replaced the noise. The co-op’s flight plan — also known as Our Cooperative Roadmap — is being executed with great precision. United Power is the forward projection of force, taking action to meet the needs today and in the future.
There are headwinds and tailwinds on the energy horizon. The West may find itself short of capacity, the critical back-up generation resource to ensure grid reliability. It, and specifically United Power, will also find it has plenty of energy thanks to more and more people adding their own generating resources, coupled with new solar and wind facilities. The headwinds and tailwinds mean there will be times of excess and inexpensive power and times when things are tight.
Electricity has never been more important to our homes, businesses, and communities. United Power, like many other utilities, is finding the need to balance each new opportunity with the realities of power supply. We have created the LIT process to work with potential large commercial and industrial members, which focuses on three key items: location, investment, and timing. The good news for United Power is our history of ensuring growth pays its own way. The better news is that companies want to be in your cooperative’s territory.
Part of United Power’s flight plan involves the strategy to hyper-localize generation and storage resources. This is one way we will maintain reliability, as well as add to the local tax base. We have added a new gas-fired power plant and 115 MW of battery storage located at substations across our system. The battery array is the largest in Colorado and most likely the West, allowing us to buy power when prices are low and use it when prices are high. As a matter of fact, this month marks the first time United Power actively managed the deployment of power from two of our battery systems to meet a contingency reserve need on the system. The batteries improve and support our grid and leverage the storage capacity for financial benefit.
Our flight plan also includes becoming a distribution system operator (DSO), which allows the management of systems in concert with each other and not just individual pieces. As on the aircraft carrier, everything will be coordinated to manage costs and keep the lights on. This means members can offer their self-generation or storage to United Power as an aggregator that gets sold back to the market. It also means the possibility of smoothing out demand through the system to lower overall costs and the better use of resources in a capacity constrained world.
For three days on the USS Theodore Roosevelt, I witnessed the tight coordination of people, safely navigating in open ocean while defending our nation. At United Power, I see the tight coordination of our tremendous staff, supported by the oversight of your Board who lead the cooperative. We have nailed the landing, cleared the takeoff, and are flying ahead. Full steam ahead.