Meeting in Rosemont, power chiefs seek direction from Obama

Top executives at the nation's largest electric companies Tuesday took a few jabs at President Obama's lack of a national energy policy.

Then again, they admitted that changes necessary to turn around and update their industry to meet the needs of the future won't happen quickly either. Many of them are still exploring alternative, reliable energy from wind and solar power and ways to capture or eliminate emissions from coal.

"The past administration was the most friendly to our industry since Eisenhower," said Christopher Crane, president and chief operating officer of Exelon Corp.

He oversees nuclear power business Exelon Generation, headquartered in Warrenville, and electric utility ComEd, headquartered in Chicago with operations in Oak Brook. "We're really not sure about Obama. We're getting mixed signals."

Crane was among hundreds of industry leaders who gathered Tuesday in Rosemont to discuss the impact of the recession, a national energy policy, and ways to improve an aging power network that needs critical updates to meet the needs of a growing population.

The industry has been in flux, especially since the recession hit. And without more direction from the top, it could be a long haul until it stabilizes, said Jason Makansi, president of Pearl Street Inc., an industry consultant.

"We're unclear where he's going," Makansi said of Obama.

Makansi also said the U.S. economy requires affordable electricity, but prices likely will continue to rise as companies seek to establish a "smart" grid, installing new technology to upgrade the current older network.

Crane believes the federal government also needs to establish a multi-platform policy, which would include electricity, coal, natural gas, and other energy sources.

"We lack an integrated energy policy to allow the industry the advantage to speak to what's possible and a plan that can be executed," Crane said.

In the meantime, Exelon has ordered its companies to tighten their collective belts. Exelon Generation will remain headquartered in Warrenville without any significant staffing changes. But ComEd continues to trim its work force, including those in Oak Brook. Crane would not specify future cuts.

In February, the utility said it had to cut roughly $200 million due to a decrease in new home construction, fewer than anticipated new customers and more defaults.

"Because of the economy, our retirements have slowed, so our hiring has slowed throughout the company," Crane said.

Savings from staffing and other efficiencies will help fund development, including some wind and solar energy projects, such as a new partnership with the city of Chicago.

Exelon and SunPower Corp. are partnering to build the nation's largest urban solar power plant at a former industrial site on Chicago's South Side. The 10-megawatt solar photovoltaic facility could be completed later this year. The $60 million project will have 32,800 solar panels that will convert the sun's rays into electricity to meet the annual needs of 1,200 to 1,500 homes.

Exelon is also looking at wind projects, but Crane said wind could be a "highly capital-intensive business."