Electric utilities are facing the need for new, innovative operating solutions as they compete in changing marketplaces. They must be able to assess future needs for fuel supply and how they can most efficiently transport and store natural gas.

Oklahoma Gas & Electric (OG&E) operates under the regulatory jurisdiction of the Oklahoma Corporation Commission (OCC). It is also part of the Southwest Power Pool (SPP), an entity mandated by the Federal Energy Regulatory Commission. This helps to ensure reliable supplies of power, adequate transmission infrastructure and competitive wholesale prices of electricity.

To address the various complexities of OG&E’s operations, Black & Veatch provided a natural gas transportation and storage analysis. This was designed to help regulators, consumers and the utility reach agreement on how the utility should position its gas transportation and storage. Serving 785,000 retail customers in Oklahoma and western Arkansas, OG&E generates approximately 12 million megawatt-hours of electricity from natural gas each year.

“Black & Veatch helped the OCC, OG&E and its stakeholders better understand how much natural gas is likely needed in the future and how much pipeline capacity is necessary to deliver that gas reliably,” said Deepa Poduval, Project Manager, Black & Veatch. 

Black & Veatch management consultants have a deep understanding of power market grids and the SPP electricity market. By integrating that expertise with an in-depth knowledge of the natural gas market, the company’s professionals have developed a comprehensive analytical approach to determining reliability and potential cost-savings through contract adjustments.