Consolidated Edison, Inc. · NYSE:ED
Consolidated Edison — ESG Presentation (December 2019)
21 slides from Consolidated Edison's sustainability presentation, December 2019
Slide 1: Climate Change Vulnerability Study
Climate Change Vulnerability Study Final Report December 2019 In partnership with: Contributions from: O'Neill Management Consulting, LLC, The Risk Research Group, Inc., and Jupiter Intelligence Inc. CONFIDENTIAL
Slide 2: Climate Change Vulnerability Study Goals
SUMMARY Climate Change Vulnerability Study Goals • Research and develop a shared understanding of new climate science and projected extreme weather for the service territory. • Assess risks of potential impacts of climate change on operations, planning and physical assets. • Review a portfolio of op
Slide 3: Climate Change Vulnerability Study Approach
SUMMARY Climate Change Vulnerability Study Approach • Characterized historical and projected climate changes across Con Edison’s service territory, – including increasing temperatures, heavier precipitation events, sea level rise and extreme weather. – Used best-available science, including downscal
Slide 4: Conclusions
SUMMARY Conclusions • Con Edison's three energy systems are all vulnerable to flooding while the electric system is additionally vulnerable to heat waves and overhead storms. • Even under the most severe climate scenario, a combination of currently available and proposed adaptations options can effe
Slide 5: Conclusions (continued)
SUMMARY Conclusions (continued) • This study used the best available climate science to evaluate risk and develop recommendations. • Because climate science continues to advance, it is imperative that Con Edison keep abreast of new developments and evaluate the potential relevance of those developme
Slide 6: Climate Change Adaptation Strategies
SUMMARY Climate Change Adaptation Strategies While Con Edison already uses a range of measures to build resilience to weather events, the vulnerabilities identified in the CCVS informed the development of a suite of additional recommended adaptation strategies. • The Study established an overarching
Slide 7: Withstand: Monitor
KEY RECOMMENDATIONS Withstand: Monitor Monitoring lays the foundation for determining when additional resilience investments or changes in operational procedures are needed. Some of the monitoring strategies that Con Edison might consider include: • Tracking updates in climate science • Monitoring l
Slide 8: Withstand: Plan
KEY RECOMMENDATIONS Withstand: Plan Incorporating climate change projections into Con Edison’s planning processes will help identify needed investments. Some of the planning processes and tools that may benefit from consideration of climate change include: • Load and volume forecasting for all commo
Slide 9: Withstand: Design
KEY RECOMMENDATIONS Withstand: Design The key to designing resilient infrastructure is to update design standards, specifications and ratings to account for likely changes in climate over the lifecycle of the infrastructure. • While there is uncertainty as to the exact changes in climate an asset wi
Slide 10: Withstand: Upgrade
KEY RECOMMENDATIONS Withstand: Upgrade Upgrading existing assets is a critical tool to address vulnerabilities. • Continue upgrading the capability of selected assets to withstand climate change (e.g.; selective undergrounding, stronger overhead poles). • Changing design standards will influence the
Slide 11: Absorb and Recover
KEY RECOMMENDATIONS Absorb and Recover Absorb • Incorporating low-probability events into long-term plans. • Investing in energy storage, on-site generation and energy efficiency programs. • Using smart meters to implement targeted load shedding to limit the impact to fewer customers during extreme
Slide 12: Advance
KEY RECOMMENDATIONS Advance Advance • Conduct pre-planning for post-event reconstruction to ensure restoration to a better adapted, more resilient state. • Even with proactive resilience investments, extreme events can reveal system or asset vulnerabilities. • Where assets need to be replaced during
Slide 13: Moving Toward Implementation
NEXT STEPS Moving Toward Implementation In 2020, Con Edison will develop an implementation plan that details priority actions needed in the next 5, 10 and 20 years. • Con Edison is now equipped with a better understanding of future climate change risks. • This information strengthens Con Edison’s ab
Slide 14: Implementation Plan
NEXT STEPS Implementation Plan By December 31, 2020, Con Edison will develop and file with the PSC a detailed plan for implementation of the recommendations from the CCVS. Con Edison will engage a stakeholder group for input on scope and to update on progress on a quarterly basis. Key areas to be ad
Slide 15: Appendix
Appendix CONFIDENTIAL
Slide 16: Energy System Vulnerability Screen
Energy System Vulnerability Screen Ambient Temperature Sea Level Extreme Precipitation Temperature Variable Rise Events Electric Gas Steam Low Sensitivity Medium Sensitivity High Sensitivity 15
Slide 17: Key Takeaways for Chapter 1: Temperature
TEMPERATURE Key Takeaways for Chapter 1 Current • Exceeding key reference points (86°F ambient summer temperature) System can reduce equipment capacity (rating) and lifespan • Consider climate change in long-term load relief planning • Install equipment capable of collecting ambient data; make groun
Slide 18: Key Takeaways for Chapter 2: Temperature Variable
TEMPERATURE VARIABLE (TV) Key Takeaways for Chapter 2 • Increased frequency and intensity of heat waves will impact network Current reliability System • Annual energy demand profile will shift towards cooling degree days and away from heating degree days • Peak load forecasting • Integrate climate p
Slide 19: Key Takeaways for Chapter 3: Precipitation
PRECIPITATION Key Takeaways for Chapter 3 • Precipitation and flooding can pose a risk of steam main rupture, interruption of gas service and damage to underground equipment Current • Substation spill containment is sensitive to precipitation levels System • Radial ice can lead to transmission and d
Slide 20: Key Takeaways for Chapter 4: Sea Level Rise
SEA LEVEL RISE (SLR) Key Takeaways for Chapter 4 • Post-Sandy investments resulted in infrastructure that will withstand one Current foot of sea level rise System • 65-70% probability that one foot of sea level rise will be exceeded in the 2050s • Continue to build to higher of FEMA + 3’ or Category
Slide 21: Key Takeaways for Chapter 5: Extreme Weather Events
EXTREME WEATHER EVENTS Key Takeaways for Chapter 5 • Hurricanes: flooding may cause asset inundation and failure; high winds and heavy precipitation may damage or destroy overhead assets Current • Nor’easters: snow and ice loading may disrupt or stress overhead assets; street salt may System corrode
Consolidated Edison — ESG Presentation (December 2019) on 6ix