Constellation CEO On Year-Old Exelon Merger: 'We're Off To A Good Start'
When
One year later, Constellation remains the go-to energy supplier for commercial and industrial customers. President and CEO Kenneth Cornew answered some questions about how the merger has been proceeding, what the company's goals are now, and how business customers will buy power in the future.
The Exelon-Constellation merger is a little over a year old. How’s it going?
Kenneth Cornew: We’re off to a very good start in an admittedly challenging market. Exelon generates a lot of power; Constellation sells a lot of power. A key objective of the merger was combining these businesses, matching generation with a sophisticated sales platform. In one year we successfully integrated many systems, which was challenging given all the physical and financial processes. Most importantly, we brought the teams together, and that’s been extremely rewarding.
What’s Constellation’s long-term goal?
KC: To be America’s energy choice. To get there we’ll need to excel operationally and work hard to expand markets. We’re in a good position as the recognized leader in generation, wholesale and retail sales, risk and fuel management, and delivery. We can define what it means to be a 21st-century energy company.
Constellation
KC: It’s based on a customer’s needs. Public sector customers — say, a college or hospital — often pursue what we call budget certainty. They want or need to lock in low prices over a fixed term. Some commercial customers stay on the sidelines. Our advice is to develop an energy strategy, and we can help with that. Markets can be volatile. There are risks to winging it.
Describe the competitive landscape.
KC: The major competitive power markets include the Mid-Atlantic, Northeast, New England, Illinois, Ohio, Michigan, and Texas. There is some activity in California; we’re serving customers in a competitive trial in Arizona. There’s been considerable growth since the wave of market restructuring in the late '90s, but we don’t have nationwide competition. Imagine if your smartphone worked in 15 to 20 states and was a paperweight in the rest. That’s the frustrating reality for many customers today. In some states, they have a choice. In others, they take what they get from the utility.
What does the future hold for business customers?
KC: We see a future that is more data-driven. By that, I mean customers know the cost and volume of power they purchase in near-real time. Among the largest customers, this data is already displayed on sophisticated dashboards. We’ve developed tools that allow customers to develop an energy strategy, track their energy budget, and curtail electricity demand when prices are peaking. If it’s advantageous, they can bid that power back into the market. That helps customers save, addresses sustainability objectives, and improves grid reliability.
Visit the Constellation web site to learn more.
Find out more about Sponsor Posts.
- Colon cancer rates are rising in young people. If you have two symptoms you should get a colonoscopy, a GI oncologist says.
- I spent $2,000 for 7 nights in a 179-square-foot room on one of the world's largest cruise ships. Take a look inside my cabin.
- An Ambani disruption in OTT: At just ₹1 per day, you can now enjoy ad-free content on JioCinema
- Sustainable Waste Disposal
- RBI announces auction sale of Govt. securities of ₹32,000 crore
- Catan adds climate change to the latest edition of the world-famous board game
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market