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FirstEnergy's (FE) Unit Penelec to Install TripSaver Devices
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FirstEnergy Corporation (FE - Free Report) announced that its subsidiary Penelec plans to install around 350 automated TripSaver reclosing devices along residential power lines in its service region this year. This initiative is taken in order to reduce the frequency, duration and scope of service interruptions.
Penelec is in the fourth year of its five-year program to install 2,000 TripSaver devices throughout its service area. The project is a part of the company’s Long Term Infrastructure Improvement Plan — a $200-million plan to accelerate capital spending through 2024 in order to help maintain ongoing electric service reliability for Penelec’s 585,000 consumers.
This year, the company arm is scheduled to install more TripSavers in and around the communities it serves in the region.
Benefits of TripSavers
TripSavers are installed by utility employees on neighborhood distribution lines that branch off the primary power line supplying a certain region. When there is a temporary issue with the line, such as when a tree limb contacts the line, the TripSaver can detect when the branch is gone and instantly re-energize the line to stop a prolonged outage in the neighborhood.
The TripSaver will restrict the outage to that location and reduce the overall number of impacted customers if it discovers a more serious problem, such as a tree that has fallen on a power line. The sophisticated technology instantly locates the electrical fault's position and aids utility staff in comprehending the root of the outage to speed up restoration.
Customer-Focused Initiatives
TripSavers can allow a company instantly restore service to its customers instead of dispatching a vehicle and team to check the problem, which is especially helpful in Penelec's broad service territory's remote regions. Both the employees and customers will benefit from the safer and more effective service restoration provided by these devices.
Reliability engineers look at outage data to find the best locations for TripSavers, particularly distribution lines with large customer counts in tree-filled areas. The new devices replace some older equipment used to isolate damage and limit the number of impacted customers.
The company continues to upgrade its infrastructure to efficiently provide services to its customers. In June 2023, Penelec started a large project to help prevent or minimize service interruptions in downtown Johnstown, Cambria County, by strengthening its underground electrical network. For around 900 downtown customers, the work entails rebuilding crucial sections of one of the four main underground cables. It also involves the installation of fresh underground transformers and safety equipment that can quickly identify and isolate damage when issues arise and redirect electricity through nearby lines to stop or reduce the length of power outages.
Investment in Infrastructure
Along with FirstEnergy, other electric power companies like Xcel Energy, Inc. (XEL - Free Report) , Exelon Corporation (EXC - Free Report) and Duke Energy (DUK - Free Report) are adopting measures to strengthen their existing infrastructure and provide reliable services to customers.
Xcel Energy continues to invest substantially in its utility assets to provide reliable services. It aims to spend $29.5 billion during 2023-2027. These investments are aimed at strengthening and expanding the company’s transmission, distribution, electric generation and renewable projects.
XEL’s long-term (three to five years) earnings growth rate is 6.34%. The Zacks Consensus Estimate for 2023 earnings per share (EPS) implies a year-over-year improvement of 5.4%.
Exelon invests substantially in infrastructure projects and plans to invest nearly $31.3 billion during 2023-2026 in regulated utility operations for grid modernization and improvement in resilience of its infrastructure for customers’ benefit.
EXC’s long-term earnings growth rate is 6.3%. The Zacks Consensus Estimate for 2023 EPS implies a year-over-year improvement of 3.5%.
Duke Energy remains focused on expanding its scale of operations and implementing modern technologies at its facilities. It invests heavily in infrastructure and expansion projects. Almost 85% of the company’s planned investment funds its generation fleet transition and grid modernization. This includes approximately $75 billion to modernize and strengthen its transmission and distribution infrastructure.
DUK’s long-term earnings growth rate is 6.09%. The Zacks Consensus Estimate for 2023 EPS implies year-over-year growth of 6.3%.
Price Performance
In the past three months, shares of FirstEnergy have lost 5% compared with the industry’s 5.7% decline.
Image: Bigstock
FirstEnergy's (FE) Unit Penelec to Install TripSaver Devices
FirstEnergy Corporation (FE - Free Report) announced that its subsidiary Penelec plans to install around 350 automated TripSaver reclosing devices along residential power lines in its service region this year. This initiative is taken in order to reduce the frequency, duration and scope of service interruptions.
Penelec is in the fourth year of its five-year program to install 2,000 TripSaver devices throughout its service area. The project is a part of the company’s Long Term Infrastructure Improvement Plan — a $200-million plan to accelerate capital spending through 2024 in order to help maintain ongoing electric service reliability for Penelec’s 585,000 consumers.
This year, the company arm is scheduled to install more TripSavers in and around the communities it serves in the region.
Benefits of TripSavers
TripSavers are installed by utility employees on neighborhood distribution lines that branch off the primary power line supplying a certain region. When there is a temporary issue with the line, such as when a tree limb contacts the line, the TripSaver can detect when the branch is gone and instantly re-energize the line to stop a prolonged outage in the neighborhood.
The TripSaver will restrict the outage to that location and reduce the overall number of impacted customers if it discovers a more serious problem, such as a tree that has fallen on a power line. The sophisticated technology instantly locates the electrical fault's position and aids utility staff in comprehending the root of the outage to speed up restoration.
Customer-Focused Initiatives
TripSavers can allow a company instantly restore service to its customers instead of dispatching a vehicle and team to check the problem, which is especially helpful in Penelec's broad service territory's remote regions. Both the employees and customers will benefit from the safer and more effective service restoration provided by these devices.
Reliability engineers look at outage data to find the best locations for TripSavers, particularly distribution lines with large customer counts in tree-filled areas. The new devices replace some older equipment used to isolate damage and limit the number of impacted customers.
The company continues to upgrade its infrastructure to efficiently provide services to its customers. In June 2023, Penelec started a large project to help prevent or minimize service interruptions in downtown Johnstown, Cambria County, by strengthening its underground electrical network. For around 900 downtown customers, the work entails rebuilding crucial sections of one of the four main underground cables. It also involves the installation of fresh underground transformers and safety equipment that can quickly identify and isolate damage when issues arise and redirect electricity through nearby lines to stop or reduce the length of power outages.
Investment in Infrastructure
Along with FirstEnergy, other electric power companies like Xcel Energy, Inc. (XEL - Free Report) , Exelon Corporation (EXC - Free Report) and Duke Energy (DUK - Free Report) are adopting measures to strengthen their existing infrastructure and provide reliable services to customers.
Xcel Energy continues to invest substantially in its utility assets to provide reliable services. It aims to spend $29.5 billion during 2023-2027. These investments are aimed at strengthening and expanding the company’s transmission, distribution, electric generation and renewable projects.
XEL’s long-term (three to five years) earnings growth rate is 6.34%. The Zacks Consensus Estimate for 2023 earnings per share (EPS) implies a year-over-year improvement of 5.4%.
Exelon invests substantially in infrastructure projects and plans to invest nearly $31.3 billion during 2023-2026 in regulated utility operations for grid modernization and improvement in resilience of its infrastructure for customers’ benefit.
EXC’s long-term earnings growth rate is 6.3%. The Zacks Consensus Estimate for 2023 EPS implies a year-over-year improvement of 3.5%.
Duke Energy remains focused on expanding its scale of operations and implementing modern technologies at its facilities. It invests heavily in infrastructure and expansion projects. Almost 85% of the company’s planned investment funds its generation fleet transition and grid modernization. This includes approximately $75 billion to modernize and strengthen its transmission and distribution infrastructure.
DUK’s long-term earnings growth rate is 6.09%. The Zacks Consensus Estimate for 2023 EPS implies year-over-year growth of 6.3%.
Price Performance
In the past three months, shares of FirstEnergy have lost 5% compared with the industry’s 5.7% decline.
Image Source: Zacks Investment Research
Zacks Rank
FirstEnergy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.