ATLANTA, Jan. 23, 2002 — A new report offers case studies and analysis of innovation and venture investments in the post-Enron energy industry.
The report, “Venture Investments of the Energy Industry: Who Will Drive Industry Innovation?” from the C Three Group LLC details the track records of the over $1 billion invested in energy utility- related ventures in recent years.
The report provides analysis surrounding many of the macro level industry issues as well as detailed case studies of the utilities most active in the venture arena, the venture capital firms most active in the energy sector, what investments have worked and why and what is promising on the horizon.
The energy industry has become almost totally dependent on venture funding to drive innovations that will enable deregulation and make it work efficiently, observes Jean Rollins, the report’s author.
“The Enron debacle along with the dot-com bubble burst, IPO market crash, lack of consistent deregulation business practice rules on a state by state basis, and subsequent slow-down of deregulation, are all bad omens for innovation individually, and much worse when viewed collectively,” Rollins said.
“Despite its sins, Enron fought a 10-year plus battle to open the electricity industry to competition. Thus far, it’s unclear who will assume Enron’s leadership role in keeping deregulation moving forward. The stifling of innovation is an unfortunate potential outcome of the slowing of deregulation.”
The report highlights some of the venture success stories in the industry and illustrates how critical venture capital availability is to continued industry innovation.
Utility case studies which are included are: AEP; Allete; Alliant; Avista; Cinergy; Conectiv; DQE; DTE; EdF; Enron; Exelon; FirstEnergy; Keyspan; NiSource; PEPCO; PNM; Progress Energy; Reliant; SCANA; TXU; UtiliCorp; and Vectren among others.
Venture capital firms with an energy focus profiled are to include: Advent International; Arete; B of A Capital; Ballentine Capital; Battery Ventures; Beacon Group/Beacon Group Energy Funds; Bechtel Capital Partners/Bechtel Investments/Bechtel Enterprises; Bessemer Ventures; Blackstone Capital Partners III; Blue Chip Venture; CapiTech; Chase Venture Capital; CNE Venture Tech; Cominco Ltd; Commons Capital; Coral Energy; ECT Merchant Investments Corp., an affiliate of Enron; Energy Ventures Group; EnerTech Capital Partners; FA Technology Ventures; GE Capital/Equity; GE Power Systems; GFI; Insight Capital Partners; JP Morgan Capital; Kinetic; kRoad Ventures; Mechanical Technologies; Nth Power Technologies; Perseus LLC; Siemens Venture Capital; Stellar Ventures; Stephens Group; United Technologies (parent of Carrier); Upstart Capital and Woodside Fund.
Jean Reaves Rollins is the principal author. She founded The C Three Groupâ„-, a management consultancy specializing in corporate, market, organizational strategy, business development support, corporate and market due diligence. The firm’s principals have worked extensively with energy utilities in these areas.
More information is available at http://www.cthree.net/reports/venture/index.html.