LES Strategic Plan 2025 - Report - Page 6
STRATEGIC PLAN DEVELOPMENT
The need for a strategic plan emerged
We are proud of our achievements over the last six decades. But
our industry is navigating a period of tremendous change, and
we must adapt. In this rapidly evolving operating environment,
the key pillars of utility service excellence remain. LES joins
other utilities in the industry that must meet the challenges of
this increasingly dynamic landscape to continue providing safe,
reliable, sustainable and affordable electricity.
Some drivers of change recall previous periods in the industry’s
history, including the period of rapid rural electrification, during
which Nebraska’s legacy began as the only all-public-power
state. At this time, utilities were charged with building and
maintaining the expanding grid, addressing growth and power
demand and restoring power after weather events. However,
in many ways, today’s challenges are completely novel. These
challenges include the emergence of digitization, automation
and AI, the need to decarbonize and accommodating and
empowering increasingly engaged customers.
By undertaking a robust strategic planning exercise, LES
continues to meet our obligation to our customer-owners by
responsibly stewarding our community’s utility. This next step
will allow LES to adapt to changing market conditions, prioritize
critical infrastructure upgrades and manage risks associated
with economic volatility and evolving consumer demands.
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Industry macro trend
Implications/key questions informing scenarios and
strategic planning
Decarbonization of Power
How should utilities balance decarbonization goals
with affordability and risk, while meeting customer
expectations?
Evolving Market Design
New market rules introduce new challenges. What are the
impacts on reliability and costs?
Decentralization
To what extent should utilities enable and incentivize
distributed generation? Are load forecasts aligned with
distributed energy resource growth? Is grid capacity
enough, or is deeper integration needed?
Large Load Growth
How should utilities accommodate demand from new large
users in a way that balances the goals of customers and
the broader community?
Resiliency/Reliability
How can utilities maintain their strong reliability as
challenges increase? Should resiliency be a focus in
addition to reliability?
Affordability & A Just
Transition
Can utilities keep rates low amid transition pressures? Do
other energy investments threaten affordability? What is
the utilities’ role in ensuring an equitable transition?
Digitization, Automation &
Arti昀椀cial Intelligence
Are utilities ready to implement digital tools and AI? Should
utilities be leaders, fast-followers or laggards in digital
adoption?
Replacement of Aging
Infrastructure
How should utilities prioritize spending between replacing
old infrastructure and supporting transition needs? Can
projects be bundled for greater impact?
