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ComEd’s COO on Driving Clean Energy while Sustaining Record Grid Reliability

David Pérez reflects on the evolution of the company’s smart grid development, the integration of renewable energy, and its commitment to delivering equitable benefits from the clean energy transition.

Negocios Now

NN- With your extensive background in operations and engineering, how has ComEd’s approach to service reliability and smart grid development evolved under your leadership as COO?

DP: My appointment in January of this year to COO of ComEd presents a tremendous opportunity to apply many years of experience and leadership for our 11,000-square mile service area. I also previously led our transmission and substation group, which manages nearly 6,000 miles of transmission lines. I draw upon this broad exposure daily in the development of strategies to meet the evolving needs of customers, help combat the challenges of climate change and sustain the record-level reliability that our customers have come to expect from us.

Since ComEd began deploying smart grid and advanced metering infrastructure  technology in 2012, our overall reliability has improved by more than 70%, helping customers avoid nearly 21.7 million customer interruptions saving more than $3.8 billion in outage-related costs. Through a commitment to continuous improvement, our reliability performance ranks among the best of all large U.S. electric companies in 2023 and last year we were named the most reliable large electric utility in the nation by PA Consulting.

We’ve done this all while keeping the customer in the forefront. Last year, we achieved a 2ndplace ranking within the J.D. Power Midwest Large Segment for residential customer satisfaction. And our average residential and commercial and industrial monthly bill is among the lowest in the nation.

NN: What strategies are you implementing to lead the clean energy transition?

DP: What’s remarkable about our business is the ever-evolving roles that we play in the lives of more than 4 million customers and 9 million residents as we lead the clean energy transition in northern Illinois. The future of energy requires new levels of reliability, flexibility, interactivity, and control. The ComEd electric grid will need to work in new ways to enable millions of electric vehicles to hit the roads and plug in. Customers will need effortless ways to connect the many thousands of clean distributed energy resources like wind and solar power and battery storage. Most important is our commitment to ensuring that the benefits of the digital and decarbonized energy future flow equitably to  communities with the greatest needs. Because we are a company that operates in the public trust, we have a special focus on community well-being and enabling all customers to participate in and realize the benefits of the clean energy future.

NN: What strategies are you deploying to sustain improved reliability while also increasing renewable energy on the ComEd system?

DP: One thing I would like people to know about ComEd’s more than 6,600 employees is that we are all motivated by the unique opportunity to power the lives of our customers every day and enable them to realize the benefits of clean energy fully. Sustaining record-level reliability performance and increasing the integration of renewable energy into the ComEd system are dual imperatives. They are critical to achieving Illinois’ clean energy goals, creating healthy communities, and building equity. Investments required to achieve these goals include advanced communication systems that improve our system performance. We continue to get smarter in our Vegetation Management programs. And we continue to harden our system through resiliency programs targeted at withstanding intensifying inclement weather. At the same time, we are planning for a future that is more advanced when it comes to technology. We are investing in innovation, including exploring Artificial Intelligence and leveraging advanced data analytics to enhance our customer service.

For example, we leverage data analytics to reroute power around potential problem areas and efficiently direct utility workers to address system issues with actionable data. Such enhanced visibility into potential problems is contributing greatly to our ability to reduce outage frequency and duration. Additionally, as gradual temperature rises and severe  weather creates additional stress on our outdoor equipment, advanced communications will help extend the life of existing equipment and inform us more precisely when equipment is at risk.

NN: You’ve been involved in several civic and educational organizations, such as the Chicago Commons Governing Board and the University of Illinois at Chicago College of Engineering. How do these roles influence your leadership at ComEd, and what drives your community engagement efforts?

DP: Like many people, I find giving back to the community and organizations deeply gratifying and rewarding. I also seek opportunities that foster a link to my heritage as a first-generation immigrant from Mexico. While at the University of Illinois at Chicago, I received an internship at ComEd, which started a 30-year journey from intern to COO. This created a very personal connection to UIC, a genuinely great institution. And I maintain strong connections with many non-profit and social service agencies focused on creating equitable solutions and lifting up communities. My interactions with these organizations provide me with perspectives that make me who I am as a leader and a person.

NN: With 30 years of experience in the energy sector, what key lessons have you learned about managing large-scale operations, and how do you apply those insights to navigate today’s challenges in the industry?

DP: There are so many valuable lessons that someone learns over a 30-year career. I will provide two short ones. The first, which is true for any leader in operations, is to not lead behind the desk. No matter how busy the schedule gets, you must commit to being in the field or on the line with your team. There is no better way to learn if your strategies or initiatives are working than by hearing and seeing directly from line workers. The second important lesson I learned early on was to know what you will never sacrifice. For me, I will never sacrifice safety or the customer experience. If you’re rooted in a foundation, it makes your decision-making a lot easier and more consistent.