Volume 15, Issue 2 - May 2022
Supply Chain Recap
Greg Mordini
The supply chain supporting the electric utility industry has been put to the test over the past 24 months with multiple events impairing distributor’s ability to acquire and ship needed materials to their customers in a timely manner. No single issue caused the situation we now face and we have identified six contributing factors that continue to challenge the industry.
1. Manufacturing capacity is lacking. Manufacturers experienced difficulty ramping production back up after the initial wave of the pandemic as recurring quarantines were dictated. Many industries have also not added new capacity to keep up with un-forecasted growth in demand.
2. Staffing shortages. Manufacturers have reported that, even if they had additional capacity, they currently cannot staff for their existing facilities. This has not been a unique occurrence to the electric utility market as the labor force across many industries has transitioned to new fields or chosen not to return to the workforce.
3. Raw Materials are in short supply and experiencing increased demand. Materials such as the steel used in transformer cores has limited annual production and is experiencing new demand from the EV market, intensifying the situation.
4. Transportation. Industries are experiencing a shortage in both trucks and drivers. The global computer chip shortage has limited the number of new semi’s being delivered and used truck prices are at an all-time high. Record growth in demand for product deliveries has resulted in a shortage of qualified drivers.
5. Weather. Extreme weather events have disrupted industries while significantly increasing demand for electric utility products. The February 2021 freeze and power grid failure in Texas paralyzed the plastics market and triggered a global shortage of which the ramifications are still being felt as PVC pipe remains in short supply and at record high prices.
6. Geopolitical impacts. The current conflict between Russia and Ukraine will have future impacts on the utility industry given these countries are large suppliers of aluminum, nickel, crude steel, oil, palladium, platinum and neon gas used in chip making.
Western United has taken several measures to respond to these challenges.
1. Diversify manufactures. We have actively diversified the manufactures we partner with for material and now offer our customers multiple options.
2. Alternative products. Our staff is trained to recommend alternatives and we are actively working with our customer base to pre-approve alternate products and manufactures.
3. Dramatically Increase Inventory. Western United made a conscious effort to increase inventory beginning in early 2020 and has grown inventory by 55% as of February 2022 by reinvesting the bulk of our margins to attain these levels.
4. Curtailment of sales. Many products in short supply and with exceptionally long lead times such as transformers, conductor and meter pedestals/cabinets have required Western United to curtail sales to new customers and reserve material for our historical customer base.
Employee Spotlight: Audrey Surratt
Audrey joined WUE in 2012 working as a part time accounting clerk and within the first year she was brought on as a full-time accountant. She quickly moved up within WUE and has been the Sr. Accountant for the last 6 years. In addition to being the Sr. Accountant she is also in charge of planning all of the team building activities and holiday parties for WUE employees. Over the years Audrey has developed strong relationships with her co-workers and has become the main point of contact in the accounting department. Her dedication to WUE and her team shines through with her positive attitude and ability to keep things running smoothly. Audrey is a Colorado native and is married to her best friend Jesse. They have two daughters Layla (14) and Natalie (11) that keep them very busy with sports and school activities. In their free time they enjoy traveling, camping, and hanging out with family and friends.
PARTNERSHIP STORY
Power Line Sentry & Western United
The Western United and Power Line Sentry partnership story is an exceptional tale of a grass roots effort to protect power reliability across the west.
It was 1998 and the link between electrical power reliability and wildlife protection was just beginning to emerge as a legitimate issue. Most of the coop utilities in Colorado had recently joined together and hired EDM International to develop a state-wide Avian Protection Plan to be compliant with Federal Laws protecting wildlife. The results of these activities would become very enlightening because utilities were also beginning to see how protecting wildlife also resulted in more reliable power. So began the active push for avian-friendly electrical distribution.
Simultaneously to these internal infrastructure efforts, on a sunny summer afternoon at White River Electric Cooperative in Meeker, Colorado, Terry Most of Western United fortuitously witnessed Ron Spencer’s first ever display of his new invention: the Raptor GuardTM Perching Deterrent.
Ron, a journeyman lineman at White River Electric Coop, was showing his ‘X’ shaped perch deterrent to the coop management, and Terry – who was in the training yard for other business – got a first-hand preview. Right away, the products’ benefits were clear. The ‘X’ shape and cross arm saddles are an effective combination, installation is quick, its materials are durable, and its secure attachment was reliable.
Terry saw the advantages instantly – and though Ron had only initially proposed its installation for the White River district, Terry and the Western United Electric Supply Group knew there was a need for this solution across the west.
Utilities needed a perching deterrent that actually prevented birds from landing in energized areas or “danger zones” as they were called and Western United has just the team to help. Between Terry Most, Brian Baseflug, Dave Bower, Ron Schott, Wendy Puckett, Beverly Dinkel, and the rest of their stellar team, Western United became the exclusive distributor for the Power Line Sentry Raptor GuardTM.
The now patented Raptor GuardTM with its notorious ‘X’ design has been proven to be an effective perching deterrent both in the field and in-flight cage testing at the Rocky Mountain Raptor Program. By preventing a bird from perching in an energized “danger zone”, the potential for an electrocution event – and therefore a power outage – is also prevented.
As the Power Line Sentry product line expanded so did the relationship. Built on a passion for helping utilities provide consistent electricity to their network, Western United and Power Line Sentry are proud to be partners in improving power reliability.
Featured Product
Comptek Technologies’ Pole concealment solutions
Comptek Technologies is a market leader in the design and fabrication of concealed and non-concealed poles, and pole shrouds for the advancement of wireless technology in right of way. These serve as the impetus for the advancement of smart city technology and high-speed wireless connectivity in transportation corridors. Comptek does this through a collaborative mindset where client and Comptek work together to develop and implement structures that meet current utility standards. Comptek recently worked with Ryan Powell and Troy Richter at Poudre Valley REA on the development and implementation of small cell structures (pedestrian and roadway) to meet the demands of wireless technologies within their service territory.
Comptek is also a trusted partner of Xcel Energy for over three years. During such time Comptek has worked in partnership with Xcel Energy to fabricated, assemble, and delivered over1200 small cell structures for Verizon, ATT, and Crown Castle. The following Link CityPole® - Comptek Technologies is where you will find pole offerings and attachments. Below are the small cell structures Poudre Valley REA selected as their standard.
Western United Electric Supply and Comptek Technologies will be working together to supply WUE clients with the small cell poles; and will do so with the highest quality and service to its clients.
