Molly Podolefsky
Managing Director, Clarum Advisors
First Published Q1 2026
2026 is here and we are hearing a lot of utilities talk about “the need for speed” to accelerate technological progress and increase the velocity of the energy transition. Market actors are calling for bigger, better, faster, more – but the rate of increase is just one dimension of velocity. For increases in velocity to be useful, we must have a direction in mind.
Rate modernization is an area of the energy landscape where transformation is occurring, but not quickly enough. At utilities today, rates are often designed, delivered and managed through different engines, with differing levels of alignment between price signals to customers and the cost of service to providers. Many rates fall short of their potential to successfully integrate behind-the-meter resources and empower customers to shed or shift load effectively. Persistent disconnects between rate engines, billing systems, customer information systems, load forecasting software and investment decision-making continue to hinder progress toward a decarbonized and flexible grid. Meanwhile, utilities are under increasing pressure from regulators to address energy affordability by cutting costs – making it harder to adopt rate modernizing technologies.
Within this context, catalysts are needed to accelerate the industry in the direction of modern rate architectures that make effective use of customer-sited DERs while integrating efficiently with other utility systems and processes. Clarum Advisors and GridX are working together in this space to align the needs of utilities and their customers through a software and services ecosystem with GridX’s industry-leading enterprise rate engine at its core.
Three pillars underlie our strategy for increasing the velocity of rate modernization:
1. Regulatory Support
2. Multi-Functional Solutions
3. Power of Partnerships
“Rate modernization does not happen in a vacuum – and no single organization controls all of the inputs needed for success. To that end, Clarum Advisors and GridX recognize the power of partnerships as essential to accelerating the velocity of modern rate adoption.”
Regulatory Support
Together, we provide combined end-to-end expert advisory services and the technical expertise needed to support utilities in gaining approval from regulators to modernize their rates. We work with utilities throughout every step of the rate case cycle and beyond.
Preparing Testimony — To maximize the likelihood of approval by regulators, utilities require research-based, defensible and credible testimony on rate modernization. We synthesize key success factors, best practices and lessons learned from rate modernization in other jurisdictions, in tandem with advanced, quantitative insights from GridX’s powerful rate engine software, to develop testimony on modern rate designs for utilities. Our testimony explains the role of a modern rate design engine in handling the complexity of large data and unlocking the full value of investments in advanced metering infrastructure (AMI), paving the way for favorable rate case outcomes.
Rate Case Participation — The team of rate design experts at Clarum and GridX has decades of direct experience working with utilities and advisory teams, serving as expert witnesses in rate cases before regulatory bodies across North America. We are recognized leaders in modern rate design, signaling credibility to regulators and facilitating favorable rate case outcomes. We work closely with utilities, providing support throughout the rate case lifecycle, from the discovery process through in-court testimony to implementation.
Reporting and Validation — Regulatory responsibilities do not end with the rate case, and we support utilities throughout the process of rate modernization. Leveraging GridX’s rate engine and advanced analytics, we help utilities assess and verify the impacts of new rates on customer bills and load shifting behavior. Granular insights about rate impacts from individuals to segmented customer groups enable feedback, learning and calibration of rates over time. Through credible, data-based reporting and validation, utilities build and grow the trust of regulators, customers and other stakeholders.
Multi-Functional Solutions
A key pillar of our approach to modern rate design is a commitment to multi-functional solutions. Rates are one of many systems a utility may employ to shape customer energy use and engagement, and align price signals with energy consumption. To maximize the effectiveness of implementing time varying rates, we help utilities integrate rates with CIS, billing, customer engagement, load forecasting and other critical utility systems.
Multi-System Approach — Rate modernization interacts with multiple utility systems, and by integrating across these systems we can improve outcomes and increase ROI. We combine software and advisory solutions that encompass billing, messaging, education and outreach (ME&O), online portals, utility load forecasting, phone support systems and coordination with EVs and other customer-sited DERs. This holistic approach breaks down silos between different utility departments, facilitating a system-wide assessment of benefits and strengthening the business case for adoption of a modern rate engine.
Customer Focus — We consider the customer experience central to our approach to modern rate design. Online customer portals leverage household-specific, meter-based insights to help customers choose optimal rates, shift energy use, and mitigate bill impacts. Our automated, intelligent support systems improve the efficiency and efficacy of utility call centers, easing the customer transition to advanced electric rates with EVs and other behind-the-meter DERs. Leveraging AMI data to target ME&O campaigns based on behavioral patterns enables greater rate acceptance and increases customer satisfaction.
Power of Partnerships
Rate modernization does not happen in a vacuum – and no single organization controls all of the inputs needed for success. To that end, Clarum Advisors and GridX recognize the power of partnerships as essential to accelerating the velocity of modern rate adoption.
Stakeholder Engagement — With a team of experts in consensus building and complex multi-stakeholder process facilitation working together to ensure optimal outcomes, we deliver win-win solutions. By engaging with external stakeholder groups throughout the rate design and implementation process, we reduce regulatory friction, smooth interactions with consumer advocates and rate case intervenors, and set the stage for stakeholder support of future rate changes.
Partner Ecosystem — Modernizing rates and empowering customers to become active participants in the energy ecosystem is a challenge best tackled through partnership. Clarum Advisors and GridX have developed a consortium of like-minded companies for our partner ecosystem, bringing best-in-class technology, advisory services and industry thought leaders together to serve our shared utility clients.
Clarum Advisors and GridX are building the partnerships and capabilities needed to accelerate the energy transition today and into the future. Focusing on both elements of velocity, we are increasing the speed and setting the direction of rate modernization, catalyzing positive change for utilities and their customers while decarbonizing the grid. We’re excited to work with our utility clients in 2026 and beyond, exploring new ways to support their success with modern rate design.
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