Transmission providers pursuant to ferc orders 2004, 2004a, and 2004b summary the federal energy regulatory commission ferc regulates natural gas pipeline and electric public utilities that engage in interstate commerce. In 2010, ferc issued order , which required rtos to create regional transmission plans and identify transmission needs based on public policy. In order to make discussion manageable these materials do not addressdiscussion manageable, these materials do not address questions of the authority of ferc to adopt order or to impose its oatt tariff amendment requirements. In the wake of ferc order, we have analyzed and evaluated the opportunities and threats posed by competitive transmission development across several regional markets in north america. Ferc order and public policy transmission projects. Like isos, rtos encourage competitive generation markets by bringing all transmission control under independent entitys management. In its decision to uphold order, the court cited comments submitted by brattle economists during fercs rulemaking that identified a large number of planned transmission projects, the majority of which would not be built due to overlaps and deficiencies in transmission planning and cost recovery processes. Order is seen by many as landmark energy legislation addressing both the transmissionplanning process and costallocation procedures for new electrical transmission lines. In its first order, ferc rejected compliance filings by duke energy carolinas llc and carolina power and light company, dba progress energy carolinas dukeprogress and alcoa power generating, inc. Please join us for a onehour webinar to discuss the federal energy regulatory commissions fercs issuance of order no. Overheard at transmission summit east 2020 march 9, 2020. Where wind integration has been most successful, state authorities developed and adopted basic transmission planning and cost allocation principles before ferc issued order.
The federal energy regulatory commission ferc issued order on july 21, 2011. As grid changes and resilience demands drive transmission construction, ferc should expand oder to drive innovative solutions and cost. The purpose of this meeting was to serve as an informative call for interested parties regarding ferc order. Federal energy regulatory commission ferc order, issued on july 21, 2011, addresses three fundamental reforms affecting transmission planning. Order should remain a priority for ferc utility dive. Ferc issued a tolling order in september 2011, so it is not known when a rehearing order will be issued order doesnt prescribe one size fits all positions on most compliance requirements. Ferc increases participation in regional transmission planning. The stated purpose was to increase regional transmission.
Florida sponsors are developing order compliance concepts and supporting a stakeholder process to receive input and comments on the compliance concepts. Ferc denies request for rehearing of nyiso second compliance order decision. Apr 28, 2016 the federal energy regulatory commission ferc issued order no. What we know about cost savings to date, prepared for ls power and gridliance, is authored by brattle principals johannes pfeifenberger and judy chang and senior associate akarsh sheilendranath, and was conducted with the support of. May 14, 2015 helpful spp web links spp order process contains links to the applications and forms for the qrp, dpp, and iep processes, and has documents from the order summits and itp10 and itpnt model and needs assessment dates spp order exploder receive emails on order dates and information related to the order. Ferc order informational seminar minutes 20140317 final. Impacts of ferc order on regional transmission planning.
The authors note that the ferc order is widely viewed as an opportunity to approve and fund more transmission projects associated with renewable resources siting issues aside. Ferc to probe order competition exemptions october 18, 2019. As grid changes and resilience demands drive transmission construction, ferc should expand oder to drive innovative solutions and cost containment, former puc texas chairman barry smitherman. The work has included transmission and substation engineering, cost estimating, and permitting analysis for projects ranging from 8 kv to 345 kv. The federal energy regulatory commission ferc is the united states federal agency that regulates the transmission and wholesale sale of electricity and natural gas in interstate commerce and regulates the transportation of oil by pipeline in interstate commerce. The latest example of fercs insistence is its order, which requires each public utility transmission provider to participate in a regional transmission planning process that produces a regional transmission plan. The commission is identifying opportunities to enhance operational efficiency in jurisdictional markets by encouraging public utilities. Ferc order informational seminar march 17, 2014 conference call. Court of appeals in the case between the south carolina public service authority versus the federal energy regulatory commission ferc and the alabama public service commission et al. Order future touch points frcc regional transmission planning process will need some revisions. The regulatory assistance project 50 state street, suite 3 montpelier, vt 05602 phone.
Why ferc order is a big deal in the electric industry. Ferc order instituting section 206 proceeding on order exception for. May 09, 2018 as grid changes and resilience demands drive transmission construction, ferc should expand oder to drive innovative solutions and cost containment, former puc texas chairman barry smitherman. Ferc clarifies reforms of generator interconnection procedures and agreements presentation pdf. Ferc gridplanning rule survives legal challenge, setting. Under the sponsorship approach, when a transmission need is identified, eligible developers propose solutions that the region evaluates using fercapproved metrics. The work has included transmission and substation engineering, cost estimating, and permitting analysis for projects ranging from 8 kv. Nov 30, 2012 the federal energy regulatory commission ferc introduced order in july 2011 and reaffirmed it in may and october 2012 with orders a and b. Introduction to the interregional transmission planning process narrative the western interconnection order no. Ferc order opportunities to advance public policy objectives.
Presentation on competitive transmission and order reforms. Order narrows the right of first refusal will regional. An examination of transmission investment trends and current experience with competitive transmission planning in isorto regions as mandated under ferc order u. Ferc order presentation to irps fall conference dave grover itc midwest october 20, 2011. Ferc gridplanning rule survives legal challenge, setting stage for transmission upgrades a court upholds order, fercs greenfriendly regional grid planning rule. Headquartered in newark, new jersey, peri is a global consulting and technology services company that draws on deep industry expertise, a portfolio of interrelated consulting, business processes, and application development services along with smartintelligent hardware and software products. On february 21, 20, ferc issued the first two orders concerning order no. Briefing order presented by federal energy regulatory. Order is as complicated as many of the other rules ferc has finalized and published over its history, many of which foil all but specialists.
The order requires transmission planning on a regional and interregional basis. The federal energy regulatory commission ferc introduced order in july 2011 and reaffirmed it in may and october 2012 with orders a and b. On june 1, 2015, ferc issued an order providing clarification and accepting for filing columbiagrid applicants avista corp, matl llp, and puget sound energy order compliance filings. Cost allocation reforms were included, possibly to reduce barriers faced by nonincumbent transmission developers. To be successful in the ferc process, we recommend participating in isorto planning meetings, identifying potential projects. As a result of order, the evaluation of a transmission projects benefits can extend beyond the traditional calculations of reliability, congestion reduction. Ferc order and its potential implications for bccpg transmission providers ferc order and its potential implications for bccpg transmission providers bccpg steering committee meeting 20 september 2011 issued in july 2011 effective date. On thursday july 21, 2011, the federal energy regulatory commission ferc or the commission, the ferc voted 50 to issue a final rule on transmission planning and cost allocation by transmission owning and operating public utilities, order no. Experiences in texas, california, and hawaii demonstrate what it takes to overcome permitting and cost allocation barriersnamely, a coherent policy framework and. Industries increasing efficiency through improved software ferc. The westconnect transmission owners initiated a stakeholder process in october 2011 to help guide the determination of appropriate filings with ferc to comply with the provisions of ferc order issued july 21, 2011.
Frcc website being used to support the order stakeholder process. September 10th florida sponsor order presentation. The most critical details will arise out of the compliance process, tariff changes and challenges to those changes. Power engineers is a global consulting engineering firm specializing in the delivery of integrated solutions in a wide range of industries. On july 21, 2011, the federal energy regulatory commission ferc unanimously adopted order no. Order denying rehearing and granting clarification. Its an issue with the potential to draw a line in the sand with regard to federal versus state regulatory control over certain aspects of the electric grid, and its already being met with sparks. Yadkin for failing to form a compliant transmission planning region. The federal energy regulatory commission ferc issued order no. Order compliance ferc docket er 366 first compliance filing november 2012 fourth compliance filing may 18, 2015 latest compliance order august 3, 2015 all compliance items have been accepted. Ghormley ferc order july 21, 2011 ferc issued order major reforms regional and interregional. Moving beyond the regional planning provisions in ferc order 890, the new order.
Nearly five years have passed since the issuance of order no. But at its heart it deals with the simple issue of whether states can be forced to coordinate on transmission planning and meeting cost obligations for new electricity transmission capacity. Helpful spp web links spp order process contains links to the applications and forms for the qrp, dpp, and iep processes, and has documents from the order summits and itp10 and itpnt model and needs assessment dates spp order exploder receive emails on order dates and information related to the order. In july 2011, the federal energy regulatory commission ferc issued order. Aug 03, 2011 so, too, is the potential reach and control of the federal energy regulatory commission ferc being stretched by the proposed new legislation. We have also assisted several merchant transmission developers in due diligence efforts, open solicitation and open season processes, and in planning efforts. Each transmission provider must participate in a regional process based on regional transmission needs, rather than just those of an individual company. The brattle groups presentation of the new findings, transmission competition under ferc order no. A and the impact it will have on transmission providers efforts to comply with order no. The westconnect planning management committee conducted the first, order compliant regional planning cycle in 2015. Dec 05, 2016 ferc order is working slowly, but it is working. As a consultant for most of the major utilities and independent transmission developers in the us, we know that ferc is having a major impact in the industry. Jul 21, 2011 regional planning ferc order the westconnect transmission owners initiated a stakeholder process in october 2011 to help guide the determination of appropriate filings with ferc to comply with the provisions of ferc order issued july 21, 2011.
Ferc order presentation to irps fall conference dave grover. Planning reforms requires participation in a regional planning process must consider projects driven by public policy needs. Ferc approves interregional order compliance filings. Ferc did not adoptspecific requirements for the regional transmission plan, but instead gave public utility transmission providers flexibility to develop, inconsultation with their stakeholders, the necessary enhancements to existing regional transmission planning processes to.
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