On October 22, ISO New England released a white paper detailing proposed changes to the Forward Capacity Market (FCM) aimed at increasing performance incentives for resources participating in the wholesale electricity markets. The ISO’s ongoing Strategic Planning Initiative has identified resource performance and flexibility as critical aspects of regional reliability.
New England has well-established regional planning and cost-allocation processes that have successfully resulted in the construction of $4.8 billion in transmission projects needed for reliability, according to ISO New England’s filing submitted October 25 to comply with the Federal Energy Regulatory Commission’s (FERC) Order 1000. While the region is largely in compliance with Order 1000, the filing addresses two new areas: the requirement to add a process for consideration and development of transmission projects driven by public policies, and the requirement to remove incumbent transmission owners’ rights of first refusal to build projects that receive regional cost allocation.
On September 5, the Regional Greenhouse Gas Initiative (RGGI) held its 17th auction of carbon dioxide (CO2) allowances. Generators in the nine RGGI states bought a total of 24.5 million allowances in the auction, one for each ton of CO2 emitted in the compliance period. Bids for the CO2 allowances ranged from $1.93 to $6.51 per allowance, with a clearing price of $1.93, the minimum reserve price for the auction. With states generally holding excess allowances, sales of allowances in auction 17 represented only 65 percent of the 37.9 million allowances offered for sale. Proceeds from the auction amounted to $47.4 million, which the states typically spend on energy efficiency, clean and renewable energy, direct bill assistance, and other consumer benefit programs.
On September 20, FERC Chairman Jon Wellinghoff announced the creation of a new FERC office that will help the Commission focus on potential cyber and physical security risks to energy facilities under its jurisdiction. The new Office of Energy Infrastructure Security (OEIS) will assist the Commission to address potential risks to FERC-jurisdictional facilities from cyber attacks and such physical threats as electromagnetic pulses. OEIS will be led by Joseph McClelland, formerly the Director of the Office of Electric Reliability. For more information, please see FERC’s press release.
‘ISO to Go’ provides user-friendly access to information about the region’s power system and wholesale markets
Do you wonder what types of fuels are generating your electricity? Would you like to see real-time power grid conditions? How about real-time wholesale electricity prices in your New England hometown? There’s an app for that!
CommonWealth Magazine, a public policy-oriented quarterly publication in Massachusetts, recently published an opinion piece by Gordon van Welie, ISO New England’s CEO, on the issues and concerns raised by the region’s reliance on natural gas for electricity generation.