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FERC order might not lower power prices


The Federal Energy Regulatory Commission’s order allowing demand response and energy efficiency resources to be included in the PJM Interconnection’s upcoming capacity auctions will lower power prices, but the decline may not be as large as first thought, Moody’s said Monday.
Moody’s expects auction prices to increase compared with last year, but the magnitude will be less because of Wednesday’s FERC order, a Credit Outlook published Monday said.
“Although the FERC-mandated reintroduction of demand response and energy efficiency will lower power producers’ prices more than without the FERC order and is credit negative for them, we estimate that the …

California PUC approves demand response auction details


California’s investor-owned utilities will hold an auction later this year for demand response resources that can be delivered in 2016 under an auction design, protocols and standard contract that were approved Thursday by state regulators.
The move is part of California’s efforts to spur increased demand response capability in the state, partly through increased participation in the state’s wholesale markets.
The two-year pilot demand response auction mechanism aims to test the feasibility of procuring supply resources for resource adequacy with third-party direct participation in the…

Regulators may cancel 27 electricity marketers/brokers’ licenses


Pennsylvania regulators may cancel 27 electricity marketers/brokers’ licenses

In a first since Pennsylvania embarked on retail competition, more than two dozen retail electricity marketers and brokers may lose their licenses to operate in Pennsylvania under a tentative order issued by state regulators Wednesday.
The Public Utility Commission issued a tentative order canceling the licenses of 27 electricity marketers and brokers for failing to provide proof of a bond or other financial security to the commission.
“This is the first time it has been necessary to take this type of action,” said …

Mistakes in electricity market only cut one way in Texas

Houston Chronicle By Chris Tomlinson

Grid operator reluctant to claw back consumer’s money from generators

People make mistakes. That’s why a well-designed system makes it easy to correct mistakes simply and quickly when they happen.
Houston Public Media reported this morning a mistake that cost electricity customers tens of millions of dollars and enriched power companies, and how the Texas wholesale market has failed to correct the mistake. The scoop is a reminder of what happens when public servants become too …

PUC looks into Oncor’s role in electricity price spike

Dallas Morning News by James Osborne

The Texas Public Utility Commission is investigating a spike in electricity prices last month to see whether bad data from the transmission line company Oncor played a role.
According to a report earlier this month by a group of power companies and regulators, on May 18 wholesale power prices rose unexpectedly when data provided by Oncor showed a transmission line in West Texas was nearing capacity. Only the company had failed to update their data to show a recent upgrade to the line. Over six hours, the error resulted in $4.8 million in…

Texas passes bill giving PUC wind transmission oversight; bill to end RPS dies


A Texas bill to give the state Public Utility Commission oversight of transmission projects designed to export wind power from or into the Electric Reliability Council of Texas region is headed to the governor’s desk after being approved by the state’s House of Representatives.
However, a Senate-passed bill that would have eliminated the state’s renewable portfolio standard and forbidden the PUC from either establishing new “competitive renewable energy zones” or approving new CREZ transmission lines was derailed by the…