Electricity

Increased power flows help boost ERCOT’s revenues beyond expectations

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S&P Global Platts

Author Mark Watson

Houston — The Electric Reliability Council of Texas’ revenue in 2019 exceeded budget expectations by 13.3% and expenditures were 3.4% below budget, board members learned Tuesday, largely because of increased interest income and fees tied to energy sales and interconnection studies.

During ERCOT President and CEO Bill Magness’ update to the board of directors, he noted that the preliminary budget review for 2019 shows a net positive variance – i.e., more than expected revenue, less than expected expenses – of $35.4 million. …

Electricity

FERC’s Glick urges broader commission look at capacity markets, states’ rights

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S&P Global Platts

Author Jasmin Melvin

Washington — The Federal Energy Regulatory Commission must revisit mandatory capacity markets and how regions ensure resource adequacy or risk putting in peril the future of regional transmission organizations, FERC Commissioner Richard Glick told state officials Wednesday in an address that was highly critical of recent agency actions that could undermine state sovereignty over the generation mix.

FERC in December directed sweeping changes to PJM Interconnection’s capacity market (EL16-49, EL18-178) and in 2018 approved ISO New England’s move to a two-stage capacity auction process (ER18-619). Both efforts aimed to address states’ out-of-market resource procurement actions while preserving competitive market prices, and have drawn …