Asset optimization is a favored utility strategy in an economic downturn.
Generation plant construction has gone down with the economy. "Our project...
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Texas Utility Pushes Pooling
Central and South West Corp.'s subsidiary, Central Power and Light Co. (CPL), has proposed that all ERCOT nonnuclear utilities (em including IPPs, co-ops, and municipals (em become part of a competitive wholesale bulk power pool run by an independent system operator (ISO).
Transmission and distribution companies would continue to own and operate power lines, purchase all nonnuclear generation from the pool, and assume responsibility for actual delivery. Utilities that own all or a portion of nuclear power, including CPL, would continue to include all reasonable costs associated with those investments in the form of a nonbypassable "wires" charge approved by the public utility commission.
CPL said its stranded costs would range from zero under this proposal to as much as $3.7 billion under a "worst case scenario" in which retail wheeling is implemented immediately.
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