We Can Work It Out

 

 

Solving the industry's problems will require cooperation between the federal government and states.

If we are to successfully forge a new, efficient and customer-focused structure for the electric industry, state and federal regulators must work together to ensure reliable supplies of electricity at the lowest cost possible in markets that are truly competitive and free of market manipulation.

Consistent transmission rules for all power providers are a necessary starting point for creating a stable national framework in support of regional markets.

The effort to form an integrated wholesale power market in the Midwest, Southwest and Mid-Atlantic regions-projected to save customers in 26 states $7 billion during the next decade-is a leading example of this new approach.

Regional electricity markets differ in geography, economics and resources. Standardizing the design of these markets requires a balance between interstate commerce in wholesale electricity and the states' interests and regional self-determination.

State and federal regulators must work together so customers can reap the benefits of a national wholesale electricity market. Market harmonization can ensure adequate and reliable supplies of electric energy at just and reasonable prices, while respecting the unique characteristics of regional power markets.