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Kelliher's "Believe It or Not!"

FERC attempts to reform competitive markets.

Fortnightly Magazine - August 2007

monitors, and in particular their independence.”

Birgisson continues: “The perceived remoteness of ISO and RTO boards has brought some calls for allowing market participants greater access to the boards,” he says, “And both energy users and project developers at times call for greater use of long-term contracts to stabilize prices.”

After reviewing public comments on these topics, FERC will decide whether to issue a notice of proposed rulemaking to propose specific changes to its regulations governing power markets.

Another reason FERC may believe it has the political cover to enact changes is the recent support from its former members. On May 31, nine FERC alumni—Chairs James Hoecker, Elizabeth Moler, and Pat Wood, and former commissioners Vicky Bailey, Linda Breathitt, Nora Mead Brownell, Jerry Langdon, William Massey, and Donald Santa—circulated an open letter to policy-makers lauding the achievements of competitive electricity markets and cautioning against proposals to turn back the clock. Is this the beginning of a new movement toward more market competition? Some say seeing is believing.

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