(August 2010) Exelon named Kathleen Barrón vice president of federal regulatory affairs and policy. American Electric Power (AEP) promoted A. Wade Smith to president and COO for AEP Texas. El Paso Electric promoted Mary E. Kipp to serve as senior v.p., general counsel and chief compliance officer. Chesapeake Utilities promoted Elaine B. Bittner to v.p. of strategic development, and she retains the position as v.p. of natural gas pipeline subsidiary, Eastern Shore Natural Gas. And others.
FERC owns more than one enforcement tool. Besides civil penalties, it can require compliance plans or disgorgement of unjust profits, or condition, suspend, or revoke market-based rate authority, NGA certificate authority, or NGA blanket certificate authority. And lacking criminal penalty authority itself, FERC can refer matters to the U.S. Department of Justice for criminal prosecution. Moreover, while defining an organization as any entity other than a natural person, FERC nevertheless will continue to determine civil penalties for natural person violators, looking to the guidelines for guidance in setting such penalties.
Synchronizing networks to bring green power to market.
In order to fully integrate wind and other dispersed sources of energy into the system, America’s patchwork transmission networks need to be more closely interconnected and synchronized. An advocate for the Tres Amigas merchant transmission project explains how the proposed facility will integrate the grid.
Setting the stage for conservation.
America’s electric utilities understand their central role in taking efficiency and conservation to the next level. Accordingly, the industry has nearly doubled its spending on efficiency measures in the past few years. But encouraging customers to save energy won’t be enough to keep pace with the electricity demands of a growing digital economy. The country’s efficiency efforts will be most effective as part of a clean energy portfolio strategy.
Bringing fairness to FERC enforcement.
FERC’s proposed penalty guidelines provide the opportunity for improved regulation. More practical and consistent characteristics for determining penalty fine ranges will increase penalty predictability for industry violations of federal regulations—and will make FERC’s enforcement more fair and transparent.
Forecasting brings wind energy under control.
Advancements in forecasting have improved the reliability of day-ahead and hour-ahead estimates of wind generation. Wind never will behave like a base-load power plant. But as system operators integrate wind forecasts into their planning and market processes, they’re transforming intermittent wind energy into a variable but reliable resource.
Living in the new world of mandatory reliability standards.
Zhen Zhang and Matthew Stern
Mandatory reliability standards put in place by NERC three years ago give reason for optimism concerning their success. But the organization struggles with standards development, compliance, enforcement and transparency.
Mitigating enforcement penalties in NERC hearings and appeals.
Daniel E. Frank & Caileen N. Gamache
The North American Electric Reliability Corp. (NERC) holds substantial enforcement powers as the nation’s electric reliability organization for bulk power transactions. Taking affirmative steps will help utilities and system operators to avoid or minimize NERC penalties.
Workable standards require utility input.
The IEEE P2030 Work Group is developing standards to encourage seamless deployment, integration and operation of energy, information and communication technologies across the smart grid. Utility input and engagement is needed to produce workable standards.
The most economical energy savings might be found in grid efficiency.
Power delivery efficiency gains constitute a valuable utility asset that can offset or defer new generation and T&D investments. Enabling technologies, utility demonstration projects and supporting regulatory frameworks are needed to validate potential savings.