Fortnightly Magazine - April 15 1998

ISOs as Market Regulators The Emerging Debate

IN A RECENT SPEECH TO A SOPHISTICATED WASHINGTON AUDIence of electric industry players, FERC Commissioner William Massey raised a difficult question: "Can ISOs become self-policing institutions, thereby allowing FERC to embrace light-handed regulation of transmission?"

In answering his own question, Massey confirmed a quasi-judicial role for independent system operators (em but only if they are "equipped with proper operational rules, including market monitoring plans that report market power abuses and contemplate enforcement mechanisms to assure compliance." %n1%n

Despite such op

Selling Electricity Online? What the Internet Could Mean for Deregulation

IS IT A FAD OR BUSINESS? According to a recent SmartMoney %n1%n article, about 3 million customers traded $120 million in securities on the Internet last year, generating $700 million in commissions for online trading firms.

While this sum marks just 5 percent of total commissions for securities trading, it accounts for a healthy 30 percent of commissions for discount brokerage. Online trading firms, nonexistent several years ago, now total more than 50.

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