Fortnightly Magazine - December 2005

The Capacity Market Enigma

Why haven’t reliability markets developed?

Capacity and energy, although related, are not identical products. If we are to continue to rely on competitive market forces to provide new generation supplies, we need separate, long-term, installed capacity markets.

A Continuing Reign of Incoherence

How EPACT fails to address key industry issues.

The Energy Policy Act of 2005 ducks three crucial issues: volatile prices and fuel supplies; insufficient, erratic capital investment in generation and transmission; and energy commodity pricing. What should policymakers do now?

Day of Decision for FERC

How will the commission answer Congress’ call for energy market transparency?

How will the Federal Energy Regulatory Commission answer Congress’ call for energy market transparency? Will it rest on its laurels, or move forward to restore confidence in wholesale energy markets?

V