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Texas PUC Chair Concerned With Broad Language In FERC's New Resiliency NOPR, Focus On "Bulk Power System"

January 12, 2018

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Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

During yesterday's Public Utility Commission of Texas open meeting, PUCT Chairman DeAnn Walker raised concern with FERC's new grid resiliency NOPR and its broad language.

The NOPR was opened by FERC to, "specifically evaluate the resilience of the bulk power system in the regions operated by regional transmission organizations (RTO) and independent system operators (ISO)," and followed FERC's rejection of proposed cost-of-service treatment for certain generation providing resiliency service as proposed by the U.S. Department of Energy

Walker said of FERC's NOPR, "when I read the document, it is very broad, in where it is going, and asking for comments from RTOs and ISOs, and it starts talking about the bulk power system."

Although Walker did not elaborate on her specific concerns, her cite to FERC's use of the language "bulk power system" suggests a concern regarding ERCOT's independence from any mechanisms adopted by FERC through the proceeding. While FERC lacks rate and price regulation over ERCOT due to sales in ERCOT being completely intra-state, Congress has given FERC limited authority over ERCOT with regard to reliability standards for the, "bulk power system."

Walker said that the PUCT and ERCOT will jointly file information with FERC to inform FERC of, "how we do things in the ERCOT market," and, "the ramifications of some of what they are talking about within ERCOT."

The joint filing would explain, "how we do things here, and any pitfalls on saying things too broadly that could be viewed as maybe interjecting things into the ERCOT market," Walker said

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