FERC's Subtle Signals To Transmission Providers

Law360, New York (September 17, 2013, 7:26 PM EDT) -- On Aug. 15, 2013, the Federal Energy Regulatory Commission rejected without prejudice PacifiCorp’s proposal to charge variable energy resources (VERs), including wind-generating facilities, a higher rate for Regulation and Frequency Response Services (Regulation) than conventional, dispatchable generators.

FERC held that PacifiCorp’s differentiated generator Regulation charge proposal, the first filed by a public utility transmission provider since FERC’s VER rulemaking, failed to adequately address or account for cost savings associated with the operational reforms required by Order No. 764, including intrahour scheduling practices that have already been implemented on PacifiCorp’s system....
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