Commissioner Kelly's statement on California MRTU Seams Technical Conference
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December 14–15, 2006
- I'd like to mention last week's very successful technical conference in
Phoenix to address any concerns about seams issues in the West, and to discuss
whether the CAISO's Market Redesign and Technology Update (MRTU) will exacerbate
or alleviate seams issues.
- The primary reason the conference was so successful is because staff
did a superb job of identifying the key stakeholders, and putting together
panels that represented all the diverse points of views on seams issues. Moreover,
I thought the panelists, in spite of their diverse views, were cordial and
respectful of one another's views.
- The panelists addressed the commercial, financial and operational aspects
of the market, and I was pleased, but not surprised, to discover that no panelist
clearly identified any specific seams issues that must be resolved before MRTU
implementation. That is not to say there aren't some seams issues that do need
to be addressed, but the overwhelming majority of panelists believe that any
seams issues identified can be resolved through collaborative work among the
parties.
- In fact, a number of panelists encouraged one-on-one meetings between
CAISO and its neighbors to resolves seams issues. We also heard from many that
seams issues could be resolved via interconnecting control area agreements.
We also heard from an overwhelming number of panelists that most seams issues
are west-wide seams issues, and are more appropriately addressed by WECC, not
CAISO.
- I believe that these are appropriate avenues for resolving any seams
issues, and look forward to continued progress from the parties. As we required
in our MRTU order, CAISO and others with seams issues continue their ongoing
meetings, and we expect and encourage these meetings.
- As for next steps, we expect to issue a notice today-if indeed it hasn't
already been issued-asking for written comments on the technical conference.
Staff also recommended that we hold a Resource Adequacy for Import in California
conference in late January or early February, and I expect we will soon issue
a notice to that effect.
- Pursuant to our MRTU order, we also received the first quarterly status
report on how CAISO is dealing with neighboring control areas on seams issues.
I believe these reports will be very helpful to all concerned.
- Finally, although I have privately expressed my sincere thanks to staff
on its extraordinary work on the seams conference, I would now like to do so
publicly. So: special thanks to:
- Saeed Farrokhpay
- Udi Helman
- Heidi Nielsen
- Steve Rodgers
- Harry Singh
- Jennifer Shipley
- Mike McLaughlin
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