News 
2007
| Statement: March 15, 2007 | 
View
Printable PDF Version |
| Docket Nos: RM06-16-000 | |
Commissioner Wellinghoff's statement on mandatory reliability standards for the bulk-power system
"The development of mandatory reliability standards is one of the most
important responsibilities placed on the Commission by EPAct 2005. The Final Rule
that we vote on today sets out clear rules of the road to provide for the reliable
operation of the bulk power system.
We received comments from many parties on the NOPR that we issued in
October. The NOPR included proposals to allow demand resources to be used to
comply with several of the reliability standards. Many of the commenters supported
those proposals, and some raised concerns regarding the technical feasibility of
demand resources. I appreciate the comments we received; they were an important
factor in my deliberation.
In this Final Rule, demand resources will be allowed to be used to comply with
Reliability Standards governing contingency reserves, reactive power, emergencies
and planning the reliable bulk power system. We also make clear in the Final Rule
that demand resources must be technically capable of providing the function required
by a reliability standard. The ERO will develop the process for determining technical
capability through its reliability standards development process.
There is of course still much work to be done. I encourage those who are
interested in fully integrating demand resources into maintaining the reliability of our
bulk power system to lend your expertise and time to the standards development
process.
The work ahead is not limited to the reliability standards. Ensuring reliability,
as well as reducing congestion and enhancing competition, necessitates a complete
integration of demand resources and efficiency into how the electric grid and power
markets operate. We cannot simply build our way out of those problems. We must
spend smartly. We must spend efficiently and need to promote demand response
alternatives. We must promote investment in efficient transmission facilities and
state-of-the-art transmission technologies, as well as facilitate demand response,
distributed generation, and renewables, in order to begin to solve the nation's energy
problem.
Finally, I want to thank the Team, both you at the table and the many others
in the room, for a job very well done."
|
View
Printable PDF Version |
