move toward regional cooperation. States and provinces alike are allowed to unwind some historical transmission rights. Some under-utilized transmission is reinvigorated, and expansion is allowed to address changes in demand patterns throughout the Interconnection. Negotiations to form regional transmission organizations are pursued. Growing wind resources are in a particularly good position to take advantage of those changes in how the bulk power system will be used. Table 3.1: Regulatory Categories and Forms of Oversight Policy Area Statewide Oversight Local: County/City Scenario 3 Oversight Electric Rates, Prices State/Provincial PUCs For municipal utilities State/Provincial PUCs and community active in setting policy and Revenue aggregation that supports reliability through empowering incumbent utilities. State/Provincial Laws For municipal utilities RPS standards are Renewable Portfolio and PUCs and community maintained and met with Standards & Climate aggregation no reduction in state authority. State/Provincial Laws, City & County States/Provinces do not Air Quality, Water and Commissions & Agencies Departments and pull back in these areas Land Use Agencies and are successful in getting incumbent power companies to meet their requirements State/Provincial Laws, For municipal utilities States/Provinces use Capital/Resource ISOs, Commissions & and community their powers here to Investment Planning Agencies aggregation direct investment in the Approval power industry to assure reliability and contain costs. State/Provincial State & local oversight in Existing policies in this Operating standards, approved Industry Assoc. areas like fire codes, area prove sufficient to equipment & Safety building codes, etc. meet needs Consumer protection State/Provincial Laws Generally not applicable States/Provinces focus and Approved Industry primarily on maintaining and product quality Associations reliability. Existing policies on safety are sufficient Areas of State and Federal Regulation and Policy Interface
move toward regional cooperation. States and provinces alike are allowed to unwind some historical transmission rights. Some under-utilized transmission is reinvigorated, and expansion is allowed to address changes in demand patterns throughout the Interconnection. Negotiations to form regional transmission organizations are pursued. Growing wind resources are in a particularly good position to take advantage of those changes in how the bulk power system will be used. Table 3.1: Regulatory Categories and Forms of Oversight Policy Area Statewide Oversight Local: County/City Oversight Scenario 3 Electric Rates, Prices and Revenue State/Provincial PUCs For municipal utilities and community aggregation State/Provincial PUCs active in setting policy that supports reliability through empowering incumbent utilities. Renewable Portfolio Standards & Climate State/Provincial Laws and PUCs For municipal utilities and community aggregation RPS standards are maintained and met with no reduction in state authority. Air Quality, Water and Land Use State/Provincial Laws, Commissions & Agencies City & County Departments and Agencies States/Provinces do not pull back in these areas and are successful in getting incumbent power companies to meet their requirements Capital/Resource Investment Planning Approval State/Provincial Laws, ISOs, Commissions & Agencies For municipal utilities and community aggregation States/Provinces use their powers here to direct investment in the power industry to assure reliability and contain costs. Operating standards, equipment & Safety State/Provincial approved Industry Assoc. State & local oversight in areas like fire codes, building codes, etc. Existing policies in this area prove sufficient to meet needs Consumer protection and product quality State/Provincial Laws and Approved Industry Associations Generally not applicable States/Provinces focus primarily on maintaining reliability. Existing policies on safety are sufficient Areas of State and Federal Regulation and Policy Interface