Alliance for Competitive Electricity Calls on the Administration And Congress to Address Pressing Electric Infrastructure Needs

Apr 16, 2001, 01:00 ET from Alliance for Competitive Electricity

    WASHINGTON, April 16 /PRNewswire/ -- The Alliance for Competitive
 Electricity today called on Congress and the Administration to address serious
 electric infrastructure deficiencies that threaten adequate supplies of
 reasonably-priced electricity.
     The 11 companies that now make up the Alliance Wednesday released a 12-
 page blueprint that can help guide Congress and the Administration in
 addressing these deficiencies. Among other things, the blueprint advocates
 incentives needed to upgrade a decaying infrastructure that threatens the
 reliable supply of reasonably-priced electricity. It calls for ensuring that
 our transmission system operates as seamlessly as possible by expanding open
 access requirements and easing restrictions that now block participation in
 Regional Transmission Organizations.
     "The federal government can help make needed repairs and ensure the
 improved efficiency and reliability of the nation's wholesale electricity
 markets by creating a clear framework for a more efficient electric industry,"
 said former Senator J. Bennett Johnston, an advisor to the Alliance who helped
 write the last major piece of federal energy legislation, the Energy Policy
 Act of 1992.
     The blueprint, entitled "Meeting Our Nation's Needs for Adequate Supplies
 of Reliable and Reasonably Priced Electric Power," graphically illustrates the
 growing disparity between the peak demand for electric power throughout the
 U.S. and the declining investment in new transmission lines.
     "Without adequate transmission capacity to meet growing demand,
 reliability will be compromised, prices will increase, overall system
 efficiency will decline and the benefits of wholesale generation competition
 will not be realized," Senator Johnston said.
 
     The blueprint urges Congress to:
 
     *  Extend the wholesale transmission open access policies of the Federal
        Energy Regulatory Commission (FERC) to currently non-FERC
        jurisdictional transmission owners, including municipal and cooperative
        utilities, the Tennessee Valley Authority and the Power Marketing
        Administrations;
 
     *  Clarify state and federal jurisdictional ambiguity that leaves
        transmission owners uncertain as to who will regulate them and under
        what terms;
 
     *  Establish a regulatory regime governing the transmission system that
        ensures open, non-discriminatory access, while providing the incentives
        necessary to upgrade and expand that system;
 
     *  Amend the federal tax code to allow the tax-free restructuring of
        transmission ownership and to allow municipal and cooperative utilities
        to participate in competitive wholesale and retail markets, without
        imperiling their existing tax and financial status;
 
     *  Remove federal barriers that stand in the way of a more competitive
        industry, including the Public Utility Holding Company Act of 1935
        (PUHCA) and section 210 of the Public Utility Regulatory Policies Act
        of 1978 (PURPA); and
 
     *  Establish an enforceable code of conduct to ensure the reliability of
        the interstate transmission system.
 
     The blueprint is available on the Alliance's Web site at
 http://www.afce.org using Adobe Acrobat Reader 4.0 and by calling the Alliance
 at 202-452-9510.
 
     The Alliance for Competitive Electricity is a group of large and small
 utility companies that have joined to help Congress forge progressive federal
 legislation that can promote fair competition among electricity providers and
 benefit all consumers, from homeowners to industrial companies.
 
     The current members of the Alliance are:
 
     Detroit Edison              GPU
     Dominion                    National Grid USA
     Duke Energy                 Public Service Company of New Mexico
     Energy East                 Public Service Electric and Gas
     Entergy                  Xcel Energy
     Exelon Corp.
 
 

SOURCE Alliance for Competitive Electricity
    WASHINGTON, April 16 /PRNewswire/ -- The Alliance for Competitive
 Electricity today called on Congress and the Administration to address serious
 electric infrastructure deficiencies that threaten adequate supplies of
 reasonably-priced electricity.
     The 11 companies that now make up the Alliance Wednesday released a 12-
 page blueprint that can help guide Congress and the Administration in
 addressing these deficiencies. Among other things, the blueprint advocates
 incentives needed to upgrade a decaying infrastructure that threatens the
 reliable supply of reasonably-priced electricity. It calls for ensuring that
 our transmission system operates as seamlessly as possible by expanding open
 access requirements and easing restrictions that now block participation in
 Regional Transmission Organizations.
     "The federal government can help make needed repairs and ensure the
 improved efficiency and reliability of the nation's wholesale electricity
 markets by creating a clear framework for a more efficient electric industry,"
 said former Senator J. Bennett Johnston, an advisor to the Alliance who helped
 write the last major piece of federal energy legislation, the Energy Policy
 Act of 1992.
     The blueprint, entitled "Meeting Our Nation's Needs for Adequate Supplies
 of Reliable and Reasonably Priced Electric Power," graphically illustrates the
 growing disparity between the peak demand for electric power throughout the
 U.S. and the declining investment in new transmission lines.
     "Without adequate transmission capacity to meet growing demand,
 reliability will be compromised, prices will increase, overall system
 efficiency will decline and the benefits of wholesale generation competition
 will not be realized," Senator Johnston said.
 
     The blueprint urges Congress to:
 
     *  Extend the wholesale transmission open access policies of the Federal
        Energy Regulatory Commission (FERC) to currently non-FERC
        jurisdictional transmission owners, including municipal and cooperative
        utilities, the Tennessee Valley Authority and the Power Marketing
        Administrations;
 
     *  Clarify state and federal jurisdictional ambiguity that leaves
        transmission owners uncertain as to who will regulate them and under
        what terms;
 
     *  Establish a regulatory regime governing the transmission system that
        ensures open, non-discriminatory access, while providing the incentives
        necessary to upgrade and expand that system;
 
     *  Amend the federal tax code to allow the tax-free restructuring of
        transmission ownership and to allow municipal and cooperative utilities
        to participate in competitive wholesale and retail markets, without
        imperiling their existing tax and financial status;
 
     *  Remove federal barriers that stand in the way of a more competitive
        industry, including the Public Utility Holding Company Act of 1935
        (PUHCA) and section 210 of the Public Utility Regulatory Policies Act
        of 1978 (PURPA); and
 
     *  Establish an enforceable code of conduct to ensure the reliability of
        the interstate transmission system.
 
     The blueprint is available on the Alliance's Web site at
 http://www.afce.org using Adobe Acrobat Reader 4.0 and by calling the Alliance
 at 202-452-9510.
 
     The Alliance for Competitive Electricity is a group of large and small
 utility companies that have joined to help Congress forge progressive federal
 legislation that can promote fair competition among electricity providers and
 benefit all consumers, from homeowners to industrial companies.
 
     The current members of the Alliance are:
 
     Detroit Edison              GPU
     Dominion                    National Grid USA
     Duke Energy                 Public Service Company of New Mexico
     Energy East                 Public Service Electric and Gas
     Entergy                  Xcel Energy
     Exelon Corp.
 
 SOURCE  Alliance for Competitive Electricity