Sunday, April 26, 2009

FERC's OATT Reforms

Open Access Transmission Tariff, OATT, "defines the rates, terms and conditions associated with network transmission service." http://answers.google.com/answers/threadview/id/271700.html

. . . Historically, public utilities owned and operated the transmission lines used to transport the energy they produced or purchased from other generators. Over the last 30 years, however. . . deregulation allowed a greater number of generators and retail electricity providers to enter into the market, thus enhancing competition.

In 1996, to promote and enhance such access, the FERC issued Order No. 888 containing the pro-forma (hypothetical) Open Access Transmission Tariff (OATT). The OATT required that transmission owners provide open, non-discriminatory access on their transmission system to transmission customers. . . http://www.cpuc.ca.gov/PUC/energy/wholesale/02_planning/01_eap/01_oatt.htm

Page 2 of Idaho Power's February 2009 IRP Addendum says:


2. The Boardman to Hemingway line is needed to comply with the requirements of the Federal Energy Regulatory Commission (FERC) that the company construct adequate transmission to provide service to wholesale customers in accordance with the company’s Open Access Transmission Tariff (OATT).


Compliance with OATT would be required as a result of Idaho Power building the B2H regional 500 kV capacity, by allowing wholesale customers paid access to its transmission lines.

OATT regulation documents are available for download at
http://www.ferc.gov/industries/electric/indus-act/oatt-reform.asp. Toward the bottom of the page it says:

The Federal Energy Regulatory Commission amends its regulations and the pro forma open access transmission tariff, adopted in Order No. 888, to remedy opportunities for undue discrimination and address deficiencies in the pro forma OATT that have become apparent since the issuance of these orders. The reforms include:
  1. Greater consistency and transparency in ATC calculation.
  2. Open, coordinated and transparent planning on both a local and regional level.
  3. etc. etc.
Planning and coordination ought to be transparent enough that information is available in a timely manner not only to potential transmission customers but anyone else who might be affected, good or bad, by proposed electrical transmission.

Transparency: http://www.businessdictionary.com/definition/transparency.html
Definition 2 Lack of hidden agendas and conditions, accompanied by the availability of full information required for collaboration, cooperation, and collective decision making.