HomeMy WebLinkAbout90-02 - Res. Opposing Proposed Changes to Northwest Electricity System Resolution 9 0- 02
A RESOLUTION OPPOSING PROPOSED CHANGES
TO THE NORTHWEST ELECTRICITY SYSTEM
the Federal Energy Regulatory Commission ( FERC) is
calling for changes in the Northwest electricity system , including creation of a
regional transmission organization ( RTO) and imposition of standard market
design ; and
the Bonneville Power Administration has joined with
the region 's investor-owned utilities to organize a regional transmission
organization called RTO West; and
WHEREAS, while RTOs may be necessary in some parts of the
country, RTO West is unnecessary in the Pacific Northwest because BPA owns
more than 75 percent of the transmission grid and provides reliable transmission
service on an open -access basis ; and
WHEREAS , RTO West would diminish public control over the
Northwest electricity system by shifting authority from Northwest regional forums
and elected public officials to an appointed RTO West board ; and
WHEREAS, there is no evidence that RTO West would bring about
reduced energy prices while it is clear that RTO West would cause Northwest
electricity- system costs to increase as a result of substantial start- up and
operating costs, new tax liability, and changes in transmission system operation
policies ; and
WHEREAS, standard market design would replace current
structures for providing electricity to the public on an at-cost basis with a system
seeking to rely on market rates, and would force utilities into the short-term ,
price-volatile market and away from the predictable and low- cost long -term
contracts that have been the norm in the Northwest; and
ES, the proposed changes would make the Northwest
vulnerable to the same kind of market manipulation practiced by Enron and other
power traders on the West Coast in 2000 and 2001 ; and
WHEREAS , the increased costs and vulnerability to market abuse
would lead to higher electricity rates for Northwest consumers, who already have
suffered from 40 to 60 percent rate increases over the past year; and
WHEREAS, there are more effective , less expensive ways than
forming RTO West and imposing standard market design to strengthen the
Northwest power system .
NOW, THEREFORE, BE IT RESOLVED that Mason County
emphatically urges the Bonneville Power Administration not to participate in RTO
West .
BE IT FURTHER RESOLVED that Mason County calls on the
Federal Energy Regulatory Commission not to impose an RTO and standard
market design on the Northwest, and to allow our region to develop an
alternative approach to strengthening the transmission system that addresses
our unique needs and does not expose Northwest citizens to increased risks and
costs .
DATED this 9th day of July, 2002 .
BOARD OF COUNTY COMMISSIONERS
ATTEST: MASON COUNTY, WASHINGTON
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Re : ecc S . Rogers , Clerk f the Board Wesley EJJ6hnsibn , Chairperson
AP f E S/14 RM :
JHerb Baze , Commissioner
Chief Deputy Prosecuting Attorney
Michael Clift
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Bob Holter, Commissioner