Book contents
- Electricity Capacity Markets
- Electricity Capacity Markets
- Copyright page
- Contents
- Figures
- 1 Introduction
- 2 Capacity Markets Primer
- 3 Restructured Electricity Markets and Regional Transmission Organizations
- 4 Reliability and the Missing Money Problem
- 5 Capacity Policies
- 6 First-Generation Capacity Markets
- 7 Second-Generation Capacity Markets
- 8 Capacity Market Demand
- 9 Capacity Market Supply
- 10 Capacity Market Design
- 11 Market Power
- 12 Minimum Offer Price Rules
- 13 The Texas Alternative
- 14 Conclusion
- Index
- References
3 - Restructured Electricity Markets and Regional Transmission Organizations
Published online by Cambridge University Press: 24 February 2022
Book contents
- Electricity Capacity Markets
- Electricity Capacity Markets
- Copyright page
- Contents
- Figures
- 1 Introduction
- 2 Capacity Markets Primer
- 3 Restructured Electricity Markets and Regional Transmission Organizations
- 4 Reliability and the Missing Money Problem
- 5 Capacity Policies
- 6 First-Generation Capacity Markets
- 7 Second-Generation Capacity Markets
- 8 Capacity Market Demand
- 9 Capacity Market Supply
- 10 Capacity Market Design
- 11 Market Power
- 12 Minimum Offer Price Rules
- 13 The Texas Alternative
- 14 Conclusion
- Index
- References
Summary
In the 1990s, many electricity markets in the United States moved away from traditional public utility regulation and toward competitive markets. Regional transmission organizations (RTOs), under the oversight of the Federal Energy Regulatory Commission (FERC), operate the electricity grid in areas with competitive markets. These markets include energy markets that sell power, ancillary services markets that sell services necessary to maintain the stability and security of the grid, and capacity markets.
- Type
- Chapter
- Information
- Electricity Capacity Markets , pp. 23 - 36Publisher: Cambridge University PressPrint publication year: 2022
References
F References
Borenstein, S (2002) The trouble with electricity markets: understanding California’s restructuring disaster. Journal of Economic Perspectives 16, 191–211.Google Scholar
Borenstein, S and Bushnell, J (2015) The US electricity industry after 20 years of restructuring. Annual Review of Economics 7, 437–63.CrossRefGoogle Scholar
Boyd, W (2018) Just price, public utility, and the long history of economic regulation in America. Yale Journal on Regulation 35, 721–77.Google Scholar
Boyd, W and Carlson, AE (2016) Accidents of federalism: ratemaking and policy innovation in public utility law. UCLA Law Review 63, 810–93.Google Scholar
Brennan, TJ, Palmer, KL, and Martinez, SA (2002) Alternating Currents: Electricity Markets and Public Power, Washington, DC: Resources for the Future.Google Scholar
Dahl, CA (2004) International Energy Markets: Understanding Pricing Policies, and Profits, Tulsa, OK: PennWell.Google Scholar
Dennis, JS (2010) Twenty-five years of electricity law, policy, and regulation: a look back. Natural Resources & Environment 25, 33–38.Google Scholar
Dworkin, MH and Goldwasser, RA (2007) Ensuring consideration of the public interest in the governance and accountability of regional transmission organizations. Energy Law Journal 28, 543–601.Google Scholar
Eisenberg, ME (1976) The Structure of the Corporation: A Legal Analysis, Boston, MA: Little, Brown.Google Scholar
El Khatib, S and Galiana, FD (2007) Negotiating bilateral contracts in electricity markets. IEEE Transactions on Power Systems 22, 553–62.Google Scholar
Energy Information Administration (EIA) (2016) US Electric System Is Made Up of Interconnections and Balancing Authorities, Today in Energy (July 20).Google Scholar
ERCOT (2021) Board of Directors. Accessed at www.ercot.com/about/governance/directors (accessed April 15, 2021).Google Scholar
Federal Energy Regulatory Commission (FERC) (1996) Promoting wholesale competition through open access non-discriminatory transmission services by public utilities (Order 888). Federal Register 61, 21, 540–736.Google Scholar
Federal Energy Regulatory Commission (FERC) (2000) Regional transmission organizations (Order 2000). Federal Register 65, 810–959.Google Scholar
Federal Energy Regulatory Commission (FERC) (2015) Regional Transmission Organizations. Accessed at www.ferc.gov/sites/default/files/2020-05/elec-ovr-rto-map.pdf (accessed October 5, 2021).Google Scholar
Federal Energy Regulatory Commission (FERC) Staff (2016) Common Metrics Report: Performance Metrics for Regional Transmission Organizations, Independent System Operators, and Individual Utilities for the 2010–2014 Reporting Period, Washington, DC: Federal Energy Regulatory Commission.Google Scholar
Joskow, PL (2005) The difficult transition to competitive electricity markets in the United States. In Griffin, JM and Puller, SL, eds., Electricity Deregulation: Choices and Challenges, Chicago, IL: University of Chicago Press, pp. 31–97.Google Scholar
Joskow, P (1997) Restructuring, competition and regulation in the US electricity sector. Journal of Economic Perspectives 11, 119–38.CrossRefGoogle Scholar
Joskow, PL (1974) Inflation and environmental concern: structural change in the process of public utility price regulation. Journal of Law and Economics 17, 291–327.CrossRefGoogle Scholar
Joskow, PL and Schmalensee, R (1983) Markets for Power: An Analysis of Electrical Utility Deregulation, Cambridge, MA: MIT Press.Google Scholar
Kleit, AN and Michaels, RJ (2013) If you buy the power, why pay for the powerplant? Reforming Texas electricity markets. Regulation 36, 32–37.Google Scholar
Mansur, EN (2007) Upstream competition and vertical integration in electricity markets. Journal of Law and Economics 50, 125–56.Google Scholar
Mayes, J, Haas, H, and Bowring, J (2012) Effective monitoring and mitigation in the organized wholesale electric power markets. Journal of Regulatory Economics 41, 120–38.Google Scholar
Nicolay, T (2011) Regulation by any other name: electricity deregulation in Alberta and the power purchase arrangements. Journal of Energy & Natural Resources Law 29, 45–86.CrossRefGoogle Scholar
PJM Interconnection, L.L.C. (2021) PJM Board of Managers. Accessed at www.pjm.com/about-pjm/who-we-are/pjm-board.aspx (accessed April 30, 2021).Google Scholar
Rahimi, AF and Sheffrin, AY (2003) Effective market monitoring in deregulated electricity markets. IEEE Transactions on Power Systems 18, 486–93.Google Scholar
Spence, DB (2005) The politics of electricity restructuring: theory vs. practice. Wake Forest Law Review 40, 417–50.Google Scholar
Spence, D and Bush, D (2009) Why does ERCOT have only regulator? In Kleit, A and Kiesling, L, eds., Electricity Restructuring: The Texas Story, Washington, DC: American Enterprise Institute, pp. 9–21.Google Scholar
Teichler, SL and Levitine, I (2005) Long-term power purchase agreements in a restructured electricity industry: realizing the promise of electricity deregulation. Wake Forest Law Review 40, 677–708.Google Scholar
Tomain, JP (1998) Electricity restructuring: a case study in government regulation. Tulsa Law Journal 33, 827–46.Google Scholar
Vince, CA, Quirk, SA, and Wolf, SP et al. (2006) What is happening and where in the world of RTOs and ISOs? Energy Law Journal 27, 65–145.Google Scholar
Warwick, WM (2002) A Primer on Electric Utilities, Deregulation, and Restructuring of US Electricity Markets, Richland, WA: Pacific Northwest National Laboratory.Google Scholar
Yoo, K and Blumsack, S (2018) Can capacity markets be designed by democracy? Journal of Regulatory Economics 53, 127–51.CrossRefGoogle Scholar
Zarnikau, J, Woo, CK, Zhu, S, and Tsai, CH (2019) Market price behavior of wholesale electricity products: Texas. Energy Policy 125, 418–28.Google Scholar