The Federal Energy Regulatory Commission has found that ISO New England Inc. and members of the Northern Tier Transmission Group (NTTG) have partially complied with Order No. 1000 but must make additional filings to fully comply with the transmission planning and cost allocation rule.
In a third order, FERC granted SU FERC, L.L.C. a waiver of the requirements of Order No. 1000 because it controls limited and discrete transmission facilities that do not form an integrated transmission grid. SU FERC has only one customer, its affiliate Sharyland Utilities, L.P. of Texas.
Acting on ISO-NE’s compliance filing, FERC said that to protect the public interest, the grid operator could not retain the federal right of first refusal (ROFR) for incumbent utilities in its Transmission Operating Agreement. FERC also found the grid operator’s alternative proposal to remove references to a federal ROFR partially complies with Order No. 1000.
The order also requires ISO-NE to:
- Delete language that exempts from Order No. 1000’s requirements “identified needs” included in a regional system plan and “any needs assessment” concluded by ISO-NE prior to the compliance filing’s effective date.
- Submit a compliance filing to address certain deficiencies in ISO-NE’s planning process related to transparency and comparability transmission planning principles.
- Propose a process for selecting the more efficient or cost-effective transmission solution that resolves an identified transmission need driven by public policy requirements.
With regard to NTTG, the Commission said that members PacifiCorp, Deseret Generation & Transmission Cooperative, NorthWestern Corporation, Portland General Electric Company and Idaho Power Company must revise their individual open-access transmission tariffs (OATTs) to incorporate a number of provisions of the NTTG Regional Planning and Cost Allocation Practice Document and provide additional justification for several aspects of their regional transmission planning proposal. Among other things, the public utilities must revise their OATTs to:
- Implement their obligation to identify transmission solutions in the regional transmission planning process that more efficiently or cost-effectively meet the region’s transmission needs.
- Include additional detail regarding how the public utilities will address Order No. 1000’s requirement to consider transmission needs driven by public policy requirements in their local and regional transmission planning processes.
The further compliance filings are due within 120 days of the orders.