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COMPETITIVE MARKETS PROVIDE PLATFORM FOR ENVIRONMENTAL, TECHNOLOGICAL BENEFITS
"Innovation occurs faster in competitive environments, because consumers will demand it," said FERC Commissioner Philip D. Moeller
WASHINGTON, D.C. - June 19, 2007: Electric power consumers, environmentalists and technology innovators recently voiced their support for competitive electricity markets, citing technological and environmental benefits. The June 14 COMPETE Coalition and the Electric Power Supply Association (EPSA) Spring Forum, "Driving Innovation for a Cleaner Future: The Power of Competitive Markets" featured the Honorable Philip D. Moeller, Commissioner at the Federal Energy Regulatory Commission (FERC) as the keynote speaker, and two panel discussions on technology's role and the environmental benefits of competitive markets.
"New choices, products, and services are on the horizon. Innovation occurs faster in competitive environments, because consumers will demand it," said Moeller. "Continuing to develop competitive electricity markets will encourage investment in electricity infrastructure - transmission, power plants and renewable sources - to improve delivery and reliability. We can't put vertically integrated systems back in place. Competitive markets will continue to evolve, there's no turning the clock back."
Panelists from industry, consumers and environmental organizations discussed their experiences dealing with structured electricity markets and answered questions posed by moderators and the audience. The full forum is available via webcast.
"Competitive wholesale electricity markets are critical to the future of wind energy. Through competitive electricity markets, I think we could easily double or triple the amount of wind energy we bring to consumers on an economic and reliable basis," said Robert Gramlich, Policy Director of the American Wind Energy Association.
"We're learning more ways to deliver efficiency savings to customers and shareholders," added Angela Beehler, Senior Director of Energy Regulation and Legislation for Wal-Mart Stores, Inc. "We're striving to use 100 percent renewable power by looking at every possible project, biomass, wind, hydro, because the flexibility of competitive markets provides greater benefits from these sources."
Panelists also discussed the issue of competitive electric markets and prices.
"It's not just about price, it's about stability, reliability and efficiency," said Jeffrey R. Gaudiosi, Vice-President of Regulatory Affairs at the Manufacturing Alliance of Connecticut. "Thanks to deregulation legislation in Connecticut we were able to develop efficiency programs for customers to run their homes and businesses more efficiently. We work with the efficiency funds stemming from deregulation so that members are only using the electricity that they need."
"Price transparency ultimately leads to innovation for the customer," remarked Wal-Mart's Beehler.
The second panel discussion focused on the role technology plays in competitive markets and meeting the industry's environmental commitments. Demand response is a key technology being used in the industry to improve energy efficiency and control energy use. Panelists touted the use of these systems and other technology as important but more so in competitive markets.
"New technology exists, but for it to work markets need to be better understood," said John Ragan, President of NRG Energy's Northeast Region.
"When you talk about large scale investment in competitive markets, we need the states to put a policy in place and let it work," added Ragan. "It's difficult to make large investments with regulatory uncertainty. Uncertainty drives up the cost of capital investment."
Moderator Nora Brownell, former FERC Commissioner, asked panelists to discuss the importance of regulatory redesign on fostering innovative technologies.
"For too long, our nation's policy has been dirt cheap energy and we have put ourselves and the planet at great risk," explained Paul Allen, Senior Vice President Corporate Affairs, Constellation Energy. "Energy must be affordable but we need to stop striving for artificial affordability at both the state and federal level."
CONTACT: JOHN SHELK
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EPSA is the national trade association representing competitive power suppliers, including generators and marketers. These suppliers, who account for nearly 40 percent of the installed generating capacity in the United States, provide reliable and competitively priced electricity from environmentally responsible facilities serving global power markets. EPSA seeks to bring the benefits of competition to all power customers.