in News Departments > New & Noteworthy
print the content item

The Electric Reliability Council of Texas (ERCOT), the grid operator for most of the state, is withdrawing its request for a fee increase filed last June with the Public Utility Commission in light of the recently announced delay in the nodal market implementation.

"The revised nodal schedule currently being developed suggests implementation will be delayed, so ERCOT management reviewed the revenue requirements for 2009," says Bob Kahn, president and CEO of ERCOT. "We concluded that the current fee of $0.4171 is sufficient to fund base operations until the new nodal budget and schedule are developed, after which updated 2009 operating costs can be more accurately predicted."
The board of directors approved the 2009 budget in May, with a $0.1527 increase in the system administration fee from $0.4171 to $0.5698 per MWh.

Management's conclusion that the system administration fee can remain unchanged for 2009 hinges on approximately $42 million of revenue requirement reductions that include the following:

- ERCOT labor and costs to support the nodal program will continue to be charged to the nodal program into 2009, rather than ceasing Dec. 1,

- projects scheduled to enhance the completed and operational nodal market will not be undertaken on the timeline contemplated in the 2009 budget, and

- additional incremental debt will either be avoided or repayment deferred until the nodal market is operational.

The system administration fee is assessed on wholesale energy transactions and becomes part of the overall cost of electricity.

SOURCE: Electric Reliability Council of Texas


Trachte Inc._id1770
Latest Top Stories

Utility-Scale Wind And Solar Keep Getting Cheaper

A new study measures the levelized cost of energy from various technologies and suggests that the costs of utility-scale wind and solar power are catching up with those of traditional sources, even without subsidies.


The Song Remains The Same: Ontario Seeks More Science Before Lifting Offshore Ban

The Ontario government says the nearly four-year-old offshore wind moratorium will remain in place until the province fully understands the technology’s impact on the environment.


Why States Should Adopt A Renewable Portfolio Standard

A new study analyzes the potential benefits of state renewable energy mandates, as well as recommends what such policies should include.


Sen. Reid Vows To Bring Wind PTC To A Vote By Year's End

Nevada's senior senator provides some encouragement to wind industry advocates during his annual Clean Energy Summit.


Steadily, Wind Turbine OEMs Resume R&D Investment

An increased commitment to research and development will likely lead to wind energy innovation - not to mention a likely increase in patent-protected technology.

Renewable NRG_id1934
Canwea_id1984
Future Energy_id2008
UnitedEquip_id1995