ISOs/RTOs Report Performance Metrics

WASHINGTON, DC (12/07/2010)(readMedia)-- The independent system operators (ISOs) and regional transmission organizations (RTOs) regulated by the Federal Energy Regulatory Commission (FERC) today submitted to FERC a metrics report providing extensive data on grid operations and power markets in their regions.

The California Independent System Operator Corporation (California ISO), ISO New England, Inc. (ISO-NE), Midwest Independent Transmission System Operator, Inc. (Midwest ISO), New York Independent System Operator (NYISO), PJM Interconnection, L.L.C. (PJM) and Southwest Power Pool, Inc. (SPP) compiled the report as part of FERC's efforts to develop standardized measures to track the performance of grid operations and power markets in ISO/RTOs and other regions of the nation.

Prepared at FERC's request, the report includes more than 50 separate metrics providing information on electric system reliability, wholesale electricity market benefits and the organizational effectiveness of the six ISOs/RTOs under FERC jurisdiction.

"The wide array of information provided by the report illustrates the transparency of ISO/RTO operations and markets," said Stephen G. Whitley, president and chief executive officer of the NYISO and chair of the ISO/RTO Council. "Overall, the report shows that ISOs/RTOs are operating the grid reliably, administering markets openly and efficiently, advancing public policy energy objectives and enabling demand response and energy efficiency. In New York, the metrics will add to our collaborative efforts with stakeholders to continuously measure and enhance the NYISO's performance."

"The California ISO is proud of the performance metrics highlighted in the report such as the $9.5 billion in transmission expansion approved by the ISO, much of which is already constructed. More good news shows 18,000 megawatts of new generation was built in the last decade," said Yakout Mansour, president and chief executive officer of the California ISO. "Renewable integration is facilitated by our new market system, which also has resulted in greater market liquidity, competitive prices and enhanced reliability."

"ISO New England is pleased to be a part of the ISO/RTO Metrics Report," said Gordon van Welie, president and chief executive officer of ISO New England Inc. "For more than 13 years, ISO New England has consistently delivered value to New England, and we have made significant progress in developing much needed infrastructure in the region. The metrics discussed in the report provide valuable insight into the progress that we have made in markets development, operations and regional system planning."

"This report is a welcome complement to Midwest ISO's development and refinement of our own value proposition metrics," said John Bear, president and chief executive officer of the Midwest ISO. "Since the Midwest energy markets began in 2005, we have continued to collaborate with our stakeholders to create and enhance our meaningful and effective set of tools that measure the value the Midwest ISO provides to them and their customers."

"The product of a 16-month collaborative process, this report demonstrates the commitment to transparency in the operations of ISOs/RTOs allowing the public to be more aware of how our industry provides cost-effective services to the more than 170 million consumers in ISO/RTO regions," said Terry Boston, president and chief executive officer of PJM Interconnection.

According to Nick Brown, president and chief executive officer of the SPP, "This is the first time our organizations have worked together to compile such a wide variety of data. This report, which highlights SPP's recent success in implementing several innovative cost allocation initiatives, will help FERC and other stakeholders better understand the individual and collective benefits of ISOs and RTOs."

The report notes that its data should be viewed in context, given significant differences in the geographic territories served by the ISOs/RTOs, the regional reliability requirements developed for each system, the unique components of market designs, the composition of available power resources and other variables.

The report is intended to complement other mechanisms in place to measure ISO/RTO performance, including other detailed information annually submitted to FERC, the respective State of the Market reports for each ISO/RTO, FERC's annual State of the Market Report, and reporting measures developed by the individual ISO/RTOs.

A copy of the complete document, 2010 ISO/RTO Metrics Report, is available for download from the ISO/RTO Council website, www.iso-rto.org.

For more information on the report, please contact:

Thomas J. Rumsey

Vice President, External Affairs, New York Independent System Operator

Chair, ISO-RTO Council Communications Committee

518-356-8534

For more information regarding an individual ISO or RTO, please contact:

• California ISO: Stephanie McCorkle – 916 351-2238

• ISO New England: Ellen Foley – 413-535-4139

• Midwest ISO: Midwest ISO Media Line – 317-432-4507

• New York ISO: David Flanagan – 518-356-7325

• PJM Interconnection: PJM Corporate Communications – 866-PJM-NEWS (866-756-6397) toll-free or at 610-666-2200.

• Southwest Power Pool: Emily Pennel – 501-614-3337

About the California ISO

The California ISO operates the state's wholesale transmission grid, providing open and non-discriminatory access supported by a competitive energy market and comprehensive planning efforts. Partnering with more than 90 client organizations, the ISO is dedicated to the continual development and reliable operation of a modern grid that operates at the least cost to the benefit of consumers. The ISO bulk power market allocates space on transmission lines, maintains operating reserves and matches supply with demand. Recognizing the importance of global climate change, the ISO welcomes new, advanced technologies that will help meet the energy needs of 30 million Californians efficiently and cleanly. The ISO is a nonprofit public benefit corporation. For more information, visit www.caiso.com.

About ISO New England

Created in 1997, ISO New England is the independent, not-for-profit corporation responsible for the reliable operation of New England's electric power generation and transmission system, overseeing and ensuring the fair administration of the region's wholesale electricity markets, and managing comprehensive regional electric power planning. For more information, visit www.iso-ne.com.

About the Midwest ISO

The Midwest ISO ensures reliable operation of, and equal access to high-voltage power lines in 13 U.S. states and the Canadian province of Manitoba. The Midwest ISO manages one of the world's largest energy markets, clearing nearly $23 billion in energy transactions annually. The Midwest ISO was approved as the nation's first regional transmission organization (RTO) in 2001. The non-profit 501(C)(4) organization is governed by an independent Board of Directors, and is headquartered in Carmel, Ind., with operations centers in Carmel and St. Paul, Minn. Membership in the organization is voluntary. For more information, visit www.midwestmarket.org.

About the New York ISO

The New York Independent System Operator (NYISO) is a not-for-profit corporation responsible for operating the state's bulk electricity grid, administering New York's competitive wholesale electricity markets, conducting comprehensive long-term planning for the state's electric power system and advancing the technological infrastructure of the electric system serving the Empire State. For more information, visit www.nyiso.com.

About PJM Interconnection

PJM Interconnection, founded in 1927, ensures the reliability of the high-voltage electric power system serving 51 million people in all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia. PJM coordinates and directs the operation of the region's transmission grid, which includes 6,038 substations and 56,500 miles of transmission lines; administers a competitive wholesale electricity market; and plans regional transmission expansion improvements to maintain grid reliability and relieve congestion. Visit PJM at www.pjm.com.

About the Southwest Power Pool

Southwest Power Pool, Inc. is a group of 54 members in Arkansas, Kansas, Louisiana, Mississippi, Missouri, Nebraska, New Mexico, Oklahoma and Texas that serve more than 5 million customers. Membership is comprised of investor-owned utilities, municipal systems, generation and transmission cooperatives, state authorities, wholesale generators, power marketers and independent transmission companies. SPP's footprint includes 29 balancing authorities, 47,000 miles of transmission lines and 370,000 square miles of service territory. SPP was a founding member of the North American Electric Reliability Corporation in 1968 and was designated by FERC as a Regional Transmission Organization (RTO) in 2004 and a Regional Entity (RE) in 2007. As an RTO, SPP ensures reliable supplies of power, adequate transmission infrastructure, and competitive wholesale prices of electricity. The SPP RE oversees compliance enforcement and reliability standards development. For more information, visit www.spp.org.