This sounds like an issue we should be coordinating with the East desk too.
---------------------- Forwarded by Mary Hain/HOU/ECT on 02/20/2001 03:55 PM 
---------------------------


Steve Walton
02/20/2001 10:04 AM
To: Alan Comnes/PDX/ECT@ECT
cc: mhain@enron.com, steve.walton@enron.com 
Subject: Re: RTO West/PLCG [Fwd: Market Based Transmission Expansion]  

Alan,
 While an open season is useful, I am not sure we need to require it in all 
instances.  If a developer of a generation project needs to build 
transmission to get its energy to market, they should be allowed to build it 
and get FTRs.  This presumes that the builder will have to negotiate the 
obstacle course associated with construction (environmental, reliability, and 
other siting approvals).  There are currently so many safeguards in place and 
building is so difficult, that any requirement for open season may well be 
generated when you try to use scarce right of way to build less than an 
optimal line.  This is exactly the debate going on in this committee, so as 
you say, the devil will reside at details.com.

Steve



	Alan Comnes
	02/20/2001 09:33 AM
		 
		 To: steve.walton@enron.com, mhain@enron.com
		 cc: 
		 Subject: RTO West/PLCG [Fwd: Market Based Transmission Expansion]

Steve, Mary:

Other than stating that the "devil is in the details," I am not sure I found 
this that illuminating.

Can I assume that we support giving whoever invests in transmission, any 
identifiable capacity (via FTRs) created by the expansion?  I also assume any 
expansion may need an open season type procedure to make sure the expansion 
is broadly distributed to prevent monopoly power ....

GAC
---------------------- Forwarded by Alan Comnes/PDX/ECT on 02/20/2001 07:28 
AM ---------------------------


"Kristi M. Wallis" <kristiwallis@sprintmail.com> on 02/19/2001 05:28:40 PM
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cc:  

Subject: RTO West/PLCG [Fwd: Market Based Transmission Expansion]


To Members of the RTO West Stage 2 Planning Content Group:

Hello!

Attached are some materials regarding market driven expansion that Phil
Parks of BC Hydro provided for distribution.  I'll have hard copies of
this material at tomorrow's small group meeting.  Our thanks to Phil for
providing this information!

Thanks!  Kristi

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From: "Park, Phil" <Phil.Park@BCHydro.bc.ca>
To: "Gillespie, Don" <Don.Gillespie@BCHydro.bc.ca>,        "'Scott Waples, 
Avista'"  <swaples@avistacorp.com>,        "'Kristi Wallis'" 
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<ken.morris@pacificorp.com>,        "'Kurt Conger'"  
<kconger@nrgxs.com>,        "'Marv Landauer, BPA'" 
<mjlandauer@bpa.gov>,        "'Ren Orans'" <ren@ethree.com>,        "'Bob 
Easton, WAPA'" <aeaston@wapa.gov>,        "'Larry Luna, Nevada Power'" 
<luna@nevp.com>
Subject: Market Based Transmission Expansion
Date: Thu, 15 Feb 2001 13:15:40 -0800
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 <<nyseg_value_creation_pres_101000.pdf>>

Attached is a presentation of the NYISO Working Group on "Principles of
Market-Based Expansion Process".  It discusses the free rider problem of
market based transmission expansion.  The section titled "The Devil is in
the Details" describes a proposal for paying the transmission investor for
the reinforcement - the transmission investor would receive one half of the
difference in congestion charges between the with and without reinforcement
cases.

This proposal was developed last fall for the NYISO.  More discussions are
planned to determine the feasibility of the proposal.  The contact I have is
Bob Reed of New York State Electric and Gas Corporation, 607 762 7256,
rgreed@nyseg.com.  This and other NYISO Transmission Planning proposals can
be found at
http://www.nyiso.com/services/documents/groups/mc_rto_wg/meeting_materials.h
tml

 - nyseg_value_creation_pres_101000.pdf