Nearly a decade ago, the Federal Energy Regulatory Commission (FERC) adopted Orders 888 and 889 to open the nation?s transmission grids to use by parties other than the utility that owned each system. The Orders were intended to end perceived undue discrimination in how access to the grid was provided to third parties, but they were also part of a broader effort to encourage the development of wholesale electricity markets and improve their ability to bring the benefits of competition to electricity consumers. The principle that grid owners must provide open, non-discriminatory access to their systems was translated into the ?golden rule of comparability? ? owners would provide access to their grids on the same terms and conditions as they provided to themselves when engaging in inter-regional transactions. That principle spawned the notion that system operations needed to be performed in an independent, unbiased manner, which logically led to the movement to create Independent System Operators in many parts of the country. By 1999, FERC would adopt Order 2000, setting criteria for what ISOs do and how they would be governed.

The U.S. now has several years of experience with the FERC Orders, and five ISOs (six; counting ERCOT, which is outside FERC?s jurisdiction) now operate the grids that cover half the country and even more of the nations total generation and loads. Moreover, all of these ISOs operate bid-based spot markets for energy, sometimes operating reserves, and financial transmission rights ? concepts never mentioned (and sometimes very different from the notions) in Orders 888/889, and not even fully explained or required by Order 2000. They all function under essentially the same design for their market rules and pricing mechanisms ? all approved by FERC as consistent with its Orders. At the same time, grid owners in the non-ISO regions ? the Southeast and West outside California ? function under the pro forma tariffs of Orders 888/889 ? also with FERC?s approval. These regions convinced Congress to force FERC to halt describing what all of the ISOs do as a ?standard market design.? Many see the issue in federal vs. state terms.

FERC?s jurisdiction and its Orders are national, but we seem to have two fundamentally different systems for operating the same interconnected grid leading to critical questions:

• Is this sustainable?

• Does it make sense?

• What are the implications for reliability?

• Do the ISOs have the right formula for truly open, non-discriminatory transmission access, or can genuine open access occur by leaving system operations in the hands of vertically integrated utilities (not to mention federal marketing entities) that are complying with the very different notions of Orders 888/889?

• In non-ISO regions, is there some middle ground, such as the Entergy Independent Grid Administrator concept that would be acceptable?

Join us as we discuss: What will the electricity sector look like for the first half of this century? Register Today!

Who Should Attend

Senior industry executives ... Policymakers ... Energy economists .... Industry analysts ... Managers of regulatory affairs ... Power regulators

Speakers Include:

• John Chandley, Principal, LECG, Conference Chair

• William Hogan, Lucius N. Littauer Professor of Public Policy and Administration, John F. Kennedy School of Government, Harvard University

• William Massey, Partner, Covington & Burling, Former FERC Commissioner

• Richard O?Neill, Chief Economist, FERC

• Ron McNamara, Vice President, Midwest ISO

• Mary Ellen Paravalos, Director of Regulatory Policy, National Grid USA

• Steve Greenleaf, Director of Executive Operations, California ISO

• Kenneth Laughlin, Vice President, PJM Markets Coordination, PJM

• Stephen Spina, Partner, Morgan, Lewis & Bockius LLP

• Jay Morrison, Senior Regulatory Counsel, NRECA

• Bruce Edelston, Director, Policy and Planning, Southern Company

• David Sparby, Vice President, Government and Regulatory Affairs, Xcel

• Diane Munns, President, NARUC, Commissioner, Iowa Utilities Board

• Sandra Hochstetter, Chairman, Arkansas Public Service Commission

• David LaPlante, Vice President, Markets Development, ISO-New England

Register today!