BOSTON, Jan 10, 2006 /PRNewswire

 

Today the New England Coalition for Reliable Electricity (http://www.NECORE.org) called for local politicians and government officials to support the Locational Installed Capacity (LICAP) proposal as a solution to the state's energy crisis. Recently, local politicians have called for increased conservation to stave of the region's energy and electricity crisis:

But is conservation enough? Are there other methods and policies New England should focus on to increase its electricity supply?

"However many conservation measures we adopt, it won't be enough to satisfy our growing demand for electricity, which will increase at an annual rate of 1.5% for as long as industry experts can forecast. That's because we need a larger and more reliable energy supply than the one we have now," said Cindy Eid, executive director of the New England Coalition for Reliable Electricity (NECORE). "I applaud Governor Douglas and Senator Bartlett for shining more light on such an important issue but focusing on conservation is not enough. New England needs the LICAP proposal to curb electric bills from skyrocketing and increase the electricity supply -- both of which are greatly needed."

Proposed by the ISO- New England, a nonprofit corporation that coordinates the region's power supply and keeps electricity flowing, the Locational Installed Capacity (LICAP) proposal would prevent future electric bills from skyrocketing, provide cleaner and more affordable electricity, create additional good-paying jobs and lead to cleaner air and water.

LICAP is currently under the Federal Energy Regulatory Committee's (FERC) review. Once in place, LICAP would increase the region's power supply by compensating electricity producers for expanding their generating capacity where that additional capacity is most needed and before growing demand for electricity overwhelms supply.

A report prepared by CRA International and released by NECORE found that implementing LICAP would give New England's energy consumers a more affordable and more reliable electricity system compared to maintaining the regulatory structure currently governing New England's electricity market. Furthermore, the report found that over a period of 20 years the improved electricity network made possible in large part by LICAP could provide the region with an annual economic benefit of $161 per household and could lead to the creation of 15,522 new jobs.

The New England Coalition for Reliable Electricity (NECORE) is dedicated to promoting economic growth and ensuring a cleaner, reliable and more affordable supply of electricity in New England communities. http://www.NECORE.org.

To view CRA International study (including state by state analysis), please visit: http://www.necore.org/cgi-bin/press/display.cgi?doc=8.

SOURCE New England Coalition for Reliable Electricity

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