FERC’s Spitzer Cites Innovation, Environmental Benefits of Competition
Please click here to watch a video of the discussion between FERC Commissioner Marc Spitzer and former FERC Commissioner William Massey, on March 17, 2009.
WASHINGTON, DC — Competitive electricity markets provide the best environmental outcomes, promote jobs and offer the best value for consumers, Commissioner Marc Spitzer of the Federal Energy Regulatory Commission said Tuesday at an event hosted by the COMPETE Coalition.
Spitzer, who discussed issues FERC will focus on in the coming year, called competition “something uniquely American.” FERC’s consistent, long-standing, bipartisan policies on competition and markets “will not change,” he said, citing the example of FERC’s promotion of competition in the natural gas industry.
“At FERC I expect that there will be a continued effort to speak with a unanimous voice, which means there will be a degree of stability, which is important when we’re talking about a sector with a need for major capital investments,” Spitzer said, citing the innovation and environmental benefits of competitive markets for electricity.
The discussion, moderated by former FERC Commissioner William Massey, coincided with the release of the COMPETE Coalition’s Policy Blueprint, which finds that competitive markets are working well and should not be fundamentally modified. The Blueprint urges policymakers to retain key features of organized competitive electricity markets, including (a) single clearing price auctions, (b) day-ahead and real-time spot markets, (c) independent administration of the integrated power grid and the market, (d) independent market monitoring and oversight, and (e) large geographic scope assuring the largest number of competitors
and the widest array of resources.
Massey cited the track record of successful well-functioning competitive electricity markets as an important aspect of addressing our nation’s energy challenges, such as the need to invest a projected $1.5 trillion to replace and modernize our electricity infrastructure while also curbing emissions that contribute to climate change.
“Ultimately, we need to ensure that existing wholesale markets are not fundamentally modified. These markets are operating as intended, delivering benefits and safeguards that promote innovation, investment and reliability – which are becoming increasingly critical as the demand for energy continues to grow and our infrastructure ages,” Massey said.
Senator Don Nickles, Co-Chair of COMPETE, opened the event noting that COMPETE’s membership roster recently surpassed the 300-member mark.
“COMPETE is leading the charge to make certain that competitive markets continue to bring environmental and economic benefits to consumers, and our growing membership reflects the fact that consumers recognize those benefits,” Nickles said.
