Uploaded by iqc201

Right of First Refusal - Notes

May 6, 2020 Notes
~4.5 billion in competition projects since Order 1000
Yet 97% of ISO/
Mutliple Approaches to Planning
o Regional planning – ties into future based scenario planning.
 Determine what is the best fit for
Different portfolio of changes throughout the system
The MVP system approved before the competitive process was unique
o States across MISO recognized need to address the system’s needs and come up
with a portfolio of projects
This type of planning is now falling behind
o Issues like cost allocation remain
o But transmission capacity is maxed out
o High network upgrade cost in MISO
 Indicate that we need more transmission
 Problem exists in other systems as well
o Need for transmission is clear to integrate renewables
How does this tie into ROFR and competitive process?
o Competition can encourage transmission development, but there are states still
with ROFR or ones that didn’t where ROFR re-emerged
o Need modifications to Order 1000
[History of transmission issues]
In the 1990s, FERC issued its first order on transmission, Order No. 890
Order No. 1000 focused on rates rather than whether supported wholesale power
o Stated that tariffs may not include ROFRs
o Requires the regional bodies to file tariff amendments to comply with the
 Utilities fought this vigorously – said ROFRs were necessary for RTOs
 Utilities lost all the federal cases where they fought this issue
Two models for competitive transmission development have emerged
o Sponsorship
o Solicitations