TVA Joins Other Transmission Providers to Promote Seamless Market
April 17 , 2002
The Tennessee Valley Authority and three other major transmission providers in the Southeast and Midwest have agreed to work together to develop uniform and seamless transmission service across a large portion of the power grid in the Eastern United States.
TVA, the nation’s largest public power provider, headquartered in Knoxville, Tennessee, has signed memoranda of understanding with the Midwest Independent Transmission System Operator (MISO), based in Carmel, Indiana; Southern Company, based in Atlanta; and Entergy, headquartered in New Orleans. Together the four transmission providers own or operate about 150,000 miles of transmission lines serving an area totaling more than one million square miles.
“We’re very pleased to be involved in this effort to develop broad, seamless transmission service,” said TVA Chairman Glenn McCullough, Jr. “TVA operates one of the strongest, most reliable systems in the nation, providing affordable, reliable power to our customers. We recognize that as wholesale power markets develop, there must be stronger regional approaches to ensure uniform access, equitable market rules, and quality transmission service nationwide.”
The
memoranda of understanding establish a framework for the transmission
providers to develop formal regional coordination agreements that would
ensure seamless transmission services. Specifically, the regional coordination
agreements would provide:
- A simplified
transmission rate structure for moving power into, out of, or across
the region
- A coordinated
system for reserving transmission service
- Common methods
for managing transmission congestion
- Coordinated planning
and expansion of the grid
- Common protocols
for determining available transmission capacity that may be offered
to others
- Common protocols
for ensuring reliability and relieving transmission congestion during
emergencies
- A common process for connecting generators to the power grid.
Under the agreements, each transmission provider would retain existing ownership or stewardship over its respective system.
“Seamless transmission service is essential to functioning wholesale power markets,” said MISO’s president and chief executive officer, Jim Torgerson. “These agreements, when finalized and combined with our recent agreement with PJM, will go a long way toward meeting FERC’s basic intent to provide open access to transmission service across a major portion of the Eastern interconnection.”
“As a leading provider of transmission service in the Southeast, the ability to provide transmission service in a seamless manner to people throughout a broader region will benefit everyone,” said Frank Gallaher, Entergy’s president of fossil operations and transmission.
The regional coordination agreements would complement any additional transmission coordination efforts in which TVA, MISO, Southern Company, and Entergy are involved. These efforts include the existing MISO membership, as well as the proposed SeTrans Regional Transmission Organization involving Southern, Entergy, and several other Southeastern utilities.
TVA continues work on a Public Power Regional Transmission Grid with potential partners that include East Kentucky Power Cooperative, Associated Electric Cooperative Inc., and Big Rivers Electric Corporation.
Media Contact:
John Moulton, Knoxville (865-632-8048) or TVA News Bureau (865-632-6000)
