Electric Industry Overview:Electric Industry Overview: Municipal Electric UtilitiesMunicipal Electric Utilities

• Municipal Utilities are not-for-profit electric systems owned and operated by the people and communities they serve.

o 1,843 are operated by cities and towns, 109 by political subdivisions, 43 by joint agency actions (often a consortium of public power systems) , and 15 state-established utilities.

o The first public power systems were established in 1880, pre-dating Edison’s central generation station.

*The statistics presented herein as well as additional information about municipal power can be found at www.appanet.org.

Electric Industry Overview:Electric Industry Overview: Cooperative Electric Cooperative Electric UtilitiesUtilities

• Cooperatives owned by the customer to whom they provide electric service.

o FDR created the Rural Electrification Administration (REA) in 1935 by executive order. The REA act was passed in 1936.

o There are more than 900 electric cooperatives in the US today.

o Cooperatives provide electric service to approximately 12 % of the US population, maintaining 42% of the nation's electric distribution lines.

*The statistics presented herein as well as additional information about cooperative power can be found at www.nreca.org.

Electric Industry Overview:Electric Industry Overview: Federal Power Marketing Federal Power Marketing Admins. (PMAs)Admins. (PMAs)

The four PMAs are federal agencies within DOE which are responsible for marketing hydro power. Power marketing began in the early 1900s when power from federal water projects in excess of project needs was sold in order to repay the government's investment in the projects. They are:

• Western Area Power Administration (WAPA)• Bonneville Power Administration (BPA)• Southeastern Power Administration (SEPA)• Southwestern Power Administration (SWPA)

PMA map courtesy of WAPA

Electric Industry Overview:Electric Industry Overview: Electricity Fuel Supply Mix Electricity Fuel Supply Mix 20072007

Total = 4.158 Billion MWh

Regional Transmission Regional Transmission Entities:Entities: The RTOs & ISOsThe RTOs & ISOs

The RTOs & ISOs grew out of FERC Order Nos. 888 & 889 as a way for tight pools to satisfy the requirement to provide non-discriminatory transmission access. RTOs administer their regional wholesale electric market, provide transmission service, and perform transmission planning on a regional basis.

o New England ISO

o PJM Interconnection

o Midwest ISO

o SPP RTO

o ERCOT ISO

o California ISO

Electric Industry Overview:Electric Industry Overview: U.S. Solar & Wind PotentialU.S. Solar & Wind Potential

Electricity 101:Electricity 101:Expanding Your Utility Expanding Your Utility VocabularyVocabularyOpen Access Same Time Information System (OASIS)

An electronic information system that allows users to instantly receive data on the current operating status and transmission capacity of a transmission provider. FERC established standards for OASIS in Order No. 889. OASIS is designed to provide information on:

–The availability of transmission services–Hourly transfer capabilities between control areas–Hourly amounts of firm and non-firm power scheduled at various points–Current outage information–Load flow data–Current requests for transmission service–Secondary market information regarding capacity rights that customers wish to resell

Transmission & Wholesale Transmission & Wholesale Markets SchoolMarkets School Electricity Electricity 101101

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