A convergence of electric system problems has created the need for investment in energy efficiency resources by electric utilities and comparable treatment of energy efficiency resources by regional independent system operators including the Midwest Independent System Operator (MISO) in order to achieve reliability, economic and environmental benefits. The problems include:
- Sharply rising energy costs
- Load growth and deteriorating load factors
- Falling reserve margins/resources adequacy concerns
- Grid congestion and system reliability concerns
- Aging generation and transmission infrastructure
- Growing concerns about greenhouse gas emissions
MEEA is working with NRDC’s Project for Sustainable FERC Energy Policy to encourage the integration of energy efficiency resources into the Midwest Independent System Operator’s wholesale markets and planning processes. We believe that full integration of energy efficiency into MISO’s work will reduce load growth and address system reliability, market efficiency and environmental concerns.
To that end, MEEA, the Project for Sustainable FERC Energy Policy, and Synapse Energy Economics, our technical experts, have engaged stakeholders in the
Organization of MISO States’ Cost Allocation Regional Planning (“CARP”) process. As a result, MISO modelers have included low-growth, high-energy-efficiency scenarios in the CARP planning models and engaged a consultant to enhance their modeling capabilities around energy efficiency and demand response.
MEEA and the Project have also joined MISO’s Environmental Sector stakeholders, including the Environmental Law & Policy Center and Wind on the Wires, to submit recommendations to the Brattle Group, who is preparing recommendations for MISO on demand response and resource advocacy in the MISO footprint.
We are heartened by the release of MISO’s 2009 Transmission Expansion Plan, which recognized the important role that energy efficiency can play in the planning process, and acknowledged that clean energy, smart grid, and energy efficiency are all programs that will affect generation utilization and transmission planning.
Going forward, MEEA will continue to work with our allies to study modeling results, submit comments for the 2010 MTEP, and find common ground with diverse constituencies to move energy efficiency forward at MISO.