Western Regional Electricity Market Progress Continues to be Made
Today, the Launch Committee for the West-Wide Governance Pathways Initiative released Step 2 of its Straw Proposal, which proposes to establish a new, independent Regional Organization (RO) to govern existing regional energy markets (EIM and EDAM), as well as potentially provide additional market services in the future. Clean energy industry representatives from Advanced Energy United, Renew Home, Enel North America, and Leap provided the following statements on the proposal, which will also help advance efforts to build a regional transmission organization (RTO) in the West.
“Step 2 squarely addresses concerns raised by many Western stakeholders by proposing an independent governing body that will oversee our energy markets. This lays the groundwork for a unified Western market, allowing states to maintain autonomy over their energy policy goals while benefiting from shared resources,” said Leah Rubin Shen, Managing Director at Advanced Energy United. “The Launch Committee is also working to balance diverse stakeholder interests, recognizing that the energy system is evolving and our market structures must evolve with it. By crafting a governance structure that includes clear stakeholder roles and access for Distributed Energy Resource (DER) providers, the Pathways Initiative has the potential to ensure that the new regional organization will fully meet both current and future needs of our electricity grid.”
“The West-Wide Governance Pathways Initiative is making significant strides toward establishing an independent governance structure for a West-wide wholesale electricity market,” said Elysia Vannoy, Regulatory Affairs Manager at Renew Home. “Renew Home strongly supports the Straw Proposal’s inclusion of a dedicated DER sector, ensuring that aggregators, technology providers, distributed generation, and load flexibility all have a meaningful role in shaping market policies. DER representation in the regional organization stakeholder process is vital to fostering innovation, enhancing grid reliability, and ensuring these critical resources are fully integrated into the regional market.”
'Enel North America is very excited about the progress that the Pathways Initiative has achieved to date. The Step 2 Straw Proposal allows for the operation of a Western day-ahead and real-time electricity market and a structure to separate the roles and responsibilities of the newly-formed independent governance entity and the California Independent System Operator,” said Mona Tierney-Lloyd, Head of Regulatory & Policy at Enel North America. "Markets are extremely important to providing visibility and transparency on price and availability of electricity. We see the formation of a Western market as a necessary step to encourage the development of clean electricity services and the efficient transmission of low-cost energy to consumers."
“Leap appreciates the thoughtful, collaborative approach that the Pathways Launch Committee has taken in building consensus around the development of a new Regional Organization (RO), which will support cost reductions and clean energy integration in the Western U.S.,” said Collin Smith, Regulatory Affairs Manager at Leap. “Distributed energy resources (DERs) will play an important role in achieving both these goals. Leap supports the steps the Launch Committee has taken to incorporate DERs into the RO's governing structure, especially by proposing the inclusion of a DER sector on the RO's Stakeholder Representatives Committee.”
Click here to learn more about our work advocating for a West-wide RTO and learn more about the West-Wide Governance Pathways Initiative by clicking here.