California’s transmission grid operator on Thursday proposed a path for funding the initial costs of an organization that state leaders hope will eventually oversee a sprawling electricity market across the West.
The California Independent System Operator published its draft final proposal for funding the startup costs of the Regional Organization for Western Energy, the new independent organization being set up to manage the regional energy markets the CAISO operates.
The move signals that the push to set up an independently governed regional electricity market is gaining momentum.
The new market was a centerpiece of Gov. Gavin Newsom’s (D) energy affordability policy package last year, and AB 825 paved the path for California to join the initiative. Golden State energy leaders hope that the independent governance will entice utilities in other states to join, allowing participants to save money by taking advantage of weather-driven electricity price differences across regions.
