As two electricity markets take shape across the West, state regulators are weighing the potential costs of bifurcating the region’s electric grid.
The two market options — one from California’s main grid operator, the other from Southwest Power Pool — both seek to better organize utilities west of the Rockies, allowing for better sharing of resources as the grid faces increasing challenges.
Some environmental groups are warning that the current bifurcated market that is developing may not offer consumers the maximum benefits. And as both markets press ahead with planned launches in the next two years, those concerns are growing louder.
“To be clear, any market is better than no market,” said Brian Turner, a director for the clean energy group Advanced Energy United. But, he added, having utilities join different markets has “limited potential upside” and threatens to isolate some in a less expansive market.
