Enron`s battle with PECO: An inside view from outside the industry

Journal Article · Sun Mar 01 04:00:00 EST 1998 · Fortnightly

OSTI ID:585220

Isser, S; Mitnick, S A ^[1]

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1. Hagler Bailly, Arlington, VA (United States)

For all the attention focused on new laws and regulations designed to create competition in electric power markets, too few people seem to grasp how a market can work. That will change, however, now that Pennsylvania is the first large state to embrace market pricing. Pennsylvania`s lawmakers and three of its five utility commissioners have developed a market to deliver the benefits of competition to consumers. Rather than {open_quotes}guarantee{close_quotes} politically attractive rate reductions, the Pennsylvania Public Utility Commission, led by Commissioner John Hanger, has challenged market forces to deliver more savings than contemplated in any supposed guarantee. The PUC`s decision in the PECO Energy restructuring case provides a guidepost for utility commissions around the nation for dealing with electric restructuring. In the end, the PUC rejected both the Partial Settlement and the Enron plan. Commissioners John Hanger, David Rolka and Norma Mean Brownell found a way to unleash market forces that fairly balanced the goals of the incumbent utility and consumers.

• OSTI ID: 585220
• Journal Information: Fortnightly, Journal Name: Fortnightly Journal Issue: 5 Vol. 136; ISSN FRTNE8
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
COMPETITION
DEREGULATION
ELECTRIC POWER INDUSTRY
MARKET
PENNSYLVANIA