The Changing Structure of the Electric Power Industry 2000: An ... - EIA

Figure 6. Transmission Ownership in the United
States
14
Cooperative Utilities
6%
Publicly Owned
Utilities
8%
Federally
Owned
Utilities
13%
Investor-Owned
Utilities
73%
Estimated High-Voltage
Transmission Line Miles in the
United States, 1994 (Miles)
Investor-Owned 199,924
Publicly Owned 21,960
Cooperative 16,005
Federally Owned 35,675
Total 273,564
Source: Calculations made by the Energy Information
Administration, Office of Coal, Nuclear, Electric, and Alternate
Fuels, from data taken from FERC Form 1, “Annual Report of
Major Electric Utilities, Licensees, and Others.” (Data for
cooperative utilities are for 1997.)
The Texas Interconnect is not interconnected with the
other two networks (except by certain direct current
lines). The other two networks have limited interconnections
to each other. Both the Western and the
Texas Interconnect are linked with different parts of
Mexico. The Eastern and Western Interconnects are
completely integrated with most of Canada or have links
to the Quebec Province power grid. Virtually all U.S.
utilities are interconnected with at least one other utility
by these three major grids. The exceptions are utilities in
Alaska and Hawaii. The interconnected utilities within
each power grid coordinate operations and buy and sell
power among themselves.
Regulation of Transmission
Under authority of the Federal Power Act of 1935, as
amended, FERC exercises principal regulatory authority
over the transmission system. Under this authority,
FERC:
� regulates
� approves
� approves
� exercises
wholesale electricity rates and services
for wholesale transactions
sale or leasing of transmission facilities
mergers and acquisitions between
IOUs, and
jurisdiction over the interstate commerce
of electricity.
FERC’s authority covers about 73 percent of the power
transmission system in the United States, while the
remaining 27 percent is Federally owned, municipally
owned, or owned by cooperative utilities, and is not
under FERC’s jurisdiction.
Figure 7. The Main Interconnections of the U.S.
Electric Power Grid and the 10 North
American Electric Reliability Council
Regions
Energy Information Administration/ The Changing Structure of the Electric Power Industry 2000: An Update
WSCC
Western
Interconnect
MAPP
SPP
ERCOT
ERCOT
Texas Interconnect
MAIN
ECAR
SERC
Eastern
Interconnect
NPCC
FRCC
MAAC
ECAR - East Central Area Reliability Coordination Agreement
ERCOT - Electric Reliability Council of Texas
FRCC - Florida Reliability Coordinating Council
MAAC - Mid-Atlantic Area Council
MAIN - Mid-America Interconnected Network
MAPP - Mid-Continent Area Power Pool
NPCC - Northeast Power Coordinating Council
SERC - Southeastern Electric Reliability Council
SPP - Southwest Power Pool
WSCC - Western Systems Coordinating Council
Note: The Alaska Systems Coordinating Council (ASCC) is
an affiliate NERC member.
Source: North American Electric Reliability Council.
In 1965, a major blackout in the Northeastern United
States precipitated the voluntary formation of the North
American Electric Reliability Council (NERC). NERC is
responsible for overall reliability, planning, and coordination
of the electricity supply in North America. The
membership of NERC is unique�as a not-for-profit
corporation, NERC's owners comprise 10 Regional
Councils (Figure 7). The members of these Regional
Councils come from all segments of the electric
industry�utilities, independent power producers, power
marketers, and electricity customers. The councils cover
the 48 contiguous States, part of Alaska, and portions of
Canada and Mexico. The councils are responsible for
overall coordination of bulk power policies that affect
the reliability and adequacy of service in their areas.
They also regularly exchange operating and planning
information among their member utilities. However,
participation in NERC is voluntary and participants in
the industry are neither required to be a member nor to