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Electric Power Outlook - Pennsylvania Public Utility Commission

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NERC defines the bulk electric system as follows:<br />

As defined by the Regional Reliability Organization, the electrical generation<br />

resources, transmission lines, interconnections with neighboring systems, and<br />

associated equipment, generally operated at voltages of 100 kV or higher. Radial<br />

transmission facilities serving only load with one transmission source are generally<br />

not included in this definition. 12<br />

In an order issued Nov. 18, 2010, FERC directed NERC to revise the definition of the term “bulk<br />

electric system” through its Reliability Standards Development Process to address the FERC’s<br />

policy and technical concerns and ensure that the definition encompasses all facilities necessary for<br />

operating an interconnected electric transmission network pursuant to Section 215 of the Federal<br />

<strong>Power</strong> Act. FERC believes the best way to accomplish these goals is to eliminate the regional<br />

discretion in the current definition, maintain a bright-line threshold that includes all facilities<br />

operated at or above 100 kV except defined radial facilities, and establish an exemption process<br />

and criteria for excluding facilities that are not necessary for operating the interconnected<br />

transmission network. However, FERC’s Final Rule allowed NERC to develop an alternative<br />

proposal for addressing FERC’s concerns with the present definition. Any such alternative must<br />

be as equally efficient and effective as FERC’s suggested approach in addressing the identified<br />

technical and other concerns, and may not result in a reduction in reliability. 13 FERC noted that<br />

there is a strong technical justification for a standard 100-kV threshold, pointing out that facilities<br />

rated at 115 kV and 138 kV have either caused or contributed to significant bulk electric system<br />

disturbances and cascading outages.<br />

NERC has requested public comments on a new procedure for facility-by-facility determinations<br />

of inclusions or exclusions to the bulk electric system not otherwise resolved through the<br />

application of the definition of “bulk electric system.”<br />

Figure 1 provides a map of the eight NERC Regional Entities.<br />

12 NERC, “Glossary of Terms Used in Reliability Standards.”<br />

13 Docket No. RM09-18-000; Order No. 743.<br />

<strong>Electric</strong> <strong>Power</strong> <strong>Outlook</strong> for <strong>Pennsylvania</strong> 2010-15 3

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