Dangerous Proposal

Dangerous Proposal

A left wing think tank, Energy Innovation, recently proposed that the Southeastern states adopt an RTO/ISO structure for determining which source of electricity to use on the electric grid, for determining whether wind and solar should be used for reserve capacity. 

Energy Innovation used computer models to support its proposal. We now know that modeling is not reliable for determining real world outcomes.  The nation has been exposed to too many models where garbage in, has resulted in garbage out.

Currently, the Southeastern area is managed by traditionally regulated utilities.

This map shows areas managed by RTO/ISOs.

Areas in color are the areas managed by RTO/ISOs

The book, The Looming Energy Crisis, Are Blackouts Inevitable? has compared RTO/ISO results with results from traditionally managed areas, and demonstrated that prices for electricity have increased faster in RTO/ISO areas than in traditionally managed areas.

It also established that traditionally managed areas have greater reliability.

These are real world results that can be verified by using real time data.

This Table from The Looming Energy Crisis, Are Blackouts Inevitable? establishes that the cost of electricity for consumers has increased faster in areas managed by RTO/ISOs.

The book also demonstrates that reserve margins are placed in great danger when RTO/ISOs use wind and solar for reserve capacity. Using wind and solar as reserve capacity reduces reserve margins to dangerous levels. 

This is why California recently had rolling blackouts.

Graph from The Looming Energy Crisis, Are Blackouts Inevitable? shows negative reserve margins when wind and solar capacity is unavailable

Everyone living in the Southeastern United States needs to become aware of this attempt to endanger the grid. They need to speak out against the proposal.

If you know someone living in  the Southeastern United States please forward this article to them since changes, such as the one being proposed by Energy Innovation, are rarely mentioned in the media.

. . .

You can read the introduction and look at the Table of Contents here:

Looming Energy Crisis, Are Blackouts Inevitable?


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6 Replies to “Dangerous Proposal”

  1. Thank you for this. Right now, the non-RTO areas are the ones with decent margins, decent reliability, and decent costs and profits. I hope they don’t fall for outmoded hype and think that the non-market markets (they are not really markets) in RTOs can improve their situations.

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