Don Santa, president and CEO of the Interstate Natural Gas Association of America, released the following statement on today’s Federal Energy Regulatory Commission (FERC) technical conference on gas-electric integration issues:
We support FERC directing each ISO/RTO to report on its progress in refining existing practices to provide better coordination between the natural gas and electric industries and to address any natural gas transportation concerns that emerged during the past winter heating season. While these reports are informative, their lasting value depends on stakeholders’ application of their experience from last winter to develop fundamental, long-term solutions to ensure electric reliability.
“As INGAA and its member pipeline companies have stated before, the electric industry must assign value to maintaining reliability of the bulk power system and provide electric market participants the incentive to ensure that result. This will be necessary whether the solution is securing pipeline capacity to ensure the delivery of natural gas, liquefied natural gas, dual fuel capability or demand side alternatives.
“While it is worthwhile to explore opportunities to improve communications and energy scheduling, this alone will not resolve the fundamental issue. Communications and scheduling innovations will not ensure the delivery of energy to a generator when the means to deliver that energy are unavailable.
“INGAA appreciates FERC’s continued interest in natural gas and electricity market coordination. We look forward to working with FERC, electric transmission operators, our customers and other stakeholders to develop solutions to the challenges identified through this process.”
