What is the Federal Energy Regulatory Commission doing?
A accompanying FERC Environmental Impact Statement demonstrated that Eastern air quality is expected to decline as a result of restructuring’s providing an outlet for currently unused Midwestern coal-fired capacity. FERC reasoned that its actions on the wholesale level would not increase this potential and might, in fact, decrease it, depending on the relative prices of gas and coal. Commissioners have been adamant in stating their belief that environmental problems resulting from general, largely state-controlled electricity restructuring should be handled by the Environmental Protection Agency. Q. Does NGSA support Order 888? A. NGSA has serious concerns about the method FERC set up for handling stranded costs, exit fees, which could: • Act as a disincentive to customers to change electricity suppliers, thus rewarding high-cost, inefficient utilities and permitting them to prosper. • Erode the viability of IPPs before the establishment of a fully competitive electricity industry, thu
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