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2010 Report - Pennsylvania Public Utility Commission

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According to a report issued by the National Council on Electricity Policy, <strong>Pennsylvania</strong> is one of11 states whose statutes do not address the topic of interstate transmission siting and interstatecoordination. 18 Participation in a regional organization, such as the PJM RTO, is one vehicle foraddressing interstate coordination on transmission development, including siting. The reportrecommends that states determine whether language in their statutes creates opportunities for orimpedes regional coordination, and consider reform, if necessary. States may also consider theenvironmental, economic, and health and safety benefits, in addition to the costs, that may resultfrom interstate transmission siting for consumers in their state and more broadly in theirrespective region. Having a vehicle such as an RTO may provide the basis for a long-termstrategy of equity in future decisions that share regional costs and benefits.On Jan. 28, <strong>2010</strong>, the <strong>Commission</strong> issued a Tentative Order 19 which sets forth specific InterimGuidelines to supplement the existing filing requirements, pending the conclusion of therulemaking process. The additional information to be included in the initial filing is intended tostreamline the application process by reducing the need for subsequent data requests, on a case-bycasebasis, to more completely develop the record necessary to process the application. Commentsto the Tentative Order were due March 30, <strong>2010</strong>.In recent transmission line siting proceedings, the <strong>Commission</strong> has given substantial weight toregional transmission studies conducted by PJM.The PJM Regional Transmission Expansion Plan (RTEP) identifies transmission system upgradesand enhancements to preserve grid reliability within the region, the foundation of competitivewholesale power markets. The RTEP five-year planning process enables PJM to assess andrecommend transmission upgrades to meet forecasted near-term load growth and to ensure the safeand reliable interconnection of new generation and merchant transmission projects seekinginterconnection within PJM. The 15-year planning horizon permits consideration of manytransmission options with longer lead times.PJM has addressed a number of critical issues in <strong>Pennsylvania</strong> having a bearing on reliabilitycriteria violations, which drive the need for regional transmission expansion plans. The RTEP hasidentified two major transmission line projects, approved by the PJM Board, which have an impacton <strong>Pennsylvania</strong>.18 The National Council on Electricity Policy, Coordinating Interstate Electric Transmission Siting: An Introduction tothe Debate, July 2008.19 Docket No. M-2009-2141293; 40 Pa.B. 953.Electric Power Outlook for <strong>Pennsylvania</strong> 2009-2014 9

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