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SPP Receives FERC Approval to be First RTO Operating in Both Eastern and Western Interconnections

LCG, March 205, 2025--The Southwest Power Pool (SPP) today announced it will soon be the first regional transmission organization (RTO) in the nation to provide full services in both the Eastern and Western Interconnections of the U.S. power grid. On March 20, the Federal Energy Regulatory Commission (FERC) unanimously approved Southwest Power Pool’s amended tariff that includes provisions that enable Western members to join the RTO. The expansion of the SPP RTO is scheduled to go live April 1, 2026.

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LCG Publishes Updated 2025 Annual Outlook for Texas Electricity Market (ERCOT)

LCG, March 20, 2025 – LCG Consulting (LCG) has released a second edition of its annual outlook of the ERCOT wholesale electricity market for 2025, highlighting the region's rapid transition toward increased reliance on renewable energy resources and battery storage.

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Industry News

PG&E Asks Federal Court for Future Power Cost Recovery

LCG, Jan. 26, 2001Pacific Gas & Electric Co., which may have blown $6.6 billion in 2000 by not insisting on getting paid for electric power it delivers to profligate customers, went to federal court yesterday to get affirmation that it can collect for future power deliveries.

The company has already asked the court for help in getting it paid for last year.

"All of the principal participants in this regulatory drama, from the Federal Energy Regulatory Commission to the California Public Utilities Commission itself, have formally acknowledged that, as a matter of federal preemption, PG&E is entitled to recover these wholesale costs from its customers," the company said in its filing with the U.S. District Court yesterday.

At issue, PG&E says, is whether the CPUC, in violation of the Supremacy Clause of the United States Constitution, may nullify federally-regulated tariffs which it ordered PG&E to follow in its purchase of electricity.

Southern California Edison Co., which is in the same fix as PG&E but for a billion fewer dollars, has a similar lawsuit going in the District Court in Los Angeles.

PG&E's motion asks the to order the CPUC to allow it "to recover in rates the true cost of the electricity it is purchasing on a going-forward basis so that PG&E can afford to buy vitally needed power for California," the company said.

"Rarely has a more urgent plea for relief been brought before this or any court. PG&E is both captive to and victim of California's deregulated electricity market, a market described by government officials in terms ranging from 'disastrous' to 'apocalyptic," the utility said in its papers.

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