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A survey of transmission tariffs in North America

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  • Lusztig, C.
  • Feldberg, P.
  • Orans, R.
  • Olson, A.

Abstract

One goal of electricity restructuring is to facilitate voluntary transactions in workably competitive wholesale electricity markets. Unfettered wholesale trading, however, can only take place under open and comparable access to transmission by all market participants at non-discriminatory tariffs. Since a rich body of literature exists for topics like nodal pricing, transmission rights, ancillary services, and optimal dispatch, this paper's focus is to survey the transmission tariffs actually used in North America to achieve open and comparable transmission access. In doing so, it provides a practical guide to developing a transmission tariff, illustrated by the survey's role in shaping the tariff filed by a company like the British Columbia Transmission Company (BCTC) with its regulator, the British Columbia Utilities Commission (BCUC).

Suggested Citation

  • Lusztig, C. & Feldberg, P. & Orans, R. & Olson, A., 2006. "A survey of transmission tariffs in North America," Energy, Elsevier, vol. 31(6), pages 1017-1039.
    • Handle: RePEc:eee:energy:v:31:y:2006:i:6:p:1017-1039
    DOI: 10.1016/j.energy.2005.02.010
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    References listed on IDEAS

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    1. Zarnikau, J. & Tsai, C.H. & Woo, C.K., 2020. "Determinants of the wholesale prices of energy and ancillary services in the U.S. Midcontinent electricity market," Energy, Elsevier, vol. 195(C).
    2. Cao, K.H. & Qi, H.S. & Li, R. & Woo, C.K. & Tishler, A. & Zarnikau, J., 2023. "An experiment in own-price elasticity estimation for non-residential electricity demand in the U.S," Utilities Policy, Elsevier, vol. 81(C).
    3. Woo, Chi-Keung & Horowitz, Ira & Tishler, Asher, 2006. "A critical assessment of the Hong Kong Government's proposed post-2008 regulatory regime for local electricity utilities," Energy Policy, Elsevier, vol. 34(13), pages 1451-1456, September.
    4. Woo, C.K. & Milstein, I. & Tishler, A. & Zarnikau, J., 2019. "A wholesale electricity market design sans missing money and price manipulation," Energy Policy, Elsevier, vol. 134(C).
    5. Alagappan, L. & Orans, R. & Woo, C.K., 2011. "What drives renewable energy development?," Energy Policy, Elsevier, vol. 39(9), pages 5099-5104, September.
    6. Dockner, Engelbert J. & Kucsera, Dénes & Rammerstorfer, Margarethe, 2013. "Investment, firm value, and risk for a system operator balancing energy grids," Energy Economics, Elsevier, vol. 37(C), pages 182-192.
    7. Olmos, Luis & Pérez-Arriaga, Ignacio J., 2009. "A comprehensive approach for computation and implementation of efficient electricity transmission network charges," Energy Policy, Elsevier, vol. 37(12), pages 5285-5295, December.
    8. Cao, K.H. & Qi, H.S. & Tsai, C.H. & Woo, C.K. & Zarnikau, J., 2021. "Energy trading efficiency in the US Midcontinent electricity markets," Applied Energy, Elsevier, vol. 302(C).
    9. Savelli, Iacopo & De Paola, Antonio & Li, Furong, 2020. "Ex-ante dynamic network tariffs for transmission cost recovery," Applied Energy, Elsevier, vol. 258(C).
    10. Rammerstorfer, Margarethe & Wagner, Christian, 2009. "Reforming minute reserve policy in Germany: A step towards efficient markets?," Energy Policy, Elsevier, vol. 37(9), pages 3513-3519, September.

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