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State raise red flag over how decisions are made on regional power grid
The state is asking the operator of the regional power grid to no longer allow incumbent transmission owners to play a crucial role in determining what new electric generating stations hook up to the grid.
In a letter to PJM Interconnection, which oversees the grid serving more than 50 million people, the New Jersey Board of Public Utilities (BPU) suggested that the current process is “problematic.” Right now, transmission owners that have affiliates providing large amounts of electricity to the grid decide what new power plants can come online.
The issue is important to consumers in New Jersey, a state saddled with some of the highest electric bills in the nation. The problem is largely blamed on too little generating capacity, which leads to congestion on the power grid in the northern part of the state, according to agency officials. By state projections, consumers here will pay $1 billion or more this year because of congestion. (Johnson, NJ Spotlight)