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NEMA Statement on FERC Transmission, Cost Allocation Final Rule

07/21/2011 3:00PMSign-up to receive press releases.

(ROSSLYN, Va.)—The Federal Energy Regulatory Commission’s (FERC) Final Rule on Transmission Planning and Cost Allocation by Transmission Owning and Operating Public Utilities (Docket RM10-23-000) is a significant step forward for the development of interstate transmission facilities and the incorporation of renewable sources of energy into the grid, according to the National Electrical Manufacturers Association (NEMA).

The rule gives greater autonomy to regional stakeholder organizations to determine the future of their interstate transmission facilities, and helps states meet various renewable energy requirements. It will remove barriers to new transmission infrastructure, improving grid reliability, promoting competition among utilities and other transmission developers, and driving down costs, all while ensuring only those ratepayers who benefit from the facilities be required to pay.

Modern transmission facilities are a key component in the Smart Grid and will encourage deployment of countless Smart Grid technologies that improve efficiency and reliability.

While the final rule is a major achievement, NEMA will continue to advocate for additional policies that streamline the siting process and expedite permitting procedures. Read more about the need to improve the siting process in the NEMA brochure Siting Transmission Corridors - A Real Life Game of Chutes and Ladders.

NEMA is the association of electrical and medical imaging equipment manufacturers. Founded in 1926 and headquartered near Washington, D.C., its approximately 450 member companies manufacture products used in the generation, transmission and distribution, control, and end use of electricity. These products are used in utility, industrial, commercial, institutional, and residential applications. The association’s Medical Imaging & Technology Alliance (MITA) Division represents manufacturers of cutting-edge medical diagnostic imaging equipment including MRI, CT, x-ray, and ultrasound products. Worldwide sales of NEMA-scope products exceed $120 billion. In addition to its headquarters in Rosslyn, Virginia, NEMA also has offices in Beijing and Mexico City.

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