Panel on impact of industry restructuring on system dynamic performance morning session: utility experience

Summary form only given. Electric utility industry has undergone extensive restructuring during the last 10-15 years not only in the United States but throughout the World. This restructuring is mainly focused on promoting competition in the generation market. The transmission systems that were originally built for serving the native loads and interconnecting generation are now open to all users. Markets are expanding so that the wholesale customers can buy electricity from suppliers that may not be geographically and electrically close by. In some areas even retail customers can choose their suppliers. Restructuring of electric utility industry has resulted in building more new generation so that they can compete with the older generators. Most of the new generators are installed by the independent power producers with main goal of economic benefits by selling their output. Traditional role of generators was more complex than just supplying power when it is needed and to make profit on the sales. Ancillary services such as load following, reserves, voltage regulation etc. that are important for the reliability of the system are expected to be provided by the traditional utility generators. IPPs do not have any such obligation thereby the dynamic performance is impacted adversely by this restructuring. The reliability of the electric system can not be taken for granted and New Energy Policy Act has emphasized development of Standards and their mandatory compliance. Federal Regulatory Commission is charged with establishing the Electric Reliability Organization. Experience of Entergy dealing with the influx of a large number of independent power producer generators for requests for interconnection with the Entergy Transmission System with no transmission service requests will be discussed at the panel session. Complexity in planning the resources for maintaining system reliability will be discussed. Experience of developing the generator operating limits (GOLs) and a- - vailable flowgate capabilities (AFCs) for granting service will be shared. Requirement of new Standards under development by NERC for maintaining the system reliability is discussed during this panel session