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CPB Protest Filing Regarding Payment of Penalties
On April 22, 2009, the New York State Department of State Division of Consumer Protection filed a protest with the FERC regarding a filing made by the New York Independent System Operator (NYISO) that proposes to make customers pay any penalties incurred by the NYISO for the NYISO's violation of electric reliability standards. The NYISO is the operator of New York State's electric grid and markets. We state in our protest that penalizing customers for the mistakes of the NYISO is not only unfair but it also provides no incentive for the NYISO to comply with the reliability rules. The Division asserts, instead, that penalties should be paid out of the incentive compensation packages provided to the NYISO's senior management.

Comments Regarding Pricing of Electricity Capacity
The New York State Department of State Division of Consumer Protection submitted these written comments to the FERC on December 31, 2007, regarding the New York Independent System Operator (NYISO) proposed updated parameters for the "demand curve," which is intended to provide fair compensation to owners of electricity generation capacity in New York State. The Division explains that the NYISO's proposal was generally based on sound principles, methodologies and data. However, we recommend several changes to reflect more reasonable estimates of excess capacity needs, revenue offsets and future costs of power plant construction.

Reply Comments Regarding New York City Capacity Market
In Reply Comments dated December 10, 2007, the New York State Department of State Division of Consumer Protection responds to several issues identified by other parties in their initial comments. We respond to assertions that consumers should not be provided refunds for past overcharges by demonstrating that such refunds are warranted under the Federal Power Act. We also oppose proposals that a forward capacity market be established by FERC, instead of the New York Independent System Operator.

Comments Regarding New York City Capacity Market
In comments filed November 19, 2007, the New York State Department of State Division of Consumer Protection explains why we support a proposal by the New York Independent System Operator (NYISO) for new measures to protect consumers from market power abuse in the New York City wholesale electricity capacity market. We also discuss why the Division opposes NYISO proposals to eliminate certain other consumer protections, including removing the revenue cap from existing mitigation measures and implementing new measures to protect against hypothetical market power by energy buyers. Finally, the Division explains why we strongly oppose the NYISO's proposal to deny refunds to consumers who paid more than $100 million in excess charges in the summer of 2007.

Last Modified: May 02, 2011