NEPOOL jump-starts generation information certificates

Middletown, Conn.

APX, a provider of transaction processing services for the electric power industry, recently announced that the New England Power Pool (NEPOOL) Generation Information System (GIS) has created a total of 63 million electricity generation “certificates.” Administered and developed by APX, the system began operation July 1 to help verify retail electric supplier compliance with various green power and environmental regulations.

On October 15, the system created a total of 32 million certificates for power produced in the second quarter, from April through June 2002. Of those certificates, 6,052,209 were for generation that met one or more state renewal portfolio standard requirements, an increase of 218 percent over the previous quarter. In comparison, the system created a total of 31 million certificates July 15 for power generated in the first quarter, from January through March 2002, with 2,767,395 of those for generation that met one or more renewal portfolio standard requirements.

The Web-based system at www.nepool records the production details not only of power generated with renewable sources, but also of all types of electricity generation in the NEPOOL control area, including coal, hydroelectric, natural gas, and nuclear fuel sources. It is the first system of this type in the United States.

For each megawatt hour of power, the system creates an electronic certificate, which may be sold or otherwise transferred off-line. The certificate describes: when, where, and who produced the power; the type of fuel source used; renewable portfolio standard eligibility; the amount and type of certain pollutant emissions released; and other characteristics. Retail electric suppliers use the information to report compliance with requirements set by certain New England states, such as: minimum renewable power purchase levels; disclosure of fuel source and other characteristics of the power that they sell; and maximum levels of certain emissions. Using the system are more than 100 generators, power traders, and retail electric suppliers in the NEPOOL control area, which encompasses Connecticut, Massachusetts, New Hampshire, Rhode Island, Vermont, and most of Maine. Non-NEPOOL members also have access to the system.

APX program director, Gary Zielanski, said, “Use of the system is continually increasing. On an average day, 30 users log on to the system to record data and generate reports.”

APX, which has a five-year contract with NEPOOL, also has developed renewable energy credit systems that serve California, Illinois, Ohio, and Texas. The National Association of Regulatory Utility Commissioners has cited the NEPOOL Generation Information System and the Texas Renewable Energy Credit System, also developed by APX, in a resolution to encourage FERC to include a requirement for each RTO to develop a tracking database for all electricity generation as part of FERC’s Standard Market Design.

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