PSC Leaning Toward Requiring Long-Term Supply Contracts
posted 5:01 pm Tue December 04, 2007 - Annapolis, Md.
The Public Service Commission is leaning toward requiring electric utilities to enter into new, long-term power contracts to increase electricity supply, despite companies' concerns that it would interfere with energy markets. Commission Chairman Steven Larsen says the commission is inclined to encourage regulatory intervention to push for additional supply "rather than waiting for the market to essentially solve our problems."
Monday, the commission released a report recommending "a series of interventions" to respond to a looming shortage of electricity capacity and high prices.
The report was made in response to legislation approved in the last session of the legislature to study options on re-regulation and finding new generation and transmission resources. Larsen presented the report's findings to state lawmakers on the Senate Finance Committee this afternoon.
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