,i  #aah? ,,congress  #b;d ,session  ,h4
 ,r4 #hifh  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,july #i1 #bjbd,mrs4  
,lesko 7= h]self & ,mr4 ,latta7         
introduc$ ! foll[+ bill2 :i* 0 ref]r$ to
 ! ,committee on ,en]gy & ,comm]ce  ,a  
,,bill  ,to am5d ! ,f$]al ,p[] ,act to  
require annual reports on g5]ation &    
load capacity by ,regional ,transmission
 ,organizations & ,indep5d5t ,sy/em     
,op]ators1 to e/abli% reliability       
m>kets1 & = o!r purposes4  #a4 ,%ort    
title ,?is ,act may be cit$ z ! ,keep+ !
 ,lights ,on ,act4  #b4 ,e/abli%m5t (   
reliability m>kets = ! bulk-p[] sy/em ,!
 ,f$]al ,p[] ,act 7#af ,u4,s4,c4 #gia;a 
et seq47 is am5d$ by ins]t+ aft] section
 #bae;,a ! foll[+3  #bae;,b4            
,reliability m>kets  7a7 ,purpose ,!    
purpose ( ?is section is to ensure !    
reliability ( ! bulk-p[] sy/em4  7b7    
,reports on g5]ation & load ,!          
,commission %all require1 by rule or    
ord]1 ea* ,,rto & ,,iso to submit to !  
,commission1 n less frequ5tly ?an once a

 ye>1 a report t id5tifies1 ) respect to
 ! public utilities t are "p ( ! ,,rto  
or ,,iso-- 7#a7 ! t5-ye> hi/orical &    
t5-ye> project$ gross peak load & net   
peak load = e fifte5 m9utes ( ea* day ( 
! ye>2  7#b7 ! impact ( extreme wea!r on
 electric dem& & g5]ation res\rce       
availability2  7#c7 res]ve m>g9s (      
g5]ation res\rce capacity bas$ on !     
g5]ation res\rce types ne$$ to meet dem&
 = e fifte5 m9utes ( ea* day2  7#d7 ea* 
g5]ation res\rce 7& ! net capacity      
factor ( ea* g5]ation res\rce71 includ+ 
ea* g5]ation res\rce t is a dispat*able 
on dem& cont9u\s res\rce1 a dispat*able 
on dem& %ort-t]m res\rce1 an int]mitt5t 
g5]ation res\rce1 or an inv]t] bas$     
g5]ation res\rce2  7#e7 ! en]gy s\rce1  
su* z coal1 nucle>1 natural gas1 hydro1 
w9d1 or sol>1 ( ea* g5]ation res\rce    
id5tifi$ "u p>agraph 7#d72  7#f7 :e!r a 
g5]ation res\rce id5tifi$ "u p>agraph   
7#d7 relies on-- 7,a7 fuel deliv]ies1   
includ+ ! me?od by :i* su* fuel is      
deliv]$ 7su* z pipel9e1 rail1 or b>ge72 

&  7,b7 on-site fuel supplies 7includ+  
h[ long ! g5]ation res\rce c op]ate on  
su* fuel supplies72  7#g7 :e!r ea*      
g5]ation res\rce id5tifi$ "u p>agraph   
7#d7 t is op]at$ us+ natural gas is     
suppli$ by firm transportation on       
natural gas pipel9es2  7#h7 :e!r ! en]gy
 s\rce ( a g5]ation res\rces id5tifi$ "u
 p>agraph 7#d7 is dep5dant on ! "t ( day
 & wea!r2  7#i7 project$ %ortfalls 9    
g5]ation ne$$ to meet sy/em ne$s = e    
fifte5 m9utes ( ! day ea* ye> & dur+    
extreme wea!r2 &  7#aj7 o!r factors     
id5tifi$ by ! ,commission z important = 
! reliability ( ! bulk-p[] sy/em4  7c7  
,reliability m>kets  7#a7 ,new s*$ules  
,ea* ,,rto & ,,iso %all file "u section 
#bje a new s*$ule :i* %all ensure t     
dispat*able on dem& cont9u\s res\rces   
are available :5 int]mitt5t g5]ation    
res\rces are n available to meet net    
peak load = e #ae m9utes ( ea* day ( !  
ye>4 ,a s*$ule fil$ "u section #bje     
pursuant to ?is p>agraph t diff]5tiates 
betwe5 ! op]at+ *>act]i/ics ( g5]ation  

res\rces = purposes ( support+ !        
reliability ( ! bulk-p[] sy/em %all n be
 consid]$ unju/1 unreasonable1 or unduly
 pref]5tial "u section #bje4  7#b7      
,e/abli%m5t  7,a7 ,9 g5]al ,9 approv+ a 
s*$ule fil$ pursuant to p>agraph 7#a71 !
 ,commission %all consid] "o ( ! foll[+3
 7i7 ,e/abli%+ at lea/ "o reliability   
m>ket :]e only dispat*able on dem&      
cont9u\s res\rces & dispat*able on dem& 
%ort-t]m res\rces may p>ticipate1 :i*   
may be e/abli%$ sep>ately or comb9$ =   
su* dispat*able on dem& cont9u\s        
res\rces & dispat*able on dem& %ort-t]m 
res\rces4  7ii7 ,e/abli%+ a reliability 
m>ket or modify+ exi/+ capacity m>kets  
to require int]mitt5t res\rces to       
pur*ase electricity g5]at$ by a         
dispat*able on dem& cont9u\s res\rce :5 
! int]mitt5t res\rce is n available to  
g5]ate electricity4  7iii7 ,e/abli%+    
ano!r me*anism t w support !            
availability ( dispat*able on dem&      
cont9u\s res\rces & dispat*able on dem& 
%ort-t]m res\rces to support !          

reliability ( ! bulk-p[] sy/ems at all  
times ?r\gh ! ye> 7measur$ e #ae m9utes 
( ea* day74  7,b7 ,*>ge = deliv]y       
failure ,! ,commission %all e/abli%     
p5alties = ea* g5]ation res\rce t fails 
to g5]ate electricity 9 accordance ) !  
requirem5ts ( a m>ket or me*anism       
e/abli%$ "u subp>agraph 7,a74  7,c7     
,=w>d procurem5t auction ,no public     
utility may accept an (f] at a =w>d     
procurem5t auction = a price t is less  
?an ! m>g9al co/s to op]ate ! public    
utility4  7d7 ,commission approval (    
rates & *>ges ,= ! purposes ( co/       
allocation ( transmission s]vices       
7includ+ co/s associat$ )               
int]connection1 network upgrades1 & !   
con/ruction & expansion ( new           
transmission l9es71 no rate or *>ge %all
 be consid]$ j & reasonable "u section  
#bje-- 7#a7 if su* rate or *>ge-- 7,a7  
socializes co/s ( transmission s]vice to
 electric consum+ cu/om]s :o d n receive
 direct & quantifiable all-9 co/s (     
deliv]$ electric s]vice or to meet      

reliability /&>ds f ! transmission      
s]vice2 or  7,b7 allocates co/s (       
transmission s]vice to ! electric       
cu/om]s ( "o ,/ate = transmission s]vice
 t w prim>ily s]ve electric cu/om]s (   
ano!r ,/ate or region2 &  7#b7 direct   
b5efits may include ! en]gy &           
transmission co/ b5efits 7b mu/ consid] 
! co/ ( g5]ation1 transmission          
reliability comb9$72 direct b5efits %all
 n include environm5tal or heal?        
b5efits2 r$uction ( gre5h\se gas        
emissions2 or environm5tal leakage      
betwe5 ,/ates or regions2 h[ev] ! g5]at+
 res\rce t causes ! ne$ = transmission  
s]vice may be p]mitt$ or requir$ to pay 
directly = ! co/s ( transmission su*    
s]vice4  7e7 ,expansion to o!r ,/ates ,!
 ,commission may n require any public   
utility or g5]ation res\rce )9 a ,/ate  
or region to jo9 an ,,rto or ,,iso      
unless ! applicable ,/ate or ,/ate      
regulatory au?ority agrees to jo9 !     
,,rto or ,,iso4  7f7 ,no environm5tal   
requirem5ts ,! ,commission & ea* ,,rto &

 ,,iso may n impose environm5tal        
requirem5ts1 adju/ rates to acc\nt =    
,/ate environm5tal policies 7includ+    
environm5tal leakage adju/m5ts71 or     
m&ate environm5tal p]=mance /&>ds ( any 
k9d4  7g7 ,prohibition on confiscat+    
en]gy  7#a7 ,requirem5t ,ea* ,,rto &    
,,iso %all honor its contractual        
commitm5ts to :eel p[] outside its      
s]vice area & may n div]t su* p[]       
deliv]ies to s]ve its own load4  7#b7   
,p5alties2 damages ,if an ,,rto or ,,iso
 div]ts p[] f a utility to s]ve its own 
load1 ! ,,rto or ,,iso-- 7,a7 %all be   
subject to p5alties det]m9$ by !        
,commission2 &  7,b7 may be liable =    
damages pursuant to a proce$+ br\ght 9 a
 ,f$]al di/rict c\rt4  7h7 ,def9itions  
,9 ?is section3 7#a7 ,bulk-p[] sy/em2   
reliability /&>d ,! t]ms bulk-p[] sy/em 
& reliability /&>d h ! mean+s giv5 su*  
t]ms 9 section #bae7;a74  7#b7          
,dispat*able on dem& cont9u\s res\rce ,!
 t]m dispat*able on dem& cont9u\s       
res\rce means an electricity g5]at+     

res\rce-- 7,a7 t c g5]ate electricity z 
ne$$ z direct$ by ! op]ator & n be      
dep5d5t on ! "t ( day or ! wea!r2  7,b7 
t c ma9ta9 ! reque/$ g5]ation capacity =
 a m9imum ( #gb h\rs cont9u\sly2 &  7,c7
 ! p[] output ( :i* c be adju/$ accord+ 
to ! ne$s ( ! p[] grid4  7#c7           
,dispat*able on dem& %ort-t]m res\rce ,!
 t]m dispat*able on dem& %ort-t]m       
res\rce means an electricity g5]at+     
res\rce-- 7,a7 t c g5]ate electricity z 
ne$$ z direct$ by ! op]ator & n be      
dep5d5t on ! "t ( day or ! wea!r2  7,b7 
t c be op]ational )9 ?ree h\rs or less (
 be+ call$ on to g5]ate electricity2    
7,c7 t has ! capability to cont9ually   
op]ate = a m9imum ( #gb h\rs2 &  7,d7 ! 
p[] output ( :i* c be adju/$ accord+ to 
! ne$s ( ! p[] grid4  7#d7 ,environm5tal
 leakage ,! t]m environm5tal leakage    
means :]e "o ,/ate or region imposes    
c]ta9 environm5tal limits or goals on   
electric g5]ation & ano!r ,/ate or      
region does n & su* diff]5ces all[ a    
g5]at+ res\rce )\t su* environm5tal     

re/rictions or goals to g5]ate & sell   
p[] *eap] ?an a g5]ation res\rce f ano!r
 ,/ate or region4  7#e7 ,extreme wea!r  
,! t]m extreme wea!r-- 7,a7 means a     
wea!r ev5t t is at ! extremes ( !       
hi/orical di/ribution2 &  7,b7 includes 
unexpect$1 unusual1 sev]e1 or unseasonal
 wea!r4  7#f7 ,firm ,! t]m firm means ! 
electric g5]ator has priority           
transportation rights to a fuel supply4 
,/orage batt]ies t h ?ree days (        
cont9u\s dis*>ge may be consid]$ firm4  
7#g7 ,gross peak load ,! t]m gross peak 
load means ! total en]gy requir$ to s]ve
 dem& at its highe/ level = ea* #ae     
m9utes ( e day ( ! ye>4  7#h7           
,int]mitt5t res\rce ,! t]m int]mitt5t   
res\rce means an electric g5]ation      
res\rce t dep5ds on ! wea!r or "t ( day 
= its fuel s\rce1 su* z w9d or sol>4    
7#i7 ,net capacity factor ,! net        
capacity factor ( an electric g5]ator is
 ! ratio ( its actual output ov] two    
consecutive cal5d> ye>s1 to its pot5tial
 output if x 7 possible = x to op]ate at

 full nameplate capacity dur+ ! same two
 consecutive cal5d> ye>s4 ,to calculate 
! capacity factor1 take ! total am\nt ( 
en]gy ! plant produc$ dur+ a p]iod ( "t 
& divide by ! am\nt ( en]gy ! plant w\ld
 h produc$ at full capacity4  7#aj7 ,net
 peak load ,! t]m net peak load means ! 
diff]5ce (-- 7,a7 gross peak load1 m9us 
7,b7 int]mitt5t g5]ation res\rces us$ to
 s]ve load = ea* #ae m9utes ( ea* day ( 
! ye>4  4  #c4 ,cog5]ation & small1 p[] 
production "u ! ,public ,utility        
,regulatory ,policies ,act ( #aigh  7a7 
,repeal ,section #baj ( ! ,public       
,utility ,regulatory ,policies ,act (   
#aigh 7#af ,u4,s4,c4 #hbd;a-#c7 is      
repeal$4  7b7 ,exi/+ contracts ,! repeal
 ( section #baj by subsection 7a7 %all n
 affect any contract or obligation 9    
effect be=e ! date ( enactm5t ( ?is     
,act4  #d4 ,rebuttable presumption =    
c]ta9 c]tificates issu$ "u ! ,natural   
,gas ,act ,section #g7;e7 ( ! ,natural  
,gas ,act 7#ae ,u4,s4,c4 #gag;f7e77 is  
am5d$ by ins]t+ ! foll[+ at ! end3 ,:5  

consid]+ an application = a c]tificate (
 public conv5i5ce & necessity "u ?is    
subsection = a facility t w s]ve 9 :ole 
or 9 "p an electric g5]ation facility1 x
 %all be a rebuttable presumption t !   
c]tificate is 9 ! public int]e/ & is or 
w be requir$ by ! pres5t or future      
public conv5i5ce & necessity44