15 years of deregulation have been good for New England, NEPGA says

The New England Power Generators Association (NEPGA) has issued a briefing paper on competitive generation in the region.

It’s part of the material that the organization, which represents independent power producers, issued in connection with a media briefing on April 5. The NEPGA website indicates that its member companies (which include some of the largest non-utility generators in North America) represent roughly 26,000 MW of capacity in the region.

NEPGA is a trade report that champions competitive power over rate-based utility power ownership. In recent times, NEPGA has been an outspoken foe of a Massachusetts proposal to ease the importation of hydroelectric power from Hydro-Quebec in Canada.

“Fifteen years after deregulation, the competitive electricity marketplace is driving stiff competition to meet consumer demand,” according to NEPGA.

“Wholesale electricity costs are at near-historic lows and New England’s power generation fleet – one of the cleanest in the country – has dramatically reduced emissions,” NEPGA said. “At the same time, billions of dollars in privately-financed, next-generation infrastructure investments are being made to preserve reliability for decades to come.”

NEPGA asserts that since competition was implemented, more than $12bn of new investment has come into the region “to build new facilities, enhance environmental controls and refurbish plants. These investments are being made without state subsidies, without any state-backed long-term contracts and without guaranteed cost recovery.”

When adjusted for inflation, NEPGA said that the wholesale price of electricity in New England has actually decreased by 30%. NEPGA also said that New England has one of the cleanest electric power fleets in the nation, having cut carbon dioxide (CO2) emissions 40% since 1990.

About Wayne Barber 4201 Articles
Wayne Barber, Chief Analyst for the GenerationHub, has been covering power generation, energy and natural resources issues at national publications for more than 20 years. Prior to joining PennWell he was editor of Generation Markets Week at SNL Financial for nine years. He has also worked as a business journalist at both McGraw-Hill and Financial Times Energy. Wayne also worked as a newspaper reporter for several years. During his career has visited nuclear reactors and coal mines as well as coal and natural gas power plants. Wayne can be reached at wayneb@pennwell.com.