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FTC: Consider Ways Alternative Energy Sources Could be Used More Efficiently in Nation's Power Generation System

News release: “The Federal Trade Commission has submitted comments to the Federal Energy Regulatory Commission on how alternative sources of energy – such as wind farms, solar cells, and solar thermal installations – can best be integrated into the nation’s electric power grid. The FTC recommends that FERC study ways to make electricity markets better reflect the costs, constraints, and realities of these energy sources to encourage efficient cost-reducing choices in the marketplace. According to the FTC comment, certain alternative energy sources are different from traditional power sources, such as fossil-fuel and nuclear generators, because they do not produce power constantly. The amount of energy produced by solar cells, for example, depends on the amount of sunlight they receive, while wind power may vary depending on whether the wind is blowing. Because of these differences, FERC is exploring whether and how to modify electric markets and operating procedures to allow these variable sources to compete to supply power at the lowest possible cost.”

  • Federal Energy Regulatory Commission, State of the Markets Report 2009 – April 15, 2010
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