Transmission Cost Allocation Practices

Summary

The United States faces a challenge in fairly allocating the costs of new electricity transmission infrastructure, which can be driven by reliability needs, economic efficiency, or public policy goals like integrating renewable energy. This technical brief analyzes the diverse cost allocation practices employed by various U.S. Regional Transmission Operators (RTOs) and Independent System Operators (ISOs), covering methodologies for both generator interconnection and system-wide transmission planning. The report, completed by Lawrence Berkeley National Laboratory and Pacific Northwest National Laboratory, details different approaches and discusses lessons learned from past projects and regulatory decisions.

Key Facts

Source Document

https://example-government.gov/policy-document-link