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New England States Committee on Electricity (NESCOE)

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New England States Committee on Electricity (NESCOE)
NameNew England States Committee on Electricity (NESCOE)
Formation2005
TypeInterstate agency
HeadquartersWestborough, Massachusetts
Region servedNew England
Leader titleExecutive Director

New England States Committee on Electricity (NESCOE) The New England States Committee on Electricity (NESCOE) is an interstate entity formed to represent Massachusetts, Connecticut, Rhode Island, Vermont, New Hampshire, and Maine state officials on regional electricity matters. Established to coordinate state perspectives in regional markets overseen by Federal Energy Regulatory Commission, NESCOE engages with transmission providers, renewable developers, and consumer advocates. The organization participates in planning and policy processes that affect resource adequacy, transmission investment, and grid modernization across ISO New England, New York Independent System Operator, and adjacent jurisdictions.

Overview

NESCOE serves as a formal voice for the six New England governors and state utility regulators in forums including ISO New England and proceedings before the Federal Energy Regulatory Commission, U.S. Department of Energy, and regional planning bodies. It addresses issues linking state energy policy goals—such as renewable integration championed by Massachusetts Department of Energy Resources and Connecticut Department of Energy and Environmental Protection—with market structures influenced by entities like Independent System Operator models and rules developed at North American Electric Reliability Corporation. NESCOE interacts with stakeholders ranging from investor-owned utilities (e.g., Eversource Energy, National Grid plc) to public interest groups (e.g., Acadia Center, Northeast Energy Efficiency Partnerships).

History and Formation

NESCOE was organized in 2005 after state officials sought a coordinated mechanism following disputes at ISO New England about transmission cost allocation and resource adequacy. Early policy drivers included debates sparked by the 2003 Northeast blackout and regional transmission projects like Maritimes & Northeast Pipeline discussions and the proposed Northeast Utilities mergers. Founding interactions involved state attorneys general offices (e.g., Massachusetts Attorney General) and state public utility commissions such as the Connecticut Public Utilities Regulatory Authority and the Rhode Island Public Utilities Commission. Over time, NESCOE’s filings and testimony have referenced precedent from proceedings involving PJM Interconnection and court decisions from the U.S. Court of Appeals for the D.C. Circuit.

Structure and Governance

NESCOE’s governance reflects appointments by the six New England governors, incorporating officials from executive offices and state public utility commissions like the Vermont Public Utility Commission and the New Hampshire Public Utilities Commission. The board and executive team coordinate with regional chairs and technical staff, while legal counsel engages with practitioners from firms active before the Federal Energy Regulatory Commission and state courts such as the Massachusetts Supreme Judicial Court. Financial oversight involves state funding mechanisms and interactions with budget offices like the Maine State Treasurer; administrative headquarters is in Westborough, Massachusetts.

Roles and Responsibilities

NESCOE’s responsibilities include filing comments and complaints in FERC proceedings, participating in transmission planning processes such as the Regional Transmission Expansion Plan, and advocating for state energy policies including Renewable Portfolio Standard programs in Vermont and Rhode Island. It evaluates proposals from transmission owners like ISO New England Transmission Owners and generators including Exelon and NextEra Energy concerning cost allocation, reliability standards promulgated by NERC, and market rule changes influenced by Federal Energy Regulatory Commission orders. NESCOE also works with research institutions and labs such as National Renewable Energy Laboratory and regional universities when assessing grid modernization technologies.

Policy Positions and Initiatives

NESCOE has advanced positions on capacity market reform, transmission investment, and integration of offshore wind projects sited off Martha's Vineyard and Block Island. It has advocated state-preferred outcomes in proceedings tied to capacity mechanisms similar to Forward Capacity Market debates and has supported measures aligning with state greenhouse gas targets influenced by Regional Greenhouse Gas Initiative commitments. NESCOE has engaged in initiatives to reconcile state procurement approaches with market-based procurement models employed by ISO New England and has filed proposals related to interconnection queue reform, often referencing standards in IEEE and practices occurring in PJM Interconnection territory.

Interactions with Regional Entities

NESCOE routinely interacts with ISO New England, transmission owners, consumer advocacy groups like The Utility Reform Network analogues, and neighboring system operators including New York Independent System Operator. It participates in planning committees, technical conferences, and settlement negotiations involving state regulators, transmission developers, and federal agencies such as the U.S. Environmental Protection Agency when environmental review intersects with transmission siting. Collaboration extends to non-governmental organizations including Environmental Defense Fund and industry associations like American Public Power Association when aligning state priorities with regional market rules.

Criticism and Controversies

NESCOE has faced criticism from market participants and policy observers for perceived state-centric advocacy that critics argue can conflict with competitive market principles upheld by Federal Energy Regulatory Commission orders. Protests and litigation have involved utilities and developers such as Eversource Energy and energy trade groups invoking precedents from cases in the U.S. Court of Appeals for the Second Circuit and regulatory disputes reminiscent of controversies in PJM Interconnection capacity reforms. Allegations have included concerns about transparency, influence over transmission cost allocation, and balancing state procurement objectives with regional reliability standards overseen by North American Electric Reliability Corporation.

Category:Energy policy of the United States Category:New England entities