Akron, Ohio, July 31, 2009 ? FirstEnergy today announced that it plans to consolidate all of its transmission assets into a single Regional Transmission Organization (RTO).
The company will request the consolidation into PJM Interconnection (PJM) in a filing with the Federal Energy Regulatory Commission (FERC) that will be made in early August.
Most of FirstEnergy's transmission assets in Pennsylvania, and those in New Jersey, already operate within PJM. FirstEnergy's American Transmission Systems, Inc. (ATSI) subsidiary ? which includes transmission assets within the service territories of Ohio Edison, Cleveland Electric Illuminating, Toledo Edison and Pennsylvania Power (Penn Power) ? operates within the Midwest Independent Transmission System Operator (MISO).
The ATSI system is a better fit operationally with PJM, according to the company. ATSI has 32 interconnections with PJM ? physical transmission ties that connect to other utility systems ? compared to just three with MISO.
In addition, having a single RTO ? with one set of rules, procedures and protocols ? would enhance the company's operating efficiencies. The consolidation into PJM also would provide greater access to merchant generation, resulting in enhanced flexibility to meet customers' electricity needs.
PJM's structure supports customer choice, as well as energy efficiency and demand response programs.
RTOs coordinate transmission to carry electrical generation across wide geographic regions, matching generation to the load instantaneously to balance supply and demand.
Within their footprints, RTOs schedule the use of transmission lines, manage the interconnection of new generation, and administer and monitor the markets to ensure fairness and neutrality for all participants. Providing these services regionally is more efficient than providing them on a smaller scale, utility by utility.
With approval of our request by FERC, FirstEnergy intends to consolidate its transmission assets and operations into PJM on June 1, 2011.