What End Users Should Know about Power Pools
DOI:
https://doi.org/10.13052/dgaej2156-3306.1343Abstract
One of the features of the sweeping changes taking place in the
United States electricity industry is the development of Independent
System Operators (ISO's) as a replacement for centralized power pools.
Where power pools do not exist, ISO's are being discussed as a replace-
ment for the present system of individual regional control centers that
coordinate operations with their neighbors under coordinating agree-
ments.
The advent of ISO's is a significant development and will result in
new products being developed and marketed to retail customers by
energy marketers. In order to deal directly with an ISO, a bu yer (or
seller) will have to be a sophisticated operation with the ability to trans-
act electricity on a wholesale level. The price transparency efficienc y and
wider participation associated with ISO's will lead to the availability of
financial instruments that can be used to support flexible and custom-
ized pricing products for retail consumers

