[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 2660 Introduced in Senate (IS)]







110th CONGRESS
  2d Session
                                S. 2660

To amend the Federal Power Act to ensure that the mission and functions 
of Regional Transmission Organizations and Independent System Operators 
    include keeping energy costs as low as reasonably possible for 
                   consumers, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 25, 2008

   Mr. Sanders (for himself, Ms. Snowe, Mr. Kerry, Ms. Collins, Mr. 
 Kennedy, and Mr. Leahy) introduced the following bill; which was read 
  twice and referred to the Committee on Energy and Natural Resources

_______________________________________________________________________

                                 A BILL


 
To amend the Federal Power Act to ensure that the mission and functions 
of Regional Transmission Organizations and Independent System Operators 
    include keeping energy costs as low as reasonably possible for 
                   consumers, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Consumer Protection and Cost 
Accountability Act''.

SEC. 2. REQUIREMENTS RELATING TO TRANSMISSION ORGANIZATIONS.

    (a) Definitions.--In this Act:
            (1) Commission.--The term ``Commission'' means the Federal 
        Energy Regulatory Commission.
            (2) Lowest reasonable cost.--The term ``lowest reasonable 
        cost'' means the lowest total delivered cost to consumers 
        consistent with the provision of reliable service.
            (3) Transmission organization.--The term ``Transmission 
        Organization'' has the meaning given the term in section 3 of 
        the Federal Power Act (16 U.S.C. 796).
    (b) Rate and Charges; Schedules; Suspension of New Rates.--Section 
205 of the Federal Power Act (16 U.S.C. 824d) is amended by adding at 
the end the following:
    ``(g) Requirements Relating to Transmission Organizations.--
            ``(1) Definition of lowest reasonable cost.--In this 
        subsection, the term `lowest reasonable cost' means the lowest 
        total delivered cost to consumers consistent with the provision 
        of reliable service.
            ``(2) Consideration of transmission organization rates.--
        With respect to determining whether a rate or charge made, 
        demanded, or received (including any rule or regulation 
        promulgated by a Transmission Organization relating to a rate 
        or charge made, demanded, or received) is consistent with each 
        requirement described in subsection (a) or section 206, as 
        applicable, the Commission shall consider whether the rate or 
        charge (including each rule or regulation relating to the rate 
        or charge) would enable the Transmission Organization to 
        provide, or facilitate the provision of, reliable service to 
        consumers at the lowest reasonable cost.
            ``(3) Consideration of transmission organization rate 
        changes.--In determining whether any filing by a Transmission 
        Organization to establish or change a rate or charge made, 
        demanded, or received (including any rule or regulation 
        promulgated by a Transmission Organization relating to a rate 
        or charge made, demanded, or received) is consistent with each 
        requirement described in subsection (a), the Commission shall 
        consider whether the rate or charge (including each rule or 
        regulation relating to the rate or charge) would--
                    ``(A) provide consumer benefits that outweigh any 
                anticipated direct or indirect costs to consumers, as 
                demonstrated by a cost-benefit analysis to be submitted 
                by the Transmission Organization to the Commission; or
                    ``(B) have only a de minimus impact on the total 
                delivered costs to consumer.
            ``(4) Biennial audits.--The Commission shall ensure that 
        each Transmission Organization is subject to biennial, 
        independent audits that--
                    ``(A) include--
                            ``(i) an assessment of the performance of 
                        the Transmission Organization; and
                            ``(ii) recommendations to lower the costs 
                        and improve the performance of the Transmission 
                        Organization; and
                    ``(B) are made available to the public.''.
    (c) Annual Reports.--Not later than 1 year after the date of 
enactment of this Act, and annually thereafter, the Commission shall 
submit to the appropriate committees of Congress a report describing 
each determination of the Commission with respect to whether each 
Transmission Organization provides, or facilitates the provision of, 
reliable service at the lowest reasonable cost to consumers.
                                 <all>