March 2004 Issue

Unresolved issues slow regional progress on defining BPA's future role

Summary: Customers are working on a schedule to resolve difficult issues. BPA hopes to unveil its process in June.

Detail: Power Division Director Dick Watson reported on efforts to resolve several issues that have come out of the regional dialogue on the Bonneville Power Administration's role as a power provider. He noted that there is a relatively high degree of agreement that in the long-term, Bonneville's role in serving loads beyond the capability of the existing system should be limited to only those customers who request such service and are willing to pay the costs.

However, there are a number of difficult issues that must be resolved before new contracts could be offered under those circumstances:

• distribution of power from the existing system
• uncertainty over direct service industries loads and power for new public-owned utilities
• control of Bonneville's costs
• quantity and form of the benefits for the residential/small farm customers of investor-owned utilities

He said that customers are very interested in a long-term solution and will be proposing a schedule for reaching it. However, at present it does not appear the schedule will be consistent with the schedule of the policy process that Bonneville will be initiating in June. Watson stressed that the Council is focused on helping the region decide what Bonneville's long-term role in power supply should be.

Power Committee Chair Jim Kempton also emphasized the importance of the durability of the decision and of doing what we can to reach consensus before any possible changes to the Northwest Power Act.