New England's Wholesale Electricity Market, Six Years Later

Energy reliability-the ability for an energy system to meet both short-run demand and long-run capacity needs-is a critical input to a region's economic growth potential. This paper reviews the structure of New England's energy markets, focusing on the region's experiences with wholesale electricity deregulation over the last six years and highlighting their impact on system reliability. It also outlines several proposed changes to New England's electricity market design based on the lessons learned from deregulation and summarizes their potential impact on the region's energy markets.