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ISO explains greenhouse‑gas bid framework: GHG compliance costs borne by state load
Summary
The California ISO told Utah regulators that its greenhouse‑gas bid framework lets resources reflect state GHG compliance costs and that marginal GHG costs, when dispatched, are paid by load in the GHG jurisdiction — not by the broader market.
Anya Gilbert, lead policy developer for the California ISO, told the Utah Public Service Commission that the ISO’s greenhouse‑gas bid framework lets generators voluntarily include state GHG compliance costs when they offer into California or Washington and that any marginal GHG cost paid to resources is borne by load in the affected GHG area.
“At its core, our GHG design allows states to reflect their preferences and policies without impacting other states,” Gilbert said, summarizing the ISO approach and noting the design has been in use in the…
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