Transmission Access Charges (TAC): Fixing a major market distortion [WEBINAR] - 11/11/15

Value of the Information & Strength of the Argument

The value of the information lies in its detailed breakdown of how TAC is structured in California and the concrete consequences for distributed generation economics. The presenters use clear diagrams and data, such as the 1.8 cents/kWh currently paid by PG&E customers and the projected 7% annual growth, to illustrate the burden. The argumentation is logically sound: if transmission costs are meant to recover transmission system use, then charging them on energy that never uses the transmission network is a distortion. They support their case with examples (WDG, GTS-R) and quantitative estimates of savings ($80 billion). However, the presentation is one-sided, focusing exclusively on the benefits of the proposed fix without discussing potential counterarguments, such as the complexity of metering transmission-level load or the stability of cost allocation across utilities. The argument is persuasive but not academically rigorous, as it leans on advocacy rather than peer-reviewed analysis.

Scientific Rigor, Source Quality, Title Accuracy

The sources are limited to the Clean Coalition’s own materials and references to FERC principles and CAISO processes. No external studies or reports are cited in the transcript. The webinar references FERC Order 1000 and general cost-benefit alignment principles but does not provide specific document numbers or official URLs. The reliance on FERC principles adds a degree of authority, but the lack of diverse sources reduces scientific rigor. The title is accurate and matches the content: it clearly states the subject (TAC) and the perspective (fixing a market distortion). The presentation is well-organized, with clear sections and transitions, and the speakers are knowledgeable, but the content is advocacy-oriented rather than neutral. The target audience appears to be industry stakeholders and policymakers, and the webinar serves to mobilize support for a policy change.

The title accurately reflects the webinar's content: a detailed analysis of how transmission access charges create a market distortion and a proposal to fix it by assessing charges on metered transmission load.

7/10

The webinar presents a well-structured argument backed by specific data on California's transmission costs and references to FERC cost-allocation principles. However, it comes from an advocacy nonprofit (Clean Coalition) with a clear position, and no opposing views are presented. The reliability is moderate; the facts appear accurate but are selectively used to support a policy change.

Markers derived by PSI from the transcript: the creator did not define chapters.

• 00:00Introduction by John Bernhardt, webinar logistics, and agenda
• 05:00Psalm White explains the transmission and distribution system and the growth of distributed generation
• 10:00Detailed breakdown of TAC structure, rates, and how they are collected
• 15:00Identification of the core problem: TAC assessed on gross customer load, not transmission load
• 20:00Darryl Mihalik quantifies the market distortion with pie charts and the $80 billion potential savings
• 25:00Discussion of FERC cost-allocation principles and precedents from utilities not participating in the CAISO transmission system
• 30:00Call to action: how to support the TAC campaign, including filing comments with CAISO

• Transmission Access Charges (TAC): Fixing a major market distortion — Slides and resources referenced during the webinar; includes the presentation and additional campaign materials.