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History of WSPP

The Western Systems Power Pool (WSPP) began as an agreement among a group of utilities in the western states. The agreement, which was filed with the Federal Energy Regulatory Commission by Pacific Gas and Electric Company on behalf of the group, established a multi-state bulk power marketing experiment. The agreement was meant to test whether broader pricing flexibility for coordination and transmission services would promote increased efficiency, competition, and coordination.

The WSPP began operations in 1987 first as an experiment allowed by the Federal Energy Regulatory Commission (FERC) and then beginning in 1991 as a more permanent entity. Its initial purpose was to allow sales of power for short-term transactions to take place with a maximum of flexibility and minimum of regulatory filings and to test market efficiency and competition.

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