Potomac Economics is the leading provider of market monitoring services for RTOs that operate wholesale electricity markets in the United States. Potomac Economics currently serves as the Independent Market Monitor for the Midcontinent ISO, New York ISO, ISO New England, and ERCOT (Texas).

Potomac Economics currently serves as the Market Monitor for the Regional Greenhouse Gas Initiative (RGGI). RGGI was created by 10 states in the Northeast and Mid-Atlantic region of the United States to administer a cap-and-trade market for reducing greenhouse gas emissions from electric power generators. Under this program, electric power generators must acquire emissions allowances to cover their emissions of CO2.

Potomac Economics and its senior professionals have extensive experience in providing expert analysis and advice to its customers in the electricity and natural gas industries, as well as expert testimony in litigated matters. Potomac Economics’ wide array of experience in RTO and non-RTO market areas in the U.S. and Europe uniquely qualifies us to provide unmatched expert advice and litigation support in these areas.

Potomac Economics provides independent monitoring services international clients in a variety of capacities. The objective of this monitoring is to ensure full access to transmission service, which is essential for promoting competition in these areas. In addition to monitoring for anticompetitive conduct by the transmission provider, we also seek to identify improvements in their processes and assumptions that would increase the quantities of transmission available to wholesale market participants.

Potomac Economics has performed the independent monitoring function associated with a number of utility mergers.  The scope of services can involve a range of tasks, including the monitoring of transmission upgrades, generation divestitures, transmission capacity set asides, and short-term cost-based power sales.

Potomac Economics has served as an Independent Evaluation Monitor for a number of requests for proposals (“RFP”) by utilities seeking to purchase wholesale electricity or generating assets. The objective in these cases is to ensure that the evaluation of the proposals is conduct in a fair, objective, and reasonable manner. This is particularly true when a competitive affiliate of the utility is participating in the RFP.

With the advent of the Federal Energy Regulatory Commission’s new enforcement authority, ensuring full compliance Commission rules and tariffs filed at the Commission is increasingly important. Potomac Economics has the operational expertise and understanding of the wholesale electric markets and processes that are essential for auditing a utility’s compliance with rules and tariffs.

Potomac Economics provides independent monitoring services for the provision of transmission services in non-RTO areas. The objective of this monitoring is to ensure full access to transmission service, which is essential for promoting competition in these areas. In addition to monitoring for anticompetitive conduct by the transmission provider, we also seek to identify improvements in their processes and assumptions that would increase the quantities of transmission available to wholesale market participants.