May 18, 2001 – The North American Electric Reliability Council (NERC) applauds the Bush Administration’s National Energy Plan for focusing attention on the reliability and adequacy of the electricity supply and delivery systems in North America.

“We are extremely pleased that the plan recommends that the Secretary of Energy work with FERC to develop the legislation needed to provide for a self-regulatory reliability organization in the United States subject to FERC oversight,” says Michehl R. Gent, NERC President and CEO. NERC has been working diligently during the last year-and-a-half to secure the enactment of such legislation in the U.S. Congress. “Having this recommendation in the Administration’s National Energy Plan should help to ensure that such legislation will be passed very soon by Congress,” he added.

NERC also is pleased with the significant attention the plan places on relieving constraints on the interstate electric grids and removing obstacles to expanding the grids to meet the growing needs of the economy. “It is time to give a federal agency the authority to certificate interstate transmission lines, just as we do for interstate natural gas pipelines. Finding a way to make transmission an attractive investment so that companies will be willing to build transmission lines that will enhance the entire transmission system also is critical. That will pay huge dividends in being able to move electricity from where it is produced to where it is needed,” Mr. Gent emphasized. “Operating around limitations, foregoing economic opportunities, and risking major grid reliability problems because we can’t find a way to expand our energy infrastructure is not a sound or responsible strategy,” he continued. “Our nation, its citizens, and its businesses deserve a robust electricity supply system that allows us to realize our full potential, and the Administration’s plan does just that.”

For more information on NERC or its transformation into NAERO, visit NERC’s web site (http://www.nerc.com). The web site also includes information on the electric industry’s electricity supply and delivery programs and activities.

NERC is a not-for-profit company formed as a result of the Northeast blackout in 1965 to promote the reliability of the bulk electric systems that serve North America. It works with all segments of the electric industry as well as customers to “keep the lights on” by developing and encouraging compliance with rules for the reliable operation of these systems. NERC comprises ten Regional Reliability Councils that account for virtually all the electricity supplied in the United States, Canada, and a portion of Baja California Norte, Mexico.