FERC says California water agency must pay power bills

FERC says California water agency must pay power bills

WASHINGTON, Nov 7 (Reuters) - The Federal Energy Regulatory Commission on Wednesday ordered the California Independent System Operator (ISO) to enforce creditworthiness rules and seek direct
payments from the state's main electricity buyer, the California Department of Water Resources.

In its order, FERC found the California ISO violated its own tariff rules regarding prompt payments to power generators for electricity bought through the California ISO market.

FERC directed the California ISO to send an invoice within 15 days to the state water agency for all transactions it made on behalf of Edison International's Southern California Edison and PG&E Corp's Pacific Gas & Electric. The commission order did not identify how much money was at issue.

The commission granted a request filed by a group of California power generators, which includes Duke Energy Corp , Mirant Corp and Williams Cos .

If the California ISO does not comply, FERC said it might seek a court injunction or eliminate a provision requiring generators to sell power through the California ISO.

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