THE STATES ASSESS A PER TON CARBON DIOXIDE TAX ON FOSSIL FUEL PLANTS, WHILE ISO-NE ASSESSES AN ENERGY TAX ON RATEPAYERS TO RETAIN THE SAME PLANTS.
"In Forward Capacity Auction (“FCA”) 12, Exelon sought to de-list its Mystic units and the ISO rejected the bids because the units were needed to meet local transmission security requirements. Exelon then sought to retire the Mystic units in FCA 13 and the ISO retained them pursuant to new Tariff language that permits retentions for fuel security reasons.The ensuing cost-of-service agreement spans the Capacity Commitment Periods beginning June 1, 2022 and ending May 31, 2024 (for FCA 13-14). However, before FCA 14, either the ISO can terminate the agreement if the units are no longer needed for fuel security or Exelon can opt out. The system must be prepared for the exit of the Mystic units and, to this end, the ISO recently presented the Attachment K Transmission Needs Assessment to the Planning Advisory Committee (“PAC”) reflecting the transmission needs that arise due to the Mystic retirement. "