The Organization of PJM States Inc. (OPSI) is asking PJM to consider candidates who have state regulatory experience as the RTO searches for two new members of the Board of Managers this year.
The board’s Nominating Committee is currently weighing candidates to replace outgoing board members Ake Almgren and John Foster, with a slate of nominees to be presented to stakeholders for a vote by April.
In the letter sent to committee Chair Charles Robinson on Friday, OPSI requested that PJM “broaden its diversity of expertise” by selecting at least one candidate with state regulatory experience.
“Having individuals on the board with firsthand knowledge of the need for fair balancing of interests faced by regulators entrusted with implementing public policy directives should be a priority,” OPSI President and Delaware Public Service Commissioner Harold Gray said.
PJM has an opportunity to add individuals with an understanding and background of complex issues as the RTO is experiencing “unprecedented change driven largely by public policy mandates,” Gray said.
OPSI argued that the qualification criteria contained in PJM’s September announcement of the replacement search, “fall short.” The RTO said that a “preferred candidate may have expertise and experience in public utilities laws and regulations,” or prior “day-to-day experience in state or federal regulation; possibly a former state or federal public utility regulatory commissioner.”
The organization pointed out that five grid operators’ boards already have board members with state regulatory experience, including ERCOT, which requires the chair of the Public Utility Commission of Texas to sit on the board as a non-voting, ex officio member.
The other current board members are NYISO’s Ave Bie, former chair of the Wisconsin Public Service Commission; SPP’s Joshua Martin, former chairman of the Delaware Public Service Commission; MISO’s Nancy Lange, former chair of the Minnesota Public Utilities Commission; and ISO-NE’s Mark Vannoy, former chairman of the Maine Public Utilities Commission.
Sally Talberg, former chair of the Michigan Public Service Commission, also briefly served as chair of ERCOT’s board until last month’s winter storm. (See ERCOT Chair, 4 Directors to Resign.)
“PJM would not be unique to require this of its board, as other regional transmission organizations or independent system operators have already included such background on their respective boards,” Gray said.
OPSI also recommended PJM “maximize the number” of new voting board members who currently reside within the RTO’s service area. The letter said having board members from the PJM region “would add vital understanding of state policies and issues within the PJM footprint.”
“As you deliberate and ultimately decide upon qualified candidates for the next members of the PJM Board of Managers, now and moving forward, we urge you to consider the fundamental improvements that OPSI’s two recommendations would provide, and to nominate accordingly,” Gray said.
Almgren, the current chair of the PJM board, has been a part of the RTO since 2003. He took over as chair in 2018, replacing Howard Schneider, who served on the board from its inception in 1997 until retiring.
Almgren has headed his own energy technology consulting company, Orkas, since 2003. He also served on the Department of Energy’s Electricity Advisory Council from 2014 to 2017.
Foster, the chair of the Risk and Audit Committee, has also been a board member since 2003. A certified public accountant, Foster previously was vice president, treasurer and principal accounting officer of Compaq and senior audit manager with PricewaterhouseCoopers.