From: Vickie Patton <vpatton@edf.org> 
To: Michael Goo/DC/USEPA/US@EPA, Joel Beauvais/DC/USEPA/US@EPA, Janet McCabe/DC/USEPA/US@EPA, Peter 
Tsirigotis/RTP/USEPA/US@EPA 
Cc: Mark MacLeod <mmacleod@edf.org>, Hilary Sinnamon <hilary@redmtngroup.com> 
Date: 11/28/2012 02:52 PM 
Subject: RICE/Demand Response -- FERC Order 745 & RICE Health Effects
 
 
Dear Michael, Joel, Janet and Peter,  
 
I have appended two sets of documents re demand response pertinent to EPA’s RICE 
Rulemaking. The first set of documents contain some of the major briefs filed in the 
pending (fully briefed but not argued) DC Circuit litigation re FERC Order 745 which 
eliminates barriers to demand response in the wholesale power market by providing 
for compensation at the locational marginal price/LMP. I have attached petitioners’ 
opening brief (names you will recognize) challenging FERC Order 745, FERC’s opening 
brief in defense of the Order which lays out a helpful summary of the Order, and an 
amicus brief filed by EDF, NRDC and the Citizens Utility Board in which we address the 
threshold jurisdictional question as well as the considerable potential environmental 
benefits of demand response.  
 
FERC Order 745 is a major market reform initiative led by Chairman Wellinghoff that 
EDF strongly supports. See, e.g., Wellinghoff et al. Creating Regulatory Structures for 
Robust Demand Response Participation in Organized Wholesale Electric Markets, 
attached here. EDF is quite concerned, however, about ensuring that the expanded 
DR access to the wholesale market is achieved with clean demand response 
resources that protect human health and the environment.  
 
Leading risk assessment experts conducted a careful analysis for EDF of the 
exposures and risks associated with back up diesel generators in California. 
http://www.edf.org/sites/default/files/2272_BUGsreport_0.pdf The report identified 
the significant risk even for engines operating under a 100 hour per year limit (the 
AQMDs had limits varying from 50 to 100 to 200 hours). It found significant risk zones 
near schools, low income communities, neighborhoods with minorities and other 
centers where people live, work and recreate. The risk assessment underscores that 
exposures/intake fraction (cf annual emissions) is critically important in 
understanding the health risks, and it was the impetus for significant policy reforms in 
California.  
 
Best wishes,  
Vickie  
 
 
 

 
 
This e-mail and any attachments may contain confidential and privileged information. If you are not the intended recipient, please notify the sender 
immediately by return e-mail, delete this e-mail and destroy any copies. Any dissemination or use of this information by a person other than the intended 
recipient is unauthorized and may be illegal. (See attached file: EPSA-ODEC-APPA-NRECA Initial Brief re 
745.pdf)(See attached file: FERC Brief re Order 745.pdf)(See attached file: FERC Order 745 
Amicus Brief CORRECTED Sept 14 - 2012 _FILED.pdf)(See attached file: Creating Regulatory 
Structures for Robust Demand Response Participation in Organized Wholesale Electric 
Markets.pdf)
