[Ernest_at_the_Beach]

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What the ISO and DWR do

Who manages what

The two main agencies involved in power purchases are the Independent System Operator and the state Department of Water Resources.

Here are their duties:

The nonprofit ISO was set up by the 1996 law deregulating the wholesale electricity market. Headquartered near Sacramento, its staff manages about 80 percent of the state's electrical grid, and has purchased power in emergencies to prevent outages.

The head of the ISO, Terry Winters, answers to a five-member board that is appointed by Gov. Gray Davis.

The DWR buys energy for the state's three major utilities under a January 2001 emergency order signed by Davis. The DWR determines how much power it needs to satisfy the utilities' customers and determines how much money it must have to make the purchases, with the money coming from customers' rates. The utilities lacked the credit to buy power on their own. The DWR has been run since 1999 by Thomas Hannigan, who ultimately answers to Davis.

[Ernest_at_the_Beach]

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[lewislynn]

The nonprofit ISO was set up by the 1996 law deregulating the wholesale electricity market.

That, in one sentence sums up what is/was the root of the convoluted mess.