BOSTON PACIFIC COMPANY, INC.

 

Boston Pacific
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Who We Are

 

Boston Pacific is a consulting and investment services firm specializing in the electricity and natural gas businesses.  For over 20 years, we have provided responsive, resourceful, and effective service to our clients who span the full range of stakeholders: state regulatory commissions, regional transmission organizations, energy consumers, competitive power suppliers, electric utilities, and gas pipeline companies.  Boston Pacific is set apart by the depth and breadth of our experience as well as the quality and clarity of our work.

 How We Can Serve You

Our services generally fall into four categories: (i) Market, RFP, and Auction Monitoring; (ii) Expert Witnessing; (iii) Policy Advisory; and (iv) Investment Advisory. 

Market, RFP, and Auction Monitoring

 

At present, our primary line of business is Market, RFP, and Auction Monitoring.  In all of this work our focus is on getting the best deal possible for ratepayers in terms of price, risk, reliability, and environmental performance.  Our experience is best illustrated by the following list of recent, high profile engagements:

  • In 2004, the Southwest Power Pool (SPP) Regional Transmission Organization (RTO), which encompasses over 55,000 MW of power plant capacity and 40,364 miles of transmission lines, selected Boston Pacific as its Independent Market Monitor (IMM).  We now serve as SPP's External Market Advisor (EMA), and our contract has been extended through 2008.

  • Boston Pacific served as the Monitoring Technical Consultant to the District of Colombia Commission to oversee Pepco's 2005, 2006, 2007, and 2008 Request for Proposals (RFPs) for Full Requirements Standard Offer Service for a cumulative total of about 3,100 MW.

  • In 2006/7 and 2007/8, Boston Pacific served the Delaware Commission as the Technical Consultant to monitor the Delmarva RFP for full requirements service for 1,125 MW.

  • In 2006, Boston Pacific served  the Illinois Commission as the Auction Monitor for the state's first descending clock auction soliciting about 30,000 MW.  In 2008, we served as the Procurement Monitor for five separate RFPs, one each for energy, capacity, and financial swaps, plus two for Renewable Energy Credits (RECs).

  • In 2007 and 2008, we served the New Jersey Board of Public Utilities as the Independent Advisor to oversee its sixth and seventh Basic Generation Service (BGS) Auctions.  We will again be the Independent Advisor for the 2009 Auction.

  • In 2007, we served the Oregon Commission as the Independent Evaluator for PacifiCorp's 2012 RFP for unit contingent or firm base load service from new capacity.  In 2008 we are serving as the Independent Evaluator for an all-source RFP and for a renewables RFP.

  • In the Virgin Islands, Boston Pacific has designed and is running an RFP process to procure non-fossil fuel power for the next 20 years.  The U.S. Virgin Islands is currently generating all of its power with oil-fired generation.  This RFP has attracted proposals from a range of renewable technologies including wind, solar photovoltaic, geothermal, and ocean thermal (OTEC).

  • Boston Pacific is assisting a Colombian power generation company to develop the country's geothermal resources through a feasibility study sponsored by the U.S. Trade and Development Agency (USTDA).  The feasibility study includes an analysis of Columbia's geothermal data, regulatory analysis, site selection, and financial modeling of geothermal power plants for potential sites.

  • In 2007/2008, we have been serving the Oklahoma Corporation Commission as an Independent Evaluator.  Boston Pacific facilitated a collaborative process leading to three separate RFPs for base load power, renewables, and demand-side measures. 

  • Boston Pacific served as the Technical Consultant to the Maryland Commission to oversee the 2004, 2005, and 2006 RFPs issued by all four Maryland utilities for a cumulative total of about 17,000 MW. 

  • Boston Pacific brings a full range of skills to these monitoring engagements with expertise in market design, market power measurement and mitigation, auction theory, finance and risk management, regulatory policy, and computer modeling.    

     

     

    Expert Witnessing

     

    We have submitted testimonies, affidavits, expert reports or comments to the Federal Energy Regulatory Commission (FERC) on 30 occasions, to 18 state regulatory commissions (some on multiple occasions), in arbitrations, in State Court, in Federal Court, to a City Council, before two Canadian Provincial Boards, and before a Congressional Subcommittee.  Our experts provide effective testimony backed by sophisticated quantitative economic analyses.  Three examples illustrate our experience:

  • In 2007, we served the Public Utility Commission of Texas as an expert in its review of the $46.7 billion acquisition of TXU by private equity investors.

  • In 2002 and 2003, we were expert witnesses in almost every major proceeding at the federal and state levels addressing the watershed issue of how to evaluate  power purchases and asset acquisitions between utilities and their unregulated affiliates in the face of significant competition from non-affiliates.

  • In 2001, we provided advisory services and market power assessments to help win federal government approval (without a hearing) for the $2.9 billion merger of Reliant Energy and Orion Power.

  • Policy Advisory 

    Our knowledge of regulatory policy, in general, and the rules of power markets around the country, in particular, allows us to provide insights to key policymakers and market participants.  We prepared one report on trends in electricity prices during the emerging competitive regime from 1980 to 2001, which is entitled Assessing the "Good Old Days" of Cost-Plus Regulation.  And, we prepared a research paper entitled Still Waters Run Deep, which measured price volatility in nine markets and assessed the possible impact of price controls. 

    In our role as market monitor for SPP, we prepared a report for the SPP Board of Directors entitled An Assessment of Price Volatility in Recent Deployment Tests for the SPP EIS MarketWorking with the internal Market Monitoring Unit (MMU) in 2007 and 2008, Boston Pacific developed an estimate of the trade benefits from the first year of operation of SPP's spot market for energy. 

    Also, we prepared a report entitled Getting the Best Deal for Electric Utility Customers, which is a guide to designing, implementing and monitoring competitive solicitations in the electricity business.

    Investment Advisory 

    In the past, we gained extensive experience in helping our clients buy, sell, develop, and manage assets in the electricity business in the U.S. and around the world.  Our investment advisory work often included market price forecasts, transmission assessments, financial modeling, and financial due diligence.  For example:  In 2000, we were one of the financial advisors on the $300 million sale of Columbia Electric.  We have worked potential investments throughout North America and in more than two dozen countries around the world.

     

     


     

     

     

     

     

    Boston Pacific Company, Inc.
    1100 New  York Avenue, NW, Suite 490 East
    Washington, DC 20005
    Tel: (202) 296-5520 Fax: (202) 296-5531 
    Email: infobp@bostonpacific.com


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