The following policy positions, focused particularly on distributed generation (DG), are held by CECA as we feel that they are in the best interest of our small business and individual consumers.

CECA believes that DG, when properly integrated with an improved national electric power system, incorporated into the economic structure, and accommodated by appropriate regulatory and administrative regimes, has the potential to significantly benefit consumers by leading to:

• Lower cost electricity and higher net energy efficiency;
• Enhanced end-user energy source and design choices;
• Improved overall system reliability;
• Enhanced environmental quality;
• Improved power quality and reliability for specific consumer needs, particularly in the digital economy; and
• A new platform for integrated consumer services involving the convergence of electricity, natural gas, and telecommunications grids.

CECA believes that DG can bring consumer benefits while simultaneously advancing a number of public goods, such as lessening the environmental impact of energy production and use, permitting flexible strategies to meet anticipated significant increases in demand, promoting equity for consumers, and ensuring market access for new supplies.

CECA recognizes the significant challenges and concerns that must be addressed if the potential of DG is to be fully realized. Addressing these concerns is central to developing a successful strategy for DG. The confluence of technology development, electricity sector restructuring, and evident need for relieving supply and transmission constraints provides an exceptional opportunity over the next few years to focus on and work towards a 21^st Century power infrastructure.

CECA believes that the time has come for a concerted effort to move toward greater reliance on DG to meet our burgeoning energy needs.

CECA understands that an expanded role for DG will require a new design and management approach toward traditional transmission and distribution facilities. The transition will be complex and will take extended time to implement.