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Describe two ways in which Regional Transmission Organizations (RTOs) are like electric utilities.

Describe two ways in which Regional Transmission Organizations (RTOs) are like electric utilities.

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Answer #1

Electric utilities are the companies that are involved in electricity generation, distribution and sale like activities in the market. So, electricity utilities operate in the power industry.
In this regard, the RTOs also act as electric utility companies. The first way is, RTOs are involved in the management of power distribution and transmission among the different state electricity grids. So, monitoring function is also taken care by the RTOs when electricity is distributed.
The second way is, the RTOs functioning as independent operators in the power and electric market that is created on a regional basis. Since, it involves the activities performed by the electric utilities, then RTOs act as electric utilities.

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