Existing law establishes the Independent System Operator (ISO) as a nonprofit public benefit corporation responsible for ensuring the efficient and reliable operation of the electrical transmission grid, with standards at least as stringent as those set by the Western Electricity Coordinating Council and the North American Electric Reliability Council. The Clean Energy and Pollution Reduction Act of 2015 provided for the ISO’s potential transformation into a regional organization through a specified process requiring multiple state approvals by January 1, 2019. This bill would delete the provisions related to that transformation and instead authorize the ISO and participating transmission owners to use voluntary energy markets governed by an independent regional organization, subject to specified conditions. Beginning January 1, 2027, the ISO could implement tariff modifications approved by the Federal Energy Regulatory Commission if certain requirements are met, while maintaining its technical capabilities and responsibilities as a balancing authority. Additionally, the bill would delete existing provisions regarding the Power Exchange’s operation of a competitive auction for energy supply.