Category Archives: FERC

Subscribe to FERC RSS Feed

FERC Denies Anbaric Complaint, Announces Technical Conference to Examine Grid Access for Offshore Wind Projects

On Nov. 18, 2019, power line developer Anbaric Development Partners, LLC (Anbaric) filed a complaint before the Federal Energy Regulatory Commission (FERC) under sections 206 and 306 of the Federal Power Act against regional grid operator PJM Interconnection, L.L.C. (PJM), claiming that PJM’s transmission interconnection procedures in Sections 36.1.03 and 232 of the PJM Open … Continue Reading

FERC Upholds June 2018 PJM Minimum Offer Price Rule Order Thwarting State Subsidies

The Federal Energy Regulatory Commission (FERC) issued two orders denying rehearing and offering some clarity on the PJM Interconnection, LLC (PJM) Minimum Offer Price Rule (MOPR), a construct that potentially prevents new capacity-market sellers from depressing prices by offering at reduced prices to clear a capacity auction. The April Orders relate to FERC’s June 2018 order, which … Continue Reading

FERC Clarifies and Reaffirms ADIT Rules

The Federal Energy Regulatory Commission (FERC) issued Order 864-A on Public Utility Transmission Rate Changes to Address Accumulated Deferred Income Taxes (ADIT). Order No. 864-A addresses requests for clarification and rehearing concerning the obligation of public utilities with either transmission formula rates or transmission stated rates to return excess ADIT arising from the reduction in the … Continue Reading

FERC Puts PJM’s Minimum Run-Time Proposal on Hold

On April 10, 2020, the Federal Energy Regulatory Commission (FERC) issued an order (April Order) on PJM Interconnection, LLC’s (PJM) proposal for minimum run-time requirements for capacity storage resources. The April Order relates to Order No. 841 from December 2018, which opened energy markets to energy storage, and a FERC order from October 2019, where … Continue Reading

Fourth Circuit Rejects Statute of Limitations Challenge to FERC Electricity Market Manipulation Suit

On Feb. 11, 2020, the United States Court of Appeals for the Fourth Circuit decided that the Federal Energy Regulatory Commission (FERC) did not overstep the statute of limitations in its effort to impose more than $29 million in civil penalties over alleged wholesale electricity market manipulation carried out by Dr. Houlian Chen and other associated financial … Continue Reading

Thumbs Up for Energy Storage: FERC Approves PJM and SPP Proposals Implementing Order No. 841

On Oct. 17, 2019, the Federal Energy Regulatory Commission (FERC) gave PJM Interconnection, L.L.C. and Southwest Power Pool the green light to implement their energy storage proposals to comply with FERC’s Order No. 841. FERC found that these proposals reduce barriers to market participation by storage resources by allowing them to be compensated fairly when delivering … Continue Reading

FERC Launches Comprehensive PURPA Overhaul

On Sept. 19, 2019, the Federal Energy Regulatory Commission (FERC) issued a Notice of Proposed Rulemaking (NOPR) to modernize the Public Utility Regulatory Policies Act of 1978 (PURPA), to address market changes in the energy landscape over recent decades. Comments are due 60 days from publication in the Federal Register. PURPA was enacted in 1978 … Continue Reading

Office of Fossil Energy of the Department of Energy Issues Notice of Proposed Rulemaking That Will Automatically Authorize Certain Applications To Export Small Volumes of Natural Gas

On Sept. 1, the Office of Fossil Energy of the Department of Energy (DOE/FE) issued a notice inviting public comment on a proposal which, if adopted, will authorize automatically applications to export small volumes of natural gas to non-Free Trade Agreement nations.  82 Fed. Reg. 41,570 (Notice).  As DOE/FE describes its proposal: [T]he proposed rule … Continue Reading

D.C. Circuit Holds FERC Natural Gas Pipeline NEPA Review Must Consider Greenhouse Gas Emissions Impacts from Power Plants Served by Proposed Pipeline

Although there has been a significant shift with regard to climate change policy with the change of administrations, a recent decision at the United States Court of Appeals for the District of Columbia Circuit (D.C. Circuit) makes clear that the National Environmental Policy Act or NEPA, enacted in 1970, remains an important weapon for those … Continue Reading

CEQ Issues Measured Final Guidance for Federal Agencies in their Consideration of GHG Emissions in NEPA Reviews

On Aug. 1, 2016, the Council on Environmental Quality (CEQ) issued its Final Guidance for Federal Departments and Agencies on Consideration of Greenhouse Gas Emissions and the Effects of Climate Change in National Environmental Policy Act (NEPA) Reviews. CEQ issued the guidance in an endeavor “to provide greater clarity and more consistency in how agencies … Continue Reading

Does FERC’s Denial of Authority to Construct Jordan Cove Signal a More Rigorous Test for Future LNG Projects?

On March 11, 2016, the Federal Energy Regulatory Commission (FERC) denied an application by Jordan Cove Energy Project, L.P. (Jordan Cove) for authority under Section 3 of the Natural Gas Act (NGA) to site, construct, and operate a facility at Coos Bay, Oregon, for the exportation, principally to Asia, of liquefied natural gas (LNG). In … Continue Reading

FERC Clarifies Prohibition on Buy/Sell Arrangements

At the request of Rice Energy Marketing LLC, the Federal Energy Regulatory Commission (FERC), on Oct. 15, 2015, issued a Declaratory Order that clarified the extent to which releases of capacity to asset managers are exempt from FERC’s prohibition on buy/sell transactions. As clarified, the exemption extends to volumes of gas purchased from the releasing … Continue Reading

FERC ALJ Initial Decision Finds Manipulation in BP America, Inc., et al.

Initial Decision Overview On May 15, 2014, FERC set a hearing to address whether BP violated FERC’s anti-manipulation rules and Section 4A of the NGA and to make certain factual findings regarding the application of the FERC’s Penalties Guidelines.[1] After hearing (and nearly seven years since the alleged violations), and consistent with the OE’s allegations, … Continue Reading

FERC Assesses Penalties for Alleged No-Risk UTC Trading Against City Power and Its Founder

Earlier this month, the Federal Energy Regulatory Commission (FERC) issued an Order Assessing Civil Penalties against City Power Marketing, LLC (City Power) and its founder and sole owner, K. Stephen Tsingas[1] (collectively, Respondents)  for violating section 222 of the Federal Power Act (FPA) and section 1c.2 of the Commission’s regulations, which prohibit energy market manipulation.[2] … Continue Reading
LexBlog