On February 16, 2012, FERC Chairman, Jon Wellinghoff, announced at the onset of the monthly meeting that the Commission is establishing a new Division of Analytics and Surveillance under the Office of Enforcement (“Enforcement”). 

On February 23, 2012, FERC staff issued a request for comments on proposed metrics to measure performance in regions outside of Regional Transmission Organizations (“RTO”) and Independent Systems Operators (“ISO”).  FERC, working in conjunction with the Edison Electric Institute and its members, has started the process of developing these metrics that will measure performance in regions outside of RTOs and ISOs.  These metrics are based upon metrics that were previously developed to measure performance within the regions of RTOs and ISOs.

On February 16, 2012, FERC issued a notice of proposed rulemaking (“NOPR”) proposing to revise its regulations governing interstate natural gas pipeline business practices and standards.  FERC’s proposed rule would adopt and incorporate by reference, (with certain exceptions) certain standards adopted by the Wholesale Gas Quadrant of the North American Energy Standards Board (“NAESB”).

On February 16, 2012, the Commission issued an order retaining its existing policies concerning the analysis of horizontal market power in connection with transactions under section 203 of the Federal Power Act.  The Commission declined to revise its policies to incorporate the Department of Justice and Federal Trade Commission’s August 19, 2010 Horizontal Merger Guidelines (the “2010 DOJ/FTC Guidelines”), as previously contemplated by its March 17, 2011 Notice of Inquiry (“NOI”).

On February 16, 2012, FERC defined the scope of permissible locational exchanges of electric energy in response to Puget Sound Energy, Inc.’s 2010 petition for a declaratory order.  In doing so, the Commission held that certain exchanges that occur at one or more locations on an affiliate’s transmission system require special authorization.

On January 31, 2012, FERC issued a notice of workshop that will take place on February 28, 2012.  Among other topics, the workshop will include a discussion of whether it would be appropriate to utilize open seasons as a way to allocate capacity on a merchant transmission line.