On June 15, 2023, FERC issued Order No. 895, adopting new regulations permitting regional transmission organizations (“RTO”) and independent system operators (“ISO”) to share, amongst each other, credit-related information of their market participants, and requiring RTOs/ISOs to adopt tariff or similar rules for providing credit-related information sharing in order to better assess market participants’ credit risks.
Continue Reading FERC Adopts Regulations to Permit Credit-Related Information SharingHouse Subcommittee Holds FERC Oversight Hearing on Improving Reliability Through Energy Expansion, Interregional Transmission, and Backing Renewables with Fossil Fuels
On June 13, 2023, the House of Representatives Subcommittee on Energy, Climate, and Grid Security held a hearing on the “Oversight of FERC: Adhering to a Mission of Affordable and Reliable Energy for America.” The hearing focused on reliability and the transition from fossil fuel generation to renewable resources.
Continue Reading House Subcommittee Holds FERC Oversight Hearing on Improving Reliability Through Energy Expansion, Interregional Transmission, and Backing Renewables with Fossil FuelsFERC Directs NERC to Develop New Transmission Planning Reliability Standard; Directs Transmission Providers to Submit One-Time Informational Reports on Extreme Weather Risk Assessment
On June 15, 2023, FERC issued two final rules aimed at boosting bulk power system resilience by improving how grid operators assess and plan for extreme weather impacts to the transmission system. One rule directs NERC to develop a reliability standard that requires transmission system planners to account for a range of extreme weather conditions, and the other rule directs each FERC-jurisdictional transmission provider to submit an informational report to the Commission that outlines its policies and processes for conducting extreme weather vulnerability assessments.
Continue Reading FERC Directs NERC to Develop New Transmission Planning Reliability Standard; Directs Transmission Providers to Submit One-Time Informational Reports on Extreme Weather Risk AssessmentD.C. Circuit Addresses Appeals of Rehearings Denied by Operation of Law
In its May 26, 2023 opinion in Sierra Club v. Federal Energy Regulatory Commission (an article on the rest of the opinion regarding FERC’s environmental review of the Mountain Valley Pipeline can be found here), the United States Court of Appeals for the District of Columbia Circuit addressed challenges to its jurisdiction to hear appeals of Commission rehearing orders when they are denied by operation of law and the Commission subsequently modifies the underlying order after said denial.
Continue Reading D.C. Circuit Addresses Appeals of Rehearings Denied by Operation of LawD.C. Circuit Finds FERC Failed to Justify Not Preparing a Supplemental EIS for Mountain Valley Pipeline
On May 26, 2023, the United States Court of Appeals for the District of Columbia Circuit issued an opinion in Sierra Club v. Federal Energy Regulatory Commission largely denying challenges to several FERC orders authorizing the resumption of construction of Mountain Valley Pipeline (“MVP”) but remanded, without vacatur, all but one of the orders on review insofar as FERC failed to adequately explain its decision not to prepare a supplemental Environmental Impact Statement (“EIS”) for MVP. (See related article on the Court’s finding with regard to hearing appeals of FERC’s rehearing orders, here).
Continue Reading D.C. Circuit Finds FERC Failed to Justify Not Preparing a Supplemental EIS for Mountain Valley PipelineFERC Accepts in Part and Rejects in Part PSCo’s Proposed LGIP & LGIA Revisions
On June 2, 2023, FERC accepted in part and rejected in part Public Service Company of Colorado’s (“PSCo”) proposed revisions to its Large Generator Interconnection Procedures (“LGIP”) and Large Generator Interconnection Agreement (“LGIA”). In largely accepting PSCo’s proposed revisions, FERC found that the reforms would either strengthen the ability of PSCo to process generator interconnection requests or provide general improvements to existing processes.
Continue Reading FERC Accepts in Part and Rejects in Part PSCo’s Proposed LGIP & LGIA RevisionsFERC Approves SPP Proposal for Energy Storage to Be Considered Transmission-Only Assets
On May 26, 2023, the Commission accepted Southwest Power Pool, Inc.’s (“SPP”) proposed revisions to its Tariff to establish the “framework under which an electric storage resource may be considered a transmission asset.”
Continue Reading FERC Approves SPP Proposal for Energy Storage to Be Considered Transmission-Only AssetsFERC Requires Disclosure of Privileged Material Regarding JP Morgan’s Relationship with Mankato
On May 11, 2023, FERC notified Mankato Energy Center, LLC and Mankato Energy Center II, LLC (“Mankato Companies”) that it will release certain privileged information included in the initial brief that Mankato Companies submitted in an ongoing proceeding section 206 of the Federal Power Act (“FPA”) to determine whether Mankato companies and J.P. Morgan Investment Management, Inc. (“J.P. Morgan Investment”) are affiliated for purposes of the FPA. FERC reasoned that disclosing certain privileged information is necessary to carry out the Commission’s jurisdictional responsibilities in evaluating whether the Mankato Companies’ upstream ownership raises market power concerns. Commissioner Danly dissented in a separate statement, arguing that FERC could instead release a redacted order.
Continue Reading FERC Requires Disclosure of Privileged Material Regarding JP Morgan’s Relationship with MankatoState Attorneys General Argue BlackRock is Violating its FERC Blanket Authorization
A group of 17 states, through their Attorneys General (“State AGs”), filed a motion (“Motion”) on May 10, 2023, requesting that the Commission audit and investigate whether BlackRock is acting as an “activist” investor, thereby violating Section 203 of the Federal Power Act (“FPA”) and the Commission’s latest reauthorizations for BlackRock to acquire public utility securities. The Motion comes shortly after Commissioners Danly and Christie issued a joint statement regarding a different investment company, Vanguard Group, Inc. (“Vanguard”), questioning whether Vanguard’s “enormous accumulation” of utility assets may enable it to exercise “profound control” over those utilities.
Continue Reading State Attorneys General Argue BlackRock is Violating its FERC Blanket AuthorizationD.C. Circuit Upholds FERC’s NEPA Review of Alaskan LNG Project
On May 16, 2023, the United States Court of Appeals for the District of Columbia Circuit (“D.C. Circuit”) issued an opinion in Center for Biological Diversity v. Alaska Gasline Development Corporation, affirming FERC’s authorization for Alaska Gasline Development Corporation (“AGDC”) to construct and operate liquified natural gas (“LNG”) facilities in Alaska’s North Slope region (“Project”).
Continue Reading D.C. Circuit Upholds FERC’s NEPA Review of Alaskan LNG Project