On March 30, 2010, Champlain Hudson Power Express, Inc. (“Champlain”) filed an Application for a Certificate of Environmental Compatibility and Public Need (the “Application”) at the New York State Public Service Commission (“NYPSC”).  Champlain filed the Application for its Champlain Hudson Power Express Project (the “Project”).  The Project represents the latest attempt by developers to move large quantities of Canadian hydropower into lucrative East Coast markets. 

On April 13, 2010, FERC found that PJM Interconnection L.L.C.’s (“PJM”) open access transmission tariff (“OATT”) does not preclude PJM from designating Primary Power to build projects as part of PJM’s regional transmission expansion plan (“RTEP”).  FERC’s decision will allow Primary Power, a merchant transmission company, to build their Grid Plus transmission project (“Grid Plus”) and recover the cost of the project through cost-based rates so long as the project is accepted into the RTEP. 

In an effort to ease the growing uproar regarding the issuance of its March 18, 2010 Policy Statement on Penalty Guidelines (“Policy Statement”), the Federal Energy Regulatory Commission (“FERC” or the “Commission”) on April 15, 2010, announced that it will suspend the application of its Policy Statement and give interested entities a broader opportunity to comment before issuing a final order and putting the guidelines into effect.

On April 15, 2010, FERC issued an Order on Clarification denying a request that the Commission interpret its market-based rate affiliate restrictions to permit sharing of employees who are neither transmission function employees nor marketing function employees.  FERC also issued a Notice of Proposed Rulemaking (“NOPR”) proposing a revision to the market-based rate affiliate restrictions to reflect the clarification provided in its Order on Clarification.

Last week, the EPA finally took action to clarify the application of the “Maximum Achievable Control Technology (“MACT”) Hammer” to vacated MACT standards.  The MACT Hammer is the provision that requires existing sources to develop case-by-case MACT limits for hazardous air pollutants if EPA misses its deadline for promulgating a generally applicable MACT standard.