On March 9, 2010, the Supreme Court of Wyoming ruled that Basin Electric Power Cooperative can continue with construction of its new Dry Fork Station coal-fired power plant near Gillette, Wyoming.  Finding that the state did not have to require best available technologies for controlling carbon dioxide emissions, the court rejected a challenge to the state-issued air permit brought by Earthjustice on behalf of the Powder River Basin Resource Council and the Sierra Club.

On February 26, 2010, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) issued an Order Initiating Review of Notice of Penalty filed by the North American Reliability Corporation (“NERC”) against Turlock Irrigation District (“Turlock”).  This is the first time that FERC has questioned a penalty issued by NERC.

On February 22, 2010, the Environmental Protection Agency (“EPA”) announced that it will begin to phase in permit requirements and regulation of greenhouse gases (“GHG”) for large stationary facilities at the start of 2011.  Currently the EPA is scheduled to take action on its first round of GHG regulations under the Clean Air Act (“CAA”) around April 1, 2010. 

On February 24, 2010, the Department of Energy’s (“DOE”) Ernest Orlando Lawrence Berkeley National Laboratory (“Berkeley Lab”) released their report Exploration of Resource and Transmission Expansion Decisions in the Western Renewable Energy Zone Initiative.  The analysis found that $22-$34 billion is needed to build transmission infrastructure in order to meet the West’s 33% renewable energy target.

On February 18, 2010, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) issued an order granting Google Energy LLC (“Google Energy”) market-based rate authority effective February 23, 2010, finding that Google Energy meets the criteria necessary for a Category 1 seller in all regions.

On February 24, 2010, the U.S. Commodity Futures Trading Commission (“CFTC”) issued an order that simultaneously filed and settled charges against UBS AG (“UBS”) for exceeding the New York Mercantile Exchange’s (“NYMEX”) position limits on certain natural gas, heating oil and platinum futures contracts.  Under the accepted Offer of Settlement, in which UBS does not admit or deny the CFTC’s findings, UBS agrees to pay a civil monetary penalty of $130,000.

On February 19, 2010, the American Public Power Association, Electric Consumers Resource Council, National Consumer Law Center, PJM Industrial Customer Coalition, Portland Cement Association, and Public Citizen sent a letter to FERC asking that generator profits be included in performance metrics for Regional Transmission Organizations (“RTO”) and Independent System Operators (“ISO”). 

In a rare move, the United States Department of Justice (“DOJ”) has taken antitrust enforcement action against a participant in a regional market overseen by the Federal Energy Regulatory Commission (“FERC” or the “Commission”). Specifically, DOJ investigated and filed a Sherman Act Section 1 complaint against KeySpan Corporation (“KeySpan”) with respect to a “swap” transaction pertaining to the New York Installed Capacity market operated by the New York Independent System Operator, Inc. This action may signal DOJ’s willingness to supplement FERC’s oversight over regional energy markets.