On August 31, 2009, the Climate Change Policy Partnership based at Duke University released a report, Electrical Transmission-Barriers and Policy Solutions, suggesting that real estate investment trusts (“REITs”) could provide the vehicle for creating the capital necessary to expand the national transmission grid in order to meet future electricity demands. 

On June 9, 2009, the United States Court of Appeals for the Ninth Circuit issued a decision that upheld orders from the Federal Energy Regulatory Commission (“FERC” or the “Commission”) granting PPL Montana, LLC, PPL Colstrip LLC, and PPL Colstrip II LLC (collectively, “PPL”) market-based rate authority despite challenges by petitioners Montana Consumer Council and REC Silicon (collectively, “Montana Consumer Council” or “Petitioners”). 

On August 24, 2009, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) ruled that claims of market manipulation should be brought under section 306 of the Federal Power Act (“FPA”) and not section 206 of the FPA, where the Attorney General of Connecticut, the Connecticut Department of Public Utility Control (“DPUC”), and the Connecticut Office of Consumer Counsel (“OCC”) filed their complaints against power plant operators earlier this year. 

On July 23, 2009, the Commission’s Enforcement Litigation Staff (“Staff”), Amaranth Advisors LLC (“Amaranth”), and one of Amaranth’s two former gas traders filed a new settlement in its high-profile enforcement case. The Commission previously rejected a settlement submitted by the parties earlier this year (See February 20, 2009 edition of the WER).

On July 20, 2009, a split panel from the United States Court of Appeals for the Ninth Circuit (“Ninth Circuit”) voted 2-1 to uphold the Commission’s decision to deny two environmental groups’ untimely attempt to intervene in proceedings to amend the flow requirements at Pyramid Dam in Los Angeles County. The Ninth Circuit concluded that the Commission reasonably determined that California Trout and Friends of the River (collectively, the “petitioners”) lacked good cause in their untimely attempt to intervene.

Just announced, the Federal Trade Commission (“FTC”) has suspended enforcement of the Red Flags Rule for a third time, resulting in a new compliance date of November 1, 2009, which is an additional three month delay from the most recent compliance date of August 1, 2009 (see May 1, 2009 edition of the WER).