On February 27, 2025, FERC granted a complaint filed by BP Energy Retail Company California LLC (“BP Energy” or “Company”) under sections 206 and 306 of the Federal Power Act appealing a penalty the California Independent System Operator Corporation (“CAISO”) assessed against BP Energy under a section of CAISO’s Open
FERC News
FERC Denies Great Basin Transmission’s Request for Transmission Rate Incentives
On February 20, 2025, FERC denied Great Basin Transmission, LLC’s (“Great Basin”) request for two transmission incentives for Great Basin’s Southwest Intertie Project-North Transmission Line and associated upgrades to Great Basin’s existing One Nevada Transmission Line (together, the “Project”). FERC found that Great Basin did not demonstrate that the Project…
FERC Reinstates Authorization for Transco Pipeline Expansion Project
On January 24, 2025, FERC reinstated a certificate of public convenience and necessity (“CPCN”) for Transcontinental Gas Pipe Line Company’s (“Transco”) Regional Energy Access Expansion Project (“Project”) after the D.C. Circuit vacated and remanded FERC’s initial order certificating the Project (“Certificate Order”).
In January 2023, FERC granted Transco a CPCN…
Court Finds FERC Appropriately Evaluated Decision to Retain Dams in License Surrender
On January 14, 2025, the U.S. Court of Appeals for the D.C. Circuit (“D.C. Circuit”) held that FERC complied with the National Environmental Policy Act (“NEPA”) in approving the surrender of a hydroelectric project license. The court found that FERC had adequately considered the alternative of dam removal and determined that keeping the dams in place outweighed any potential benefits to recreation, fisheries, and other environmental concerns. The case, American Whitewater v. FERC, involved a challenge to FERC’s license surrender decision regarding the Somersworth Hydroelectric Project (“Project”) on the Salmon Falls River, which spans the border between New Hampshire and Maine.
FERC Approves Contested Settlement Agreement and Rate Schedule for Provision of Reliability Must-Run Service
On January 16, 2025, FERC approved a contested settlement agreement and rate schedule governing the provision of reliability must-run (“RMR”) service from the Indian River Unit 4 generating facility (“Unit 4”) in PJM Interconnection, L.L.C. (“PJM”).
President Trump Names Christie as FERC Chairman and Signs Energy-Related Executive Orders
On January 20, 2025, Donald Trump was sworn in as the 47th President of the United States. On his first day in office, President Trump signed various executive orders effectuating administrative and policy changes across the federal government, including naming a new FERC Chairman and declaring a national energy emergency.…
FERC Issues Nearly $1B Market Manipulation Penalty Regarding Alleged Energy Efficiency Projects
On December 16, 2024, the Federal Energy Regulatory Commission (“FERC”) directed American Efficient, LLC, its subsidiaries, and corporate parents (collectively, “American Efficient”) to show cause why American Efficient should not be found to have violated anti-manipulation rules. The order alleges that American Efficient engaged in a manipulative scheme to extract millions of dollars in capacity payments from Midcontinent Independent System Operator, Inc. (“MISO”) and PJM Interconnection, L.L.C. (“PJM”) for energy efficiency projects that did not actually reduce energy use. FERC also requested American Efficient to show cause why they should not disgorge over $253 million in unjust profits and pay a civil penalty of $722 million.
FERC Denies CPower’s Complaint Requesting Revisions to PJM’s Tariff Governing Curtailment Service Providers
On September 19, 2024, the Federal Energy Regulatory Commission (“FERC”) denied Enerwise Global Technologies, LLC’s (“CPower”) complaint against PJM Interconnection, LLC (“PJM”) alleging that PJM’s Open Access Transmission Tariff (“Tariff”) was unjust, unreasonable, and unduly discriminatory because it prevents Curtailment Service Providers (“CSP”) from using approved statistical sampling rules to…
FERC Rejects Basin’s Special Rate for Crypto and Large Load Customers, Sparking Further Interest in “Large Load” Policy Discussions at FERC
On August 20, 2024, the Federal Energy Regulatory Commission (“FERC”) issued an order rejecting, without prejudice, a contested proposal from Basin Electric Power Cooperative (“Basin”) to establish special wholesale power sales rate schedules for cryptocurrency (“crypto”) operations and other new large loads. While FERC expressed sympathy for Basin’s concerns regarding its ability to serve expected load growth reliably and economically, FERC found that Basin failed to justify its proposal to treat crypto currency mining loads differently from other large loads and therefore rejected the differential rate proposal.
D.C. Circuit Finds That Interconnection Customers are Responsible for Network Upgrade Costs
On July 19, 2024, the United States Court of Appeals for the District of Columbia Circuit (“D.C. Circuit”) issued an Order denying Tenaska Clear Creek Wind, LLC’s (“Clear Creek”) challenges to FERC’s orders allowing the allocation of costs for network upgrades. Southwest Power Pool, Inc. (“SPP”) assigned costs of more than $100 million to Clear Creek to pay for upgrades required on SPP’s system to accommodate the interconnection of Clear Creek’s wind turbine-powered electrical generation project (the “Project”).