On May 4, 2012, the FERC Office of Enforcement released a delegated letter order accepting the results and recommendations of an audit of the North American Electric Reliability Corporation (“NERC”).  The audit report, critical of NERC in many ways, prompted NERC to issue a strongly-worded statement criticizing FERC Staff for releasing the report while negotiations regarding some of the audit results and recommendations were ongoing.

On April 30, 2012, the Federal Energy Regulatory Commission approved revisions to the PJM Interconnection, L.L.C.’s (“PJM”) transmission planning process in Docket No. ER12-1179-000.  PJM submitted the proposed revisions in order to expand its planning analyses beyond reliability and market efficiency considerations, developing a more extensive analysis that includes renewable resource integration, demand response programs, environmental initiatives and “at risk” generation.

On April 19, 2012, the Federal Energy Regulatory Commission (the “Commission” or “FERC”) approved proposed tariff revisions of Midwest Independent Transmission System Operator, Inc. and the Transmission Owners of the Midwest Independent System Operating, Inc. (collectively “MISO”) in its effort to facilitate the integration of Entergy Corporation and its operating companies (“Entergy”) into MISO.  The order clarifies how the costs of certain transmission projects will be allocated during the transition of Entergy into MISO, and sets the stage for future cost sharing between the current MISO and Entergy regions.

On April 20, 2012, FERC clarified through a WSPP, Inc. (“WSPP”) order that the Commission does not have jurisdiction over the trading of unbundled renewable energy certificates (“REC”) – i.e. those REC contracts that do not have an energy sales component.  However, the Commission did assert jurisdiction over bundled REC transactions under sections 201, 205, and 206 of the Federal Power Act.

On April 26, 2012, FERC Chairman Jon Wellinghoff met with reporters to discuss the Commission’s accomplishments over the last year.  Wellinghoff focused on the steps FERC has taken in the past year to fulfill its mission of “ensuring consumers have reliable, efficient and sustainable energy.”  In addition, FERC’s Office of Energy Projects released a list of Energy Infrastructure Issuances from April 1, 2011 to March 31, 2012, which noted that FERC licensed 50 hydropower projects, certificated 22 natural gas pipeline projects and 13 natural gas storage projects.