On December 12, 2011, FERC Commissioner Marc Spitzer announced that effective December 14, 2011, he would be leaving the Commission. At the December 15, 2011 FERC Monthly Meeting, Chairman Jon Wellinghoff, and the other commissioners thanked Commissioner Spitzer for his service.
FERC News
FERC Directs Bonneville Power Administration to File an OATT Pursuant to New Statutory Authority
On December 7, 2011, the Federal Energy Regulatory Commission (“FERC or the “Commission”) issued an order directing the Bonneville Power Administration (“Bonneville”) to file revisions to its Open Access Transmission Tariff (“OATT”) to provide for transmission service on terms and conditions that are comparable to those under which Bonneville provides service to itself and that are not unduly discriminatory or preferential.
The Commission Levies $6,364,029 Civil Penalty against Atmos and Trans Louisiana Gas Pipeline
On December 9, 2011, FERC issued a stipulation and consent agreement between the Commission’s Office of Enforcement (“Enforcement”) and Atmos Energy Corporation (“Atmos”), the parent company of Atmos Energy Marketing, Inc. (“AEM”) and Trans Louisiana Gas Pipeline, Inc. (“Trans La”) assessing a civil penalty of $6,364,029 and ordering the disgorgement of $5,635,971, plus interest for the unjust profits from shipper-must-have-title violations.
FERC Technical Conference Addresses Reliability Issues and EPA Regulations
On November 29 and 30, 2011, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) held a Commissioner-led Technical Conference on electric reliability issues. Of note, the Commission devoted an entire day of the conference to the impact of the EPA’s regulations on electric reliability.
FERC Releases 2011 Report on Enforcement
On November 17, 2011, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) released the 2011 Report on Enforcement (the “Report”). The Report is prepared annually by staff of the Office of Enforcement (“OE”).
FERC Holds Technical Conference on the Penalty Guidelines
On October 27, 2011, the Commission held a Technical Conference on last September’s Revised Policy Statement on Penalty Guidelines. Overall, various members from the Energy industry provided feedback to the Commission, and the industry representatives repeatedly asked for: (1) increased transparency, (2) more communication, (3) more detail on what exactly comprises an effective compliance program, and (4) what determines a penalty amount.
Commission Releases Plan for Retrospective Analysis of Existing Rules
On November 8, 2011, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) released its plan to comply with President Barack Obama’s Executive Order No. 13579 concerning periodic retrospective analysis of existing “significant regulations.”
FERC Issues Delegated Order Finding No Jurisdiction on LNG Facility
On November 3, 2011, the Director of the Office of Energy Projects for FERC issued a delegated order dismissing the uncontested application of Pivotal LNG, Inc. (“Pivotal”) for a limited jurisdiction blanket transportation certificate, under section 7(c) of the Natural Gas Act (“NGA”), in order to own and operate a liquefied natural gas (“LNG”) facility in support of its non-jurisdictional LNG fuel business.
New Bipartisan Policy Center to Deal with Modernizing Grid and Renewable Energy Issues
On November 10, 2011, it was announced that former Representative Rick Boucher (D-Va.), former FERC Chairman Curt Hebert Jr., and Allison Clements, director of the Project for Sustainable FERC Energy Policy at the Natural Resources Defense Council will lead a new Bipartisan Policy Center panel.
Court Challenges Filed Early Against MISO Transmission Cost Allocation Order
The Federal Energy Regulatory Commission (“FERC”) for the most part turned back requests for rehearing regarding the Midwest Independent Transmission System Operator, Inc.’s (“MISO”) Multi-Value-Project (“MVP”) cost allocation plan.