On December 23, 2009, Google Energy LLC (“Google Energy”), a wholly-owned subsidiary of Google Inc. (“Google”), applied for market-based rate authority from FERC.
FERC News
Senate Confirms Norris to FERC
On December 24, 2009, the United States Senate confirmed the nomination of John Norris, a Democrat, as commissioner on the Federal Energy Regulatory Commission (“FERC” or the “Commission”).
FERC Approves PJM’s Reforms to Wholesale Market, Changes to Independent Market Monitor
On December 18, 2009, FERC conditionally approved PJM Interconnection, L.L.C.’s (“PJM”) Order No. 719 compliance filing, which contained proposed revisions to the PJM tariff regarding organized wholesale electricity markets. The Commission also clarified the market power mitigation roles of PJM and Monitoring Analytics, PJM’s independent market monitoring unit (“MMU”), in the order.
FERC Rejects Army Corps’ Challenges on Complying with Reliability Standards
On January 5, 2010, FERC rejected the Army Corps of Engineers’ (the “Army Corps”) petition for rehearing as untimely and upheld its ruling that the Corps must comply with mandatory standards developed by the North American Electric Reliability Corporation (“NERC”).
Four States Form Retail Regulatory Committee to Oversee Entergy
On December 17, 2009, regulators of Energy Corp.’s retail operations announced the formation of the Entergy Regional State Committee (“E-RSC” or “Committee”), comprised of regulators from the Arkansas Public Service Commission, Louisiana Public Service Commission, Mississippi Public Service Commission, the Public Utility Commission of Texas, and the City of New Orleans’ City Council.
FERC Announces Two Changes to Enforcement Process
On December 17, 2009, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) released an order (“Enforcement Order”) that authorizes the Secretary of the Commission to issue a Staff’s Preliminary Notice of Violations (“Notice”) after the entity that is subject to an investigation has been given the opportunity to respond to staff’s preliminary findings. Additionally, the Commission released a Policy Statement where the Office of Enforcement (“OE”) will provide exculpatory evidence to those entities subject to their investigations and respondents in administrative enforcement proceedings.
FERC Order Tightening Rules on Estimating Available Grid Capacity
On November 24, FERC approved six Reliability Standards, which mandate the methods transmission owners must use to calculate Available Transfer Capability (“ATC”).
FERC Chairman Wellinghoff Testifies on Energy Storage
On December 10, 2009, Federal Energy Regulatory Commission (“FERC” or the “Commission”) Chairman Jon Wellinghoff testified on the technical issues related to integrating energy storage into the electricity grid at a hearing before the Senate Committee on Energy and Natural Resources.
FERC Denies Request that Developer Claims is Needed to Save 400 MW Project
On December 3, 2009, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) denied Clipper Windpower Development Company, Inc.’s (“Clipper Windpower”) emergency motion and request for temporary waiver of part of the California Independent System Operator Corporation’s (“CAISO”) Large Generator Interconnection Procedures (“LGIP”). In its motion, Clipper Windpower argued that the current security deposit requirements within CAISO’s LGIP would force it to post a $7.5 million deposit for upgrades that would cost approximately $4.6 million.
Army Corps Challenges FERC Ruling on Jurisdiction
On November 25, 2009, the United States Army Corps of Engineers (“Army Corps”) filed a request for rehearing of FERC’s order requiring the Army Corps to comply with mandatory electric reliability standards.