On December 2, 2009, the FERC approved an uncontested settlement between PJM Interconnection LLC (“PJM”), Midwest Independent Transmission System Operator, Inc (“Midwest ISO”), and Buckeye Power Inc., and dismissed a complaint by Buckeye Power.
FERC News
No FERC Jurisdiction for On-Site Solar Generating Project Sales to End-Use Customers
On November 19, 2009, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) issued a declaratory order confirming that sales by a developer of on-site solar generating projects (“PPA Provider”) to end-use customers do not constitute the sale or transmission of electric energy under FERC’s control.
Green Energy Express Incentives Contingent on CAISO Approval
On November 23, 2009, FERC approved Green Energy Express LLC’s (“Green Energy”) request for rate incentives, conditioned on approval by the California Independent System Operator (“CAISO”).
California Approves Portion of the Devers-Palo Verde 2 Transmission Line
On November 20, 2009, the California Public Utilities Commission (“California PUC”) approved Southern California Edison Company’s (“SoCal Edison”) amended petition to build a 128-mile, 500-kV portion of the Devers-Palo Verde 2 (“DPV2”) project.
FERC Investigates Pipeline Rates
On November 19, 2009, the Federal Energy Regulatory Commission (“FERC” or “Commission”) announced the launch of investigations into the interstate natural gas pipeline rates for Northern Natural Gas Company (“Northern Natural”), Great Lakes Gas Transmission LP (“Great Lakes”), and Natural Gas Pipeline Company of America LLC (“NGPL”) to determine if the pipelines are over-recovering cost of service, causing unjust and unreasonable rates under section 5 of the Natural Gas Act.
FERC Clarifies Definition of Marketing Function Employee
On November 16, 2009, FERC issued Order No. 717-B in an attempt to clarify its confusing decision in Order No. 717-A regarding what utility employees should be considered “marketing function employees.”
FERC Clears Enforcement Case Backlog
On November 13, 2009 the FERC approved 564 penalties submitted in an Omnibus Notice of Penalty (“Omnibus Filing”) by the North American Electric Reliability Corporation (“NERC”).
FERC Allows NYISO to Subject Three Generators to New Market Mitigation Rules
On November 3, 2009, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) conditionally approved the New York Independent System Operator, Inc.’s (“NYISO”) request to subject three generators to a new market mitigation measure, effective September 8, 2009, in response to conduct NYISO identified as an abuse of market power (“November 3 Order”).
FERC Prohibits Utility from Requiring Wind Generators to Provide Regulation Services for Exported Power
On November 10, 2009, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) rejected a proposal by NorthWestern Energy (“NorthWestern”) to amend its Open Access Transmission Tariff (“OATT”) to require that wind generators provide their own regulation services for power exported outside of its balancing authority area.
Former FERC Chairmen File Amicus Brief Regarding Backstop Authority
On October 21, 2009, four former chairmen of the Federal Energy Regulatory Commission (“FERC” or the “Commission”) filed a brief as amici curiae at the United States Supreme Court (“Supreme Court”), arguing that a lower court’s interpretation of the Commission’s backstop transmission siting authority was too narrow (see February 20, 2009 edition of WER).