Washington Energy Report > Troutman Sanders LLP

FERC Proposes Policy Allowing for Cost Recovery on Natural Gas Facilities Modernization

On November 20, 2014, FERC issued a proposed policy statement that would allow interstate natural gas pipelines to use a surcharge or tracker mechanism to recover certain capital expenditures made to modernize pipeline system infrastructure in order to enhance reliability, safety and regulatory compliance. [Read more →]

November 24, 2014   Comments Off

FERC Issues Order on NERC Five-Year Performance Assessment

On November 20, 2014, the Commission issued an order accepting the Five-Year Performance Assessment of the North American Electric Reliability Corporation (“NERC”).  In its order, the Commission concluded that NERC continued to meet the qualifications necessary for certification as the Electric Reliability Organization (“ERO”) of the United States, and issued additional compliance directives for NERC going forward. [Read more →]

November 24, 2014   Comments Off

FERC Releases 2014 Report on Enforcement

On November 20, 2014, FERC’s Office of Enforcement (“Enforcement”) released its 2014 Report on Enforcement (“Report”).  The Report provided an overview of Enforcement’s activities during 2014, specifically detailing the activities of the Division of Investigations (“DOI”), Division of Audits and Accounting (“DAA”), Division of Energy Market Oversight (“Market Oversight”), and Division of Analytics and Surveillance (“DAS”).  The Report is provided pursuant to FERC’s 2008 Revised Policy Statement on Enforcement, and according to the Report, is designed to provide additional information regarding the nature of the non-public work of Enforcement. [Read more →]

November 24, 2014   Comments Off

FERC Approves Large Expansion of SPP

On November 10, 2014, FERC accepted the Southwest Power Pool, Inc.’s (“SPP”) proposal to integrate the Western Area Power Administration – Upper Great Plains Region (“Western-UGP”), Basin Electric Power Cooperative, and Heartland Consumers Power District (collectively the “Joint Integrated System Parties”) into SPP.  FERC’s order significantly expands the SPP market, more than doubling its size.  Combined, the Joint Integrated System Parties operate the bulk electric transmission system across multiples states in the Upper Great Plains region, including Iowa, Minnesota, Montana, Nebraska, North Dakota, and South Dakota, with systems consisting of approximately 9,500 miles of transmission lines. [Read more →]

November 14, 2014   Comments Off

FERC Denies MATS-related Waiver for Consumers Energy

On November 7, 2014, the Commission denied Consumers Energy Company’s (“Consumers”) request for limited waiver of several MISO tariff provisions on the grounds that Consumers had failed to adequately demonstrate that the requested waiver would not cause undesirable consequences, such as harming third-parties.  Consumers had filed its request for waiver in response to conflicting regulatory obligations under the MISO tariff and the EPA’s Mercury and Air Toxics Standards (“MATS”). [Read more →]

November 14, 2014   Comments Off

FERC Approves Contested Western Energy Crisis Settlement, Orders Refunds in Separate Order

On November 10, 2014, FERC approved a contested settlement between several California utilities and the California Public Utilities Commission (collectively, the “California Parties”) against the California Department of Water Resources (“CDWR”), State Water Project for actions that arose during the western energy crisis from 2000 – 2001.  Under the settlement, the CDWR State Water Project will pay $26.6 million to the California Parties for its actions during the western energy crisis. [Read more →]

November 14, 2014   Comments Off

FERC Enforcement Staff Accuses Maxim Power Corp. of Manipulation

On November 3, 2014, FERC’s Office of Enforcement (“Enforcement”) issued a Notice of Alleged Violations against Maxim Power Corporation (“Maxim”), suggesting that Maxim engaged in three schemes in ISO-New England (“ISO-NE”) that violated section 222(a) of the Federal Power Act and FERC’s Anti-Manipulation Rule, 18 C.F.R. § 1c.2.  [Read more →]

November 10, 2014   Comments Off

FERC Announces Technical Conference on PJM’s Forfeiture Rule, UTC Transactions

On October 31, 2014, the Commission announced that it will hold a technical conference on January 7, 2015 concerning the justness and reasonableness of PJM Interconnection, L.L.C.’s
(“PJM”) existing tariff provisions related to the Financial Transmission Rights (“FTR”) forfeiture rule and uplift allocations as applied to Up-to Congestion (“UTC”) transactions. [Read more →]

November 10, 2014   Comments Off

Southern California Edison Executes Significant Energy Storage Agreements

On November 5, 2014, Southern California Edison (“SCE”) announced that it entered into contracts for 2,221 MW of power to satisfy its customers’ demand, including contracts for 262 MW of long-term storage capacity.  The energy storage agreements were in response to the California Public Utilities Commission’s (“CPUC”) rulemaking that set energy storage targets for investor-owned utilities in the State of California. [Read more →]

November 7, 2014   Comments Off

D.C. Circuit Court of Appeals Delays Order Vacating Demand Response

On October 20, 2014, the U.S. Court of Appeals for the District of Columbia Circuit (“D.C. Circuit”) approved a request by FERC to delay finalizing its decision that vacated FERC Order No. 745 regarding demand response compensation for consumers.  The D.C. Circuit approved the delay through December 16, 2014.  Additionally, it stated that if it is notified of a petition for writ of certiorari filed during the delay, the court will withhold issuance of the mandate finalizing its decision to vacate, pending the Supreme Court’s final disposition. [Read more →]

November 3, 2014   Comments Off