On December 2, 2019, FERC staff (“Staff”) issued its annual report (“Report”) on demand response and advanced metering, a high-level review of demand response potential in the retail and wholesale markets. In the Report, Staff highlights that: (i) advanced meters account for more than half of all meters in operation in the United States, (ii) multiple states have received approval for, or proposed, advanced meter deployment programs, (iii) many state regulators appear to support advanced meter investments, and (iv) from 2017 to 2018, there was an almost 8% increase in the overall demand response participation in wholesale markets.
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On November 14, 2019, the Senate Committee on Energy and Natural Resources (“Committee”) held a hearing to consider the nomination of Dan Brouillette as Secretary of Energy. Mr. Brouillette is currently DOE’s Deputy Secretary, and has been nominated by President Trump to replace outgoing Secretary Rick Perry.
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On August 29, 2019, FERC issued a final rule revising 18 C.F.R. § 385.2001(a) and requiring that all physical filings and submissions to be delivered to FERC, other than those sent via the U.S. Postal Service (“USPS”) are to be sent to FERC’s off-site security screening facility in Rockville, Maryland (see September 17 edition of the WER).  The rule was scheduled to go into effect on November 4, 2019, 60 days after its publication in the Federal Register.
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On November 5, 2019, the Senate Committee on Energy & Natural Resources (“Committee”) held a hearing to consider the nomination of James Danly as a FERC Commissioner. Mr. Danly, currently FERC’s general counsel, was nominated to fill the vacancy on the Commission left by the passing of FERC Chairman Kevin McIntyre in January of this year.

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On October 28, 2019, the Attorneys General of California, Connecticut, Delaware, the District of Columbia, Maryland, Massachusetts, Michigan, North Carolina, Oregon, Pennsylvania, and Rhode Island (collectively “State AGs”) wrote to FERC to discuss opportunities for the State AGs and FERC to work cooperatively to promote state-level clean energy policies that benefit consumers and enhance grid reliability. The State AGs expressed an “urgent need” for further action to address climate change’s “massive” environmental, health, and economic harms in their states, and noted that the Commission’s actions related to market design, natural gas siting, and grid reliability significantly impact each state’s ability to achieve their clean energy goals.

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On October 17, 2019, FERC denied Public Citizen, Inc.’s (“Public Citizen”) complaint alleging that PJM Interconnection, L.L.C. (“PJM”) recovered improper campaign contributions and lobbying expenses through its filed rate and failed to disclose its spending on political activity. In doing so, FERC concluded that PJM could recover the expenses in question through its rates because they represent an educational, outreach, or informational function essential to PJM’s core operations and because PJM determined that such expenditures are in the collective best interest of PJM’s stakeholders.
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On September 30, 2019, President Donald Trump announced his intent to nominate James P. Danly for Commissioner of FERC. If confirmed by the Senate, Mr. Danly would fill the seat vacated by the passing of former Chairman Kevin McIntyre for a term to expire on June 30, 2023, resulting in three Republican Commissioners and one Democratic Commissioner.
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On June 20, 2019, FERC Commissioner Cheryl LaFleur announced on Twitter that she will be leaving FERC at the end of August after serving on the Commission for nine years.  She first announced her intent to leave the Commission in January of this year.  In her recent announcement, Commissioner LaFleur noted that the July open meeting will be her last meeting as a commissioner.  FERC currently has four members—Commissioners Neil Chatterjee and Bernard McNamee, who are Republicans, and Commissioners LaFleur and Richard Glick, who are Democrats.  Assuming no nominee is confirmed by the end of August, Commissioner LaFleur’s departure would leave FERC with a two to one Republican majority, and a minimum number of commissioners for a quorum.
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On May 15, 2019, with the support of various Democratic co-sponsors, Senator Jeanne Shaheen (D-NH) reintroduced the “Public Engagement at FERC Act” (S. 1477) to amend the Federal Power Act to establish an Office of Public Participation and Consumer Advocacy (“Office of PPCA” or “Office”).  The bill was first introduced by Senator Shaheen in 2017 and was created to assist residential and small commercial energy consumers in participating in FERC proceedings.
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