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A View from the FERC - Part III - Time to Keep the Lights On

By Tricia Caliguire Last week, FERC held the eastern regional technical conference on “Environmental Regulations and Electric Reliability, Wholesale Electricity Markets, and Energy Infrastructure.” The purpose was for the commissioners to hear the specific issues created by EPA’s...

The Clean Power Plan: A View from FERC, Part IV - Economic v. Environmental Dispatch, Please

By J. Wylie Donald It’s been a long winter in my neck of the woods and not because Punxsutawney Phil saw his shadow. Pipes froze. Twice. Furnace was out overnight. Broke three shovels. So I had a particular interest this past Wednesday, March 11, in FERC’s Eastern Regional Technical Conference...

Cadwalader, Wickersham & Taft LLP: ‘Such a Fact Pattern Does Not a $5 Million Penalty Make’

By Doron Ezickson , Thomas Millar and Katherine Vorhis Or so says one dissenting FERC Commissioner in the recent Maxim Power enforcement proceeding. 1 On May 1, 2015, FERC issued an order assessing civil penalties (the “Order”) of $5 million against Maxim Power Corporation and its named...

Troutman Sanders LLP: California District Court Affirms FERC’s Jurisdiction in Barclays Civil Penalty Case

On May 20, 2015, the U.S. District Court of the Eastern District of California (“District Court”) upheld FERC’s decision that it had jurisdiction over Barclays Bank PLC and four traders (collectively, “Barclays”) for allegedly manipulating electricity markets in the West...

Troutman Sanders: FERC Offers EPA Advice On Commission’s Potential Role In Clean Power Plan

On May 15, 2015, the FERC commissioners sent a letter to the Environmental Protection Agency (“EPA”) addressing two areas where FERC could contribute to maintaining reliability under EPA’s Clean Power Plan (“CPP”). FERC’s letter was in response to EPA’s Acting...

Troutman Sanders: FERC Approves Novel NOA Amendment To Address Network Upgrades Required Solely To Accommodate QFs Siting In Constrained Areas

In an order issued May 21, 2015, FERC approved an amendment to PacifiCorp’s Network Operating Agreement (“NOA”) between PacifiCorp and its merchant function, PacifiCorp Energy, allowing for a new planning redispatch protocol. The amendment prevents the need for PacifiCorp to build network...

Cadwalader: Tariff Compliance Is Not Enough: FERC Imposes Nearly $35 Million in Penalties and Disgorgement Against Powhatan Energy Fund and Trading Associates

On May 29, 2015, the Federal Energy Regulatory Commission ( “FERC” ) issued an Order against Powhatan Energy Fund, LLC and its trading partners, Dr. Houlihan Chen, HEEP Fund, LLC and CU Fund, Inc. (together, “Powhatan” ). FERC imposed civil monetary penalties of more than $29...

Foley & Lardner LLP: FERC Issues Proposal to Ease Regulation of Gen-Tie Lines

By Kurt R. Rempe FERC has issued a Notice of Proposed Rulemaking (NOPR) that would substantially reduce the regulatory burdens placed on energy project developers that construct generator lead lines (gen-tie lines) to interconnect their projects to the grid. Currently, developers that own, operate...

DLA Piper Energy Bulletin

This regular publication by DLA Piper lawyers focuses on helping clients navigate the ever-changing business, legal and regulatory landscape. • Railroad industry leader sees jump ahead in volume of crude-by-rail. Are oil companies fully prepared for the potential liability...

Troutman Sanders: AWEA Petitions FERC to Significantly Reform Pro Forma Generator Interconnection Procedures and Agreement

On July 7, 2015, the Commission issued a notice calling for comments on a Petition for Rulemaking filed by the American Wind Energy Association (“AWEA”) on June 19, 2015 in Docket No. RM15-21-000. In its petition, AWEA requested that the Commission initiate a rulemaking to significantly amend...

Duane Morris LLP: FERC Green-lights Puerto Rico Offshore LNG Import Terminal; Project's Ocean-Going Regasification Unit Is First of Its Kind Before the FERC

This project afforded the FERC with its first opportunity to make a jurisdictional determination concerning an ocean-going Floating Storage and Regasification Unit. | On July 24, 2015, the Federal Energy Regulatory Commission (FERC) issued its authorization pursuant to Section 3 of the Natural Gas...

Troutman Sanders LLP: FERC Office of Energy Projects Issues Best Practices Manual

On July 28, 2012, FERC’s Office of Energy Projects (“OEP”) released a 32-page manual titled “Suggested Best Practices for Industry Outreach Programs to Stakeholders” (“Manual”). In doing so, OEP states that the purpose of the Manual is to identify best practices...

Troutman Sanders LLP: FERC Releases 2015 Energy Primer

On July 27, 2015, FERC released its 2015 version of the Energy Primer: A Handbook of Energy Market Basics (“Energy Primer”). The Energy Primer was developed by staff from the Division of Energy Market Oversight within FERC’s Office of Enforcement. First released in 2012, the Energy...

Troutman Sanders LLP: FERC Holds that Demand Response, Energy Efficiency Resources can Participate in PJM Transition Auctions for New Capacity Product

On July 22, 2015, the Commission determined that demand response and energy efficiency resources should be able to participate in two PJM Interconnection LLC (“PJM”) transition auctions created to implement a new capacity product called Capacity Performance Resources. The Commission found...

Cadwalader: Initial Decision Finds that BP Manipulated 2008 Natural Gas Market in Texas

Introduction On August 13, 2015, a Federal Energy Regulatory Commission (“ FERC ” or “ Commission ”) Administrative Law Judge (“ ALJ ”) issued an initial decision in which she found that BP America Inc. et al. (“ BP ”) manipulated the natural gas market...

Troutman Sanders: FERC Dismisses WIRES’ Petition Requesting New ROE Analysis

By Troutman Sanders LLP On September 16, 2015, the Commission dismissed a petition filed by the Working group for Investment in Reliable and Economic electric Systems (“WIRES”) in which WIRES requested that the Commission institute a generic proceeding to determine whether the Commission’s...

Troutman Sanders LLP: FERC Denies Rehearing and Grants Clarification of Order No. 807 Regarding Open Access and Priority Rights on Interconnection Customer’s Interconnection Facilities

On October 15, 2015, FERC issued an order denying rehearing and granting clarification of Order No. 807, which contained regulations and policies regarding open access to and priority rights on Interconnection Customer’s Interconnection Facilities (“ICIF”). Two groups—one including...

DLA Piper Energy Report: U.S. Supreme Court Hears Arguments On FERC Rule

This regular publication by DLA Piper lawyers focuses on helping clients navigate the ever-changing business, legal and regulatory landscape. • Supreme Court hears “demand-response” arguments on FERC rule. On October 14, the US Supreme Court heard oral arguments...

Babst Calland: Application for Mountain Valley Pipeline Filed with FERC

By Nikolas E. Tysiak According to the Washington Observer-Reporter , a formal application for the Mountain Valley Pipeline was filed with the Federal Energy Regulatory Commission (“FERC”) last week. The pipeline will extend 301 miles and connect the shale gas fields of northwestern West...

Troutman Sanders LLP: Supreme Court Hears Oral Arguments for FERC’s Demand Response Rule

On October 14, 2015, the U.S. Supreme Court heard oral arguments in Electric Power Supply Ass’n v. FERC regarding FERC Order No. 745, “Demand Response Compensation in Organized Wholesale Energy Markets” [lexis.com subscribers may access Supreme Court briefs for this case | Lexis Advance...

Troutman Sanders LLP: Supreme Court Grants Certiorari of Cases Involving FERC’s Authority Over State Capacity Programs

On October 19, 2015, the United States Supreme Court (“Supreme Court”) granted certiorari for a consolidated case involving the limits of FERC’s jurisdiction when regulating state capacity programs. The cases— Hughes v. PPL EnergyPlus, LLC and CPV Maryland, LLC v. PPL EnergyPlus...

Troutman Sanders LLP: FERC Denies Request for Refund on Polar Vortex Costs

On October 15, 2015, FERC denied Champion Energy Marketing LLC’s (“CEM”) request for a $3.1 million refund of balancing operating reserve (“BOR”) costs assessed by PJM Interconnection, LLC and PJM Settlement, Inc. (collectively “PJM”) related to the polar vortex...

Troutman Sanders LLP: FERC Issues Order Addressing Policies and Procedures for Market-Based Rate Applications for Natural Gas Storage

On October 15, 2015, FERC issued Opinion No. 538 denying ANR Storage Company’s (“ANRS”) application for market-based rates (“MBR”) for natural gas storage service. FERC noted that the matter was the first fully-litigated proceeding where a gas storage provider has sought...

Troutman Sanders LLP: FERC Reaffirms Reservation Charge Crediting Policy; Orders Changes to Gas Pipeline Tariff’s Crediting, Force Majeure and Interruption of Service Provisions

On October 15, 2015, FERC issued an order to Algonquin Gas Transmission, LLC rejecting claims that FERC had failed to make specific factual findings to support its conclusion that the existing absence of reservation charge crediting provisions in Algonquin’s tariff was unjust and unreasonable,...

Williams Mullen: FERC Urged To Revise Generator Interconnection Procedures and Agreement

By Robert F. Riley It has been over twelve years since the Federal Energy Regulatory Commission (FERC) issued the pro forma Large Generator Interconnection Procedures (LGIP) and pro forma Large Generator Interconnection Agreement (LGIA) for generators larger than 20 megawatts. [1] In addition, it...