David Doot, Joseph Fagan, James Blackburn and Patrick Gerity wrote an article published in Law360 entitled "Not So Fast, Ohio: FERC Weighs In On Wholesale Energy." The article discusses efforts by Ohio utilities, with the blessing of their state regulators, to enter into power purchase agreements (PPAs) that would increase revenues above the usual market revenues in order to maintain the economic viability and continued operation of certain of their affiliated (nuclear and coal-fired) power plants in Ohio. The utilities sought to avoid Federal Energy Regulatory Commission (FERC) approval of the PPAs by relying on a prior FERC waiver, but, in response to industry complaints, the FERC stepped in, explained that it would not allow the waiver to be applied here, and asserted its exclusive role in ensuring just and reasonable rates for wholesale sales of electric energy and capacity. The Ohio utilities are exploring alternatives to advance their goals (shared by Ohio) of providing above-market financial support to certain generators without invoking FERC’s jurisdiction. If these efforts are successful, other states may also seek to advance their public policy initiatives through similar creative mechanisms that impose higher costs on captive retail customers in the near term in ways designed not to avoid federal review. Such efforts are sure to be controversial and subject to regulatory and judicial challenges.
Day Pitney will host a FERC 101 event, co-sponsored by Connecticut Power & Energy Society and EBA, on November 13 in its Hartford and Washington, DC offices.
Sebastian Lombardi will serve on a panel, "State Policies and the Markets: How the tension is playing out in PJM," at the Northeast Energy and Commerce Association's Power Markets Conference on November 8, at the Marriott Courtyard Hotel in Marlborough, MA.
Day Pitney White Paper
On September 27, partner Joseph Fagan will be speaking on a panel, "Policy v. Practical: What can the regional consumers expect from lawmakers, regulators and energy providers?," at the Northeast Energy and Commerce Association's (NECA) annual Fuels Conference in Marlborough, MA.
Day Pitney Alert
Day Pitney associate Alexander W. Judd has been elected to serve as Chair of the Energy, Public Utility and Communications Law Section of the Connecticut Bar Association (CBA).
Day Pitney Press Release
Paul Belval will be honored at "Celebrating Leaders for Justice," a dinner and ceremony being presented by the Greater Hartford Legal Aid (GHLA) Foundation.
Joseph Fagan was quoted in an article, "Fuel shippers seek U.S. review of 'excessive' Colonial Pipeline rates," published by Reuters.
Day Pitney and the National Governors Association (NGA) hosted an invitation-only forum, held at the Downtown Harvard Club of Boston, that brought together lawyers, policymakers, cybersecurity experts and other participants to identify and discuss legal issues related to the growing Industrial Internet of Things (IIoT).