More FERC Federalism: D.C. Circuit Affirms FERC’s Jurisdiction Again – New England Power Generators Ass’n v. FERC

By Gregory Lawrence, Natalie Mitchell, and Katrina Olsen

On July 8, 2014, the United States Court of Appeals for the District of Columbia Circuit denied the petition for review filed by New England Power Generators Association, Inc. and other market participants’ over four Federal Energy Regulatory Commission orders related to the Independent System Operator-New England Forward Capacity Market. The D.C. Circuit held that the orders on review fell within FERC’s statutory ratemaking authority conferred by the Federal Power Act because FERC’s ratemaking authority extends to parameters of capacity markets related to the price of capacity.  Additionally, the court deferred to the Commission to craft mitigation measures responsive to the needs of the ISO-NE FCM because the Commission properly balanced competing interests and based its decision on substantial evidence.  read more

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