FERC Organization Can Keep Funding Scheme: Court

Law360, New York (May 11, 2009, 12:00 AM EDT) -- The Federal Energy Regulatory Commission's organization for maintaining reliability in the nation's bulk electricity power system can continue charging users for its own upkeep based solely on their energy consumption, an appeals court has ruled.

The U.S. Court of Appeals for the District of Columbia Circuit on Friday denied Alcoa Inc.'s petition for review of FERC's decision allowing its Electric Reliability Organization to allocate its costs to service providers based only on consumption.

FERC's traditional transmission rate approach differs from the net energy from load approach,...
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