FERC On Legal Limb With State Clean Energy Subsidy Order

By Keith Goldberg (January 10, 2020, 7:50 PM EST) -- The Federal Energy Regulatory Commission has opened itself up to legal challenges on multiple fronts with its recent order restricting the presence of state electricity programs in wholesale electricity auctions run by the nation's largest regional grid operator.

Critics are already claiming that FERC is flouting the Federal Power Act and federal administrative law with its Dec. 19 order stating that state-subsidized power producers must hit a price floor to participate in electricity capacity auctions run by PJM Interconnection LLC, which oversees the grid in 13 Mid-Atlantic and Midwest states and Washington, D.C.

Those arguments will be raised in a likely...

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