PG&E Oversight Battle Looms For FERC, Bankruptcy Court

Law360 (May 10, 2019, 5:40 PM EDT) -- On May 1, 2019, the Federal Energy Regulatory Commission denied Pacific Gas and Electric Co.’s requests for rehearing of two commission orders asserting concurrent jurisdiction with bankruptcy courts over the disposition of wholesale power contracts PG&E seeks to reject through bankruptcy.[1]

In its rehearing order, the commission acknowledged a circuit split regarding the relative authorities of the commission under the Federal Power Act, or FPA, and the bankruptcy courts under the Bankruptcy Code as they relate to the review and disposition of FERC-jurisdictional contracts in bankruptcy proceedings. However, the commission affirmed its prior holdings that that “the way to give effect...

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