FERC Approves Changes to PJM Capacity Market
On November 28, 2014, the Commission conditionally accepted PJM Interconnection's ("PJM") proposed modifications to several of the key pricing elements used to clear PJM's capacity market auctions, subject to PJM making a compliance filing removing a proposal relating to location-specific price elements. The Commission found that these changes were reasonably needed for PJM to achieve an acceptable level of reliability over the long-term. [Read more →]
FERC, NERC and CAISO Settle 2011 Southwest Blackout Claims
On November 28, 2014, FERC approved a Stipulation and Consent Agreement ("Agreement") between its Office of Enforcement ("Enforcement"), the North American Electric Reliability Corporation ("NERC") and the California Independent System Operator Corporation ("CAISO") relating to the 2011 Southwest blackout in Southern California, Arizona and Northern Baja Mexico that affected 2.7 million customers. Under the terms of the Agreement, CAISO will pay a combined civil penalty of $6,000,000, with $2,000,000 divided equally among NERC and the U.S. Treasury, and $4,000,000 invested in reliability enhancements measures. CAISO also agreed to commit to mitigation and compliance measures, and to submit semi-annual compliance reports to Enforcement for at least one year. [Read more →]
FERC Approves Constitution Gas Pipeline Project and Related Iroquois Project
On December 2, 2014, FERC authorized Constitution Pipeline Company, LLC ("Constitution") to construct and operate its proposed approximately 124-mile-long, 30-inch diameter interstate pipeline, and related facilities, extending from Susquehanna County, Pennsylvania, to a proposed interconnection with Iroquois Gas Transmission System, L.P. ("Iroquois") in Schoharie County, New York (the "Constitution Pipeline"). In the same order, FERC also authorized Iroquois to construct and operate compression facilities, and modify existing facilities, in the town of Wright, New York (the "Wright Interconnect Project"), and to lease the associated incremental capacity associated with the Wright Interconnect Project to Constitution. [Read more →]
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