Jurisdiction for the electricity sector in the United States is divided between federal, state, and local jurisdiction. The jurisdictional divide between federal and state jurisdiction was established through the Federal Power Act (FPA) in 1935. On the federal side, the Federal Energy Regulatory Commission (FERC) - an independent federal agency - regulates the interstate transmission of electricity, natural gas, and oil. Public utility commissions in the states regulate retail rates and distribution services. Local governments in many states are responsible for siting and permitting as well as environmental impact regulation.
The rapid changes in the electricity sector over the past decade have increasingly blurred the formerly bright line between federal and state jurisdiction. As issues such as the participation of distributed energy resources in the wholesale markets and the treatment of state and federal subsidies in the regulatory construct are being adjudicated by FERC, it is important for State Energy Offices and state governments to understand how proceedings at FERC are impacting state energy policy and state energy planning.
NASEO supports State Energy Offices by providing resources and information on ongoing proceedings at FERC through webinars and research. Current proceedings impacting state and federal jurisdiction include the PJM Minimum Offer Price Rule (MOPR) [Dockets EL 16-49-000 and EL18-178-000 (Consolidated)] and the New England Ratepayers Association (NERA) Petition on Net Metering (Docket EL20-42).
Resources
PJM Minimum Offer Price Rule (MOPR) [Dockets EL16-49-000 and EL18-178-000 (Consolidated)]
FERC Docket (selected documents)
New Jersey Board of Public Utilities and Public Service Commission of Maryland Petition
New Jersey Docket
Media Articles
- Catherine Morehouse, ’Just Plain Garbage,’ FERC’s Glick Says as Commission Largely Upholds its PJM MOPR Decision, Utility Dive, April 16, 2020
- Jeremy Dillon, Legal Challenges Hit FERC Pricing Order, Energy Wire, April 21, 2020
- Catherine Morehouse, Broad Array of Groups Sue FERC over PJM MOPR Decision as Chatterjee Rejects Cost, Renewable Concerns, Utility Dive, April 22, 2020
- Arianna Skibell, MD. Weighs Exiting U.S. Grid Market Over FERC Order, Energy Wire, April 24, 2020
Other Resources
New England Ratepayers Association (NERA) Petition on Net Metering (Docket EL20-42)
NERA Petition
Referenced Cases
NASEO Motion to Intervene
FERC Decision on Extension Request (Deadline Extended to June 15)