Ninth Circuit Remands DSI Lookback to BPA

On September 18, 2014, the federal Ninth Circuit Court of Appeals held that Bonneville Power Administration’s (BPA) decision not to seek a refund of some of the amounts unlawfully paid to Alcoa could be arbitrary, capricious, or an abuse of discretion.  In a 2-1 decision, the appellate court remanded the matter back to BPA to more carefully consider whether BPA should seek a partial refund from Alcoa.  The Ninth Circuit also concluded that BPA has no general constitutional or statutory duty to seek a refund any time it makes an unlawful payment, and that BPA reasonably explained why it did not seek a refund from Port Townsend Paper.  A third judge concurred with most of the ruling, but would have directed BPA to consider seeking larger refunds from Alcoa.  [Read more…]

Fifth Circuit Limits PURPA Wind Sales

On September 8, 2014, the federal Fifth Circuit Court of Appeals issued an opinion that may make it more difficult for certain qualifying facilities (QFs) to sell power to electric utilities.  The two-judge majority concluded that wind generation facilities owned by Exelon could not sell power pursuant to a “legally enforceable obligation” to Southwestern Public Service Corp.  A legally enforceable obligation essentially means that the utility has a legal obligation to purchase power from the QF.  The third judge issued a strongly worded dissent disagreeing with the majority’s holding and reasoning.  [Read more…]

Washington Superior Court Reverses Part of PSE’s Energy Rate Plan

On July 25, 2014, Washington Superior Court Judge Carol Murphy issued a decision affirming most, but reversing a key part, of Puget Sound Energy’s (PSE) multi-year rate plan.  [Read more…]