On March 20, 2014, the Federal Energy Regulatory Commission (FERC) issued a declaratory order concluding that utilities must pay qualifying facilities (QF) for capacity as well as energy in sales pursuant to a legally enforceable obligation.  A legally enforceable obligation is when a QF has the right to sell power to a utility at specific prices.  FERC found that the Montana Public Service Commission’s (Montana Commission) rule requiring QFs to participate in a competitive bidding process to be paid for capacity failed to adequately compensate QFs.  As it typically does, FERC declined to initiate an enforcement action against the Montana Commission, but the declaratory order allows a number of QFs to sue the commission in court.  [Read more…]

On October 17, 2013, the Federal Energy Regulatory Commission (FERC) denied PPL Electric Utilities Corporation’s (PPL Electric) request to terminate its mandatory purchase obligation for a qualifying facility (QF) under 20 megawatts (MW).  [Read more…]

President Obama signed the Hydropower Regulatory Efficiency Act of 2013 on August 9, 2013.  Congress passed the law to encourage hydroelectric development by streamlining the process for developing and operating small hydro projects that are subject to regulation by the Federal Energy Regulatory Commission (FERC).  [Read more…]