On May 13, 2024, at a special transmission reform meeting, the Federal Energy Regulatory Commission (FERC or Commission) issued Order No. 1920 “Building for the Future Through Electric Regional Transmission Planning and Cost Allocation” (Final Rule).[1] The Final Rule builds upon Order No. 888, Order No. 890, and Order No. 1000, which developed
CAISO Releases Addendum to Interconnection Process Enhancements Final Proposal Ahead of Board of Governors Meeting
On Thursday, May 9, 2024, the California Independent System Operator (CAISO) issued an addendum to its Interconnection Process Enhancements (IPE) Track 2 Final Proposal, and issued a revised version of that addendum on May 17. Track 2 focuses on modifications to the interconnection and queue management processes to address the substantial interconnection request volumes in
Stakeholders Express Concern That CAISO’s Interconnection Scoring Criteria May Prioritize Load-Serving Entity Selection
Background
The California Independent System Operator’s (CAISO) recently issued Interconnection Process Enhancements (IPE) final proposal[1] provides heightened requirements to complete an interconnection request and relies on scoring criteria to determine which projects advance to the interconnection study process. Due to the proposed 150% cap on specific interconnection zones, not all interconnection requests in each
CAISO Releases Interconnection Process Enhancements Final Proposal
Summary
On March 29, 2024, the California Independent System Operator (CAISO) released the Track 2 final proposal for its Interconnection Process Enhancements (IPE) initiative. The proposed changes in the IPE proposal aim to address the “unprecedented and unsustainable interconnection request volumes” in the CAISO. CAISO proposes to adopt a zonal approach that prioritizes project interconnection in areas with existing or planned transmission capacity, to cap the number of projects permitted to proceed into the study process at 150% of the available and planned transmission capacity in specific zones, and adopt scoring criteria for eligibility and prioritization in the interconnection study process. Continue Reading CAISO Releases Interconnection Process Enhancements Final Proposal
FERC Proposes Broad Reforms to Interconnection Process
At its June 16, 2022, open meeting, the Federal Energy Regulatory Commission (FERC or Commission) issued a notice of proposed rulemaking (NOPR), Improvements to Generator Interconnection Procedures and Agreements, 179 FERC ¶ 61,194 (2022), proposing reforms to the Commission’s standard generator interconnection procedures and agreements. The goal of the NOPR is to reduce queue
Biden Administration Proposes Rollback of Trump Administration Migratory Bird Rule
This post was co-authored by Stoel Rives summer associate Lydia Heye.
In May, the U.S. Fish and Wildlife Service (“Service”) announced a proposed rule revoking the Trump administration’s final rule on incidental take under the Migratory Bird Treaty Act (“MBTA”). In the January 7, 2021 final regulation, the Trump administration interpreted the MBTA’s take prohibition
FERC Rules on Order No. 841 Compliance Filings
In February 2018, as part of its efforts to remove barriers for electric storage resources, the Federal Energy Regulatory Commission (FERC) issued its final rule on electric storage participation in organized markets (Order No. 841). Order No. 841 directed Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) to revise their tariffs to establish a
California Public Utilities Commission Opens Rulemaking to Consider Expansion of Direct Access
At its March 14, 2019 voting meeting, the California Public Utilities Commission (“CPUC”) voted out an Order Instituting Rulemaking (“OIR”) to Implement Senate Bill 237 (“SB 237”) Regarding Direct Access and to Consider Changes to Existing Direct Access Procedures. The Rulemaking will address the expansion of Direct Access, as required by SB 237.
Direct Access permits customers of a California investor-owned utility (“IOU”) (e.g., Pacific Gas and Electric, San Diego Gas and Electric, Southern California Edison) to obtain their electricity from an electric service provider registered with the CPUC. The IOU continues to provide transmission and distribution service to the customer. Direct access was instituted in 1998 as part of California’s efforts to deregulate the electric sector.
As part of California’s efforts to recover from the energy crisis in 2000-2001, the California legislature passed Assembly Bill 1X (“AB1X”), which authorized the Department of Water Resources (“DWR”) to begin procuring electricity on behalf of IOU customers, and required the CPUC to allow DWR to recover the costs of such procurement from IOU ratepayers. AB1X also authorized the CPUC to suspend Direct Access, motivated by a concern that IOU ratepayers would flee to Direct Access to avoid paying the cost of DWR procurement.Continue Reading California Public Utilities Commission Opens Rulemaking to Consider Expansion of Direct Access
Key Energy Related Bills Introduced in the 2019-2020 Legislative Session
The 2019-2020 California Legislative Session has reached its first deadline. February 22, 2019 marked the deadline by which bills could be introduced for the first half of the Legislative Session. Lawmakers will begin Spring Recess April 12 and reconvene April 22. The last day for bills to be passed out of the house of origin is May 31, 2019.
Below is a list of some of the key bills Stoel Rives’ Energy Team will be monitoring throughout the Legislative Session. We note that some bills do not contain language beyond the “intent of the Legislature.” However, we will continue to monitor these bills in case of substantive amendments. These bills are set forth separately below under the heading “Legislative Intent.”
The majority of the bills introduced this Legislative Session relate in some way to California’s efforts to reduce greenhouse gas emissions and move to cleaner sources of generation, including legislation governing electric vehicles, energy storage, and renewable energy. A number of bills introduced in February also attempt to address the impacts of wildfires, or to reduce wildfire risk.
ASSEMBLY BILLS
AB 40 (Ting, D) Zero-emission vehicles: comprehensive strategy.
Status: Introduced December 3, 2018; referred to Committees on Transportation and Natural Resources January 24, 2019.
AB 40 would require by no later than January 1, 2021, the State Air Resources Board to develop a comprehensive strategy to ensure that the sales of new motor vehicles and new light-duty trucks in the state have transitioned fully to zero-emission vehicles, as defined, by 2040, as specified.
Continue Reading Key Energy Related Bills Introduced in the 2019-2020 Legislative Session
STAYING LOCAL: FEDERAL COURT AFFIRMS CONSTITUTIONALITY OF MINN. STAT. § 216B.246 AND ADOPTS SUPREME COURT TRACY RULE
On June 21, 2018, the United States District Court, District of Minnesota issued an order and memorandum rejecting a challenge to the constitutionality of Minn. Stat. § 216B.246 and granting defendants’ motions to dismiss. The statute, which was enacted after FERC Order 1000 (and eliminating the federal right of first refusal or “ROFR”), provides incumbent