Over the course of the Trump administration, the nonpartisan nature of the Federal Vitality Regulatory Fee has been referred to as into query by clear power advocates and states with carbon discount mandates. Now, with a Biden administration set to take the reins, these critics are asking what FERC can do to additional their objectives.
To be clear, FERC’s authority over interstate power coverage stays rooted within the Federal Energy Act, which delineates its authority, and makes clear that each one proposed regulatory modifications should end in “simply and cheap” charges and tariffs, and should keep away from being “unduly discriminatory” of their results on totally different applied sciences or lessons of market contributors.
However a number of main selections permitted by FERC’s Republican majority over objections of its Democratic minority have led to accusations of political bias. Most notably, FERC’s orders relating to Jap U.S. capability markets have been decried by clear power teams as undermining state clear power insurance policies and propping up fossil gas turbines.
FERC has different key selections that can play a job within the Biden administration’s clear power ambitions, from insurance policies to encourage transmission grid buildout to attach rising utility-scale renewables throughout the nation and off its coasts, to market constructions to combine aggregated distributed power assets like batteries, electrical automobiles and versatile demand-side assets.
However it’s seemingly that probably the most contentious concern earlier than FERC will contain discovering a decision to the capability market guidelines imposed by its Republican majority over the previous two years.