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Reforming Pipeline Review
Taking a Closer Look at the Need for New Natural Gas Infrastructure
The Federal Energy Regulatory Commission (FERC) uses a flawed process to evaluate the need for new, long-lasting gas infrastructure such as interstate pipelines, resulting in a certification process that fails to serve the public interest. As FERC begins to re-examine its approval process for new natural gas infrastructure, our report analyzes the Commission’s authority to consider a broader range of factors when deciding whether a proposed project is in the public interest. The report offers four key recommendations for reform.
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Comments to FERC on Climate Risks, Reliability, and Resilience
The Federal Energy Regulatory Commission requested responses to a number of questions on the effects of climate change and electric system reliability. In April 2021, we submitted comments highlighting opportunities to improve reliability and resilience by adjusting approaches the Commission and others take to planning, investing in, and operating grid components.
Then FERC, following a technical conference over the summer, requested further comments on a specific series of questions. In September 2021, we submitted joint comments describing process options and resources for conducting climate resilience planning, and emphasized how accounting for climate impacts is relevant to consumer costs.
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Comments to FERC on PJM MOPR Reform
We submitted comments to the Federal Energy Regulatory Commission (FERC) encouraging the agency to accept PJM’s proposed changes to the Minimum Offer Price Rule, which recognizes that generation-based externality payment for clean electricity resources can be welfare-enhancing, and removes the artificial barrier to market entry for resources that receive payments under state climate policies created by the previous rule.
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Comments to FERC Following Technical Conference on Market Design
The Federal Energy Regulatory Commission (FERC) requested input on the expanded minimum offer price rule (Expanded MOPR) in the PJM capacity market, as well as prospective alternative approaches that could replace PJM's Expanded MOPR. We submitted comments addressing the questions posed while drawing attention to reforms that FERC should undertake.
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Comments on FERC’s Office of Public Participation
The Federal Regulatory Energy Commission (FERC) solicited comment from interested parties on how the Commission should structure their Office of Public Participation to facilitate public engagement. We submitted comments highlighting the potential benefits of public participation by environmental justice communities and identifying best practices that FERC’s Office of Public Participation (OPP) should adopt.
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Comments and Reply Comments on FERC’s Carbon Pricing Policy Statement
The Federal Energy Regulatory Commission proposed a policy statement on carbon pricing in organized wholesale electricity markets. We submitted comments encouraging FERC to strengthen its proposal by making specific clarifications. We later submitted reply comments addressing points made by other commenters and providing further guidance on how FERC can improve its final policy statement.
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Comments to FERC on NYISO and Energy Storage Resources
A new wholesale energy market policy proposal in New York could undermine market efficiency by limiting the compensation available for energy storage resources. The New York Independent System Operator (NYISO) recently submitted changes to its market rules to encourage energy storage, as required by an order from the Federal Energy Regulatory Commission (Order No. 841). The filing prevents energy storage resources from participating in the wholesale markets if they also participate in retail compensation programs. We submitted comments explaining how this participation barrier is inconsistent with FERC’s requirements and should be changed.
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