Justia Utilities Law Opinion Summaries
Articles Posted in Government & Administrative Law
PA Independent Oil & Gas Assoc. v. PUC
The issue presented to the Pennsylvania Supreme Court in this appeal centered on whether producers of natural gas from certain vertical wells were subject to assessment of a yearly impact fee established by Chapter 23 of the Pennsylvania Oil and Gas Act (“Act 13”). The vertical wells that at issue used the hydraulic fracturing process ("fracking") to extract natural gas through a vertical well bore from Marcellus Shale. Specifically, the issue centered on whether an impact fee would be assessed whenever a vertical well’s production exceeded an average of 90,000 cubic feet of natural gas per day for even one month of the year, or whether the well must exceed this production threshold in every month of the year, for the fee to be imposed. After careful review, the Supreme Court concluded that, under the relevant provisions of Act 13, the impact fee would be imposed on such wells if their production exceeds 90,000 cubic feet of natural gas per day for even one month of the year, as found by the Public Utility Commission (“PUC”). Therefore, the Court reversed the Commonwealth Court’s order, which had reversed the PUC; the PUC's order was reinstated. View "PA Independent Oil & Gas Assoc. v. PUC" on Justia Law
Satterfield v. Ameritech Mobile Communications, Inc.
At issue was whether Intermessage Communications and members of a proposed class of retail cellular-telephone-service subscribers seeking to recover treble damages under Ohio Rev. Code 4905.61 for regulatory violations related to the wholesale cellular-service market committed in the 1990s, as determined by the Public Utilities Commission of Ohio (PUCO), had standing to bring this action.The Supreme Court reversed the judgment of the Eighth District Court of Appeals affirming the trial court’s decision to certify the class and dismissed this matter, holding that Intermessage and the proposed class of retail cellular-service subscribers lacked standing to bring an action pursuant to section 4905.61 because the language of the statute limits recovery of treble damages to the “person, firm, or corporation” directly injured as a result of the “violation, failure, or omission” found by the PUCO. View "Satterfield v. Ameritech Mobile Communications, Inc." on Justia Law
Appeal of Lakes Region Water Company, Inc.
Petitioner Lakes Region Water Company, Inc. (Lakes Region), appealed a New Hampshire Public Utilities Commission (Commission) order requiring Lakes Region to refund a second base charge it had imposed on its customer, Robert Mykytiuk, and prohibiting it from “imposing such charges unless and until they are included in the company’s tariff.” Lakes Region learned that Mykytiuk had constructed an additional structure on his property. To supply the new structure with water, Mykytiuk tapped into his primary residence’s service connection. Shortly after learning of the new construction, Lakes Region sent Mykytiuk an application for new service for the additional structure and requested to inspect the water service connection. Despite concluding that the new structure required a separate service connection, Lakes Region chose not to install one at that time. Rather, Lakes Region began billing Mykytiuk for an additional “base charge,” which referred to the “[m]inimum charge per customer per quarter” scheduled in Lakes Region’s tariff. Mykytiuk complained to the Commission, asserting that he was not required to have a second service connection. The Commission treated the matter as a formal complaint and held a hearing on the merits. At the hearing, Mykytiuk argued that Lakes Region could not charge him a separate base charge or require him to install a separate meter for the additional structure because neither was provided for in Lakes Region’s tariff. Finding no reversible error in the Commission’s order, the New Hampshire Supreme Court affirmed. View "Appeal of Lakes Region Water Company, Inc." on Justia Law
In re Application of Ohio Power Co.
The Supreme Court dismissed the appeal brought by the Office of Ohio Consumers’ Counsel (OCC) and the Ohio Manufacturers’ Association Energy Group (OMAEG) challenging the Public Utility Commission’s decision to approve the third electric-security plan (ESP) of Ohio Power Company, holding that OCC and OMAEG failed to demonstrate prejudice or harm caused by the ESP order.On appeal, OCC and OMAEG argued that the Commission’s approval of the Power Purchase Agreement Ride as a component of the ESP was reversible error. The Supreme Court dismissed the appeal, holding (1) OCC failed to demonstrate that ratepayers suffered actual harm or prejudice from the ESP order; and (2) this Court declines to address the claims that ratepayers were at risk of imminent or future harm rising from the ESP order. View "In re Application of Ohio Power Co." on Justia Law
In re Application of Ohio Power Co.
The Supreme Court affirmed the order of the Public Utilities Commission that approved a charge referred to as the Power Purchase Agreement (PPA) Rider as a component of Ohio Power Company’s third electric-security plan (ESP), holding that the order was not unlawful or unreasonable.Specifically, the Court held (1) the PPA Rider did not recover unlawful transition revenue; (2) the challenges to the Commission’s approval of the PPA Rider under the ESP statute, Ohio Rev. Code 4928.143, were without merit; (3) the challenges to the Commission’s approval of the joint stipulation to resolve the issues in the PPA Rider case failed; and (4) the Commission complied with Ohio Rev. Code 4903.09 when it approved the Ohio Valley Electric Corporation-only PPA Rider. View "In re Application of Ohio Power Co." on Justia Law
Pool v. Greater Harrison County Public Service District
The Supreme Court affirmed the order of the West Virginia Public Service Commission (PSC) finding that it did not have statutory jurisdiction to consider Petitioner’s complaint challenging the Greater Harrison County Public Service District’s (the District) rate increase, holding that the District was not subject to the PSC’s jurisdiction with regard to ratemaking authority.In 2015, the Legislature adopted deregulation measures to limit the PSC’s jurisdiction and to exempt larger public service districts from the requirement that the district obtain approval from he PSC before changing the rates it charged for water or sewer service. After 2015, larger public service districts, statutory defined as having at least 4,500 customers, were only required to obtain approval of a rate change from a local elected body. After the Harrison County Commission approved a rate increase sought by the District, Petitioner, a District customer, brought suit arguing that the PSC had jurisdiction because the District did not have at least 4,500 customers. The PSC found that the District provided service to at least 4,500 customers, and thus, it did not have jurisdiction to examine the District’s rate increase. The Supreme Court affirmed. View "Pool v. Greater Harrison County Public Service District" on Justia Law
Jefferson County Citizens for Economic Preservation v. Public Service Commission of West Virginia
The Supreme Court affirmed the order of the Public Service Commission finding that the Jefferson County Public Service District may “indefinitely delay” a project to upgrade its sewer service, holding that the Commission did not exceed its authority or make factual findings that were not supported by adequate evidence and that the substantive result of the Commission’s order was not improper.The Supreme Court may reserve an order of the Commission when it exceeded its authority, it made factual findings that were not supported by adequate evidence, and the substantive result of the order was not proper. In affirming the Commission’s order, the Court held that, under the facts of this case, none of these three situations applied. View "Jefferson County Citizens for Economic Preservation v. Public Service Commission of West Virginia" on Justia Law
In re Application of Dayton Power & Light Co.
The Supreme Court dismissed this appeal challenging the Public Utility Commission’s decision to allow Dayton Power and Light Company (DP&L) to withdraw and terminate its second electric-security plan (ESP II), holding that the Commission’s approval of DP&L’s third electric-security plan (ESP III) rendered this case moot.The Commission allowed DP&L to withdraw and terminate its ESP II rate plan and service stability rider (SSR) charge. The ESP II rate plan and its SSR charge were then replaced by ESP III, which the Commission approved. Appellant’s appealed the Commission’s order regarding ESP II. The Supreme Court dismissed the appeal as moot, holding that because there was no remedy that the Court could legally order, the appeal constituted only a request for an advisory ruling, and the controversy was no longer live. View "In re Application of Dayton Power & Light Co." on Justia Law
ANR Storage Co. v. FERC
The DC Circuit granted ANR's petition for review challenging FERC's decision refusing to allow ANR to charge market-based rates, as opposed to cost-based rates, for its natural gas storage services. The court held that FERC acted arbitrarily and capriciously because it did not provide any reasonable justification for allowing DTE affiliates but not ANR to charge market-based rates. Furthermore, FERC's market-power analysis was internally inconsistent. The court also held that ANR's remaining contentions lacked merit. The court remanded for further proceedings. View "ANR Storage Co. v. FERC" on Justia Law
Village of Old Mill Creek v. Star
Regional transmission organizations manage the interstate grid for electricity, conduct auctions through which many large generators of electricity sell most or all of their power, and are regulated by the Federal Energy Regulatory Commission (FERC) Illinois subsidizes nuclear generation facilities by granting “zero emission credits,” which generators that use coal or gas to produce power must purchase from the recipients at a price set by the state. Electricity producers and municipalities sued, contending that the price‐adjustment aspect of the system is preempted by the Federal Power Act because it impinges on the FERC’s regulatory authority. They acknowledge that a state may levy a tax on carbon emissions; tax the assets and incomes of power producers; tax revenues to subsidize generators; or create a cap‐and‐trade system requiring every firm that emits carbon to buy credits from firms that emit less carbon. They argued that the zero‐emission‐credit system indirectly regulates the auction by using average auction prices as a component in a formula that affects the credits' cost. The Seventh Circuit affirmed summary judgment for the defendants. Illinois has not engaged in discrimination beyond that required to regulate within its borders. All Illinois carbon‐emitting plants need to buy credits. The subsidy’s recipients are in Illinois. The price effect of the statute is felt wherever the power is used. All power (from inside and outside Illinois) goes for the same price in an interstate auction. The cross‐subsidy among producers may injure investors in carbon‐ releasing plants, but only plants in Illinois. View "Village of Old Mill Creek v. Star" on Justia Law