Justia Utilities Law Opinion Summaries

Articles Posted in Government & Administrative Law
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Plaintiffs, several states, the city of New York, and three private land trusts, sued defendants, four private power companies and the federal Tennessee Valley Authority, alleging that defendants' emissions substantially and unreasonably interfered with public rights in violation of the federal common law of interstate nuisance, or in the alternative, of state tort law. Plaintiffs sought a decree setting carbon-dioxide emissions for each defendant at an initial cap to be further reduced annually. At issue was whether plaintiffs could maintain federal common law public nuisance claims against carbon-dioxide emitters. As a preliminary matter, the Court affirmed, by an equally divided Court, the Second Circuit's exercise of jurisdiction and proceeded to the merits. The Court held that the Clean Air Act, 42 U.S.C. 7401, and the Environmental Protection Act ("Act"), 42 U.S.C. 7411, action the Act authorized displaced any federal common-law right to seek abatement of carbon-dioxide emissions from fossil-fuel fired power plants. The Court also held that the availability vel non of a state lawsuit depended, inter alia, on the preemptive effect of the federal Act. Because none of the parties have briefed preemption or otherwise addressed the availability of a claim under state nuisance law, the matter was left for consideration on remand. Accordingly, the Court reversed and remanded for further proceedings. View "American Elec. Power Co., et al. v. Connecticut, et al." on Justia Law

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The Minnesota Public Utilities Commission entered an order requiring Qwest Corporation, a successor Bell operating company, to submit for review and approval a price list and supporting rationale for certain telecommunication network facilities Qwest was required to provide to its Minnesota competitors under 47 U.S.C. 271. Qwest sought judicial review and declaratory relief in the district court, arguing the Commission's order was preempted by the Telecommunications Act of 1996. The district court concluded federal law and regulations did not preempt the Commission's order. The Eighth Circuit Court of Appeals reversed, holding (1) the Commission's order impermissibly intruded on federal authority to regulate rates for elements required under section 271 and interfered with the purpose and objectives of Congress and the FCC; and (2) therefore, the order was preempted by the Act and the FCC's implementing regulations and rulings. View "Qwest Corp. v. Minn. Pub. Util. Comm'n" on Justia Law

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Ruling on a joint petition for declaratory order filed by Monongahela Power Company and Potomac Edison Company ("The Utilities"), The Public Service Commission of West Virginia held that the alternative and renewable energy resource credits attributable to energy purchases by the Utilities from Morgantown Energy Associates (MEA) and the City of New Martinsville ("the Generators"), were owned by the Utilities during the terms of electric energy purchase agreements between the entities. On appeal, the Generators contended that the Commission erred in its ruling and that the energy resource credits were owned by them. The Supreme Court affirmed, holding (1) the Commission did not err in finding the credits at issue were owned by the Utilities; and (2) the Commission did not err in holding that it would deem MEA's Morgantown project as a certified facility under the Alternative and Renewable Energy Portfolio Act upon the submission of sufficient evidence by the Utilities. View "City of New Martinsville v. Pub. Serv. Comm'n " on Justia Law

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Braintree, and other municipally owned utilities in southeastern Massachusetts, petitioned for review of four orders of the Commission. The orders denied petitioners' claim that they were being unjustly charged in order to ensure system reliability on Cape Code. The dispute was first addressed in a FERC-approved settlement agreement that reserved certain litigation rights to the petitioners. Because the Commission reasonably resolved the claims that were reserved, and reasonably construed the settlement agreement to foreclose petitioners' additional claims, the court affirmed the Commission's orders and denied the petitions for review. View "Braintree Electric Light Dept., et al. v. FERC, et al." on Justia Law

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PSEG challenged orders of the FERC accepting the results of an auction for electric generation capacity conducted by ISO New England. In those orders, FERC approved ISO New England's determination that PSEG's resources in Connecticut could not reduce their capacity supply obligation because doing so would endanger the system's reliability. FERC also held that ISO New England could reduce the per unit price paid to PSEG for that capacity. The court held that because the latter holding was based on tariff provisions that the FERC thought were clear but now conceded were ambiguous, and because in the course of construing those provisions it failed to respond to PSEG's facially legitimate objections, the petition was granted and the orders were remanded for further consideration. View "PSEG Energy Resources & Trade, et al. v. FERC" on Justia Law

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AMEA purchases power wholesale from various sources, including Southern, and sells it to 11 municipally owned utilities in Alabama. AMEA uses "unbundled" transmission service provided by one of Southern's subsidiaries. When AMEA uses Southern's transmission system for such unbundled transmission, it pays the "Open Access Transmission Tariff" paid by any party receiving such service from Southern. Southern also sells power directly to retail consumers in Alabama. For the transmission of these "bundled" retail sales, it uses the Alabama component of its transmission system, which has lower unit costs than its transmission system as a whole. According to AMEA, the relatively high cost of transmission service in Georgia drives Southern's systemwide average above its Alabama unit costs. AMEA subsequently filed a complaint with FERC, challenging the rate differential. At issue was whether Southern's pricing violated FERC's comparability policy. Giving FERC the appropriate level of deference on its interpretation of its own orders, the court concluded that it did not. Accordingly, the petition for review was denied. View "AL Municipal Elec. Authority v. FERC" on Justia Law

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This case stemmed from FERC's statutory mandate set out in the Federal Power Act (FPA), 16 U.S.C. 824-824w, to ensure that all rates and charges made, demanded, or received by power wholesalers were just and reasonable. Petitioners subsequently sought review of FERC's final order (Order 697), contending that the order violated FERC's governing statutes. In Order 697, FERC codified the existing limited market-based policy, along with multiple enhancements, in a final rule. At issue was whether the market-based regulatory policy established by FERC's order was permissible under the law. Taking into account Chevron deference, the law of the circuit, other relevant precedent, and the direction of the Supreme Court as to how the court should approach such administrative law issues concerning federal agencies, the court concluded that Order 697 did not per se violate the FPA. View "Montana Consumer Counsel v. FERC; Upper Peninsula Power Co., et al. v. FERC; Public Citizen, Inc., et al. v. FERC" on Justia Law

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This case stemmed from a challenge by environmental groups to a proposed incremental drawdown of water from Lake Roosevelt in eastern Washington. At issue was whether the U.S. Bureau of Reclamation (Reclamation) took a "hard look" and genuinely scrutinized the environmental consequence of its proposed action. The court held that, under its precedents and the circumstances presented, Reclamation's actions did not violate the National Environmental Protection Act (NEPA), 42 U.S.C. 4321 et seq. The court also held that its review revealed no other deficiencies in the substance of the Environmental Assessment (EA), and although Reclamation took several steps toward implementing the drawdown project before drafting the EA, it scrupulously adhered to NEPA's timing requirements. Therefore, the court affirmed the judgment of the district court. View "Center for Environmental Law and Policy, et al. v. U.S. Bureau of Reclamation, et al." on Justia Law

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Plaintiff, an environmental organization, filed this administrative mandamus action to challenge the issuance of a federally required permit authorizing the Moss Landing Powerplant (MLPP) to draw cooling water from the adjacent Moss Landing Harbor and Elkhorn Slough. This case presented issues concerning the technological and environmental standards, and the procedures for administrative and judicial review, that apply when a thermal powerplant, while pursuing the issuance or renewal of a cooling water intake permit from a regional board, also sought necessary approval from the State Energy Resources Conservation and Development Commission (Energy Commission), of a plan to add additional generating units to the plant, with related modifications to the cooling intake system. The court held that the superior court had jurisdiction to entertain the administrative mandamus petition here under review. The court also held that the trial court erred when it deferred a final judgment, ordered an interlocutory remand to the board for further "comprehensive" examination of that issue, then denied mandamus after determining that the additional evidence and analysis considered by the board on remand supported the board's reaffirmed findings. The court further held that recent Supreme Court authority confirmed that, when applying federal Clean Water Act (CWA), 33 U.S.C. 1326(b), standards for the issuance of this permit, the Regional Water Board properly utilized cost-benefit analysis. The court declined to address several other issues discussed by the parties. Accordingly, the court affirmed the judgment of the Court of Appeals. View "Voices of the Wetlands v. CA State Water Resources Control Bd., et al." on Justia Law

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Florida Water Environment Association Utility Council and South Florida Water Management District (appellants) appealed the district court's order approving a consent decree between the EPA and a group of environmentalist organizations (plaintiffs). The consent decree settled a suit by plaintiffs against the EPA that alleged that the agency failed to promulgate timely new water-quality standards for the State of Florida. Appellants claimed that the consent decree was substantively and procedurally unreasonable and that the district court abused its discretion in approving the decree. The court held that because appellants have not demonstrated a live case or controversy that would give the court jurisdiction over their case, the court dismissed their appeal. View "FWEA Utility Council, et al. v. Jackson, et al." on Justia Law