Justia Utilities Law Opinion Summaries
Articles Posted in Utilities Law
Town of Middlebury v. Connecticut Siting Council
The Town of Middlebury and sixteen residents and entities situated in Middlebury and nearby towns (collectively, Plaintiffs), appealed the dismissal of their appeal from the decision of the Connecticut Siting Council granting CPV Towantic, LLC’s petition to open and modify a certificate for an electric generating facility. The Supreme Court affirmed, holding that the trial court properly determined that the council had adequately considered neighborhood concerns in accordance with Conn. Gen. Stat. 16-50p(c)(1) where Plaintiffs failed to meet their burden of proving that the council acted contrary to law and ignored the neighborhood concerns that were presented to it. View "Town of Middlebury v. Connecticut Siting Council" on Justia Law
Carestream Health, Inc. v. Colo. Pub. Utils. Comm’n
In 2010, Carestream Health, Inc. began purchasing gas transportation services from Public Service Company of Colorado. In 2013, Public Service discovered that it had undercharged Carestream by approximately $1.26 million for those services. When Public Service sought to recover a portion of that amount, Carestream refused to pay. Carestream filed a complaint with the Colorado Public Utilities Commission, claiming that Public Service had violated its tariff by failing to use “all reasonable means” to prevent billing errors, as required by the tariff. The Commission disagreed, and the district court affirmed the Commission’s decision. Carestream appealed, arguing that the Commission in effect, improperly added language to the tariff, thereby exceeding the Commission’s constitutionally and statutorily granted authority. Specifically, Carestream contended that the Commission added a requirement that billing errors be foreseeable before Public Service was required to take means to prevent them. Carestream also argued that the district court erred when it held that Carestream lacked standing to pursue a separate claim that Public Service violated its tariff by recovering from its general customer base that portion of the undercharge it was unable to recover from Carestream. The Colorado Supreme Court affirmed the district court, finding : (1) the Commission properly interpreted the tariff and acted pursuant to its authority; and (2) Carestream lacked standing to challenge Public Service’s recovery of the undercharge from its general customer base because Carestream suffered no injury from the action. View "Carestream Health, Inc. v. Colo. Pub. Utils. Comm'n" on Justia Law
TOTAL Gas & Power North America, Inc. v. FERC
Total Gas and two of its trading managers filed a declaratory judgment action against the Commission arguing that the Commission was precluded from adjudicating violations or imposing civil penalties because the Natural Gas Act (NGA) vests authority for those activities exclusively in federal district courts. The Fifth Circuit affirmed the Commission's motion to dismiss, holding that Total's suit was not ripe for review in light of controlling precedent, Energy Transfer Partners, L.P. v. FERC. In this case, instead of objecting to any actions FERC has already taken, Total seeks to preemptively challenge a FERC order that may never be issued. The court explained that all of Total's arguments were predicated on future events and were brought before FERC has even scheduled the matter for a hearing—let alone issued an order finding a NGA violation and imposing a civil penalty. View "TOTAL Gas & Power North America, Inc. v. FERC" on Justia Law
Appeal of Public Service Company of New Hampshire d/b/a Eversource Energy
The New Hampshire Supreme Court affirmed an order of the New Hampshire Board of Tax and Land Appeals (BTLA) denying 77 of Public Service Company of New Hampshire's (d/b/a Eversource Energy (PSNH) 86 individual tax abatement appeals on property located in 31 municipalities for tax year 2011, and 55 abatement appeals for tax year 2012. The New Hampshire Public Utilities Commission (PUC) granted PSNH exclusive franchises to provide certain electricity services within its territory. A municipality’s selectmen appraise the value of the property located within the municipality, including utility property. For the appeals that it granted, the BTLA found that the municipal assessors acknowledged a material degree of overassessment of the property at issue. The BTLA noted that PSNH’s burden in a tax abatement appeal was to demonstrate that the municipal assessments were disproportionate.The BTLA found that PSNH had made only “very general assertions regarding regulation and its alleged impact on the market value of [PSNH’s] property.” It therefore concluded that PSNH had failed to provide sufficient probative evidence that the utility regulatory environment in which PSNH operated, considering both the benefits and burdens of such regulation, was so restrictive that any prospective purchaser would be limited to a return based upon net book value. Thus, merely identifying the presence of regulation that may impact the market value of property was insufficient. Based upon its review of the record, the Supreme Court agreed with the BTLA, and found that the BTLA's findings were supported by the record with respect to PSNH's remaining claims. View "Appeal of Public Service Company of New Hampshire d/b/a Eversource Energy" on Justia Law
Appeal of New Hampshire Electric Cooperative, Inc.
New Hampshire Electric Cooperative, Inc. (NHEC) filed tax abatement appeals to the Board of Tax and Land Appeals (BTLA) for 23 municipal assessments of its property that occurred in 2011 and 2012. The BTLA held a consolidated hearing over nine days between January and February 2015 regarding NHEC’s tax abatement appeals. During the hearing, NHEC presented expert witness testimony and an appraisal of NHEC’s property from George Lagassa, a certified general real estate appraiser and the owner of Mainstream Appraisal Associates, LLC. In his appraisals, Lagassa estimated the market value of NHEC’s property by reconciling the results of four valuation approaches: a sales comparison approach; an income approach, which estimated the value of NHEC’s property by capitalizing the company’s net operating income; a cost approach, which estimated the net book value (NBV) of NHEC’s property by calculating the original cost less book depreciation (OCLBD) of NHEC’s property; and a second cost approach, which estimated the value of NHEC’s property by calculating the reproduction cost new less depreciation (RCNLD) of NHEC’s property. NHEC appeals the BTLA order denying 16 of NHEC’s 23 individual tax abatement appeals regarding its property. The New Hampshire Supreme Court found no reversible error in the BTLA’s order and affirmed it. View "Appeal of New Hampshire Electric Cooperative, Inc." on Justia Law
Conservation Law Foundation v. Public Utilities Commission
The Supreme Judicial Court affirmed the order of the Maine Public Utilities Commission approving a stipulation regarding Efficiency Maine Trust’s Third Triennial Plan for energy efficiency, holding that the Commission did not err in interpreting and applying the relevant statutes.The Conservation Law Foundation appealed from the Commission’s order approving the stipulation, arguing that the order and the terms of the stipulation disregarded statutory mandates set forth in the Efficiency Maine Trust Act. See Me. Rev. Stat. Ann. tit. 35-A, 10101-10123. The Supreme Judicial Court held that the Commission’s order and the stipulation did not violate statutory mandates for electric energy efficiency or the statutory mandate to assess each natural gas utility an amount to capture all maximum achievable cost-effective energy efficiency savings. View "Conservation Law Foundation v. Public Utilities Commission" on Justia Law
Public Service Company of NM v. Barboan
Unable to win the consent of all necessary landowners, a public utility company contended it had a statutory right to condemn a right-of-way on two parcels of land in New Mexico. Because federal law did not permit condemnation of tribal land, the Navajo Nation’s ownership of undivided fractional interests in the parcels presented a problem for the company. The Tenth Circuit affirmed the district court’s dismissal of the condemnation action against the two land parcels in which the Navajo Nation held an interest. View "Public Service Company of NM v. Barboan" on Justia Law
TNA Merchant Projects v. FERC
Section 309 of the Federal Power Act (FPA), 16 U.S.C. 825h, vests the Commission with broad remedial authority, including the authority to grant recoupment when it is justified; Section 201(f) does not limit the authority of the Commission to grant relief under Section 309 with respect to matters that are beyond the strictures of Sections 201(f) and 205; and an order of recoupment, as distinguished from an order to refund under Section 205, is beyond the strictures of Sections 201(f) and 205. In this case, Chehalis sought relief from the Commission by filing a Motion for an Order Requiring Recoupment of Payments, but the Commission concluded that it could not order recoupment because the Commission's refund authority does not extend to exempt public utilities such as the Intervenor Bonneville. The DC Circuit held that the Commission erred when it held that it lacked the authority to grant the Order Requiring Recoupment where the Commission clearly had jurisdiction over the subject of this dispute and the Commission retained the authority to order Bonneville to return the funds when the agency acknowledged that its initial order was mistaken. The court granted in part and denied in part Chehalis's petitions for review, and remanded for further proceedings. View "TNA Merchant Projects v. FERC" on Justia Law
City of Holland v. Consumers Energy Co.
In consolidated cases, two municipalities sought to provide electric service through municipal electric utilities. Central to both cases was the applicability Michigan Administrative Code Rule 411 (sometimes referred to as a utility’s right to first entitlement). Rule 460.3411 (Rule 411) was inapplicable when a municipal utility is involved and has not consented to the jurisdiction of the Michigan Public Service Commission (PSC). Additionally, under the circumstances of each case, the Michigan Supreme Court found there was not a customer already receiving service from another utility; accordingly, MCL 124.3 did not prevent either plaintiff from providing electric service. View "City of Holland v. Consumers Energy Co." on Justia Law
Tavern, LLC v. Town of Alpine
Appellants sued the town of Alpine, alleging claims stemming from Alpine’s financing and construction of a new sewage treatment facility. Appellants sought a declaration that Alpine’s loans for the new sewage treatment facility exceeded the town’s constitutional and statutory indebtedness limits. Appellant’s also asserted a claim for injunctive relief to stop Alpine from enforcing assessments and exactions for the new sewerage system on Appellants. A few years later, while the original case was proceeding, Appellants filed another action against Alpine and Nelson Engineering, claiming that Alpine and Nelson made false reports to the Wyoming Department of Environmental Quality that Appellants had violated the agency’s rules and regulations when they upgraded their septic systems. The district court granted Alpine’s motion to dismiss all claims against the town and granted Nelson’s motion for summary judgment on all claims against the engineering firm. The Supreme Court affirmed in part and reversed in part, holding (1) Appellants sufficiently pled standing to pursue their declaratory judgment claim against Alpine; (2) the allegations supporting Appellants’ claim for injunctive relief against Alpine were legally sufficient; and (3) the district court’s respective orders on all the remaining claims in the two cases against Alpine and Nelson were not in error. View "Tavern, LLC v. Town of Alpine" on Justia Law