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FERC Receives Mixed Responses Over Proposed Change in Merchant Transmission Policy

The Federal Energy Regulatory Commission (FERC) has received mixed responses over its proposed change in policy regarding merchant transmission project capacity allocation.  The proposed policy would allow merchant transmission project developers to bilaterally negotiate market-based, rather than cost-based, rates for up to 100 percent of their projects’ capacity.  If implemented, this...

Electricity Groups Claim New CFTC Reporting Rules Too Confusing

The National Rural Electric Cooperative Association (NRECA) and two other electricity trade groups sent a letter to the US Commodity Futures Trading Commission (CFTC) earlier this week complaining about new reporting rules for traders of physical commodities and commodity derivatives.  The groups claim that the new rules, particularly the new form that traders will be required to file...

Missouri Coop Sued for Breach of Contract

Atlantic Engineering Group, Inc. (AEG) filed a complaint this week in a Missouri district court against Ralls County Electric Cooperative (RCEC) for breach of a construction agreement related to the Ralls County Electric Fiber-to-the-Home Project.  AEG is suing for the unpaid balance plus interest under the contract.  Read the complaint here.

Oklahoma Coops Race to Accommodate Increased Load Due to Oil and Gas Boom

Oklahoma coops are seeing their loads double, and triple in some cases, due to the growing oil and gas industries.  Kay Electric Cooperative, for example, currently serves 80 megawatts, which is about double the size of its load two years ago, and projects its possible growth to 400 megawatts over the next two years.  Coops are also under pressure to add new infrastructure-like...

APSC Dismisses Class Action Complaint against Carroll Electric

The Arkansas Public Service Commission (APSC) has dismissed a class action complaint against Carroll Electric Cooperative Corporation (Carroll Electric) filed on behalf of all Carroll Electric’s members.  The complaint sought declaratory and injunctive relief for a number of what plaintiffs say are violations of Carroll Electric against its own bylaws and against contract law.  These...

CFC Report Provides National Overview of Renewable Energy Projects

The National Rural Utilities Cooperative Finance Corporation (CFC) provided a report on the progress of various renewable energy projects at the National Renewables Cooperative Organization’s (NRCO) September meeting.  John List, the CFC senior vice president of Member Services, discussed the funding behind current and future renewable energy projects.  Mr. List reported that since...

FERC Launches New Cybersecurity Office

The Federal Energy Regulatory Commission (FERC) is creating a new office to address cyber and physical security risks to FERC-jurisdictional facilities, such as electric generation and transmission facilities, oil and gas pipelines, and LNG terminals. The new Office of Energy Infrastructure Security (OEIS) will rely on FERC’s existing statutory authority in providing “leadership,...

Plan to Bury Transmission Lines Met With Opposition from Mid-Atlantic Coops

Old Dominion Electric Cooperative and North Carolina Electric Membership Corporation are among the wholesalers disputing whether they must help pay to bury three Virginia transmission lines as currently proposed by the Virginia Electric and Power Co. in transmission rate agreements with the wholesalers.  The wholesalers argue that burying the lines is a purely local retail decision...

Utility Coop Reaches Critical Supply Agreement

Golden Valley Electric Association (GVEA) and BP Exploration have reached a natural gas supply contract, which will allow GVEA to purchase up to 23 billion cubic feet (bcf) of natural gas per year.  Since GVEA will likely not use more than 3.5 bcf of natural gas for local generation, the remaining gas will be available for other distribution purposes.  The agreement represents an...

New Mexico Coop Sued for Property Damages Resulting from Fire

Jemez Mountains Electric Cooperative (JMEC) has been sued in New Mexico state court by three landowners as a result of the 2011 Las Conchas Fire.  The fire, which burned over 150,000 acres of land and destroyed 63 homes, was sparked after a fallen tree knocked down a power line owned by JMEC.  The complaint alleges that JMEC was negligent and violated state law by failing to protect...

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