Court Strikes Down New Jersey Power Plant Subsidy Program
Posted on Sep 15, 2014 in Grid & Infrastructure, Litigation, Project Development, Regulation & Policy | Comments Off on Court Strikes Down New Jersey Power Plant Subsidy Program
The U.S. Court of Appeals for the Third Circuit has determined that New Jersey’s Long-Term Capacity Agreement Pilot Program impinges on the jurisdiction of the Federal Energy Regulatory Commission over wholesale sales of capacity in interstate commerce. The ruling is the latest in a string of similar cases in which state subsidy programs have been struck down on jurisdictional grounds. While state incentives for new generation are not categorically prohibited, any program will likely require a more narrow scope to avoid the jurisdictional debate. Click here for more information (subscription required).
