• FERC Amends its Transmission Planning and Cost Allocation Requirements in Order No. 1000
  • July 27, 2011 | Authors: Brandon Johnson; Neil L. Levy; Bruce L. Richardson; Grace Su; David G. Tewksbury
  • Law Firm: King & Spalding LLP - Washington Office
  • On July 21, 2011, the Federal Energy Regulatory Commission (FERC) issued Order No. 1000, amending the transmission planning and cost allocation requirements established in Order No. 890 to ensure just and reasonable, and non-discriminatory transmission rates and access. Order No. 1000 finds that although transmission planning processes have seen “substantial improvements, particularly at the regional level, in the relatively short time since the issuance of Order No. 890,” existing regulations “provide an inadequate foundation for public utility transmission providers to address the challenges they are currently facing or will face in the near future.” In particular, FERC explains that regulations ensuring efficient and costeffective investment decisions are necessary at this time because changes in generation mix are driving the demand for additional investment in transmission.