Winter has come to a close and its meager remnants struggle to cling to the spine of the Sierra that loom in the distance beyond our office. Unfortunately, this is not too unusual across the West this year. It doesn’t appear as if 2015 will be a banner year for Western farmers, the hydropower industry, or Smokey the Bear.
Further east, FERC and NERC are emerging from a bitter winter and appear to be entering the vernal season in relative harmony. NERC’s Reliability Assurance Initiative, Risk-Based Registration, and a few new standards are all moving ahead as planned with only minor hiccups and points of disagreements. Conversely, the industry and its regulators may not be so aligned. FERC’s recent decision in the NextEra case appears to have touched a nerve among observers. That story may still have another chapter.
FERC Affirms Controversial Ruling in NextEra Case from Texas RE
FERC issued an order on March 19, 2015 that affirmed the violations and a $52,000 penalty initially issued by the Texas RE and affirmed by the NERC BOTCC for violations of the IRO-001 and TOP-001 Reliability Standards relating to “directives” from the RC and “reliability directives” from any reliability entity.