Massachusetts AG Petitioned for Review of ISO-New England’s Inventoried Energy Program

Massachusetts Attorney General Maura Healey petitioned for review of ISO-New England’s proposed tariff changes taking effect by operation of law when the Federal Energy Regulatory Commission (FERC) did not act on the proposal due to lack of quorum. AG Healey had previously told FERC that the proposal, the Inventoried Energy Program, would result in unjust and unreasonable rates, noting that the benefits ISO-New England touted — reducing the likelihood of power plant retirements and improving winter energy security — were uncertain and, in any case, had not been shown to warrant the associated costs to consumers. Because a filing made under Section 205 of the Federal Power Act (as ISO-New England’s filing was) will take effect by operation of law absent FERC action, and FERC requires a quorum to act, the Inventoried Energy Program went into effect by operation of law and rehearing was similarly denied. Under a recent amendment to the Federal Power Act, parties may seek judicial review of a filing that takes effect by operation of law.