Federal Energy Regulatory Commission Approves Settlement Agreement for Revisions to MISO's Open Access Transmission Markets Tariff

Strategic Insights -

On October 21, 2021, the Federal Energy Regulatory Commission (FERC) issued an order approving a Settlement Agreement and Offer of Settlement (Settlement) submitted by the Midcontinent Independent System Operator (MISO), MidAmerican Energy Company, and other parties. The Settlement addresses revisions to Schedule 49 of MISO's Open Access Transmission, Energy and Operating Reserve Markets Tariff, which establishes a method of allocating within MISO the costs incurred under a prior settlement agreement between MISO, Southwest Power Pool, Inc. (SPP), and certain utilities. The Commission found the Settlement to be fair and reasonable, and in the public interest.

Key Takeaways:

  • FERC approved a Settlement Agreement and Offer of Settlement submitted by MISO, MidAmerican Energy Company, and other parties, addressing revisions to Schedule 49 of MISO's Open Access Transmission, Energy and Operating Reserve Markets Tariff.
  • The Settlement establishes a method of allocating within MISO the costs incurred under a prior settlement agreement between MISO, SPP, and certain utilities, for the period from February 1, 2021, through January 31, 2022.
  • Commission Trial Staff filed comments supporting the Settlement, and the Settlement Judge certified the Settlement to the Commission as uncontested on September 10, 2021.
  • The standard of review for any modifications to the Settlement will be the "public interest" application of the just and reasonable standard, as explained in Morgan Stanley Capital Group, Inc. v. Public Utility District No. 1 of Snohomish County, 554 U.S. 527 (2008) and NRG Power Marketing, LLC v. Maine Public Utilities Commission, 558 U.S. 165 (2010).
  • The Commission's approval of this Settlement does not constitute approval of, or precedent regarding, any principle or issue in these proceedings.
  • MISO is directed to make a compliance filing with revised tariff records in eTariff format within 30 days of this order.

Statistics:

  • The Settlement addresses revisions to Schedule 49 of MISO's Open Access Transmission, Energy and Operating Reserve Markets Tariff, which will be effective for the period from February 1, 2021, through January 31, 2022.
  • MISO is directed to make a compliance filing with revised tariff records in eTariff format within 30 days of this order.

Sources:

  • FERC, Order/Opinion 177 FERC P 61,035 (October 21, 2021).
  • Midcontinent Indep. Sys. Operator, Inc., Docket No. ER21-530-001 (August 5, 2021).
  • Morgan Stanley Capital Group, Inc. v. Public Utility District No. 1 of Snohomish County, 554 U.S. 527 (2008).
  • NRG Power Marketing, LLC v. Maine Public Utilities Commission, 558 U.S. 165 (2010).