Federal Energy Regulatory Commission Issues Delegated Order Granting Market-Based Rate Authority to Cadence Solar Energy LLC and Trade Post Solar LLC

Strategic Insights -

The Federal Energy Regulatory Commission (FERC) has issued a delegated order granting market-based rate authority to Cadence Solar Energy LLC and Trade Post Solar LLC, two solar energy companies developing projects in the PJM Interconnection market. The order allows the companies to sell energy, capacity, and ancillary services at market-based rates, subject to certain conditions. FERC has also granted waivers to the companies for cost-of-service information, accounting and reporting requirements, and other regulatory provisions.

Key Takeaways:

  • Cadence Solar Energy LLC and Trade Post Solar LLC have been granted market-based rate authority by FERC, allowing them to sell energy, capacity, and ancillary services at market-based rates.
  • The companies must comply with FERC's requirements for horizontal and vertical market power, including submitting market power analyses and adhering to Commission-approved market monitoring and mitigation measures.
  • FERC has granted waivers to the companies for cost-of-service information, accounting and reporting requirements, and other regulatory provisions, subject to certain conditions.
  • The companies must file Electric Quarterly Reports (EQRs) electronically with the Commission and report any changes in status that may affect market-based rate authority.
  • FERC's order does not constitute approval of any service, rate, charge, classification, or rule, regulation, or practice affecting the rate or service provided by the companies.

Statistics:

  • 240 megawatts (MW) of generation capacity in the PJM market is being developed by Cadence Solar Energy LLC.
  • 200 MW of generation capacity in the PJM market is being developed by Trade Post Solar LLC.
  • The companies will be required to file EQRs electronically with the Commission consistent with the procedures set forth in Order No. 770.
  • FERC has granted waivers to the companies for 160 regulatory provisions, including cost-of-service information, accounting and reporting requirements.
  • The companies must comply with the requirements of Order Nos. 860 and 860-A, as well as the regulations promulgated pursuant to those rules.

Sources:

  • Federal Energy Regulatory Commission. (2025, July 1). Delegated Order: Cadence Solar Energy LLC and Trade Post Solar LLC. Document No. ER25-1319-002 and ER25-1321-001.
  • Federal Energy Regulatory Commission. (2025, July 1). Market-Based Rates for Wholesale Sales of Elec. Energy, Capacity & Ancillary Servs. by Pub. Utils., Order No. 697.
  • Federal Energy Regulatory Commission. (2025, July 1). Refinements to Policies and Procedures for Market-Based Rates for Wholesale Sales of Elec. Energy, Capacity & Ancillary Servs. by Pub. Utils., Order No. 861.