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United States. Federal Energy Regulatory Commission

Motion for Authorization to Implement Settlement Rates on an Interim Basis

Strategic Insights

— 2 min read

The Federal Energy Regulatory Commission has been petitioned by Waterford Power, LLC and three other power companies, collectively known as the Lightstone Public Utilities, to allow them to implement reduced settlement rates for their Reactive Supply and Voltage Control services. The proposed rates, which would take effect on October 1, 2025, would result in a reduction of $1,367,813 in annual revenue requirements for the power plants owned by the Lightstone Public Utilities.

Key Takeaways:

  • The Lightstone Public Utilities, comprising Darby Power, LLC, Gavin Power, LLC, Lawrenceburg Power, LLC, and Waterford Power, LLC, have requested permission to implement reduced settlement rates for their Reactive Supply and Voltage Control services, pending Commission consideration of the settlement.
  • The proposed rates would result in a reduction of $1,367,813 in annual revenue requirements for the power plants owned by the Lightstone Public Utilities.
  • The reduced rates would take effect on October 1, 2025, and would be implemented on an interim basis pending Commission consideration of the settlement.
  • If the Commission does not accept the settlement, but the motion to implement interim rates is granted, the currently-effective rates would be reinstated, and the Lightstone Public Utilities would be paid the difference between the original and revised rates.
  • The Independent Market Monitor for PJM has authorized the Lightstone Public Utilities to represent that it does not oppose this motion.
  • The Lightstone Public Utilities have requested that the Chief Administrative Law Judge shorten the answer period on this motion, grant expedited treatment, and issue an order granting this motion as soon as possible and no later than October 1, 2025.

Statistics:

  • The Lightstone Public Utilities' existing annual reactive revenue requirements are $6,667,813.
  • The proposed revised annual reactive revenue requirements for the power plants owned by the Lightstone Public Utilities would be $5,300,000, a reduction of $1,367,813.
  • The currently-effective annual rates for the Lightstone Public Utilities are:

+ Darby Power, LLC: $393,564

+ Gavin Power, LLC: $1,731,674

+ Lawrenceburg Power, LLC: $2,900,000

+ Waterford Power, LLC: $1,642,575

  • The proposed settlement rates for the Lightstone Public Utilities are:

+ Darby Power, LLC: $326,705

+ Gavin Power, LLC: $1,437,496

+ Lawrenceburg Power, LLC: $2,172,265

+ Waterford Power, LLC: $1,363,534

Sources:

  • UNITED STATES OF AMERICA BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION Darby Power, LLC Gavin Power, LLC Lawrenceburg Power, LLC Waterford Power, LLC Docket Nos. ER17-259-005 EL25-32-000 ER17-260-005 ER18-2497-011 EL25-34-000 ER17-262-005 EL25-35-000 (Not Consolidated)
  • Darby Power, LLC, et al., 192 FERC P 61,073 (2025)
  • Notice of Consummation, Docket No. EC24-125 (filed Aug. 12, 2025)
  • Darby Power, LLC, et al., 191 FERC P 61,215 (2025)
  • Darby Power, LLC, et al., Notice of Institution of Section 206 Proceeding and Refund Effective Date, Docket Nos. EL25-32-000, et al. (issued June 24, 2025)
  • Darby Power, LLC, Order of Chief Judge Designating Settlement Judge, Docket Nos. EL25-32-000, et al. (issued July 1, 2025)
  • Hill Top Energy Ctr. LLC, 191 FERC P 63,011 at P 2, 5 (2025)
  • Lakewood Cogeneration, L.P., 191 FERC P 63,010 at P 5 (2025)
  • Clean Energy Future - Lordstown, LLC, 191 FERC P 63,031 (2025)

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