FERC Ruling: Sensible, fair, forward-thinking

• Supports voluntary regional agreements: All around the country, regions are working with stakeholders, which include state utility commissions, end users, state and local utilities and co-ops, transmission providers, to craft consensus agreements that support needed transmission in their regions. FERC’s rules will ensure these and future processes for funding new electric infrastructure projects continue to drive needed, strategic updates to the grid.
• Aligns costs with benefits: FERC’s rules ensure those who benefit from new electric transmission facilities pay for those facilities. The standard requires that only those who benefit from new electric transmission facilities will pay for those facilities and that the amount paid should be “roughly commensurate with the benefits received” – a much more reasonable and workable standard given the long-term and broad benefits of transmission.
• Helps regions build the infrastructure to meet consumer demand: The rules solidify investment in transmission projects aimed at driving growth, increasing reliability and competition, and providing energy security, national security and environmental benefits for our nation. New projects will be undertaken for the benefit of American businesses and consumers.
• Links Paying For Transmission to the planning process: The rules enhance regional planning processes, and encourage regions to consider public policy objectives, such as state clean energy standards, in their planning activities. It will also facilitate planning efforts between various regions. These measures build upon the reforms that local regions are already doing and will increase competition and lower electricity prices.