At a September 2020 FERC Technical Conference, legal experts agreed that FERC does have the legal authority to implement a carbon price. Under sections 206 and 205 of the Federal Power Act, FERC has the authority to actualize such a policy through the regional transmission operators (RTO) and independent system operators (ISO), six panelists spanning academia and industry law told commissioners.
Whether FERC may do so unilaterally was also discussed in testimony. Some argued that if FERC were to establish a record, there is no “inherent jurisdictional bar” to prevent the commission from issuing a carbon price without a direct request from grid operators. Others said this approach would be problematic without a legislative mandate.
Panelist written testimony on these questions is available at the link below. Panelists offering testimony included:
- David R. Hill (Columbia University Center on Global Energy Policy)
- Kate Konschnik, Director of Climate & Energy (Duke University Nicholas Institute for Environmental Policy Solutions)
- Ari Peskoe, Director (Harvard Electricity Law Initiative)
- Matthew E. Price, Partner (Jenner & Block LLP)
- Prof. Jim Rossi, Judge D.L. Lansden Chair in Law (Vanderbilt University School of Law)
- Dr. Roy Shanker (Independent Consultant)
- Dr. Joseph Bowring, Independent Market Monitor for PJM (Monitoring Analytics)
- Richard J. Dewey, President and CEO (New York Independent System Operator)
- Devin Hartman, Director of Energy and Environmental Policy (R Street Institute)
- Arne Olson, Senior Partner (Energy and Environmental Economics, E3)
- Gordon van Welie, President and CEO (ISO New England)
- Prof. Frank A. Wolak, Professor of Economics (Stanford University)
- Dr. Anthony Giacomoni, Senior Market Strategist, Advanced Analytics (PJM Interconnection)
- Prof. William Hogan, Raymond Plank Professor of Global Energy Policy, John F. Kennedy School of Government (Harvard University)
- Rana Mukerji, Senior Vice President, Market Structures (New York Independent System Operator)
- Mark Rothleder, Vice President, Market Policy and Performance (California Independent System Operator)
- Dr. Matthew White, Chief Economist (ISO New England)
- Clare Breidenich, Carbon and Clean Energy Committee Director (Western Power Trading Forum)
- Travis Kavulla, Vice President of Regulatory Affairs (NRG)
- Sherman Knight, President and Chief Commercial Officer (Competitive Power Ventures, CPV)
- Michael B. Mager, Esq., Partner (Couch White, LLP as Counsel for Multiple Intervenors)
- J. Arnold Quinn, Senior Director, FERC-Jurisdictional Markets (Vistra)
- Harry Singh, Vice President (J. Aron & Company LLC)
- Joseph Wadsworth, Regulatory Affairs and Market Policy (Vitol on behalf of Energy Trading Institute)
- Christopher Crane, President and CEO (Exelon Corporation)
- Thad Hill, President and CEO (Calpine Corporation)
- Brett Mattison, President and Chief Operating Officer (Kentucky Power)
- Chris Parker, Executive Director (Utah Department of Commerce)
- Paul Segal, CEO (LS Power)
- Dena Wiggins, President and CEO (Natural Gas Supply Association, NGSA)