Indiana Utility Regulatory Commission v. Federal Energy Regulatory Commission
668 F.3d 735
D.C. Cir.2012Background
- IURC challenges FERC-approved PJM tariff revisions implementing demand response provisions under Order 719.
- Order 719 generally requires access for aggregators of retail customers unless state law prohibits participation.
- PJM tariff 1.5A.1–1.5A.3 allocates obligation to verify customer eligibility to the retail utility, not the ARC.
- IURC issued a state injunction and filed intervention/protest with FERC, arguing jurisdictional overreach and ARC eligibility rules.
- FERC conditionally accepted the tariff, recognizing state-specific eligibility and burden-shifting, and rejected IURC’s broader challenges.
- This court must address jurisdiction under Section 313 and the merits of FERC’s order.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Jurisdiction: preservation under §825l(b). | IURC preserved jurisdictional objections in rehearing request. | IURC failed to raise specificity; §825l(b) limits review to rehearing grounds. | Jurisdictional claims dismissed; petitions barred on preservation grounds. |
| Merits: reasonableness of FERC's tariff approval. | Tariff burdens state-regulated utilities and risks encroaching on state authority. | Order 719 granted PJM substantial flexibility; tariff consistent with that framework. | Tariff approval upheld; FERC reasonably interpreted Order 719. |
Key Cases Cited
- Connecticut Department of Public Utility Control v. FERC, 593 F.3d 30 (D.C. Cir. 2010) (preservation and specificity requirements for rehearing claims)
- Pub. Serv. Elec. & Gas Co. v. FERC, 485 F.3d 1164 (D.C. Cir. 2007) (rehearing content and argument adequacy)
- Allegheny Power v. FERC, 437 F.3d 1215 (D.C. Cir. 2006) (jurisdictional review standards under FPA)
- ASARCO, Inc. v. FERC, 777 F.2d 764 (D.C. Cir. 1985) (agency deference and statutory review framework)
- Pub. Serv. Co. of N.M. v. FERC, 863 F.2d 1021 (D.C. Cir. 1988) (jurisdictional limits and agency review)
- CTIA-Wireless Ass'n v. FCC, 466 F.3d 105 (D.C. Cir. 2006) (statutory interpretation and agency discretion)
- Save Our Sebasticook v. FERC, 431 F.3d 379 (D.C. Cir. 2005) (limits of judicial review of agency orders)
- Alcoa Inc. v. FERC, 564 F.3d 1342 (D.C. Cir. 2009) (highly deferential review of rate-making decisions)