Speaking Energy

On June 28, 2024, in Loper Bright Enterprises v. Raimondo, the U.S. Supreme Court overruled Chevron U.S.A. Inc. v. Natural Resources Defense Council, Inc., which for 40 years required court deference to reasonable agency interpretations of federal statutes in certain circumstances, even when the reviewing court would read the statute differently. The Court ended “Chevron deference” and held that courts “must exercise their independent judgment in deciding whether an agency has acted within its statutory authority.” In doing so, the Court upended a longstanding principle of administrative law that is likely to make agency decisions more susceptible to challenge in the courts.

(Houston) – Akin Gump is pleased to announce it has released its “2020 Energy Year in Review,” which examines the current state of the global energy market and highlights the energy matters with which the firm was involved last year across the following areas:

• Mergers, Acquisitions & Strategic Transactions
• Capital Markets
• Financing
• Project Development
• Financial Restructuring
• Energy Litigation.

(Houston) – Akin Gump is pleased to announce it has released its “2019 Energy Year in Review,” which examines the current state of the global energy market and highlights the energy matters with which the firm was involved last year across the following areas:

On September 19, 2019, the Federal Energy Regulatory Commission (FERC or the “Commission”) proposed to “modernize” its regulations under the Public Utility Regulatory Policies Act of 1978 (PURPA) to “better sync [them] with the modern energy landscape, while continuing to” protect consumers and “encourage development of qualifying facilities” or “QFs.”¹ Chairman Neil Chatterjee and Commissioner Bernard McNamee offered full support for the proposed reforms,² while Commissioner Richard Glick dissented in part, arguing that they would “effectively gut” PURPA and that such substantial changes should be made by Congress, not FERC.³

In recent weeks, a flurry of Congressional activity has emerged to extend and expand federal support for clean energy initiatives. Introductions of the Renewable Electricity Standard Act¹ and Renewable Energy Extension Act² supplemented a proposed plan³ within the House Committee on Energy and Commerce (“House E&C Committee”) for comprehensive legislation to achieve a 100 percent “clean economy” by 2050. A national renewable electricity standard paired with an extension of the energy investment tax credit, if enacted, would encourage the growth of renewable energy investment and installation. High variable renewable energy (“VRE”) market penetration would necessitate significant changes to existing regulatory structures as well as the operation of wholesale electricity markets across the United States. Such potential changes require consideration and forward planning by industry participants and investors alike.

On August 31, 2018, NorthWestern Corporation (NorthWestern) petitioned the Federal Energy Regulatory Commission (FERC or Commission) to revoke the qualifying small power production facility (QF) status of four wind projects planning to integrate batteries at their respective sites, raising new questions for the treatment of energy storage under the Public Utility Regulatory Policies Act of 1978 (PURPA). At issue is whether wind or solar generation facilities and co-located storage should be treated as a single QF—and if so, how to calculate the facility’s aggregate “power production capacity”—or whether co-located storage facilities should be treated as separate QFs.

On November 29, 2017, Rep. Tim Walberg (R-MI) introduced H.R. 4476, the PURPA Modernization Act of 2017 (the “Act”), which, if enacted, would significantly change the Public Utility Regulatory Policies Act of 1978 (PURPA). Rep. Walberg asserts that the Act would bring PURPA into the 21st century, foster competition, and “stop[] the gaming of a federal law at the expense of electricity customers to provide more affordable and reliable energy.”¹ However, the proposed legislation also could substantially chill development of renewable energy projects in many markets.

(Houston) – Akin Gump is pleased to announce it has released its “2015 Energy Year in Review,” which examines the current state of the global energy market and highlights the energy matters with which the firm was involved last year in the following areas:

• M&A
• financial restructuring
• capital markets
• lending
• project development and project finance
• energy regulation, markets and enforcement
• energy litigation and international arbitration.