Press Release related to Order 697-C (in RM04-7-006)

June 18, 2009

Docket No. RM04-7-006

Order No. 697-C

MEDIA CONTACT

Barbara A. Connors – 202.502.8680

FERC Strengthens Reporting for New Generation Site Acquisition

The Federal Energy Regulatory Commission (FERC) today clarifies its Market Based Rates rule with new reporting requirements on acquisition of sites for new generation capacity development.

The new requirements address wind developers’ concerns regarding the burden of the existing requirements as well as provide FERC with the information necessary to evaluate a seller’s ability to erect barriers to market entry while preserving commercially sensitive information about future development of sites for power generating plants.

Under the rule, a seller must file a report for those sites where site control has been demonstrated in the interconnection process.

In addition, the order establishes a reporting requirement for land that has been held for three years to allow FERC to evaluate a seller’s ability to erect barriers to entry to the development of generation projects.

The order also denies requests for rehearing of the tariff provision governing mitigated sales at the metered boundary.

Today’s order denies rehearing and clarifies certain standards for utilities and companies seeking market-based rates for sales of energy, capacity and ancillary services. The Order No. 697 rulemaking orders strengthen competitive markets and protect consumers from an electric power seller’s exercise of market power between the mitigated and non-mitigated areas.

(30)