NERC Reliability & FERC Enforcement

Van Ness Feldman’s Electric Practice assists utilities, generators and other entities registered with the North American Electric Reliability Corporation (NERC) in understanding and documenting their compliance with mandatory reliability standards, and in developing compliance plans and procedures.  We provide compliance training and counsel clients on self-reporting potential violations, preparing mitigation plans, planning for audits and investigations, and negotiating settlements.

Our Electric Practice also counsels clients in FERC enforcement proceedings, audits and investigations of compliance with applicable energy statutes, FERC rules, regulations, and tariff provisions. 

Reliability Compliance

Van Ness Feldman assists clients with a broad array of reliability compliance matters. We have negotiated contracts to allocate compliance responsibilities among joint owners, assisted clients in understanding mandatory reliability standard requirements, conducted mock audits and assisted in the response to NERC audits and investigations, and helped clients file self-reports and mitigation plans with regional entities.  Our attorneys also help clients develop compliance plans and procedures that demonstrate their cultures of compliance.   Van Ness Feldman provides training to registered entities and Regional Entities to understand NERC requirements, hearing procedures, and FERC penalty guidelines.  As part of our services, we regularly alert clients to new developments involving FERC and NERC compliance initiatives.

FERC Enforcement

Utilities are subject to FERC enforcement and investigations of compliance with applicable energy statutes, FERC rules, regulations, and tariff provisions.  Such investigations may include allegations of fraud and market manipulation, anticompetitive conduct, conduct threatening the transparency of regulated markets, or serious violations of electric reliability standards.

Van Ness Feldman attorneys advise clients in all phases of non-public investigations, from initial responses to data requests, through meetings with FERC staff, to settlement discussions, and in the development of mitigation plans.  We also help clients defend against allegations of violations or wrongful conduct in publicly litigated proceedings.

Recent Representations

• Conducted training and prepared a mock hearing for a Regional Entity on the NERC shortened hearing process.
• Advised a registered entity in revisions to its compliance program documentation that better demonstrated its culture of reliability excellence.
• Advised a registered entity challenging an alleged violation of a reliability standard requirement.
• Assisted registered entities in preparing for NERC audits.
• Negotiated an agreement between a Generator Owner and a Generator Operator to divide responsibility for compliance with reliability standard requirements.
• Advised a large integrated utility in the Northeast on the effect of potential changes to the definition of the Bulk Electric System.
• Provided strategic counsel to clients on FERC’s Revised Penalty Guidelines. 
• Represented investor-owned utilities in FERC audits of their compliance with OATT and Standards of Conduct requirements.
• Assisted power marketers and independent generators in FERC audits of their compliance with market-based rate authority requirements, EQRs, price reporting policy, and interlocking directorate rules. 
• Conducted employee training on FERC’s rules prohibiting market manipulation, Standards of Conduct, and EQR requirements. 

If we can provide you with additional information, please contact us at electric@vnf.com.