Energy

How a Change in FERC Leadership Will Affect the American Energy Industry

By: Evan Federico

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The Federal Energy Regulatory Commission (“FERC” or “the Commission”) will play a crucial role in President Joe Biden’s ambitious plans to tackle climate change and reduce greenhouse gas emissions from the power generation sector. FERC is an independent agency that regulates the interstate transmission of electricity, natural gas, and oil. Biden has already named Democratic Commissioner Richard Glick Chairman of FERC. Once Republican Commissioner Neil Chatterjee’s term expires in June of 2021, Biden is expected to appoint another Democrat to the panel, which will secure a 3-2 Democratic majority. The economic impact of this shift in political power is likely to be significant for both the fossil fuels and renewables industries. Three possible areas that bear watching: (1) reforms that encourage state efforts to subsidize renewable power, (2) increased buildout of high-voltage transmission infrastructure, and (3) increased scrutiny of proposed natural gas pipelines. Continue reading »