FERC expands states’ role in regional transmission planning, cost allocation

Ethan Howland | Source: Utility DIVE | Posted 11/22/2024

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The Federal Energy Regulatory Commission on a 4-0 vote on Thursday largely upheld its Order 1920 on transmission planning and cost allocation, but gave state regulators a bigger role in shaping scenario development and cost allocation.

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The Federal Energy Regulatory Commission voted 4-0 to uphold its Order 1920 on transmission planning and cost allocation, with adjustments to give state regulators increased influence in scenario development and cost distribution. The revised rule, called Order 1920-A, allows states to extend engagement periods for negotiating cost allocation methodologies and emphasizes the inclusion of state input in long-term regional transmission planning scenarios.

The updated rule requires transmission providers to consider state input on scenario development, include state-approved cost allocation proposals in compliance plans, and allows states to request additional planning scenarios. The decision to revise the rule was driven by 49 rehearing requests and maintains the 20-year forward-looking transmission planning requirement, while granting states more transparency and authority in shaping transmission infrastructure development and cost allocation.

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Source Link: https://www.utilitydive.com/news/ferc-states-transmission-planning-cost-allocation-rehearing/733698/

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FERC expands states’ role in regional transmission planning, cost allocation

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