High Court Power Subsidy Ruling Keeps States in the Dark

The U.S. Supreme Court unanimously decided to uphold a federal regulators' exclusive jurisdiction over wholesale electricity market and to provide subsidies for new gas-fired power plants. The court ruling showcases how far a state can go in providing incentives for power generation.

"If a state is targeting directly the scope of the federal jurisdiction, the state is going to have a problem," Energy Attorney Stephen Humes said. "The states have limits as to what they can do, but they still enjoy a cooperative role with the federal government in helping consumers obtain access to energy at reasonable prices. That's really the theme of the decision."

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READ: Court Ruling Sets Stage For More Conflict With States