In 2016, several major court rulings in energy cases strengthened the Federal Energy Regulatory Commission's (FERC) powers. In one such case, Hughes et al. v. PPL EnergyPlus LLC et al., the U.S. Supreme Court found that Maryland's power plant construction subsidies weren't legal because they undermined FERC's authority. However, the high court didn't provide guidelines to establish what programs are permitted. The ambiguity of the ruling has sparked additional cases in New York, where power producers are challenging nuclear plant subsidies.
Attorney Steve Humes weighed in on the ripple effect of the decision.
"I think we're going to see those kinds of cases popping up in other jurisdictions as well," Mr. Humes said. "Interpreting Hughes remains elusive."
READ: The Biggest Energy Rulings Of 2016 (subscription required)
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