July 22, 2013

Winston & Strawn: FERC Issues Order No. 784: Third-Party Provision of Ancillary Services; Accounting and Financial Reporting for New Electric Storage Technologies

On July 18, 2013, FERC issued Order No. 784, a final rule regarding Third-Party Provision of Ancillary Services and Accounting and Financial Reporting for New Electric Storage Technologies. The Commission revised certain aspects of its current market-based rate regulations, ancillary services requirements under the pro forma open-access transmission tariff (“OATT”), and accounting and reporting requirements in order to foster competition and transparency. In particular, the Commission revised the Avista policy governing sales of certain ancillary services to a public utility purchasing the ancillary service to satisfy its own OATT requirements to offer ancillary services to its own customers.

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