6th Circ. Says FERC Overcomplicated Power Contract Fight

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Law360 (February 17, 2021, 7:06 PM EST) — The Sixth Circuit vacated the Federal Energy Regulatory Commission’s finding that a PPL Corp. unit must reimburse a municipal utility for transmission costs on Wednesday, finding that the agency turned a simple contract dispute into “an invitation to make complex policy choices.”

In a published opinion, a three-judge panel struck down FERC’s finding that now-merged Louisville Gas and Electric Co. and Kentucky Utilities Co. must reimburse a utility owned by the city of Owensboro, Kentucky, for what the city paid to guarantee it could purchase electricity generated outside of Louisville Gas’ service area when needed. The Sixth Circuit said FERC wrongfully…

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