Western States Legislators and TWW Lead the Way on Energy Federalism

State legislators from Arizona, Colorado, Nevada and Utah and The Western Way recently submitted comments to the Federal Energy Regulatory Commission, requesting that energy policy making stay at the state level and not be federalized.  The longstanding precedent of states having jurisdiction over their own energy policies was called into question by a petition submitted to FERC from the New England Ratepayers Association (NERA).  The April 14th NERA petition sought to move the authority to set net metering policies under federal FERC oversight. 

TWW’s Arizona Director Doran Miller noted why FERC should decline the NERA petition on the basis of states rights to set their own unique and effective energy policies:

“According to long-standing precedent, individual states have jurisdiction over their own energy policies. State regulators and elected officials who set state energy policies understand the resources and needs of their states and are accountable to voters.  Because no two states are the same, this ensures that each state’s energy policies are tailored, responsive, and effective.”

Moving the authority to regulate net metering to the FERC would, by contrast, impose a one-size-fits-all solution which would, by definition, fail to account for the unique make-up and characteristics of the various states.

State legislators from western states also weighed in with opposition to the filing from the perspective of elected officials responsible for energy making policies and directly accountable to voters.  

“By allowing net metering policy to continue to be set at the state level, you ensure that all stakeholders will continue to be represented. In contrast, stripping state regulators and policymakers of their jurisdiction over net metering will take away ratepayer’s ability to petition their local elected officials on this issue and could ultimately impact other state-controlled energy polices in the future.”

- Arizona State Representative Joanne Osborne - Full Comments

“Our country’s electric utility sector is changing at a dramatic rate due to technological innovation and market demand. This change will only accelerate and nimble state-based authority over major energy policies is necessary to navigate these changes. “

- Colorado State Senator Kevin Priola - Full Comments

“Nevada’s legislature, which is directly accountable to the citizens of the state, regularly engages in policymaking on energy and ratepayer issues.  Moving net-metering to FERC’s federal jurisdiction would take away rate payer’s ability to petition their local elected officials on this issue and could endanger long-term contracts that have been entered into between ratepayers and utilities.”  

- Nevada Assemblyman Tom Roberts - Full Comments

“Congress wrote the Federal Power Act “to be a complement to and in no sense a usurpation of State regulatory authority.” If FERC grants NERA’s petition, it would overturn long-held legal precedent and take away decision-making power that has long belonged to the states, including the authority to set rates, terms, and conditions for programs. “  

- Utah State Representative Stephen Handy - Full Comments