FERC Confirms NYTOs Federal Right of First Refusal to Build

FERC Confirms NYTOs Federal Right of First Refusal to Build and Recover Cost of Upgrades to Existing Transmission Facilities | Troutman Pepper


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On April 15, 2021, FERC issued a declaratory order confirming that under FERC Order No. 1000, incumbent New York Transmission Owners (“NYTOs”) have a federal right of first refusal (“ROFR”) for upgrades to their existing transmission facilities, including upgrades that are part of another Developer’s transmission project selected in the regional transmission plan for cost allocation. Specifically, FERC declared that the foundational agreements and Section 31.6.4 of the New York Independent System Operator, Inc. (“NYISO”) Open Access Transmission Tariff (“OATT”) established a ROFR of NYTOs to build, own and recover the cost of transmission upgrades to their existing facilities. In the same order, FERC denied requested clarification from the NYISO that such ROFR-exercising NYTOs could be considered “Developers” under the transmission planning process. FERC also provided additional clarity on the distinction between ROFR-eligible “upgrades” and new transmission facilities, indicating that different physical configurations resulting in power flow changes, increasing voltage/transfer capability, and performing different transmission functions, likely fall outside of traditional “upgrades.”

Related Keywords

New York , United States , , York Independent System Operator Inc , New York Transmission Owners , New York Independent System Operator , Open Access Transmission Tariff , Commissioner Clements , Commissioner Clement , புதியது யார்க் , ஒன்றுபட்டது மாநிலங்களில் , யார்க் சுயாதீனமான அமைப்பு ஆபரேட்டர் இன்க் , புதியது யார்க் சுயாதீனமான அமைப்பு ஆபரேட்டர் , திறந்த நுழைவு பரவும் முறை சுங்கவரி , ஆணையர் கிளெமென்ட்ஸ் , ஆணையர் கிளெமென்ட் ,

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