Penalty Predictability Enhanced:  FERC modifies its enforcement guidelines, by J. Michel Marcoux

Effective Sept. 17, 2010, the Federal Energy Regulatory Commission (FERC) issued its revised policy statement on penalty guidelines for violations determined under the Natural Gas Act, the Natural Gas Policy Act of 1978, and the Federal Power Act. Described in Michel Marcoux's November 2010 article in the Public Utilities Fortnightly, the guidelines assess civil penalty ranges for fraud, anti-competitive conduct, and other rule, tariff, or FERC Order violations, as well as violations of FERC-approved, electric reliability standards. Intentional or reckless misrepresentations and false statements by organizations to the FERC are treated as the most serious type of violations. Emphasizing the need for gas and electric industry compliance, the guidelines also evaluate various considerations to mitigate penalties, particularly whether or not an organization has an effective compliance program.

To access the article, please click here.

For more information, please contact Michel Marcoux at This e-mail address is being protected from spambots. You need JavaScript enabled to view it or 202-296-1500.