Platts
The US Supreme Court said Monday it would take up whether a key rule on demand response compensation in wholesale energy markets should be upheld.
The high court granted petitions for a writ of certiorari by the Obama administration and others to review a lower court ruling on Federal Energy Regulatory Commission’s Order 745, which required that demand response resources receive locational marginal price in wholesale energy markets.
The US Court of Appeals for the District of Columbia Circuit tossed out the order last year in a 2-1 decision, finding FERC, in issuing the order, had infringed on state jurisdiction over retail matters under the Federal Power Act.
The Supreme Court said it was granting review on two questions. First, the court asked whether FERC reasonably concluded that it had the legal authority “to regulate the rules used by …