Commissioner James Danly Statement
June 17, 2021
Docket No. PL21-2-000
Order: E-2
I concur in the issuance of this policy statement on state voluntary agreements to plan and pay for transmission facilities. I do not know what it accomplishes, but we are not “categorically precluded” from issuing it, and if there is a chance that it can help critical transmission infrastructure to be built, then I see no reason to oppose it.
The policy states that “[W]e are concerned that confusion regarding the relationship between Voluntary Agreements and Commission rules and regulations may be deterring [Voluntary] agreements.”[1] We do not cite any examples of such confusion, but—who knows—it may well exist.
To attempt to dispel this possible confusion, we “clarify that Voluntary Agreements are not categorically precluded by the Federal Power Act (FPA)[2] or the Commission’s existing rules and regulations.”[3] This amounts to a declaration that the FPA and existing rules and regulations do not obviously prohibit all Voluntary Agreements—I have no quarrel with that. But I do believe it necessary to remind everyone that each Voluntary Agreement must still individually pass muster under our statute and regulations.
The actual policy in our statement is an invitation:
To the extent that states or public utility transmission providers believe there are barriers to Voluntary Agreements in Commission-jurisdictional tariffs or other agreements, we encourage them to identify those barriers and, as necessary, consider making filings before this Commission to address those barriers.[4]
We do not need a policy statement to invite filings. But there is no harm in it. I also invite and welcome filings before the Commission so that we can ensure that critical transmission, and critical natural gas pipelines, and other critical infrastructure, can obtain the approvals and regulatory certainty they require in order to be built.