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FERC Proposes NEPA Revisions to Streamline Air Quality Analyses and Accelerate Natural Gas Projects

LCG, October 16, 2026--The Federal Energy Regulatory Commission (FERC) announced on Thursday its new proposal to revise and accelerate its review of air quality effects for proposed natural gas projects under the National Environmental Policy Act (NEPA). The draft policy statement highlights revisions designed to (i) avoid unnecessary delays and duplicative analysis and (ii) deliver greater regulatory certainty and a streamlined path forward for project applicants.

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AEP Announces 702-MW Bloom Fuel Cell Project to Serve Google in Wyoming

LCG, October 14, 2026--American Electric Power (AEP) today announced plans for a 20-year power purchase agreement (PPA) with Google, under which AEP will invest approximately $4 billion to advance a new 702-MW fuel cell generation project located near Cheyenne, Wyoming. Google will acquire power from Cheyenne Fuel Cell, LLC, which is approximately 92 percent owned and controlled by AEP and 8 percent owned by funds advised by Basalt Infrastructure Partners, LLP. AEP and its partners plan to start construction this year and to be fully operational by the end of 2028.

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Industry News

California Renewable Requirement Leaves Municipals Exempt

LCG, Oct. 14, 2002--A bill signed into law by California Gov. Davis that requires power suppliers and marketers to sell an increasing amount of power sourced from renewables does not include municipal utilities.

The California law is much the same as similar laws in states such as Texas and Connecticut. A federal rule now being considered has elicited strong lobbying efforts by municipal utilities to exclude them from a national renewables standard. The reason many such utilities cite for their opposition is the need to keep prices low to customers, who are also owners.

"It frustrates me when environmental groups and the Green Party just sort of blindly support public power and assume it's going to be cleaner," Julia Levin, California policy coordinator with the Union of Concerned Scientists, told the Sacramento Bee. Some supporters of green power believe the inconsistency may contribute to more volatile power prices in the future, as non-municipal suppliers increase their purchases of renewable power by 1 percent of sales annually. The recently signed bill calls for a 20 percent minimum requirement.

There is wide variation among California municipal systems in the proportion of renewable generation sold, with Santa Clara's utility Silicon Valley Power ranking among the highest due to use of geothermal generation. The Los Angeles Department of Water and Power (LADWP) relies very little on renewable sources (2%), and imports power from coal-fired plants in neighboring states. The LADWP says it may set renewable goals for itself next year.

David S. Freeman, who has headed both the Tennessee Valley Authority and the LADWP, said the focus of municipal systems on cost reduction and opposition to state-imposed requirements, "Is their attitude on this stuff smart? No. Is it right? No, but it's inbred."
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