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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

ISO New England Submits Generator Incentive Proposal

LCG, Mar. 2, 2004--The Independent System Operator New England (ISO NE) has developed a proposal for review by the Federal Energy Regulatory Commission (FERC) concerning payments to generators to provide them incentives to operate in areas around Boston and Connecticut that are vulnerable to congestion.

The grid operator would like its proposal to be implemented June 1, although FERC may request changes to the plan. The general idea of the incentive system has received the agency's support previously. The chief executive of the ISO, Gordon van Welie, has said that the plan relies in part on market-based payments to generators, instead of negotiated payments entirely. Some plants are operating but losing money, under "reliability must run" orders issued by the ISO.

The attorney general of Massachusetts, Thomas F. Reilly, has expressed skepticism that the amount of incentives are justified. Utility NStar Electric's spokesman Michael Durand was quoted in the Boston Globe as saying the plan, which NStar estimates could lead to a 7 per cent increase rate hike for its customers, "would cost our customers too much money."

According to van Welie, the plan tries to address the problems of siting and past investment decisions that have left some regions with more power than they require, while others are vulnerable to problems of insufficient transmission and higher prices.
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