This is a big deal: US Supreme Court agrees to hear case about FERC's Order 745.

FERC Order 745 is about regional grids' ability to offer market-based incentives to reduce demand. In a word, it's about demand-response.

Generating utilities hate demand-response. It represents new competition. It dramatically alters supply-side economics. It reduces generating revenues and margins.

To fight expansion of demand-response programs, generating utilities argue that the federal government (FERC) lacks authority to regulate demand. They argue that demand represents retail consumers, which are traditionally within the domain of individual states.

It's a rich question. It touches many other issues, including new authorities granted to NERC. It affects the future value of batteries (TSLA) and transmission lines (ITC, AEP)

It's also an academic argument. If the Supreme Court knocks down FERC's presumed authority, many states will implement demand-response programs on their own. In fact, some already have.


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