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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 PUC Limits Fees for Some Grid Users

LCG, Apr. 4, 2003--A decision by the California Public Utilities Commission on Thursday showed unanimous support for limiting fees charged to installers of solar panels for use of the power grid, while another showed sharp divisions on similar exemptions for builders of small gas turbines.

The fees are put toward the cost of state electricity purchase bonds, issued to reimburse California for emergency purchases made on behalf of California's major utilities. They also contribute to the costs of long-term electricity contracts. Recent arguments for the solar exemption put forth were that the charges would be a disincentive to further solar installation, and that the benefits of increased supplies and reduced demand on the grid from new power sources should be rewarded. By providing subsidies not only to solar users but also those installing gas turbines, the commission is causing costs to be borne more heavily by other users, some commissioners noted.

The PUC president, Michael Peevey, was in favor of the small number of "entities who are willing to put up capital for investment in generation, transmission or distribution" being given encouragement in a market lacking in investment. Commissioner Carl Wood and former commission president Loretta Lynch expressed opposition to giving subsidies to those using microturbines and cogeneration, with Lynch saying "I think that will reduce in the long term the ability of the renewable and ultra-clean vendors to increase their market share." Wood said the policy vote would benefit large businesses and industrial facilities most, and said he would not go along with "an inclination ... to promote cost shift for the benefeit of these large customers."

The subsidy given to smaller non-renewable generation was at a lower rate than that given to renewables. Nonetheless, a lawyer for the Utility Reform Network, Matt Freedman, told the Sacramento Bee, "Every dollar we exempt these customers from paying, somebody else has to eat."
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