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Thursday, November 7, 2024

Guthrie and Pence introduce bill targeting Federal Energy Regulatory Commission's compensatory powers

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Brett Guthrie U.S. House of Representatives from Kentucky's 2nd district | Official U.S. House Headshot

Brett Guthrie U.S. House of Representatives from Kentucky's 2nd district | Official U.S. House Headshot

WASHINGTON, D.C. - Congressman Brett Guthrie (KY-02), a senior member of the House Energy & Commerce Committee, and Congressman Greg Pence (IN-06) have introduced bill H.R. 9077 aimed at removing the authority of the Federal Energy Regulatory Commission (FERC) to compensate individuals for intervening in Commission proceedings.

“Today I was proud to introduce this important legislation alongside Congressman Pence which will limit unnecessary bureaucracy at the Federal Energy Regulatory Commission (FERC) and prevent the use of federal dollars to fuel environmentalist delay tactics on critical American energy projects. Currently, FERC has the authority to compensate individuals seeking to intervene in their proceedings, potentially using taxpayer dollars and industry user fees to foot the bill for far-left environmentalists that seek to delay, disrupt, and protest the approval of necessary energy projects such as pipelines, transmission lines, or LNG export facilities. Across the country, well-funded environmental groups use any opportunity to weaponize litigation as a tactic to fight fossil fuels. Ultimately, these actions increase project costs, raise prices on households, and deter future investment that could create good paying jobs and advance America’s energy industry. We must regain control of the federal government’s out of control bureaucracy and reinstate American energy independence. This is a crucial step to rebuilding American energy independence and lowering energy prices for every day Americans,” said Congressman Guthrie.

“America’s energy industry is a fundamental piece in combatting the energy crisis in our country, but the bureaucrats at FERC have already proven that preserving this is not their focus. The possibility of using federal funds to compensate those who intervene in proceedings is an excessive tactic that promises to increase costs and limit the energy projects Americans need. Our legislation would strip that power from FERC so that we can prioritize what really matters and restore American energy independence,” said Congressman Pence.

The Public Utility Regulatory Policies Act of 1978 included a provision for FERC to establish an Office of Public Participation (OPP). OPP was directed to coordinate assistance to the public regarding authorities of the Commission and had authority to compensate individuals seeking to intervene in FERC proceedings. This compensation could cover attorney’s fees, expert witness fees, or other costs incurred by intervening.

This authority was not used until 2021 when FERC formally established OPP. Since then, OPP has held various workshops, events, and engagement activities. In the 43 years since OPP’s original authorization, FERC has developed an exhaustively engaging process for the public to directly participate in all energy projects under consideration by the Commission. Additionally, existing offices within FERC already perform duplicative efforts on public engagement and participation.

This legislation would remove FERC’s ability to compensate intervenors and restructure OPP as a Division under the existing Office of External Affairs.

Click here to read the full bill.

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