NextEra Secures Reversal of FERC Order Dismissing Its Complaint

On April 4, the U.S. Court of Appeals for the D.C. Circuit remanded an order issued by the Federal Energy Regulatory Commission (FERC) that dismissed a complaint filed by solar energy developer and Skadden client NextEra Desert Center Blythe, LLC. NextEra's complaint argued that the tariff of the California Independent System Operator (California ISO) required it to award to NextEra the congestion revenue rights created by NextEra's $32 million payment for improvements in the electric transmission system controlled by the California ISO. FERC initially dismissed the complaint, finding that NextEra had contractually surrendered its claim to receive congestion revenue rights in an interconnection agreement among NextEra, the California ISO and Southern California Edison Co.