The Federal Energy Regulatory Commission released its annual report detailing FERC’s enforcement activities in 2019. To help you, we’ve highlighted some of the top issues triggering investigations and audits. View our brief to see the top priorities of FERC staff and the most common areas of noncompliance identified. The Report covers the activities of the following divisions, with a deeper dive into the Division of Audits and Accounting:
In FY 2019, the division completed 11 audits of regulated entities (electric utilities, natural gas companies and oil pipelines) resulting in 76 findings of noncompliance, 286 recommendations for corrective action, and directing refunds and recoveries totaling $161.2 million. This compares to the 14 audits completed in FY2018, which generated 209 recommendations for corrective action and $185.1 million in refunds and recoveries.
Specifically, in FY 2019, the DAA directed refunds of $11.8 million to jurisdictional customers, and prevented $149.4 million from being inappropriately amortized and collected through future wholesale formula rates. Download the full report to see the activities of all FERC divisions.
Sean P. Riley
US Energy, Utilities, & Mining Partner, PwC US
US Energy, Utilities & Mining Managing Director, PwC US