On February 15, 2018 the Federal Energy Regulatory Commission (“FERC”) issued a Final Rule addressing participation of energy storage resources in electricity markets operated by Regional Transmission Organizations (“RTOs”) and Independent System Operators (“ISOs”). Largely adopting the proposal issued in November 2016, the Final Rule seeks to remove barriers for energy storage participation in wholesale capacity, energy, and ancillary services markets. The ultimate impact of FERC’s directive will be determined over the next few years as RTOs and ISOs implement the standards through their respective stakeholder processes, compliance filings, and (potentially) litigation. FERC deferred ruling on a companion proposal addressing participation of distributed energy resources (“DERs”) in wholesale markets. In the coming months, stakeholders should carefully consider these measures as there will continue to be opportunities to shape the final outcomes. Read More
Congress recently enacted the Bipartisan Budget Act of 2018, which contained a number of extenders applicable to tax credits for energy facilities. In the case of PTC-eligible energy facilities that were not covered by the earlier extension applicable to wind and solar, the credit was extended to facilities where construction was commenced before January 1, 2018. This new rule applies to closed and open loop biomass, geothermal, landfill gas, trash, qualified hydropower, and marine and hydrokinetic facilities. In addition, the election to claim the ITC in lieu of the PTC on these facilities was also extended to facilities where construction was commenced before January 1, 2018.
The ITC provisions were amended to extend the “commence construction” dates for 30% credits for fiber optic solar, qualified fuel cell, ground based thermal heating and cooling systems, and qualified small wind energy property to be consistent with solar facilities (terminating at the end of 2021). The Act also extended the “commence construction” dates for 10% credits relating to qualified microturbine and combined heat and power system property (also terminating at the end of 2021). To be eligible for the extension, combined heat and power system property must be placed into service after December 31, 2016.
In addition, the credits for fiber optic solar, qualified fuel cell and qualified small wind project will step down over the next 5 years. It also appears that any such property not placed in service by the end of 2023 will not be eligible for any ITC.
On Wednesday, January 24, 2018 from 12:00-1:30pm ET, K&L Gates Seattle associate Elizabeth Crouse will be moderating the ACORE and Bloomberg New Energy Finance sponsored webinar “Financing Renewables Post-Tax Reform.”
The State of the Industry Webinar, a quarterly series produced in partnership between ACORE and Bloomberg New Energy Finance, offers the latest intelligence and analysis on renewable energy markets, finance and policy.
Provisions included in the tax reform package will affect how leading financiers of renewable energy projects are taxed on their investments. These changes could impact the availability of tax equity – a critical source of financing that is a significant catalyst for market growth and responsible for roughly 20% of annual U.S. renewable energy investment. On this webinar, experts will consider how changes to the tax code might shake out in the renewable energy market, alternate sources of project financing and other factors developers should expect in 2018 and beyond.
Greg Wetstone, President & CEO, ACORE
Todd Foley, Senior Vice President of Policy and Government Affairs, ACORE
Ethan Zindler, Head of Americas, Bloomberg New Energy Finance
Elizabeth Crouse, Associate, K&L Gates LLP
Marshal Salant, Managing Director, Head of Alternative Energy Finance, Citi
Meghan Schultz, Senior Vice President, Structured Finance, Invenergy LLC
Kevin Walsh, Managing Director, Renewable Energy, GE Energy Financial Services
To register for this webinar, please click here.
On November 29, 2017, New York Gov. Andrew Cuomo (D) signed Assembly Bill A6571. Passed by the New York legislature in June 2017, this legislation directs the New York Public Service Commission (PSC) to undertake two efforts: (1) institute a proceeding to establish the Energy Storage Deployment Program within 90 days; and (2) set a target by January 1, 2018, for the installation of qualified energy storage systems across the state by 2030.
An Access Partnership and K&L Gates Symposium
We invite you to join us in the K&L Gates Washington, D.C. office on Wednesday, December 6 for an in-person (only) breakfast symposium focused on the rapidly changing global regulatory landscape surrounding connected cars/autonomous vehicles.
Our experienced panelists are government and industry officials who will discuss upcoming national and international industry and regulatory developments regarding the autonomous vehicles industry, focusing on cybersecurity and privacy issues, and infrastructure-related concerns.
We are pleased to announce the following speakers and panelists. Please note that panels remain in formation.
Ryan Johnson, Senior Manager, International Public Policy, Access Partnership
Keynote Speaker: Nat Beuse, Associate Administrator for Vehicle Safety Research, National Highway Traffic Safety Administration (NHTSA).
Nat is responsible for NHTSA’s vehicle safety research activities, which are focused on achieving the agency’s mission of reducing fatalities and injuries caused by motor vehicle crashes.
Keynote Speaker: Andrea Glorioso, Counsellor for the Digital Economy, Delegation of the European Union to the United States.
Andrea acts as the liaison between the European Union and United States on policy, regulation, and research activities related to the Internet and information and communication technologies. He worked for eight years at the European Commission in Brussels on cybersecurity, personal data protection, cloud computing, and Internet governance. He was part of the teams that produced a number of key strategies of the European Commission, including the Action Plan on the Internet of Things and the Cloud Computing Strategy.
Panel Discussion: Infrastructure*
Moderator: Stephen A. Martinko, Government Affairs Counselor, K&L Gates
David S. Kim, Vice President, Government Affairs, Hyundai Motor Company
Greg Rogers, Policy Analyst & Assistant Editor, Eno Transportation Weekly (ETW), Eno Center for Transportation
Jim Tymon, Chief Operating Officer/Director of Policy and Management, American Association of State Highway and Transportation Officials (AASHTO)
Panel Discussion: Cybersecurity & Privacy*
Moderator, Bruce J. Heiman, Partner, K&L Gates
Robert E. Muhs, Vice President, Government Affairs, Corporate Compliance & Business Ethics, Avis Budget Group
Kiyoshi Nakazawa, Representative, Information Technology Promotion Agency (IPA) New York Director, Information Technology Department, Japan External Trade Organization (JETRO) New York Special Advisor to the Ministry of Economy, Trade and Industry (METI), Government of Japan
Al Sisto, Executive Chairman, Device Authority
*Panel in formation.
For more information, please visit our event page.
To RSVP, please click here.
On June 1, President Trump declared that he would withdraw the United States from the Paris Climate Accord (the “Agreement”). His announcement, though not unexpected, raises a host of questions on several legal, technical, and policy fronts. And while the news and commentary on President Trump’s position continues to change, three fundamental questions are worth asking:
On May 30, the Department of Energy (“DOE”) published a request for information (“RFI”) soliciting guidance on potential regulations that should be modified or repealed to reduce burdens and costs. This is part of a government-wide initiative to overhaul the federal government’s regulatory regime, set in motion with an executive order signed by President Trump just after his inauguration. This RFI also comes after President Trump signed an executive order, “Promoting Energy Independence and Economic Growth,” which seeks to review all regulatory actions that hamper the domestic production of fossil fuels and nuclear energy.
To read the full alert on K&L Gates HUB, click here.
Under AB 2514, California’s landmark energy storage law passed in 2013, California’s three Investor-Owned Utilities (“IOUs”) (Southern California Edison (“SCE”), Pacific Gas & Electric (“PG&E”), and San Diego Gas & Electric (“SDG&E”)) are required to install 1,325 MW of energy storage by 2024. Recent California Public Utilities Commission (“CPUC”) decisionmaking under a later-passed energy storage law, however, has added an additional 500 MW to the IOUs’ procurement obligations. Read More
How is big business putting wind to work? Why does it make financial sense? This event, presented by The Seminar Group, will explore answers to these questions and discuss the status of wind power development in the west, wind power siting, utility perspectives of renewables, Cal ISO expansion, and equity financial structures and tax considerations.
Portland partner Bill Holmes is serving as Program Chair for this progrm Thursday, May 4 at the World Trade Center in Portland, Oregon.
In addition, Seattle partner David Benson will serve as a faculty member for the program.
Bill will present on the Status of Wind Power Development in the West and David will speak on a panel covering Equity, Financial Structures and Tax Considerations.
To learn more about this event and register, click here.
President Donald Trump signed an Executive Order on March 28, 2017, entitled “Promoting Energy Independence and Economic Growth” (“Order”), which is designed to prompt reconsideration, and in some cases revocation, of the Obama Administration’s actions to address greenhouse gas emissions and climate change. The Order directs several federal agencies to review, and possibly withdraw, specific policy initiatives like the Environmental Protection Agency (“EPA”) Clean Power Plan rulemaking and the U.S. Department of the Interior (“Interior”) 2015 and 2016 rules on oil and gas production on federal lands. In addition, the Order directs the U.S. Council on Environmental Quality (“CEQ”) to rescind its 2016 final guidance document regarding the consideration of greenhouse gas emissions and climate change impacts in environmental reviews performed under the National Environmental Policy Act (“NEPA”). More broadly, the Order also directs all federal agencies to review “all agency actions” that “potentially burden the development or use of domestically produced energy resources.”
As discussed in greater detail below, the Order may have far-reaching implications for U.S. policy on energy production, greenhouse gas regulation, and climate change that could have spillover impacts for energy infrastructure development. A vigorous debate is certain to follow with interested stakeholders evaluating strategic options including notice and comment rulemaking, litigation, and legislative advocacy.
To read the full alert on K&L Gates HUB, click here.