To access the significant orders and federal district court papers related to all matters that have proceeded to Orders to Show Cause, see the Orders to Show Cause Proceedings page.

Subject(s) of Investigation and Order Sanctions, including Civil Penalties, Disgorgement, and Compliance Measures Description of Findings of Violations

Ampersand Cranberry Lake Hydro LLC, Docket No. P-9685-034, P-9685-036, Order Assessing Civil Penalty, 179 FERC ¶ 61,037 (April 21, 2022)

Prior Commission Activity:

Order to Show Cause and Notice of Proposed Penalty, 177 FERC ¶ 61,028 (October 21, 2021)
Civil Penalty of $600,000. The Commission assessed a civil penalty of $600,000 against Ampersand Cranberry Lake Hydro LLC (Ampersand Cranberry Lake) for violating Article 5 of the project license by failing to retain the possession of all project property covered by the license.  The project has a high hazard dam, meaning that a failure of the project works would result in a probable loss of human life.  Commission staff repeatedly has ordered Cranberry Lake to make certain repairs to address dam safety issues.
Dynegy Marketing & Trade, LLC, IN22-3-000, Order Approving Stipulation and Consent Agreement, IN22-3-000, 178 FERC ¶ 61,230 (March 28, 2022) Civil Penalty to the United States of $450,000 against Dynegy Marketing and Trade, LLC (Dynegy); disgorgement to PJM Interconnection Inc. (PJM) in the amount of $119,425.10, inclusive of interest; and annual compliance monitoring reporting for two years.

On March 28, 2022, the Commission approved a Stipulation and Consent Agreement (Agreement) between FERC’s Office of Enforcement (Enforcement) and Dynegy.  In the Order, the Commission found the settlement is in the public interest because the Agreement resolves on fair and equitable terms Enforcement’s investigation into whether Dynegy’s Real-Time energy market offers in Summer 2017 for ten GE 7FA (7FA) dual-fuel combustion turbines (CTs) in the PJM market misrepresented that the units could ramp to their maximum oil-based output attained during their capacity tests (ICAP) while running on gas. Staff’s investigation determined that Dynegy’s conduct violated 18 C.F.R. § 35.41(b) and Section 1.7.19 of Schedule 1 of the Amended and Restated Operating Agreement and Attachment K – Appendix of the PJM Open Access Transmission Tariff, which requires each unit to be able to change output at the ramping rate specified in the Offer Data. The Order also resolved Enforcement’s finding that Dynegy violated § 35.41(b) when it maintained a prospective 16 MW capacity increase for Armstrong, one of the three dual-fuel unit facilities, based on (a) unit upgrades that were never completed by the previous owner and (b) the use of auxiliary generators during capacity tests, which was prohibited by PJM.

Constellation NewEnergy, Inc., Docket No. IN22-4-000, Order Approving Stipulation and Consent Agreement, 178 FERC ¶ 61,231 (March 29, 2022) Civil Penalty in the amount of $2,400,000 against Constellation NewEnergy, Inc. (CNE); disgorgement in the amount of $2,300,000 against CNE. On March 29, 2022, the Commission approved a Stipulation and Consent Agreement (Agreement) between FERC’s Office of Enforcement (Enforcement) and CNE.  In the Order the Commission found the settlement is in the public interest because the Agreement resolves on fair and equitable terms Enforcement’s investigation under Part 1b of the Commission’s regulations, 18 C.F.R. Part 1b (2021), into whether CNE complied with the pertinent California Independent System Operator (CAISO) tariff provisions regarding the treatment of imports for Resource Adequacy (RA) purposes.  CNE stipulates to the facts set forth in Section II of the Agreement, but neither admits nor denies the alleged violations.

Total Civil Penalties assessed for all years 2007 to present: $793,509,824.

Total Civil Penalties does not include the $30,000,000 assessed in Hunter and overturned on jurisdictional grounds by the U.S. Court of Appeals for the District of Columbia Circuit. Also does not include penalties proposed or assessed in the following currently pending matters: $20,160,000 in BP America Inc., et al. that is now at the US Court of Appeals for the Fifth Circuit; $16,800,000 against Powhatan Energy Fund LLC assessed in Powhatan Energy Fund, et al.; $26 million against Coaltrain Energy, L.P., $5 million each against Peter Jones and Shawn Sheehan, $1 million against Robert Jones, and $500,000 each against Jeff Miller and Jack Wells assessed in Coaltrain Energy, L.P., et al.; $213,600,000 civil penalty against TGPNA, $1,000,000 civil penalty against Hall, and $2,000,000 civil penalty against Tran proposed in Total Gas & Power North America, et al.; $1,515,738 civil penalty assessed against Vitol Inc. and $1,000,000 civil penalty assessed against Federico Corteggiano in Vitol Inc. and Federico Corteggiano; $15,000,000 civil penalty assessed against Boyce Hydro Power LLC; $179,600,573 civil penalty assessed against GreenHat Energy, LLC; $25,000 civil penalties assessed against John Bartholomew and Kevin Ziegenhorn in GreenHat Energy, LLC; $42,000,000 civil penalty proposed against PacifiCorp; or $20,160,000 civil penalty proposed against Rover Pipeline Company, LLC and Energy Transfer Partners, L.P. (Docket No. IN19-4-000); or $40,000,000 civil penalty proposed against Rover Pipeline Company, LLC and Energy Transfer Partners, L.P. (Docket No. IN17-4-000); or $600,000 civil penalty proposed against Ampersand Cranberry Lake Hydro LLC.


Total Disgorgement ordered for all years 2007 to present: $523,556,579.

Total Disgorgement does not include amounts ordered in the following currently pending matters: $207,169 in BP America Inc., et al.; that is now at the US Court of Appeals for the Fifth Circuit; $3,465,108 assessed in Powhatan Energy Fund LLC; $4,121,894 plus interest assessed in Coaltrain Energy, L.P., et al.; $9,180,000 proposed in Total Gas & Power North America , et al.; or $1,227,143, plus interest, assessed against Vitol in Vitol Inc. and Federico Corteggiano; or $13,072,428, jointly and severally assessed against the Estate of Andrew Kittell and the other respondents in GreenHat Energy, LLC.


Total Other Payments ordered for all years 2007 to present: $8,200,000.

“Other payments” are defined as miscellaneous items ordered by the Commission that have a financial value, but are not considered a civil penalty or disgorgement. They include payments towards mitigation, enhancements, compliance activities, or a hurricane charitable fund. Payments included in this total are: $1,000,000 charitable donation ordered in Entergy Energy Services, Inc. in 2007; $1,000,000 in compliance plan improvements ordered in Duquesne Light Company in 2008; $2,000,000 in compliance plan improvements ordered in Edison Mission in 2008; $2,000,000 in mitigation and compliance plan improvements ordered in Grand River Dam Authority in 2011; $2,200,000 in public safety enhancements and computer system upgrades ordered in Erie Boulevard Hydropower, L.P. and Brookfield Power US Assets Management, LLC in 2014.

 

This page was last updated on June 07, 2022