Court Orders FERC to Rethink Refunds to Californina Consumers

Oil Daily, The, September, 2004

A federal appeals court in California has ruled that the Federal Energy Regulatory Commission (FERC) was wrong when it determined it could not order multi-billion dollar refunds to California consumers overcharged by power companies during the state's electricity crisis four years ago.

The decision, released by the Ninth US Circuit Court of Appeals in San Francisco on Thursday, ordered FERC to rethink its position and come up with a means of making available up to $2.8 billion in refunds.

Since the crisis, California has come up with a figure of $8.9 billion in overcharges. FERC, however, has resolutely refused to budge from its position that it could not order refunds.

However, the three-judge panel ordered FERC to rethink its position and figure...