FERC Rejects Challenge to Ratepayer Funding for American Electric Power Transmission Projects in Kentucky
A recent Federal Energy Regulatory Commission (FERC) ruling has rejected a challenge from Kentucky's public service commission and attorney general, affirming a practice where Kentucky Power ratepayers fund transmission upgrades built by other American Electric Power (AEP) subsidiaries within the PJM Interconnection, known as "supplemental" projects. The FERC decision maintained that costs to ratepayers should align with benefits received, and found sufficient evidence did not support allegations of unfair or discriminatory cost-sharing arrangements, highlighting a complex web of transmission development and oversight in the energy market.
