Craig, our Energy Policy Watch Dog, found this new interesting topic for our weekly POLICY WATCH

In two separate cases this month in New Jersey and Maryland, federal courts have struck down state mandates ordering customers to pay for the construction of new power plants. The courts saw the attempt to subsidize generation as a state effort to fix prices in their favor in the regional PJM capacity market. They ruled that this drives plants without subsidized generation out of the market and encroaches on the Federal Energy Regulatory Commission’s regulatory powers.

Fed Court Strikes Down NJ’s Power Plant Subsidy Program:

Fed Court Nullifies MD Plant Subsidies Program:

Do you agree with the court’s decision?