Docket Nos. ER25-885-001 and ER25-885-000 1

193 FERC ¶ 61,230

FEDERAL ENERGY REGULATORY COMMISSION

WASHINGTON, DC  20426

 

December 22, 2025

 

 

   In Reply Refer To:

   New York Transco, LLC

   New York Independent System Operator, Inc.

   Docket Nos. ER25-885-001

                        ER25-885-000

 

 

Day Pitney, LLP

555 11th Street NW

Washington, DC  20004-1300

 

Attention:  Evan C. Reese III, Esq.

        Attorney for New York Transco, LLC

 

Dear Mr. Reese:

 

  1.                On October 2, 2025, New York Transco, LLC (New York Transco) filed an   Offer of Settlement (Settlement) resolving issues set for hearing and settlement judge procedures relating to its proposed company-wide base return on equity (ROE).  On October 22, 2025, Commission Trial Staff filed initial comments supporting the Settlement.  On November 3, 2025, New York Transco filed limited reply comments requesting that the Commission approve the Settlement by December 29, 2025, so that the new proposed base ROE can be used beginning on the first day of the rate year, January 1, 2026.  On November 4, 2025, the Settlement Judge certified the Settlement to the Commission as an uncontested offer of settlement.[1]  
  2.                Article 6.1 of the Settlement provides that:

The standard of review for any change to the Settlement proposed by a Settling Party shall be the “public interest” application of the just and reasonable standard set forth          in United Gas Pipe Line Co. v. Mobile Gas Serv. Corp.,         350 U.S. 332 (1956), and Fed. Power Comm’n v.            Sierra Pacific Power Co., 350 U.S. 348 (1956), as clarified in Morgan Stanley Capital Grp., Inc. v. Pub. Util. Dist. No. 1 of Snohomish Cnty., Wash., 554 U.S. 527 (2008), and refined in NRG Power Mktg. v. Maine Pub. Utils. Comm’n, 558 U.S. 165 (2010).  The ordinary just and reasonable standard of review (rather than the “public interest” standard), as clarified in Morgan Stanley Capital Grp., Inc. v. Pub. Util. Dist. No. 1 of Snohomish Cnty., Wash., 554 U.S. 527 (2008), applies to any changes to the settlement sought by the Commission acting sua sponte, the Settling Parties acting unanimously, or at the request of a non-settling party or a non-party to this proceeding.

  1.                The Settlement resolves all issues set for hearing in Docket No. ER25-885.[2]  The Settlement appears to be fair and reasonable and in the public interest, and is hereby approved.  The Commission’s approval of this Settlement does not constitute approval of, or precedent regarding, any principle or issue in these proceedings.
  2.                New York Transco, in conjunction with the New York Independent System Operator, Inc. (NYISO), is directed to make a compliance filing with revised tariff records in eTariff format,[3] within 30 days of this order, to reflect the Commission’s action in this order.

 By direction of the Commission.

 

 

 

Debbie-Anne A. Reese,

Secretary.

[1] N.Y. Transco, LLC, 193 FERC ¶ 63,015 (2025).  

[2] N.Y. Transco, LLC, 190 FERC ¶ 61,150 (2025).

[3] See Elec. Tariff Filings, Order No. 714, 124 FERC ¶ 61,270 (2008), order on reh’g, Order No. 714-A, 147 FERC ¶ 61,115 (2014).  New York Transco and NYISO are reminded to use an eTariff Record Effective Priority Order number higher than used in Docket No. ER25-885-001 to ensure that the tariff records approved as part of the Settlement become the effective rate.