Docket No. ER26-1068-000, et al. 1

194 FERC ¶ 61,193

UNITED STATES OF AMERICA

FEDERAL ENERGY REGULATORY COMMISSION

 

Before Commissioners:  Laura V. Swett, Chairman;

                                        David Rosner, Lindsay S. See,

                                        Judy W. Chang, and David LaCerte.

 

Central Hudson Gas & Electric Corporation

New York Independent System Operator, Inc.

Docket Nos.

ER26-1068-000

ER25-2636-002

EL26-22-000

 

ORDER ACCEPTING COMPLIANCE FILING, ACCEPTING TARIFF REVISIONS, AND TERMINATING SHOW CAUSE PROCEEDING

 

(Issued March 17, 2026)

 

  1.                On December 12, 2025, in Docket No. ER25-2636-002, New York Independent System Operator, Inc. (NYISO) submitted, on behalf of Central Hudson Gas & Electric Corporation (Central Hudson), a compliance filing and revised tariff records adjusting Central Hudson’s transmission formula rate for its Hurley Avenue System Deliverability Upgrade project (Hurley Avenue Project) under Rate Schedule 12 of the NYISO Open Access Transmission Tariff (OATT) (Hurley Avenue Formula Rate) in compliance with the directives in a November 17, 2025 Commission order[1] (Compliance Filing).
  2.                On January 16, 2026, in Docket No. ER26-1068-000, pursuant to section 205 of the Federal Power Act (FPA),[2] NYISO filed, on behalf of Central Hudson, proposed revisions to Central Hudson’s Hurley Avenue Formula Rate implementation protocols (Hurley Avenue Protocols) under Rate Schedule 12 of the NYISO OATT (Protocols Filing).[3]  Central Hudson states that the Protocols Filing addresses the Commission’s concerns raised in the November 2025 Order and requests that the Commission terminate the related show cause proceeding in Docket No. EL26-22-000 (Show Cause Proceeding).
  3.                As discussed below, we accept Central Hudson’s Compliance Filing, effective August 26, 2025, accept Central Hudson’s Protocols Filing, to be effective March 18, 2026, as requested, and terminate the Show Cause Proceeding.

I.                   Background

  1.                Central Hudson is a public utility engaged in the transmission, distribution, and retail sale of electric power and natural gas in the Hudson Valley of upstate New York.[4]  Central Hudson is a participant in the NYISO electricity markets on behalf of certain of its end-use customers and is a load-serving entity to its retail customers.  Central Hudson uses Rate Schedule 12 to calculate the annual transmission revenue requirement for its Hurley Avenue Project.  Central Hudson filed proposed revisions to the Hurley Avenue Formula Rate on June 26, 2025, as amended on September 18, 2025, pursuant to    section 205 of the FPA.[5]    
  2.                In the November 2025 Order, the Commission accepted Central Hudson’s revisions to the Hurley Avenue Formula Rate, effective August 26, 2025, subject to conditions and a compliance filing to be filed with the Commission within 30 days.[6]  Specifically, the Commission directed Central Hudson to add language to the Hurley Avenue Formula Rate to make available to interested parties the post-retirement benefits other than pensions (PBOP) actuarial studies that support the PBOP accrual amounts included in the Hurley Avenue Formula Rate.  The Commission also directed Central Hudson to:  update input values; remove the reference to July 1, 2024 for its depreciation rates in Attachment 8 of the Hurley Avenue Formula Rate; and remove all references to Order No. 864.[7]
  3.                In the November 2025 Order, the Commission also instituted a proceeding under FPA section 206,[8] finding that the Hurley Avenue Protocols appear to be unjust, unreasonable, unduly discriminatory or preferential, or otherwise unlawful and directing Central Hudson to:  (1) show cause as to why the Hurley Avenue Protocols remain just and reasonable and not unduly discriminatory or preferential; or (2) explain what changes to the Hurley Avenue Protocols it believes would remedy the identified concerns if the Commission were to determine that the formula rate protocols have, in fact, become unjust and unreasonable or unduly discriminatory or preferential and, therefore, proceeds to establish replacement formula rate protocols.[9]
  4.                The Commission noted that, if Central Hudson preferred to propose revisions to its Hurley Avenue Protocols, then it could do so pursuant to FPA section 205 and ask that the Commission hold the show cause proceeding in abeyance pending the Commission’s consideration of the related FPA section 205 filing.[10]

II.                Central Hudson’s Filings

A.                Compliance Filing in Docket No. ER25-2636-002

  1.                Central Hudson states that it made the following changes to the Hurley Avenue Formula Rate:  (1) added language to Note D of Appendix A stating Central Hudson’s commitment to provide PBOP actuarial studies to any stakeholder that requests them during the annual review process; (2) made enhancements to several cells to improve the process of updating the Year within the formula rate; (3) included an effective date of August 26, 2025, on Attachment 8 – Depreciation Rates; (4) eliminated Attachment 5 – Excess/Deficient Accumulated Deferred Income Taxes and a related line on Appendix A, Line 22, but retained the tab and the line in Appendix A for future use; and (5) made other minor changes, including correcting spelling errors and formula rate references.[11]  

B.                 Protocols Filing in Docket No. ER26-1068-000

  1.                Central Hudson states that the revised Hurley Avenue Protocols address the Commission’s concerns expressed in the November 2025 Order and are consistent with the Commission’s requirements in the MISO Protocols Orders.[12]  Specifically, Central Hudson states that the Hurley Avenue Protocols have been revised to address the Commission’s concerns regarding the scope of participation, transparency, and challenge procedures.[13]  Central Hudson requests that the Commission approve the proposed tariff revisions as filed with an effective date of March 18, 2026.[14]

III.            Notices and Responsive Pleadings

  1.           Notice of Central Hudson’s Compliance Filing in Docket No. ER25-2636-002 was published in the Federal Register, 90 Fed. Reg. 59106 (Dec. 18, 2025), with interventions and protests due on or before January 2, 2026.  None was filed.
  2.           Notice of Central Hudson’s Protocols Filing in Docket No. ER26-1068-000 was published in the Federal Register, 91 Fed. Reg. 2768 (Jan. 22, 2026), with interventions and protests due on or before February 6, 2026.  None was filed.
  3.           On January 20, 2026, Central Hudson filed a motion in Docket Nos. ER26-1068-000 and EL26-22-000 requesting that the Commission hold the proceeding in Docket No. EL26-22-000 in abeyance pending the Commission’s consideration of Central Hudson’s FPA section 205 Protocols Filing made in Docket No. ER25-1068-000.  No answers were filed.  The Secretary of the Commission issued a notice granting this motion on February 13, 2026.

IV.             Discussion

  1.           We find that Central Hudson’s Compliance Filing complies with the directives in the November 2025 Order.  Accordingly, we accept the Compliance Filing, effective August 26, 2025.
  2.           We also find Central Hudson’s Protocols Filing just and reasonable and not unduly discriminatory or preferential and accept it, to be effective March 18, 2026, as requested.  We agree with Central Hudson that the revised Hurley Avenue Protocols are consistent with the Commission’s requirements for formula rate implementation protocols as established in the MISO Protocols Orders and address the Commission’s concerns from the November 2025 Order regarding the scope of participation, transparency, and challenge procedures.  Because the Commission’s concerns from the November 2025 Order are fully addressed by the revisions to the Hurley Avenue Protocols in the Protocols Filing, we terminate the Show Cause Proceeding in Docket No. EL26-22-000.

 

 

The Commission orders:

  1.             Central Hudson’s Compliance Filing is hereby accepted, effective     August 26, 2025, as discussed in the body of this order.
  2.              Central Hudson’s Protocols Filing is hereby accepted, to be effective   March 18, 2026, as discussed in the body of this order.
  3.              The Show Cause Proceeding in Docket No. EL26-22-000 is hereby terminated, as discussed in the body of this order.

By the Commission.

 

( S E A L )

 

 

 

Debbie-Anne A. Reese,

Secretary.

 

 


 

Appendix – Tariff Records

 

Docket No. ER25-2636-002

 

New York Independent System Operator, Inc.

NYISO Tariffs

 

 

Docket No. ER26-1068-000

 

New York Independent System Operator, Inc.,

NYISO Tariffs

 

 

[1] Cent. Hudson Gas & Elec. Co., 193 FERC ¶ 61,126 (2025) (November 2025 Order).

[2] 16 U.S.C. § 824d.

[3] See Appendix for eTariff records.

[4] See November 2025 Order, 193 FERC ¶ 61,126 at P 2.

[5] See id. P 1.

[6] Id.

[7] Id. PP 17-21.

[8] 16 U.S.C. § 824e.

[9] November 2025 Order, 193 FERC ¶ 61,126 at P 45.

[10] Id. P 47.

[11] Compliance Filing, Transmittal Letter at 2-4.

[12] Protocols Filing, Transmittal Letter at 4-6 (citing Midwest Indep. Transmission Sys. Operator, Inc., 139 FERC ¶ 61,127 (2012), order on investigation, 143 FERC           ¶ 61,149 (2013), order on reh’g, 146 FERC ¶ 61,209, order on compliance, 146 FERC          ¶ 61,212 (2014), order on reh’g, 150 FERC ¶ 61,024, order on compliance, 150 FERC           ¶ 61,025 (2015) (collectively, MISO Protocol Orders)).

[13] Id. at 4-5.  See November 2025 Order, 193 FERC ¶ 61,128 at P 29.

[14] Protocols Filing, Transmittal Letter at 6.