FERC

Definition

The Federal Energy Regulatory Commission (FERC) regulates natural gas pipelines and electric public utilities that engage in interstate commerce.

Purpose

The purpose of FERC is to oversee and regulate the transmission and wholesale sale of electricity and natural gas in interstate commerce. It ensures the reliability, efficiency, and fairness of energy markets and infrastructure.

Examples of Use

• Pipeline Regulation: FERC oversees the approval and construction of interstate natural gas pipelines.
• Electric Utilities: Regulating the rates and services of electric utilities that operate across state lines.
• Energy Markets: Monitoring and ensuring fair practices in the wholesale energy markets.

Related Terms

• Interstate Commerce: Trade, traffic, or transportation involving the crossing of a state boundary.
• Energy Policy: A course of action taken by a government or organization regarding energy production, distribution, and consumption.
• Utility Regulation: Government oversight of public utility companies to ensure safe, reliable, and fair services.

Notes

• FERC also has a role in environmental considerations, ensuring that energy projects comply with federal environmental laws.
• The commission works to protect consumers from unfair rates and practices while promoting the development of sustainable energy resources.