Federal Energy Regulatory Commission (FERC)

The Federal Energy Regulatory Commission (FERC) is an independent agency that regulates the interstate transmission of electricity, natural gas, and oil. FERC also reviews proposals to build liquefied natural gas (LNG) terminals and interstate natural gas pipelines as well as licensing hydropower projects. The Energy Policy Act of 2005 gave FERC additional responsibilities, including the following: (1) regulating the transmission and wholesale sale of electricity in interstate commerce; (2) reviewing certain mergers and acquisitions and corporate transactions by electricity companies; (3) regulating the transportation of oil by pipeline in interstate commerce; (4) approving the siting of interstate natural gas pipelines and storage facilities; (5) reviewing the siting application for electric transmission projects (under limited circumstances); and (6) protecting the reliability of the high voltage interstate transmission through the enforcement of mandatory reliability standards.