Client Alert

| June 18, 2010

FERC Proposes New Transmission Planning and Cost Allocation Rules Designed to Remove Obstacles to New Investment in Electric Transmission

On June 17, 2010, the Federal Energy Regulatory Commission (“FERC”) proposed to amend the transmission planning and cost allocation requirements for electric transmission providers. The proposed rule would apply to all public utility transmission providers, including regional transmission organizations (“RTOs”) and independent system operators (“ISOs”). Transmission providers that are not public utilities would have to adopt the requirements of this proposed rule as a condition of maintaining the status of their safe harbor tariff or otherwise satisfying the FERC reciprocity requirement. Comments are due within sixty days of the publication of the proposed rule in the Federal Register.

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This memorandum is intended only as a general discussion of these issues. It is not considered to be legal advice. We would be pleased to provide additional details or advice about specific situations. For additional information on this important topic, please feel free to call upon your Dewey & LeBoeuf relationship partner. No part of this publication may be reproduced, in whole or in part, in any form, without our prior written consent. For further information on Dewey & LeBoeuf, please visit www.dl.com. +1 888 532 6383