FERC has denied another generator’s request for make-whole payments for natural gas it purchased that was never used during the event, citing rules against retroactive ratemaking.

FERC rejected requests by two PJM generators seeking the recovery of “stranded” natural gas costs incurred during the polar vortex last year.

This winter bumped aside last year’s peak load record, but PJM's system experienced a fraction of the stress brought on by the January 2014 polar vortex.

FERC backtracked from its January order directing ISO-NE to develop a market-based approach for its winter reliability program later this year.

A repeat of last winter should not imperil the nation's power system, NERC said. Meanwhile, FERC ordered RTOs and ISOs to file reports on their efforts to ensure generators have adequate fuel.

PJM stakeholders deadlocked for the third time Thursday on changes to the $1,000/MWh energy offer cap, leaving it to the Board of Managers to decide whether to seek FERC approval of any changes.

FERC said PJM should not have included a 10% adder in its calculation of make-whole payments to generators whose costs exceeded the offer cap last winter.

If you want to see the value of dual-fuel capability, look no further than NYISO, where 47% of the generation can run on oil or natural gas.

The reliability cracks that became apparent last winter are more than a function of the polar vortex. They exposed long-term challenges that will take years to address.