FERC Approves $350k Settlement on FRCC’s Role in Florida Blackout


In an order issued on Friday, the Federal Energy Regulatory Commission (FERC) approved a settlement filed by its Office of Enforcement (OE) and the North American Electric Reliability Corporation (NERC) under which the Florida Reliability Coordinating Council, Inc. (FRCC) will pay a $350,000 civil penalty and take other actions designed to improve reliability. The settlement resolves alleged violations by FRCC of NERC Reliability Standards in connection with the 2008 Florida Blackout. The order underscores the uncertainty surrounding the determination of penalties for violations of the Reliability Standards, but emphasizes the need for creative, proactive strategies to ensure compliance with the NERC requirements and thereby enhance reliability.


The settlement stems from FRCC’s role in the February 26, 2008 blackout in peninsular Florida, which resulted in the loss of 3,650 MW of customer service (the Florida Blackout). The Florida Blackout originated as a fault caused by a Florida Power & Light Company (FPL) engineer at a substation on the FPL system that had a domino effect throughout southern Florida. Following an investigation of the blackout, OE and NERC found (among other things) that the acting Reliability Coordinator (RC) operator on duty at the time of the incident did not respond appropriately to the substation fault.

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Eversheds Sutherland (US) LLP | Attorney Advertising

Written by:


Eversheds Sutherland (US) LLP on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.