On October 21, 2010, the Federal Energy Regulatory Commission (FERC) announced rules that reform certain credit practices in the wholesale energy markets operated by regional transmission operators and independent system operators (together the Markets). FERC observed that the following credit rule changes will bring greater stability to the Markets:

Shortening the Markets’ billing period and payment period to no more than seven days each; Capping unsecured credit in each Market to no more than $50 million per market participant and no more than $100 million per corporate family; Eliminating unsecured credit for financial transmission rights (FTR).