The Federal Energy Regulatory Commission has legal authority to reshape how PJM Interconnection is governed, according to a new analysis by Ari Peskoe of Harvard Law School. The analysis, highlighted by Utility Dive, argues that FERC's jurisdiction over transmission governance gives it tools to change the allocation of filing rights and the composition of PJM's nominating committee.
Peskoe suggests that these changes could help modernize the grid operator's governance structure, which has faced criticism for being unrepresentative or slow to adapt. By adjusting filing rights, FERC could alter which stakeholders have the ability to propose tariff changes, while changes to the nominating committee could affect who gets to select board members.
The analysis does not call for new legislation, instead focusing on existing regulatory levers. It notes that FERC has options that it has not yet fully exercised, and that the commission could act on its own to address governance concerns. The piece is an opinion piece, so it represents Peskoe's view rather than an official FERC position.