Entergy Louisiana, Inc. v. Louisiana Public Service Commission et al. (539 U.S. 39)
U.S. Supreme Court · decided June 2, 2003 · Supreme Court Database (Spaeth)
- Citation
- 539 U.S. 39 · 123 S. Ct. 2050
- Decided
- June 2, 2003
- Term
- October Term 2002
- Vote
- 9–0
- Majority author
- Justice Thomas
- Issue area
- Federalism
- Disposition
- Reversed
- Outcome
- Petitioning party won
- Ideological direction
- Liberal
Opinion excerpt
Justice Thomas delivered the opinion of the Court. The Federal Energy Regulatory Commission (FERC) regulates the sale of electricity at wholesale in interstate commerce. 16 U. S. C. § 824(b). In this capacity, FERC must ensure that wholesale rates are “just and reasonable,” § 824d(a). In Nantahala Power & Light Co. v. Thornburg, 476 U. S. 953 (1986), and Mississippi Power & Light Co. v. Mississippi ex rel. Moore, 487 U. S. 354 (1988) (MP&L), the Court concluded that, under the filed rate doctrine, FERC-approved cost allocations between affiliated energy companies may not be subjected to reevaluation in state rate-making proceedings. We consider today whether a FERC tariff that delegates discretion to the regulated entity to de-' termine the precise cost allocation similarly pre-empts an order that adjudges those costs imprudent. I Petitioner Entergy Louisiana, Inc. (ELI), is one of five public utilities owned by Entergy Corporation (Entergy), a multistate holding company. ELI operates in the State of Louisiana and shares capacity with its corporate siblings operating in Arkansas, Mississippi, and Texas (collectively, the operating companies). This sharing arrangement allows each operating company to access additional capacity when demand exceeds the supply generated by that company alone. But keeping excess capacity available for use by all is a benefit shared by the…
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