MID-TEX ELEC. CO-OP., INC. v. F.E.R.C.

Nos. 83-2058, 83-2106, 83-2134, 83-2151, 83-2158 and 83-2248.

773 F.2d 327 (1985)

MID-TEX ELECTRIC COOPERATIVE, INC., et al., Petitioners, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, West Texas Utilities Company, Southwestern Electric Power Company, Edison Electric Institute, Potomac Electric Power Company, Dennis J. Roberts, II, Attorney General of the State of Rhode Island, et al., Intervenors. ALABAMA ELECTRIC COOPERATIVE, INC., et al., Petitioners, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, West Texas Utilities Company, Edison Electric Institute, Southwestern Electric Power Company, Potomac Electric Power Company, Dennis J. Roberts, II, Attorney General of the State of Rhode Island, et al., Intervenors. AMERICAN PUBLIC POWER ASSOCIATION, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, West Texas Utilities Company, Southwestern Electric Power Company, Edison Electric Institute, Attorney General of the State of Rhode Island, et al., Potomac Electric Power Company, Intervenors. NATIONAL RURAL ELECTRIC COOPERATIVE ASSOCIATION, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Edison Electric Institute, Attorney General of the State of Rhode Island, et al., Southwestern Electric Power Company, et al., Potomac Electric Power Company, Intervenors. PUBLIC SYSTEMS, Petitioner, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Edison Electric Institute, Southern California Edison Company, Southwestern Electric Power Company, et al., Dennis J. Roberts, II, Attorney General of the State of Rhode Island, et al., State Corporation Commission of the State of Kansas, Intervenors. CITIES OF ALTAMONT, Bethany, Bushnell, Cairo, Carmi, Casey, Flora, Greenup, Marshall, Metropolis, Newton, Rantoul, and Roodhouse, Illinois; the Town of Norwood, Massachusetts, the New Mexico Cities of Gallup and Farmington; and the Pennsylvania Cities of Ellwood City, Grove City, and Zelienople, Petitioners, v. FEDERAL ENERGY REGULATORY COMMISSION, Respondent, Edison Electric Institute, Southwestern Electric Power Company, et al., Potomac Electric Power Company, Intervenors.

United States Court of Appeals, District of Columbia Circuit.

Decided September 24, 1985.

As Amended October 4, 1985.


Attorney(s) appearing for the Case

Robert A. O'Neil, Washington, D.C., with whom Wallace F. Tillman, Frederic Lee Klein, Douglas F. John, Edward W. Hengerer, Ted. M. Handel and Frederick H. Ritts, Washington, D.C., were on joint brief, for petitioners Nat. Rural Elec. Co-op. Ass'n, et al. in Nos. 83-2058, 83-2134 and 83-2151. Alan H. Richardson, Washington, D.C., entered an appearance for petitioners in No. 83-2058. Mark D. Nozette, Washington, D.C., entered an appearance for petitioners in No. 83-2134.

Thomas J. Bolch, Raleigh, N.C., was on brief, for petitioners Ala. Elec. Co-op., Inc., et al., in No. 83-2106.

Thomas N. McHugh, Jr., Washington, D.C., with whom Ben Finkelstein, Washington, D.C., was on brief, for petitioner Public Systems in No. 83-2158.

Philip B. Malter, Washington, D.C., with whom Charles F. Wheatley, Jr., Washington, D.C., was on brief, for petitioners Cities of Altamont, et al. in No. 83-2248.

A. Karen Hill, Atty., F.E.R.C., Washington, D.C., with whom Jerome M. Feit, Sol., F.E.R.C. and Michael E. Small, Atty., F.E.R.C., Washington, D.C., were on brief, for respondent in Nos. 83-2058, et al.

Carl D. Hobelman, Washington, D.C., for intervenors in Nos. 83-2058, et al. Clark Evans Downs, Carolyn Y. Thompson, Edward H. Comer, Brian J. McManus and Amy S. Koch, Washington, D.C., were on joint brief, for intervenors Edison Elec. Institute, et al. in Nos. 83-2058, et al.

Edward A. Caine, Washington, D.C., was on brief, for intervenor Potomac Elec. Power Co. in Nos. 83-2058, 83-2106, 83-2134, 83-2151 and 83-2248. George M. Knapp and Edward H. Comer, Washington, D.C., entered appearances for intervenor Edison Elec. Institute in Nos. 83-2058, et al.

Dennis J. Roberts, II, Providence, R.I., Paula Savren and J. William W. Harsch, Washington, D.C., entered appearances for intervenor Dennis J. Roberts, II, Atty. Gen. of State of R.I., et al. in Nos. 83-2058, et al.

Richard M. Merriman, Washington, D.C., and Clyde E. Hirschfeld, Rosemead, Cal., entered appearances for intervenor Southern Cal. Edison Co. in No. 83-2158.

Brian J. Moline, Topeka, Kan., entered an appearance for intervenor State Corp. Com'n of the State of Kan. in No. 83-2158.

Before BORK and STARR, Circuit Judges, and CORCORAN, United States Senior District Judge for the District of Columbia.


Opinion for the Court filed by Circuit Judge BORK.

BORK, Circuit Judge.

The petitioners in these consolidated cases are wholesale customers of electric utilities whose wholesale rates are regulated by the Federal Energy Regulatory Commission.1 After notice and comment rulemaking, FERC ruled that electric utilities may generally include in their rate bases amounts equal to 50% of their investments in construction work in progress...

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